Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Mar. 04, 2021 | Jun. 30, 2020 | |
Cover [Abstract] | |||
Entity Central Index Key | 0001263762 | ||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2020 | ||
Document Transition Report | false | ||
Entity File Number | 000-50400 | ||
Entity Registrant Name | SELECT BANCORP, INC. | ||
Entity Incorporation, State or Country Code | NC | ||
Entity Tax Identification Number | 20-0218264 | ||
Entity Address, Address Line One | 700 W. Cumberland Street | ||
Entity Address, City or Town | Dunn | ||
Entity Address, State or Province | NC | ||
Entity Address, Postal Zip Code | 28334 | ||
City Area Code | 910 | ||
Local Phone Number | 892-7080 | ||
Title of 12(b) Security | Common Stock, par value $1.00 per share | ||
Entity Listing, Par Value Per Share | $ 1 | ||
Trading Symbol | SLCT | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 17,513,903 | ||
Entity Public Float | $ 127,847,573 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
ASSETS | ||
Cash and due from banks | $ 23,324 | $ 19,110 |
Interest-earning deposits in other banks | 87,399 | 50,920 |
Federal funds sold | 5,364 | 9,047 |
Investment securities available for sale, at fair value | 194,492 | 72,367 |
Loans held for sale | 2,064 | 928 |
Loans | 1,304,384 | 1,029,975 |
Allowance for loan losses | (14,108) | (8,324) |
NET LOANS | 1,290,276 | 1,021,651 |
Accrued interest receivable | 5,110 | 4,189 |
Stock in Federal Home Loan Bank of Atlanta ("FHLB"), at cost | 1,147 | 3,045 |
Other non-marketable securities | 709 | 719 |
Foreclosed real estate | 2,172 | 3,533 |
Premises and equipment, net | 20,587 | 17,791 |
Right of use lease asset | 8,558 | 8,596 |
Bank owned life insurance | 30,432 | 29,789 |
Goodwill | 42,907 | 24,579 |
Core deposit intangible ("CDI") | 1,513 | 1,610 |
Other assets | 13,991 | 7,202 |
TOTAL ASSETS | 1,730,045 | 1,275,076 |
Deposits: | ||
Demand | 395,916 | 240,305 |
Savings | 51,843 | 43,128 |
Money market and NOW | 649,677 | 280,145 |
Time | 388,381 | 429,260 |
TOTAL DEPOSITS | 1,485,817 | 992,838 |
Long-term debt | 12,372 | 57,372 |
Lease liability | 8,930 | 8,813 |
Accrued interest payable | 246 | 578 |
Accrued expenses and other liabilities | 7,312 | 2,700 |
TOTAL LIABILITIES | 1,514,677 | 1,062,301 |
Shareholders' Equity: | ||
Common stock, $1 par value, 50,000,000 shares authorized; 17,507,103 and 18,330,058 shares issued and outstanding at December 31, 2020 and December 31, 2019, respectively | 17,507 | 18,330 |
Additional paid-in capital | 135,058 | 140,870 |
Retained earnings | 60,838 | 52,675 |
Common stock issued to deferred compensation trust, at cost; 274,956 and 319,753 shares outstanding at December 31, 2020 and December 31, 2019, respectively | (2,416) | (2,815) |
Directors' Deferred Compensation Plan Rabbi Trust | 2,416 | 2,815 |
Accumulated other comprehensive income | 1,965 | 900 |
TOTAL SHAREHOLDERS' EQUITY | 215,368 | 212,775 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 1,730,045 | $ 1,275,076 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2020 | Dec. 31, 2019 |
Preferred stock | ||
Preferred stock, par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 17,507,103 | 18,330,058 |
Common stock, shares outstanding (in shares) | 17,507,103 | 18,330,058 |
Deferred Comp Plan | ||
Common stock | ||
Common stock, shares outstanding (in shares) | 274,956 | 319,753 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
INTEREST INCOME | |||
Loans | $ 60,980 | $ 54,605 | $ 53,796 |
Federal funds sold and interest-earning deposits in other banks | 307 | 1,838 | 1,618 |
Investments | 1,921 | 2,003 | 1,421 |
TOTAL INTEREST INCOME | 63,208 | 58,446 | 56,835 |
INTEREST EXPENSE | |||
Money market, NOW and savings deposits | 2,928 | 1,616 | 1,339 |
Time deposits | 6,191 | 8,061 | 6,293 |
Short-term debt | 504 | 62 | 328 |
Long-term debt | 1,136 | 1,817 | 1,490 |
TOTAL INTEREST EXPENSE | 10,759 | 11,556 | 9,450 |
NET INTEREST INCOME | 52,449 | 46,890 | 47,385 |
PROVISION FOR (RECOVERY OF) LOAN LOSSES | 6,244 | 438 | (156) |
NET INTEREST INCOME AFTER PROVISION FOR (RECOVERY OF) LOAN LOSSES | 46,205 | 46,452 | 47,541 |
NON-INTEREST INCOME | |||
Gain on the sale of securities | 48 | ||
Fees on the sale of mortgages | 1,413 | 753 | 497 |
Other fees and income | 3,615 | 3,457 | 3,080 |
Revenue from Contract with Customer, Excluding Assessed Tax | 3,471 | 3,211 | 2,781 |
TOTAL NON-INTEREST INCOME | 6,120 | 5,419 | 4,701 |
NON-INTEREST EXPENSE | |||
Personnel | 23,137 | 20,278 | 18,304 |
Occupancy and equipment | 3,911 | 3,695 | 3,666 |
Deposit insurance | 808 | 184 | 628 |
Professional fees | 1,652 | 1,886 | 1,394 |
CDI amortization | 717 | 825 | 1,016 |
Merger/acquisition related expenses | 755 | 406 | 1,826 |
Information systems | 4,102 | 3,492 | 3,372 |
Foreclosure-related expenses | 762 | 140 | 115 |
Debt extinguishment | 1,616 | ||
Other | 4,487 | 4,234 | 4,229 |
TOTAL NON-INTEREST EXPENSE | 41,947 | 35,140 | 34,550 |
INCOME BEFORE INCOME TAX | 10,378 | 16,731 | 17,692 |
INCOME TAX | 2,215 | 3,696 | 3,910 |
NET INCOME | $ 8,163 | $ 13,035 | $ 13,782 |
NET INCOME PER COMMON SHARE | |||
Basic (in dollars per share) | $ 0.46 | $ 0.69 | $ 0.87 |
Diluted (in dollars per share) | $ 0.45 | $ 0.68 | $ 0.87 |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING | |||
Basic (in dollars per share) | 17,937,596 | 19,016,808 | 15,812,585 |
Diluted (in dollars per share) | 17,961,258 | 19,063,237 | 15,877,633 |
Deposit Account [Member] | |||
NON-INTEREST INCOME | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 1,092 | $ 1,161 | $ 1,124 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | |||
Net income | $ 8,163 | $ 13,035 | $ 13,782 |
Other comprehensive income (loss): | |||
Unrealized gains (loss) on investment securities-available for sale | 1,384 | 1,294 | (596) |
Tax effect | (319) | (298) | 139 |
Unrealized gains (loss) on investment securities-available for sale, net | 1,065 | 996 | (457) |
Reclassification adjustment for (gains) included in net income | (48) | ||
Tax effect | 11 | ||
Reclassification adjustment for (gains) included in net income, net | (37) | ||
Total | 1,065 | 959 | (457) |
Total comprehensive income | $ 9,228 | $ 13,994 | $ 13,325 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock | Additional paid-in Capital | Retained Earnings | Deferred Comp Plan | Common Stock Issued to Deferred Compensation Trust | Accumulated Other Comprehensive Income (Loss) | Total |
Balance at Dec. 31, 2017 | $ 14,009 | $ 95,850 | $ 25,858 | $ 2,518 | $ (2,518) | $ 398 | $ 136,115 |
Balance (in shares) at Dec. 31, 2017 | 14,009,137,000 | ||||||
Increase (Decrease) in Stockholders' Equity | |||||||
Net income | 13,782 | 13,782 | |||||
Other comprehensive income (loss) | (457) | (457) | |||||
Stock option exercises | $ 32 | 155 | 187 | ||||
Stock option exercises (in shares) | 31,534,000 | ||||||
Shares issued for Premara merger | $ 5,271 | 54,535 | 59,806 | ||||
Shares issued for Premara merger (in shares) | 5,270,834,000 | ||||||
Directors' equity incentive plan, net | 97 | (97) | |||||
Stock-based compensation | 178 | 178 | |||||
Balance at Dec. 31, 2018 | $ 19,312 | 150,718 | 39,640 | 2,615 | (2,615) | (59) | 209,611 |
Balance (in shares) at Dec. 31, 2018 | 19,311,505,000 | ||||||
Increase (Decrease) in Stockholders' Equity | |||||||
Net income | 13,035 | 13,035 | |||||
Other comprehensive income (loss) | 959 | 959 | |||||
Stock repurchases | $ (1,008) | (10,419) | (11,427) | ||||
Stock repurchases (in shares) | (1,008,260,000) | ||||||
Stock option exercises | $ 26 | 202 | 228 | ||||
Stock option exercises (in shares) | 26,813,000 | ||||||
Directors' equity incentive plan, net | 200 | (200) | |||||
Stock-based compensation | 369 | 369 | |||||
Balance at Dec. 31, 2019 | $ 18,330 | 140,870 | 52,675 | 2,815 | (2,815) | 900 | 212,775 |
Balance (in shares) at Dec. 31, 2019 | 18,330,058,000 | ||||||
Increase (Decrease) in Stockholders' Equity | |||||||
Net income | 8,163 | 8,163 | |||||
Other comprehensive income (loss) | 1,065 | 1,065 | |||||
Stock repurchases | $ (835) | (6,272) | (7,107) | ||||
Stock repurchases (in shares) | 834,606,000 | ||||||
Stock option exercises | $ 12 | 100 | $ 112 | ||||
Stock option exercises (in shares) | 11,651,000 | 11,653 | |||||
Directors' equity incentive plan, net | (399) | 399 | |||||
Stock-based compensation | 360 | $ 360 | |||||
Balance at Dec. 31, 2020 | $ 17,507 | $ 135,058 | $ 60,838 | $ 2,416 | $ (2,416) | $ 1,965 | $ 215,368 |
Balance (in shares) at Dec. 31, 2020 | 17,507,103,000 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||
Net income | $ 8,163 | $ 13,035 | $ 13,782 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||
Provision for (recovery of) loan losses | 6,244 | 438 | (156) |
Depreciation and amortization of premises and equipment | 1,417 | 1,790 | 1,738 |
Amortization and accretion of investment securities | 587 | 767 | 560 |
Amortization of right of use lease asset | 1,258 | 990 | |
Accretion of deferred loan fees and costs | (3,585) | (844) | (744) |
Amortization of core deposit intangible | 717 | 825 | 1,016 |
Accretion of acquisition premium on time deposits | (290) | (14) | (178) |
Amortization of acquisition premium on borrowings | (12) | ||
Deferred income taxes | (709) | 585 | 1,061 |
Stock-based compensation | 360 | 369 | 178 |
Accretion on acquired loans | (1,581) | (904) | (3,051) |
Proceeds from loans held for sale | 57,586 | 34,578 | 22,726 |
Originations of loans held for sale | (57,309) | (34,173) | (22,711) |
Gain on sales of loans held for sale | (1,413) | (753) | (497) |
Gain on the sale of securities | (48) | ||
Increase in cash surrender value of bank-owned life insurance | (643) | (672) | (686) |
Loss (gain) on sale of premises and equipment | 60 | 62 | |
Loss on assets held for sale | 8 | 178 | |
Net loss on sale and write-downs of foreclosed real estate | 544 | 49 | 71 |
Change in assets and liabilities: | |||
Net change in accrued interest receivable | (602) | (300) | 108 |
Net change in other assets | (5,779) | (1,708) | 2,578 |
Net change in accrued expenses and other liabilities | 3,488 | (719) | (11,210) |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 8,453 | 13,359 | 4,813 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Redemption (purchase) of FHLB stock | 1,898 | 238 | (793) |
Redemption of non-marketable security | 10 | 43 | 257 |
Purchase of investment securities available for sale | (152,131) | (38,698) | |
Maturities of investment securities available for sale | 11,866 | 3,383 | 1,400 |
Mortgage-backed securities pay-downs | 18,936 | 13,805 | 9,685 |
Proceeds from sale of investment securities available for sale | 1,125 | ||
Net change in loans outstanding | (166,718) | (45,584) | (247) |
Cash received from branch acquisition | 60,234 | 24,093 | |
Proceeds from sale of foreclosed real estate | 1,091 | 120 | 717 |
Proceeds from sale of premises and equipment | 68 | 104 | |
Proceeds from sale of assets held for sale | 660 | ||
Purchases of premises and equipment | (1,317) | (1,381) | (1,556) |
NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES | (226,131) | (42,128) | 9,567 |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Net change in deposits | 307,786 | (12,614) | (14,439) |
Proceeds from long-term debt | 0 | 0 | 38,000 |
Repayments of short-term debt | (20,000) | (7,000) | (21,267) |
Repayments of long-term debt | (25,000) | 0 | 0 |
Repayments of lease liability | (1,103) | (703) | 0 |
Proceeds from issuance of common stock | 0 | 0 | 63,250 |
Direct expenses related to capital transactions | 0 | 0 | (3,444) |
Repurchase of common stock | (7,107) | (11,427) | 0 |
Proceeds from stock options exercised | 112 | 228 | 187 |
NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES | 254,688 | (31,516) | 62,287 |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 37,010 | (60,285) | 76,667 |
CASH AND CASH EQUIVALENTS, BEGINNING | 79,077 | 139,362 | 62,695 |
CASH AND CASH EQUIVALENTS, ENDING | 116,087 | 79,077 | 139,362 |
Cash paid during the period for: | |||
Interest paid | 11,091 | 11,645 | 9,210 |
Cash paid during the period for: | |||
Income taxes paid | 4,670 | 2,553 | 2,277 |
Non-cash transactions: | |||
Change in fair value of investment securities available for sale, net of tax | 1,065 | 959 | (457) |
Transfers from loans to foreclosed real estate | 274 | 2,614 | 618 |
Acquisition: | |||
Assets acquired (excluding goodwill) | 167,328 | 26,258 | 0 |
Liabilities assumed | 185,656 | 25,776 | 0 |
Purchase price | 13,918 | 482 | 0 |
Goodwill recorded | $ 18,328 | $ 0 | $ 0 |
ORGANIZATION AND OPERATIONS
ORGANIZATION AND OPERATIONS | 12 Months Ended |
Dec. 31, 2020 | |
ORGANIZATION AND OPERATIONS | |
ORGANIZATION AND OPERATIONS | NOTE A – ORGANIZATION AND OPERATIONS Select Bancorp, Inc. (“Company”) is a bank holding company whose principal business activity consists of ownership of Select Bank & Trust Company (referred to as the “Bank”). All significant intercompany transactions and balances have been eliminated in consolidation. 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. The Company is subject to the rules and regulations of the Board of Governors of the Federal Reserve (the “Federal Reserve”) 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, eastern and western North Carolina, as well as southeastern Virginia 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. Reclassification Certain items for prior years have been reclassified to conform to the current year presentation. Such reclassifications had no effect on net income, total assets or shareholders’ equity as previously reported. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2020 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses, business combinations, goodwill, deferred tax assets and the valuation of other real estate owned. Business Combinations Business combinations are accounted for under the acquisition method of accounting in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 805, “Business Combinations .” Assets acquired and liabilities assumed from contingencies must also be recognized at fair value if the fair value can be determined during the measurement period. Results of operations of an acquired business are included in the Statement of Operations from the date of acquisition. Acquisition-related costs, including conversion and restructuring charges, are expensed as incurred. The acquired assets and assumed liabilities are recorded at estimated fair values. Management makes significant estimates and exercises significant judgment in accounting for business combinations. Management uses its judgment to assign risk ratings to loans based on credit quality, appraisals and estimated collateral values, and estimated expected cash flows to measure fair values for loans. Real estate acquired in settlement of loans is valued based upon pending sales contracts and appraised values, adjusted for current market conditions. Core deposit intangibles are valued based on a weighted combination of the income and market approach where the income approach converts anticipated economic benefits to a present value and the market approach evaluates the market in which the asset is traded to find an indication of prices from actual transactions. Management uses quoted or current market prices to determine the fair value of investment securities. Fair values of deposits and borrowings are based on current market interest rates and are inclusive of any applicable prepayment penalties. Cash and Due from Banks, Interest-Earning Deposits in Other Banks and Federal Funds Sold For the purpose of presentation in the statements of cash flows, cash and cash equivalents are defined as those amounts included in the balance sheet captions “Cash and due from banks,” “Interest-earning deposits in other banks,” and “Federal funds sold.” Investment Securities Available for Sale Investment securities available for sale are reported at fair value and consist of debt instruments that are not classified as either trading securities or as held to maturity securities. Unrealized holding gains and losses, net of deferred income tax, on available for sale securities are reported as a net amount in accumulated other comprehensive income. Gains and losses on the sale of investment securities available for sale are determined using the specific-identification method. The Company evaluates each available for sale security in a loss position for other-than-temporary impairment (“OTTI”) at least quarterly. The Company considers such factors as the length of time and the extent to which the market value has been below amortized cost, long-term expectations and recent experience regarding principal and interest payments, The Company intent to sell, and whether it is more likely than not that it would be required to sell those securities before the anticipated recovery of the amortized cost. In situations where the Company does not intend to sell the security and it is more likely than not the Company will not be required to sell the security prior to recovery the credit component of an OTTI loss is recognized in earnings and the non-credit component is recognized in AOCI. Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity are reported at their outstanding principal balance adjusted for any charge-offs, the allowance for loan losses, and any deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. Loan origination fees and certain direct origination costs are capitalized and recognized as an adjustment of the yield of the related loan. The accrual of interest on impaired loans is discontinued when, in management’s opinion, the borrower may be unable to meet payment obligations as they become due. When interest accrual is discontinued, all unpaid accrued interest is reversed. Interest income is subsequently recognized only to the extent cash payments are received in excess of principal due. Loans are returned to accrual status when all of the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The acquired loans are segregated between those considered to be performing (“acquired performing”) and those with evidence of credit deterioration based on such factors as past due status, nonaccrual status and credit risk ratings (“purchased credit-impaired loans”). In determining the acquisition date fair value of purchased credit-impaired (“PCI”) loans, and in subsequent accounting, the Company generally aggregates purchased loans into pools of loans with common risk characteristics within the following loan categories: 1-to-4 family residential loans other than junior liens, 1-to-4 family residential junior liens, construction and land development, farm land, commercial real estate (nonowner-occupied), commercial real estate (owner-occupied), commercial and industrial, and all other loan categories. Expected cash flows at the acquisition date in excess of the fair value of loans are referred to as the “accretable yield” and recorded as interest income over the life of the loans using a level yield method if the timing and amount of the future cash flows of the pool is reasonably estimable. Subsequent to the acquisition date, significant increases in cash flows over those expected at the acquisition date are recognized as interest income prospectively. Accordingly, such loans are not classified as nonaccrual and they are considered to be accruing because their interest income relates to the accretable yield recognized under accounting for PCI loans and not to contractual interest payments. The difference between the contractually required payments and the cash flows expected to be collected at acquisition, considering the impact of prepayments, is referred to as the nonaccretable difference. The difference between the fair value of an acquired performing loan pool and the contractual amounts due at the acquisition date (the “fair value discount”) is accreted into income over the estimated life of the pool. The Company’s policy for determining when to discontinue accruing interest on acquired performing loans and the subsequent accounting for such loans is essentially the same as the policy for originated loans described earlier. Loans are deemed uncollectible based on a variety of credit, collateral, documentation and other issues. In the case where a loan is unsecured and in default, it is fully charged off. Non-accrual Loans Loans are placed on non-accrual 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. Impaired loans include all loans in non-accrual status, all troubled debt restructures, all substandard loans that are deemed to be collateral dependent, and other loans that management determines require impairment. In the case of an impaired loan that is still on accrual basis, payments are applied to both principal and interest. Allowance for Loan Losses The provision for loan losses is based upon management’s estimate of the amount needed to maintain the allowance for loan losses at an adequate level in light of the risk inherent in the loan portfolio. In making the evaluation of the adequacy of the allowance for loan losses, management gives consideration to current economic conditions, statutory examinations of the loan portfolio by regulatory agencies, delinquency information and management’s internal review of the loan portfolio. Loans are considered impaired when it is probable that all amounts due will not be collected in accordance with the contractual terms of the loan agreement. The measurement of impaired loans is generally based on the present value of expected future cash flows discounted at the historical effective interest rate, or upon the fair value of the collateral if the loan is collateral-dependent. If the recorded investment in the loan exceeds the measure of fair value, a valuation allowance is established as a component of the allowance for loan losses. Interest payments on impaired loans are typically applied to principal unless collectability of the principal amount is reasonably assured, in which case, interest is recognized on a cash basis. Impaired loans, or portions thereof, are charged off when deemed uncollectible. While management uses the best information available to make evaluations, future adjustments to the allowance may be necessary if conditions differ substantially from the assumptions used in making the evaluations. In addition, regulatory examiners may require the Company to recognize adjustments to the allowance for loan losses based on their judgments about information available to them at the time of their examination. Decreases in expected cash flows of PCI loans after the acquisition date are recognized by recording an allowance for loan loss. For any significant increases in cash flows expected to be collected, the Company first adjusts any prior recorded allowance for loan and lease losses through a reversal of previously recognized allowance through provision expense, and then increases the amount of accretable yield to be recognized on a prospective basis over the pool’s remaining life. Management analyzes these acquired loan pools using various assessments of risk to determine and calculate an expected loss. The expected loss is derived using an estimate of a loss given default based upon the collateral type and/or specific review by loan officers. Trends are reviewed in terms of traditional credit metrics such as accrual status, past due status, and weighted average risk grade of the loans within each of the accounting pools. In addition, the relationship between the change in the unpaid principal balance and change in the fair value mark is assessed to correlate the directional consistency of the expected loss for each pool. Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are classified as held for sale and are carried at the lower of cost or fair value. Upon closing, these loans are sold to mortgage loan investors under pre-arranged terms. Origination fees are recognized upon the sale and are included in non-interest income. Related to the mortgage business, the Company enters into interest rate lock commitments and commitments to sell mortgages to investors. Interest rate lock commitments are used to manage interest rate risk associated with the fixed rate loan commitments, and forward sale commitments are entered into with investors to manage the interest rate risk associated with the customer interest rate lock commitments, both of which are considered derivative financial instruments. The period of time between the issuance of a loan commitment and the closing and sale of the loan generally ranges from 10 to 60 days. Interest rate lock commitments and forward sale commitments are derivative instruments and are carried at fair value. These derivative instruments do not qualify for hedge accounting. The fair value of interest rate lock commitments is based on current secondary market pricing and has been determined to be immaterial. The fair value of the forward sale commitments is based on changes in the value of the commitment, principally because of changes in interest rates, and is included on the consolidated balance sheets in other assets or other liabilities. Changes in fair value for these instruments are reflected in non-interest income on the income statement. Gains and losses from sales of the mortgage loans are recognized when the Company ultimately sells the loans, and such gains and losses are also recorded in non-interest income. The Company does not retain servicing rights of the loans sold and has not included any servicing assets in other assets or recorded any expenses or revenue. Stock in Federal Home Loan Bank of Atlanta As a requirement for membership, the Bank invests in stock of the Federal Home Loan Bank of Atlanta (“FHLB”). This investment was carried at cost at December 31, 2020 and 2019. The Company continually monitors the financial strength of the FHLB and evaluates the investment for potential impairment. There can be no assurance that the impact of recent or future legislation on the Federal Home Loan Banks will not cause a decrease in the value of the Bank’s investment in FHLB stock. Other Non-Marketable Securities Other non-marketable securities are equity instruments that are reported at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. Foreclosed Real Estate Real estate acquired through, or in lieu of, loan foreclosure is recorded at fair value, less the estimated cost to sell, at the date of foreclosure. At foreclosure, any excess of the loan balance over the fair value of the property is charged to the allowance for loan losses. After foreclosure, management periodically performs valuations of the property and adjusts the value down when the carrying value of the property exceeds the estimated net realizable value. Revenue and expenses from operations and changes in the valuation allowance are included in foreclosure-related expense. Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Depreciation is calculated on the straight-line method over the estimated useful lives of the assets. Estimated useful lives are 40 years for buildings and 3 to 10 years for furniture, fixtures and equipment. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. Repairs and maintenance costs are charged to operations as incurred and additions and improvements to premises and equipment are capitalized. Upon sale or retirement, the cost and related accumulated depreciation are removed from the accounts and any gains or losses are reflected in current operations. Income Taxes Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the tax basis of assets and liabilities and their carrying amounts for financial reporting purposes. Deferred tax assets are also recognized for operating loss carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which the temporary differences are expected to be recovered or settled. Deferred tax assets are reduced by a valuation allowance if it is more likely than not that the tax benefits will not be realized. Bank Owned Life Insurance Bank Owned Life Insurance (“BOLI”) is carried at its cash surrender value on the balance sheet and is classified as a non-interest-earning asset. Death benefit proceeds received in excess of the policy’s cash surrender value are recognized to income. Returns on the BOLI assets are added to the carrying value and included as non-interest income in the consolidated statement of operations. Any receipt of benefit proceeds is recorded as a reduction to the carrying value of the BOLI asset. At December 31, 2020 and 2019, the Company held no loans against its BOLI cash surrender values. Goodwill Goodwill represents the cost in excess of the fair value of net assets acquired (including identifiable intangibles) in transactions accounted for as business combinations. Goodwill has an indefinite useful life and is evaluated for impairment annually, or more frequently if events and circumstances indicate that the asset might be impaired. An impairment loss is recognized to the extent that the carrying amount exceeds the asset’s fair value. For the 2020 assessment, we performed a quantitative assessment to determine if it was more likely than not that the fair value of our single reporting unit is less than its carrying amount. We concluded that the fair value of our single reporting unit exceeded its carrying amount. Our quantitative assessment considered many factors including, but not limited to, our actual and projected operating performance and profitability, as well as consideration of recent bank merger and acquisition transaction metrics. No impairment was indicated in 2020, 2019 or 2018. Goodwill and other intangibles: Goodwill is not subject to amortization, but is subject to an annual assessment for impairment by applying a fair-value-based test as required by FASB ASC 350, Goodwill and Other Intangible Assets. Additionally, under ASC 350, acquired intangible assets are separately recognized if the benefit of the assets can be sold, transferred, licensed, rented, or exchanged, and amortized over their useful life. Goodwill is tested for impairment at the reporting unit level on an annual basis as of October 5, or more often if events or circumstances indicate there may be impairment. In accordance with ASC 350, the Company assesses qualitative factors to determine whether it is more-likely-than-not the fair value of the reporting unit was less than it’s carrying amount. If the Company concludes the carrying amount exceeds the implied fair value, based on the qualitative assessment, a quantitative one-step impairment test will then be applied. An impairment loss will be recognized for any excess of the carrying value over fair value of goodwill. Subsequent increases in goodwill are not recognized in the Consolidated Financial Statements. In 2020, the onset of the COVID-19 pandemic prompted the Company to assess qualitative factors to determine whether it was more-likely-than-not the fair value of our reporting unit were less than their carrying amount. Annual testing occurred in the fourth quarter of 2020, and the Company monitored events and circumstances during the remainder of 2020, but no triggering event was identified. Significant judgment is applied when goodwill is assessed for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, and incorporating general economic and market conditions. Selection and weighting of the various fair value techniques may result in a higher or lower fair value. Judgment is applied in determining the weightings most representative of fair value. Intangible assets are amortized or tested for impairment based on whether they have finite or indefinite lives. Intangibles that have finite lives are amortized on a straight-line basis over their useful life and tested for impairment whenever events or circumstances indicate the carrying amount of the assets may not be recoverable. Intangibles with indefinite lives are tested annually for impairment. Core Deposit Intangible The Company considers its core deposits to be intangible assets with finite lives. Core deposit intangibles are being amortized using the effective interest method over six years. Derivative Financial Instruments The Company utilizes interest rate lock commitments, which are considered derivative instruments, in its mortgage banking operations. As of December 31, 2020, the amount of interest rate lock commitments is considered immaterial. Stock-Based Compensation The Company has certain stock-based employee compensation plans, described more fully in Note P Comprehensive Income The Company reports as comprehensive income all changes in shareholders’ equity during the year from sources other than shareholders. Other comprehensive income refers to all components (revenues, expenses, gains, and losses) of comprehensive income that are excluded from net income. The Company’s only component of other comprehensive income is unrealized gains and losses on investment securities available for sale. Segment Information The Company follows the provisions of ASC 280, Segment Reporting, Net Income per Common Share and Common Shares Outstanding Basic earnings per share represents income available to common shareholders divided by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflect additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Potential common shares that may be issued by the Company relate to outstanding stock options. Basic and diluted net income per share have been computed based upon net income as presented in the accompanying Statements of Operations divided by the weighted average number of common shares outstanding or assumed to be outstanding as summarized below: 2020 2019 2018 Weighted average number of common shares used in computing basic net income per share 17,937,596 19,016,808 15,812,585 Effect of dilutive stock options 23,662 46,429 65,048 Weighted average number of common shares and dilutive potential common shares used in computing diluted net income per share 17,961,258 19,063,237 15,877,633 At December 31, 2020, 2019 and 2018, there were 243,120, 176,600 and 122,300 anti-dilutive options, respectively. Recent Accounting Pronouncements The following summarizes recent accounting pronouncements and their expected impact on the Company: In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, On October 16, 2019, the FASB voted to delay implementation of CECL until January 2023 for certain companies, including smaller reporting companies (as defined by the SEC). The Company currently qualifies as a smaller reporting company and is still assessing the impact that this new guidance will have on its consolidated financial statements. In August 2018, the FASB amended ASU 2018-13 – Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement Conceptual Framework for Financial Reporting—Chapter 8: Notes to Financial Statements In January 2017, the FASB issued Accounting Standards Update (“ASU”) 2017-04. Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. 2020 In March 2020, the FASB issued Accounting Standards Update (“ASU”) 2020-04 – Reference Rate Reform (Topic 848) 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. |
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS | 12 Months Ended |
Dec. 31, 2020 | |
BUSINESS COMBINATIONS | |
BUSINESS COMBINATIONS | NOTE C – BUSINESS COMBINATIONS On December 20, 2019, the Company executed a Purchase & Assumption Agreement (“Purchase Agreement”) with Entegra Bank (“Entegra”), by which the Bank assumed the deposits and acquired the majority of the loans, property, equipment and other selected assets associated with three existing Entegra branch offices. Entegra was merged with and into First-Citizens Bank & Trust Company (“First-Citizens) on December 31, 2019, and First-Citizens assumed the rights and obligations of Entegra under the Purchase Agreement with the Bank. On April 17, 2020, the Bank completed the acquisition of the three branches located in western North Carolina pursuant to the terms of the Purchase & Assumption Agreement. The branches had approximately $170.9 million in assets and $184.9 million in liablilities as of the acquisition date April 17, 2020. The purchase of the branches was accounted for under the acquisition method. The assets and liabilities and liabilities of the branches, as of the effective date of the acquisition, are recorded at their respective fair values. For the acquisition of the branches, 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. The following table provides the carrying value of acquired assets and assumed liabilities, as recorded by the Company, the fair value adjustments calculated at the time of the acquisition and the resulting fair value recorded by the Company. April 17, 2020 As recorded by Fair Value As recorded by First Citizens adjustments the Company (Dollars in thousands) Assets Cash and cash equivalents $ 60,234 $ — $ 60,234 Loans 108,236 (4,977) 103,259 Premises and equipment 2,106 790 2,896 Accrued interest receivable 319 — 319 Core deposit intangible — 620 620 Total assets acquired $ 170,895 $ (3,567) $ 167,328 Liabilities Deposits: Noninterest-bearing $ 41,398 $ — $ 41,398 Interest-bearing 143,325 760 144,085 Total deposits 184,723 760 185,483 Other liabilities 173 — 173 Total liabilities assumed $ 184,896 $ 760 $ 185,656 Goodwill recorded for branches acquisition $ 18,328 Goodwill recorded for this purchase represents future revenues to be derived from the existing customer base, including efficiencies that will result from combining operations. The fair values adjustments remain subject to adjustment within the one year measurement period if there happens to be notable changes in the factors determining the fair value of assets and liabilities. In determining the acquisition date fair value of purchased credit-impaired (“PCI”) loans, and in subsequent accounting, the Company generally aggregates loans into pools of loans with common risk characteristics. Expected cash flows at the acquisition date in excess of the fair value of loans are referred to as the “accretable yield” and recorded as interest income prospectively. PCI loans acquired totaled $17.0 million at estimated fair value and acquired performing loans totaling $86.2 million at estimated fair value. For PCI loans acquired from the purchase, the contractually required payments including principal and interest, cash flows expected to be collected and fair values as of the closing date of the acquisition were: April 17, 2020 (Dollars in thousands) Contractually required payments $ 22,046 Nonaccretable difference 2,073 Cash flows expected to be collected 19,973 Accretable yield 2,949 Fair value at acquisition date $ 17,024 Merger-related expense in 2020 totaled $755,000 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 twelve months ended December 31, 2020 and 2019 as though the acquisition of the First Citizens branches had taken place on January 1, 2019. 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 takem place on January 1, 2019, nor of future results of operations. Twelve Months Ended December 31, 2020 2019 (Dollars in thousands, except per share) Net interest income $ 64,679 $ 64,459 Non-interest income 6,193 5,665 Net income available to common shareholders 9,266 15,952 Earnings per share, basic $ 0.52 $ 0.84 Earnings per share, diluted $ 0.52 $ 0.84 Weighted average common shares outstanding, basic 17,937,596 19,016,808 Weighted average common shares outstanding, diluted 17,961,258 19,063,237 |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 12 Months Ended |
Dec. 31, 2020 | |
INVESTMENT SECURITIES | |
INVESTMENT SECURITIES | NOTE D – INVESTMENT SECURITIES The amortized cost and fair value of available for sale (“AFS”) investments, with gross unrealized gains and losses, follow: December 31, 2020 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 50,304 $ 270 $ (342) $ 50,232 Mortgage-backed securities – GSE’s 47,658 1,320 (47) 48,931 Corporate bonds 2,343 7 — 2,350 Municipal bonds 91,635 1,417 (73) 92,979 Total $ 191,940 $ 3,014 $ (462) $ 194,492 December 31, 2019 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 9,839 $ 159 $ (2) $ 9,996 Mortgage-backed securities – GSE’s 46,926 830 (13) 47,743 Corporate bonds 2,282 17 — 2,299 Municipal bonds 12,152 177 — 12,329 Total $ 71,199 $ 1,183 $ (15) $ 72,367 Securities with a carrying value of $68.4 million and $18.4 million at December 31, 2020 and 2019, respectively, were pledged to secure public monies on deposit as required by law, customer repurchase agreements, and access to the Federal Reserve Discount Window. The following tables show gross unrealized losses and fair value, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position as of December 31, 2020 and 2019. 2020 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 $ 42,159 $ (340) $ 420 $ (2) $ 42,579 $ (342) Mortgage-backed securities–GSE’s 19,297 (46) 1,999 (1) 21,296 (47) Corporate bonds — — — — — — Municipal bonds 10,105 (73) — — 10,105 (73) Total temporarily impaired securities $ 71,561 $ (459) $ 2,419 $ (3) $ 73,980 $ (462) At December 31, 2020, the Company had one AFS mortgage-backed GSE and two U.S Government agency – GSE’s with an unrealized loss for twelve or more consecutive months totaling $3,000. The Company had thirty AFS securities with a loss for twelve months or less. Eleven U.S. government agency GSE’s, twelve municipal bonds and seven mortgage-backed GSE’s had unrealized losses for less than twelve months totaling $459,000 at December 31, 2020. All unrealized losses are attributable to the general trend of interest rates. 2019 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 $ 872 $ — $ 621 $ (2) $ 1,493 $ (2) Mortgage-backed securities–GSE’s 2,672 (3) 3,774 (10) 6,446 (13) Corporate bonds — — — — — — Municipal bonds — — — — — — Total temporarily impaired securities $ 3,544 $ (3) $ 4,395 $ (12) $ 7,939 $ (15) At December 31, 2019, the Company had two AFS mortgage-backed GSE’s and one U.S Government agencies – GSE with an unrealized loss for twelve or more consecutive months totaling $12,000. The Company had three AFS securities with a loss for twelve months or less. one U.S. government agency GSE and two mortgage-backed GSE’s had unrealized losses for less than twelve months totaling $3,000 at December 31, 2019. All unrealized losses are attributable to the general trend of interest rates. Since none of the unrealized losses relate to the liquidity of the securities or the issuer’s ability to honor redemption obligations and 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 December 31, 2020 and December 31, 2019. In 2020, the Company did not sell any securities; in 2019, the Company realized gains of $48,000 on proceeds of $1.1 million related to the disposal of two securities; and in 2018 the Company did not sell any securities. The following table sets forth certain information regarding the amortized costs, carrying values and contractual maturities of the Company’s investment portfolio at December 31, 2020. Amortized Fair Cost Value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s Due within one year $ 480 $ 492 Due after one but within five years 4,383 4,529 Due after five but within ten years 16,781 16,782 Due after ten years 28,660 28,429 50,304 50,232 Mortgage-backed securities – GSE’s Due within one year 2,000 1,999 Due after one but within five years 19,258 20,234 Due after five but within ten years 126 131 Due after ten years 26,274 26,567 47,658 48,931 Corporate bonds Due within one year 96 96 Due after one but within five years 497 500 Due after five but within ten years 1,750 1,754 Due after ten years — — 2,343 2,350 Municipal bonds Due within one year 577 578 Due after one but within five years 377 390 Due after five but within ten years 3,958 3,956 Due after ten years 86,723 88,055 91,635 92,979 Total securities available for sale Due within one year 3,153 3,165 Due after one but within five years 24,515 25,653 Due after five but within ten years 22,615 22,623 Due after ten years 141,657 143,051 $ 191,940 $ 194,492 For purposes of the maturity table, mortgage-backed securities, which are not due at a single maturity date, have been allocated over maturity groupings based on the weighted-average contractual maturities of underlying collateral. The mortgage-backed securities may mature earlier than their weighted-average contractual maturities because of principal prepayments. |
LOANS
LOANS | 12 Months Ended |
Dec. 31, 2020 | |
LOANS | |
LOANS | NOTE E – LOANS The following is a summary of loans at December 31, 2020 and 2019: 2020 2019 Percent Percent Amount of total Amount of total (dollars in thousands) Real estate loans: 1-to-4 family residential $ 194,031 14.88 % $ 151,697 14.73 % Commercial real estate 608,482 46.65 % 459,115 44.58 % Multi-family residential 82,508 6.32 % 69,124 6.71 % Construction 236,735 18.15 % 221,878 21.55 % Home equity lines of credit (“HELOC”) 53,806 4.12 % 44,514 4.32 % Total real estate loans 1,175,562 90.12 % 946,328 91.89 % Other loans: Commercial and industrial 125,700 9.64 % 75,748 7.35 % Loans to individuals 6,629 0.04 % 9,779 0.95 % Overdrafts 493 0.51 % 234 0.02 % Total other loans 132,822 10.19 % 85,761 8.32 % Gross loans 1,308,384 1,032,089 Less deferred loan origination fees, net (4,000) (.31) % (2,114) (.18) % Total loans 1,304,384 100.00 % 1,029,975 100.00 % Allowance for loan losses (14,108) (8,324) Total loans, net $ 1,290,276 $ 1,021,651 Loans are primarily made in North Carolina, southeast Virginia and northwest South Carolina. Real estate loans can be affected by the condition of the local real estate market and can be affected by the local economic conditions. At December 31, 2020, the Company had pre-approved but unused lines and letters of credit totaling $311.0 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 description of the various loan products provided by the Bank is presented below. Residential 1-to-4 Family Loans Residential 1-to-4 family loans are mortgage loans that typically convert from construction loans into permanent financing and are secured by properties within the Bank’s market areas. Commercial Real Estate Loans Commercial real estate loans are underwritten based on the borrower’s ability to generate adequate cash flow to repay the subject debt within reasonable terms. Commercial real estate loans typically include both owner and non-owner occupied properties with higher principal loan amounts. The repayment of these loans is generally dependent on the successful management of the property. Commercial real estate loans are sensitive to market and general economic conditions. Repayment analysis must be performed and consists of an identified primary/cash flow source of repayment and a secondary/liquidation source of repayment. The primary source of repayment is cash flow from income generated from rental or lease of the property. However, the cash flow can be supplemented with the borrower’s and guarantor’s global cash flow position. Other credit issues such as the business fundamentals and financial strength of the borrower/guarantor can be considered in determining adequacy of repayment ability. The secondary source of repayment is liquidation of the collateral, supplemented by liquidation cushion provided by the financial assets of the borrower/guarantor. Management monitors and evaluates commercial real estate loans based on collateral, market area, and risk grade. Multi-family Residential Loans Multi-family residential loans are typically nonfarm properties with 5 or more dwelling units in structures which include apartment buildings used primarily to accommodate households on a more or less permanent basis. Successful performance of these types of loans is primarily dependent on occupancy rates, rental rates, and property management. Construction Loans Construction loans are non-revolving extensions of credit secured by real property of which the proceeds are used to acquire and develop land and to construct commercial or residential buildings. The primary source of repayment for these types of loans is the sale of the improved property or permanent financing in which case the property is expected to generate the cash flow necessary for repayment on a permanent loan basis. Property cash flow may be supplemented with financial support from the borrowers/guarantors. Proper underwriting of a construction loan consists of the initial process of obtaining, analyzing, and approving various aspects of information pertaining to: the analysis of the permanent financing source, creditworthiness of the borrower and guarantors, ability of contractor to perform under the terms of the contract, and the feasibility, marketability, and valuation of the project. Also, consideration is given to the traditionally considered to be higher risk loans involving technical and legal requirements inherently different from other types of loans; however with thorough credit underwriting, proper loan structure, and diligent loan servicing, these risks can be mitigated. Home Equity Lines of Credit Home equity lines of credit are consumer-purpose revolving extensions of credit which are secured by first or second liens on owner-occupied residential real estate. Appropriate risk management and compliance practices are exercised to ensure that loan-to-value, lien perfection, and compliance risks are addressed and managed within the Bank’s established guidelines. The degree of utilization of revolving commitments within this loan segment is reviewed periodically to identify changes in the behavior of this borrowing group. Commercial and Industrial Loans Commercial and industrial loans are underwritten after evaluating and understanding the borrower’s ability to generate positive cash flow, operate profitably and prudently expand its business. Underwriting standards are designed to promote relationships to include a full range of loan, deposit, and cash management services. Commercial and industrial loans are primarily made based on the identified cash flows of the borrower and secondarily on the underlying collateral provided by the borrower and the guarantors. The cash flows of the borrower, however, may not be as expected and the collateral securing these loans may fluctuate in value. In the case of loans secured by accounts receivable, the availability of funds for repayment can be impacted by the borrower’s ability to collect amounts due from its customers. Loans to Individuals Consumer loans are approved using Bank policies and procedures established to evaluate each credit request. All lending decisions and credit risks are clearly documented. Several factors are considered in making these decisions such as credit score, adjusted net worth, liquidity, debt ratio, disposable income, credit history, and loan-to-value of the collateral. This process, combined with the relatively smaller loan amounts, spreads the risk among many individual borrowers. Overdrafts Overdrafts on customer accounts are classified as loans for reporting purposes. Non-Accrual and Past Due Loans The following tables present as of December 31, 2020 and 2019 an age analysis of past due loans, segregated by class of loans: December 31, 2020 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 $ 11 $ 1,003 $ 2 $ 3,601 $ 4,617 $ 121,083 $ 125,700 Construction 8 — — 154 162 236,573 236,735 Multi-family residential — 1,533 — — 1,533 80,975 82,508 Commercial real estate 1,880 — 9 2,008 3,897 604,585 608,482 Loans to individuals & overdrafts 10 — — 145 155 6,967 7,122 1‑to‑4 family residential 700 — 760 655 2,115 191,916 194,031 HELOC 67 — 31 227 325 53,481 53,806 Deferred loan (fees) cost, net — — — — — — (4,000) $ 2,676 $ 2,536 $ 802 $ 6,790 $ 12,804 $ 1,295,580 $ 1,304,384 Loans- PCI Commercial and industrial $ — $ 971 $ 2 $ — $ 973 $ 566 $ 1,539 Construction 8 — — — 8 881 889 Multi-family residential — — — — — 1,031 1,031 Commercial real estate 824 — 9 — 833 12,222 13,055 Loans to individuals & overdrafts 2 — — — 2 114 116 1‑to‑4 family residential 90 — 760 — 850 10,886 11,736 HELOC — — 31 — 31 636 667 $ 924 $ 971 $ 802 $ — $ 2,697 $ 26,336 $ 29,033 Loans- excluding PCI Commercial and industrial $ 11 $ 32 $ — $ 3,601 $ 3,644 $ 120,517 $ 124,161 Construction — — — 154 154 235,692 235,846 Multi-family residential — 1,533 — — 1,533 79,944 81,477 Commercial real estate 1,056 — — 2,008 3,064 592,363 595,427 Loans to individuals & overdrafts 8 — — 145 153 6,853 7,006 1‑to‑4 family residential 610 — — 655 1,265 181,030 182,295 HELOC 67 — — 227 294 52,845 53,139 Deferred loan (fees) cost, net — — — — — — (4,000) $ 1,752 $ 1,565 $ — $ 6,790 $ 10,107 $ 1,269,244 $ 1,275,351 Non-Accrual and Past Due Loans December 31, 2019 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 $ 1,108 $ 34 $ 46 $ 2,824 $ 4,012 $ 71,736 $ 75,748 Construction — — — 181 181 221,697 221,878 Multi-family residential — — — — — 69,124 69,124 Commercial real estate 393 82 321 1,832 2,628 456,487 459,115 Loans to individuals & overdrafts 5 — — 155 160 9,853 10,013 1‑to‑4 family residential 859 810 864 505 3,038 148,659 151,697 HELOC 168 — — 444 612 43,902 44,514 Deferred loan (fees) cost, net — — — — — — (2,114) $ 2,533 $ 926 $ 1,231 $ 5,941 $ 10,631 $ 1,021,458 $ 1,029,975 Loans- PCI Commercial and industrial $ — $ — $ 46 $ — $ 46 $ 1,057 $ 1,103 Construction — — — — — 677 677 Multi-family residential — — — — — 897 897 Commercial real estate — — 321 — 321 5,449 5,770 Loans to individuals & overdrafts — — — — — — — 1‑to‑4 family residential — — 864 — 864 6,354 7,218 HELOC — — — — — 48 48 $ — $ — $ 1,231 $ — $ 1,231 $ 14,482 $ 15,713 Loans- excluding PCI Commercial and industrial $ 1,108 $ 34 $ — $ 2,824 $ 3,966 $ 70,679 $ 74,645 Construction — — — 181 181 221,020 221,201 Multi-family residential — — — — — 68,227 68,227 Commercial real estate 393 82 — 1,832 2,307 451,038 453,345 Loans to individuals & overdrafts 5 — — 155 160 9,853 10,013 1‑to‑4 family residential 859 810 — 505 2,174 142,305 144,479 HELOC 168 — — 444 612 43,854 44,466 Deferred loan (fees) cost, net — — — — — — (2,114) $ 2,533 $ 926 $ — $ 5,941 $ 9,400 $ 1,006,976 $ 1,014,262 There were nine loans in the aggregate amount of $802,000 greater than 90 days past due and still accruing interest at December 31, 2020 and there were six loans in the aggregate amount of $1.2 million greater than 90 days past due and still accruing interest at December 31, 2019. All loans greater than 90 days past due and still accruing are acquired loans that are considered past due rather than non-accrual loans due to the accounting treatment of acquired loans. In accordance with the ASC 310-20 guidance, if the loan pays differently than contractually required, than an adjustment to the discount premium is made in order to maintain the same effective interest rate. Impaired Loans The following tables present information on loans, excluding PCI loans and loans evaluated collectively as a homogenous group, that were considered to be impaired as of December 31, 2020 and December 31, 2019: December 31, 2020 Contractual Year to Date Unpaid Related Average Interest Income Recorded Principal Allowance Recorded Recognized on Investment Balance for Loan Losses Investment Impaired Loans (dollars in thousands) 2020 : With no related allowance recorded: Commercial and industrial $ 2,231 $ 2,525 $ — $ 2,378 $ 86 Construction 252 440 — 346 21 Commercial real estate 5,090 5,426 — 5,258 186 Loans to individuals & overdrafts 250 287 — 269 6 Multi-family residential — — — — — HELOC 383 478 — 430 33 1‑to‑4 family residential 206 259 — 233 6 Subtotal: 8,412 9,415 — 8,914 338 With an allowance recorded: Commercial and industrial 1,641 1,918 419 1,779 75 Construction — — — — — Commercial real estate 415 415 323 415 37 Loans to individuals & overdrafts — — — — — Multi-family Residential — — — — — HELOC 82 83 7 83 5 1‑to‑4 family residential 14 16 9 15 — Subtotal: 2,152 2,432 758 2,292 117 Totals: Commercial 9,629 10,724 742 10,176 405 Consumer 250 287 — 269 6 Residential 685 836 16 761 44 Grand Total: $ 10,564 $ 11,847 $ 758 $ 11,206 $ 455 Impaired loans at December 31, 2020 were approximately $10.6 million and included $6.8 million in non-accrual loans and $3.8 million in loans still in accruing status. Recorded investment represents the current principal balance for the loan. Approximately $2.2 million of the $10.6 million in impaired loans at December 31, 2020 had specific allowances aggregating $758,000 while the remaining $8.4 million had no specific allowances recorded. Of the $8.4 million with no allowance recorded, partial charge-offs through December 31, 2020 amounted to $81,000. December 31, 2019 Contractual Year to Date Unpaid Related Average Interest Income Recorded Principal Allowance Recorded Recognized on Investment Balance for Loan Losses Investment Impaired Loans (dollars in thousands) 2019 : With no related allowance recorded: Commercial and industrial $ 2,796 $ 4,051 $ — $ 4,186 $ 122 Construction 440 537 — 500 26 Commercial real estate 5,585 6,750 — 5,632 272 Loans to individuals & overdrafts 284 293 — 193 12 Multi-family residential 197 197 — 206 13 HELOC 543 678 — 793 36 1‑to‑4 family residential 395 1,816 — 1,204 86 Subtotal: 10,240 14,322 — 12,714 567 With an allowance recorded: Commercial and industrial 731 1,056 403 572 41 Construction — — — 13 — Commercial real estate — — — — — Loans to individuals & overdrafts — — — — — Multi-family Residential — — — — — HELOC 160 222 — 212 10 1‑to‑4 family residential 81 94 10 563 7 Subtotal: 972 1,372 413 1,360 58 Totals: Commercial 9,749 12,591 403 11,109 474 Consumer 284 293 — 193 12 Residential 1,179 2,810 10 2,772 139 Grand Total: $ 11,212 $ 15,694 $ 413 $ 14,074 $ 625 Impaired loans at December 31, 2019 were approximately $11.2 million and were comprised of $5.9 million in non-accrual loans and $6.2 million in loans still in accruing status. Recorded investment represents the current principal balance for the loan. Approximately $972,000 of the $11.2 million in impaired loans at December 31, 2019 had specific allowances aggregating $413,000 while the remaining $10.2 million had no specific allowances recorded. Of the $10.2 million with no allowance recorded, partial charge-offs through December 31, 2019 amounted to $4.1 million. Troubled Debt Restructurings The following tables present loans that were modified as troubled debt restructurings (“TDRs”) within the previous twelve months with a breakdown of the types of concessions made by loan class during the twelve months ended December 31, 2020 and 2019: Twelve Months Ended December 31, 2020 Pre-Modification Post-Modification Number Outstanding Outstanding of Recorded Recorded loans Investments Investments (dollars in thousands) Extended payment terms: 1-to-4 family residential 8 $ 1,388 $ 1,118 Commercial real estate 2 759 759 Construction 1 157 123 HELOC 2 239 231 Commercial & industrial 7 2,423 2,326 Loans to individuals 1 3 3 Total 21 $ 4,969 $ 4,560 As noted in the tables above, there were twenty-one loans that were considered TDRs during the year ended December 31, 2020, for reasons due to extended terms. These loans were renewed at terms that vary from those that the Company would enter into for new loans of this type. Twelve Months Ended December 31, 2019 Pre-Modification Post-Modification Number Outstanding Outstanding of Recorded Recorded loans Investments Investments (dollars in thousands) Extended payment terms: Commercial and industrial 6 $ 2,535 $ 2,380 Construction 1 260 259 Commercial real estate 3 752 687 1‑to‑4 family residential 1 232 208 Total 11 $ 3,779 $ 3,534 As noted in the tables above, there were eleven loans that were considered TDRs during the year ended December 31, 2019, for reasons due to extended terms. These loans were renewed at terms that vary from those that the Company would enter into for new loans of this type. The following tables present loans that were modified as TDRs within the previous twelve months for which there was a payment default together with a breakdown of the types of concessions made by loan class during the twelve months ended December 31, 2020 and 2019: Twelve months ended December 31, 2020 Number Recorded of loans investment (dollars in thousands) Extended payment terms: Commercial and industrial 4 $ 1,403 Construction 1 123 1-to-4 family residential 3 183 Total 8 $ 1,709 Twelve months ended December 31, 2019 Number Recorded of loans investment (dollars in thousands) Extended payment terms: Commercial and industrial 2 $ 1,566 Total 2 $ 1,566 At December 31, 2020, the Company had fifty-three loans with an aggregate balance of $11.3 million that were considered to be troubled debt restructurings. Of those TDRs, thirty-five loans with a balance totaling $7.5 million were still accruing as of December 31, 2020. The remaining eighteen TDRs with a balance totaling $3.8 million were in non-accrual status. All TDRs are included in non-performing assets and impaired loans. At December 31, 2019, the Company had forty-two loans with an aggregate balance of $9.4 million that were considered to be troubled debt restructurings. Of those TDRs, twenty-eight loans with a balance totaling $6.2 million were still accruing as of December 31, 2019. The remaining fourteen TDRs with a balance totaling $3.2 million were in non-accrual status. All TDRs are included in non-performing assets and impaired loans. Credit Quality Indicators As part of the on-going monitoring of the credit quality of the loan portfolio, management utilizes a risk grading matrix to assign a risk grade to each of the Company’s loans. All non-consumer loans are graded on a scale of 1 to 9. A description of the general characteristics of these nine different risk grades is as follows: ● Risk Grade 1 (Superior) – Credits in this category are virtually risk-free and are well-collateralized by cash-equivalent instruments. The repayment program is well-defined and achievable. Repayment sources are numerous. No material documentation deficiencies or exceptions exist. ● Risk Grade 2 (Very Good) – This grade is reserved for loans secured by readily marketable collateral, or loans within guidelines to borrowers with liquid financial statements. A liquid financial statement is a financial statement with substantial liquid assets relative to debts. These loans have excellent sources of repayment, with no significant identifiable risk of collection, and conform in all respects to Bank policy, guidelines, underwriting standards, and Federal and State regulations (no exceptions of any kind) . ● Risk Grade 3 (Good) – These loans have excellent sources of repayment, with no significant identifiable risk of collection. Generally, loans assigned this risk grade will demonstrate the following characteristics: o Conformity in all respects with Bank policy, guidelines, underwriting standards, and Federal and State regulations (no exceptions of any kind). o Documented historical cash flow that meets or exceeds required minimum Bank guidelines, or that can be supplemented with verifiable cash flow from other sources. o Adequate secondary sources to liquidate the debt, including combinations of liquidity, liquidation of collateral, or liquidation value to the net worth of the borrower or guarantor. ● Risk Grade 4 (Acceptable) – This grade is given to acceptable loans. These loans have adequate sources of repayment, with little identifiable risk of collection. Loans assigned this risk grade will demonstrate the following characteristics: o General conformity to the Bank’s policy requirements, product guidelines and underwriting standards, with limited exceptions. Any exceptions that are identified during the underwriting and approval process have been adequately mitigated by other factors. o Documented historical cash flow that meets or exceeds required minimum Bank guidelines, or that can be supplemented with verifiable cash flow from other sources. o Adequate secondary sources to liquidate the debt, including combinations of liquidity, liquidation of collateral, or liquidation value to the net worth of the borrower or guarantor. ● Risk Grade 5 (Acceptable With Care) – This grade is given to acceptable loans that show signs of weakness in either adequate sources of repayment or collateral, but have demonstrated mitigating factors that minimize the risk of delinquency or loss. Loans assigned this grade may demonstrate some or all of the following characteristics: o Additional exceptions to the Bank’s policy requirements, product guidelines or underwriting standards that present a higher degree of risk to the Bank. Although the combination and/or severity of identified exceptions is greater, all exceptions have been properly mitigated by other factors. o Unproven, insufficient or marginal primary sources of repayment that appear sufficient to service the debt at this time. Repayment weaknesses may be due to minor operational issues, financial trends, or reliance on projected (not historic) performance. o Marginal or unproven secondary sources to liquidate the debt, including combinations of liquidation of collateral and liquidation value to the net worth of the borrower or guarantor. ● Risk Grade 6 (Watch List or Special Mention) – Loans in this category can have the following characteristics: o Loans with underwriting guideline tolerances and/or exceptions and with no mitigating factors. o Extending loans that are currently performing satisfactorily but with potential weaknesses that may, if not corrected, weaken the asset or inadequately protect the Bank’s position at some future date. Potential weaknesses are the result of deviations from prudent lending practices. o Loans where adverse economic conditions that develop subsequent to the loan origination that do not jeopardize liquidation of the debt but do substantially increase the level of risk may also warrant this rating. ● Risk Grade 7 (Substandard) – A Substandard loan is inadequately protected by the current sound net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans classified as Substandard must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt; they are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. Loans consistently not meeting the repayment schedule should be downgraded to substandard. Loans in this category are characterized by deterioration in quality exhibited by any number of well-defined weaknesses requiring corrective action. ● Risk Grade 8 (Doubtful) – Loans classified Doubtful have all the weaknesses inherent in loans classified Substandard, plus the added characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions, and values highly questionable and improbable. However, these loans are not yet rated as loss because certain events may occur which would salvage the debt. ● Risk Grade 9 (Loss) – Loans classified as Loss are considered uncollectable and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off the loan even though partial recovery may be affected in the future. Consumer loans are graded on a scale of 1 to 9. A description of the general characteristics of the 9 risk grades is as follows: ● Risk Grades 1 – 5 (Pass) – The loans in this category range from loans secured by cash with no risk of principal deterioration (Risk Grade 1) to loans that show signs of weakness in either adequate sources of repayment or collateral but have demonstrated mitigating factors that minimize the risk of delinquency or loss (Risk Grade 5). ● Risk Grade 6 (Watch List or Special Mention) – Watch list or Special Mention loans include the following characteristics: o Loans within guideline tolerances or with exceptions of any kind that have not been mitigated by other economic or credit factors. o Extending loans that are currently performing satisfactorily but with potential weaknesses that may, if not corrected, weaken the asset or inadequately protect the Bank’s position at some future date. Potential weaknesses are the result of deviations from prudent lending practices. o Loans where adverse economic conditions that develop subsequent to the loan origination that don’t jeopardize liquidation of the debt but do substantially increase the level of risk may also warrant this rating. ● Risk Grade 7 (Substandard) – A Substandard loan is inadequately protected by the current sound net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans classified as Substandard must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt; they are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. ● Risk Grade 8 (Doubtful) – Loans classified Doubtful have all the weaknesses inherent in loans classified Substandard, plus the added characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions, and values highly questionable and improbable. However, these loans are not yet rated as loss because certain events may occur which would salvage the debt. ● Risk Grade 9 (Loss) – Loans classified Loss are considered uncollectable and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this worthless loan even though partial recovery may be affected in the future. The following tables present information on risk ratings of the commercial and consumer loan portfolios, segregated by loan class as of December 31, 2020 and 2019: Total Loans: December 31, 2020 Commercial Credit Exposure By Commercial Commercial Internally and real Multi-family Assigned Grade industrial Construction estate residential (dollars in thousands) Superior $ 56,510 $ — $ 123 $ — Very good 508 70 8,129 — Good 4,693 1,770 80,401 2,086 Acceptable 17,226 18,084 308,200 46,820 Acceptable with care 40,946 216,418 203,008 32,068 Special mention 1,313 239 4,344 1,534 Substandard 4,504 154 4,277 — Doubtful — — — — Loss — — — — $ 125,700 $ 236,735 $ 608,482 $ 82,508 Consumer Credit Exposure By Internally 1 ‑ to ‑ 4 family Assigned Grade residential HELOC Pass $ 190,975 $ 52,756 Special mention 633 226 Substandard 2,423 824 $ 194,031 $ 53,806 Consumer Credit Exposure Based Loans to On Payment individuals & Activity overdrafts Pass $ 6,845 Special mention 277 $ 7,122 Total Loans: December 31, 2019 Commercial Credit Exposure By Commercial Commercial Internally and real Multi-family Assigned Grade industrial Construction estate residential (dollars in thousands) Superior $ 4,014 $ — $ 337 $ — Very good 349 110 1,245 — Good 5,976 8,674 62,643 4,839 Acceptable 19,197 16,249 255,751 41,113 Acceptable with care 40,579 196,228 133,190 23,172 Special mention 242 436 1,490 — Substandard 5,391 181 4,459 — Doubtful — — — — Loss — — — — $ 75,748 $ 221,878 $ 459,115 $ 69,124 Consumer Credit Exposure By Internally 1 ‑ to ‑ 4 family Assigned Grade residential HELOC Pass $ 147,958 $ 43,585 Special mention 1,246 76 Substandard 2,493 853 $ 151,697 $ 44,514 Consumer Credit Exposure Based Loans to On Payment individuals & Activity overdrafts Pass $ 9,727 Special mention 286 $ 10,013 The process of determining the allowance for loan losses is driven by the risk grade system and the loss experience on non-risk graded homogeneous types of loans. The Bank’s allowance for loan losses is calculated and determined, at a minimum, each fiscal quarter end. The allowance for loan losses represents management’s estimate of the appropriate level of reserve to provide for probable losses inherent in the loan portfolio. In determining the allowance for loan losses and any resulting provision to be charged against earnings, particular emphasis is placed on the results of the loan review process. Consideration is also given to a review of individual loans, historical loan loss experience, the value and adequacy of collateral and economic conditions in the Bank’s market areas. For loans determined to be impaired, the impairment is based on discounted expected cash flows using the loan’s initial effective interest rate or the fair value of the collateral (less selling costs) for certain collateral dependent loans. This evaluation is inherently subjective as it requires material estimates, including the amounts and timing of future cash flows expected to be received on impaired loans that may be susceptible to significant change. In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Bank’s allowance for |
OTHER REAL ESTATE OWNED
OTHER REAL ESTATE OWNED | 12 Months Ended |
Dec. 31, 2020 | |
OTHER REAL ESTATE OWNED | |
OTHER REAL ESTATE OWNED | NOTE F– OTHER REAL ESTATE OWNED The following table explains changes in other real estate owned (“OREO”) during the years ended December 31, 2020 and 2019 (dollars in thousands): December 31, December 31, 2020 2019 (Dollars in thousands) Beginning balance January 1 $ 3,533 $ 1,088 Sales (1,091) (120) Write-downs and loss on sales (544) (49) Transfers 274 2,614 Ending balance $ 2,172 $ 3,533 At December 31, 2020 and December 31, 2019, the Company had $2.2 million and $3.5 million, respectively, of foreclosed residential real estate property in OREO. The Company had no loans in the process of foreclosure at December 31, 2020 compared to 3 loans with recorded investment in the amount of $114,000 in consumer mortgage loans collateralized by residential real estate property in the process of foreclosure at December 31, 2019. |
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2020 | |
PREMISES AND EQUIPMENT | |
PREMISES AND EQUIPMENT | N OTE G – PREMISES AND EQUIPMENT The following is a summary of premises and equipment at December 31, 2020 and 2019: 2020 2019 (dollars in thousands) Land $ 6,141 $ 4,846 Buildings 17,271 15,692 Furniture and equipment 9,378 8,077 Leasehold improvements 536 498 33,326 29,113 Less accumulated depreciation 12,739 11,322 Total $ 20,587 $ 17,791 Depreciation amounting to approximately $1.4 million, $1.8 million, and $1.7 million for the years ended December 31, 2020, 2019, and 2018, respectively, is included in occupancy and equipment expenses. |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2020 | |
GOODWILL AND OTHER INTANGIBLE ASSETS | |
GOODWILL AND OTHER INTANGIBLE ASSETS | NOTE H – GOODWILL AND OTHER INTANGIBLE ASSETS The table below summarizes the changes in carrying amounts of goodwill and other intangibles (core deposit intangibles) for the periods presented. Core Deposit Intangible Accumulated Goodwill Gross Amortization Net (dollars in thousands) Balance at January 1, 2018 $ 24,904 $ 5,919 $ (2,818) $ 3,101 Adjustment of goodwill (325) — — — Amortization expense — — (1,016) (1,016) Balance at December 31, 2018 24,579 5,919 (3,834) 2,085 Core deposit intangible resulting from branch acquisition — 350 — 350 Amortization expense — — (825) (825) Balance at December 31, 2019 24,579 6,269 (4,659) 1,610 Goodwill resulting from branch acquisition 18,328 — — — Core deposit intangible resulting from branch acquisition — 620 — 620 Amortization expense — — (717) (717) Balance at December 31, 2020 $ 42,907 $ 6,889 $ (5,376) $ 1,513 Goodwill represents the excess of the purchase price over the fair value of acquired net assets under the acquisition method of accounting. An adjustment to goodwill was made during 2018 as a result of a revision to the purchase accounting entry during the measurement period. The value of acquired core deposit relationships was determined using the present value of the difference between a market participant’s cost of obtaining alternative funds and the cost to maintain the acquired deposit base. The table below summarizes the remaining core deposit intangible amortization (dollars in thousands): 2021 $ 543 2022 384 2023 231 2024 112 2025 87 Thereafter 156 $ 1,513 |
DEPOSITS
DEPOSITS | 12 Months Ended |
Dec. 31, 2020 | |
DEPOSITS | |
DEPOSITS | NOTE I – DEPOSITS The scheduled maturities of time deposits at December 31, 2020 are as follows: Total Time Deposits (dollars in thousands) 2021 $ 310,448 2022 60,554 2023 8,552 2024 5,229 2025 3,471 Thereafter 127 $ 388,381 Time deposits with balances of more than $250,000 were $133.9 million and $150.4 million at December 31, 2020 and 2019, respectively. |
REVENUE RECOGNITION
REVENUE RECOGNITION | 12 Months Ended |
Dec. 31, 2020 | |
REVENUE RECOGNITION | |
REVENUE RECOGNITION | NOTE J – REVENUE RECOGNITION On January 1, 2018, the Company adopted ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606), Note B Summary of Significant Accounting Policies 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 services, 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 year ended December 31, 2020, 2019 and 2018. December 31, December 31, December 31, 2020 2019 2018 (dollars in thousands) Service Charges on Deposit Accounts $ 1,092 $ 1,161 $ 1,124 Other 2,379 2,050 1,657 Noninterest Income (in-scope of Topic 606) 3,471 3,211 2,781 Noninterest Income (out-of-scope of Topic 606) 2,649 2,208 1,920 Total Non-interest Income $ 6,120 $ 5,419 $ 4,701 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 December 31, 2020 and December 31, 2019, 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 costs. |
SHORT-TERM AND LONG-TERM DEBT
SHORT-TERM AND LONG-TERM DEBT | 12 Months Ended |
Dec. 31, 2020 | |
SHORT-TERM AND LONG-TERM DEBT | |
SHORT-TERM AND LONG-TERM DEBT | NOTE K – SHORT-TERM AND LONG-TERM DEBT At December 31, 2020, the Company had no short-term debt and $12.4 million in long-term debt. Long-term debt consisted of $12.4 million in junior subordinated debentures. The Federal Home Loan Bank is collateralized by $93.7 million of loans as of December 31, 2020. At December 31, 2019, the Company had $57.4 million in long-term debt. Long-term debt consisted of $12.4 million in junior subordinated debentures and $45.0 million in Federal Home Loan Bank advances. The Federal Home Loan Bank advances are collateralized by $108.3 million of loans as of December 31, 2019. On September 20, 2004, $12.4 million of junior subordinated debentures were issued to New Century Statutory Trust I (“the Trust”) in exchange for the proceeds of trust preferred securities issued by the Trust. All of the Trust’s common equity is owned by the Company. The junior subordinated debentures are included in long-term debt and the Company’s equity interest in the Trust is included in other assets. The Company pays interest on the junior subordinated debentures at an annual rate, reset quarterly, equal to 3 month LIBOR plus 2.15%. The debentures are redeemable on September 20, 2009 or afterwards in whole or in part, on any March 20, June 20, September 20 or December 20. Redemption is mandatory at September 20, 2034. The Company has fully and unconditionally guaranteed repayment of the trust-preferred securities. The Company’s obligation under the guarantee is unsecured and subordinate to senior and subordinated indebtedness of the Company. The trust preferred securities qualify as Tier 1 capital for regulatory capital purposes subject to certain limitations, none of which were applicable at December 31, 2020. Lines of credit amounted to $249.1 million with various correspondent banks with no advances outstanding as of December 31, 2020. Some of the lines of credit are secured and others unsecured with a variety of rates and terms. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2020 | |
INCOME TAXES | |
INCOME TAXES | NOTE L – INCOME TAXES The significant components of the provision for income taxes for the years ended December 31, 2020, 2019 and 2018 are as follows: 2020 2019 2018 (dollars in thousands) Current tax provision: Federal $ 2,505 $ 2,699 $ 2,366 State 419 412 483 Total current tax provision 2,924 3,111 2,849 Deferred tax provision (benefit): Federal (566) 575 943 State (143) 10 118 Total deferred tax provision (benefit) (709) 585 1,061 Net income tax provision $ 2,215 $ 3,696 $ 3,910 The difference between the provision for income taxes and the amounts computed by applying the statutory federal income tax rate of 21% for 2020 and 2019 and 2018 to income before income taxes is summarized below: 2020 2019 2018 (dollars in thousands) Income tax at federal statutory rate $ 2,179 $ 3,513 $ 3,715 Increase (decrease) resulting from: State income taxes, net of federal tax effect 219 333 475 Tax-exempt interest income (86) (95) (99) Income from life insurance (135) (141) (144) Incentive stock option expense 35 41 (2) Merger expenses — — 20 Other permanent differences 3 45 (55) Provision for income taxes $ 2,215 $ 3,696 $ 3,910 Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of deferred taxes at December 31, 2020 and 2019 are as follows: 2020 2019 (dollars in thousands) Deferred tax assets relating to: Allowance for loan losses $ 3,241 $ 1,913 Deferred compensation 149 116 Net operating loss carryforwards 83 541 Acquisition accounting 977 1,024 Write-downs on foreclosed real estate 170 120 Other 269 229 Total deferred tax assets 4,889 3,943 Deferred tax liabilities relating to: Premises and equipment (917) (796) Deferred loan fees/costs (80) (73) Unrealized gains on available-for-sale securities (586) (268) Core deposit intangible (105) (8) Total deferred tax liabilities (1,688) (1,145) Net recorded deferred tax asset, included in other assets $ 3,201 $ 2,798 Deferred income taxes are measured at the enacted tax rate for the period in which they are expected to reverse. In December 2017 the U.S. Congress passed and the President signed legislation which reduced the statutory federal corporate tax rate to 21% effective January 1, 2018 and for all taxable years ending after that date. North Carolina also enacted legislation to reduce its corporate tax rate from 3.0% to 2.5% effective January 1, 2019. The Company had $395,000 of net operating losses which can be carried forward and applied against future taxable income. If unused, these net operating losses will expire in 2027 through 2036. The Company’s policy is to report interest and penalties, if any, related to uncertain tax positions in income tax expense in the Consolidated Statements of Operations. With few exceptions, the Company is no longer subject to U.S. federal, state and local, or non-U.S. income tax examinations by tax authorities for years before 2017. As of December 31, 2020 and 2019, the Company has no uncertain tax positions. The Company’s net deferred tax asset was $3.2 million and $2.8 million at December 31, 2020 and 2019. In evaluating whether the Company will realize the full benefit of the net deferred tax asset, both positive and negative evidence are considered, including among other things recent earnings trends, projected earnings, and asset quality. As of December 31, 2020, management concluded that the Company’s net deferred tax assets were fully realizable. The Company will continue to monitor deferred tax assets closely to evaluate whether we will be able to realize the full benefit of our net deferred tax asset or whether there is any need for a valuation allowance. Significant negative trends in credit quality, losses from operations or other factors could impact the realization of the deferred tax asset in the future. |
REGULATORY MATTERS
REGULATORY MATTERS | 12 Months Ended |
Dec. 31, 2020 | |
REGULATORY MATTERS | |
REGULATORY MATTERS | NOTE M – REGULATORY MATTERS The Company is subject to various regulatory capital requirements administered by federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary actions by regulators that, if undertaken, could have a material adverse effect on the Company’s consolidated financial statements. Quantitative measures established by regulation to ensure capital adequacy require the Company to maintain minimum amounts and ratios, as set forth in the table below. Management believes, as of December 31, 2020, that the Company meets all capital adequacy requirements to which it is subject. The Company’s significant assets are its investments in Select Bank & Trust Company and New Century Statutory Trust I. Regulatory authorities may limit payment of dividends by any bank when it is determined that such a limitation is in the public interest and is necessary to ensure financial soundness of the bank. The North Carolina Commissioner of Banks and the FDIC are also authorized to prohibit the payment of dividends under certain other circumstances. A significant measure of the strength of a financial institution is its capital base. Federal regulations have classified and defined capital into the following components: (1) Tier 1 capital, which includes common shareholders’ equity and qualifying preferred equity, and (2) Tier 2 capital, which includes a portion of the allowance for loan losses, certain qualifying long-term debt and preferred stock which does not qualify as Tier 1 capital. Financial institutions and holding companies became subject to the Basel III capital requirements beginning on January 1, 2015. A new part of the capital ratios profile is the Common Equity Tier 1 risk-based ratio which does not include limited life components such as trust preferred securities and Small Business Lending Fund (“SBLF”) preferred stock. Minimum capital levels are regulated by risk-based capital adequacy guidelines, which require a financial institution to maintain capital as a percentage of its assets, and certain off-balance sheet items adjusted for predefined credit risk factors (risk-adjusted assets). As the following tables indicate, at December 31, 2020 and 2019, the Company and its Bank subsidiary both exceeded minimum regulatory capital requirements as specified below. Minimum for capital Actual adequacy purposes The Company: Amount Ratio Amount Ratio December 31, 2020: (dollars in thousands) Total Capital (to Risk-Weighted Assets) $ 195,001 13.84 % $ 112,732 8.00 % Tier 1 Capital (to Risk-Weighted Assets) 180,893 12.84 % 84,549 6.00 % Common Equity Tier 1 (to Risk-Weighted Assets) 168,893 11.99 % 63,412 4.50 % Tier 1 Capital (to Average Assets) 180,893 10.41 % 69,519 4.00 % Minimum for capital Actual adequacy purposes The Company: Amount Ratio Amount Ratio December 31, 2019: (dollars in thousands) Total Capital (to Risk-Weighted Assets) $ 205,462 18.26 % $ 90,003 8.00 % Tier 1 Capital (to Risk-Weighted Assets) 197,138 17.52 % 67,502 6.00 % Common Equity Tier 1 (to Risk-Weighted Assets) 185,138 16.46 % 50,627 4.50 % Tier 1 Capital (to Average Assets) 197,138 15.84 % 49,777 4.00 % Under the implementing regulations, the federal banking regulators, including the FDIC, generally measure an institution’s capital adequacy on the basis of its total risk-based capital ratio (the ratio of its total capital to risk-weighted assets), Tier 1 risk-based capital ratio (the ratio of its core capital to risk-weighted assets) and leverage ratio (the ratio of its core capital to adjusted total assets). As of December 31, 2020 and 2019, the Bank’s capital conservation buffer was 4.43% and 7.69%, respectively, which allows the institution to avoid limitations on distributions and discretionary bonus payments. Select Bank & Trust Company’s actual capital amounts and ratios are presented in the table below as of December 31, 2020 and 2019: Minimum to be well Minimum for capital capitalized under prompt Actual adequacy purposes corrective action provisions The Bank: Amount Ratio Amount Ratio Amount Ratio December 31, 2020: (dollars in thousands) Total Capital (to Risk-Weighted Assets) $ 174,245 12.43 % $ 112,168 8.00 % 140,210 10.00 % Tier 1 Capital (to Risk-Weighted Assets) 160,137 11.42 % 84,126 6.00 % 112,168 8.00 % Common equity Tier 1 (to Risk-Weight Assets) 160,137 11.42 % 63,095 4.50 % 91,137 6.50 % Tier 1 Capital (to Average Assets) 160,137 9.25 % 69,226 4.00 % 86,532 5.00 % Minimum to be well Minimum for capital capitalized under prompt Actual adequacy purposes corrective action provisions The Bank: Amount Ratio Amount Ratio Amount Ratio December 31, 2019: (dollars in thousands) Total Capital (to Risk-Weighted Assets) $ 177,223 15.69 % $ 90,366 8.00 % 112,958 10.00 % Tier 1 Capital (to Risk-Weighted Assets) 168,899 14.95 % 67,775 6.00 % 90,366 8.00 % Common equity Tier 1 (to Risk-Weight Assets) 168,899 14.95 % 50,831 4.50 % 73,422 6.50 % Tier 1 Capital (to Average Assets) 168,899 13.59 % 49,730 4.00 % 62,162 5.00 % During 2004, the Company issued $12.4 million of junior subordinated debentures to a newly formed subsidiary, New Century Statutory Trust I, which in turn issued $12.0 million of trust preferred securities. The proceeds from the sale of the trust preferred securities provided additional capital for the growth and expansion of the Bank. Under the current applicable regulatory guidelines, all of the proceeds from the issuance of these trust preferred securities qualify as Tier 1 capital as of December 31, 2020. Management expects that the Bank will remain “well capitalized” for regulatory purposes, although there can be no assurance that additional capital will not be required in the future. |
OFF-BALANCE SHEET RISK
OFF-BALANCE SHEET RISK | 12 Months Ended |
Dec. 31, 2020 | |
OFF-BALANCE SHEET RISK | |
OFF-BALANCE SHEET RISK | NOTE N – OFF-BALANCE SHEET RISK The Company is a party to financial instruments with off-balance sheet credit risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and letters of credit. Those instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the balance sheet. The contract or notional amounts of those instruments reflect the extent of involvement the Company has in particular classes of financial instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of conditions established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since some of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company, upon extension of credit is based on management’s credit evaluation of the borrower. Collateral obtained varies but may include real estate, stocks, bonds, and certificates of deposit. A summary of the contract amount of the Company’s exposure to off-balance sheet credit risk as of December 31, 2020 is as follows: (In thousands) Financial instruments whose contract amounts represent credit risk: Undisbursed commitments $ 308,523 Letters of credit 2,500 The Company has legally binding delayed equity commitments to private investment funds. These commitments are not expected to be called, and therefore, are not reflected in the financial statements. The amount of these commitments at December 31, 2020 and 2019 was $425,000 and $425,000, respectively. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended |
Dec. 31, 2020 | |
FAIR VALUE MEASUREMENTS | |
FAIR VALUE MEASUREMENTS | NOTE O – FAIR VALUE MEASUREMENTS 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. 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 flows 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 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 agencies – GSE’s, mortgage-backed securities issued by GSE’s, corporate bonds and municipal bonds. Valuation techniques are consistent with methodologies 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 December 31, 2020 and December 31, 2019 (dollars in thousands): Quoted Prices in Significant Investment securities Active Markets Other Significant available for sale for Identical Observable Unobservable December 31, 2020 Fair value Assets (Level 1) Inputs (Level 2) Inputs (Level 3) U.S. government agencies – GSE’s $ 50,232 $ — $ 50,232 $ — Mortgage-backed securities – GSE’s 48,931 — 48,931 — Corporate Bonds 2,350 — 2,350 — Municipal bonds 92,979 — 92,979 — Total investment available for sale $ 194,492 $ — $ 194,492 $ — Quoted Prices in Significant Investment securities Active Markets Other Significant available for sale for Identical Observable Unobservable December 31, 2019 Fair value Assets (Level 1) Inputs (Level 2) Inputs (Level 3) U.S. government agencies – GSE’s $ 9,996 $ — $ 9,996 $ — Mortgage-backed securities – GSE’s 47,743 — 47,743 — Corporate Bonds 2,299 — 2,299 — Municipal bonds 12,329 — 12,329 — Total investment available for sale $ 72,367 $ — $ 72,367 $ — The following are descriptions of valuation methodologies used for assets and liabilities recorded at fair value on a non-recurring basis. 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 a specific reserve in the 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 December 31, 2020, and 2019, the majority of the total impaired loans were evaluated based on the fair value of the collateral. Impaired loans where a specific reserve 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 nonrecurring 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 nonrecurring Level 3. There were no transfers between levels from prior reporting periods. Valuation techniques are consistent with prior periods. The significant unobservable inputs used in the fair value measurement of the Company’s impaired loans range between 1 – 17% and 5 – 50% discount from appraisals for expected liquidation and sales costs at December 31, 2020 and 2019, respectively. Foreclosed Real Estate Foreclosed real estate are properties recorded at estimated fair value, less the estimated costs to sell, at the date of foreclosure. Inputs include appraised values on the properties or recent sales activity for similar assets in the property’s market adjusted by discounts as determined by the Company. Therefore, foreclosed real estate is classified within Level 3 of the hierarchy. Valuation techniques are consistent with prior periods. The significant unobservable input used in the fair value measurement of the Company’s foreclosed real estate range between 7% - 10% and 6% – 10% discount from appraisals for expected liquidation and sales costs at December 31, 2020 and 2019, respectively. The following tables summarize quantitative disclosures about the fair value measurement for each category of assets carried at fair value on a nonrecurring basis as of December 31, 2020 and December 31, 2019 (dollars in thousands): Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Asset Category December 31, 2020 Fair value Assets (Level 1) Inputs (Level 2) Inputs (Level 3) Impaired loans $ 6,790 $ — $ — $ 6,790 Foreclosed real estate 2,172 — — 2,172 Total $ 8,962 $ — $ — $ 8,962 Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Asset Category December 31, 2019 Fair value Assets (Level 1) Inputs (Level 2) Inputs (Level 3) Impaired loans $ 5,941 $ — $ — $ 5,941 Foreclosed real estate 3,533 — — 3,533 Total $ 9,474 $ — $ — $ 9,474 As of December 31, 2020, the Bank identified $10.6 million in impaired loans, of which $6.8 million were carried at fair value on a non-recurring basis which included $2.2 million in loans that required a specific reserve of $758,000, and an additional $81,000 in other loans without specific reserves that had partial charge-offs. As of December 31, 2019, the Bank identified $11.2 million in impaired loans, of which $5.9 million were carried at fair value on a non-recurring basis which included $972,000 in loans that required a specific reserve of $413,000, and an additional $4.1 million in other loans without specific reserves that had partial charge-offs. Financial instruments include cash and due from banks, interest-earning deposits with banks, investments, loans, deposit accounts and borrowings. Due to the nature of the Company’s business, a significant portion of its assets and liabilities consist of financial instruments, the estimated values of which are disclosed. 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 table presents the carrying values and estimated fair values of the Company’s financial instruments at December 31, 2020 and 2019: December 31, 2020 Carrying Estimated Amount Fair Value Level 1 Level 2 Level 3 (dollars in thousands) Financial assets: Cash and due from banks $ 23,324 $ 23,324 $ 23,324 $ — $ — Interest-earning deposits in other banks 87,399 87,399 87,399 — — Federal funds sold 5,364 5,364 5,364 — — Investment securities available for sale 194,492 194,492 — 194,492 — Loans held for sale 2,064 2,064 — 2,064 — Loans, net 1,290,276 1,294,552 — — 1,294,552 Accrued interest receivable 5,110 5,110 — 5,110 — Stock in the FHLB 1,147 1,147 — — 1,147 Other non-marketable securities 709 709 — — 709 Financial liabilities: Deposits $ 1,485,817 $ 1,489,220 $ — $ — $ 1,489,220 Long-term debt 12,372 9,965 — 9,965 — Accrued interest payable 246 246 — 246 — December 31, 2019 Carrying Estimated Amount Fair Value Level 1 Level 2 Level 3 (dollars in thousands) Financial assets: Cash and due from banks $ 19,110 $ 19,110 $ 19,110 $ — $ — Interest-earning deposits in other banks 50,920 50,920 50,920 — — Federal funds sold 9,047 9,047 9,047 — — Investment securities available for sale 72,367 72,367 — 72,367 — Loans held for sale 928 928 — 928 — Loans, net 1,021,651 1,016,239 — — 1,016,239 Accrued interest receivable 4,189 4,189 — 4,189 — Stock in the FHLB 3,045 3,045 — — 3,045 Other non-marketable securities 719 719 — — 719 Financial liabilities: Deposits $ 992,838 $ 995,056 $ — $ 995,056 $ — Long-term debt 57,372 55,729 — 55,729 — Accrued interest payable 578 578 — 578 — |
EMPLOYEE AND DIRECTOR BENEFIT P
EMPLOYEE AND DIRECTOR BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2020 | |
EMPLOYEE AND DIRECTOR BENEFIT PLANS | |
EMPLOYEE AND DIRECTOR BENEFIT PLANS | NOTE P – EMPLOYEE AND DIRECTOR BENEFIT PLANS 401(k) Plan The Company has a 401(k) Plan and substantially all employees participate in the plan. The Company matches 100% of the first 6% of an employee’s compensation contributed to the plan. Expenses attributable to the plan amounted to $779,000, $698,000, and $639,000 for the years ended December 31, 2020, 2019 and 2018, respectively. Employment Agreements The Company has entered into employment agreements with five executive officers to promote a stable and competent management base. These agreements provide for benefits as specified in the contracts and cannot be terminated by the Board of Directors, except for cause, without prejudicing the officer’s right to receive certain vested rights, including compensation. In the event of a change in control of the Company, as outlined in the agreements, the acquirer will generally be bound by the terms of those contracts. Supplemental Executive Retirement Plans The Company implemented a nonqualified supplemental executive retirement plan for the former Chief Executive Officer during 2003. Benefits accrue and vest during the period of employment, and will be paid in monthly benefit payments over the officer’s life after retirement. Provisions of $138,000, $81,000, and $36,000 were expensed for future benefits to be provided under this plan during 2020, 2019 and 2018, respectively. In conjunction with the implementation of this plan, the Company has purchased life insurance on certain key officers to help offset plan accruals. The life insurance policies provide the payment of a death benefit in the event an insured officer dies prior to attainment of retirement age. The total liability under this plan at December 31, 2020 and 2019 was $408,000 and $514,000, respectively. As part of the acquisition of Progressive State Bank (“Progressive”), the Company assumed a liability for the supplemental early retirement plan for Progressive’s Chief Executive Officer. Provisions of $1,000, $81,000, and $(35,000) and were expensed in 2020, 2019 and 2018, resulting in a total liability of $255,000 and $265,000 as of December 31, 2020 and 2019, respectively. Due to the plan having a tax gross up feature that was impacted by lower tax rates under the Tax Act, the Company recorded a negative provision for 2018. Corresponding to this liability, Progressive had purchased a life insurance policy on a key officer to help offset the expense associated with future benefit payments. This policy was acquired by the Company upon its acquisition of Progressive. The Company approved a supplemental executive retirement plan for two of its executives in 2019. Provisions of $137,000 were expensed during 2020 resulting in a total liability of $201,000. Proceeds from purchased life insurance on certain key officers were used to offset plan accruals. Directors Deferred Compensation The Company has instituted a Directors’ Deferral Plan (“Deferral Plan”) whereby individual directors may elect annually to defer receipt of all or a designated portion of their directors’ fees or stock awards for the coming year. Director fees so deferred are used to purchase shares of the Company’s common stock on the open market by the administrator of the Deferral Plan or to issue shares from the Company’s authorized but unissued shares, with such deferred compensation disbursed in the future as specified by the director at the time of his or her deferral election. Stock awards deferred under the Deferral Plan are also disbursed in the future as specified be the director at the time of his or her deferral election. All deferral amounts and matching contributions, if any, are paid into a rabbi trust with a separate account for each participant under the plan. Net compensation and other expenses attributable to this plan for the years ended December 31, 2020, 2019 and 2018 were $211,000, $200,000, and $97,000, respectively. The Directors’ Deferral Plan was amended and restated on September 22, 2015 to ensure compliance with applicable regulations and to provide that the eventual payment of compensation deferred under the plan may be made only in the form of the Registrant’s common stock. The Deferral Plan was amended and restated again on April 21, 2020, for the purpose of allowing participating directors to defer stock awards. A liability of $2.4 million and $2.8 million related to this plan is included in shareholders’ equity for December 31, 2020 and 2019, respectively. Equity-Based Compensation Plans The Company utilizes equity-based awards as a component of its compensation of employees and directors. These equity-based awards may be in the form of incentive stock options, nonstatutory stock options, stock appreciation rights, restricted stock awards, or restricted stock unit awards. Awards are granted pursuant to the Company’s equity-based compensation plans. The Company’s shareholders approved all equity-based compensation plans. At December 31, 2020, the Company had awards outstanding under its 2004 Incentive Stock Option Plan, 2008 Omnibus Stock Ownership and Long Term Incentive Plan (the “2008 Omnibus Plan”), 2010 Omnibus Stock Ownership and Long Term Incentive Plan (the “2010 Omnibus Plan”), and 2018 Omnibus Stock Incentive Plan (the “2018 Omnibus Plan”). As of December 31, 2020, the Company had awards covering 9,500 shares outstanding under the 2004 Incentive Stock Option Plan, awards covering 26,269 shares outstanding under the 2008 Omnibus Plan, awards covering 160,120 shares outstanding under the 2010 Omnibus Plan, and awards covering 101,000 shares outstanding under the 2018 Omnibus Plan. The 2018 Omnibus Plan became effective upon the approval of shareholders on May 22, 2018. As of December 31, 2020, the 2018 Omnibus Plan was the only plan that had shares available for future grants, and there were 540,566 shares remaining available for grant. All other plans have been frozen as to new grants. In 2019, the Company awarded fully vested stock grants under the 2018 Omnibus Plan of 10,569 common shares to its independent directors. The value of the stock grant totaled $130,000 with each director receiving 813 shares. For years when stock options were granted the estimated weighted average fair market value of each option awarded, using the Black-Scholes option pricing model, together with the assumptions used in estimating those weighted average fair values, are displayed below: 2020 2019 2018 Estimated fair value of options granted $ 5.66 $ 5.99 $ 6.07 Assumptions in estimating average option values: Risk-free interest rate 1.72 % 2.59 % 2.94 % Dividend yield — % — % — % Volatility 41.12 % 42.18 % 36.67 % Expected life (in years) 8.00 8.00 8.00 A summary of the Company’s option plans as of and for the year ended December 31, 2020 is as follows: Outstanding Options Exercisable Options Shares Weighted Weighted Available Average Average for Future Number Exercise Number Exercise Grants Outstanding Price Outstanding Price At December 31, 2019 568,913 268,542 $ 9.55 121,660 $ 7.80 Options granted/vested (42,500) 42,500 — 55,060 10.57 Stock grants — — — — — Options exercised 11,653 (11,653) 4.56 (11,653) 4.56 Options expired 2,500 (2,500) — (2,500) 5.19 Options forfeited — — 10.92 — $ — At December 31, 2020 540,566 296,889 $ 10.11 162,567 $ 9.01 The aggregate intrinsic value of options outstanding as of December 31, 2020 and 2019 was $243,000 and $740,000, respectively. The aggregate intrinsic value of options exercisable as of December 31, 2020 and 2019 was $235,000 and $548,000, respectively. The unrecognized compensation expense for outstanding options at December 31, 2020, 2019, and 2018 was $528,000, $460,000, and $642,000, respectively. As of December 31, 2020, this cost is expected to be recognized over a weighted average period of 1.50 years. The weighted average remaining life of options outstanding and options exercisable as of December 31, 2020 was 5.87 years and 4.25 years, respectively. The weighted average remaining life of options outstanding and options exercisable as of December 31, 2019 was 6.57 years and 4.85 years, respectively. Information regarding the stock options outstanding at December 31, 2020 is summarized below: Number Number of options of options Range of Exercise Prices outstanding exercisable $2.25 - $7.07 53,769 53,767 $7.08 - $10.69 41,620 27,900 $10.70 - $12.99 201,500 80,900 Outstanding at end of year 296,889 162,567 A summary of the status of the Company’s non-vested options as of December 31, 2020 and changes during the year ended December 31, 2020, is presented below: Weighted-Average Grant Date Non-vested Options Options Fair Value Non-vested at December 31, 2019 146,882 $ 5.51 Granted 42,500 5.66 Vested (52,560) 5.55 Expired (2,500) 3.14 Forfeited — — Non-vested at December 31, 2020 134,322 5.65 For the years ended December 31, 2020, 2019 and 2018, the intrinsic value of options exercised was $60,000, $148,000 and $213,000, respectively. For the years ended December 31, 2020, 2019 and 2018, the grant-date fair value of options vested was $291,000, $179,000, and $181,000, respectively. For the years ended December 31, 2020 and 2019, respectively, $1,000 and $68,000 in tax benefits were recognized from non-qualified stock option exercises. |
PARENT COMPANY FINANCIAL DATA
PARENT COMPANY FINANCIAL DATA | 12 Months Ended |
Dec. 31, 2020 | |
PARENT COMPANY FINANCIAL DATA | |
PARENT COMPANY FINANCIAL DATA | NOTE Q – PARENT COMPANY FINANCIAL DATA Following are the condensed balance sheets of Select Bancorp as of and for the years ended December 31, 2020 and 2019 and the related condensed statements of operations and cash flows for each of the years in the three-year period ended December 31, 2020: Condensed Balance Sheets December 31, 2020 and 2019 (dollars in thousands) 2020 2019 Assets Cash balances with Select Bank & Trust $ 14,784 $ 22,556 Investment in Select Bank & Trust 206,612 196,536 Investment in New Century Statutory Trust I 609 598 Other assets 6,008 5,711 Total Assets $ 228,013 $ 225,401 Liabilities and Shareholders’ Equity Junior subordinated debentures $ 12,372 $ 12,372 Accrued interest and other liabilities 273 254 Total Liabilities 12,645 12,626 Shareholders’ equity: Preferred stock - - Common stock 17,507 18,330 Additional paid-in capital 135,058 140,870 Retained earnings 60,838 52,675 Common stock issued to deferred compensation trust (2,416) (2,815) Directors’ Deferred Compensation Plan Rabbi Trust 2,416 2,815 Accumulated other comprehensive income 1,965 900 Total Shareholders’ Equity 215,368 212,775 Total Liabilities and Shareholders’ Equity $ 228,013 $ 225,401 Condensed Statements of Operations Years Ended December 31, 2020, 2019 and 2018 (dollars in thousands) 2020 2019 2018 Equity in earnings of subsidiaries $ 9,384 $ 14,153 $ 39,153 Dividends received for subsidiary — — (25,000) Dividends in excess of earnings 383 434 642 Operating expense (1,884) (1,862) (1,275) Income tax benefit 280 310 262 Net income $ 8,163 $ 13,035 $ 13,782 Condensed Statements of Cash Flows Years Ended December 31, 2020, 2019 and 2018 (dollars in thousands) 2020 2019 2018 CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 8,163 $ 13,035 $ 13,782 Equity in undistributed income of subsidiaries (9,384) (14,153) (39,153) Stock based compensation 360 369 178 Net change in other assets 65 (456) (283) Net change in other liabilities 19 11 (12,185) Net cash used in operating activities (777) (1,194) (37,661) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from stock option exercises 112 228 187 Repurchase of common stock (7,107) (11,427) — Proceeds from the issuance of common stock — — 63,250 Direct expenses related to capital transaction — — (3,444) Net cash provided by (used in) financing activities (6,995) (11,199) 59,993 Net (decrease) increase in cash and cash equivalents (7,772) (12,393) 22,332 Cash and cash equivalents at beginning of year 22,556 34,949 12,617 Cash and cash equivalents, end of year $ 14,784 $ 22,556 $ 34,949 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2020 | |
RELATED PARTY TRANSACTIONS | |
RELATED PARTY TRANSACTIONS | NOTE R – RELATED PARTY TRANSACTIONS The Bank has had, and expects to have in the future, banking and other transactions in the ordinary course of business with certain of its current directors, nominees for director, executive officers and associates. All such transactions are made on substantially the same terms, including interest rates, repayment terms and collateral, as those prevailing for comparable transactions with persons not related to the lender, and do not involve more than the normal risk of collection or present other unfavorable features. The Bank has loan transactions with its directors and executive officers in the regular course of business. Such loans were made in the ordinary course of business and on substantially the same terms and collateral as those for comparable transactions prevailing at the time and did not involve more than the normal risk of collectability or present other unfavorable features. The following table represents loan transactions for directors and executive officers who held that position as of December 31, 2020 and 2019. A summary of related party loan transactions, is as follows: 2020 2019 (dollars in thousands) Balance at January 1 $ 7,227 $ 12,658 Exposure of directors/executive officers added — — Borrowings 2,549 5,110 Directors/executive officers resigned or retired from board (967) (647) Loan repayments (4,090) (9,894) Balance at December 31 $ 4,719 $ 7,227 At December 31, 2020, there was $510,000 of unused lines of credit outstanding to directors and executive officers of the Company and its subsidiaries. Directors and executive officers had $37.6 million deposited with the Company at December 31, 2020. |
CAPITAL TRANSACTIONS
CAPITAL TRANSACTIONS | 12 Months Ended |
Dec. 31, 2020 | |
CAPITAL TRANSACTIONS | |
CAPITAL TRANSACTIONS | NOTE S – CAPITAL TRANSACTIONS Common Stock In August of 2016 the Board of Directors approved a common stock repurchase plan in which 581,518 shares were authorized for repurchase at management’s discretion. During the second quarter of 2019 the Company began repurchasing shares and by September 10, 2019 had repurchased all On September 22, 2020 the Board of Directors approved Plan 3 which authorized the repurchase of 875,000 shares of common stock. In the third and fourth quarters of 2020 the Company repurchased 324,102 shares amounting to $2.8 million and had 550,898 shares remaining in Plan 3 as of December 31, 2020. |
LEASES
LEASES | 12 Months Ended |
Dec. 31, 2020 | |
LEASES | |
LEASES | NOTE T – LEASES The Company has operating leases for branches and certain equipment. The Company’s leases have remaining lease terms of 1 year to 15 years which may include options to extend the leases for up to 5 years per option period. The Company has some leases that are month to month or expire within 1 year that are not included below. At December 31, 2020, the Company did not have any leases that had not yet commenced for which the Company had created a Right of Use (“ROU ”) asset and a lease liability. For the operating leases the Company has elected the practical expedient of not separating lease components from non-lease components and instead to account for each separate lease component and the non-lease components associated with that lease as a single lease component. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. Most of the lease agreements include periodic rate adjustments for inflation. Most leases include one or more options to renew, with renewal terms that can extend the lease term from 1 to 25 years. The exercise of lease renewal options is at our sole discretion. When it is reasonably certain that the Company will exercise the option to renew or extend the lease term, that option is included in determining the value of the ROU asset and lease liability. The Company has operating leases for its corporate offices and branches that expire at various times through 2034. Future minimum lease payments under the leases for years subsequent to December 31, 2020 are as follows: Total Lease Payments (dollars in thousands) 2021 $ 1,198 2022 1,230 2023 1,166 2024 1,100 2025 1,131 Years thereafter 6,519 $ 12,344 During 2020, 2019, and 2018, payments under operating leases were approximately $1.2 million, $1.1 million, and $1.2 million, respectively. Lease expense was accounted for on a straight line basis. Rental income earned on office space leased to third parties was $367,000, $449,000 and $426,000 for 2020, 2019 and 2018, respectively. The components of lease expense were as follows (dollars in thousands): December 31, December 31, 2020 2019 Operating lease cost $ 1,202 $ 1,054 Supplemental cash flow information related to leases was as follows: Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,202 $ 1,054 Right-of-use assets obtained in exchange for lease obligations: Operating leases 8,558 8,596 The following table presents the remaining weighted average lease terms and discount rates as of December 31, 2020: Weighted Average Remaining Lease Term Operating leases 11.7 years Weighted Average Discount Rate Operating leases 6.0 % Maturities of lease liabilities were as follows: Operating (In thousands) Leases Year Ending December 31, 2021 $ 744 2022 816 2023 796 2024 769 2025 842 Thereafter 5,557 Lease payments $ 9,524 Amounts representing interest (594) Present Value of Net Future Minimum Lease Payments 8,930 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2020 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | NOTE U – 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. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses, business combinations, goodwill, deferred tax assets and the valuation of other real estate owned. |
Business Combinations | Business Combinations Business combinations are accounted for under the acquisition method of accounting in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 805, “Business Combinations .” Assets acquired and liabilities assumed from contingencies must also be recognized at fair value if the fair value can be determined during the measurement period. Results of operations of an acquired business are included in the Statement of Operations from the date of acquisition. Acquisition-related costs, including conversion and restructuring charges, are expensed as incurred. The acquired assets and assumed liabilities are recorded at estimated fair values. Management makes significant estimates and exercises significant judgment in accounting for business combinations. Management uses its judgment to assign risk ratings to loans based on credit quality, appraisals and estimated collateral values, and estimated expected cash flows to measure fair values for loans. Real estate acquired in settlement of loans is valued based upon pending sales contracts and appraised values, adjusted for current market conditions. Core deposit intangibles are valued based on a weighted combination of the income and market approach where the income approach converts anticipated economic benefits to a present value and the market approach evaluates the market in which the asset is traded to find an indication of prices from actual transactions. Management uses quoted or current market prices to determine the fair value of investment securities. Fair values of deposits and borrowings are based on current market interest rates and are inclusive of any applicable prepayment penalties. |
Cash and Due from Banks, Interest-Earning Deposits in Other Banks and Federal Funds Sold | Cash and Due from Banks, Interest-Earning Deposits in Other Banks and Federal Funds Sold For the purpose of presentation in the statements of cash flows, cash and cash equivalents are defined as those amounts included in the balance sheet captions “Cash and due from banks,” “Interest-earning deposits in other banks,” and “Federal funds sold.” |
Investment Securities Available for Sale | Investment Securities Available for Sale Investment securities available for sale are reported at fair value and consist of debt instruments that are not classified as either trading securities or as held to maturity securities. Unrealized holding gains and losses, net of deferred income tax, on available for sale securities are reported as a net amount in accumulated other comprehensive income. Gains and losses on the sale of investment securities available for sale are determined using the specific-identification method. The Company evaluates each available for sale security in a loss position for other-than-temporary impairment (“OTTI”) at least quarterly. The Company considers such factors as the length of time and the extent to which the market value has been below amortized cost, long-term expectations and recent experience regarding principal and interest payments, The Company intent to sell, and whether it is more likely than not that it would be required to sell those securities before the anticipated recovery of the amortized cost. In situations where the Company does not intend to sell the security and it is more likely than not the Company will not be required to sell the security prior to recovery the credit component of an OTTI loss is recognized in earnings and the non-credit component is recognized in AOCI. |
Loans | Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity are reported at their outstanding principal balance adjusted for any charge-offs, the allowance for loan losses, and any deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. Loan origination fees and certain direct origination costs are capitalized and recognized as an adjustment of the yield of the related loan. The accrual of interest on impaired loans is discontinued when, in management’s opinion, the borrower may be unable to meet payment obligations as they become due. When interest accrual is discontinued, all unpaid accrued interest is reversed. Interest income is subsequently recognized only to the extent cash payments are received in excess of principal due. Loans are returned to accrual status when all of the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The acquired loans are segregated between those considered to be performing (“acquired performing”) and those with evidence of credit deterioration based on such factors as past due status, nonaccrual status and credit risk ratings (“purchased credit-impaired loans”). In determining the acquisition date fair value of purchased credit-impaired (“PCI”) loans, and in subsequent accounting, the Company generally aggregates purchased loans into pools of loans with common risk characteristics within the following loan categories: 1-to-4 family residential loans other than junior liens, 1-to-4 family residential junior liens, construction and land development, farm land, commercial real estate (nonowner-occupied), commercial real estate (owner-occupied), commercial and industrial, and all other loan categories. Expected cash flows at the acquisition date in excess of the fair value of loans are referred to as the “accretable yield” and recorded as interest income over the life of the loans using a level yield method if the timing and amount of the future cash flows of the pool is reasonably estimable. Subsequent to the acquisition date, significant increases in cash flows over those expected at the acquisition date are recognized as interest income prospectively. Accordingly, such loans are not classified as nonaccrual and they are considered to be accruing because their interest income relates to the accretable yield recognized under accounting for PCI loans and not to contractual interest payments. The difference between the contractually required payments and the cash flows expected to be collected at acquisition, considering the impact of prepayments, is referred to as the nonaccretable difference. The difference between the fair value of an acquired performing loan pool and the contractual amounts due at the acquisition date (the “fair value discount”) is accreted into income over the estimated life of the pool. The Company’s policy for determining when to discontinue accruing interest on acquired performing loans and the subsequent accounting for such loans is essentially the same as the policy for originated loans described earlier. Loans are deemed uncollectible based on a variety of credit, collateral, documentation and other issues. In the case where a loan is unsecured and in default, it is fully charged off. |
Non-accrual Loans | Non-accrual Loans Loans are placed on non-accrual 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. Impaired loans include all loans in non-accrual status, all troubled debt restructures, all substandard loans that are deemed to be collateral dependent, and other loans that management determines require impairment. In the case of an impaired loan that is still on accrual basis, payments are applied to both principal and interest. |
Allowance for Loan Losses | Allowance for Loan Losses The provision for loan losses is based upon management’s estimate of the amount needed to maintain the allowance for loan losses at an adequate level in light of the risk inherent in the loan portfolio. In making the evaluation of the adequacy of the allowance for loan losses, management gives consideration to current economic conditions, statutory examinations of the loan portfolio by regulatory agencies, delinquency information and management’s internal review of the loan portfolio. Loans are considered impaired when it is probable that all amounts due will not be collected in accordance with the contractual terms of the loan agreement. The measurement of impaired loans is generally based on the present value of expected future cash flows discounted at the historical effective interest rate, or upon the fair value of the collateral if the loan is collateral-dependent. If the recorded investment in the loan exceeds the measure of fair value, a valuation allowance is established as a component of the allowance for loan losses. Interest payments on impaired loans are typically applied to principal unless collectability of the principal amount is reasonably assured, in which case, interest is recognized on a cash basis. Impaired loans, or portions thereof, are charged off when deemed uncollectible. While management uses the best information available to make evaluations, future adjustments to the allowance may be necessary if conditions differ substantially from the assumptions used in making the evaluations. In addition, regulatory examiners may require the Company to recognize adjustments to the allowance for loan losses based on their judgments about information available to them at the time of their examination. Decreases in expected cash flows of PCI loans after the acquisition date are recognized by recording an allowance for loan loss. For any significant increases in cash flows expected to be collected, the Company first adjusts any prior recorded allowance for loan and lease losses through a reversal of previously recognized allowance through provision expense, and then increases the amount of accretable yield to be recognized on a prospective basis over the pool’s remaining life. Management analyzes these acquired loan pools using various assessments of risk to determine and calculate an expected loss. The expected loss is derived using an estimate of a loss given default based upon the collateral type and/or specific review by loan officers. Trends are reviewed in terms of traditional credit metrics such as accrual status, past due status, and weighted average risk grade of the loans within each of the accounting pools. In addition, the relationship between the change in the unpaid principal balance and change in the fair value mark is assessed to correlate the directional consistency of the expected loss for each pool. |
Loans Held for Sale | Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are classified as held for sale and are carried at the lower of cost or fair value. Upon closing, these loans are sold to mortgage loan investors under pre-arranged terms. Origination fees are recognized upon the sale and are included in non-interest income. Related to the mortgage business, the Company enters into interest rate lock commitments and commitments to sell mortgages to investors. Interest rate lock commitments are used to manage interest rate risk associated with the fixed rate loan commitments, and forward sale commitments are entered into with investors to manage the interest rate risk associated with the customer interest rate lock commitments, both of which are considered derivative financial instruments. The period of time between the issuance of a loan commitment and the closing and sale of the loan generally ranges from 10 to 60 days. Interest rate lock commitments and forward sale commitments are derivative instruments and are carried at fair value. These derivative instruments do not qualify for hedge accounting. The fair value of interest rate lock commitments is based on current secondary market pricing and has been determined to be immaterial. The fair value of the forward sale commitments is based on changes in the value of the commitment, principally because of changes in interest rates, and is included on the consolidated balance sheets in other assets or other liabilities. Changes in fair value for these instruments are reflected in non-interest income on the income statement. Gains and losses from sales of the mortgage loans are recognized when the Company ultimately sells the loans, and such gains and losses are also recorded in non-interest income. The Company does not retain servicing rights of the loans sold and has not included any servicing assets in other assets or recorded any expenses or revenue. |
Stock in Federal Home Loan Bank of Atlanta | Stock in Federal Home Loan Bank of Atlanta As a requirement for membership, the Bank invests in stock of the Federal Home Loan Bank of Atlanta (“FHLB”). This investment was carried at cost at December 31, 2020 and 2019. The Company continually monitors the financial strength of the FHLB and evaluates the investment for potential impairment. There can be no assurance that the impact of recent or future legislation on the Federal Home Loan Banks will not cause a decrease in the value of the Bank’s investment in FHLB stock. |
Other Non Marketable Securities | Other Non-Marketable Securities Other non-marketable securities are equity instruments that are reported at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. |
Foreclosed Real Estate | Foreclosed Real Estate Real estate acquired through, or in lieu of, loan foreclosure is recorded at fair value, less the estimated cost to sell, at the date of foreclosure. At foreclosure, any excess of the loan balance over the fair value of the property is charged to the allowance for loan losses. After foreclosure, management periodically performs valuations of the property and adjusts the value down when the carrying value of the property exceeds the estimated net realizable value. Revenue and expenses from operations and changes in the valuation allowance are included in foreclosure-related expense. |
Premises and Equipment | Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Depreciation is calculated on the straight-line method over the estimated useful lives of the assets. Estimated useful lives are 40 years for buildings and 3 to 10 years for furniture, fixtures and equipment. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. Repairs and maintenance costs are charged to operations as incurred and additions and improvements to premises and equipment are capitalized. Upon sale or retirement, the cost and related accumulated depreciation are removed from the accounts and any gains or losses are reflected in current operations. |
Income Taxes | Income Taxes Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the tax basis of assets and liabilities and their carrying amounts for financial reporting purposes. Deferred tax assets are also recognized for operating loss carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which the temporary differences are expected to be recovered or settled. Deferred tax assets are reduced by a valuation allowance if it is more likely than not that the tax benefits will not be realized. |
Bank Owned Life Insurance | Bank Owned Life Insurance Bank Owned Life Insurance (“BOLI”) is carried at its cash surrender value on the balance sheet and is classified as a non-interest-earning asset. Death benefit proceeds received in excess of the policy’s cash surrender value are recognized to income. Returns on the BOLI assets are added to the carrying value and included as non-interest income in the consolidated statement of operations. Any receipt of benefit proceeds is recorded as a reduction to the carrying value of the BOLI asset. At December 31, 2020 and 2019, the Company held no loans against its BOLI cash surrender values. |
Goodwill | Goodwill Goodwill represents the cost in excess of the fair value of net assets acquired (including identifiable intangibles) in transactions accounted for as business combinations. Goodwill has an indefinite useful life and is evaluated for impairment annually, or more frequently if events and circumstances indicate that the asset might be impaired. An impairment loss is recognized to the extent that the carrying amount exceeds the asset’s fair value. For the 2020 assessment, we performed a quantitative assessment to determine if it was more likely than not that the fair value of our single reporting unit is less than its carrying amount. We concluded that the fair value of our single reporting unit exceeded its carrying amount. Our quantitative assessment considered many factors including, but not limited to, our actual and projected operating performance and profitability, as well as consideration of recent bank merger and acquisition transaction metrics. No impairment was indicated in 2020, 2019 or 2018. Goodwill and other intangibles: Goodwill is not subject to amortization, but is subject to an annual assessment for impairment by applying a fair-value-based test as required by FASB ASC 350, Goodwill and Other Intangible Assets. Additionally, under ASC 350, acquired intangible assets are separately recognized if the benefit of the assets can be sold, transferred, licensed, rented, or exchanged, and amortized over their useful life. Goodwill is tested for impairment at the reporting unit level on an annual basis as of October 5, or more often if events or circumstances indicate there may be impairment. In accordance with ASC 350, the Company assesses qualitative factors to determine whether it is more-likely-than-not the fair value of the reporting unit was less than it’s carrying amount. If the Company concludes the carrying amount exceeds the implied fair value, based on the qualitative assessment, a quantitative one-step impairment test will then be applied. An impairment loss will be recognized for any excess of the carrying value over fair value of goodwill. Subsequent increases in goodwill are not recognized in the Consolidated Financial Statements. In 2020, the onset of the COVID-19 pandemic prompted the Company to assess qualitative factors to determine whether it was more-likely-than-not the fair value of our reporting unit were less than their carrying amount. Annual testing occurred in the fourth quarter of 2020, and the Company monitored events and circumstances during the remainder of 2020, but no triggering event was identified. Significant judgment is applied when goodwill is assessed for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, and incorporating general economic and market conditions. Selection and weighting of the various fair value techniques may result in a higher or lower fair value. Judgment is applied in determining the weightings most representative of fair value. Intangible assets are amortized or tested for impairment based on whether they have finite or indefinite lives. Intangibles that have finite lives are amortized on a straight-line basis over their useful life and tested for impairment whenever events or circumstances indicate the carrying amount of the assets may not be recoverable. Intangibles with indefinite lives are tested annually for impairment. |
Core Deposit Intangible | Core Deposit Intangible The Company considers its core deposits to be intangible assets with finite lives. Core deposit intangibles are being amortized using the effective interest method over six years. |
Derivative Financial Instruments | Derivative Financial Instruments The Company utilizes interest rate lock commitments, which are considered derivative instruments, in its mortgage banking operations. As of December 31, 2020, the amount of interest rate lock commitments is considered immaterial. |
Stock-Based Compensation | Stock-Based Compensation The Company has certain stock-based employee compensation plans, described more fully in Note P |
Comprehensive Income | Comprehensive Income The Company reports as comprehensive income all changes in shareholders’ equity during the year from sources other than shareholders. Other comprehensive income refers to all components (revenues, expenses, gains, and losses) of comprehensive income that are excluded from net income. The Company’s only component of other comprehensive income is unrealized gains and losses on investment securities available for sale. |
Segment Information | Segment Information The Company follows the provisions of ASC 280, Segment Reporting, |
Net Income per Common Share and Common Shares Outstanding | Net Income per Common Share and Common Shares Outstanding Basic earnings per share represents income available to common shareholders divided by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflect additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Potential common shares that may be issued by the Company relate to outstanding stock options. Basic and diluted net income per share have been computed based upon net income as presented in the accompanying Statements of Operations divided by the weighted average number of common shares outstanding or assumed to be outstanding as summarized below: 2020 2019 2018 Weighted average number of common shares used in computing basic net income per share 17,937,596 19,016,808 15,812,585 Effect of dilutive stock options 23,662 46,429 65,048 Weighted average number of common shares and dilutive potential common shares used in computing diluted net income per share 17,961,258 19,063,237 15,877,633 At December 31, 2020, 2019 and 2018, there were 243,120, 176,600 and 122,300 anti-dilutive options, respectively. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The following summarizes recent accounting pronouncements and their expected impact on the Company: In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, On October 16, 2019, the FASB voted to delay implementation of CECL until January 2023 for certain companies, including smaller reporting companies (as defined by the SEC). The Company currently qualifies as a smaller reporting company and is still assessing the impact that this new guidance will have on its consolidated financial statements. In August 2018, the FASB amended ASU 2018-13 – Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement Conceptual Framework for Financial Reporting—Chapter 8: Notes to Financial Statements In January 2017, the FASB issued Accounting Standards Update (“ASU”) 2017-04. Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. 2020 In March 2020, the FASB issued Accounting Standards Update (“ASU”) 2020-04 – Reference Rate Reform (Topic 848) 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. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Schedule of Weighted Average Number of Shares | 2020 2019 2018 Weighted average number of common shares used in computing basic net income per share 17,937,596 19,016,808 15,812,585 Effect of dilutive stock options 23,662 46,429 65,048 Weighted average number of common shares and dilutive potential common shares used in computing diluted net income per share 17,961,258 19,063,237 15,877,633 |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
BUSINESS COMBINATIONS | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | April 17, 2020 As recorded by Fair Value As recorded by First Citizens adjustments the Company (Dollars in thousands) Assets Cash and cash equivalents $ 60,234 $ — $ 60,234 Loans 108,236 (4,977) 103,259 Premises and equipment 2,106 790 2,896 Accrued interest receivable 319 — 319 Core deposit intangible — 620 620 Total assets acquired $ 170,895 $ (3,567) $ 167,328 Liabilities Deposits: Noninterest-bearing $ 41,398 $ — $ 41,398 Interest-bearing 143,325 760 144,085 Total deposits 184,723 760 185,483 Other liabilities 173 — 173 Total liabilities assumed $ 184,896 $ 760 $ 185,656 Goodwill recorded for branches acquisition $ 18,328 April 17, 2020 (Dollars in thousands) Contractually required payments $ 22,046 Nonaccretable difference 2,073 Cash flows expected to be collected 19,973 Accretable yield 2,949 Fair value at acquisition date $ 17,024 |
Business Acquisition, Pro Forma Information | Twelve Months Ended December 31, 2020 2019 (Dollars in thousands, except per share) Net interest income $ 64,679 $ 64,459 Non-interest income 6,193 5,665 Net income available to common shareholders 9,266 15,952 Earnings per share, basic $ 0.52 $ 0.84 Earnings per share, diluted $ 0.52 $ 0.84 Weighted average common shares outstanding, basic 17,937,596 19,016,808 Weighted average common shares outstanding, diluted 17,961,258 19,063,237 |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
INVESTMENT SECURITIES | |
Schedule of amortized cost and fair value of AFS investments | The amortized cost and fair value of available for sale (“AFS”) investments, with gross unrealized gains and losses, follow: December 31, 2020 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 50,304 $ 270 $ (342) $ 50,232 Mortgage-backed securities – GSE’s 47,658 1,320 (47) 48,931 Corporate bonds 2,343 7 — 2,350 Municipal bonds 91,635 1,417 (73) 92,979 Total $ 191,940 $ 3,014 $ (462) $ 194,492 December 31, 2019 Gross Gross Amortized unrealized unrealized Fair cost gains losses value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s $ 9,839 $ 159 $ (2) $ 9,996 Mortgage-backed securities – GSE’s 46,926 830 (13) 47,743 Corporate bonds 2,282 17 — 2,299 Municipal bonds 12,152 177 — 12,329 Total $ 71,199 $ 1,183 $ (15) $ 72,367 |
Schedule of unrealized loss on investments | The following tables show gross unrealized losses and fair value, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position as of December 31, 2020 and 2019. 2020 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 $ 42,159 $ (340) $ 420 $ (2) $ 42,579 $ (342) Mortgage-backed securities–GSE’s 19,297 (46) 1,999 (1) 21,296 (47) Corporate bonds — — — — — — Municipal bonds 10,105 (73) — — 10,105 (73) Total temporarily impaired securities $ 71,561 $ (459) $ 2,419 $ (3) $ 73,980 $ (462) 2019 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 $ 872 $ — $ 621 $ (2) $ 1,493 $ (2) Mortgage-backed securities–GSE’s 2,672 (3) 3,774 (10) 6,446 (13) Corporate bonds — — — — — — Municipal bonds — — — — — — Total temporarily impaired securities $ 3,544 $ (3) $ 4,395 $ (12) $ 7,939 $ (15) |
Schedule of Investments Classified By Contractual Maturity Date | The following table sets forth certain information regarding the amortized costs, carrying values and contractual maturities of the Company’s investment portfolio at December 31, 2020. Amortized Fair Cost Value (dollars in thousands) Securities available for sale: U.S. government agencies – GSE’s Due within one year $ 480 $ 492 Due after one but within five years 4,383 4,529 Due after five but within ten years 16,781 16,782 Due after ten years 28,660 28,429 50,304 50,232 Mortgage-backed securities – GSE’s Due within one year 2,000 1,999 Due after one but within five years 19,258 20,234 Due after five but within ten years 126 131 Due after ten years 26,274 26,567 47,658 48,931 Corporate bonds Due within one year 96 96 Due after one but within five years 497 500 Due after five but within ten years 1,750 1,754 Due after ten years — — 2,343 2,350 Municipal bonds Due within one year 577 578 Due after one but within five years 377 390 Due after five but within ten years 3,958 3,956 Due after ten years 86,723 88,055 91,635 92,979 Total securities available for sale Due within one year 3,153 3,165 Due after one but within five years 24,515 25,653 Due after five but within ten years 22,615 22,623 Due after ten years 141,657 143,051 $ 191,940 $ 194,492 |
LOANS (Tables)
LOANS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
LOANS | |
Schedule of the composition of the loan portfolio | The following is a summary of loans at December 31, 2020 and 2019: 2020 2019 Percent Percent Amount of total Amount of total (dollars in thousands) Real estate loans: 1-to-4 family residential $ 194,031 14.88 % $ 151,697 14.73 % Commercial real estate 608,482 46.65 % 459,115 44.58 % Multi-family residential 82,508 6.32 % 69,124 6.71 % Construction 236,735 18.15 % 221,878 21.55 % Home equity lines of credit (“HELOC”) 53,806 4.12 % 44,514 4.32 % Total real estate loans 1,175,562 90.12 % 946,328 91.89 % Other loans: Commercial and industrial 125,700 9.64 % 75,748 7.35 % Loans to individuals 6,629 0.04 % 9,779 0.95 % Overdrafts 493 0.51 % 234 0.02 % Total other loans 132,822 10.19 % 85,761 8.32 % Gross loans 1,308,384 1,032,089 Less deferred loan origination fees, net (4,000) (.31) % (2,114) (.18) % Total loans 1,304,384 100.00 % 1,029,975 100.00 % Allowance for loan losses (14,108) (8,324) Total loans, net $ 1,290,276 $ 1,021,651 |
Schedule of Purchased Credit Impaired, or PCI, the contractually required payments including principal and interest, cash flows expected to be collected | For PCI loans acquired from Legacy Select, Premara and First Citizens, the contractually required payments including principal and interest, cash flows expected to be collected and fair values as of the closing date of the acquisition and December 31, 2020 and 2019 were: December 31, December 31, 2020 2019 (dollars in thousands) Contractually required payments $ 37,241 $ 20,598 Nonaccretable difference 3,586 1,694 Cash flows expected to be collected 33,655 18,904 Accretable yield 4,622 3,191 Fair value $ 29,033 $ 15,713 |
Schedule of age analysis of past due loans, segregated by class of loans | The following tables present as of December 31, 2020 and 2019 an age analysis of past due loans, segregated by class of loans: December 31, 2020 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 $ 11 $ 1,003 $ 2 $ 3,601 $ 4,617 $ 121,083 $ 125,700 Construction 8 — — 154 162 236,573 236,735 Multi-family residential — 1,533 — — 1,533 80,975 82,508 Commercial real estate 1,880 — 9 2,008 3,897 604,585 608,482 Loans to individuals & overdrafts 10 — — 145 155 6,967 7,122 1‑to‑4 family residential 700 — 760 655 2,115 191,916 194,031 HELOC 67 — 31 227 325 53,481 53,806 Deferred loan (fees) cost, net — — — — — — (4,000) $ 2,676 $ 2,536 $ 802 $ 6,790 $ 12,804 $ 1,295,580 $ 1,304,384 Loans- PCI Commercial and industrial $ — $ 971 $ 2 $ — $ 973 $ 566 $ 1,539 Construction 8 — — — 8 881 889 Multi-family residential — — — — — 1,031 1,031 Commercial real estate 824 — 9 — 833 12,222 13,055 Loans to individuals & overdrafts 2 — — — 2 114 116 1‑to‑4 family residential 90 — 760 — 850 10,886 11,736 HELOC — — 31 — 31 636 667 $ 924 $ 971 $ 802 $ — $ 2,697 $ 26,336 $ 29,033 Loans- excluding PCI Commercial and industrial $ 11 $ 32 $ — $ 3,601 $ 3,644 $ 120,517 $ 124,161 Construction — — — 154 154 235,692 235,846 Multi-family residential — 1,533 — — 1,533 79,944 81,477 Commercial real estate 1,056 — — 2,008 3,064 592,363 595,427 Loans to individuals & overdrafts 8 — — 145 153 6,853 7,006 1‑to‑4 family residential 610 — — 655 1,265 181,030 182,295 HELOC 67 — — 227 294 52,845 53,139 Deferred loan (fees) cost, net — — — — — — (4,000) $ 1,752 $ 1,565 $ — $ 6,790 $ 10,107 $ 1,269,244 $ 1,275,351 Non-Accrual and Past Due Loans December 31, 2019 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 $ 1,108 $ 34 $ 46 $ 2,824 $ 4,012 $ 71,736 $ 75,748 Construction — — — 181 181 221,697 221,878 Multi-family residential — — — — — 69,124 69,124 Commercial real estate 393 82 321 1,832 2,628 456,487 459,115 Loans to individuals & overdrafts 5 — — 155 160 9,853 10,013 1‑to‑4 family residential 859 810 864 505 3,038 148,659 151,697 HELOC 168 — — 444 612 43,902 44,514 Deferred loan (fees) cost, net — — — — — — (2,114) $ 2,533 $ 926 $ 1,231 $ 5,941 $ 10,631 $ 1,021,458 $ 1,029,975 Loans- PCI Commercial and industrial $ — $ — $ 46 $ — $ 46 $ 1,057 $ 1,103 Construction — — — — — 677 677 Multi-family residential — — — — — 897 897 Commercial real estate — — 321 — 321 5,449 5,770 Loans to individuals & overdrafts — — — — — — — 1‑to‑4 family residential — — 864 — 864 6,354 7,218 HELOC — — — — — 48 48 $ — $ — $ 1,231 $ — $ 1,231 $ 14,482 $ 15,713 Loans- excluding PCI Commercial and industrial $ 1,108 $ 34 $ — $ 2,824 $ 3,966 $ 70,679 $ 74,645 Construction — — — 181 181 221,020 221,201 Multi-family residential — — — — — 68,227 68,227 Commercial real estate 393 82 — 1,832 2,307 451,038 453,345 Loans to individuals & overdrafts 5 — — 155 160 9,853 10,013 1‑to‑4 family residential 859 810 — 505 2,174 142,305 144,479 HELOC 168 — — 444 612 43,854 44,466 Deferred loan (fees) cost, net — — — — — — (2,114) $ 2,533 $ 926 $ — $ 5,941 $ 9,400 $ 1,006,976 $ 1,014,262 |
Schedule of information on loans that were considered to be impaired | The following tables present information on loans, excluding PCI loans and loans evaluated collectively as a homogenous group, that were considered to be impaired as of December 31, 2020 and December 31, 2019: December 31, 2020 Contractual Year to Date Unpaid Related Average Interest Income Recorded Principal Allowance Recorded Recognized on Investment Balance for Loan Losses Investment Impaired Loans (dollars in thousands) 2020 : With no related allowance recorded: Commercial and industrial $ 2,231 $ 2,525 $ — $ 2,378 $ 86 Construction 252 440 — 346 21 Commercial real estate 5,090 5,426 — 5,258 186 Loans to individuals & overdrafts 250 287 — 269 6 Multi-family residential — — — — — HELOC 383 478 — 430 33 1‑to‑4 family residential 206 259 — 233 6 Subtotal: 8,412 9,415 — 8,914 338 With an allowance recorded: Commercial and industrial 1,641 1,918 419 1,779 75 Construction — — — — — Commercial real estate 415 415 323 415 37 Loans to individuals & overdrafts — — — — — Multi-family Residential — — — — — HELOC 82 83 7 83 5 1‑to‑4 family residential 14 16 9 15 — Subtotal: 2,152 2,432 758 2,292 117 Totals: Commercial 9,629 10,724 742 10,176 405 Consumer 250 287 — 269 6 Residential 685 836 16 761 44 Grand Total: $ 10,564 $ 11,847 $ 758 $ 11,206 $ 455 December 31, 2019 Contractual Year to Date Unpaid Related Average Interest Income Recorded Principal Allowance Recorded Recognized on Investment Balance for Loan Losses Investment Impaired Loans (dollars in thousands) 2019 : With no related allowance recorded: Commercial and industrial $ 2,796 $ 4,051 $ — $ 4,186 $ 122 Construction 440 537 — 500 26 Commercial real estate 5,585 6,750 — 5,632 272 Loans to individuals & overdrafts 284 293 — 193 12 Multi-family residential 197 197 — 206 13 HELOC 543 678 — 793 36 1‑to‑4 family residential 395 1,816 — 1,204 86 Subtotal: 10,240 14,322 — 12,714 567 With an allowance recorded: Commercial and industrial 731 1,056 403 572 41 Construction — — — 13 — Commercial real estate — — — — — Loans to individuals & overdrafts — — — — — Multi-family Residential — — — — — HELOC 160 222 — 212 10 1‑to‑4 family residential 81 94 10 563 7 Subtotal: 972 1,372 413 1,360 58 Totals: Commercial 9,749 12,591 403 11,109 474 Consumer 284 293 — 193 12 Residential 1,179 2,810 10 2,772 139 Grand Total: $ 11,212 $ 15,694 $ 413 $ 14,074 $ 625 |
Schedule of loans that were modified as troubled debt restructurings ("TDRs") with a breakdown of the types of concessions made by loan class | The following tables present loans that were modified as troubled debt restructurings (“TDRs”) within the previous twelve months with a breakdown of the types of concessions made by loan class during the twelve months ended December 31, 2020 and 2019: Twelve Months Ended December 31, 2020 Pre-Modification Post-Modification Number Outstanding Outstanding of Recorded Recorded loans Investments Investments (dollars in thousands) Extended payment terms: 1-to-4 family residential 8 $ 1,388 $ 1,118 Commercial real estate 2 759 759 Construction 1 157 123 HELOC 2 239 231 Commercial & industrial 7 2,423 2,326 Loans to individuals 1 3 3 Total 21 $ 4,969 $ 4,560 Twelve Months Ended December 31, 2019 Pre-Modification Post-Modification Number Outstanding Outstanding of Recorded Recorded loans Investments Investments (dollars in thousands) Extended payment terms: Commercial and industrial 6 $ 2,535 $ 2,380 Construction 1 260 259 Commercial real estate 3 752 687 1‑to‑4 family residential 1 232 208 Total 11 $ 3,779 $ 3,534 The following tables present loans that were modified as TDRs within the previous twelve months for which there was a payment default together with a breakdown of the types of concessions made by loan class during the twelve months ended December 31, 2020 and 2019: Twelve months ended December 31, 2020 Number Recorded of loans investment (dollars in thousands) Extended payment terms: Commercial and industrial 4 $ 1,403 Construction 1 123 1-to-4 family residential 3 183 Total 8 $ 1,709 Twelve months ended December 31, 2019 Number Recorded of loans investment (dollars in thousands) Extended payment terms: Commercial and industrial 2 $ 1,566 Total 2 $ 1,566 |
Schedule of information on risk ratings of the commercial and consumer loan portfolios, segregated by loan class | The following tables present information on risk ratings of the commercial and consumer loan portfolios, segregated by loan class as of December 31, 2020 and 2019: Total Loans: December 31, 2020 Commercial Credit Exposure By Commercial Commercial Internally and real Multi-family Assigned Grade industrial Construction estate residential (dollars in thousands) Superior $ 56,510 $ — $ 123 $ — Very good 508 70 8,129 — Good 4,693 1,770 80,401 2,086 Acceptable 17,226 18,084 308,200 46,820 Acceptable with care 40,946 216,418 203,008 32,068 Special mention 1,313 239 4,344 1,534 Substandard 4,504 154 4,277 — Doubtful — — — — Loss — — — — $ 125,700 $ 236,735 $ 608,482 $ 82,508 Consumer Credit Exposure By Internally 1 ‑ to ‑ 4 family Assigned Grade residential HELOC Pass $ 190,975 $ 52,756 Special mention 633 226 Substandard 2,423 824 $ 194,031 $ 53,806 Consumer Credit Exposure Based Loans to On Payment individuals & Activity overdrafts Pass $ 6,845 Special mention 277 $ 7,122 Total Loans: December 31, 2019 Commercial Credit Exposure By Commercial Commercial Internally and real Multi-family Assigned Grade industrial Construction estate residential (dollars in thousands) Superior $ 4,014 $ — $ 337 $ — Very good 349 110 1,245 — Good 5,976 8,674 62,643 4,839 Acceptable 19,197 16,249 255,751 41,113 Acceptable with care 40,579 196,228 133,190 23,172 Special mention 242 436 1,490 — Substandard 5,391 181 4,459 — Doubtful — — — — Loss — — — — $ 75,748 $ 221,878 $ 459,115 $ 69,124 Consumer Credit Exposure By Internally 1 ‑ to ‑ 4 family Assigned Grade residential HELOC Pass $ 147,958 $ 43,585 Special mention 1,246 76 Substandard 2,493 853 $ 151,697 $ 44,514 Consumer Credit Exposure Based Loans to On Payment individuals & Activity overdrafts Pass $ 9,727 Special mention 286 $ 10,013 |
Schedule of changes to the amount of the accretable yield on PCI loans | The following table documents changes to the amount of the PCI accretable yield as of December 31, 2020 and 2019: 2020 2019 (dollars in thousands) Accretable yield, beginning of period $ 3,191 $ 3,593 Additions 2,949 — Accretion (1,638) (904) Reclassification from nonaccretable difference 64 360 Other changes, net 56 142 Accretable yield, end of period $ 4,622 $ 3,191 |
Schedule of allowance for loan losses by loan class | The following tables present a roll forward of the Company’s allowance for loan losses by loan segment for the twelve-month periods ended December 31, 2020, 2019 and 2018, respectively (in thousands): Commercial 1 to 4 Loans to Multi- and Commercial family individuals & family 2020 industrial Construction real estate residential HELOC overdrafts residential Total Allowance for loan losses Loans – excluding PCI Balance, beginning of period 12/01/2020 $ 1,127 $ 1,731 $ 2,837 $ 1,437 $ 329 $ 175 $ 419 $ 8,055 Provision for (recovery of) loan losses 2,634 603 2,688 (105) (3) (36) 397 6,178 Loans charged-off (628) — (70) — — (50) — (748) Recoveries 169 — 17 33 45 20 4 288 Balance, end of period 12/31/2020 $ 3,302 $ 2,334 $ 5,472 $ 1,365 $ 371 $ 109 $ 820 $ 13,773 PCI Loans — Balance, beginning of period 12/01/2020 $ 178 $ 6 $ 14 $ 56 $ — $ — $ 15 $ 269 Provision for (recovery of) loan losses 25 25 (10) 29 1 — (4) 66 Loans charged-off — — — — — — — — Recoveries — — — — — — — — Balance, end of period 12/31/2020 $ 203 $ 31 $ 4 $ 85 $ 1 $ — $ 11 $ 335 Total Loans — Balance, beginning of period 12/01/2020 $ 1,305 $ 1,737 $ 2,851 $ 1,493 $ 329 $ 175 $ 434 $ 8,324 Provision for (recovery of) loan losses 2,659 628 2,678 (76) (2) (36) 393 6,244 Loans charged-off (628) — (70) — — (50) — (748) Recoveries 169 — 17 33 45 20 4 288 Balance, end of period 12/31/2020 $ 3,505 $ 2,365 $ 5,476 $ 1,450 $ 372 $ 109 $ 831 $ 14,108 Ending Balance: individually evaluated for impairment $ 419 $ — $ 323 $ 9 $ 7 $ — $ — $ 758 Ending Balance: collectively evaluated for impairment $ 3,086 $ 2,365 $ 5,153 $ 1,441 $ 365 $ 109 $ 831 $ 13,350 Loans: Ending Balance: collectively evaluated for impairment non PCI loans $ 120,291 $ 235,594 $ 589,922 $ 182,075 $ 52,674 $ 6,756 $ 81,477 $ 1,268,789 Ending Balance: collectively evaluated for impairment PCI loans $ 1,537 $ 889 $ 13,055 $ 11,736 $ 667 $ 116 $ 1,031 $ 29,031 Ending Balance: individually evaluated for impairment $ 3,872 $ 252 $ 5,505 $ 220 $ 465 $ 250 $ — $ 10,564 Ending Balance $ 125,700 $ 236,735 $ 608,482 $ 194,031 $ 53,806 $ 7,122 $ 82,508 $ 1,308,384 Commercial 1 to 4 Loans to Multi- and Commercial family individuals & family 2019 industrial Construction real estate residential HELOC overdrafts residential Total Allowance for loan losses Loans – excluding PCI Balance, beginning of period 12/01/2019 $ 762 $ 1,385 $ 3,024 $ 1,663 $ 555 $ 206 $ 471 $ 8,066 Provision for (recovery of) loan losses 1,143 328 (371) (259) (169) 152 (52) 772 Loans charged-off (790) — (10) — (150) (206) — (1,156) Recoveries 12 18 194 33 93 23 — 373 Balance, end of period 12/31/2019 $ 1,127 $ 1,731 $ 2,837 $ 1,437 $ 329 $ 175 $ 419 $ 8,055 PCI Loans Balance, beginning of period 12/01/2019 $ 214 $ — $ 385 $ 4 $ — $ — $ — $ 603 Provision for (recovery of) loan losses (36) 6 (371) 52 — — 15 (334) Loans charged-off — — — — — — — — Recoveries — — — — — — — — Balance, end of period 12/31/2019 $ 178 $ 6 $ 14 $ 56 $ — $ — $ 15 $ 269 Total Loans Balance, beginning of period 12/01/2019 $ 976 $ 1,385 $ 3,409 $ 1,667 $ 555 $ 206 $ 471 $ 8,669 Provision for (recovery of) loan losses 1,107 334 (742) (207) (169) 152 (37) 438 Loans charged-off (790) — (10) — (150) (206) — (1,156) Recoveries 12 18 194 33 93 23 — 373 Balance, end of period 12/31/2019 $ 1,305 $ 1,737 $ 2,851 $ 1,493 $ 329 $ 175 $ 434 $ 8,324 Ending Balance: individually evaluated for impairment $ 403 $ — $ — $ 10 $ — $ — $ — $ 413 Ending Balance: collectively evaluated for impairment $ 902 $ 1,737 $ 2,851 $ 1,483 $ 329 $ 175 $ 434 $ 7,911 Loans: Ending Balance: collectively evaluated for impairment non PCI loans $ 71,118 $ 220,761 $ 447,760 $ 144,003 $ 43,763 $ 9,729 $ 68,030 $ 1,005,164 Ending Balance: collectively evaluated for impairment PCI loans $ 1,103 $ 677 $ 5,770 $ 7,218 $ 48 $ — $ 897 $ 15,713 Ending Balance: individually evaluated for impairment $ 3,527 $ 440 $ 5,585 $ 476 $ 703 $ 284 $ 197 $ 11,212 Ending Balance $ 75,748 $ 221,878 $ 459,115 $ 151,697 $ 44,514 $ 10,013 $ 69,124 $ 1,032,089 Commercial 1 to 4 Loans to Multi- and Commercial family individuals & family 2018 industrial Construction real estate residential HELOC overdrafts residential Total Allowance for loan losses Loans – excluding PCI Balance, beginning of period 01/01/2018 $ 742 $ 1,955 $ 3,304 $ 1,058 $ 549 $ 305 $ 791 $ 8,704 Provision for loan losses (23) (576) (326) 585 31 1 (320) (628) Loans charged-off (196) — (2) (12) (68) (191) — (469) Recoveries 239 6 48 32 43 91 — 459 Balance, end of period 12/31/2018 $ 762 $ 1,385 $ 3,024 $ 1,663 $ 555 $ 206 $ 471 $ 8,066 PCI Loans Balance, beginning of period 01/01/2018 $ 65 $ — $ 66 $ — $ — $ — $ — $ 131 Provision for loan losses 149 — 319 4 — — — 472 Loans charged-off — — — — — — — — Recoveries — — — — — — — — Balance, end of period 12/31/2018 $ 214 $ — $ 385 $ 4 $ — $ — $ — $ 603 Total Loans Balance, beginning of period 01/01/2018 $ 807 $ 1,955 $ 3,370 $ 1,058 $ 549 $ 305 $ 791 $ 8,835 Provision for loan losses 126 (576) (7) 589 31 1 (320) (156) Loans charged-off (196) — (2) (12) (68) (191) — (469) Recoveries 239 6 48 32 43 91 — 459 Balance, end of period 12/31/2018 $ 976 $ 1,385 $ 3,409 $ 1,667 $ 555 $ 206 $ 471 $ 8,669 Ending Balance: individually evaluated for impairment $ 51 $ 14 $ — $ 22 $ — $ — $ — $ 87 Ending Balance: collectively evaluated for impairment $ 925 $ 1,371 $ 3,409 $ 1,645 $ 555 $ 206 $ 471 $ 8,582 Loans: Ending Balance: collectively evaluated for impairment non PCI loans $ 68,891 $ 169,065 $ 444,354 $ 150,700 $ 48,747 $ 12,713 $ 62,307 $ 956,777 Ending Balance: collectively evaluated for impairment PCI loans $ 1,764 $ 751 $ 7,579 $ 8,188 $ 49 $ — $ 937 $ 19,268 Ending Balance: individually evaluated for impairment $ 3,526 $ 588 $ 5,678 $ 709 $ 917 $ 101 $ 215 $ 11,734 Ending Balance $ 74,181 $ 170,404 $ 457,611 $ 159,597 $ 49,713 $ 12,814 $ 63,459 $ 987,779 |
OTHER REAL ESTATE OWNED (Tables
OTHER REAL ESTATE OWNED (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
OTHER REAL ESTATE OWNED | |
Schedule Of Real Estate Owned Properties | The following table explains changes in other real estate owned (“OREO”) during the years ended December 31, 2020 and 2019 (dollars in thousands): December 31, December 31, 2020 2019 (Dollars in thousands) Beginning balance January 1 $ 3,533 $ 1,088 Sales (1,091) (120) Write-downs and loss on sales (544) (49) Transfers 274 2,614 Ending balance $ 2,172 $ 3,533 |
PREMISES AND EQUIPMENT (Tables)
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
PREMISES AND EQUIPMENT | |
Schedule of Premises and Equipment | The following is a summary of premises and equipment at December 31, 2020 and 2019: 2020 2019 (dollars in thousands) Land $ 6,141 $ 4,846 Buildings 17,271 15,692 Furniture and equipment 9,378 8,077 Leasehold improvements 536 498 33,326 29,113 Less accumulated depreciation 12,739 11,322 Total $ 20,587 $ 17,791 |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
GOODWILL AND OTHER INTANGIBLE ASSETS | |
Schedule of Finite-Lived Intangible Assets | The table below summarizes the changes in carrying amounts of goodwill and other intangibles (core deposit intangibles) for the periods presented. Core Deposit Intangible Accumulated Goodwill Gross Amortization Net (dollars in thousands) Balance at January 1, 2018 $ 24,904 $ 5,919 $ (2,818) $ 3,101 Adjustment of goodwill (325) — — — Amortization expense — — (1,016) (1,016) Balance at December 31, 2018 24,579 5,919 (3,834) 2,085 Core deposit intangible resulting from branch acquisition — 350 — 350 Amortization expense — — (825) (825) Balance at December 31, 2019 24,579 6,269 (4,659) 1,610 Goodwill resulting from branch acquisition 18,328 — — — Core deposit intangible resulting from branch acquisition — 620 — 620 Amortization expense — — (717) (717) Balance at December 31, 2020 $ 42,907 $ 6,889 $ (5,376) $ 1,513 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The table below summarizes the remaining core deposit intangible amortization (dollars in thousands): 2021 $ 543 2022 384 2023 231 2024 112 2025 87 Thereafter 156 $ 1,513 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
DEPOSITS | |
Schedule Of Maturities Of Time Deposits | The scheduled maturities of time deposits at December 31, 2020 are as follows: Total Time Deposits (dollars in thousands) 2021 $ 310,448 2022 60,554 2023 8,552 2024 5,229 2025 3,471 Thereafter 127 $ 388,381 |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
REVENUE RECOGNITION | |
Schedule of noninterest income | The following presents noninterest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for the year ended December 31, 2020, 2019 and 2018. December 31, December 31, December 31, 2020 2019 2018 (dollars in thousands) Service Charges on Deposit Accounts $ 1,092 $ 1,161 $ 1,124 Other 2,379 2,050 1,657 Noninterest Income (in-scope of Topic 606) 3,471 3,211 2,781 Noninterest Income (out-of-scope of Topic 606) 2,649 2,208 1,920 Total Non-interest Income $ 6,120 $ 5,419 $ 4,701 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
INCOME TAXES | |
Schedule of Income before Income Tax, Domestic and Foreign | The significant components of the provision for income taxes for the years ended December 31, 2020, 2019 and 2018 are as follows: 2020 2019 2018 (dollars in thousands) Current tax provision: Federal $ 2,505 $ 2,699 $ 2,366 State 419 412 483 Total current tax provision 2,924 3,111 2,849 Deferred tax provision (benefit): Federal (566) 575 943 State (143) 10 118 Total deferred tax provision (benefit) (709) 585 1,061 Net income tax provision $ 2,215 $ 3,696 $ 3,910 |
Federal Income Tax Note | The difference between the provision for income taxes and the amounts computed by applying the statutory federal income tax rate of 21% for 2020 and 2019 and 2018 to income before income taxes is summarized below: 2020 2019 2018 (dollars in thousands) Income tax at federal statutory rate $ 2,179 $ 3,513 $ 3,715 Increase (decrease) resulting from: State income taxes, net of federal tax effect 219 333 475 Tax-exempt interest income (86) (95) (99) Income from life insurance (135) (141) (144) Incentive stock option expense 35 41 (2) Merger expenses — — 20 Other permanent differences 3 45 (55) Provision for income taxes $ 2,215 $ 3,696 $ 3,910 |
Schedule of Deferred Tax Assets and Liabilities | Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of deferred taxes at December 31, 2020 and 2019 are as follows: 2020 2019 (dollars in thousands) Deferred tax assets relating to: Allowance for loan losses $ 3,241 $ 1,913 Deferred compensation 149 116 Net operating loss carryforwards 83 541 Acquisition accounting 977 1,024 Write-downs on foreclosed real estate 170 120 Other 269 229 Total deferred tax assets 4,889 3,943 Deferred tax liabilities relating to: Premises and equipment (917) (796) Deferred loan fees/costs (80) (73) Unrealized gains on available-for-sale securities (586) (268) Core deposit intangible (105) (8) Total deferred tax liabilities (1,688) (1,145) Net recorded deferred tax asset, included in other assets $ 3,201 $ 2,798 |
REGULATORY MATTERS (Tables)
REGULATORY MATTERS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
REGULATORY MATTERS | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | As the following tables indicate, at December 31, 2020 and 2019, the Company and its Bank subsidiary both exceeded minimum regulatory capital requirements as specified below. Minimum for capital Actual adequacy purposes The Company: Amount Ratio Amount Ratio December 31, 2020: (dollars in thousands) Total Capital (to Risk-Weighted Assets) $ 195,001 13.84 % $ 112,732 8.00 % Tier 1 Capital (to Risk-Weighted Assets) 180,893 12.84 % 84,549 6.00 % Common Equity Tier 1 (to Risk-Weighted Assets) 168,893 11.99 % 63,412 4.50 % Tier 1 Capital (to Average Assets) 180,893 10.41 % 69,519 4.00 % Minimum for capital Actual adequacy purposes The Company: Amount Ratio Amount Ratio December 31, 2019: (dollars in thousands) Total Capital (to Risk-Weighted Assets) $ 205,462 18.26 % $ 90,003 8.00 % Tier 1 Capital (to Risk-Weighted Assets) 197,138 17.52 % 67,502 6.00 % Common Equity Tier 1 (to Risk-Weighted Assets) 185,138 16.46 % 50,627 4.50 % Tier 1 Capital (to Average Assets) 197,138 15.84 % 49,777 4.00 % Under the implementing regulations, the federal banking regulators, including the FDIC, generally measure an institution’s capital adequacy on the basis of its total risk-based capital ratio (the ratio of its total capital to risk-weighted assets), Tier 1 risk-based capital ratio (the ratio of its core capital to risk-weighted assets) and leverage ratio (the ratio of its core capital to adjusted total assets). As of December 31, 2020 and 2019, the Bank’s capital conservation buffer was 4.43% and 7.69%, respectively, which allows the institution to avoid limitations on distributions and discretionary bonus payments. Select Bank & Trust Company’s actual capital amounts and ratios are presented in the table below as of December 31, 2020 and 2019: Minimum to be well Minimum for capital capitalized under prompt Actual adequacy purposes corrective action provisions The Bank: Amount Ratio Amount Ratio Amount Ratio December 31, 2020: (dollars in thousands) Total Capital (to Risk-Weighted Assets) $ 174,245 12.43 % $ 112,168 8.00 % 140,210 10.00 % Tier 1 Capital (to Risk-Weighted Assets) 160,137 11.42 % 84,126 6.00 % 112,168 8.00 % Common equity Tier 1 (to Risk-Weight Assets) 160,137 11.42 % 63,095 4.50 % 91,137 6.50 % Tier 1 Capital (to Average Assets) 160,137 9.25 % 69,226 4.00 % 86,532 5.00 % Minimum to be well Minimum for capital capitalized under prompt Actual adequacy purposes corrective action provisions The Bank: Amount Ratio Amount Ratio Amount Ratio December 31, 2019: (dollars in thousands) Total Capital (to Risk-Weighted Assets) $ 177,223 15.69 % $ 90,366 8.00 % 112,958 10.00 % Tier 1 Capital (to Risk-Weighted Assets) 168,899 14.95 % 67,775 6.00 % 90,366 8.00 % Common equity Tier 1 (to Risk-Weight Assets) 168,899 14.95 % 50,831 4.50 % 73,422 6.50 % Tier 1 Capital (to Average Assets) 168,899 13.59 % 49,730 4.00 % 62,162 5.00 % |
OFF-BALANCE SHEET RISK (Tables)
OFF-BALANCE SHEET RISK (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
OFF-BALANCE SHEET RISK | |
Off Balance Sheet Credit Risk | A summary of the contract amount of the Company’s exposure to off-balance sheet credit risk as of December 31, 2020 is as follows: (In thousands) Financial instruments whose contract amounts represent credit risk: Undisbursed commitments $ 308,523 Letters of credit 2,500 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
FAIR VALUE MEASUREMENTS | |
Schedule of fair value on a recurring basis | 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 December 31, 2020 and December 31, 2019 (dollars in thousands): Quoted Prices in Significant Investment securities Active Markets Other Significant available for sale for Identical Observable Unobservable December 31, 2020 Fair value Assets (Level 1) Inputs (Level 2) Inputs (Level 3) U.S. government agencies – GSE’s $ 50,232 $ — $ 50,232 $ — Mortgage-backed securities – GSE’s 48,931 — 48,931 — Corporate Bonds 2,350 — 2,350 — Municipal bonds 92,979 — 92,979 — Total investment available for sale $ 194,492 $ — $ 194,492 $ — Quoted Prices in Significant Investment securities Active Markets Other Significant available for sale for Identical Observable Unobservable December 31, 2019 Fair value Assets (Level 1) Inputs (Level 2) Inputs (Level 3) U.S. government agencies – GSE’s $ 9,996 $ — $ 9,996 $ — Mortgage-backed securities – GSE’s 47,743 — 47,743 — Corporate Bonds 2,299 — 2,299 — Municipal bonds 12,329 — 12,329 — Total investment available for sale $ 72,367 $ — $ 72,367 $ — |
Schedule of fair value on a non-recurring basis | The following tables summarize quantitative disclosures about the fair value measurement for each category of assets carried at fair value on a nonrecurring basis as of December 31, 2020 and December 31, 2019 (dollars in thousands): Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Asset Category December 31, 2020 Fair value Assets (Level 1) Inputs (Level 2) Inputs (Level 3) Impaired loans $ 6,790 $ — $ — $ 6,790 Foreclosed real estate 2,172 — — 2,172 Total $ 8,962 $ — $ — $ 8,962 Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Asset Category December 31, 2019 Fair value Assets (Level 1) Inputs (Level 2) Inputs (Level 3) Impaired loans $ 5,941 $ — $ — $ 5,941 Foreclosed real estate 3,533 — — 3,533 Total $ 9,474 $ — $ — $ 9,474 |
Schedule of carrying and fair values | The following table presents the carrying values and estimated fair values of the Company’s financial instruments at December 31, 2020 and 2019: December 31, 2020 Carrying Estimated Amount Fair Value Level 1 Level 2 Level 3 (dollars in thousands) Financial assets: Cash and due from banks $ 23,324 $ 23,324 $ 23,324 $ — $ — Interest-earning deposits in other banks 87,399 87,399 87,399 — — Federal funds sold 5,364 5,364 5,364 — — Investment securities available for sale 194,492 194,492 — 194,492 — Loans held for sale 2,064 2,064 — 2,064 — Loans, net 1,290,276 1,294,552 — — 1,294,552 Accrued interest receivable 5,110 5,110 — 5,110 — Stock in the FHLB 1,147 1,147 — — 1,147 Other non-marketable securities 709 709 — — 709 Financial liabilities: Deposits $ 1,485,817 $ 1,489,220 $ — $ — $ 1,489,220 Long-term debt 12,372 9,965 — 9,965 — Accrued interest payable 246 246 — 246 — December 31, 2019 Carrying Estimated Amount Fair Value Level 1 Level 2 Level 3 (dollars in thousands) Financial assets: Cash and due from banks $ 19,110 $ 19,110 $ 19,110 $ — $ — Interest-earning deposits in other banks 50,920 50,920 50,920 — — Federal funds sold 9,047 9,047 9,047 — — Investment securities available for sale 72,367 72,367 — 72,367 — Loans held for sale 928 928 — 928 — Loans, net 1,021,651 1,016,239 — — 1,016,239 Accrued interest receivable 4,189 4,189 — 4,189 — Stock in the FHLB 3,045 3,045 — — 3,045 Other non-marketable securities 719 719 — — 719 Financial liabilities: Deposits $ 992,838 $ 995,056 $ — $ 995,056 $ — Long-term debt 57,372 55,729 — 55,729 — Accrued interest payable 578 578 — 578 — |
EMPLOYEE AND DIRECTOR BENEFIT_2
EMPLOYEE AND DIRECTOR BENEFIT PLANS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
EMPLOYEE AND DIRECTOR BENEFIT PLANS | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | For years when stock options were granted the estimated weighted average fair market value of each option awarded, using the Black-Scholes option pricing model, together with the assumptions used in estimating those weighted average fair values, are displayed below: 2020 2019 2018 Estimated fair value of options granted $ 5.66 $ 5.99 $ 6.07 Assumptions in estimating average option values: Risk-free interest rate 1.72 % 2.59 % 2.94 % Dividend yield — % — % — % Volatility 41.12 % 42.18 % 36.67 % Expected life (in years) 8.00 8.00 8.00 |
Share-based Compensation, Stock Options, Activity | A summary of the Company’s option plans as of and for the year ended December 31, 2020 is as follows: Outstanding Options Exercisable Options Shares Weighted Weighted Available Average Average for Future Number Exercise Number Exercise Grants Outstanding Price Outstanding Price At December 31, 2019 568,913 268,542 $ 9.55 121,660 $ 7.80 Options granted/vested (42,500) 42,500 — 55,060 10.57 Stock grants — — — — — Options exercised 11,653 (11,653) 4.56 (11,653) 4.56 Options expired 2,500 (2,500) — (2,500) 5.19 Options forfeited — — 10.92 — $ — At December 31, 2020 540,566 296,889 $ 10.11 162,567 $ 9.01 |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range | Number Number of options of options Range of Exercise Prices outstanding exercisable $2.25 - $7.07 53,769 53,767 $7.08 - $10.69 41,620 27,900 $10.70 - $12.99 201,500 80,900 Outstanding at end of year 296,889 162,567 |
Schedule of Nonvested Share Activity | Weighted-Average Grant Date Non-vested Options Options Fair Value Non-vested at December 31, 2019 146,882 $ 5.51 Granted 42,500 5.66 Vested (52,560) 5.55 Expired (2,500) 3.14 Forfeited — — Non-vested at December 31, 2020 134,322 5.65 |
PARENT COMPANY FINANCIAL DATA (
PARENT COMPANY FINANCIAL DATA (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
PARENT COMPANY FINANCIAL DATA | |
Condensed Balance Sheet | Following are the condensed balance sheets of Select Bancorp as of and for the years ended December 31, 2020 and 2019 and the related condensed statements of operations and cash flows for each of the years in the three-year period ended December 31, 2020: Condensed Balance Sheets December 31, 2020 and 2019 (dollars in thousands) 2020 2019 Assets Cash balances with Select Bank & Trust $ 14,784 $ 22,556 Investment in Select Bank & Trust 206,612 196,536 Investment in New Century Statutory Trust I 609 598 Other assets 6,008 5,711 Total Assets $ 228,013 $ 225,401 Liabilities and Shareholders’ Equity Junior subordinated debentures $ 12,372 $ 12,372 Accrued interest and other liabilities 273 254 Total Liabilities 12,645 12,626 Shareholders’ equity: Preferred stock - - Common stock 17,507 18,330 Additional paid-in capital 135,058 140,870 Retained earnings 60,838 52,675 Common stock issued to deferred compensation trust (2,416) (2,815) Directors’ Deferred Compensation Plan Rabbi Trust 2,416 2,815 Accumulated other comprehensive income 1,965 900 Total Shareholders’ Equity 215,368 212,775 Total Liabilities and Shareholders’ Equity $ 228,013 $ 225,401 |
Condensed Statements of Operations | 2020 2019 2018 Equity in earnings of subsidiaries $ 9,384 $ 14,153 $ 39,153 Dividends received for subsidiary — — (25,000) Dividends in excess of earnings 383 434 642 Operating expense (1,884) (1,862) (1,275) Income tax benefit 280 310 262 Net income $ 8,163 $ 13,035 $ 13,782 |
Condensed Statements of Cash Flows | 2020 2019 2018 CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 8,163 $ 13,035 $ 13,782 Equity in undistributed income of subsidiaries (9,384) (14,153) (39,153) Stock based compensation 360 369 178 Net change in other assets 65 (456) (283) Net change in other liabilities 19 11 (12,185) Net cash used in operating activities (777) (1,194) (37,661) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from stock option exercises 112 228 187 Repurchase of common stock (7,107) (11,427) — Proceeds from the issuance of common stock — — 63,250 Direct expenses related to capital transaction — — (3,444) Net cash provided by (used in) financing activities (6,995) (11,199) 59,993 Net (decrease) increase in cash and cash equivalents (7,772) (12,393) 22,332 Cash and cash equivalents at beginning of year 22,556 34,949 12,617 Cash and cash equivalents, end of year $ 14,784 $ 22,556 $ 34,949 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
RELATED PARTY TRANSACTIONS | |
Related Party Loan Transactions | 2020 2019 (dollars in thousands) Balance at January 1 $ 7,227 $ 12,658 Exposure of directors/executive officers added — — Borrowings 2,549 5,110 Directors/executive officers resigned or retired from board (967) (647) Loan repayments (4,090) (9,894) Balance at December 31 $ 4,719 $ 7,227 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
LEASES | |
Schedule of maturities of lease liabilities | The Company has operating leases for its corporate offices and branches that expire at various times through 2034. Future minimum lease payments under the leases for years subsequent to December 31, 2020 are as follows: Total Lease Payments (dollars in thousands) 2021 $ 1,198 2022 1,230 2023 1,166 2024 1,100 2025 1,131 Years thereafter 6,519 $ 12,344 Maturities of lease liabilities were as follows: Operating (In thousands) Leases Year Ending December 31, 2021 $ 744 2022 816 2023 796 2024 769 2025 842 Thereafter 5,557 Lease payments $ 9,524 Amounts representing interest (594) Present Value of Net Future Minimum Lease Payments 8,930 |
Schedule of leases | The components of lease expense were as follows (dollars in thousands): December 31, December 31, 2020 2019 Operating lease cost $ 1,202 $ 1,054 Supplemental cash flow information related to leases was as follows: Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,202 $ 1,054 Right-of-use assets obtained in exchange for lease obligations: Operating leases 8,558 8,596 The following table presents the remaining weighted average lease terms and discount rates as of December 31, 2020: Weighted Average Remaining Lease Term Operating leases 11.7 years Weighted Average Discount Rate Operating leases 6.0 % |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Premises and Equipment (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Building [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 40 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Core Deposit Intangible (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Core Deposits [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 6 years |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Net Income Per Common Share and Common Shares Outstanding - Weighted-average shares outstanding (Details) - shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||
Weighted average shares used for basic net income per share | 17,937,596 | 19,016,808 | 15,812,585 |
Effect of dilutive stock options | 23,662 | 46,429 | 65,048 |
Weighted average shares used for diluted net income per share | 17,961,258 | 19,063,237 | 15,877,633 |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Net Income Per Common Share and Common Shares Outstanding - Anti-dilutive Securities (Details) - shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 243,120 | 176,600 | 122,300 |
SUMMARY OF SIGNIFICANT ACCOUN_8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Recent Accounting Pronouncements (Details) | Dec. 31, 2020 |
Accounting Standards Update 2016-13 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted | false |
Accounting Standards Update 2018-13 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted | false |
Accounting Standards Update 2017-04 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted | true |
Change in Accounting Principle, Accounting Standards Update, Adoption Date | Jan. 1, 2020 |
BUSINESS COMBINATIONS - General
BUSINESS COMBINATIONS - General information (Details) - First-Citizens Bank and Trust Company, Formerly Entegra Bank, Three Existing Branch Offices, Deposits, Majority of Loans, Property, Equipment and Other Selected Assets [Member] $ in Thousands | Apr. 17, 2020USD ($)store |
Business Acquisition, Date of Acquisition [Abstract] | |
Business Acquisition, Date of Acquisition Agreement | Dec. 20, 2019 |
Business Acquisition, Effective Date of Acquisition | Apr. 17, 2020 |
Business Combination, Description [Abstract] | |
Number of branches | store | 3 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract] | |
Assets assumed | $ 167,328 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract] | |
Liabilities assumed | 185,656 |
Previously Reported [Member] | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract] | |
Assets assumed | 170,895 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract] | |
Liabilities assumed | $ 184,896 |
BUSINESS COMBINATIONS - Assets
BUSINESS COMBINATIONS - Assets acquired and liabilities assumed (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Apr. 17, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract] | |||||
Goodwill | $ 42,907 | $ 24,579 | $ 24,579 | $ 24,904 | |
First-Citizens Bank and Trust Company, Formerly Entegra Bank, Three Existing Branch Offices, Deposits, Majority of Loans, Property, Equipment and Other Selected Assets [Member] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract] | |||||
Cash and cash equivalents | $ 60,234 | ||||
Loans | 103,259 | ||||
Premises and equipment | 2,896 | ||||
Accrued interest receivable | 319 | ||||
Core deposit intangible | 620 | ||||
Total assets acquired | 167,328 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract] | |||||
Noninterest-bearing | 41,398 | ||||
Interest-bearing | 144,085 | ||||
Total deposits | 185,483 | ||||
Other liabilities | 173 | ||||
Total liabilities assumed | 185,656 | ||||
Goodwill | 18,328 | ||||
First-Citizens Bank and Trust Company, Formerly Entegra Bank, Three Existing Branch Offices, Deposits, Majority of Loans, Property, Equipment and Other Selected Assets [Member] | Previously Reported [Member] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract] | |||||
Cash and cash equivalents | 60,234 | ||||
Loans | 108,236 | ||||
Premises and equipment | 2,106 | ||||
Accrued interest receivable | 319 | ||||
Total assets acquired | 170,895 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract] | |||||
Noninterest-bearing | 41,398 | ||||
Interest-bearing | 143,325 | ||||
Total deposits | 184,723 | ||||
Other liabilities | 173 | ||||
Total liabilities assumed | 184,896 | ||||
First-Citizens Bank and Trust Company, Formerly Entegra Bank, Three Existing Branch Offices, Deposits, Majority of Loans, Property, Equipment and Other Selected Assets [Member] | Revision of Prior Period, Adjustment [Member] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract] | |||||
Cash and cash equivalents | 0 | ||||
Loans | (4,977) | ||||
Premises and equipment | 790 | ||||
Core deposit intangible | 620 | ||||
Total assets acquired | (3,567) | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract] | |||||
Noninterest-bearing | 0 | ||||
Interest-bearing | 760 | ||||
Total deposits | 760 | ||||
Other liabilities | 0 | ||||
Total liabilities assumed | $ 760 |
BUSINESS COMBINATIONS - Loans a
BUSINESS COMBINATIONS - Loans acquired - General information (Details) - First-Citizens Bank and Trust Company, Formerly Entegra Bank, Three Existing Branch Offices, Deposits, Majority of Loans, Property, Equipment and Other Selected Assets [Member] - USD ($) $ in Thousands | Dec. 31, 2020 | Apr. 17, 2020 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract] | ||
Loans | $ 103,259 | |
Nonperforming Financial Instruments [Member] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract] | ||
Loans | $ 17,000 | |
Performing Financial Instruments [Member] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets [Abstract] | ||
Loans | $ 86,200 |
BUSINESS COMBINATIONS - Loans_2
BUSINESS COMBINATIONS - Loans acquired - Tabular disclosure (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Apr. 17, 2020 | Dec. 31, 2019 |
Business Acquisition [Line Items] | |||
Contractually required payments | $ 37,241 | $ 20,598 | |
Nonaccretable difference | 3,586 | 1,694 | |
Cash flows expected to be collected | 33,655 | 18,904 | |
Accretable yield | 4,622 | 3,191 | |
Fair value at acquisition date | $ 29,033 | $ 15,713 | |
First-Citizens Bank and Trust Company, Formerly Entegra Bank, Three Existing Branch Offices, Deposits, Majority of Loans, Property, Equipment and Other Selected Assets [Member] | |||
Business Acquisition [Line Items] | |||
Contractually required payments | $ 22,046 | ||
Nonaccretable difference | 2,073 | ||
Cash flows expected to be collected | 19,973 | ||
Accretable yield | 2,949 | ||
Fair value at acquisition date | $ 17,024 |
BUSINESS COMBINATIONS - Merger-
BUSINESS COMBINATIONS - Merger-related expense (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
First-Citizens Bank and Trust Company, Formerly Entegra Bank, Three Existing Branch Offices, Deposits, Majority of Loans, Property, Equipment and Other Selected Assets [Member] | |
Business Acquisition [Line Items] | |
Merger-related expense | $ 755 |
BUSINESS COMBINATIONS - Pro for
BUSINESS COMBINATIONS - Pro forma information (Details) - First-Citizens Bank and Trust Company, Formerly Entegra Bank, Three Existing Branch Offices, Deposits, Majority of Loans, Property, Equipment and Other Selected Assets [Member] - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Business Acquisition, Pro Forma Information [Abstract] | ||
Net interest income | $ 64,679 | $ 64,459 |
Non-interest income | 6,193 | 5,665 |
Net income available to common shareholders | $ 9,266 | $ 15,952 |
Earnings per share, basic (in dollars per share) | $ 0.52 | $ 0.84 |
Earnings per share, diluted (in dollars per share) | $ 0.52 | $ 0.84 |
Weighted average common shares outstanding, basic (in shares) | 17,937,596 | 19,016,808 |
Weighted average common shares outstanding, diluted (in shares) | 17,961,258 | 19,063,237 |
INVESTMENT SECURITIES - Amortiz
INVESTMENT SECURITIES - Amortized cost (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Debt Securities, Available-for-sale, Amortized Cost | $ 191,940 | $ 71,199 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 3,014 | 1,183 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | (462) | (15) |
Debt Securities, Available-for-sale | 194,492 | 72,367 |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Debt Securities, Available-for-sale, Amortized Cost | 50,304 | 9,839 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 270 | 159 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | (342) | (2) |
Debt Securities, Available-for-sale | 50,232 | 9,996 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Debt Securities, Available-for-sale, Amortized Cost | 47,658 | 46,926 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 1,320 | 830 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | (47) | (13) |
Debt Securities, Available-for-sale | 48,931 | 47,743 |
Corporate Debt Securities [Member] | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Debt Securities, Available-for-sale, Amortized Cost | 2,343 | 2,282 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 7 | 17 |
Debt Securities, Available-for-sale | 2,350 | 2,299 |
Municipal Bonds [Member] | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Debt Securities, Available-for-sale, Amortized Cost | 91,635 | 12,152 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 1,417 | 177 |
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | (73) | |
Debt Securities, Available-for-sale | $ 92,979 | $ 12,329 |
INVESTMENT SECURITIES - Securit
INVESTMENT SECURITIES - Securities pledged (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale, Restricted [Abstract] | ||
Debt Securities, Available-for-sale, Restricted | $ 68.4 | $ 18.4 |
INVESTMENT SECURITIES - Gross u
INVESTMENT SECURITIES - Gross unrealized losses and fair value (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | $ 71,561 | $ 3,544 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 2,419 | 4,395 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 73,980 | 7,939 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (459) | (3) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (3) | (12) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | (462) | (15) |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 42,159 | 872 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 420 | 621 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 42,579 | 1,493 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (340) | |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (2) | (2) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | (342) | (2) |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 19,297 | 2,672 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 1,999 | 3,774 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 21,296 | 6,446 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (46) | (3) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (1) | (10) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | (47) | $ (13) |
Municipal Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 10,105 | |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 10,105 | |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (73) | |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | $ (73) |
INVESTMENT SECURITIES - Continu
INVESTMENT SECURITIES - Continuous unrealized loss position (Details) $ in Thousands | Dec. 31, 2020USD ($)security | Dec. 31, 2019USD ($)security |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Number of Positions [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Number of Positions | security | 30 | 3 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | $ 3 | $ 12 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | $ 459 | $ 3 |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Number of Positions [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Number of Positions | security | 2 | 1 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Number of Positions | security | 11 | 1 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | $ 2 | $ 2 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | $ 340 | |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Number of Positions [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Number of Positions | security | 1 | 2 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Number of Positions | security | 7 | 2 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | $ 1 | $ 10 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 46 | $ 3 |
Municipal Bonds [Member] | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | $ 73 |
INVESTMENT SECURITIES - Other-t
INVESTMENT SECURITIES - Other-than-temporary impairment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Other-than-temporary Impairment Loss, Debt Securities, Available-for-sale [Abstract] | ||
Other-than-temporary Impairment Loss, Debt Securities, Available-for-sale | $ 0 | $ 0 |
INVESTMENT SECURITIES - Realize
INVESTMENT SECURITIES - Realized gain (loss) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($)security | |
Debt Securities, Available-for-sale, Realized Gain (Loss) [Abstract] | |
Debt Securities, Available-for-sale, Realized Gain | $ 48 |
Debt Securities, Available-for-sale, Positions Sold | security | 2 |
Proceeds from Sale and Maturity of Debt Securities, Available-for-sale [Abstract] | |
Proceeds from Sale of Debt Securities, Available-for-sale | $ 1,125 |
INVESTMENT SECURITIES - Contrac
INVESTMENT SECURITIES - Contractual maturities (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost [Abstract] | |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, Year One | $ 3,153 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 24,515 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 22,615 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year 10 | 141,657 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost, Total | 191,940 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value [Abstract] | |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, Year One | 3,165 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 25,653 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 22,623 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year 10 | 143,051 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value, Total | 194,492 |
US Government-sponsored Enterprises Debt Securities [Member] | |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost [Abstract] | |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, Year One | 480 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 4,383 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 16,781 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year 10 | 28,660 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost, Total | 50,304 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value [Abstract] | |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, Year One | 492 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 4,529 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 16,782 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year 10 | 28,429 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value, Total | 50,232 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost [Abstract] | |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, Year One | 2,000 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 19,258 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 126 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year 10 | 26,274 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost, Total | 47,658 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value [Abstract] | |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, Year One | 1,999 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 20,234 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 131 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year 10 | 26,567 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value, Total | 48,931 |
Corporate Debt Securities [Member] | |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost [Abstract] | |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, Year One | 96 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 497 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 1,750 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost, Total | 2,343 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value [Abstract] | |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, Year One | 96 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 500 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 1,754 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value, Total | 2,350 |
Municipal Bonds [Member] | |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost [Abstract] | |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, Year One | 577 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 377 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 3,958 |
Debt Securities, Available-for-Sale, Amortized Cost, Maturity, Allocated and Single Maturity Date, after Year 10 | 86,723 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost, Total | 91,635 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value [Abstract] | |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, Year One | 578 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year One Through Five | 390 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year 5 Through 10 | 3,956 |
Debt Securities, Available-for-Sale, Fair Value, Maturity, Allocated and Single Maturity Date, after Year 10 | 88,055 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value, Total | $ 92,979 |
LOANS - Loan portfolio (Details
LOANS - Loan portfolio (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 1,308,384 | $ 1,032,089 | $ 987,779 | |
Less deferred loan origination fees, net | (4,000) | (2,114) | ||
Total loans | 1,304,384 | 1,029,975 | ||
Allowance for loan losses | (14,108) | (8,324) | (8,669) | $ (8,835) |
Total loans, net | $ 1,290,276 | $ 1,021,651 | ||
Less deferred loan origination fees, net | (0.31%) | (0.18%) | ||
Percent of total | 100.00% | 100.00% | ||
Real Estate Loan [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 1,175,562 | $ 946,328 | ||
Percent of total | 90.12% | 91.89% | ||
Other Loan [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 132,822 | $ 85,761 | ||
Percent of total | 10.19% | 8.32% | ||
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 608,482 | $ 459,115 | 457,611 | |
Total loans | 608,482 | 459,115 | ||
Allowance for loan losses | $ (5,476) | $ (2,851) | (3,409) | (3,370) |
Percent of total | 46.65% | 44.58% | ||
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 236,735 | $ 221,878 | 170,404 | |
Total loans | 236,735 | 221,878 | ||
Allowance for loan losses | $ (2,365) | $ (1,737) | (1,385) | (1,955) |
Percent of total | 18.15% | 21.55% | ||
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 125,700 | $ 75,748 | 74,181 | |
Total loans | 125,700 | 75,748 | ||
Allowance for loan losses | $ (3,505) | $ (1,305) | (976) | (807) |
Percent of total | 9.64% | 7.35% | ||
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 6,629 | $ 9,779 | ||
Percent of total | 0.04% | 0.95% | ||
Commercial Portfolio Segment [Member] | Other Loan [Member] | Overdrafts [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 493 | $ 234 | ||
Percent of total | 0.51% | 0.02% | ||
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 82,508 | $ 69,124 | 63,459 | |
Total loans | 82,508 | 69,124 | ||
Allowance for loan losses | $ (831) | $ (434) | (471) | (791) |
Percent of total | 6.32% | 6.71% | ||
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 194,031 | $ 151,697 | 159,597 | |
Total loans | 194,031 | 151,697 | ||
Allowance for loan losses | $ (1,450) | $ (1,493) | (1,667) | (1,058) |
Percent of total | 14.88% | 14.73% | ||
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 53,806 | $ 44,514 | 49,713 | |
Total loans | 53,806 | 44,514 | ||
Allowance for loan losses | $ (372) | $ (329) | $ (555) | $ (549) |
Percent of total | 4.12% | 4.32% |
LOANS - Unused lines of credit
LOANS - Unused lines of credit (Details) $ in Millions | Dec. 31, 2020USD ($) |
Unused Lines of Credit [Member] | |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |
Fair Value Disclosure, Off-balance Sheet Risks, Face Amount, Liability | $ 311 |
LOANS - Non-accrual and past du
LOANS - Non-accrual and past due loans - Tabular disclosure (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | $ 802 | $ 1,231 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 6,790 | 5,941 |
Financing Receivable, Past Due | 12,804 | 10,631 |
Total Current | 1,295,580 | 1,021,458 |
Loans | 1,304,384 | 1,029,975 |
Deferred loan (fees) cost, net | (4,000) | (2,114) |
Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 2,676 | 2,533 |
Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 2,536 | 926 |
Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 802 | 1,231 |
Financing Receivable, Past Due | 2,697 | 1,231 |
Total Current | 26,336 | 14,482 |
Loans | 29,033 | 15,713 |
Nonperforming Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 924 | |
Nonperforming Financial Instruments [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 971 | |
Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 6,790 | 5,941 |
Financing Receivable, Past Due | 10,107 | 9,400 |
Total Current | 1,269,244 | 1,006,976 |
Loans | 1,275,351 | 1,014,262 |
Performing Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 1,752 | 2,533 |
Performing Financial Instruments [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 1,565 | 926 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 154 | 181 |
Financing Receivable, Past Due | 162 | 181 |
Total Current | 236,573 | 221,697 |
Loans | 236,735 | 221,878 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 8 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 8 | |
Total Current | 881 | 677 |
Loans | 889 | 677 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Nonperforming Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 8 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 154 | 181 |
Financing Receivable, Past Due | 154 | 181 |
Total Current | 235,692 | 221,020 |
Loans | 235,846 | 221,201 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 9 | 321 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 2,008 | 1,832 |
Financing Receivable, Past Due | 3,897 | 2,628 |
Total Current | 604,585 | 456,487 |
Loans | 608,482 | 459,115 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 1,880 | 393 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 82 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 9 | |
Financing Receivable, Past Due | 833 | |
Total Current | 12,222 | |
Loans | 13,055 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Nonperforming Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 824 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 2,008 | |
Financing Receivable, Past Due | 3,064 | |
Total Current | 592,363 | |
Loans | 595,427 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Performing Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 1,056 | |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 2 | 46 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 3,601 | 2,824 |
Financing Receivable, Past Due | 4,617 | 4,012 |
Total Current | 121,083 | 71,736 |
Loans | 125,700 | 75,748 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 11 | 1,108 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 1,003 | 34 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 2 | 46 |
Financing Receivable, Past Due | 973 | 46 |
Total Current | 566 | 1,057 |
Loans | 1,539 | 1,103 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Nonperforming Financial Instruments [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 971 | |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 3,601 | 2,824 |
Financing Receivable, Past Due | 3,644 | 3,966 |
Total Current | 120,517 | 70,679 |
Loans | 124,161 | 74,645 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Performing Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 11 | 1,108 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Performing Financial Instruments [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 32 | 34 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 145 | 155 |
Financing Receivable, Past Due | 155 | 160 |
Total Current | 6,967 | 9,853 |
Loans | 7,122 | 10,013 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 10 | 5 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 2 | |
Total Current | 114 | |
Loans | 116 | |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Nonperforming Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 2 | |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 145 | 155 |
Financing Receivable, Past Due | 153 | 160 |
Total Current | 6,853 | 9,853 |
Loans | 7,006 | 10,013 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Performing Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 8 | 5 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | |
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | |
Financing Receivable, Past Due | 1,533 | 0 |
Total Current | 80,975 | 69,124 |
Loans | 82,508 | 69,124 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 0 | |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 1,533 | 0 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Current | 1,031 | 897 |
Loans | 1,031 | 897 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 1,533 | |
Total Current | 79,944 | 68,227 |
Loans | 81,477 | 68,227 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Performing Financial Instruments [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 1,533 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 321 | |
Financing Receivable, Past Due | 321 | |
Total Current | 5,449 | |
Loans | 5,770 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 1,832 | |
Financing Receivable, Past Due | 2,307 | |
Total Current | 451,038 | |
Loans | 453,345 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Performing Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 393 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Performing Financial Instruments [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 82 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 760 | 864 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 655 | 505 |
Financing Receivable, Past Due | 2,115 | 3,038 |
Total Current | 191,916 | 148,659 |
Loans | 194,031 | 151,697 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 700 | 859 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 810 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 760 | 864 |
Financing Receivable, Past Due | 850 | 864 |
Total Current | 10,886 | 6,354 |
Loans | 11,736 | 7,218 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Nonperforming Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 90 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 655 | 505 |
Financing Receivable, Past Due | 1,265 | 2,174 |
Total Current | 181,030 | 142,305 |
Loans | 182,295 | 144,479 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Performing Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 610 | 859 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Performing Financial Instruments [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 810 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 31 | |
Financing Receivable, Recorded Investment, Nonaccrual Status | 227 | 444 |
Financing Receivable, Past Due | 325 | 612 |
Total Current | 53,481 | 43,902 |
Loans | 53,806 | 44,514 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 67 | 168 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Nonperforming Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing | 31 | |
Financing Receivable, Past Due | 31 | |
Total Current | 636 | 48 |
Loans | 667 | 48 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 227 | 444 |
Financing Receivable, Past Due | 294 | 612 |
Total Current | 52,845 | 43,854 |
Loans | 53,139 | 44,466 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Performing Financial Instruments [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Past Due | 67 | 168 |
Unallocated Financing Receivables [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Deferred loan (fees) cost, net | (4,000) | (2,114) |
Unallocated Financing Receivables [Member] | Performing Financial Instruments [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Deferred loan (fees) cost, net | $ (4,000) | $ (2,114) |
LOANS - Non-accrual and past _2
LOANS - Non-accrual and past due loans - Additional information (Details) $ in Thousands | Dec. 31, 2020USD ($)loan | Dec. 31, 2019USD ($)loan |
LOANS | ||
Financing Receivable, 90 Days or More Past Due, Still Accruing, Loans, Number | loan | 9 | 6 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | $ | $ 802 | $ 1,231 |
LOANS - Impaired loans - Record
LOANS - Impaired loans - Recorded investment (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
With no related allowance, Recorded Investment | $ 8,412 | $ 10,240 |
With an related allowance, Recorded Investment | 2,152 | 972 |
Impaired Financing Receivable, Recorded Investment, Total | 10,564 | 11,212 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
With no related allowance, Contractual Unpaid Principal Balance | 9,415 | 14,322 |
With an related allowance, Contractual Unpaid Principal Balance | 2,432 | 1,372 |
Impaired Financing Receivable, Unpaid Principal Balance, Total | 11,847 | 15,694 |
Related Allowance | 758 | 413 |
Commercial Portfolio Segment [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Impaired Financing Receivable, Recorded Investment, Total | 9,629 | 9,749 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Impaired Financing Receivable, Unpaid Principal Balance, Total | 10,724 | 12,591 |
Related Allowance | 742 | 403 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
With no related allowance, Recorded Investment | 252 | 440 |
With an related allowance, Recorded Investment | 0 | |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
With no related allowance, Contractual Unpaid Principal Balance | 440 | 537 |
With an related allowance, Contractual Unpaid Principal Balance | 0 | |
Related Allowance | 0 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
With no related allowance, Recorded Investment | 5,090 | 5,585 |
With an related allowance, Recorded Investment | 415 | 0 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
With no related allowance, Contractual Unpaid Principal Balance | 5,426 | 6,750 |
With an related allowance, Contractual Unpaid Principal Balance | 415 | 0 |
Related Allowance | 323 | 0 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
With no related allowance, Recorded Investment | 2,231 | 2,796 |
With an related allowance, Recorded Investment | 1,641 | 731 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
With no related allowance, Contractual Unpaid Principal Balance | 2,525 | 4,051 |
With an related allowance, Contractual Unpaid Principal Balance | 1,918 | 1,056 |
Related Allowance | 419 | 403 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
With no related allowance, Recorded Investment | 250 | 284 |
With an related allowance, Recorded Investment | 0 | |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
With no related allowance, Contractual Unpaid Principal Balance | 287 | 293 |
With an related allowance, Contractual Unpaid Principal Balance | 0 | |
Related Allowance | 0 | |
Consumer Portfolio Segment [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Impaired Financing Receivable, Recorded Investment, Total | 250 | 284 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Impaired Financing Receivable, Unpaid Principal Balance, Total | 287 | 293 |
Related Allowance | 0 | |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
With no related allowance, Recorded Investment | 197 | |
With an related allowance, Recorded Investment | 0 | |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
With no related allowance, Contractual Unpaid Principal Balance | 197 | |
With an related allowance, Contractual Unpaid Principal Balance | 0 | |
Related Allowance | 0 | |
Residential Portfolio Segment [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Impaired Financing Receivable, Recorded Investment, Total | 685 | 1,179 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
Impaired Financing Receivable, Unpaid Principal Balance, Total | 836 | 2,810 |
Related Allowance | 16 | 10 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
With no related allowance, Recorded Investment | 383 | 543 |
With an related allowance, Recorded Investment | 82 | 160 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
With no related allowance, Contractual Unpaid Principal Balance | 478 | 678 |
With an related allowance, Contractual Unpaid Principal Balance | 83 | 222 |
Related Allowance | 7 | 0 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
With no related allowance, Recorded Investment | 206 | 395 |
With an related allowance, Recorded Investment | 14 | 81 |
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | ||
With no related allowance, Contractual Unpaid Principal Balance | 259 | 1,816 |
With an related allowance, Contractual Unpaid Principal Balance | 16 | 94 |
Related Allowance | $ 9 | $ 10 |
LOANS - Impaired loans - Averag
LOANS - Impaired loans - Average recorded investment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
With no related allowance, Average Recorded Investment | $ 8,914 | $ 12,714 |
With an related allowance, Average Recorded Investment | 2,292 | 1,360 |
Impaired Financing Receivable, Average Recorded Investment, Total | 11,206 | 14,074 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
With no related allowance, Interest Income Recognized on Impaired Loans | 338 | 567 |
With an related allowance, Interest Income Recognized on Impaired Loans | 117 | 58 |
Impaired Financing Receivable, Interest Income, Accrual Method, Total | 455 | 625 |
Commercial Portfolio Segment [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Impaired Financing Receivable, Average Recorded Investment, Total | 10,176 | 11,109 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Impaired Financing Receivable, Interest Income, Accrual Method, Total | 405 | 474 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
With no related allowance, Average Recorded Investment | 346 | 500 |
With an related allowance, Average Recorded Investment | 13 | |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
With no related allowance, Interest Income Recognized on Impaired Loans | 21 | 26 |
With an related allowance, Interest Income Recognized on Impaired Loans | 0 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
With no related allowance, Average Recorded Investment | 5,258 | 5,632 |
With an related allowance, Average Recorded Investment | 415 | 0 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
With no related allowance, Interest Income Recognized on Impaired Loans | 186 | 272 |
With an related allowance, Interest Income Recognized on Impaired Loans | 37 | 0 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
With no related allowance, Average Recorded Investment | 2,378 | 4,186 |
With an related allowance, Average Recorded Investment | 1,779 | 572 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
With no related allowance, Interest Income Recognized on Impaired Loans | 86 | 122 |
With an related allowance, Interest Income Recognized on Impaired Loans | 75 | 41 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
With no related allowance, Average Recorded Investment | 269 | 193 |
With an related allowance, Average Recorded Investment | 0 | |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
With no related allowance, Interest Income Recognized on Impaired Loans | 6 | 12 |
With an related allowance, Interest Income Recognized on Impaired Loans | 0 | |
Consumer Portfolio Segment [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Impaired Financing Receivable, Average Recorded Investment, Total | 269 | 193 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Impaired Financing Receivable, Interest Income, Accrual Method, Total | 6 | 12 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
With no related allowance, Average Recorded Investment | 206 | |
With an related allowance, Average Recorded Investment | 0 | |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
With no related allowance, Interest Income Recognized on Impaired Loans | 13 | |
With an related allowance, Interest Income Recognized on Impaired Loans | 0 | |
Residential Portfolio Segment [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
Impaired Financing Receivable, Average Recorded Investment, Total | 761 | 2,772 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
Impaired Financing Receivable, Interest Income, Accrual Method, Total | 44 | 139 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
With no related allowance, Average Recorded Investment | 430 | 793 |
With an related allowance, Average Recorded Investment | 83 | 212 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
With no related allowance, Interest Income Recognized on Impaired Loans | 33 | 36 |
With an related allowance, Interest Income Recognized on Impaired Loans | 5 | 10 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | ||
Impaired Financing Receivable, Average Recorded Investment [Abstract] | ||
With no related allowance, Average Recorded Investment | 233 | 1,204 |
With an related allowance, Average Recorded Investment | 15 | 563 |
Impaired Financing Receivable, Interest Income, Accrual Method [Abstract] | ||
With no related allowance, Interest Income Recognized on Impaired Loans | $ 6 | 86 |
With an related allowance, Interest Income Recognized on Impaired Loans | $ 7 |
LOANS - Impaired loans - Additi
LOANS - Impaired loans - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | $ 10,564 | $ 11,212 |
Impaired Financing Receivable, With Related Allowance, Recorded Investment | 2,152 | 972 |
Impaired Financing Receivable, Related Allowance | 758 | 413 |
Impaired Financing Receivable, With No Related Allowance, Recorded Investment | 8,412 | 10,240 |
Allowance for Loan and Lease Losses Write-offs, Net | 81 | 4,100 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | 6,800 | 5,900 |
Financial Asset, 1 to 89 Days Past Due [Member] | ||
Impaired Financing Receivable, Recorded Investment [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | $ 3,800 | $ 6,200 |
LOANS - Troubled debt restructu
LOANS - Troubled debt restructurings - Modified Loans (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)loan | Dec. 31, 2019USD ($)loan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | loan | 21 | 11 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 4,969 | $ 3,779 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | $ 4,560 | $ 3,534 |
Commercial Portfolio Segment [Member] | Commercial and industrial other loans [Member] | Other Loan [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | loan | 7 | 6 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 2,423 | $ 2,535 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | $ 2,326 | $ 2,380 |
Commercial Portfolio Segment [Member] | Commercial real estate [Member] | Real Estate Loan [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | loan | 2 | 3 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 759 | $ 752 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | $ 759 | $ 687 |
Commercial Portfolio Segment [Member] | Construction [Member] | Real Estate Loan [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | loan | 1 | 1 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 157 | $ 260 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | $ 123 | $ 259 |
Commercial Portfolio Segment [Member] | Loans to individuals [Member] | Other Loan [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | loan | 1 | |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 3 | |
Financing Receivable, Troubled Debt Restructuring, Postmodification | $ 3 | |
Residential Portfolio Segment [Member] | 1- to- 4 family residential real estate loans [Member] | Real Estate Loan [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | loan | 8 | 1 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 1,388 | $ 232 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | $ 1,118 | $ 208 |
Residential Portfolio Segment [Member] | HELOC [Member] | Real Estate Loan [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | loan | 2 | |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 239 | |
Financing Receivable, Troubled Debt Restructuring, Postmodification | $ 231 |
LOANS - Troubled debt restruc_2
LOANS - Troubled debt restructurings - Subsequent default (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)loan | Dec. 31, 2019USD ($)loan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Subsequent Default, Number of Contracts | loan | 8 | 2 |
Financing Receivable, Troubled Debt Restructuring, Subsequent Default | $ | $ 1,709 | $ 1,566 |
Commercial Portfolio Segment [Member] | Commercial and industrial other loans [Member] | Other Loan [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Subsequent Default, Number of Contracts | loan | 4 | 2 |
Financing Receivable, Troubled Debt Restructuring, Subsequent Default | $ | $ 1,403 | $ 1,566 |
Commercial Portfolio Segment [Member] | Construction [Member] | Real Estate Loan [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Subsequent Default, Number of Contracts | loan | 1 | |
Financing Receivable, Troubled Debt Restructuring, Subsequent Default | $ | $ 123 | |
Residential Portfolio Segment [Member] | 1- to- 4 family residential real estate loans [Member] | Real Estate Loan [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Subsequent Default, Number of Contracts | loan | 3 | |
Financing Receivable, Troubled Debt Restructuring, Subsequent Default | $ | $ 183 |
LOANS - Troubled debt restruc_3
LOANS - Troubled debt restructurings - Additional information (Details) $ in Millions | Dec. 31, 2020USD ($)loan | Dec. 31, 2019USD ($)loan |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Loans, Number | loan | 53 | 42 |
Financing Receivable, Troubled Debt Restructuring | $ | $ 11.3 | $ 9.4 |
Financial Asset, 1 to 89 Days Past Due [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Loans, Number | loan | 35 | 28 |
Financing Receivable, Troubled Debt Restructuring | $ | $ 7.5 | $ 6.2 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Loans, Number | loan | 18 | 14 |
Financing Receivable, Troubled Debt Restructuring | $ | $ 3.8 | $ 3.2 |
LOANS - Risk ratings - Tabular
LOANS - Risk ratings - Tabular disclosure (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | $ 1,304,384 | $ 1,029,975 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 236,735 | 221,878 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Very Good [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 70 | 110 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Good [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,770 | 8,674 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Acceptable [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 18,084 | 16,249 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Acceptable with Care [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 216,418 | 196,228 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 239 | 436 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 154 | 181 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 608,482 | 459,115 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Superior [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 123 | 337 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Very Good [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 8,129 | 1,245 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Good [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 80,401 | 62,643 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Acceptable [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 308,200 | 255,751 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Acceptable with Care [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 203,008 | 133,190 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,344 | 1,490 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,277 | 4,459 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 125,700 | 75,748 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Superior [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 56,510 | 4,014 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Very Good [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 508 | 349 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Good [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,693 | 5,976 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Acceptable [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 17,226 | 19,197 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Acceptable with Care [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 40,946 | 40,579 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,313 | 242 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,504 | 5,391 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 7,122 | 10,013 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 6,845 | 9,727 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 277 | 286 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 82,508 | 69,124 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Good [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,086 | 4,839 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Acceptable [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 46,820 | 41,113 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Acceptable with Care [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 32,068 | 23,172 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,534 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 194,031 | 151,697 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 190,975 | 147,958 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 633 | 1,246 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,423 | 2,493 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 53,806 | 44,514 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 52,756 | 43,585 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 226 | 76 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | $ 824 | $ 853 |
LOANS - Risk ratings - Allowanc
LOANS - Risk ratings - Allowance for loan losses (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
LOANS | ||||
Loans and Leases Receivable, Allowance | $ 14,108 | $ 8,324 | $ 8,669 | $ 8,835 |
LOANS - PCI loans - Contractual
LOANS - PCI loans - Contractually required payments (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
LOANS | ||
Contractually required payments | $ 37,241 | $ 20,598 |
Nonaccretable difference | 3,586 | 1,694 |
Cash flows expected to be collected | 33,655 | 18,904 |
Accretable yield | 4,622 | 3,191 |
Carrying value | $ 29,033 | $ 15,713 |
LOANS - PCI loans - Accretable
LOANS - PCI loans - Accretable yield (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Certain Loans Acquired in Transfer Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | ||
Accretable yield, beginning of period | $ 3,191 | $ 3,593 |
Additions | 2,949 | |
Accretion | (1,638) | (904) |
Reclassification from nonaccretable difference | 64 | 360 |
Other changes, net | 56 | 142 |
Accretable yield, end of period | $ 4,622 | $ 3,191 |
LOANS - Paycheck Protection Pro
LOANS - Paycheck Protection Program (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | $ 1,304,384 | $ 1,029,975 | ||
Loans and Leases Receivable, Allowance | 14,108 | 8,324 | $ 8,669 | $ 8,835 |
Allowance for Loan and Lease Losses, Write-offs | 748 | 1,156 | 469 | |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 125,700 | 75,748 | ||
Loans and Leases Receivable, Allowance | 3,505 | 1,305 | 976 | $ 807 |
Allowance for Loan and Lease Losses, Write-offs | 628 | $ 790 | $ 196 | |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Small Business Administration (SBA), CARES Act, Paycheck Protection Program [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 55,500 | |||
Loans and Leases Receivable, Allowance | $ 249 | |||
Loans and Leases Receivable, Percentage of Gross Loans | 0.45% | |||
Allowance for Loan and Lease Losses, Write-offs | $ 0 |
LOANS - Troubled debt restruc_4
LOANS - Troubled debt restructurings - CARES Act (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($)loan | |
LOANS | |
Financing Receivable, Not Classified as Troubled Debt Restructuring, CARES Act, Payment Deferrals, Loans, Granted, Number | loan | 497 |
Financing Receivable, Not Classified as Troubled Debt Restructuring, CARES Act, Payment Deferrals, Loans, Granted | $ | $ 252.3 |
Financing Receivable, Not Classified as Troubled Debt Restructuring, CARES Act, Payment Deferrals, Loans, Number | loan | 48 |
Financing Receivable, Not Classified as Troubled Debt Restructuring, CARES Act, Payment Deferrals, Loans | $ | $ 32.7 |
LOANS - Allowance for loan loss
LOANS - Allowance for loan losses - Roll forward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | $ 8,324 | $ 8,669 | $ 8,835 |
Provision for (recovery of) loan losses | 6,244 | 438 | (156) |
Loans charged-off | (748) | (1,156) | (469) |
Recoveries | 288 | 373 | 459 |
Allowance for loan losses, Balance, end of period | 14,108 | 8,324 | 8,669 |
Performing Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 8,055 | 8,066 | 8,704 |
Provision for (recovery of) loan losses | 6,178 | 772 | (628) |
Loans charged-off | (748) | (1,156) | (469) |
Recoveries | 288 | 373 | 459 |
Allowance for loan losses, Balance, end of period | 13,773 | 8,055 | 8,066 |
Nonperforming Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 269 | 603 | 131 |
Provision for (recovery of) loan losses | 66 | (334) | 472 |
Allowance for loan losses, Balance, end of period | 335 | 269 | 603 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 1,737 | 1,385 | 1,955 |
Provision for (recovery of) loan losses | 628 | 334 | (576) |
Recoveries | 18 | 6 | |
Allowance for loan losses, Balance, end of period | 2,365 | 1,737 | 1,385 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Performing Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 1,731 | 1,385 | 1,955 |
Provision for (recovery of) loan losses | 603 | 328 | (576) |
Recoveries | 18 | 6 | |
Allowance for loan losses, Balance, end of period | 2,334 | 1,731 | 1,385 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Nonperforming Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 6 | ||
Provision for (recovery of) loan losses | 25 | 6 | |
Allowance for loan losses, Balance, end of period | 31 | 6 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 2,851 | 3,409 | 3,370 |
Provision for (recovery of) loan losses | 2,678 | (742) | (7) |
Loans charged-off | (70) | (10) | (2) |
Recoveries | 17 | 194 | 48 |
Allowance for loan losses, Balance, end of period | 5,476 | 2,851 | 3,409 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Performing Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 2,837 | 3,024 | 3,304 |
Provision for (recovery of) loan losses | 2,688 | (371) | (326) |
Loans charged-off | (70) | (10) | (2) |
Recoveries | 17 | 194 | 48 |
Allowance for loan losses, Balance, end of period | 5,472 | 2,837 | 3,024 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Nonperforming Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 14 | 385 | 66 |
Provision for (recovery of) loan losses | (10) | (371) | 319 |
Allowance for loan losses, Balance, end of period | 4 | 14 | 385 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 1,305 | 976 | 807 |
Provision for (recovery of) loan losses | 2,659 | 1,107 | 126 |
Loans charged-off | (628) | (790) | (196) |
Recoveries | 169 | 12 | 239 |
Allowance for loan losses, Balance, end of period | 3,505 | 1,305 | 976 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Performing Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 1,127 | 762 | 742 |
Provision for (recovery of) loan losses | 2,634 | 1,143 | (23) |
Loans charged-off | (628) | (790) | (196) |
Recoveries | 169 | 12 | 239 |
Allowance for loan losses, Balance, end of period | 3,302 | 1,127 | 762 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Nonperforming Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 178 | 214 | 65 |
Provision for (recovery of) loan losses | 25 | (36) | 149 |
Allowance for loan losses, Balance, end of period | 203 | 178 | 214 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 175 | 206 | 305 |
Provision for (recovery of) loan losses | (36) | 152 | 1 |
Loans charged-off | (50) | (206) | (191) |
Recoveries | 20 | 23 | 91 |
Allowance for loan losses, Balance, end of period | 109 | 175 | 206 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Performing Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 175 | 206 | 305 |
Provision for (recovery of) loan losses | (36) | 152 | 1 |
Loans charged-off | (50) | (206) | (191) |
Recoveries | 20 | 23 | 91 |
Allowance for loan losses, Balance, end of period | 109 | 175 | 206 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 434 | 471 | 791 |
Provision for (recovery of) loan losses | 393 | (37) | (320) |
Recoveries | 4 | ||
Allowance for loan losses, Balance, end of period | 831 | 434 | 471 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Performing Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 419 | 471 | 791 |
Provision for (recovery of) loan losses | 397 | (52) | (320) |
Recoveries | 4 | ||
Allowance for loan losses, Balance, end of period | 820 | 419 | 471 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Nonperforming Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 15 | ||
Provision for (recovery of) loan losses | (4) | 15 | |
Allowance for loan losses, Balance, end of period | 11 | 15 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 1,493 | 1,667 | 1,058 |
Provision for (recovery of) loan losses | (76) | (207) | 589 |
Loans charged-off | (12) | ||
Recoveries | 33 | 33 | 32 |
Allowance for loan losses, Balance, end of period | 1,450 | 1,493 | 1,667 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Performing Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 1,437 | 1,663 | 1,058 |
Provision for (recovery of) loan losses | (105) | (259) | 585 |
Loans charged-off | (12) | ||
Recoveries | 33 | 33 | 32 |
Allowance for loan losses, Balance, end of period | 1,365 | 1,437 | 1,663 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Nonperforming Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 56 | 4 | |
Provision for (recovery of) loan losses | 29 | 52 | 4 |
Allowance for loan losses, Balance, end of period | 85 | 56 | 4 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 329 | 555 | 549 |
Provision for (recovery of) loan losses | (2) | (169) | 31 |
Loans charged-off | (150) | (68) | |
Recoveries | 45 | 93 | 43 |
Allowance for loan losses, Balance, end of period | 372 | 329 | 555 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Performing Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan losses, Balance, beginning of period | 329 | 555 | 549 |
Provision for (recovery of) loan losses | (3) | (169) | 31 |
Loans charged-off | (150) | (68) | |
Recoveries | 45 | 93 | 43 |
Allowance for loan losses, Balance, end of period | 371 | $ 329 | $ 555 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Nonperforming Financial Instruments [Member] | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Provision for (recovery of) loan losses | 1 | ||
Allowance for loan losses, Balance, end of period | $ 1 |
LOANS - Allowance for loan lo_2
LOANS - Allowance for loan losses - Evaluated for impairment (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||
Ending Balance | $ 14,108 | $ 8,324 | $ 8,669 | $ 8,835 |
Ending Balance: individually evaluated for impairment | 758 | 413 | 87 | |
Ending Balance: collectively evaluated for impairment | 13,350 | 7,911 | 8,582 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | ||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||
Ending Balance | 2,365 | 1,737 | 1,385 | 1,955 |
Ending Balance: individually evaluated for impairment | 14 | |||
Ending Balance: collectively evaluated for impairment | 2,365 | 1,737 | 1,371 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | ||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||
Ending Balance | 5,476 | 2,851 | 3,409 | 3,370 |
Ending Balance: individually evaluated for impairment | 323 | |||
Ending Balance: collectively evaluated for impairment | 5,153 | 2,851 | 3,409 | |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | ||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||
Ending Balance | 3,505 | 1,305 | 976 | 807 |
Ending Balance: individually evaluated for impairment | 419 | 403 | 51 | |
Ending Balance: collectively evaluated for impairment | 3,086 | 902 | 925 | |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | ||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||
Ending Balance | 109 | 175 | 206 | 305 |
Ending Balance: collectively evaluated for impairment | 109 | 175 | 206 | |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | ||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||
Ending Balance | 831 | 434 | 471 | 791 |
Ending Balance: collectively evaluated for impairment | 831 | 434 | 471 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | ||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||
Ending Balance | 1,450 | 1,493 | 1,667 | 1,058 |
Ending Balance: individually evaluated for impairment | 9 | 10 | 22 | |
Ending Balance: collectively evaluated for impairment | 1,441 | 1,483 | 1,645 | |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | ||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||
Ending Balance | 372 | 329 | 555 | $ 549 |
Ending Balance: individually evaluated for impairment | 7 | |||
Ending Balance: collectively evaluated for impairment | $ 365 | $ 329 | $ 555 |
LOANS - Loans evaluated for imp
LOANS - Loans evaluated for impairment (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: individually evaluated for impairment | $ 10,564 | $ 11,212 | $ 11,734 |
Ending balance | 1,308,384 | 1,032,089 | 987,779 |
Performing Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 1,268,789 | 1,005,164 | 956,777 |
Nonperforming Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 29,031 | 15,713 | 19,268 |
Real Estate Loan [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance | 1,175,562 | 946,328 | |
Other Loan [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance | 132,822 | 85,761 | |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: individually evaluated for impairment | 252 | 440 | 588 |
Ending balance | 236,735 | 221,878 | 170,404 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Performing Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 235,594 | 220,761 | 169,065 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Construction [Member] | Nonperforming Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 889 | 677 | 751 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: individually evaluated for impairment | 5,505 | 5,585 | 5,678 |
Ending balance | 608,482 | 459,115 | 457,611 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Performing Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 589,922 | 447,760 | 444,354 |
Commercial Portfolio Segment [Member] | Real Estate Loan [Member] | Commercial real estate [Member] | Nonperforming Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 13,055 | 5,770 | 7,579 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: individually evaluated for impairment | 3,872 | 3,527 | 3,526 |
Ending balance | 125,700 | 75,748 | 74,181 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Performing Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 120,291 | 71,118 | 68,891 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Commercial and industrial other loans [Member] | Nonperforming Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 1,537 | 1,103 | 1,764 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: individually evaluated for impairment | 250 | 284 | 101 |
Ending balance | 7,122 | 10,013 | 12,814 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Performing Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 6,756 | 9,729 | 12,713 |
Commercial Portfolio Segment [Member] | Other Loan [Member] | Loans to individuals & overdrafts [Member] | Nonperforming Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 116 | ||
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: individually evaluated for impairment | 197 | 215 | |
Ending balance | 82,508 | 69,124 | 63,459 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Performing Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 81,477 | 68,030 | 62,307 |
Consumer Portfolio Segment [Member] | Real Estate Loan [Member] | Multi-family residential [Member] | Nonperforming Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 1,031 | 897 | 937 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: individually evaluated for impairment | 220 | 476 | 709 |
Ending balance | 194,031 | 151,697 | 159,597 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Performing Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 182,075 | 144,003 | 150,700 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | 1- to- 4 family residential real estate loans [Member] | Nonperforming Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 11,736 | 7,218 | 8,188 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: individually evaluated for impairment | 465 | 703 | 917 |
Ending balance | 53,806 | 44,514 | 49,713 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Performing Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | 52,674 | 43,763 | 48,747 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | HELOC [Member] | Nonperforming Financial Instruments [Member] | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Ending balance: collectively evaluated for impairment | $ 667 | $ 48 | $ 49 |
OTHER REAL ESTATE OWNED - Roll
OTHER REAL ESTATE OWNED - Roll forward (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Repossessed Assets [Abstract] | ||
Beginning balance | $ 3,533 | $ 1,088 |
Sales | (1,091) | (120) |
Write-downs and loss on sale | (544) | (49) |
Transfers | 274 | 2,614 |
Ending balance | $ 2,172 | $ 3,533 |
OTHER REAL ESTATE OWNED - Addit
OTHER REAL ESTATE OWNED - Additional information (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Repossessed Assets [Abstract] | |||
Real Estate Acquired Through Foreclosure | $ 2,172 | $ 3,533 | $ 1,088 |
Residential Portfolio Segment [Member] | |||
Repossessed Assets [Abstract] | |||
Real Estate Acquired Through Foreclosure | $ 2,200 |
OTHER REAL ESTATE OWNED - Mortg
OTHER REAL ESTATE OWNED - Mortgage loans in process of foreclosure (Details) $ in Thousands | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($)loan |
Banking and Thrift, Other Disclosures [Abstract] | ||
Mortgage Loans in Process of Foreclosure, Loans, Number | loan | 3 | |
Mortgage Loans in Process of Foreclosure, Amount | $ | $ 0 | $ 114 |
PREMISES AND EQUIPMENT - Tabula
PREMISES AND EQUIPMENT - Tabular disclosure (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
PREMISES AND EQUIPMENT | ||
Land | $ 6,141 | $ 4,846 |
Buildings | 17,271 | 15,692 |
Furniture and equipment | 9,378 | 8,077 |
Leasehold improvements | 536 | 498 |
Property, Plant and Equipment, Gross | 33,326 | 29,113 |
Less accumulated depreciation | 12,739 | 11,322 |
Total | $ 20,587 | $ 17,791 |
PREMISES AND EQUIPMENT - Deprec
PREMISES AND EQUIPMENT - Depreciation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
PREMISES AND EQUIPMENT | |||
Depreciation | $ 1.4 | $ 1.8 | $ 1.7 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS - Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2018 | |
Goodwill [Roll Forward] | ||
Goodwill, Beginning Balance | $ 24,579 | $ 24,904 |
Goodwill, Purchase Accounting Adjustments | (325) | |
Goodwill, Acquired During Period | 18,328 | |
Goodwill, Ending Balance | $ 42,907 | $ 24,579 |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS - Finite-lived Intangible Assets - Roll forward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Finite-lived Intangible Assets [Roll Forward] | |||
Finite-Lived Intangible Assets, Net, Beginning Balance | $ 1,610 | $ 2,085 | $ 3,101 |
Finite-lived Intangible Assets Acquired | 620 | 350 | |
Amortization of Intangible Assets | (717) | (825) | (1,016) |
Finite-Lived Intangible Assets, Net, Ending Balance | $ 1,513 | $ 1,610 | $ 2,085 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS - Finite-lived Intangible Assets - Total (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Finite-Lived Intangible Assets, Net [Abstract] | ||||
Finite-Lived Intangible Assets, Gross | $ 6,889 | $ 6,269 | $ 5,919 | $ 5,919 |
Finite-Lived Intangible Assets, Accumulated Amortization | (5,376) | (4,659) | (3,834) | (2,818) |
Finite-Lived Intangible Assets, Net, Total | $ 1,513 | $ 1,610 | $ 2,085 | $ 3,101 |
GOODWILL AND OTHER INTANGIBLE_6
GOODWILL AND OTHER INTANGIBLE ASSETS - Finite-lived Intangible Assets - Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||||
2021 | $ 543 | |||
2022 | 384 | |||
2023 | 231 | |||
2024 | 112 | |||
2025 | 87 | |||
Thereafter | 156 | |||
Finite-Lived Intangible Assets, Net, Total | $ 1,513 | $ 1,610 | $ 2,085 | $ 3,101 |
DEPOSITS - Maturities of time d
DEPOSITS - Maturities of time deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Time Deposits, Fiscal Year Maturity [Abstract] | ||
2021 | $ 310,448 | |
2022 | 60,554 | |
2023 | 8,552 | |
2024 | 5,229 | |
2025 | 3,471 | |
Thereafter | 127 | |
Time Deposits, Total | $ 388,381 | $ 429,260 |
DEPOSITS - Additional informati
DEPOSITS - Additional information (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
DEPOSITS | ||
Time Deposits, $250,000 or More | $ 133.9 | $ 150.4 |
REVENUE RECOGNITION - General i
REVENUE RECOGNITION - General information (Details) - Accounting Standards Update 2014-09 [Member] | Dec. 31, 2020 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted | true |
Change in Accounting Principle, Accounting Standards Update, Adoption Date | Jan. 1, 2018 |
REVENUE RECOGNITION - Tabular D
REVENUE RECOGNITION - Tabular Disclosure (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 3,471 | $ 3,211 | $ 2,781 |
Revenue Not from Contract with Customer, Excluding Interest Income | 2,649 | 2,208 | 1,920 |
TOTAL NON-INTEREST INCOME | 6,120 | 5,419 | 4,701 |
Deposit Account [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,092 | 1,161 | 1,124 |
Financial Service, Other [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,379 | $ 2,050 | $ 1,657 |
SHORT-TERM AND LONG-TERM DEBT -
SHORT-TERM AND LONG-TERM DEBT - Short-term debt (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Short-term Debt [Abstract] | |
Short-term Debt | $ 0 |
SHORT-TERM AND LONG-TERM DEBT_2
SHORT-TERM AND LONG-TERM DEBT - Long-term debt (Details) - USD ($) $ in Thousands | Sep. 20, 2004 | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | |||
Long-term Debt | $ 12,372 | $ 57,372 | |
Junior Subordinated Debt [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt | 12,400 | 12,400 | |
Debt Instrument, Face Amount | $ 12,400 | ||
Junior Subordinated Debt [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 2.15% | ||
Federal Home Loan Bank Advances [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt | 45,000 | ||
Debt Instrument, Collateral Amount | 93,700 | $ 108,300 | |
Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt | 0 | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 249,100 |
INCOME TAXES - Provision for in
INCOME TAXES - Provision for income taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Current tax provision: | |||
Federal | $ 2,505 | $ 2,699 | $ 2,366 |
State | 419 | 412 | 483 |
Total current tax provision | 2,924 | 3,111 | 2,849 |
Deferred tax provision: | |||
Federal | (566) | 575 | 943 |
State | (143) | 10 | 118 |
Total deferred tax provision | (709) | 585 | 1,061 |
Income Tax Expense (Benefit), Total | $ 2,215 | $ 3,696 | $ 3,910 |
INCOME TAXES - Statutory rate (
INCOME TAXES - Statutory rate (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 21.00% | 21.00% |
INCOME TAXES - Reconciliation (
INCOME TAXES - Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Income tax at federal statutory rate | $ 2,179 | $ 3,513 | $ 3,715 |
State income taxes, net of federal tax effect | 219 | 333 | 475 |
Tax-exempt interest income | (86) | (95) | (99) |
Income from life insurance | (135) | (141) | (144) |
Incentive stock option expense | 35 | 41 | (2) |
Merger expenses | 20 | ||
Other permanent differences | 3 | 45 | (55) |
Income Tax Expense (Benefit), Total | $ 2,215 | $ 3,696 | $ 3,910 |
INCOME TAXES - Deferred taxes (
INCOME TAXES - Deferred taxes (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred tax assets relating to: | ||
Allowance for loan losses | $ 3,241 | $ 1,913 |
Deferred compensation | 149 | 116 |
Net operating loss carryforwards | 83 | 541 |
Acquisition accounting | 977 | 1,024 |
Write-downs on foreclosed real estate | 170 | 120 |
Other | 269 | 229 |
Total deferred tax assets | 4,889 | 3,943 |
Deferred tax liabilities relating to: | ||
Premises and equipment | (917) | (796) |
Deferred loan fees/costs | (80) | (73) |
Unrealized gains on available-for-sale securities | (586) | (268) |
Core deposit intangible | (105) | (8) |
Total deferred tax liabilities | (1,688) | (1,145) |
Net recorded deferred tax asset, included in other assets | $ 3,201 | $ 2,798 |
INCOME TAXES - Tax rates (Detai
INCOME TAXES - Tax rates (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 21.00% | 21.00% |
State Income Tax Rate, Percent | 2.50% | 2.50% | 3.00% |
INCOME TAXES - Operating loss c
INCOME TAXES - Operating loss carry forward (Details) $ in Thousands | Dec. 31, 2020USD ($) |
INCOME TAXES | |
Operating Loss Carryforwards | $ 395 |
INCOME TAXES - Valuation allowa
INCOME TAXES - Valuation allowance (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred Tax Assets, Net [Abstract] | ||
Deferred Tax Assets, Net | $ 3,201 | $ 2,798 |
REGULATORY MATTERS - Minimum re
REGULATORY MATTERS - Minimum regulatory capital requirements (Details) $ in Thousands | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital, Actual Amount | $ 195,001 | $ 205,462 |
Capital to Risk Weighted Assets, Actual Ratio | 0.1384 | 0.1826 |
Capital Required for Capital Adequacy, Amount | $ 112,732 | $ 90,003 |
Capital Required for Capital Adequacy to Risk Weighted Assets, Ratio | 0.0800 | 0.0800 |
Tier One Risk Based Capital, Actual Amount | $ 180,893 | $ 197,138 |
Tier One Risk Based Capital to Risk Weighted Assets, Actual Ratio | 0.1284 | 0.1752 |
Tier One Risk Based Capital Required for Capital Adequacy, Amount | $ 84,549 | $ 67,502 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets, Ratio | 0.0600 | 0.0600 |
Common Equity Tier One Risk Based Capital, Amount | $ 168,893 | $ 185,138 |
Common Equity Tier One Risk Based Capital to Risk Weighted Assets, Ratio | 0.1199 | 0.1646 |
Common Equity Tier One Risk Based Capital Required for Capital Adequacy, Amount | $ 63,412 | $ 50,627 |
Common Equity Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets, Ratio | 0.0450 | 0.0450 |
Tier One Leverage Capital, Actual Amount | $ 180,893 | $ 197,138 |
Tier One Leverage Capital to Average Assets, Actual Ratio | 0.1041 | 0.1584 |
Tier One Leverage Capital Required for Capital Adequacy, Amount | $ 69,519 | $ 49,777 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets, Ratio | 0.0400 | 0.0400 |
Subsidiaries [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital, Actual Amount | $ 174,245 | $ 177,223 |
Capital to Risk Weighted Assets, Actual Ratio | 0.1243 | 0.1569 |
Capital Required for Capital Adequacy, Amount | $ 112,168 | $ 90,366 |
Capital Required for Capital Adequacy to Risk Weighted Assets, Ratio | 0.0800 | 0.0800 |
Capital Required to be Well Capitalized | $ 140,210 | $ 112,958 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 0.1000 | 10 |
Tier One Risk Based Capital, Actual Amount | $ 160,137 | $ 168,899 |
Tier One Risk Based Capital to Risk Weighted Assets, Actual Ratio | 0.1142 | 0.1495 |
Tier One Risk Based Capital Required for Capital Adequacy, Amount | $ 84,126 | $ 67,775 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets, Ratio | 0.0600 | 0.0600 |
Tier One Risk Based Capital Required to be Well Capitalized | $ 112,168 | $ 90,366 |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 0.0800 | 0.0800 |
Common Equity Tier One Risk Based Capital, Amount | $ 160,137 | $ 168,899 |
Common Equity Tier One Risk Based Capital to Risk Weighted Assets, Ratio | 0.1142 | 0.1495 |
Common Equity Tier One Risk Based Capital Required for Capital Adequacy, Amount | $ 63,095 | $ 50,831 |
Common Equity Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets, Ratio | 0.0450 | 0.0450 |
Common Equity Tier One Risk Based Capital Required to be Well Capitalized, Amount | $ 91,137 | $ 73,422 |
Common Equity Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets, Ratio | 0.0650 | 0.0650 |
Tier One Leverage Capital, Actual Amount | $ 160,137 | $ 168,899 |
Tier One Leverage Capital to Average Assets, Actual Ratio | 0.0925 | 0.1359 |
Tier One Leverage Capital Required for Capital Adequacy, Amount | $ 69,226 | $ 49,730 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets, Ratio | 0.0400 | 0.0400 |
Tier One Leverage Capital Required to be Well Capitalized | $ 86,532 | $ 62,162 |
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | 0.0500 | 0.0500 |
REGULATORY MATTERS - Capital co
REGULATORY MATTERS - Capital conservation buffer (Details) | Dec. 31, 2020 | Dec. 31, 2019 |
Banking Regulation, Capital Conservation Buffer [Abstract] | ||
Banking Regulation, Capital Conservation Buffer, Total Risk-Based Capital, Actual | 0.0443 | 0.0769 |
REGULATORY MATTERS - Additional
REGULATORY MATTERS - Additional information (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2004 | Sep. 20, 2004 | |
Subsidiaries [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Proceeds from Issuance of Trust Preferred Securities | $ 12 | |
Junior Subordinated Debt [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Debt Instrument, Face Amount | $ 12.4 |
OFF-BALANCE SHEET RISK - Tabula
OFF-BALANCE SHEET RISK - Tabular disclosure (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Commitments to Extend Credit [Member] | |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |
Fair Value Disclosure, Off-balance Sheet Risks, Amount, Liability | $ 308,523 |
Letter of Credit [Member] | |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |
Fair Value Disclosure, Off-balance Sheet Risks, Amount, Liability | $ 2,500 |
OFF-BALANCE SHEET RISK - Additi
OFF-BALANCE SHEET RISK - Additional information (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
OFF-BALANCE SHEET RISK | ||
Other Commitment | $ 425 | $ 425 |
FAIR VALUE MEASUREMENTS - Recur
FAIR VALUE MEASUREMENTS - Recurring basis (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | $ 194,492 | $ 72,367 |
Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 194,492 | 72,367 |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 50,232 | 9,996 |
US Government-sponsored Enterprises Debt Securities [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 50,232 | 9,996 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 48,931 | 47,743 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 48,931 | 47,743 |
Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 2,350 | 2,299 |
Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 2,350 | 2,299 |
Municipal Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 92,979 | 12,329 |
Municipal Bonds [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 92,979 | 12,329 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 194,492 | 72,367 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 194,492 | 72,367 |
Fair Value, Inputs, Level 2 [Member] | US Government-sponsored Enterprises Debt Securities [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 50,232 | 9,996 |
Fair Value, Inputs, Level 2 [Member] | Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 48,931 | 47,743 |
Fair Value, Inputs, Level 2 [Member] | Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | 2,350 | 2,299 |
Fair Value, Inputs, Level 2 [Member] | Municipal Bonds [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Securities, Available-for-sale | $ 92,979 | $ 12,329 |
FAIR VALUE MEASUREMENTS - Non-r
FAIR VALUE MEASUREMENTS - Non-recurring basis - General information (Details) - Fair Value, Nonrecurring [Member] | Dec. 31, 2020 | Dec. 31, 2019 |
Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of Discount from Impaired Loans | 1.00% | 5.00% |
Percentage of Discount from Foreclosed Real Estate | 7.00% | 6.00% |
Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of Discount from Impaired Loans | 17.00% | 50.00% |
Percentage of Discount from Foreclosed Real Estate | 10.00% | 10.00% |
FAIR VALUE MEASUREMENTS - Non_2
FAIR VALUE MEASUREMENTS - Non-recurring basis - Tabular Disclosure (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Financing Receivable, Recorded Investment, Nonaccrual Status | $ 6,790 | $ 5,941 | |
Foreclosed real estate | 2,172 | 3,533 | $ 1,088 |
Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Financing Receivable, Recorded Investment, Nonaccrual Status | 6,790 | 5,941 | |
Foreclosed real estate | 2,172 | 3,533 | |
Total | 8,962 | 9,474 | |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Financing Receivable, Recorded Investment, Nonaccrual Status | 6,790 | 5,941 | |
Foreclosed real estate | 2,172 | 3,533 | |
Total | $ 8,962 | $ 9,474 |
FAIR VALUE MEASUREMENTS - Non_3
FAIR VALUE MEASUREMENTS - Non-recurring basis - Impaired loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Financing Receivable, Individually Evaluated for Impairment | $ 10,564 | $ 11,212 | $ 11,734 |
Financing Receivable, Recorded Investment, Nonaccrual Status | 6,790 | 5,941 | |
Impaired Financing Receivable, With Related Allowance, Recorded Investment | 2,152 | 972 | |
Impaired Financing Receivable, Related Allowance | 758 | 413 | |
Allowance for Loan and Lease Losses Write-offs, Net | 81 | 4,100 | |
Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Financing Receivable, Recorded Investment, Nonaccrual Status | $ 6,790 | $ 5,941 |
FAIR VALUE MEASUREMENTS - Carry
FAIR VALUE MEASUREMENTS - Carrying values and estimated fair values (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and due from banks | $ 23,324 | $ 19,110 |
Interest-earning deposits in other banks | 87,399 | 50,920 |
Federal funds sold | 5,364 | 9,047 |
Investment securities available for sale, at fair value | 194,492 | 72,367 |
Accrued interest receivable | 5,110 | 4,189 |
Other non-marketable securities | 709 | 719 |
Financial Liabilities Fair Value Disclosure [Abstract] | ||
Accrued interest payable | 246 | 578 |
Reported Value Measurement [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and due from banks | 23,324 | 19,110 |
Interest-earning deposits in other banks | 87,399 | 50,920 |
Federal funds sold | 5,364 | 9,047 |
Investment securities available for sale, at fair value | 194,492 | 72,367 |
Loans held for sale | 2,064 | 928 |
Loans, net | 1,290,276 | 1,021,651 |
Accrued interest receivable | 5,110 | 4,189 |
Stock in the FHLB | 1,147 | 3,045 |
Other non-marketable securities | 709 | 719 |
Financial Liabilities Fair Value Disclosure [Abstract] | ||
Deposits | 1,485,817 | 992,838 |
Long-term debt | 12,372 | 57,372 |
Accrued interest payable | 246 | 578 |
Estimated Fair Value [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and due from banks | 23,324 | 19,110 |
Interest-earning deposits in other banks | 87,399 | 50,920 |
Federal funds sold | 5,364 | 9,047 |
Investment securities available for sale, at fair value | 194,492 | 72,367 |
Loans held for sale | 2,064 | 928 |
Loans, net | 1,294,552 | 1,016,239 |
Accrued interest receivable | 5,110 | 4,189 |
Stock in the FHLB | 1,147 | 3,045 |
Other non-marketable securities | 709 | 719 |
Financial Liabilities Fair Value Disclosure [Abstract] | ||
Deposits | 1,489,220 | 995,056 |
Long-term debt | 9,965 | 55,729 |
Accrued interest payable | 246 | 578 |
Fair Value, Inputs, Level 1 [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and due from banks | 23,324 | 19,110 |
Interest-earning deposits in other banks | 87,399 | 50,920 |
Federal funds sold | 5,364 | 9,047 |
Fair Value, Inputs, Level 2 [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Investment securities available for sale, at fair value | 194,492 | 72,367 |
Loans held for sale | 2,064 | 928 |
Accrued interest receivable | 5,110 | 4,189 |
Financial Liabilities Fair Value Disclosure [Abstract] | ||
Deposits | 995,056 | |
Long-term debt | 9,965 | 55,729 |
Accrued interest payable | 246 | 578 |
Fair Value, Inputs, Level 3 [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Loans, net | 1,294,552 | 1,016,239 |
Stock in the FHLB | 1,147 | 3,045 |
Other non-marketable securities | 709 | $ 719 |
Financial Liabilities Fair Value Disclosure [Abstract] | ||
Deposits | $ 1,489,220 |
EMPLOYEE AND DIRECTOR BENEFIT_3
EMPLOYEE AND DIRECTOR BENEFIT PLANS - 401(k) Plan (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
EMPLOYEE AND DIRECTOR BENEFIT PLANS | |||
Defined Contribution Plan, Tax Status | us-gaap:QualifiedPlanMember | us-gaap:QualifiedPlanMember | us-gaap:QualifiedPlanMember |
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 100.00% | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 6.00% | ||
Defined Contribution Plan, Cost | $ 779 | $ 698 | $ 639 |
EMPLOYEE AND DIRECTOR BENEFIT_4
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Supplemental Executive Retirement Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Supplemental Executive Retirement Plan, Former Chief Executive Officer, 2003 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Type | us-gaap:SupplementalEmployeeRetirementPlanDefinedBenefitMember | us-gaap:SupplementalEmployeeRetirementPlanDefinedBenefitMember | us-gaap:SupplementalEmployeeRetirementPlanDefinedBenefitMember |
Defined Benefit Plan, Tax Status | us-gaap:NonqualifiedPlanMember | us-gaap:NonqualifiedPlanMember | us-gaap:NonqualifiedPlanMember |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | $ 138 | $ 81 | $ 36 |
Liability, Defined Benefit Plan | $ 408 | $ 514 | |
Supplemental Early Retirement Plan, Chief Executive Officer, Progressive State Bank, Acquiree [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Type | us-gaap:SupplementalEmployeeRetirementPlanDefinedBenefitMember | us-gaap:SupplementalEmployeeRetirementPlanDefinedBenefitMember | us-gaap:SupplementalEmployeeRetirementPlanDefinedBenefitMember |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | $ 1 | $ 81 | $ (35) |
Liability, Defined Benefit Plan | $ 255 | $ 265 | |
Supplemental Executive Retirement Plan, Two Executives, 2019 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Type | us-gaap:SupplementalEmployeeRetirementPlanDefinedBenefitMember | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | $ 137 | ||
Liability, Defined Benefit Plan | $ 201 |
EMPLOYEE AND DIRECTOR BENEFIT_5
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Directors Deferred Compensation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
EMPLOYEE AND DIRECTOR BENEFIT PLANS | |||
Deferred Compensation Arrangement with Individual, Compensation Expense | $ 211 | $ 200 | $ 97 |
Common Stock Issued, Employee Trust, Deferred | $ 2,416 | $ 2,815 |
EMPLOYEE AND DIRECTOR BENEFIT_6
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - General information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 296,889 | 268,542 |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 540,566 | 568,913 |
Outstanding options, number outstanding, options granted/vested | 42,500 | |
2004 Incentive Stock Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 9,500 | |
2008 Omnibus Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 26,269 | |
2010 Omnibus Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 160,120 | |
2018 Omnibus Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 101,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 540,566 | |
Director [Member] | 2018 Omnibus Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Outstanding options, number outstanding, options granted/vested | 10,569 | |
Director [Member] | 2018 Omnibus Plan [Member] | Share-based Payment Arrangement, Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares Granted, Value, Share-based Payment Arrangement, before Forfeiture | $ 130 | |
One Director [Member] | 2018 Omnibus Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Outstanding options, number outstanding, options granted/vested | 813 |
EMPLOYEE AND DIRECTOR BENEFIT_7
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - Weighted average fair market value of options (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 5.66 | $ 5.99 | $ 6.07 |
Share-based Payment Arrangement, Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Risk-free interest rate | 1.72% | 2.59% | 2.94% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Volatility | 41.12% | 42.18% | 36.67% |
Expected life (in years) | 8 years | 8 years | 8 years |
EMPLOYEE AND DIRECTOR BENEFIT_8
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - Shares available for future grant (Details) - shares | Dec. 31, 2020 | Dec. 31, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 540,566 | 568,913 |
EMPLOYEE AND DIRECTOR BENEFIT_9
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - Stock option activity (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding options, number outstanding, beginning balance | 268,542 | |
Outstanding options, number outstanding, options granted/vested | 42,500 | |
Outstanding options, number outstanding, options exercised | (11,653) | |
Outstanding options, number outstanding, options expired | (2,500) | |
Outstanding options, number outstanding, ending balance | 296,889 | 268,542 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ||
Outstanding options, weighted-average exercise price, beginning balance | $ 9.55 | |
Outstanding options, weighted-average exercise price, options exercised | 4.56 | |
Outstanding options, weighted-average exercise price, options forfeited | 10.92 | |
Outstanding options, weighted-average exercise price, ending balance | $ 10.11 | $ 9.55 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||
Exercisable options, number outstanding, balance | 162,567 | 121,660 |
Exercisable options, number outstanding, options granted/vested | 55,060 | |
Exercisable options, number outstanding, options exercised | (11,653) | |
Exercisable options, number outstanding, options expired | (2,500) | |
Exercisable options, weighted-average exercise price, balance | $ 9.01 | $ 7.80 |
Exercisable options, weighted-average exercise price, options granted/vested | 10.57 | |
Exercisable options, weighted-average exercise price, options exercised | 4.56 | |
Exercisable options, weighted-average exercise price, options expired | $ 5.19 |
EMPLOYEE AND DIRECTOR BENEFI_10
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - Aggregate intrinsic value (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 243 | $ 740 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value | $ 235 | $ 548 |
EMPLOYEE AND DIRECTOR BENEFI_11
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - Unrecognized compensation expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized [Abstract] | |||
Share-based Payment Arrangement, Nonvested Award, Option, Cost Not yet Recognized, Amount | $ 528 | $ 460 | $ 642 |
Share-based Payment Arrangement, Option [Member] | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized [Abstract] | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 6 months |
EMPLOYEE AND DIRECTOR BENEFI_12
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - Weighted-average remaining life (Details) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 5 years 10 months 13 days | 4 years 3 months |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | 6 years 6 months 25 days | 4 years 10 months 6 days |
EMPLOYEE AND DIRECTOR BENEFI_13
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - Exercise price range (Details) | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Share-based Payment Arrangement, Option, Exercise Price Range, End of Period [Abstract] | |
Number of options outstanding, at end of year | 296,889 |
Number of options exercisable, outstanding at end of year | 162,567 |
Excercise Price Range One [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $ / shares | $ 2.25 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | $ / shares | $ 7.07 |
Share-based Payment Arrangement, Option, Exercise Price Range, End of Period [Abstract] | |
Number of options outstanding, at end of year | 53,769 |
Number of options exercisable, outstanding at end of year | 53,767 |
Excercise Price Range Two [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $ / shares | $ 7.08 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | $ / shares | $ 10.69 |
Share-based Payment Arrangement, Option, Exercise Price Range, End of Period [Abstract] | |
Number of options outstanding, at end of year | 41,620 |
Number of options exercisable, outstanding at end of year | 27,900 |
Excercise Price Range Three [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $ / shares | $ 10.70 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | $ / shares | $ 12.99 |
Share-based Payment Arrangement, Option, Exercise Price Range, End of Period [Abstract] | |
Number of options outstanding, at end of year | 201,500 |
Number of options exercisable, outstanding at end of year | 80,900 |
EMPLOYEE AND DIRECTOR BENEFI_14
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - Non-vested option activity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward] | |||
Non-vested options, beginning balance | 146,882 | ||
Non-vested options, granted | 42,500 | ||
Non-vested options, vested | (52,560) | ||
Non-vested options, expired | (2,500) | ||
Non-vested options, ending balance | 134,322 | 146,882 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Non-vested options, weighted-average grant date fair value, beginning balance | $ 5.51 | ||
Non-vested options, weighted-average grant date fair value, granted | 5.66 | $ 5.99 | $ 6.07 |
Non-vested options, weighted-average grant date fair value, vested | 5.55 | ||
Non-vested options, weighted-average grant date fair value, expired | 3.14 | ||
Non-vested options, weighted-average grant date fair value, ending balance | $ 5.65 | $ 5.51 |
EMPLOYEE AND DIRECTOR BENEFI_15
EMPLOYEE AND DIRECTOR BENEFIT PLANS - Equity-Based Compensation Plans - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 60 | $ 148 | $ 213 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | 291 | 179 | $ 181 |
Share-based Payment Arrangement, Additional Disclosure [Abstract] | |||
Share-based Payment Arrangement, Exercise of Option, Tax Benefit | $ 1 | $ 68 |
PARENT COMPANY FINANCIAL DATA -
PARENT COMPANY FINANCIAL DATA - Condensed Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Assets | ||||
Other assets | $ 13,991 | $ 7,202 | ||
Total Assets | 1,730,045 | 1,275,076 | ||
Liabilities and Shareholders' Equity | ||||
Total Liabilities | 1,514,677 | 1,062,301 | ||
Shareholders' equity: | ||||
Common stock | 17,507 | 18,330 | ||
Additional paid-in capital | 135,058 | 140,870 | ||
Retained earnings | 60,838 | 52,675 | ||
Common stock issued to deferred compensation trust, at cost; 312,956 and 303,239 shares outstanding at September 30, | (2,416) | (2,815) | ||
Directors' Deferred Compensation Plan Rabbi Trust | 2,416 | 2,815 | ||
Accumulated other comprehensive income | 1,965 | 900 | ||
Total Shareholders' Equity | 215,368 | 212,775 | $ 209,611 | $ 136,115 |
Total Liabilities and Shareholders' Equity | 1,730,045 | 1,275,076 | ||
Parent Company [Member] | ||||
Assets | ||||
Cash balances with Select Bank & Trust | 14,784 | 22,556 | ||
Investment in Select Bank & Trust | 206,612 | 196,536 | ||
Investment in New Century Statutory Trust I | 609 | 598 | ||
Other assets | 6,008 | 5,711 | ||
Total Assets | 228,013 | 225,401 | ||
Liabilities and Shareholders' Equity | ||||
Junior subordinated debentures | 12,372 | 12,372 | ||
Accrued interest and other liabilities | 273 | 254 | ||
Total Liabilities | 12,645 | 12,626 | ||
Shareholders' equity: | ||||
Common stock | 17,507 | 18,330 | ||
Additional paid-in capital | 135,058 | 140,870 | ||
Retained earnings | 60,838 | 52,675 | ||
Common stock issued to deferred compensation trust, at cost; 312,956 and 303,239 shares outstanding at September 30, | (2,416) | (2,815) | ||
Directors' Deferred Compensation Plan Rabbi Trust | 2,416 | 2,815 | ||
Accumulated other comprehensive income | 1,965 | 900 | ||
Total Shareholders' Equity | 215,368 | 212,775 | ||
Total Liabilities and Shareholders' Equity | $ 228,013 | $ 225,401 |
PARENT COMPANY FINANCIAL DATA_2
PARENT COMPANY FINANCIAL DATA - Condensed Statements of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Condensed Income Statements, Captions [Line Items] | |||
Income tax benefit | $ (2,215) | $ (3,696) | $ (3,910) |
Net income | 8,163 | 13,035 | 13,782 |
Parent Company [Member] | |||
Condensed Income Statements, Captions [Line Items] | |||
Equity in earnings of subsidiaries | 9,384 | 14,153 | 39,153 |
Subsidiary Investment Income Dividend | (25,000) | ||
Dividends in excess of earnings | 383 | 434 | 642 |
Operating expense | (1,884) | (1,862) | (1,275) |
Income tax benefit | 280 | 310 | 262 |
Net income | $ 8,163 | $ 13,035 | $ 13,782 |
PARENT COMPANY FINANCIAL DATA_3
PARENT COMPANY FINANCIAL DATA - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
NET CASH PROVIDED BY OPERATING ACTIVITIES | |||
Net income | $ 8,163 | $ 13,035 | $ 13,782 |
Stock based compensation | 360 | 369 | 178 |
Net change in other assets | (5,779) | (1,708) | 2,578 |
Net cash used in operating activities | 8,453 | 13,359 | 4,813 |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Repurchase common stock | (7,107) | (11,427) | 0 |
Proceeds from issuance of common stock | 0 | 0 | 63,250 |
Direct expenses related to capital transaction | 0 | 0 | 3,444 |
Net cash provided by (used) financing activities | 254,688 | (31,516) | 62,287 |
Net increase in cash and cash equivalents | 37,010 | (60,285) | 76,667 |
CASH AND CASH EQUIVALENTS, BEGINNING | 79,077 | 139,362 | 62,695 |
CASH AND CASH EQUIVALENTS, ENDING | 116,087 | 79,077 | 139,362 |
Parent Company [Member] | |||
NET CASH PROVIDED BY OPERATING ACTIVITIES | |||
Net income | 8,163 | 13,035 | 13,782 |
Equity in undistributed income of subsidiaries | (9,384) | (14,153) | (39,153) |
Stock based compensation | 360 | 369 | 178 |
Net change in other assets | 65 | (456) | (283) |
Net change in other liabilities | 19 | 11 | (12,185) |
Net cash used in operating activities | (777) | (1,194) | (37,661) |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Proceeds from stock option exercises | 112 | 228 | 187 |
Repurchase common stock | 7,107 | 11,427 | 0 |
Proceeds from issuance of common stock | 63,250 | ||
Direct expenses related to capital transaction | (3,444) | ||
Net cash provided by (used) financing activities | (6,995) | (11,199) | 59,993 |
Net increase in cash and cash equivalents | (7,772) | (12,393) | 22,332 |
CASH AND CASH EQUIVALENTS, BEGINNING | 22,556 | 34,949 | 12,617 |
CASH AND CASH EQUIVALENTS, ENDING | $ 14,784 | $ 22,556 | $ 34,949 |
RELATED PARTY TRANSACTIONS - Su
RELATED PARTY TRANSACTIONS - Summary of related party loan transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Receivables, Other, Related Parties and Retainage [Abstract] | ||
Balance at January 1 | $ 7,227 | $ 12,658 |
Borrowings | 2,549 | 5,110 |
Directors/executive officers resigned or retired from board | (967) | (647) |
Loan repayments | (4,090) | (9,894) |
Balance at December 31 | $ 4,719 | $ 7,227 |
RELATED PARTY TRANSACTIONS - Ad
RELATED PARTY TRANSACTIONS - Additional information (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Related Party Transaction [Line Items] | |||
Loans and Leases Receivable, Related Parties | $ 4,719 | $ 7,227 | $ 12,658 |
Related Party Deposit Liabilities | 37,600 | ||
Unused Lines of Credit [Member] | |||
Related Party Transaction [Line Items] | |||
Loans and Leases Receivable, Related Parties | $ 510,000 |
CAPITAL TRANSACTIONS (Details)
CAPITAL TRANSACTIONS (Details) - USD ($) $ in Thousands | 5 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Sep. 10, 2019 | Dec. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Sep. 22, 2020 | Sep. 17, 2019 | Aug. 31, 2016 | |
Equity, Class of Treasury Stock [Line Items] | |||||||
Stock repurchase plan, shares repurchased | $ 7,107 | $ 11,427 | |||||
Common Stock Repurchase Plan, August 2016 [Member] | |||||||
Equity, Class of Treasury Stock [Line Items] | |||||||
Stock repurchase plan, authorized shares (in shares) | 581,518 | ||||||
Stock repurchase plan, shares repurchased (in shares) | 581,518 | ||||||
Common Stock Repurchase Plan, 17 September 2019, Plan 2 [Member] | |||||||
Equity, Class of Treasury Stock [Line Items] | |||||||
Stock repurchase plan, authorized shares (in shares) | 937,248 | ||||||
Stock repurchase plan, shares repurchased (in shares) | 510,506 | ||||||
Stock repurchase plan, shares repurchased | $ 4,300 | ||||||
Common Stock Repurchase Plan, 22 September 2020, Plan 3 [Member] | |||||||
Equity, Class of Treasury Stock [Line Items] | |||||||
Stock repurchase plan, authorized shares (in shares) | 875,000 | ||||||
Stock repurchase plan, shares repurchased (in shares) | 324,102 | ||||||
Stock repurchase plan, shares repurchased | $ 2,800 | ||||||
Stock repurchase plan, authorized shares remaining (in shares) | 550,898 | 550,898 |
LEASES - Terms (Details)
LEASES - Terms (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Month-to-month, Expiration Term, Maximum | 1 year |
Minimum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Remaining Lease Term | 1 year |
Lessee, Operating Lease, Renewal Term | 1 year |
Maximum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Remaining Lease Term | 15 years |
Lessee, Operating Lease, Options to Extend | 5 years |
Lessee, Operating Lease, Renewal Term | 25 years |
LEASES - Practical expedients (
LEASES - Practical expedients (Details) | Dec. 31, 2020 |
LEASES | |
Lease, Practical Expedient, Lessor Single Lease Component | true |
LEASES - Future minimum lease p
LEASES - Future minimum lease payments (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |
2021 | $ 744 |
2022 | 816 |
2023 | 796 |
2024 | 769 |
2025 | 842 |
Thereafter | 5,557 |
Total lease payments | 9,524 |
Corporate Offices and Branches [Member] | |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |
2021 | 1,198 |
2022 | 1,230 |
2023 | 1,166 |
2024 | 1,100 |
2025 | 1,131 |
Thereafter | 6,519 |
Total lease payments | $ 12,344 |
LEASES - Payments under opertat
LEASES - Payments under opertating leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash Flow, Operating Activities, Lessee [Abstract] | |||
Payments under operating leases | $ 1,202 | $ 1,054 | $ 1,200 |
LEASES - Rental income (Details
LEASES - Rental income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income and Expenses, Lessee [Abstract] | |||
Sublease Income | $ 367 | $ 449 | $ 426 |
LEASES - Lease cost (Details)
LEASES - Lease cost (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
LEASES | ||
Operating lease cost | $ 1,202 | $ 1,054 |
LEASES - Supplemental cash flow
LEASES - Supplemental cash flow information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
LEASES | |||
Operating cash flows from operating leases | $ 1,202 | $ 1,054 | $ 1,200 |
Right-of-use assets obtained in exchange for lease obligations | $ 8,558 | $ 8,596 |
LEASES - Weighted average lease
LEASES - Weighted average lease terms and discount rates (Details) | Dec. 31, 2020 |
LEASES | |
Weighted Average Remaining Lease Term - Operating leases | 11 years 8 months 12 days |
Weighted Average Discount Rate - Operating leases | 6.00% |
LEASES - Gross difference (Deta
LEASES - Gross difference (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Operating Lease Liabilities, Gross Difference, Amount [Abstract] | ||
Total lease payments | $ 9,524 | |
Amounts representing interest | (594) | |
Present Value of Net Future Minimum Lease Payments | $ 8,930 | $ 8,813 |