Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2016 | Aug. 02, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Southern National Bancorp of Virginia Inc | |
Entity Central Index Key | 1,325,670 | |
Trading Symbol | sona | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 12,260,943 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2016 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q2 |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | |
Cash and cash equivalents: | |||
Cash and due from financial institutions | $ 4,367 | $ 3,972 | |
Interest-bearing deposits in other financial institutions | 37,338 | 26,364 | |
Total cash and cash equivalents | 41,705 | 30,336 | |
Securities available for sale, at fair value | 3,722 | 4,209 | |
Securities held to maturity, at amortized cost (fair value of $93,151 and $96,464, respectively) | 92,285 | 96,780 | |
Total loans | 906,336 | 829,425 | |
Less allowance for loan losses | (8,421) | (8,421) | |
Net loans | 897,915 | 821,004 | |
Stock in Federal Reserve Bank and Federal Home Loan Bank | 7,610 | 6,929 | |
Equity investment in mortgage affiliate | 4,695 | 4,459 | |
Preferred investment in mortgage affiliate | 2,555 | 2,555 | |
Bank premises and equipment, net | 8,560 | 8,882 | |
Goodwill | 10,514 | 10,514 | |
Core deposit intangibles, net | 969 | 1,093 | |
FDIC indemnification asset | 2,503 | 2,922 | |
Bank-owned life insurance | 23,475 | 23,126 | |
Other real estate owned | 9,458 | 10,439 | |
Deferred tax assets, net | 6,850 | 6,716 | |
Other assets | 7,877 | 6,143 | |
Total assets | 1,120,693 | 1,036,107 | |
LIABILITIES AND STOCKHOLDERS' EQUITY | |||
Noninterest-bearing demand deposits | 88,808 | 83,769 | |
Interest-bearing deposits: | |||
NOW accounts | 32,287 | 28,080 | |
Cash management accounts | 10,675 | ||
Money market accounts | 126,693 | 131,731 | |
Savings accounts | 52,971 | 49,939 | |
Time deposits | 591,316 | 531,775 | |
Total interest-bearing deposits | 813,942 | 741,525 | |
Total deposits | 902,750 | 825,294 | |
Securities sold under agreements to repurchase | 10,381 | ||
Federal Home Loan Bank (FHLB) advances - short term | 77,500 | 59,000 | |
Federal Home Loan Bank (FHLB) advances - long term | 10,000 | 15,000 | |
Other liabilities | 7,486 | 6,796 | |
Total liabilities | 997,736 | 916,471 | |
Commitments and contingencies (See Note 5) | |||
Stockholders' equity: | |||
Preferred stock, $.01 par value. Authorized 5,000,000 shares; no shares issued and outstanding | |||
Common stock, $.01 par value. Authorized 45,000,000 shares; issued and outstanding, 12,248,943 shares at June 30, 2016 and 12,234,443 at December 31, 2015 | 122 | 122 | |
Additional paid in capital | 104,629 | 104,389 | |
Retained earnings | 19,131 | 15,735 | |
Accumulated other comprehensive loss | (925) | (610) | |
Total stockholders' equity | 122,957 | 119,636 | |
Total liabilities and stockholders' equity | 1,120,693 | 1,036,107 | |
Covered loans | |||
Cash and cash equivalents: | |||
Total loans | [1] | 31,633 | 34,373 |
Less allowance for loan losses | |||
Non-covered loans | |||
Cash and cash equivalents: | |||
Total loans | 874,703 | 795,052 | |
Less allowance for loan losses | $ (8,421) | $ (8,421) | |
[1] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering non-single family loans expired in December 2014. |
CONSOLIDATED BALANCE SHEETS (U3
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parentheticals) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Statement Of Financial Position [Abstract] | ||
Securities held to maturity fair value (in dollars) | $ 93,151 | $ 96,464 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 45,000,000 | 45,000,000 |
Common stock, shares issued | 12,248,943 | 12,248,943 |
Common stock, shares outstanding | 12,234,443 | 12,234,443 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Interest and dividend income : | ||||
Interest and fees on loans | $ 11,241 | $ 9,970 | $ 21,998 | $ 19,521 |
Interest and dividends on taxable securities | 797 | 531 | 1,478 | 1,185 |
Interest and dividends on tax exempt securities | 84 | 101 | 168 | 202 |
Interest and dividends on other earning assets | 169 | 130 | 320 | 259 |
Total interest and dividend income | 12,291 | 10,732 | 23,964 | 21,167 |
Interest expense: | ||||
Interest on deposits | 1,978 | 1,525 | 3,790 | 2,864 |
Interest on borrowings | 139 | 183 | 288 | 352 |
Total interest expense | 2,117 | 1,708 | 4,078 | 3,216 |
Net interest income | 10,174 | 9,024 | 19,886 | 17,951 |
Provision for loan losses | 1,387 | 1,500 | 2,012 | 2,025 |
Net interest income after provision for loan losses | 8,787 | 7,524 | 17,874 | 15,926 |
Noninterest income: | ||||
Account maintenance and deposit service fees | 228 | 239 | 451 | 460 |
Income from bank-owned life insurance | 175 | 154 | 349 | 304 |
Equity income from mortgage affiliate | 552 | 793 | 632 | 778 |
Gain on sale of other assets | 7 | 7 | ||
Net gain on sale of available for sale securities | 520 | 520 | ||
Other | 37 | 46 | 61 | 95 |
Total noninterest income | 992 | 1,759 | 1,493 | 2,164 |
Noninterest expenses: | ||||
Salaries and benefits | 2,926 | 2,836 | 6,054 | 5,639 |
Occupancy expenses | 785 | 826 | 1,594 | 1,697 |
Furniture and equipment expenses | 248 | 224 | 437 | 434 |
Amortization of core deposit intangible | 62 | 65 | 124 | 130 |
Virginia franchise tax expense | 97 | 88 | 194 | 176 |
FDIC assessment | 168 | 156 | 313 | 328 |
Data processing expense | 177 | 170 | 349 | 334 |
Telephone and communication expense | 198 | 201 | 385 | 407 |
Change in FDIC indemnification asset | 203 | 117 | 419 | 246 |
Net (gain) loss on other real estate owned | (38) | (57) | 83 | 263 |
Other operating expenses | 771 | 963 | 1,678 | 1,756 |
Total noninterest expenses | 5,597 | 5,589 | 11,630 | 11,410 |
Income before income taxes | 4,182 | 3,694 | 7,737 | 6,680 |
Income tax expense | 1,393 | 1,228 | 2,382 | 2,210 |
Net income | 2,789 | 2,466 | 5,355 | 4,470 |
Other comprehensive income (loss): | ||||
Unrealized loss on available for sale securities | (147) | (241) | (484) | (218) |
Realized amount on securities sold, net | (520) | (520) | ||
Non-credit component of other-than-temporary impairment on held-to-maturity securities | 4,278 | 4,278 | ||
Accretion of amounts previously recorded upon transfer to held-to-maturity from available-for-sale | 4 | 3 | 7 | 25 |
Net unrealized gain (loss) | (143) | 3,520 | (477) | 3,565 |
Tax effect | 48 | (1,196) | 162 | (1,212) |
Other comprehensive income (loss) | (95) | 2,324 | (315) | 2,353 |
Comprehensive income | $ 2,694 | $ 4,790 | $ 5,040 | $ 6,823 |
Earnings per share, basic (in dollars per share) | $ 0.23 | $ 0.20 | $ 0.44 | $ 0.37 |
Earnings per share, diluted (in dollars per share) | $ 0.23 | $ 0.20 | $ 0.43 | $ 0.36 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - 6 months ended Jun. 30, 2016 - USD ($) $ in Thousands | Common Stock | Additional Paid in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Total |
Balance at Dec. 31, 2015 | $ 122 | $ 104,389 | $ 15,735 | $ (610) | $ 119,636 |
Comprehensive income | |||||
Net income | 5,355 | 5,355 | |||
Change in unrealized loss on securities available for sale (net of tax benefit, $164) | (320) | (320) | |||
Change in unrecognized loss on securities held to maturity for which a portion of OTTI has been recognized (net of tax, $2 and accretion, $5 and amounts recorded into other comprehensive income at transfer) | 5 | 5 | |||
Dividends on common stock ($.16 per share) | (1,959) | (1,959) | |||
Issuance of common stock under Stock Incentive Plan (14,500 shares) | 104 | 104 | |||
Stock-based compensation expense | 136 | 136 | |||
Balance at Jun. 30, 2016 | $ 122 | $ 104,629 | $ 19,131 | $ (925) | $ 122,957 |
CONSOLIDATED STATEMENT OF CHAN6
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) (Parentheticals) $ in Thousands | 6 Months Ended |
Jun. 30, 2016USD ($)$ / sharesshares | |
Statement Of Stockholders Equity [Abstract] | |
Tax on change in unrealized loss on securities available for sale | $ 164 |
Tax on change in unrecognized loss on securities held to maturity, portion of OTTI | 2 |
Accretion on change in unrecognized loss on securities held to maturity, portion of OTTI | $ 5 |
Common stock dividends per share (in dollars per share) | $ / shares | $ 0.16 |
Issuance of common shares under Stock Incentive Plan (in shares) | shares | 14,500 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Operating activities: | ||
Net income | $ 5,355 | $ 4,470 |
Adjustments to reconcile net income to net cash and cash equivalents provided by operating activities: | ||
Depreciation | 415 | 451 |
Amortization of core deposit intangible | 124 | 130 |
Other amortization, net | (97) | 62 |
Accretion of loan discount | (993) | (1,412) |
Amortization of FDIC indemnification asset | 419 | 246 |
Provision for loan losses | 2,012 | 2,025 |
Earnings on bank-owned life insurance | (349) | (304) |
Equity income on mortgage affiliate | (632) | (778) |
Stock based compensation expense | 136 | 169 |
Net gain on sale of available for sale securities | (520) | |
Net loss on other real estate owned | 83 | 263 |
Net (increase) decrease in other assets | (1,720) | 1,105 |
Net increase (decrease) in other liabilities | 690 | (620) |
Net cash and cash equivalents provided by operating activities | 5,443 | 5,287 |
Investing activities: | ||
Proceeds from sales of available for sale securities | 3,966 | |
Purchases of held to maturity securities | (25,063) | (7,156) |
Proceeds from paydowns, maturities and calls of held to maturity securities | 29,679 | 6,401 |
Loan originations and payments, net | (78,074) | (60,194) |
Investment in mortgage affiliate | (634) | |
Distribution from mortgage affiliate | 396 | |
Net increase in stock in Federal Reserve Bank and Federal Home Loan Bank | (681) | (451) |
Payments received on FDIC indemnification asset | 3 | |
Proceeds from sale of other real estate owned | 1,042 | 481 |
Purchases of bank premises and equipment | (93) | (196) |
Net cash and cash equivalents used in investing activities | (72,794) | (57,780) |
Financing activities: | ||
Net increase in deposits | 67,075 | 74,605 |
Cash dividends paid - common stock | (1,959) | (1,958) |
Purchase of common stock | (365) | |
Issuance of common stock under Stock Incentive Plan | 104 | 425 |
Net increase in securities sold under agreement to repurchase and other short-term and long-term borrowings | 13,500 | 15,992 |
Net cash and cash equivalents provided by financing activities | 78,720 | 88,699 |
Increase in cash and cash equivalents | 11,369 | 36,206 |
Cash and cash equivalents at beginning of period | 30,336 | 38,320 |
Cash and cash equivalents at end of period | 41,705 | 74,526 |
Cash payments for: | ||
Interest | 4,089 | 3,056 |
Income taxes | 2,658 | 2,310 |
Supplemental schedule of noncash investing and financing activities | ||
Transfer from non-covered loans to other real estate owned | $ 1,340 | |
Transfer from covered loans to other real estate owned | $ 144 |
ACCOUNTING POLICIES
ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
ACCOUNTING POLICIES | 1. ACCOUNTING POLICIES Southern National Bancorp of Virginia, Inc. (“Southern National” or “SNBV”) is a corporation formed on July 28, 2004 under the laws of the Commonwealth of Virginia and is the holding company for Sonabank (“Sonabank”) a Virginia state chartered bank which commenced operations on April 14, 2005. Sonabank provides a range of financial services to individuals and small and medium sized businesses. Sonabank has fifteen branches in Virginia, located in Fairfax County (Reston, McLean and Fairfax), in Charlottesville, Warrenton (2), Middleburg, Leesburg (2), South Riding, Front Royal, New Market, Haymarket, Richmond and Clifton Forge, and eight branches in Maryland, in Rockville, Shady Grove, Frederick, Bethesda, Upper Marlboro, Brandywine, Owings and Huntingtown. The consolidated financial statements include the accounts of Southern National Bancorp of Virginia, Inc. and its subsidiary. Significant inter-company accounts and transactions have been eliminated in consolidation. The unaudited consolidated financial statements have been prepared in accordance with U. S. generally accepted accounting principles (“U. S. GAAP”) for interim financial information and instructions for Form 10-Q and follow general practice within the banking industry. Accordingly, the unaudited consolidated financial statements do not include all of the information and footnotes required by U. S. GAAP for complete financial statements. However, in the opinion of management, all adjustments (consisting only of normal recurring accruals) necessary for a fair presentation of the results of the interim periods presented have been made. The results of operations for the interim periods are not necessarily indicative of the results that may be expected for the full year. For further information, refer to the consolidated financial statements and footnotes thereto included in Southern National’s Form 10-K for the year ended December 31, 2015. Use of Estimates The preparation of the consolidated financial statements in conformity with U. S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the carrying value of investment securities, other than temporary impairment of investment securities, the valuation of goodwill and intangible assets, the FDIC indemnification asset, mortgage servicing rights, other real estate owned and deferred tax assets. Recent Accounting Pronouncements In September 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-12, Compensation—Stock Compensation (Topic 718): Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved After the Requisite Service Period In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs. In February 2015, the FASB issued ASU No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments In January 2016, the FASB issued ASU 2016-1, Financial Instruments Overall (Topic 825): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU 2016-07 , Investments – Equity Method and Joint Ventures (Topic 323), Simplifying the Transition to the Equity Method of Accounting In March 2016, the FASB issued ASU 2016-08 , Revenue from Contracts with Customers (Topic 606), Principal versus Agent Considerations (Reporting Revenue Gross versus Net) Revenue from Contracts with Customers (Topic 606) In March 2016, the FASB issued ASU 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In June 2016 , Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments sets forth a “current expected credit loss” ("CECL") model requiring the Company to measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable supportable forecasts. This replaces the existing incurred loss model and is applicable to the measurement of credit losses on financial assets measured at amortized cost and applies to some off-balance sheet credit exposures. For public business entities that are U.S. Securities and Exchange Commission filers, the amendments in this update are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. SNBV is currently assessing the impact of the adoption of this ASU on its consolidated financial statements . |
STOCK- BASED COMPENSATION
STOCK- BASED COMPENSATION | 6 Months Ended |
Jun. 30, 2016 | |
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract] | |
STOCK-BASED COMPENSATION | 2. STOCK- BASED COMPENSATION In 2004, the Board of Directors adopted a stock option plan that authorized the reservation of up to 302,500 shares of common stock and provided for the granting of stock options to certain directors, officers and employees. The 2010 Stock Awards and Incentive Plan was approved by the Board of Directors in January 2010 and approved by the stockholders at the Annual Meeting in April 2010. The 2010 plan authorized the reservation of an additional 700,000 shares of common stock for the granting of stock awards. The options granted to officers and employees are incentive stock options and the options granted to non-employee directors are non-qualified stock options. The purpose of the plan is to afford key employees an incentive to remain in the employ of Southern National and to assist in the attracting and retaining of non-employee directors by affording them an opportunity to share in Southern National’s future success. Under the plan, the option’s price cannot be less than the fair market value of the stock on the grant date. The maximum term of the options is ten years and options granted may be subject to a graded vesting schedule. Southern National granted 136,000 options during the first six months of 2016. The fair value of each option granted is estimated on the date of grant using the Black-Scholes options-pricing model. The following weighted-average assumptions were used to value options granted in the six months ended June 30, 2016: Expected life 10 years Expected volatility 14.16 % Risk-free interest rate 1.62 % Weighted average fair value per option granted $ 0.63 Dividend yield 4.44 % For the three and six months ended June 30, 2016 and 2015, stock-based compensation expense was $58 thousand and $136 thousand, respectively, compared to $85 thousand and $169 thousand for the same periods last year. As of June 30, 2016, unrecognized compensation expense associated with the stock options was $574 thousand, which is expected to be recognized over a weighted average period of 2.8 years. A summary of the activity in the stock option plan during the six months ended June 30, 2016 follows (dollars in thousands): Weighted Weighted Average Aggregate Average Remaining Intrinsic Exercise Contractual Value Shares Price Term (in thousands) Options outstanding, beginning of period 664,400 $ 9.00 Granted 136,000 11.99 Forfeited - - Exercised (14,500 ) 7.16 Options outstanding, end of period 785,900 $ 9.55 7.0 $ 2,051 Vested or expected to vest 785,900 $ 9.55 7.0 $ 2,051 Exercisable at end of period 383,340 $ 7.82 4.9 $ 1,520 |
SECURITIES
SECURITIES | 6 Months Ended |
Jun. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
SECURITIES | 3. SECURITIES The amortized cost and fair value of available for sale securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) were as follows (in thousands): Amortized Gross Unrealized Fair June 30, 2016 Cost Gains Losses Value Obligations of states and political subdivisions $ 2,284 $ 64 $ - $ 2,348 Trust preferred securities 2,589 - (1,215 ) 1,374 $ 4,873 $ 64 $ (1,215 ) $ 3,722 Amortized Gross Unrealized Fair December 31, 2015 Cost Gains Losses Value Obligations of states and political subdivisions $ 2,287 $ 25 $ - $ 2,312 Trust preferred securities 2,590 - (693 ) 1,897 $ 4,877 $ 25 $ (693 ) $ 4,209 The amortized cost, unrecognized gains and losses, and fair value of securities held to maturity were as follows (in thousands): Amortized Gross Unrecognized Fair June 30, 2016 Cost Gains Losses Value Residential government-sponsored mortgage-backed securities $ 20,667 $ 714 $ (11 ) 21,370 Residential government-sponsored collateralized mortgage obligations 2,679 10 (6 ) 2,683 Government-sponsored agency securities 51,970 277 (6 ) 52,241 Obligations of states and political subdivisions 12,750 349 (5 ) 13,094 Trust preferred securities 4,219 - (456 ) 3,763 $ 92,285 $ 1,350 $ (484 ) $ 93,151 Amortized Gross Unrecognized Fair December 31, 2015 Cost Gains Losses Value Residential government-sponsored mortgage-backed securities $ 20,751 $ 459 $ (22 ) $ 21,188 Residential government-sponsored collateralized mortgage obligations 2,946 - (66 ) 2,880 Government-sponsored agency securities 55,937 222 (618 ) 55,541 Obligations of states and political subdivisions 12,794 157 (67 ) 12,884 Trust preferred securities 4,352 - (381 ) 3,971 $ 96,780 $ 838 $ (1,154 ) $ 96,464 The amortized cost amounts are net of recognized other than temporary impairment. The fair value and carrying amount, if different, of debt securities as of June 30, 2016, by contractual maturity were as follows (in thousands). Securities not due at a single maturity date, primarily mortgage-backed securities and collateralized mortgage obligations, are shown separately. Held to Maturity Available for Sale Amortized Amortized Cost Fair Value Cost Fair Value Due in five to ten years $ 7,195 $ 7,378 $ - $ - Due after ten years 61,744 61,720 4,873 3,722 Residential government-sponsored mortgage-backed securities 20,667 21,370 - - Residential government-sponsored collateralized mortgage obligations 2,679 2,683 - - Total $ 92,285 $ 93,151 $ 4,873 $ 3,722 Securities with a carrying amount of approximately $86.0 million and $89.7 million at June 30, 2016 and December 31, 2015, respectively, were pledged to secure public deposits, certain other deposits and a line of credit for advances from the Federal Home Loan Bank of Atlanta (“FHLB”). Southern National monitors the portfolio for indicators of other than temporary impairment. At June 30, 2016 and December 31, 2015, certain securities’ fair values were below cost. As outlined in the table below, there were securities with fair values totaling approximately $12.9 million in the portfolio with the carrying value exceeding the estimated fair value that are considered temporarily impaired at June 30, 2016. Because the decline in fair value is attributable to changes in interest rates and market illiquidity, and not credit quality, and because we do not have the intent to sell these securities and it is likely that we will not be required to sell the securities before their anticipated recovery, management does not consider these securities to be other-than-temporarily impaired as of June 30, 2016. The following tables present information regarding securities in a continuous unrealized loss position as of June 30, 2016 and December 31, 2015 (in thousands) by duration of time in a loss position: June 30, 2016 Less than 12 months 12 Months or More Total Available for Sale Fair value Unrealized Fair value Unrealized Fair value Unrealized Trust preferred securities $ - $ - $ 1,374 $ (1,215 ) $ 1,374 $ (1,215 ) Less than 12 months 12 Months or More Total Held to Maturity Fair value Unrecognized Fair value Unrecognized Fair value Unrecognized Residential government-sponsored mortgage-backed securities $ - $ - $ 461 $ (11 ) $ 461 $ (11 ) Residential government-sponsored collateralized mortgage obligations - - 1,144 (6 ) 1,144 (6 ) Government-sponsored agency securities 4,994 (6 ) - - 4,994 (6 ) Obligations of states and political subdivisions - - 1,127 (5 ) 1,127 (5 ) Trust preferred securities - - 3,763 (456 ) 3,763 (456 ) $ 4,994 $ (6 ) $ 6,495 $ (478 ) $ 11,489 $ (484 ) December 31, 2015 Less than 12 months 12 Months or More Total Available for Sale Fair value Unrealized Fair value Unrealized Fair value Unrealized Trust preferred securities $ - $ - $ 1,897 $ (693 ) $ 1,897 $ (693 ) Less than 12 months 12 Months or More Total Held to Maturity Fair value Unrecognized Fair value Unrecognized Fair value Unrecognized Residential government-sponsored mortgage-backed securities $ 5,459 $ (14 ) $ 640 $ (8 ) $ 6,099 $ (22 ) Residential government-sponsored collateralized mortgage obligations 512 (5 ) 2,368 (61 ) 2,880 (66 ) Government-sponsored agency securities 35,453 (507 ) 9,878 (111 ) 45,331 (618 ) Obligations of states and political subdivisions - - 2,513 (67 ) 2,513 (67 ) Trust preferred securities - - 3,971 (381 ) 3,971 (381 ) $ 41,424 $ (526 ) $ 19,370 $ (628 ) $ 60,794 $ (1,154 ) As of June 30, 2016, we owned pooled trust preferred securities as follows: Previously % of Current Recognized Defaults and Cumulative Ratings Estimated Deferrals to Other Tranche When Purchased Current Ratings Fair Total Comprehensive Security Level Moody's Fitch Moody's Fitch Par Value Book Value Value Collateral Loss (1) Held to Maturity (in thousands) ALESCO VII A1B Senior Aaa AAA A1 A $ 4,310 $ 3,951 $ 3,544 13 % $ 245 MMCF III B Senior Sub A3 A- Ba1 BB 273 268 219 32 % 5 4,583 4,219 3,763 $ 250 Available for Sale Other Than Temporarily Impaired: Cumulative OTTI TPREF FUNDING II Mezzanine A1 A- Caa3 C 1,500 1,099 525 37 % 400 ALESCO V C1 Mezzanine A2 A Caa3 C 2,150 1,490 849 14 % 660 3,650 2,589 1,374 $ 1,060 Total $ 8,233 $ 6,808 $ 5,137 (1) Pre-tax, and represents unrealized losses at date of transfer from available-for-sale to held-to-maturity, net of accretion (2) Pre-tax Each of these securities has been evaluated for other than temporary impairment. In performing a detailed cash flow analysis of each security, Sonabank works with independent third parties to estimate expected cash flows and assist with the evaluation of other than temporary impairment. The cash flow analyses performed included the following assumptions: · .5% of the remaining performing collateral will default or defer per annum. · Recoveries of 11% with a two year lag on all defaults and deferrals. · No prepayments for 10 years and then 1% per annum for the remaining life of the security. · Our securities have been modeled using the above assumptions by independent third parties using the forward LIBOR curve to discount projected cash flows to present values. We recognized no OTTI charges during the three and six months ended June 30, 2016 and the three and six months ended June 30, 2015. The following table presents a roll forward of the credit losses on our securities previously classified as held to maturity and now classified as available for sale recognized in earnings for the three months ended June 30, 2016 and 2015 (in thousands): 2016 2015 Amount of cumulative other-than-temporary impairment related to credit loss prior to January 1 $ 1,060 $ 8,949 Amounts related to credit loss for which an other-than-temporary impairment was not previously recognized - - Amounts related to credit loss for which an other-than-temporary impairment was previously recognized - - Reductions due to sales of securities for which an other-than-temporary impairment was previously recognized - (7,889 ) Reductions due to realized losses - - Amount of cumulative other-than-temporary impairment related to credit loss as of June 30 $ 1,060 $ 1,060 Changes in accumulated other comprehensive income by component for the three and six months ended June 30, 2016 and 2015 are shown in the tables below. All amounts are net of tax (in thousands). Unrealized Holding Gains (Losses) on For the three months ended June 30, 2016 Available for Sale Held to Maturity Securities Securities Total Beginning balance $ (662 ) $ (168 ) $ (830 ) Other comprehensive income/(loss) before reclassifications (98 ) 3 (95 ) Amounts reclassified from accumulated other comprehensive income/(loss) - - - Net current-period other comprehensive income/(loss) (98 ) 3 (95 ) Ending balance $ (760 ) $ (165 ) $ (925 ) Unrealized Holding Gains (Losses) on For the six months ended June 30, 2016 Available for Sale Held to Maturity Securities Securities Total Beginning balance $ (440 ) $ (170 ) $ (610 ) Other comprehensive income/(loss) before reclassifications (320 ) 5 (315 ) Amounts reclassified from accumulated other comprehensive income/(loss) - - - Net current-period other comprehensive income/(loss) (320 ) 5 (315 ) Ending balance $ (760 ) $ (165 ) $ (925 ) Unrealized Holding Gains (Losses) on For the three months ended June 30, 2015 Available for Sale Held to Maturity Securities Securities Total Beginning balance $ 9 $ (3,000 ) $ (2,991 ) Other comprehensive income/(loss) before reclassifications (502 ) 2 (500 ) Amounts reclassified from accumulated other comprehensive income/(loss) - 2,824 2,824 Net current-period other comprehensive income/(loss) (502 ) 2,826 2,324 Ending balance $ (493 ) $ (174 ) $ (667 ) Unrealized Holding Gains (Losses) on For the six months ended June 30, 2015 Available for Sale Held to Maturity Securities Securities Total Beginning balance $ (6 ) $ (3,014 ) $ (3,020 ) Other comprehensive income/(loss) before reclassifications (487 ) 16 (471 ) Amounts reclassified from accumulated other comprehensive income/(loss) - 2,824 2,824 Net current-period other comprehensive income/(loss) (487 ) 2,840 2,353 Ending balance $ (493 ) $ (174 ) $ (667 ) |
LOANS AND ALLOWANCE FOR LOAN LO
LOANS AND ALLOWANCE FOR LOAN LOSSES | 6 Months Ended |
Jun. 30, 2016 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
LOANS AND ALLOWANCE FOR LOAN LOSSES | 4. LOANS AND ALLOWANCE FOR LOAN LOSSES The following table summarizes the composition of our loan portfolio as of June 30, 2016 and December 31, 2015: Covered Non-covered Total Covered Non-covered Total Loans (1) Loans Loans Loans (1) Loans Loans June 30, 2016 December 31, 2015 Loans secured by real estate: Commercial real estate - owner-occupied $ - $ 140,587 $ 140,587 $ - $ 141,521 $ 141,521 Commercial real estate - non-owner-occupied - 306,671 306,671 - 256,513 256,513 Secured by farmland - 561 561 - 578 578 Construction and land loans - 68,477 68,477 - 67,832 67,832 Residential 1-4 family 11,876 188,144 200,020 12,994 165,077 178,071 Multi- family residential - 32,513 32,513 - 25,501 25,501 Home equity lines of credit 19,757 12,529 32,286 21,379 13,798 35,177 Total real estate loans 31,633 749,482 781,115 34,373 670,820 705,193 Commercial loans - 125,969 125,969 - 124,985 124,985 Consumer loans - 1,325 1,325 - 1,366 1,366 Gross loans 31,633 876,776 908,409 34,373 797,171 831,544 Less deferred fees on loans - (2,073 ) (2,073 ) - (2,119 ) (2,119 ) Loans, net of deferred fees $ 31,633 $ 874,703 $ 906,336 $ 34,373 $ 795,052 $ 829,425 (1) Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering non-single family loans expired in December 2014. Accounting policy related to the allowance for loan losses is considered a critical policy given the level of estimation, judgment, and uncertainty in the levels of the allowance required to account for the inherent probable losses in the loan portfolio and the material effect such estimation, judgment, and uncertainty can have on the consolidated financial results. As part of the Greater Atlantic acquisition, the Bank and the FDIC entered into loss sharing agreements on approximately $143.4 million (contractual basis) of Greater Atlantic Bank’s assets. There were two agreements with the FDIC, one for single family loans which is a 10-year agreement expiring in December 2019, and one for non-single family (commercial) assets which was a 5-year agreement which expired in December 2014. The Bank will share in the losses on the loans and foreclosed loan collateral with the FDIC as specified in the loss sharing agreements; we refer to these assets collectively as “covered assets.” Loans that are not covered in the loss sharing agreement are referred to as “non-covered loans”. As of June 30, 2016, non-covered loans included $26.6 million of loans acquired in the HarVest acquisition and $47.9 million acquired in the PGFSB acquisition. Accretable discount on the acquired Greater Atlantic loans, the PGFSB loans and the HarVest loans was $7.0 million and $7.9 million at June 30, 2016 and December 31, 2015 respectively. Credit-impaired covered loans are those loans which presented evidence of credit deterioration at the date of acquisition and it is probable that Southern National would not collect all contractually required principal and interest payments. Generally, acquired loans that meet Southern National’s definition for nonaccrual status fell within the definition of credit-impaired covered loans. Impaired loans for the covered and non-covered portfolios were as follows (in thousands): June 30, 2016 Covered Loans Non-covered Loans Total Loans Unpaid Unpaid Unpaid Recorded Principal Related Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment (1) Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 9,183 $ 9,198 $ - $ 9,183 $ 9,198 $ - Commercial real estate - non-owner occupied (2) - - - 133 225 - 133 225 - Construction and land development - - - - - - - - - Commercial loans - - - 2,592 3,038 - 2,592 3,038 - Residential 1-4 family (4) 1,046 1,217 - - - - 1,046 1,217 - Other consumer loans - - - - - - - - - Total $ 1,046 $ 1,217 $ - $ 11,908 $ 12,461 $ - $ 12,954 $ 13,678 $ - With an allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 695 $ 695 $ 150 $ 695 $ 695 $ 150 Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 5,497 6,068 650 5,497 6,068 650 Residential 1-4 family (4) - - - - - - - - - Other consumer loans - - - - - - - - - Total $ - $ - $ - $ 6,192 $ 6,763 $ 800 $ 6,192 $ 6,763 $ 800 Grand total $ 1,046 $ 1,217 $ - $ 18,100 $ 19,224 $ 800 $ 19,146 $ 20,441 $ 800 (1) Recorded investment is after cumulative prior charge offs of $1.0 million. These loans also have aggregate SBA guarantees of $1.7 million. (2) Includes loans secured by farmland and multi-family residential loans. (3) The Bank recognizes loan impairment and may concurrently record a charge off to the allowance for loan losses. (4) Includes home equity lines of credit. December 31, 2015 Covered Loans Non-covered Loans Total Loans Unpaid Unpaid Unpaid Recorded Principal Related Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment (1) Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 6,492 $ 6,986 $ - $ 6,492 $ 6,986 $ - Commercial real estate - non-owner occupied (2) - - - 136 230 - 136 230 - Construction and land development - - - - - - - - - Commercial loans - - - 2,102 2,698 - 2,102 2,698 - Residential 1-4 family (4) 1,066 1,243 - - - - 1,066 1,243 - Other consumer loans - - - - - - - - - Total $ 1,066 $ 1,243 $ - $ 8,730 $ 9,914 $ - $ 9,796 $ 11,157 $ - With an allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 1,370 $ 1,484 $ 439 $ 1,370 $ 1,484 $ 439 Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 3,382 3,382 400 3,382 3,382 400 Residential 1-4 family (4) - - - - - - - - - Other consumer loans - - - - - - - - - Total $ - $ - $ - $ 4,752 $ 4,866 $ 839 $ 4,752 $ 4,866 $ 839 Grand total $ 1,066 $ 1,243 $ - $ 13,482 $ 14,780 $ 839 $ 14,548 $ 16,023 $ 839 (1) Recorded investment is after cumulative prior charge offs of $1.2 million. These loans also have aggregate SBA guarantees of $3.5 million. (2) Includes loans secured by farmland and multi-family residential loans. (3) The Bank recognizes loan impairment and may concurrently record a charge off to the allowance for loan losses. (4) Includes home equity lines of credit. The following tables present the average recorded investment and interest income for impaired loans recognized by class of loans for the three and six months ended June 30, 2016 and 2015 (in thousands): Three months ended June 30, 2016 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,826 $ 73 $ 6,826 $ 73 Commercial real estate - non-owner occupied (1) - - 133 3 133 3 Construction and land development - - - - - - Commercial loans - - 3,031 14 3,031 14 Residential 1-4 family (2) 1,047 9 - - 1,047 9 Other consumer loans - - - - - - Total $ 1,047 $ 9 $ 9,990 $ 90 $ 11,037 $ 99 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 695 $ 8 $ 695 $ 8 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 3,494 39 3,494 39 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 4,189 $ 47 $ 4,189 $ 47 Grand total $ 1,047 $ 9 $ 14,179 $ 137 $ 15,226 $ 146 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Three months ended June 30, 2015 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,629 $ 74 $ 6,629 $ 74 Commercial real estate - non-owner occupied (1) - - 139 3 139 3 Construction and land development - - - - - - Commercial loans - - 3,068 - 3,068 - Residential 1-4 family (2) 1,682 11 - - 1,682 11 Other consumer loans - - - - - - Total $ 1,682 $ 11 $ 9,836 $ 77 $ 11,518 $ 88 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 771 $ 11 $ 771 $ 11 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 3,621 54 3,621 54 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 4,392 $ 65 $ 4,392 $ 65 Grand total $ 1,682 $ 11 $ 14,228 $ 142 $ 15,910 $ 153 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Six months ended June 30, 2016 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,166 $ 146 $ 6,166 $ 146 Commercial real estate - non-owner occupied (1) - - 135 5 135 5 Construction and land development - - - - - - Commercial loans - - 2,959 28 2,959 - Residential 1-4 family (2) 1,012 17 - - 1,012 17 Other consumer loans - - - - - - Total $ 1,012 $ 17 $ 9,260 $ 179 $ 10,272 $ 168 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 697 $ 16 $ 697 $ 16 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 2,942 78 2,942 78 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 3,639 $ 94 $ 3,639 $ 94 Grand total $ 1,012 $ 17 $ 12,899 $ 273 $ 13,911 $ 262 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Six months ended June 30, 2015 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,638 $ 148 $ 6,638 $ 148 Commercial real estate - non-owner occupied (1) - - 140 6 140 6 Construction and land development - - - - - - Commercial loans - - 2,972 - 2,972 - Residential 1-4 family (2) 1,668 22 - - 1,668 22 Other consumer loans - - - - - - Total $ 1,668 $ 22 $ 9,750 $ 154 $ 11,418 $ 176 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 777 $ 21 $ 777 $ 21 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 3,641 107 3,641 107 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 4,418 $ 128 $ 4,418 $ 128 Grand total $ 1,668 $ 22 $ 14,168 $ 282 $ 15,836 $ 304 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. The following tables present the aging of the recorded investment in past due loans by class of loans as of June 30, 2016 and December 31, 2015 (in thousands): June 30, 2016 30 - 59 60 - 89 Days Days 90 Days Total Nonaccrual Loans Not Total Past Due Past Due or More Past Due Loans Past Due Loans Covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - - Construction and land development - - - - - - - Commercial loans - - - - - - - Residential 1-4 family (2) 188 51 - 239 640 30,754 31,633 Other consumer loans - - - - - - - Total $ 188 $ 51 $ - $ 239 $ 640 $ 30,754 $ 31,633 Non-covered loans: Commercial real estate - owner occupied $ 1,222 $ - $ - $ 1,222 $ 633 $ 138,732 $ 140,587 Commercial real estate - non-owner occupied (1) - - - - - 339,745 339,745 Construction and land development - - - - - 68,477 68,477 Commercial loans 1,011 - - 1,011 1,685 123,273 125,969 Residential 1-4 family (2) 127 - - 127 - 200,546 200,673 Other consumer loans - - - - - 1,325 1,325 Total $ 2,360 $ - $ - $ 2,360 $ 2,318 $ 872,098 $ 876,776 Total loans: Commercial real estate - owner occupied $ 1,222 $ - $ - $ 1,222 $ 633 $ 138,732 $ 140,587 Commercial real estate - non-owner occupied (1) - - - - - 339,745 339,745 Construction and land development - - - - - 68,477 68,477 Commercial loans 1,011 - - 1,011 1,685 123,273 125,969 Residential 1-4 family (2) 315 51 - 366 640 231,300 232,306 Other consumer loans - - - - - 1,325 1,325 Total $ 2,548 $ 51 $ - $ 2,599 $ 2,958 $ 902,852 $ 908,409 December 31, 2015 30 - 59 60 - 89 Days Days 90 Days Total Nonaccrual Loans Not Total Past Due Past Due or More Past Due Loans Past Due Loans Covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - - Construction and land development - - - - - - - Commercial loans - - - - - - - Residential 1-4 family (2) 119 43 - 162 698 33,513 34,373 Other consumer loans - - - - - - - Total $ 119 $ 43 $ - $ 162 $ 698 $ 33,513 $ 34,373 Non-covered loans: Commercial real estate - owner occupied $ 561 $ - $ - $ 561 $ 2,071 $ 138,889 $ 141,521 Commercial real estate - non-owner occupied (1) - - - - - 282,592 282,592 Construction and land development - - - - - 67,832 67,832 Commercial loans 267 - - 267 2,102 122,616 124,985 Residential 1-4 family (2) 85 - - 85 - 178,790 178,875 Other consumer loans 1 - - 1 - 1,365 1,366 Total $ 914 $ - $ - $ 914 $ 4,173 $ 792,084 $ 797,171 Total loans: Commercial real estate - owner occupied $ 561 $ - $ - $ 561 $ 2,071 $ 138,889 $ 141,521 Commercial real estate - non-owner occupied (1) - - - - - 282,592 282,592 Construction and land development - - - - - 67,832 67,832 Commercial loans 267 - - 267 2,102 122,616 124,985 Residential 1-4 family (2) 204 43 - 247 698 212,303 213,248 Other consumer loans 1 - - 1 - 1,365 1,366 Total $ 1,033 $ 43 $ - $ 1,076 $ 4,871 $ 825,597 $ 831,544 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Non-covered nonaccrual loans include SBA guaranteed amounts totaling $1.7 million and $3.5 million at June 30, 2016 and December 31, 2015, respectively. Activity in the allowance for non-covered loan and lease losses for the three and six months ended June 30, 2016 and 2015 is summarized below (in thousands): Commercial Commercial Real Estate Real Estate Construction Other Non-covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Three months ended June 30, 2016 Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total Allowance for loan losses: Beginning balance $ 1,251 $ 1,553 $ 716 $ 2,892 $ 1,556 $ 82 $ 640 $ 8,690 Charge offs - - (449 ) (1,156 ) (22 ) (69 ) - (1,696 ) Recoveries - - - 37 2 1 - 40 Provision (530 ) (150 ) 588 1,572 (274 ) 108 73 1,387 Ending balance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 Three months ended June 30, 2015 Allowance for loan losses: Beginning balance $ 1,424 $ 1,188 $ 1,351 $ 2,049 $ 1,215 $ 43 $ 450 $ 7,720 Charge offs (1,000 ) - - (266 ) - (3 ) - (1,269 ) Recoveries 3 6 - 10 2 1 - 22 Provision 627 330 (299 ) 628 7 5 202 1,500 Ending balance $ 1,054 $ 1,524 $ 1,052 $ 2,421 $ 1,224 $ 46 $ 652 $ 7,973 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Commercial Commercial Real Estate Real Estate Construction Other Non-covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Six months ended June 30, 2016 Occupied Occupied (1) Development Loans Residential Loans Unallocated Total Allowance for loan losses: Beginning balance $ 1,185 $ 1,222 $ 865 $ 3,041 $ 1,408 $ 48 $ 652 $ 8,421 Charge offs - - (449 ) (1,271 ) (22 ) (322 ) - (2,064 ) Recoveries - - - 46 4 2 - 52 Provision (464 ) 181 439 1,529 (128 ) 394 61 2,012 Ending balance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 Six months ended June 30, 2015 Allowance for loan losses: Beginning balance $ 855 $ 1,123 $ 1,644 $ 2,063 $ 1,322 $ 49 $ 337 $ 7,393 Charge offs (1,000 ) - - (619 ) - (5 ) - (1,624 ) Recoveries 4 12 139 19 4 1 - 179 Provision 1,195 389 (731 ) 958 (102 ) 1 315 2,025 Ending balance $ 1,054 $ 1,524 $ 1,052 $ 2,421 $ 1,224 $ 46 $ 652 $ 7,973 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Activity in the allowance for covered loan and lease losses by class of loan for the three and six months ended June 30, 2016 and 2015 is summarized below (in thousands): Commercial Commercial Real Estate Real Estate Construction Other Covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Three months ended June 30, 2016 Occupied Occupied (1) Development Loans Residential (3) Loans Unallocated Total Allowance for loan losses: Beginning balance $ - $ - $ - $ - $ - $ - $ - $ - Charge offs - - - - - - - - Recoveries - - - - - - - - Adjustments (2) - - - - - - - - Provision - - - - - - - - Ending balance $ - $ - $ - $ - $ - $ - $ - $ - Three months ended June 30, 2015 Allowance for loan losses: Beginning balance $ - $ - $ - $ - $ 17 $ 4 $ - $ 21 Charge offs - - - - - - - - Recoveries - - - - - - - - Adjustments (2) - - - - - - - - Provision - - - - - - - - Ending balance $ - $ - $ - $ - $ 17 $ 4 $ - $ 21 (1) Includes loans secured by farmland and multi-family residential loans. (2) Represents the portion of increased expected losses which is covered by the loss sharing agreement with the FDIC. (3) Includes home equity lines of credit. Commercial Commercial Real Estate Real Estate Construction Other Covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Six months ended June 30, 2016 Occupied Occupied (1) Development Loans Residential (3) Loans Unallocated Total Allowance for loan losses: Beginning balance $ - $ - $ - $ - $ - $ - $ - $ - Charge offs - - - - - - - - Recoveries - - - - - - - - Adjustments (2) - - - - - - - - Provision - - - - - - - - Ending balance $ - $ - $ - $ - $ - $ - $ - $ - Six months ended June 30, 2015 Allowance for loan losses: Beginning balance $ - $ - $ - $ - $ 17 $ 4 $ - $ 21 Charge offs - - - - - - - - Recoveries - - - - - - - - Adjustments (2) - - - - - - - - Provision - - - - - - - - Ending balance $ - $ - $ - $ - $ 17 $ 4 $ - $ 21 (1) Includes loans secured by farmland and multi-family residential loans. (2) Represents the portion of increased expected losses which is covered by the loss sharing agreement with the FDIC. (3) Includes home equity lines of credit. The following tables present the balance in the allowance for loan losses and the recorded investment in non-covered loans by portfolio segment and based on impairment method as of June 30, 2016 and December 31, 2015 (in thousands): Commercial Commercial Real Estate Real Estate Construction Other Owner Non-owner and Land Commercial 1-4 Family Consumer Non-covered loans: Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total June 30, 2016 Ending allowance balance attributable to loans: Individually evaluated for impairment $ 150 $ - $ - $ 650 $ - $ - $ - $ 800 Collectively evaluated for impairment 571 1,403 855 2,695 1,262 122 713 7,621 Total ending allowance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 Loans: Individually evaluated for impairment $ 9,878 $ 133 $ - $ 8,089 $ - $ - $ - $ 18,100 Collectively evaluated for impairment 130,709 339,612 68,477 117,880 200,673 1,325 - 858,676 Total ending loan balances $ 140,587 $ 339,745 $ 68,477 $ 125,969 $ 200,673 $ 1,325 $ - $ 876,776 December 31, 2015 Ending allowance balance attributable to loans: Individually evaluated for impairment $ 439 $ - $ - $ 400 $ - $ - $ - $ 839 Collectively evaluated for impairment 746 1,222 865 2,641 1,408 48 652 7,582 Total ending allowance $ 1,185 $ 1,222 $ 865 $ 3,041 $ 1,408 $ 48 $ 652 $ 8,421 Loans: Individually evaluated for impairment $ 7,862 $ 136 $ - $ 5,484 $ - $ - $ - $ 13,482 Collectively evaluated for impairment 133,659 282,456 67,832 119,501 178,875 1,366 - 783,689 Total ending loan balances $ 141,521 $ 282,592 $ 67,832 $ 124,985 $ 178,875 $ 1,366 $ - $ 797,171 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. The following tables present the balance in the allowance for covered loan losses and the recorded investment in covered loans by portfolio segment and based on impairment method as of June 30, 2016 and December 31, 2015 (in thousands): Commercial Commercial Real Estate Real Estate Construction Other Owner Non-owner and Land Commercial 1-4 Family Consumer Covered loans: Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total June 30, 2016 Ending allowance balance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment - - - - - - - - Total ending allowance $ - $ - $ - $ - $ - $ - $ - $ - Loans: Individually evaluated for impairment $ - $ - $ - $ - $ 1,046 $ - $ - $ 1,046 Collectively evaluated for impairment - - - - 30,587 - - 30,587 Total ending loan balances $ - $ - $ - $ - $ 31,633 $ - $ - $ 31,633 December 31, 2015 Ending allowance balance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment - - - - - - - - Total ending allowance $ - $ - $ - $ - $ - $ - $ - $ - Loans: Individually evaluated for impairment $ - $ - $ - $ 1,066 $ - $ 1,066 Collectively evaluated for impairment - - - - 33,307 - - 33,307 Total ending loan balances $ - $ - $ - $ - $ 34,373 $ - $ - $ 34,373 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Troubled Debt Restructurings A modification is classified as a troubled debt restructuring (“TDR”) if both of the following exist: (1) the borrower is experiencing financial difficulty and (2) the Bank has granted a concession to the borrower. The Bank determines that a borrower may be experiencing financial difficulty if the borrower is currently delinquent on any of its debt, or if the Bank is concerned that the borrower may not be able to perform in accordance with the current terms of the loan agreement in the foreseeable future. Many aspects of the borrower’s financial situation are assessed when determining whether they are experiencing financial difficulty, particularly as it relates to commercial borrowers due to the complex nature of the loan structure, business/industry risk and borrower/guarantor structures. Concessions may include the reduction of an interest rate at a rate lower than current market rate for a new loan with similar risk, extension of the maturity date, reduction of accrued interest, or principal forgiveness. When evaluating whether a concession has been granted, the Bank also considers whether the borrower has provided additional collateral or guarantors and whether such additions adequately compensate the Bank for the restructured terms, or if the revised terms are consistent with those currently being offered to new loan customers. The assessments of whether a borrower is experiencing (or is likely to experience) financial difficulty and whether a concession has been granted is subjective in nature and management’s judgment is required when determining whether a modification is a TDR. Although each occurrence is unique to the borrower and is evaluated separately, for all portfolio segments, TDRs are typically modified through reduction in interest rates, reductions in payments, changing the payment terms from principal and interest to interest only, and/or extensions in term maturity. During the three and six months ending June 30, 2016, there were no loans modified in troubled debt restructurings. One TDR which had been modified in 2013 defaulted during the second quarter of 2015. This loan, in the amount of $695 thousand, was current as of June 30, 2016. During the three and six months ending June 30, 2015, there were no loans modified in troubled debt restructurings. One TDR which had been modified in 2013 defaulted during the second quarter of 2015. Credit Quality Indicators Through its system of internal controls Southern National evaluates and segments loan portfolio credit quality on a quarterly basis using regulatory definitions for Special Mention, Substandard and Doubtful. Special Mention loans are considered to be criticized. Substandard and Doubtful loans are considered to be classified. Southern National had no loans classified Doubtful at June 30, 2016 or December 31, 2015. Special Mention loans are loans that have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position. Substandard loans may be inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged if any. Loans so classified 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. Doubtful loans have all the weaknesses inherent in those classified as substandard, with 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. As of June 30, 2016 and December 31, 2015, and based on the most recent analysis performed, the risk category of loans by class of loans is as follows (in thousands): June 30, 2016 Covered Loans Non-covered Loans Total Loans Classified/ Special Classified/ Criticized (1) Pass Total Mention Substandard (3) Pass Total Criticized Pass Total Commercial real estate - owner occupied $ - $ - $ - $ 50 $ 9,878 $ 130,659 $ 140,587 $ 9,928 $ 130,659 $ 140,587 Commercial real estate - non-owner occupied (2) - - - - 133 339,612 339,745 133 339,612 339,745 Construction and land development - - - - - 68,477 68,477 - 68,477 68,477 Commercial loans - - - 28 8,089 117,852 125,969 8,117 117,852 125,969 Residential 1-4 family (4) 1,046 30,587 31,633 - - 200,673 200,673 1,046 231,260 232,306 Other consumer loans - - - - - 1,325 1,325 - 1,325 1,325 Total $ 1,046 $ 30,587 $ 31,633 $ 78 $ 18,100 $ 858,598 $ 876,776 $ 19,224 $ 889,185 $ 908,409 December 31, 2015 Covered Loans Non-covered Loans Total Loans Classified/ Special Classified/ Criticized (1) Pass Total Mention Substandard (3) Pass Total Criticized Pass Total Commercial real estate - owner occupied $ - $ - $ - $ 3,666 $ 7,862 $ 129,993 $ 141,521 $ 11,528 $ 129,993 $ 141,521 Commercial real estate - non-owner occupied (2) - - - - 136 282,456 282,592 136 282,456 282,592 Construction and land development - - - 552 - 67,280 67,832 552 67,280 67,832 Commercial loans - - - 4,014 5,484 115,487 124,985 9,498 115,487 124,985 Residential 1-4 family (4) 1,066 33,307 34,373 - - 178,875 178,875 1,066 212,182 213,248 Other consumer loans - - - - - 1,366 1,366 - 1,366 1,366 Total $ 1,066 $ 33,307 $ 34,373 $ 8,232 $ 13,482 $ 775,457 $ 797,171 $ 22,780 $ 808,764 $ 831,544 (1) Credit quality is enhanced by a loss sharing agreement with the FDIC in the covered portfolio. The same credit quality indicators used in the non-covered portfolio are combined. (2) Includes loans secured by farmland and multi-family residential loans. (3) Includes SBA guarantees of $1.7 million and $3.5 million as of June 30, 2016 and December 31, 2015, respectively. (4) Includes home equity lines of credit. The amount of foreclosed residential real estate property held at June 30, 2016 was $3.5 million. The recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure was $567 thousand at June 30, 2016. |
FINANCIAL INSTRUMENTS WITH OFF-
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK | 6 Months Ended |
Jun. 30, 2016 | |
Financial Instruments With Off Balance Sheet Risk [Abstract] | |
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK | 5. FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK Southern National is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. These instruments involve elements of credit and funding risk in excess of the amount recognized in the consolidated balance sheet. Letters of credit are written conditional commitments issued by Southern National to guarantee the performance of a customer to a third party. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. We had letters of credit outstanding totaling $5.7 million and $6.7 million as of June 30, 2016 and December 31, 2015, respectively. Our exposure to credit loss in the event of nonperformance by the other party to the financial instruments for commitments to extend credit and letters of credit is based on the contractual amount of these instruments. We use the same credit policies in making commitments and conditional obligations as we do for on-balance sheet instruments. Unless noted otherwise, we do not require collateral or other security to support financial instruments with credit risk. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments are made predominately for adjustable rate loans, and generally have fixed expiration dates of up to three months or other termination clauses and usually require payment of a fee. Since many of the commitments may expire without being completely drawn upon, the total commitment amounts do not necessarily represent future cash requirements. We evaluate each customer's creditworthiness on a case-by-case basis. At June 30, 2016 and December 31, 2015, we had unfunded lines of credit and undisbursed construction loan funds totaling $115.6 million and $132.3 million, respectively. We had approved loan commitments of $7.3 million and $2.7 million at June 30, 2016, and December 31, 2015, respectively. Virtually all of our unfunded lines of credit, undisbursed construction loan funds and approved loan commitments are variable rate. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | 6. EARNINGS PER SHARE The following is a reconciliation of the denominators of the basic and diluted earnings per share (“EPS”) computations (dollars in thousands, except per share data): Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount For the three months ended June 30, 2016 Basic EPS $ 2,789 12,249 $ 0.23 Effect of dilutive stock options and warrants - 146 - Diluted EPS $ 2,789 12,395 $ 0.23 For the three months ended June 30, 2015 Basic EPS $ 2,466 12,240 $ 0.20 Effect of dilutive stock options and warrants - 119 - Diluted EPS $ 2,466 12,359 $ 0.20 For the six months ended June 30, 2016 Basic EPS $ 5,355 12,243 $ 0.44 Effect of dilutive stock options and warrants - 151 - Diluted EPS $ 5,355 12,394 $ 0.43 For the six months ended June 30, 2015 Basic EPS $ 4,470 12,229 $ 0.37 Effect of dilutive stock options and warrants - 114 - Diluted EPS $ 4,470 12,343 $ 0.36 There were 585,605 and 580,935 anti-dilutive options and warrants for the three and six months ended June 30, 2015, respectively. There were 663,596 and 667,854 anti-dilutive options and warrants for the three and six months ended June 30, 2015, respectively. |
FAIR VALUE
FAIR VALUE | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE | 7. FAIR VALUE ASC 820-10 establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability The following is a description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy: Securities Available for Sale Where quoted prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. Level 1 securities would include highly liquid government bonds, mortgage products and exchange traded equities. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics, or discounted cash flow. Level 2 securities would include U. S. agency securities, mortgage-backed securities, obligations of states and political subdivisions and certain corporate, asset-backed and other securities. In certain cases where there is limited activity or less transparency around inputs to the valuation, securities are classified within Level 3 of the valuation hierarchy. Currently, all of Southern National’s available-for-sale debt securities are considered to be Level 2 securities. Assets measured at fair value on a recurring basis are summarized below: Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) June 30, 2016 (Level 1) (Level 2) (Level 3) Financial assets: Available for sale securities Obligations of states and political subdivisions $ 2,348 $ - $ 2,348 $ - Trust preferred securities 1,374 - 1,374 - $ 3,722 $ - $ 3,722 $ - Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) December 31, 2015 (Level 1) (Level 2) (Level 3) Financial assets: Available for sale securities Obligations of states and political subdivisions $ 2,312 $ - $ 2,312 $ - Trust preferred securities 1,897 - 1,897 - $ 4,209 $ - $ 4,209 $ - Assets and Liabilities Measured on a Non-recurring Basis: Trust Preferred Securities Classified as Held-to-Maturity Prior to the quarter ended June 30, 2015, due to market conditions as well as the limited trading activity of these securities, the market value of the securities was highly sensitive to assumption changes and market volatility. We had determined that our trust preferred securities were classified within Level 3 of the fair value hierarchy. Market conditions and trading activity has improved significantly for trust preferred securities, and the fair value as of June 30, 2016 was estimated within Level 2 of the fair value hierarchy, as the fair value is based on either pricing models, quoted market prices of securities with similar characteristics, or discounted cash flows. Impaired Loans Generally, we measure the impairment for impaired loans considering the fair value of the loan’s collateral (if the loan is collateral dependent). Fair value of the loan’s collateral is determined by an independent appraisal or evaluation less estimated costs related to selling the collateral. In some cases appraised value is net of costs to sell. Estimated selling costs range from 6% to 10% of collateral valuation at June 30, 2016 and December 31, 2015. Fair value is classified as Level 3 in the fair value hierarchy. Non-covered loans identified as impaired totaled $18.1 million (including SBA guarantees of $1.7 million) as of June 30, 2016 with an allocated allowance for loan losses totaling $800 thousand compared to a carrying amount of $13.5 million (including SBA guarantees of $3.5 million) with an allocated allowance for loan losses totaling $839 thousand at December 31, 2015. Other Real Estate Owned (OREO) OREO is evaluated at the time of acquisition and recorded at fair value as determined by independent appraisal or evaluation less cost to sell. In some cases appraised value is net of costs to sell. Selling costs have been in the range from 6% to 7.6% of collateral valuation at June 30, 2016 and December 31, 2015. Fair value is classified as Level 3 in the fair value hierarchy. OREO is further evaluated quarterly for any additional impairment. At June 30, 2016, the total amount of non-covered OREO was $9.4 million and covered OREO was $90 thousand. As of December 31, 2015, the total amount of OREO was $10.1 million, and covered OREO was $343 thousand. Assets measured at fair value on a non-recurring basis are summarized below: Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) June 30, 2016 (Level 1) (Level 2) (Level 3) Impaired non-covered loans: Commercial real estate - owner occupied $ 9,728 $ 9,728 Commercial real estate - non-owner occupied (1) 133 133 Commercial loans 7,439 7,439 Impaired covered loans: Residential 1-4 family 1,046 1,046 Non-covered other real estate owned: Commercial real estate - owner occupied 1,110 1,110 Commercial real estate - non-owner occupied (1) 237 237 Construction and land development 4,614 4,614 Residential 1-4 family 3,407 3,407 Covered other real estate owned: Residential 1-4 family 90 90 Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) December 31, 2015 (Level 1) (Level 2) (Level 3) Impaired non-covered loans: Commercial real estate - owner occupied $ 7,423 $ 7,423 Commercial real estate - non-owner occupied (1) 136 136 Commercial loans 5,084 5,084 Impaired covered loans: Residential 1-4 family 1,066 1,066 Non-covered other real estate owned: Commercial real estate - owner occupied 1,110 1,110 Commercial real estate - non-owner occupied (1) 237 237 Construction and land development 5,007 5,007 Residential 1-4 family 3,741 3,741 Covered other real estate owned: Residential 1-4 family 343 343 (1) Includes loans secured by farmland and multi-family residential loans. Fair Value of Financial Instruments The carrying amount, estimated fair values and fair value hierarchy levels (previously defined) of financial instruments were as follows (in thousands): June 30, 2016 December 31, 2015 Fair Value Carrying Fair Carrying Fair Hierarchy Level Amount Value Amount Value Financial assets: Cash and cash equivalents Level 1 $ 41,705 $ 41,705 $ 30,336 $ 30,336 Securities available for sale See previous table 3,722 3,722 4,209 4,209 Securities held to maturity Level 2 92,285 93,151 96,780 96,464 Stock in Federal Reserve Bank and Federal Home Loan Bank n/a 7,610 n/a 6,929 n/a Equity investment in mortgage affiliate Level 3 4,695 4,695 4,459 4,459 Preferred investment in mortgage affiliate Level 3 2,555 2,555 2,555 2,555 Net non-covered loans Level 3 866,282 877,861 786,631 793,541 Net covered loans Level 3 31,633 37,057 34,373 38,077 Accrued interest receivable Level 2 & Level 3 3,052 3,052 2,914 2,914 FDIC indemnification asset Level 3 2,503 745 2,922 745 Financial liabilities: Demand deposits Level 1 131,770 131,770 111,849 111,849 Money market and savings accounts Level 1 179,664 179,664 181,670 181,670 Certificates of deposit Level 3 591,316 594,708 531,775 531,456 Securities sold under agreements to repurchase and other short-term borrowings Level 1 77,500 77,500 69,381 69,381 FHLB advances Level 3 10,000 10,053 15,000 15,041 Accrued interest payable Level 1 & Level 3 835 835 846 846 Carrying amount is the estimated fair value for cash and cash equivalents, equity investment in mortgage affiliate, preferred investment in mortgage affiliate, accrued interest receivable and payable, demand deposits, savings accounts, money market accounts, short-term debt, and variable rate loans that reprice frequently and fully. For fixed rate loans or deposits and for variable rate loans with infrequent repricing or repricing limits, fair value is based on discounted cash flows using current market rates applied to the estimated life. A discount for liquidity risk was not considered necessary in estimating the fair value of loans. It was not practicable to determine the fair value of Federal Reserve Bank and Federal Home Loan Bank stock due to restrictions placed on its transferability. Carrying amount is the estimated fair value for the equity investment and the preferred investment in the mortgage affiliate. Fair value of long-term debt is based on current rates for similar financing. The fair value of the FDIC indemnification asset was determined by discounting estimated future cash flows using the long-term risk free rate plus a premium and represents the present value of our current expectation for recoveries from the FDIC on covered loans. The fair value of off-balance-sheet items is not considered material. The fair value of loans is not presented on an exit price basis. |
SECURITIES SOLD UNDER AGREEMENT
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND OTHER SHORT-TERM BORROWINGS | 6 Months Ended |
Jun. 30, 2016 | |
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Abstract] | |
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND OTHER SHORT-TERM BORROWINGS | 8. SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND OTHER SHORT-TERM BORROWINGS Other short-term borrowings can consist of Federal Home Loan Bank (FHLB) overnight advances, other FHLB advances maturing within one year, federal funds purchased and, until the second quarter of 2016, securities sold under agreements to repurchase that mature within one year, which are secured transactions with customers. During the second quarter of 2016, we discontinued offering securities sold under agreements to repurchase and transferred those accounts into interest-bearing cash management accounts. As of June 30, 2016, those balances were $10.7 million. |
ACCOUNTING POLICIES (Policies)
ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of the consolidated financial statements in conformity with U. S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the carrying value of investment securities, other than temporary impairment of investment securities, the valuation of goodwill and intangible assets, the FDIC indemnification asset, mortgage servicing rights, other real estate owned and deferred tax assets. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In September 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-12, Compensation—Stock Compensation (Topic 718): Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved After the Requisite Service Period In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs. In February 2015, the FASB issued ASU No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments In January 2016, the FASB issued ASU 2016-1, Financial Instruments Overall (Topic 825): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU 2016-07 , Investments – Equity Method and Joint Ventures (Topic 323), Simplifying the Transition to the Equity Method of Accounting In March 2016, the FASB issued ASU 2016-08 , Revenue from Contracts with Customers (Topic 606), Principal versus Agent Considerations (Reporting Revenue Gross versus Net) Revenue from Contracts with Customers (Topic 606) In March 2016, the FASB issued ASU 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In June 2016 , Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments sets forth a “current expected credit loss” ("CECL") model requiring the Company to measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable supportable forecasts. This replaces the existing incurred loss model and is applicable to the measurement of credit losses on financial assets measured at amortized cost and applies to some off-balance sheet credit exposures. For public business entities that are U.S. Securities and Exchange Commission filers, the amendments in this update are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. SNBV is currently assessing the impact of the adoption of this ASU on its consolidated financial statements . |
STOCK- BASED COMPENSATION (Tabl
STOCK- BASED COMPENSATION (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract] | |
Schedule Of weighted-average assumptions were used to value options | Expected life 10 years Expected volatility 14.16 % Risk-free interest rate 1.62 % Weighted average fair value per option granted $ 0.63 Dividend yield 4.44 % |
Schedule of activity in the stock option plan | Weighted Weighted Average Aggregate Average Remaining Intrinsic Exercise Contractual Value Shares Price Term (in thousands) Options outstanding, beginning of period 664,400 $ 9.00 Granted 136,000 11.99 Forfeited - - Exercised (14,500 ) 7.16 Options outstanding, end of period 785,900 $ 9.55 7.0 $ 2,051 Vested or expected to vest 785,900 $ 9.55 7.0 $ 2,051 Exercisable at end of period 383,340 $ 7.82 4.9 $ 1,520 |
SECURITIES (Tables)
SECURITIES (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost and fair value of securities available-for-sale | Amortized Gross Unrealized Fair June 30, 2016 Cost Gains Losses Value Obligations of states and political subdivisions $ 2,284 $ 64 $ - $ 2,348 Trust preferred securities 2,589 - (1,215 ) 1,374 $ 4,873 $ 64 $ (1,215 ) $ 3,722 Amortized Gross Unrealized Fair December 31, 2015 Cost Gains Losses Value Obligations of states and political subdivisions $ 2,287 $ 25 $ - $ 2,312 Trust preferred securities 2,590 - (693 ) 1,897 $ 4,877 $ 25 $ (693 ) $ 4,209 |
Schedule of amortized cost, unrecognized gains and losses, and fair value of held to maturity securities | Amortized Gross Unrecognized Fair June 30, 2016 Cost Gains Losses Value Residential government-sponsored mortgage-backed securities $ 20,667 $ 714 $ (11 ) 21,370 Residential government-sponsored collateralized mortgage obligations 2,679 10 (6 ) 2,683 Government-sponsored agency securities 51,970 277 (6 ) 52,241 Obligations of states and political subdivisions 12,750 349 (5 ) 13,094 Trust preferred securities 4,219 - (456 ) 3,763 $ 92,285 $ 1,350 $ (484 ) $ 93,151 Amortized Gross Unrecognized Fair December 31, 2015 Cost Gains Losses Value Residential government-sponsored mortgage-backed securities $ 20,751 $ 459 $ (22 ) $ 21,188 Residential government-sponsored collateralized mortgage obligations 2,946 - (66 ) 2,880 Government-sponsored agency securities 55,937 222 (618 ) 55,541 Obligations of states and political subdivisions 12,794 157 (67 ) 12,884 Trust preferred securities 4,352 - (381 ) 3,971 $ 96,780 $ 838 $ (1,154 ) $ 96,464 |
Schedule of fair value and carrying amount, if different, of debt securities, by contractual maturity | Held to Maturity Available for Sale Amortized Amortized Cost Fair Value Cost Fair Value Due in five to ten years $ 7,195 $ 7,378 $ - $ - Due after ten years 61,744 61,720 4,873 3,722 Residential government-sponsored mortgage-backed securities 20,667 21,370 - - Residential government-sponsored collateralized mortgage obligations 2,679 2,683 - - Total $ 92,285 $ 93,151 $ 4,873 $ 3,722 |
Schedule of present information regarding securities in a continuous unrealized loss position by duration of time in a loss position | June 30, 2016 Less than 12 months 12 Months or More Total Available for Sale Fair value Unrealized Fair value Unrealized Fair value Unrealized Trust preferred securities $ - $ - $ 1,374 $ (1,215 ) $ 1,374 $ (1,215 ) Less than 12 months 12 Months or More Total Held to Maturity Fair value Unrecognized Fair value Unrecognized Fair value Unrecognized Residential government-sponsored mortgage-backed securities $ - $ - $ 461 $ (11 ) $ 461 $ (11 ) Residential government-sponsored collateralized mortgage obligations - - 1,144 (6 ) 1,144 (6 ) Government-sponsored agency securities 4,994 (6 ) - - 4,994 (6 ) Obligations of states and political subdivisions - - 1,127 (5 ) 1,127 (5 ) Trust preferred securities - - 3,763 (456 ) 3,763 (456 ) $ 4,994 $ (6 ) $ 6,495 $ (478 ) $ 11,489 $ (484 ) December 31, 2015 Less than 12 months 12 Months or More Total Available for Sale Fair value Unrealized Fair value Unrealized Fair value Unrealized Trust preferred securities $ - $ - $ 1,897 $ (693 ) $ 1,897 $ (693 ) Less than 12 months 12 Months or More Total Held to Maturity Fair value Unrecognized Fair value Unrecognized Fair value Unrecognized Residential government-sponsored mortgage-backed securities $ 5,459 $ (14 ) $ 640 $ (8 ) $ 6,099 $ (22 ) Residential government-sponsored collateralized mortgage obligations 512 (5 ) 2,368 (61 ) 2,880 (66 ) Government-sponsored agency securities 35,453 (507 ) 9,878 (111 ) 45,331 (618 ) Obligations of states and political subdivisions - - 2,513 (67 ) 2,513 (67 ) Trust preferred securities - - 3,971 (381 ) 3,971 (381 ) $ 41,424 $ (526 ) $ 19,370 $ (628 ) $ 60,794 $ (1,154 ) |
Schedule of owned pooled trust preferred securities | Previously % of Current Recognized Defaults and Cumulative Ratings Estimated Deferrals to Other Tranche When Purchased Current Ratings Fair Total Comprehensive Security Level Moody's Fitch Moody's Fitch Par Value Book Value Value Collateral Loss (1) Held to Maturity (in thousands) ALESCO VII A1B Senior Aaa AAA A1 A $ 4,310 $ 3,951 $ 3,544 13 % $ 245 MMCF III B Senior Sub A3 A- Ba1 BB 273 268 219 32 % 5 4,583 4,219 3,763 $ 250 Available for Sale Other Than Temporarily Impaired: Cumulative OTTI TPREF FUNDING II Mezzanine A1 A- Caa3 C 1,500 1,099 525 37 % 400 ALESCO V C1 Mezzanine A2 A Caa3 C 2,150 1,490 849 14 % 660 3,650 2,589 1,374 $ 1,060 Total $ 8,233 $ 6,808 $ 5,137 (1) Pre-tax, and represents unrealized losses at date of transfer from available-for-sale to held-to-maturity, net of accretion (2) Pre-tax |
Schedule of credit losses recognized in earnings | 2016 2015 Amount of cumulative other-than-temporary impairment related to credit loss prior to January 1 $ 1,060 $ 8,949 Amounts related to credit loss for which an other-than-temporary impairment was not previously recognized - - Amounts related to credit loss for which an other-than-temporary impairment was previously recognized - - Reductions due to sales of securities for which an other-than-temporary impairment was previously recognized - (7,889 ) Reductions due to realized losses - - Amount of cumulative other-than-temporary impairment related to credit loss as of June 30 $ 1,060 $ 1,060 |
Schedule of changes in accumulated other comprehensive income by component | Unrealized Holding Gains (Losses) on For the three months ended June 30, 2016 Available for Sale Held to Maturity Securities Securities Total Beginning balance $ (662 ) $ (168 ) $ (830 ) Other comprehensive income/(loss) before reclassifications (98 ) 3 (95 ) Amounts reclassified from accumulated other comprehensive income/(loss) - - - Net current-period other comprehensive income/(loss) (98 ) 3 (95 ) Ending balance $ (760 ) $ (165 ) $ (925 ) Unrealized Holding Gains (Losses) on For the six months ended June 30, 2016 Available for Sale Held to Maturity Securities Securities Total Beginning balance $ (440 ) $ (170 ) $ (610 ) Other comprehensive income/(loss) before reclassifications (320 ) 5 (315 ) Amounts reclassified from accumulated other comprehensive income/(loss) - - - Net current-period other comprehensive income/(loss) (320 ) 5 (315 ) Ending balance $ (760 ) $ (165 ) $ (925 ) Unrealized Holding Gains (Losses) on For the three months ended June 30, 2015 Available for Sale Held to Maturity Securities Securities Total Beginning balance $ 9 $ (3,000 ) $ (2,991 ) Other comprehensive income/(loss) before reclassifications (502 ) 2 (500 ) Amounts reclassified from accumulated other comprehensive income/(loss) - 2,824 2,824 Net current-period other comprehensive income/(loss) (502 ) 2,826 2,324 Ending balance $ (493 ) $ (174 ) $ (667 ) Unrealized Holding Gains (Losses) on For the six months ended June 30, 2015 Available for Sale Held to Maturity Securities Securities Total Beginning balance $ (6 ) $ (3,014 ) $ (3,020 ) Other comprehensive income/(loss) before reclassifications (487 ) 16 (471 ) Amounts reclassified from accumulated other comprehensive income/(loss) - 2,824 2,824 Net current-period other comprehensive income/(loss) (487 ) 2,840 2,353 Ending balance $ (493 ) $ (174 ) $ (667 ) |
LOANS AND ALLOWANCE FOR LOAN 19
LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Schedule of composition of loan portfolio | Covered Non-covered Total Covered Non-covered Total Loans (1) Loans Loans Loans (1) Loans Loans June 30, 2016 December 31, 2015 Loans secured by real estate: Commercial real estate - owner-occupied $ - $ 140,587 $ 140,587 $ - $ 141,521 $ 141,521 Commercial real estate - non-owner-occupied - 306,671 306,671 - 256,513 256,513 Secured by farmland - 561 561 - 578 578 Construction and land loans - 68,477 68,477 - 67,832 67,832 Residential 1-4 family 11,876 188,144 200,020 12,994 165,077 178,071 Multi- family residential - 32,513 32,513 - 25,501 25,501 Home equity lines of credit 19,757 12,529 32,286 21,379 13,798 35,177 Total real estate loans 31,633 749,482 781,115 34,373 670,820 705,193 Commercial loans - 125,969 125,969 - 124,985 124,985 Consumer loans - 1,325 1,325 - 1,366 1,366 Gross loans 31,633 876,776 908,409 34,373 797,171 831,544 Less deferred fees on loans - (2,073 ) (2,073 ) - (2,119 ) (2,119 ) Loans, net of deferred fees $ 31,633 $ 874,703 $ 906,336 $ 34,373 $ 795,052 $ 829,425 (1) Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering non-single family loans expired in December 2014. |
Schedule of summary of impaired loans | June 30, 2016 Covered Loans Non-covered Loans Total Loans Unpaid Unpaid Unpaid Recorded Principal Related Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment (1) Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 9,183 $ 9,198 $ - $ 9,183 $ 9,198 $ - Commercial real estate - non-owner occupied (2) - - - 133 225 - 133 225 - Construction and land development - - - - - - - - - Commercial loans - - - 2,592 3,038 - 2,592 3,038 - Residential 1-4 family (4) 1,046 1,217 - - - - 1,046 1,217 - Other consumer loans - - - - - - - - - Total $ 1,046 $ 1,217 $ - $ 11,908 $ 12,461 $ - $ 12,954 $ 13,678 $ - With an allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 695 $ 695 $ 150 $ 695 $ 695 $ 150 Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 5,497 6,068 650 5,497 6,068 650 Residential 1-4 family (4) - - - - - - - - - Other consumer loans - - - - - - - - - Total $ - $ - $ - $ 6,192 $ 6,763 $ 800 $ 6,192 $ 6,763 $ 800 Grand total $ 1,046 $ 1,217 $ - $ 18,100 $ 19,224 $ 800 $ 19,146 $ 20,441 $ 800 (1) Recorded investment is after cumulative prior charge offs of $1.0 million. These loans also have aggregate SBA guarantees of $1.7 million. (2) Includes loans secured by farmland and multi-family residential loans. (3) The Bank recognizes loan impairment and may concurrently record a charge off to the allowance for loan losses. (4) Includes home equity lines of credit. December 31, 2015 Covered Loans Non-covered Loans Total Loans Unpaid Unpaid Unpaid Recorded Principal Related Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment (1) Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 6,492 $ 6,986 $ - $ 6,492 $ 6,986 $ - Commercial real estate - non-owner occupied (2) - - - 136 230 - 136 230 - Construction and land development - - - - - - - - - Commercial loans - - - 2,102 2,698 - 2,102 2,698 - Residential 1-4 family (4) 1,066 1,243 - - - - 1,066 1,243 - Other consumer loans - - - - - - - - - Total $ 1,066 $ 1,243 $ - $ 8,730 $ 9,914 $ - $ 9,796 $ 11,157 $ - With an allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 1,370 $ 1,484 $ 439 $ 1,370 $ 1,484 $ 439 Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 3,382 3,382 400 3,382 3,382 400 Residential 1-4 family (4) - - - - - - - - - Other consumer loans - - - - - - - - - Total $ - $ - $ - $ 4,752 $ 4,866 $ 839 $ 4,752 $ 4,866 $ 839 Grand total $ 1,066 $ 1,243 $ - $ 13,482 $ 14,780 $ 839 $ 14,548 $ 16,023 $ 839 (1) Recorded investment is after cumulative prior charge offs of $1.2 million. These loans also have aggregate SBA guarantees of $3.5 million. (2) Includes loans secured by farmland and multi-family residential loans. (3) The Bank recognizes loan impairment and may concurrently record a charge off to the allowance for loan losses. (4) Includes home equity lines of credit. |
Schedule of details of average recorded investment and interest income for impaired loans recognized by class of loans | Three months ended June 30, 2016 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,826 $ 73 $ 6,826 $ 73 Commercial real estate - non-owner occupied (1) - - 133 3 133 3 Construction and land development - - - - - - Commercial loans - - 3,031 14 3,031 14 Residential 1-4 family (2) 1,047 9 - - 1,047 9 Other consumer loans - - - - - - Total $ 1,047 $ 9 $ 9,990 $ 90 $ 11,037 $ 99 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 695 $ 8 $ 695 $ 8 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 3,494 39 3,494 39 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 4,189 $ 47 $ 4,189 $ 47 Grand total $ 1,047 $ 9 $ 14,179 $ 137 $ 15,226 $ 146 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Three months ended June 30, 2015 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,629 $ 74 $ 6,629 $ 74 Commercial real estate - non-owner occupied (1) - - 139 3 139 3 Construction and land development - - - - - - Commercial loans - - 3,068 - 3,068 - Residential 1-4 family (2) 1,682 11 - - 1,682 11 Other consumer loans - - - - - - Total $ 1,682 $ 11 $ 9,836 $ 77 $ 11,518 $ 88 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 771 $ 11 $ 771 $ 11 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 3,621 54 3,621 54 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 4,392 $ 65 $ 4,392 $ 65 Grand total $ 1,682 $ 11 $ 14,228 $ 142 $ 15,910 $ 153 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Six months ended June 30, 2016 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,166 $ 146 $ 6,166 $ 146 Commercial real estate - non-owner occupied (1) - - 135 5 135 5 Construction and land development - - - - - - Commercial loans - - 2,959 28 2,959 - Residential 1-4 family (2) 1,012 17 - - 1,012 17 Other consumer loans - - - - - - Total $ 1,012 $ 17 $ 9,260 $ 179 $ 10,272 $ 168 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 697 $ 16 $ 697 $ 16 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 2,942 78 2,942 78 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 3,639 $ 94 $ 3,639 $ 94 Grand total $ 1,012 $ 17 $ 12,899 $ 273 $ 13,911 $ 262 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Six months ended June 30, 2015 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,638 $ 148 $ 6,638 $ 148 Commercial real estate - non-owner occupied (1) - - 140 6 140 6 Construction and land development - - - - - - Commercial loans - - 2,972 - 2,972 - Residential 1-4 family (2) 1,668 22 - - 1,668 22 Other consumer loans - - - - - - Total $ 1,668 $ 22 $ 9,750 $ 154 $ 11,418 $ 176 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 777 $ 21 $ 777 $ 21 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 3,641 107 3,641 107 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 4,418 $ 128 $ 4,418 $ 128 Grand total $ 1,668 $ 22 $ 14,168 $ 282 $ 15,836 $ 304 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. |
Schedule of details of aging of the recorded investment in past due loans by class of loans | June 30, 2016 30 - 59 60 - 89 Days Days 90 Days Total Nonaccrual Loans Not Total Past Due Past Due or More Past Due Loans Past Due Loans Covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - - Construction and land development - - - - - - - Commercial loans - - - - - - - Residential 1-4 family (2) 188 51 - 239 640 30,754 31,633 Other consumer loans - - - - - - - Total $ 188 $ 51 $ - $ 239 $ 640 $ 30,754 $ 31,633 Non-covered loans: Commercial real estate - owner occupied $ 1,222 $ - $ - $ 1,222 $ 633 $ 138,732 $ 140,587 Commercial real estate - non-owner occupied (1) - - - - - 339,745 339,745 Construction and land development - - - - - 68,477 68,477 Commercial loans 1,011 - - 1,011 1,685 123,273 125,969 Residential 1-4 family (2) 127 - - 127 - 200,546 200,673 Other consumer loans - - - - - 1,325 1,325 Total $ 2,360 $ - $ - $ 2,360 $ 2,318 $ 872,098 $ 876,776 Total loans: Commercial real estate - owner occupied $ 1,222 $ - $ - $ 1,222 $ 633 $ 138,732 $ 140,587 Commercial real estate - non-owner occupied (1) - - - - - 339,745 339,745 Construction and land development - - - - - 68,477 68,477 Commercial loans 1,011 - - 1,011 1,685 123,273 125,969 Residential 1-4 family (2) 315 51 - 366 640 231,300 232,306 Other consumer loans - - - - - 1,325 1,325 Total $ 2,548 $ 51 $ - $ 2,599 $ 2,958 $ 902,852 $ 908,409 December 31, 2015 30 - 59 60 - 89 Days Days 90 Days Total Nonaccrual Loans Not Total Past Due Past Due or More Past Due Loans Past Due Loans Covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - - Construction and land development - - - - - - - Commercial loans - - - - - - - Residential 1-4 family (2) 119 43 - 162 698 33,513 34,373 Other consumer loans - - - - - - - Total $ 119 $ 43 $ - $ 162 $ 698 $ 33,513 $ 34,373 Non-covered loans: Commercial real estate - owner occupied $ 561 $ - $ - $ 561 $ 2,071 $ 138,889 $ 141,521 Commercial real estate - non-owner occupied (1) - - - - - 282,592 282,592 Construction and land development - - - - - 67,832 67,832 Commercial loans 267 - - 267 2,102 122,616 124,985 Residential 1-4 family (2) 85 - - 85 - 178,790 178,875 Other consumer loans 1 - - 1 - 1,365 1,366 Total $ 914 $ - $ - $ 914 $ 4,173 $ 792,084 $ 797,171 Total loans: Commercial real estate - owner occupied $ 561 $ - $ - $ 561 $ 2,071 $ 138,889 $ 141,521 Commercial real estate - non-owner occupied (1) - - - - - 282,592 282,592 Construction and land development - - - - - 67,832 67,832 Commercial loans 267 - - 267 2,102 122,616 124,985 Residential 1-4 family (2) 204 43 - 247 698 212,303 213,248 Other consumer loans 1 - - 1 - 1,365 1,366 Total $ 1,033 $ 43 $ - $ 1,076 $ 4,871 $ 825,597 $ 831,544 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. |
Schedule of activity in the allowance for non-covered and covered loan and lease losses by class of loan | Activity in the allowance for non-covered loan and lease losses for the three and six months ended June 30, 2016 and 2015 is summarized below (in thousands): Commercial Commercial Real Estate Real Estate Construction Other Non-covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Three months ended June 30, 2016 Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total Allowance for loan losses: Beginning balance $ 1,251 $ 1,553 $ 716 $ 2,892 $ 1,556 $ 82 $ 640 $ 8,690 Charge offs - - (449 ) (1,156 ) (22 ) (69 ) - (1,696 ) Recoveries - - - 37 2 1 - 40 Provision (530 ) (150 ) 588 1,572 (274 ) 108 73 1,387 Ending balance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 Three months ended June 30, 2015 Allowance for loan losses: Beginning balance $ 1,424 $ 1,188 $ 1,351 $ 2,049 $ 1,215 $ 43 $ 450 $ 7,720 Charge offs (1,000 ) - - (266 ) - (3 ) - (1,269 ) Recoveries 3 6 - 10 2 1 - 22 Provision 627 330 (299 ) 628 7 5 202 1,500 Ending balance $ 1,054 $ 1,524 $ 1,052 $ 2,421 $ 1,224 $ 46 $ 652 $ 7,973 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Commercial Commercial Real Estate Real Estate Construction Other Non-covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Six months ended June 30, 2016 Occupied Occupied (1) Development Loans Residential Loans Unallocated Total Allowance for loan losses: Beginning balance $ 1,185 $ 1,222 $ 865 $ 3,041 $ 1,408 $ 48 $ 652 $ 8,421 Charge offs - - (449 ) (1,271 ) (22 ) (322 ) - (2,064 ) Recoveries - - - 46 4 2 - 52 Provision (464 ) 181 439 1,529 (128 ) 394 61 2,012 Ending balance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 Six months ended June 30, 2015 Allowance for loan losses: Beginning balance $ 855 $ 1,123 $ 1,644 $ 2,063 $ 1,322 $ 49 $ 337 $ 7,393 Charge offs (1,000 ) - - (619 ) - (5 ) - (1,624 ) Recoveries 4 12 139 19 4 1 - 179 Provision 1,195 389 (731 ) 958 (102 ) 1 315 2,025 Ending balance $ 1,054 $ 1,524 $ 1,052 $ 2,421 $ 1,224 $ 46 $ 652 $ 7,973 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Activity in the allowance for covered loan and lease losses by class of loan for the three and six months ended June 30, 2016 and 2015 is summarized below (in thousands): Commercial Commercial Real Estate Real Estate Construction Other Covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Three months ended June 30, 2016 Occupied Occupied (1) Development Loans Residential (3) Loans Unallocated Total Allowance for loan losses: Beginning balance $ - $ - $ - $ - $ - $ - $ - $ - Charge offs - - - - - - - - Recoveries - - - - - - - - Adjustments (2) - - - - - - - - Provision - - - - - - - - Ending balance $ - $ - $ - $ - $ - $ - $ - $ - Three months ended June 30, 2015 Allowance for loan losses: Beginning balance $ - $ - $ - $ - $ 17 $ 4 $ - $ 21 Charge offs - - - - - - - - Recoveries - - - - - - - - Adjustments (2) - - - - - - - - Provision - - - - - - - - Ending balance $ - $ - $ - $ - $ 17 $ 4 $ - $ 21 (1) Includes loans secured by farmland and multi-family residential loans. (2) Represents the portion of increased expected losses which is covered by the loss sharing agreement with the FDIC. (3) Includes home equity lines of credit. Commercial Commercial Real Estate Real Estate Construction Other Covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Six months ended June 30, 2016 Occupied Occupied (1) Development Loans Residential (3) Loans Unallocated Total Allowance for loan losses: Beginning balance $ - $ - $ - $ - $ - $ - $ - $ - Charge offs - - - - - - - - Recoveries - - - - - - - - Adjustments (2) - - - - - - - - Provision - - - - - - - - Ending balance $ - $ - $ - $ - $ - $ - $ - $ - Six months ended June 30, 2015 Allowance for loan losses: Beginning balance $ - $ - $ - $ - $ 17 $ 4 $ - $ 21 Charge offs - - - - - - - - Recoveries - - - - - - - - Adjustments (2) - - - - - - - - Provision - - - - - - - - Ending balance $ - $ - $ - $ - $ 17 $ 4 $ - $ 21 (1) Includes loans secured by farmland and multi-family residential loans. (2) Represents the portion of increased expected losses which is covered by the loss sharing agreement with the FDIC. (3) Includes home equity lines of credit. |
Schedule of allowance for non-covered loan and covered loan losses and the recorded investment by portfolio segment | Commercial Commercial Real Estate Real Estate Construction Other Owner Non-owner and Land Commercial 1-4 Family Consumer Non-covered loans: Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total June 30, 2016 Ending allowance balance attributable to loans: Individually evaluated for impairment $ 150 $ - $ - $ 650 $ - $ - $ - $ 800 Collectively evaluated for impairment 571 1,403 855 2,695 1,262 122 713 7,621 Total ending allowance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 Loans: Individually evaluated for impairment $ 9,878 $ 133 $ - $ 8,089 $ - $ - $ - $ 18,100 Collectively evaluated for impairment 130,709 339,612 68,477 117,880 200,673 1,325 - 858,676 Total ending loan balances $ 140,587 $ 339,745 $ 68,477 $ 125,969 $ 200,673 $ 1,325 $ - $ 876,776 December 31, 2015 Ending allowance balance attributable to loans: Individually evaluated for impairment $ 439 $ - $ - $ 400 $ - $ - $ - $ 839 Collectively evaluated for impairment 746 1,222 865 2,641 1,408 48 652 7,582 Total ending allowance $ 1,185 $ 1,222 $ 865 $ 3,041 $ 1,408 $ 48 $ 652 $ 8,421 Loans: Individually evaluated for impairment $ 7,862 $ 136 $ - $ 5,484 $ - $ - $ - $ 13,482 Collectively evaluated for impairment 133,659 282,456 67,832 119,501 178,875 1,366 - 783,689 Total ending loan balances $ 141,521 $ 282,592 $ 67,832 $ 124,985 $ 178,875 $ 1,366 $ - $ 797,171 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Commercial Commercial Real Estate Real Estate Construction Other Owner Non-owner and Land Commercial 1-4 Family Consumer Covered loans: Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total June 30, 2016 Ending allowance balance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment - - - - - - - - Total ending allowance $ - $ - $ - $ - $ - $ - $ - $ - Loans: Individually evaluated for impairment $ - $ - $ - $ - $ 1,046 $ - $ - $ 1,046 Collectively evaluated for impairment - - - - 30,587 - - 30,587 Total ending loan balances $ - $ - $ - $ - $ 31,633 $ - $ - $ 31,633 December 31, 2015 Ending allowance balance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment - - - - - - - - Total ending allowance $ - $ - $ - $ - $ - $ - $ - $ - Loans: Individually evaluated for impairment $ - $ - $ - $ 1,066 $ - $ 1,066 Collectively evaluated for impairment - - - - 33,307 - - 33,307 Total ending loan balances $ - $ - $ - $ - $ 34,373 $ - $ - $ 34,373 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. |
Schedule of the risk category of loans by class of loans | June 30, 2016 Covered Loans Non-covered Loans Total Loans Classified/ Special Classified/ Criticized (1) Pass Total Mention Substandard (3) Pass Total Criticized Pass Total Commercial real estate - owner occupied $ - $ - $ - $ 50 $ 9,878 $ 130,659 $ 140,587 $ 9,928 $ 130,659 $ 140,587 Commercial real estate - non-owner occupied (2) - - - - 133 339,612 339,745 133 339,612 339,745 Construction and land development - - - - - 68,477 68,477 - 68,477 68,477 Commercial loans - - - 28 8,089 117,852 125,969 8,117 117,852 125,969 Residential 1-4 family (4) 1,046 30,587 31,633 - - 200,673 200,673 1,046 231,260 232,306 Other consumer loans - - - - - 1,325 1,325 - 1,325 1,325 Total $ 1,046 $ 30,587 $ 31,633 $ 78 $ 18,100 $ 858,598 $ 876,776 $ 19,224 $ 889,185 $ 908,409 December 31, 2015 Covered Loans Non-covered Loans Total Loans Classified/ Special Classified/ Criticized (1) Pass Total Mention Substandard (3) Pass Total Criticized Pass Total Commercial real estate - owner occupied $ - $ - $ - $ 3,666 $ 7,862 $ 129,993 $ 141,521 $ 11,528 $ 129,993 $ 141,521 Commercial real estate - non-owner occupied (2) - - - - 136 282,456 282,592 136 282,456 282,592 Construction and land development - - - 552 - 67,280 67,832 552 67,280 67,832 Commercial loans - - - 4,014 5,484 115,487 124,985 9,498 115,487 124,985 Residential 1-4 family (4) 1,066 33,307 34,373 - - 178,875 178,875 1,066 212,182 213,248 Other consumer loans - - - - - 1,366 1,366 - 1,366 1,366 Total $ 1,066 $ 33,307 $ 34,373 $ 8,232 $ 13,482 $ 775,457 $ 797,171 $ 22,780 $ 808,764 $ 831,544 (1) Credit quality is enhanced by a loss sharing agreement with the FDIC in the covered portfolio. The same credit quality indicators used in the non-covered portfolio are combined. (2) Includes loans secured by farmland and multi-family residential loans. (3) Includes SBA guarantees of $1.7 million and $3.5 million as of June 30, 2016 and December 31, 2015, respectively. (4) Includes home equity lines of credit. |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of reconciliation of the denominators of the basic and diluted earnings per share | Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount For the three months ended June 30, 2016 Basic EPS $ 2,789 12,249 $ 0.23 Effect of dilutive stock options and warrants - 146 - Diluted EPS $ 2,789 12,395 $ 0.23 For the three months ended June 30, 2015 Basic EPS $ 2,466 12,240 $ 0.20 Effect of dilutive stock options and warrants - 119 - Diluted EPS $ 2,466 12,359 $ 0.20 For the six months ended June 30, 2016 Basic EPS $ 5,355 12,243 $ 0.44 Effect of dilutive stock options and warrants - 151 - Diluted EPS $ 5,355 12,394 $ 0.43 For the six months ended June 30, 2015 Basic EPS $ 4,470 12,229 $ 0.37 Effect of dilutive stock options and warrants - 114 - Diluted EPS $ 4,470 12,343 $ 0.36 |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets measured at fair value on a recurring basis | Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) June 30, 2016 (Level 1) (Level 2) (Level 3) Financial assets: Available for sale securities Obligations of states and political subdivisions $ 2,348 $ - $ 2,348 $ - Trust preferred securities 1,374 - 1,374 - $ 3,722 $ - $ 3,722 $ - Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) December 31, 2015 (Level 1) (Level 2) (Level 3) Financial assets: Available for sale securities Obligations of states and political subdivisions $ 2,312 $ - $ 2,312 $ - Trust preferred securities 1,897 - 1,897 - $ 4,209 $ - $ 4,209 $ - |
Schedule of assets measured at fair value on non recurring basis | Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) June 30, 2016 (Level 1) (Level 2) (Level 3) Impaired non-covered loans: Commercial real estate - owner occupied $ 9,728 $ 9,728 Commercial real estate - non-owner occupied (1) 133 133 Commercial loans 7,439 7,439 Impaired covered loans: Residential 1-4 family 1,046 1,046 Non-covered other real estate owned: Commercial real estate - owner occupied 1,110 1,110 Commercial real estate - non-owner occupied (1) 237 237 Construction and land development 4,614 4,614 Residential 1-4 family 3,407 3,407 Covered other real estate owned: Residential 1-4 family 90 90 Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) December 31, 2015 (Level 1) (Level 2) (Level 3) Impaired non-covered loans: Commercial real estate - owner occupied $ 7,423 $ 7,423 Commercial real estate - non-owner occupied (1) 136 136 Commercial loans 5,084 5,084 Impaired covered loans: Residential 1-4 family 1,066 1,066 Non-covered other real estate owned: Commercial real estate - owner occupied 1,110 1,110 Commercial real estate - non-owner occupied (1) 237 237 Construction and land development 5,007 5,007 Residential 1-4 family 3,741 3,741 Covered other real estate owned: Residential 1-4 family 343 343 (1) Includes loans secured by farmland and multi-family residential loans. |
Schedule of estimated fair values and fair value hierarchy levels of financial instruments | June 30, 2016 December 31, 2015 Fair Value Carrying Fair Carrying Fair Hierarchy Level Amount Value Amount Value Financial assets: Cash and cash equivalents Level 1 $ 41,705 $ 41,705 $ 30,336 $ 30,336 Securities available for sale See previous table 3,722 3,722 4,209 4,209 Securities held to maturity Level 2 92,285 93,151 96,780 96,464 Stock in Federal Reserve Bank and Federal Home Loan Bank n/a 7,610 n/a 6,929 n/a Equity investment in mortgage affiliate Level 3 4,695 4,695 4,459 4,459 Preferred investment in mortgage affiliate Level 3 2,555 2,555 2,555 2,555 Net non-covered loans Level 3 866,282 877,861 786,631 793,541 Net covered loans Level 3 31,633 37,057 34,373 38,077 Accrued interest receivable Level 2 & Level 3 3,052 3,052 2,914 2,914 FDIC indemnification asset Level 3 2,503 745 2,922 745 Financial liabilities: Demand deposits Level 1 131,770 131,770 111,849 111,849 Money market and savings accounts Level 1 179,664 179,664 181,670 181,670 Certificates of deposit Level 3 591,316 594,708 531,775 531,456 Securities sold under agreements to repurchase and other short-term borrowings Level 1 77,500 77,500 69,381 69,381 FHLB advances Level 3 10,000 10,053 15,000 15,041 Accrued interest payable Level 1 & Level 3 835 835 846 846 |
ACCOUNTING POLICIES (Detail Tex
ACCOUNTING POLICIES (Detail Textuals) - Sonabank | 6 Months Ended |
Jun. 30, 2016Branch | |
Virginia | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 15 |
Warrenton | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 2 |
Middleburg and Leesburg | Loudoun | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 2 |
South Riding | Loudoun | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Front Royal | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
New Market | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Haymarket | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Richmond | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Clifton Forge | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 8 |
Maryland | Rockville | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Shady Grove | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Frederick | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Bethesda | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Upper Marlboro | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Brandywine | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Owings | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Huntingtown | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
STOCK- BASED COMPENSATION - fai
STOCK- BASED COMPENSATION - fair option granted estimated on using Black-Scholes options-pricing model (Details) | 6 Months Ended |
Jun. 30, 2016$ / shares | |
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract] | |
Expected life | 10 years |
Expected volatility | 14.16% |
Risk-free interest rate | 1.62% |
Weighted average fair value per option granted | $ 0.63 |
Dividend yield | 4.44% |
STOCK- BASED COMPENSATION - Act
STOCK- BASED COMPENSATION - Activity in stock option plan (Details 1) - Stock Options $ / shares in Units, $ in Thousands | 6 Months Ended |
Jun. 30, 2016USD ($)$ / sharesshares | |
Shares | |
Options outstanding, beginning of period | shares | 664,400 |
Granted | shares | 136,000 |
Forfeited | shares | |
Exercised | shares | (14,500) |
Options outstanding, end of period | shares | 785,900 |
Vested or expected to vest | shares | 785,900 |
Exercisable at end of period | shares | 383,340 |
Weighted Average Exercise Price | |
Options outstanding, beginning of period | $ / shares | $ 9 |
Granted | $ / shares | 11.99 |
Forfeited | $ / shares | |
Exercised | $ / shares | 7.16 |
Options outstanding, end of period | $ / shares | 9.55 |
Vested or expected to vest | $ / shares | 9.55 |
Exercisable at end of period | $ / shares | $ 7.82 |
Weighted Average Remaining Contractual Term | |
Options outstanding, end of period | 7 years |
Vested or expected to vest | 7 years |
Exercisable at end of period | 4 years 10 months 24 days |
Options outstanding, end of period - Aggregate Intrinsic Value | $ | $ 2,051 |
Vested or expected to vest - Aggregate Intrinsic Value | $ | 2,051 |
Exercisable at end of period - Aggregate Intrinsic Value | $ | $ 1,520 |
STOCK- BASED COMPENSATION (Deta
STOCK- BASED COMPENSATION (Detail Textuals) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Apr. 30, 2010 | Dec. 31, 2004 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ 58 | $ 85 | $ 136 | $ 169 | ||
Unrecognized compensation expense associated with the stock options | $ 574 | $ 574 | ||||
Unrecognized compensation cost weighted average recognition period | 2 years 9 months 18 days | |||||
Stock Options | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Option granted | 136,000 | |||||
Stock Options | Maximum | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Maximum term of options | 10 years | |||||
Stock Options | 2004 Stock Option Plan | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized for reservation (in shares) | 302,500 | |||||
Stock Options | 2010 Stock Awards and Incentive Plan | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized for reservation (in shares) | 700,000 |
SECURITIES - Amortized cost and
SECURITIES - Amortized cost and fair value of securities (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 4,873 | $ 4,877 |
Gross Unrealized Gains | 64 | 25 |
Gross Unrealized Losses | (1,215) | (693) |
Fair value | 3,722 | 4,209 |
Obligations of states and political subdivisions | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 2,284 | 2,287 |
Gross Unrealized Gains | 64 | 25 |
Gross Unrealized Losses | ||
Fair value | 2,348 | 2,312 |
Trust preferred securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 2,589 | 2,590 |
Gross Unrealized Gains | ||
Gross Unrealized Losses | (1,215) | (693) |
Fair value | $ 1,374 | $ 1,897 |
SECURITIES - Carrying amount an
SECURITIES - Carrying amount and fair value of securities (Details 1) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 92,285 | $ 96,780 |
Gross Unrecognized Gains | 1,350 | 838 |
Gross Unrecognized Losses | (484) | (1,154) |
Fair Value | 93,151 | 96,464 |
Residential government-sponsored mortgage-backed securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 20,667 | 20,751 |
Gross Unrecognized Gains | 714 | 459 |
Gross Unrecognized Losses | (11) | (22) |
Fair Value | 21,370 | 21,188 |
Residential government-sponsored collateralized mortgage obligations | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 2,679 | 2,946 |
Gross Unrecognized Gains | 10 | |
Gross Unrecognized Losses | (6) | (66) |
Fair Value | 2,683 | 2,880 |
Government-sponsored agency securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 51,970 | 55,937 |
Gross Unrecognized Gains | 277 | 222 |
Gross Unrecognized Losses | (6) | (618) |
Fair Value | 52,241 | 55,541 |
Obligations of states and political subdivisions | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 12,750 | 12,794 |
Gross Unrecognized Gains | 349 | 157 |
Gross Unrecognized Losses | (5) | (67) |
Fair Value | 13,094 | 12,884 |
Trust preferred securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 4,219 | 4,352 |
Gross Unrecognized Gains | ||
Gross Unrecognized Losses | (456) | (381) |
Fair Value | $ 3,763 | $ 3,971 |
SECURITIES - Contractual maturi
SECURITIES - Contractual maturity (Details 2) $ in Thousands | Jun. 30, 2016USD ($) |
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | |
Held to maturity, due in five to ten years, amortized cost | $ 7,195 |
Held to maturity, due in five to ten years, fair value | 7,378 |
Held to maturity, due after ten years, amortized cost | 61,744 |
Held to maturity, due after ten years, fair value | 61,720 |
Held to maturity, amortized cost | 92,285 |
Held to maturity, fair value | 93,151 |
Available for sale, due in five to ten years, amortized cost | |
Available for sale, due in five to ten years, fair value | |
Available for sale, due after ten years, amortized cost | 4,873 |
Available for sale, due after ten years, fair value | 3,722 |
Available for sale, amortized cost | 4,873 |
Available for sale, fair value | 3,722 |
Residential government-sponsored mortgage-backed securities | |
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | |
Held to maturity, amortized cost | 20,667 |
Held to maturity, fair value | 21,370 |
Available for sale, amortized cost | |
Available for sale, fair value | |
Residential government-sponsored collateralized mortgage obligations | |
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | |
Held to maturity, amortized cost | 2,679 |
Held to maturity, fair value | 2,683 |
Available for sale, amortized cost | |
Available for sale, fair value |
SECURITIES - Securities in cont
SECURITIES - Securities in continuous unrealized loss position (Details 3) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Schedule Of Available For Sale and Held To Maturity Securities | ||
Held to maturity, less than 12 months, fair value | $ 4,994 | $ 41,424 |
Held to Maturity, less than 12 months unrecognized losses | (6) | (526) |
Held to Maturity, 12 months or more, fair value | 6,495 | 19,370 |
Held to Maturity, 12 months or more, unrecognized losses | (478) | (628) |
Held to maturity, total fair value | 11,489 | 60,794 |
Held to maturity, total unrecognized losses | (484) | (1,154) |
Residential government-sponsored mortgage-backed securities | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Held to maturity, less than 12 months, fair value | 5,459 | |
Held to Maturity, less than 12 months unrecognized losses | (14) | |
Held to Maturity, 12 months or more, fair value | 461 | 640 |
Held to Maturity, 12 months or more, unrecognized losses | (11) | (8) |
Held to maturity, total fair value | 461 | 6,099 |
Held to maturity, total unrecognized losses | (11) | (22) |
Residential government-sponsored collateralized mortgage obligations | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Held to maturity, less than 12 months, fair value | 512 | |
Held to Maturity, less than 12 months unrecognized losses | (5) | |
Held to Maturity, 12 months or more, fair value | 1,144 | 2,368 |
Held to Maturity, 12 months or more, unrecognized losses | (6) | (61) |
Held to maturity, total fair value | 1,144 | 2,880 |
Held to maturity, total unrecognized losses | (6) | (66) |
Government-Sponsored Agency Securities | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Held to maturity, less than 12 months, fair value | 4,994 | 35,453 |
Held to Maturity, less than 12 months unrecognized losses | (6) | (507) |
Held to Maturity, 12 months or more, fair value | 9,878 | |
Held to Maturity, 12 months or more, unrecognized losses | (111) | |
Held to maturity, total fair value | 4,994 | 45,331 |
Held to maturity, total unrecognized losses | (6) | (618) |
Obligations of states and political subdivisions | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Held to maturity, less than 12 months, fair value | ||
Held to Maturity, less than 12 months unrecognized losses | ||
Held to Maturity, 12 months or more, fair value | 1,127 | 2,513 |
Held to Maturity, 12 months or more, unrecognized losses | (5) | (67) |
Held to maturity, total fair value | 1,127 | 2,513 |
Held to maturity, total unrecognized losses | (5) | (67) |
Trust preferred securities | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Available for sale, less than 12 months, fair value | ||
Available for sale, less than 12 months, unrealized losses | ||
Available for sale, 12 months or more, fair value | 1,374 | 1,897 |
Available for sale, 12 months or more, unrealized losses | (1,215) | (693) |
Available for sale, total fair value | 1,374 | 1,897 |
Available for sale, total unrealized losses | (1,215) | (693) |
Held to maturity, less than 12 months, fair value | ||
Held to Maturity, less than 12 months unrecognized losses | ||
Held to Maturity, 12 months or more, fair value | 3,763 | 3,971 |
Held to Maturity, 12 months or more, unrecognized losses | (456) | (381) |
Held to maturity, total fair value | 3,763 | 3,971 |
Held to maturity, total unrecognized losses | $ (456) | $ (381) |
SECURITIES - Owned pooled trust
SECURITIES - Owned pooled trust preferred securities (Details 4) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | ||
Available for Sale other than temporarily impaired | |||
Cumulative OTTI related to credit loss | |||
Trust preferred securities | |||
Security | |||
Par value - security | 4,583 | ||
Book value - security | 4,219 | ||
Estimated fair value - security | 3,763 | ||
Previously recognized cumulative other comprehensive loss | [1] | 250 | |
Available for Sale other than temporarily impaired | |||
Par value - Available for Sale other than temporarily impaired | 3,650 | ||
Book value - Available for Sale other than temporarily impaired | 2,589 | ||
Estimated fair value - Available for Sale other than temporarily impaired | 1,374 | ||
Cumulative OTTI related to credit loss | [2] | 1,060 | |
Par value | 8,233 | ||
Book value | 6,808 | ||
Estimated Fair Value | 5,137 | ||
Trust preferred securities | ALESCO VII A1B Senior | Rating Of Moody Aaa Fitch AAA When Purchased and Current Moody A1 Fitch A | |||
Security | |||
Par value - security | 4,310 | ||
Book value - security | 3,951 | ||
Estimated fair value - security | $ 3,544 | ||
% of Current Defaults and Deferrals to Total Collateral - security | 13.00% | ||
Previously recognized cumulative other comprehensive loss | [1] | $ 245 | |
Trust preferred securities | MMCF III B Senior Sub | Rating Of Moody A3 Fitch A- When Purchased and Current Moody Ba1 Fitch BB | |||
Security | |||
Par value - security | 273 | ||
Book value - security | 268 | ||
Estimated fair value - security | $ 219 | ||
% of Current Defaults and Deferrals to Total Collateral - security | 32.00% | ||
Previously recognized cumulative other comprehensive loss | [2] | $ 5 | |
Trust preferred securities | TPREF FUNDING II Mezzanine | Rating Of Moody A1 Fitch A- When Purchased and Current Moody Caa3 Fitch C | |||
Available for Sale other than temporarily impaired | |||
Par value - Available for Sale other than temporarily impaired | 1,500 | ||
Book value - Available for Sale other than temporarily impaired | 1,099 | ||
Estimated fair value - Available for Sale other than temporarily impaired | $ 525 | ||
% of Current Defaults and Deferrals to Total Collateral - Available for Sale other than temporarily impaired | 37.00% | ||
Cumulative OTTI related to credit loss | [2] | $ 400 | |
Trust preferred securities | ALESCO V C1 Mezzanine | Rating Of Moody A2 Fitch A When Purchased and Current Moody Caa3 Fitch C | |||
Available for Sale other than temporarily impaired | |||
Par value - Available for Sale other than temporarily impaired | 2,150 | ||
Book value - Available for Sale other than temporarily impaired | 1,490 | ||
Estimated fair value - Available for Sale other than temporarily impaired | $ 849 | ||
% of Current Defaults and Deferrals to Total Collateral - Available for Sale other than temporarily impaired | 14.00% | ||
Cumulative OTTI related to credit loss | [2] | $ 660 | |
[1] | Pre-tax, and represents unrealized losses at date of transfer from available-for-sale to held-to-maturity, net of accretion | ||
[2] | Pre-tax |
SECURITIES - Roll forward of cr
SECURITIES - Roll forward of credit losses (Details 5) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward] | ||
Amount of cumulative other-than-temporary impairment related to credit loss prior to January 1 | $ 1,060 | $ 8,949 |
Amounts related to credit loss for which an other-than-temporary impairment was not previously recognized | ||
Amounts related to credit loss for which an other-than-temporary impairment was previously recognized | ||
Reductions due to sales of securities for which an other-than-temporary impairment was previously recognized | (7,889) | |
Reductions due to realized losses | ||
Amount of cumulative other-than-temporary impairment related to credit loss as of June 30 | $ 1,060 | $ 1,060 |
SECURITIES - Changes in accumul
SECURITIES - Changes in accumulated other comprehensive income by component (Details 6) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | $ (830) | $ (2,991) | $ (610) | $ (3,020) |
Other comprehensive income/(loss) before reclassifications | (95) | (500) | (315) | (471) |
Amounts reclassified from accumulated other comprehensive income/(loss) | 2,824 | 2,824 | ||
Net current-period other comprehensive income/(loss) | (95) | 2,324 | (315) | 2,353 |
Ending balance | (925) | (667) | (925) | (667) |
Unrealized Holding Gains (Losses) on Available for Sale Securities | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (662) | 9 | (440) | (6) |
Other comprehensive income/(loss) before reclassifications | (98) | (502) | (320) | (487) |
Amounts reclassified from accumulated other comprehensive income/(loss) | ||||
Net current-period other comprehensive income/(loss) | (98) | (502) | (320) | (487) |
Ending balance | (760) | (493) | (760) | (493) |
Held to Maturity Securities | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (168) | (3,000) | (170) | (3,014) |
Other comprehensive income/(loss) before reclassifications | 3 | 2 | 5 | 16 |
Amounts reclassified from accumulated other comprehensive income/(loss) | 2,824 | 2,824 | ||
Net current-period other comprehensive income/(loss) | 3 | 2,826 | 5 | 2,840 |
Ending balance | $ (165) | $ 174 | $ (165) | $ 174 |
SECURITIES (Detail Textuals)
SECURITIES (Detail Textuals) - Federal Home Loan Bank of Atlanta - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Securities with a carrying amount pledged to secure public deposits | $ 86 | $ 89.7 |
Temporarily impaired securities | $ 12.9 |
SECURITIES (Detail Textuals 1)
SECURITIES (Detail Textuals 1) | 6 Months Ended |
Jun. 30, 2016 | |
Schedule Of Available For Sale and Held To Maturity Securities | |
Other than temporary impairment performing collateral will default or defer per annum | 0.50% |
Recoveries ranging | 11.00% |
Period of no prepayments for security | 10 years |
Percentage of prepayments for remaining life of the security | 1.00% |
SECURITIES (Detail Textuals 2)
SECURITIES (Detail Textuals 2) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Trust preferred securities | ||||
Schedule Of Available For Sale and Held To Maturity Securities | ||||
OTTI charges related to credit |
LOANS AND ALLOWANCE FOR LOAN 36
LOANS AND ALLOWANCE FOR LOAN LOSSES - Summary (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | |||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | $ 781,115 | $ 705,193 | |||
Gross loans | 908,409 | 831,544 | |||
Less deferred fees on loans | (2,073) | (2,119) | |||
Loans, net of deferred fees | 906,336 | 829,425 | |||
Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 140,587 | 141,521 | |||
Gross loans | 140,587 | 141,521 | |||
Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 306,671 | 256,513 | |||
Gross loans | [1] | 339,745 | 282,592 | ||
Secured by farmland | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 561 | 578 | |||
Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 68,477 | 67,832 | |||
Gross loans | 68,477 | 67,832 | |||
Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 200,020 | 178,071 | |||
Gross loans | [2] | 232,306 | 213,248 | ||
Multi- family residential | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 32,513 | 25,501 | |||
Home equity lines of credit | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 32,286 | 35,177 | |||
Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Gross loans | 125,969 | 124,985 | |||
Consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Gross loans | 1,325 | 1,366 | |||
Covered loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | [3] | 31,633 | 34,373 | ||
Gross loans | [3] | 31,633 | 34,373 | ||
Less deferred fees on loans | [3] | ||||
Loans, net of deferred fees | [3] | 31,633 | 34,373 | ||
Covered loans | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | [3] | ||||
Gross loans | [3] | ||||
Covered loans | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | [3] | ||||
Gross loans | [1] | [3] | |||
Covered loans | Secured by farmland | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | [3] | ||||
Covered loans | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | [3] | ||||
Gross loans | [3] | ||||
Covered loans | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | [3] | 11,876 | 12,994 | ||
Gross loans | [2] | 31,633 | 34,373 | [3] | |
Covered loans | Multi- family residential | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | [3] | ||||
Covered loans | Home equity lines of credit | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | [3] | 19,757 | 21,379 | ||
Covered loans | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Gross loans | [3] | ||||
Covered loans | Consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Gross loans | [3] | ||||
Non-covered Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 749,482 | 670,820 | |||
Gross loans | 876,776 | [3] | 797,171 | ||
Less deferred fees on loans | (2,073) | (2,119) | |||
Loans, net of deferred fees | 874,703 | 795,052 | |||
Non-covered Loans | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 140,587 | 141,521 | |||
Gross loans | 140,587 | 141,521 | |||
Non-covered Loans | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 306,671 | 256,513 | |||
Gross loans | [1] | 339,745 | 282,592 | ||
Non-covered Loans | Secured by farmland | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 561 | 578 | |||
Non-covered Loans | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 68,477 | 67,832 | |||
Gross loans | 68,477 | 67,832 | |||
Non-covered Loans | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 188,144 | 165,077 | |||
Gross loans | [2] | 200,673 | 178,875 | ||
Non-covered Loans | Multi- family residential | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 32,513 | 25,501 | |||
Non-covered Loans | Home equity lines of credit | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total real estate loans | 12,529 | 13,798 | |||
Non-covered Loans | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Gross loans | 125,969 | 124,985 | |||
Non-covered Loans | Consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Gross loans | $ 1,325 | $ 1,366 | |||
[1] | Includes loans secured by farmland and multi-family residential loans. | ||||
[2] | Includes home equity lines of credit. | ||||
[3] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering non-single family loans expired in December 2014. |
LOANS AND ALLOWANCE FOR LOAN 37
LOANS AND ALLOWANCE FOR LOAN LOSSES - Impaired loans (Details 1) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | |||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | $ 12,954 | $ 9,796 | |||
With no related allowance recorded - Unpaid Principal Balance | 13,678 | 11,157 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 6,192 | 4,752 | |||
With an allowance recorded - Unpaid Principal Balance | 6,763 | 4,866 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 800 | 839 | |||
Recorded Investment, Grand total | 19,146 | 14,548 | |||
Unpaid Principal Balance, Grand total | 20,441 | 16,023 | |||
Related Allowance, Grand total | 800 | 839 | |||
Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 9,183 | 6,492 | |||
With no related allowance recorded - Unpaid Principal Balance | 9,198 | 6,986 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 695 | 1,370 | |||
With an allowance recorded - Unpaid Principal Balance | 695 | 1,484 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 150 | 439 | |||
Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [1] | 133 | 136 | ||
With no related allowance recorded - Unpaid Principal Balance | [1] | 225 | 230 | ||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [1] | ||||
With an allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [1] | ||||
Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 2,592 | 2,102 | |||
With no related allowance recorded - Unpaid Principal Balance | 3,038 | 2,698 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 5,497 | 3,382 | |||
With an allowance recorded - Unpaid Principal Balance | 6,068 | 3,382 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 650 | 400 | |||
Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [2] | 1,046 | 1,066 | ||
With no related allowance recorded - Unpaid Principal Balance | [2] | 1,217 | 1,243 | ||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [2] | ||||
With an allowance recorded - Unpaid Principal Balance | [2] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [2] | ||||
Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Covered loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 1,046 | 1,066 | |||
With no related allowance recorded - Unpaid Principal Balance | 1,217 | 1,243 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Recorded Investment, Grand total | 1,046 | 1,066 | |||
Unpaid Principal Balance, Grand total | 1,217 | 1,243 | |||
Related Allowance, Grand total | |||||
Covered loans | Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Covered loans | Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [1] | ||||
With no related allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [1] | ||||
With an allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [1] | ||||
Covered loans | Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Covered loans | Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Covered loans | Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [2] | 1,046 | 1,066 | ||
With no related allowance recorded - Unpaid Principal Balance | [2] | 1,217 | 1,243 | ||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [2] | ||||
With an allowance recorded - Unpaid Principal Balance | [2] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [2] | ||||
Covered loans | Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Non-covered Loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 11,908 | [3] | 8,730 | [4] | |
With no related allowance recorded - Unpaid Principal Balance | 12,461 | 9,914 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 6,192 | [3] | 4,752 | [4] | |
With an allowance recorded - Unpaid Principal Balance | 6,763 | 4,866 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 800 | 839 | |||
Recorded Investment, Grand total | 18,100 | 13,482 | |||
Unpaid Principal Balance, Grand total | 19,224 | 14,780 | |||
Related Allowance, Grand total | 800 | 839 | |||
Non-covered Loans | Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 9,183 | [3] | 6,492 | [4] | |
With no related allowance recorded - Unpaid Principal Balance | 9,198 | 6,986 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 695 | [3] | 1,370 | [4] | |
With an allowance recorded - Unpaid Principal Balance | 695 | 1,484 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 150 | 439 | |||
Non-covered Loans | Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [1] | 133 | [3] | 136 | [4] |
With no related allowance recorded - Unpaid Principal Balance | [1] | 225 | 230 | ||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [1] | [3] | [4] | ||
With an allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [1] | ||||
Non-covered Loans | Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [3] | [4] | |||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [3] | [4] | |||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Non-covered Loans | Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 2,592 | [3] | 2,102 | [4] | |
With no related allowance recorded - Unpaid Principal Balance | 3,038 | 2,698 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 5,497 | [3] | 3,382 | [4] | |
With an allowance recorded - Unpaid Principal Balance | 6,068 | 3,382 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 650 | 400 | |||
Non-covered Loans | Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [2] | [3] | [4] | ||
With no related allowance recorded - Unpaid Principal Balance | [2] | ||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [2] | [3] | [4] | ||
With an allowance recorded - Unpaid Principal Balance | [2] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [2] | ||||
Non-covered Loans | Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [3] | [4] | |||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [3] | [4] | |||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
[1] | Includes loans secured by farmland and multi-family residential loans. | ||||
[2] | Includes home equity lines of credit. | ||||
[3] | Recorded investment is after cumulative prior charge offs of $1.0 million. These loans also have aggregate SBA guarantees of $1.7 million. | ||||
[4] | Recorded investment is after cumulative prior charge offs of $1.2 million. These loans also have aggregate SBA guarantees of $3.5 million. |
LOANS AND ALLOWANCE FOR LOAN 38
LOANS AND ALLOWANCE FOR LOAN LOSSES - Average recorded investment and interest income for impaired loans (Details 2) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | ||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | $ 11,037 | $ 11,518 | $ 10,272 | $ 11,418 | |
With no related allowance recorded, Interest Income Recognized | 99 | 88 | 168 | 176 | |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 4,189 | 4,392 | 3,639 | 4,418 | |
With an allowance recorded, Interest Income Recognized | 47 | 65 | 94 | 128 | |
Average Recorded Investment, Grand total | 15,226 | 15,910 | 13,911 | 15,836 | |
Interest Income Recognized, Grand total | 146 | 153 | 262 | 304 | |
Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 6,826 | 6,629 | 6,166 | 6,638 | |
With no related allowance recorded, Interest Income Recognized | 73 | 74 | 146 | 148 | |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 695 | 771 | 697 | 777 | |
With an allowance recorded, Interest Income Recognized | 8 | 11 | 16 | 21 | |
Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [1] | 133 | 139 | 135 | 140 |
With no related allowance recorded, Interest Income Recognized | [1] | 3 | 3 | 5 | 6 |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [1] | ||||
With an allowance recorded, Interest Income Recognized | [1] | ||||
Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 3,031 | 3,068 | 2,959 | 2,972 | |
With no related allowance recorded, Interest Income Recognized | 14 | ||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 3,494 | 3,621 | 2,942 | 3,641 | |
With an allowance recorded, Interest Income Recognized | 39 | 54 | 78 | 107 | |
Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [2] | 1,047 | 1,682 | 1,012 | 1,668 |
With no related allowance recorded, Interest Income Recognized | [2] | 9 | 11 | 17 | 22 |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [2] | ||||
With an allowance recorded, Interest Income Recognized | [2] | ||||
Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Covered loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 1,047 | 1,682 | 1,012 | 1,668 | |
With no related allowance recorded, Interest Income Recognized | 9 | 11 | 17 | 22 | |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Average Recorded Investment, Grand total | 1,047 | 1,682 | 1,012 | 1,668 | |
Interest Income Recognized, Grand total | 9 | 11 | 17 | 22 | |
Covered loans | Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Covered loans | Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [1] | ||||
With no related allowance recorded, Interest Income Recognized | [1] | ||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [1] | ||||
With an allowance recorded, Interest Income Recognized | [1] | ||||
Covered loans | Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Covered loans | Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Covered loans | Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [2] | 1,047 | 1,682 | 1,012 | 1,668 |
With no related allowance recorded, Interest Income Recognized | [2] | 9 | 11 | 17 | 22 |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [2] | ||||
With an allowance recorded, Interest Income Recognized | [2] | ||||
Covered loans | Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Non-covered Loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 9,990 | 9,836 | 9,260 | 9,750 | |
With no related allowance recorded, Interest Income Recognized | 90 | 77 | 179 | 154 | |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 4,189 | 4,392 | 3,639 | 4,418 | |
With an allowance recorded, Interest Income Recognized | 47 | 65 | 94 | 128 | |
Average Recorded Investment, Grand total | 14,179 | 14,228 | 12,899 | 14,168 | |
Interest Income Recognized, Grand total | 137 | 142 | 273 | 282 | |
Non-covered Loans | Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 6,826 | 6,629 | 6,166 | 6,638 | |
With no related allowance recorded, Interest Income Recognized | 73 | 74 | 146 | 148 | |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 695 | 771 | 697 | 777 | |
With an allowance recorded, Interest Income Recognized | 8 | 11 | 16 | 21 | |
Non-covered Loans | Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [1] | 133 | 139 | 135 | 140 |
With no related allowance recorded, Interest Income Recognized | [1] | 3 | 3 | 5 | 6 |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [1] | ||||
With an allowance recorded, Interest Income Recognized | [1] | ||||
Non-covered Loans | Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Non-covered Loans | Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 3,031 | 3,068 | 2,959 | 2,972 | |
With no related allowance recorded, Interest Income Recognized | 14 | 28 | |||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 3,494 | 3,621 | 2,942 | 3,641 | |
With an allowance recorded, Interest Income Recognized | 39 | 54 | 78 | 107 | |
Non-covered Loans | Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [2] | ||||
With no related allowance recorded, Interest Income Recognized | [2] | ||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [2] | ||||
With an allowance recorded, Interest Income Recognized | [2] | ||||
Non-covered Loans | Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
[1] | Includes loans secured by farmland and multi-family residential loans. | ||||
[2] | Includes home equity lines of credit. |
LOANS AND ALLOWANCE FOR LOAN 39
LOANS AND ALLOWANCE FOR LOAN LOSSES - Aging of recorded investment (Details 3) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | |||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | $ 2,599 | $ 1,076 | |||
Recorded investment, Nonaccrual Loans | 2,958 | 4,871 | |||
Recorded Investment, Loans Not Past Due | 902,852 | 825,597 | |||
Total Loans | 908,409 | 831,544 | |||
30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 2,548 | 1,033 | |||
60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 51 | 43 | |||
90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1,222 | 561 | |||
Recorded investment, Nonaccrual Loans | 633 | 2,071 | |||
Recorded Investment, Loans Not Past Due | 138,732 | 138,889 | |||
Total Loans | 140,587 | 141,521 | |||
Commercial real estate - owner occupied | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1,222 | 561 | |||
Commercial real estate - owner occupied | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Commercial real estate - owner occupied | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Recorded investment, Nonaccrual Loans | [1] | ||||
Recorded Investment, Loans Not Past Due | [1] | 339,745 | 282,592 | ||
Total Loans | [1] | 339,745 | 282,592 | ||
Commercial real estate - non-owner occupied | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Commercial real estate - non-owner occupied | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Commercial real estate - non-owner occupied | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Recorded investment, Nonaccrual Loans | |||||
Recorded Investment, Loans Not Past Due | 68,477 | 67,832 | |||
Total Loans | 68,477 | 67,832 | |||
Construction and land development | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Construction and land development | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Construction and land development | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1,011 | 267 | |||
Recorded investment, Nonaccrual Loans | 1,685 | 2,102 | |||
Recorded Investment, Loans Not Past Due | 123,273 | 122,616 | |||
Total Loans | 125,969 | 124,985 | |||
Commercial loans | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1,011 | 267 | |||
Commercial loans | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Commercial loans | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | 366 | 247 | ||
Recorded investment, Nonaccrual Loans | [2] | 640 | 698 | ||
Recorded Investment, Loans Not Past Due | [2] | 231,300 | 212,303 | ||
Total Loans | [2] | 232,306 | 213,248 | ||
Residential 1-4 family | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | 315 | 204 | ||
Residential 1-4 family | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | 51 | 43 | ||
Residential 1-4 family | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | ||||
Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1 | ||||
Recorded investment, Nonaccrual Loans | |||||
Recorded Investment, Loans Not Past Due | 1,325 | 1,365 | |||
Total Loans | 1,325 | 1,366 | |||
Other consumer loans | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1 | ||||
Other consumer loans | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Other consumer loans | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 239 | 162 | |||
Recorded investment, Nonaccrual Loans | 640 | 698 | |||
Recorded Investment, Loans Not Past Due | 30,754 | 33,513 | |||
Total Loans | [3] | 31,633 | 34,373 | ||
Covered loans | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 188 | 119 | |||
Covered loans | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 51 | 43 | |||
Covered loans | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Recorded investment, Nonaccrual Loans | |||||
Recorded Investment, Loans Not Past Due | |||||
Total Loans | [3] | ||||
Covered loans | Commercial real estate - owner occupied | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Commercial real estate - owner occupied | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Commercial real estate - owner occupied | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Recorded investment, Nonaccrual Loans | [1] | ||||
Recorded Investment, Loans Not Past Due | [1] | ||||
Total Loans | [1] | [3] | |||
Covered loans | Commercial real estate - non-owner occupied | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Covered loans | Commercial real estate - non-owner occupied | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Covered loans | Commercial real estate - non-owner occupied | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Covered loans | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Recorded investment, Nonaccrual Loans | |||||
Recorded Investment, Loans Not Past Due | |||||
Total Loans | [3] | ||||
Covered loans | Construction and land development | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Construction and land development | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Construction and land development | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Recorded investment, Nonaccrual Loans | |||||
Recorded Investment, Loans Not Past Due | |||||
Total Loans | [3] | ||||
Covered loans | Commercial loans | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Commercial loans | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Commercial loans | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | 239 | 162 | ||
Recorded investment, Nonaccrual Loans | [2] | 640 | 698 | ||
Recorded Investment, Loans Not Past Due | [2] | 30,754 | 33,513 | ||
Total Loans | [2] | 31,633 | 34,373 | [3] | |
Covered loans | Residential 1-4 family | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | 188 | 119 | ||
Covered loans | Residential 1-4 family | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | 51 | 43 | ||
Covered loans | Residential 1-4 family | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | ||||
Covered loans | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Recorded investment, Nonaccrual Loans | |||||
Recorded Investment, Loans Not Past Due | |||||
Total Loans | [3] | ||||
Covered loans | Other consumer loans | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Other consumer loans | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Covered loans | Other consumer loans | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 2,360 | 914 | |||
Recorded investment, Nonaccrual Loans | 2,318 | 4,173 | |||
Recorded Investment, Loans Not Past Due | 872,098 | 792,084 | |||
Total Loans | 876,776 | [3] | 797,171 | ||
Non-covered Loans | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 2,360 | 914 | |||
Non-covered Loans | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1,222 | 561 | |||
Recorded investment, Nonaccrual Loans | 633 | 2,071 | |||
Recorded Investment, Loans Not Past Due | 138,732 | 138,889 | |||
Total Loans | 140,587 | 141,521 | |||
Non-covered Loans | Commercial real estate - owner occupied | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1,222 | 561 | |||
Non-covered Loans | Commercial real estate - owner occupied | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | Commercial real estate - owner occupied | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Recorded investment, Nonaccrual Loans | [1] | ||||
Recorded Investment, Loans Not Past Due | [1] | 339,745 | 282,592 | ||
Total Loans | [1] | 339,745 | 282,592 | ||
Non-covered Loans | Commercial real estate - non-owner occupied | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Non-covered Loans | Commercial real estate - non-owner occupied | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Non-covered Loans | Commercial real estate - non-owner occupied | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [1] | ||||
Non-covered Loans | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Recorded investment, Nonaccrual Loans | |||||
Recorded Investment, Loans Not Past Due | 68,477 | 67,832 | |||
Total Loans | 68,477 | 67,832 | |||
Non-covered Loans | Construction and land development | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | Construction and land development | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | Construction and land development | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1,011 | 267 | |||
Recorded investment, Nonaccrual Loans | 1,685 | 2,102 | |||
Recorded Investment, Loans Not Past Due | 123,273 | 122,616 | |||
Total Loans | 125,969 | 124,985 | |||
Non-covered Loans | Commercial loans | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1,011 | 267 | |||
Non-covered Loans | Commercial loans | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | Commercial loans | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | 127 | 85 | ||
Recorded investment, Nonaccrual Loans | [2] | ||||
Recorded Investment, Loans Not Past Due | [2] | 200,546 | 178,790 | ||
Total Loans | [2] | 200,673 | 178,875 | ||
Non-covered Loans | Residential 1-4 family | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | 127 | 85 | ||
Non-covered Loans | Residential 1-4 family | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | ||||
Non-covered Loans | Residential 1-4 family | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | [2] | ||||
Non-covered Loans | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1 | ||||
Recorded investment, Nonaccrual Loans | |||||
Recorded Investment, Loans Not Past Due | 1,325 | 1,365 | |||
Total Loans | 1,325 | 1,366 | |||
Non-covered Loans | Other consumer loans | 30 - 59 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | 1 | ||||
Non-covered Loans | Other consumer loans | 60 - 89 Days Past Due | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
Non-covered Loans | Other consumer loans | 90 Days or More | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Recorded Investment, Total Past Due | |||||
[1] | Includes loans secured by farmland and multi-family residential loans. | ||||
[2] | Includes home equity lines of credit. | ||||
[3] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering non-single family loans expired in December 2014. |
LOANS AND ALLOWANCE FOR LOAN 40
LOANS AND ALLOWANCE FOR LOAN LOSSES - Allowance for loan and lease losses (Details 4) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | ||
Allowance for loan losses: | |||||
Beginning balance | $ 8,421 | ||||
Provision | $ 1,387 | $ 1,500 | 2,012 | $ 2,025 | |
Ending balance | 8,421 | 8,421 | |||
Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 8,690 | 7,720 | 8,421 | 7,393 | |
Charge offs | (1,696) | (1,269) | (2,064) | (1,624) | |
Recoveries | 40 | 22 | 52 | 179 | |
Provision | 1,387 | 1,500 | 2,012 | 2,025 | |
Ending balance | 8,421 | 7,973 | 8,421 | 7,973 | |
Commercial real estate - owner occupied | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 1,251 | 1,424 | 1,185 | 855 | |
Charge offs | (1,000) | (1,000) | |||
Recoveries | 3 | 4 | |||
Provision | (530) | 627 | (464) | 1,195 | |
Ending balance | 721 | 1,054 | 721 | 1,054 | |
Commercial Real Estate Non-owner Occupied | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | [1] | 1,553 | 1,188 | 1,222 | 1,123 |
Charge offs | [1] | ||||
Recoveries | [1] | 6 | 12 | ||
Provision | [1] | (150) | 330 | 181 | 389 |
Ending balance | [1] | 1,403 | 1,524 | 1,403 | 1,524 |
Construction and Land Loans | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 716 | 1,351 | 865 | 1,644 | |
Charge offs | (449) | (449) | |||
Recoveries | 139 | ||||
Provision | 588 | (299) | 439 | (731) | |
Ending balance | 855 | 1,052 | 855 | 1,052 | |
Commercial loans | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 2,892 | 2,049 | 3,041 | 2,063 | |
Charge offs | (1,156) | (266) | (1,271) | (619) | |
Recoveries | 37 | 10 | 46 | 19 | |
Provision | 1,572 | 628 | 1,529 | 958 | |
Ending balance | 3,345 | 2,421 | 3,345 | 2,421 | |
1-4 Family Residential | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | [2] | 1,556 | 1,215 | 1,408 | 1,322 |
Charge offs | [2] | (22) | (22) | ||
Recoveries | [2] | 2 | 2 | 4 | 4 |
Provision | [2] | (274) | 7 | (128) | (102) |
Ending balance | [2] | 1,262 | 1,224 | 1,262 | 1,224 |
Other consumer loans | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 82 | 43 | 48 | 49 | |
Charge offs | (69) | (3) | (322) | (5) | |
Recoveries | 1 | 1 | 2 | 1 | |
Provision | 108 | 5 | 394 | 1 | |
Ending balance | 122 | 46 | 122 | 46 | |
Unallocated | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 640 | 450 | 652 | 337 | |
Charge offs | 0 | ||||
Recoveries | |||||
Provision | 73 | 202 | 61 | 315 | |
Ending balance | $ 713 | $ 652 | $ 713 | $ 652 | |
[1] | Includes loans secured by farmland and multi-family residential loans. | ||||
[2] | Includes home equity lines of credit. |
LOANS AND ALLOWANCE FOR LOAN 41
LOANS AND ALLOWANCE FOR LOAN LOSSES - Activity in allowance for covered loan and lease losses by class of loan (Details 5) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | ||
Allowance for loan losses: | |||||
Beginning balance | $ 8,421 | ||||
Provision | $ 1,387 | $ 1,500 | 2,012 | $ 2,025 | |
Ending balance | 8,421 | 8,421 | |||
Covered loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 21 | 21 | |||
Charge offs | |||||
Recoveries | |||||
Adjustments | [1] | ||||
Provision | |||||
Ending balance | 21 | 21 | |||
Commercial real estate - owner occupied | Covered loans | |||||
Allowance for loan losses: | |||||
Beginning balance | |||||
Charge offs | |||||
Recoveries | |||||
Adjustments | [1] | ||||
Provision | |||||
Ending balance | |||||
Commercial Real Estate Non-owner Occupied | Covered loans | |||||
Allowance for loan losses: | |||||
Beginning balance | [2] | ||||
Charge offs | [2] | ||||
Recoveries | [2] | ||||
Adjustments | [1],[2] | ||||
Provision | [2] | ||||
Ending balance | [2] | ||||
Construction and Land Loans | Covered loans | |||||
Allowance for loan losses: | |||||
Beginning balance | |||||
Charge offs | |||||
Recoveries | |||||
Adjustments | [1] | ||||
Provision | |||||
Ending balance | |||||
Commercial loans | Covered loans | |||||
Allowance for loan losses: | |||||
Beginning balance | |||||
Charge offs | |||||
Recoveries | |||||
Adjustments | [1] | ||||
Provision | |||||
Ending balance | |||||
1-4 Family Residential | Covered loans | |||||
Allowance for loan losses: | |||||
Beginning balance | [3] | 17 | 17 | ||
Charge offs | [3] | ||||
Recoveries | [3] | ||||
Adjustments | [1],[3] | ||||
Provision | [3] | ||||
Ending balance | [3] | 17 | 17 | ||
Other consumer loans | Covered loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 4 | 4 | |||
Charge offs | |||||
Recoveries | |||||
Adjustments | [1] | ||||
Provision | |||||
Ending balance | 4 | 4 | |||
Unallocated | Covered loans | |||||
Allowance for loan losses: | |||||
Beginning balance | |||||
Charge offs | |||||
Recoveries | |||||
Adjustments | [1] | ||||
Provision | |||||
Ending balance | |||||
[1] | Represents the portion of increased expected losses which is covered by the loss sharing agreement with the FDIC. | ||||
[2] | Includes loans secured by farmland and multi-family residential loans. | ||||
[3] | Includes home equity lines of credit. |
LOANS AND ALLOWANCE FOR LOAN 42
LOANS AND ALLOWANCE FOR LOAN LOSSES -Allowance for loan losses and recorded investment in non covered loans by portfolio segment (Details 6) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | ||
Ending allowance balance attributable to loans: | ||||||||
Total ending allowance | $ 8,421 | $ 8,421 | ||||||
Loans: | ||||||||
Total ending loan balances | 908,409 | 831,544 | ||||||
Commercial real estate - owner occupied | ||||||||
Loans: | ||||||||
Total ending loan balances | 140,587 | 141,521 | ||||||
Commercial real estate - non-owner occupied | ||||||||
Loans: | ||||||||
Total ending loan balances | [1] | 339,745 | 282,592 | |||||
Construction and land development | ||||||||
Loans: | ||||||||
Total ending loan balances | 68,477 | 67,832 | ||||||
Commercial loans | ||||||||
Loans: | ||||||||
Total ending loan balances | 125,969 | 124,985 | ||||||
1-4 Family Residential | ||||||||
Loans: | ||||||||
Total ending loan balances | [2] | 232,306 | 213,248 | |||||
Other consumer loans | ||||||||
Loans: | ||||||||
Total ending loan balances | 1,325 | 1,366 | ||||||
Non-covered Loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | 800 | 839 | ||||||
Collectively evaluated for impairment | 7,621 | 7,582 | ||||||
Total ending allowance | 8,421 | $ 8,690 | 8,421 | $ 7,973 | $ 7,720 | $ 7,393 | ||
Loans: | ||||||||
Individually evaluated for impairment | 18,100 | 13,482 | ||||||
Collectively evaluated for impairment | 858,676 | 783,689 | ||||||
Total ending loan balances | 876,776 | [3] | 797,171 | |||||
Non-covered Loans | Commercial real estate - owner occupied | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | 150 | 439 | ||||||
Collectively evaluated for impairment | 571 | 746 | ||||||
Total ending allowance | 721 | 1,251 | 1,185 | 1,054 | 1,424 | 855 | ||
Loans: | ||||||||
Individually evaluated for impairment | 9,878 | 7,862 | ||||||
Collectively evaluated for impairment | 130,709 | 133,659 | ||||||
Total ending loan balances | 140,587 | 141,521 | ||||||
Non-covered Loans | Commercial real estate - non-owner occupied | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | [1] | |||||||
Collectively evaluated for impairment | [1] | 1,403 | 1,222 | |||||
Total ending allowance | [1] | 1,403 | 1,553 | 1,222 | 1,524 | 1,188 | 1,123 | |
Loans: | ||||||||
Individually evaluated for impairment | [1] | 133 | 136 | |||||
Collectively evaluated for impairment | [1] | 339,612 | 282,456 | |||||
Total ending loan balances | [1] | 339,745 | 282,592 | |||||
Non-covered Loans | Construction and land development | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 855 | 865 | ||||||
Total ending allowance | 855 | 716 | 865 | 1,052 | 1,351 | 1,644 | ||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 68,477 | 67,832 | ||||||
Total ending loan balances | 68,477 | 67,832 | ||||||
Non-covered Loans | Commercial loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | 650 | 400 | ||||||
Collectively evaluated for impairment | 2,695 | 2,641 | ||||||
Total ending allowance | 3,345 | 2,892 | 3,041 | 2,421 | 2,049 | 2,063 | ||
Loans: | ||||||||
Individually evaluated for impairment | 8,089 | 5,484 | ||||||
Collectively evaluated for impairment | 117,880 | 119,501 | ||||||
Total ending loan balances | 125,969 | 124,985 | ||||||
Non-covered Loans | 1-4 Family Residential | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | [2] | |||||||
Collectively evaluated for impairment | [2] | 1,262 | 1,408 | |||||
Total ending allowance | [2] | 1,262 | 1,556 | 1,408 | 1,224 | 1,215 | 1,322 | |
Loans: | ||||||||
Individually evaluated for impairment | [2] | |||||||
Collectively evaluated for impairment | [2] | 200,673 | 178,875 | |||||
Total ending loan balances | [2] | 200,673 | 178,875 | |||||
Non-covered Loans | Other consumer loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 122 | 48 | ||||||
Total ending allowance | 122 | 82 | 48 | 46 | 43 | 49 | ||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 1,325 | 1,366 | ||||||
Total ending loan balances | 1,325 | 1,366 | ||||||
Non-covered Loans | Unallocated | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 713 | 652 | ||||||
Total ending allowance | 713 | $ 640 | 652 | $ 652 | $ 450 | $ 337 | ||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending loan balances | ||||||||
[1] | Includes loans secured by farmland and multi-family residential loans. | |||||||
[2] | Includes home equity lines of credit. | |||||||
[3] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering non-single family loans expired in December 2014. |
LOANS AND ALLOWANCE FOR LOAN 43
LOANS AND ALLOWANCE FOR LOAN LOSSES - Balance in allowance for covered loan losses and recorded investment in covered loans by portfolio segment and based on impairment method (Details 7) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | ||
Ending allowance balance attributable to loans: | ||||||||
Allowances for loan losses | $ 8,421 | $ 8,421 | ||||||
Loans: | ||||||||
Total loans | 908,409 | 831,544 | ||||||
Commercial real estate - owner occupied | ||||||||
Loans: | ||||||||
Total loans | 140,587 | 141,521 | ||||||
Commercial real estate - non-owner occupied | ||||||||
Loans: | ||||||||
Total loans | [1] | 339,745 | 282,592 | |||||
Construction and land development | ||||||||
Loans: | ||||||||
Total loans | 68,477 | 67,832 | ||||||
Commercial loans | ||||||||
Loans: | ||||||||
Total loans | 125,969 | 124,985 | ||||||
Residential 1-4 family | ||||||||
Loans: | ||||||||
Total loans | [2] | 232,306 | 213,248 | |||||
Other consumer loans | ||||||||
Loans: | ||||||||
Total loans | 1,325 | 1,366 | ||||||
Covered loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Allowances for loan losses | $ 21 | $ 21 | $ 21 | |||||
Loans: | ||||||||
Individually evaluated for impairment | 1,046 | 1,066 | ||||||
Collectively evaluated for impairment | 30,587 | 33,307 | ||||||
Total loans | [3] | 31,633 | 34,373 | |||||
Covered loans | Commercial real estate - owner occupied | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Allowances for loan losses | ||||||||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total loans | [3] | |||||||
Covered loans | Commercial real estate - non-owner occupied | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | [1] | |||||||
Collectively evaluated for impairment | [1] | |||||||
Allowances for loan losses | [1] | |||||||
Loans: | ||||||||
Individually evaluated for impairment | [1] | |||||||
Collectively evaluated for impairment | [1] | |||||||
Total loans | [1] | [3] | ||||||
Covered loans | Construction and land development | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Allowances for loan losses | ||||||||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total loans | [3] | |||||||
Covered loans | Commercial loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Allowances for loan losses | ||||||||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total loans | [3] | |||||||
Covered loans | Residential 1-4 family | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | [2] | |||||||
Collectively evaluated for impairment | [2] | |||||||
Allowances for loan losses | [2] | 17 | 17 | 17 | ||||
Loans: | ||||||||
Individually evaluated for impairment | [2] | 1,046 | 1,066 | |||||
Collectively evaluated for impairment | [2] | 30,587 | 33,307 | |||||
Total loans | [2] | 31,633 | 34,373 | [3] | ||||
Covered loans | Other consumer loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Allowances for loan losses | 4 | 4 | 4 | |||||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total loans | [3] | |||||||
Covered loans | Unallocated | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Allowances for loan losses | ||||||||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total loans | ||||||||
[1] | Includes loans secured by farmland and multi-family residential loans. | |||||||
[2] | Includes home equity lines of credit. | |||||||
[3] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering non-single family loans expired in December 2014. |
LOANS AND ALLOWANCE FOR LOAN 44
LOANS AND ALLOWANCE FOR LOAN LOSSES - Risk category of loans by class of loans (Details 8) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | |||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | $ 908,409 | $ 831,544 | |||
Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 140,587 | 141,521 | |||
Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1] | 339,745 | 282,592 | ||
Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 68,477 | 67,832 | |||
Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 125,969 | 124,985 | |||
Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2] | 232,306 | 213,248 | ||
Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 1,325 | 1,366 | |||
Classified/Criticized | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 19,224 | 22,780 | [3] | ||
Classified/Criticized | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 9,928 | 11,528 | [3] | ||
Classified/Criticized | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1] | 133 | 136 | [3] | |
Classified/Criticized | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 552 | [3] | |||
Classified/Criticized | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 8,117 | 9,498 | [3] | ||
Classified/Criticized | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2] | 1,046 | 1,066 | [3] | |
Classified/Criticized | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [3] | ||||
Pass | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 889,185 | 808,764 | |||
Pass | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 130,659 | 129,993 | |||
Pass | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1] | 339,612 | 282,456 | ||
Pass | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 68,477 | 67,280 | |||
Pass | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 117,852 | 115,487 | |||
Pass | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2] | 231,260 | 212,182 | ||
Pass | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 1,325 | 1,366 | |||
Covered loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [4] | 31,633 | 34,373 | ||
Covered loans | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [4] | ||||
Covered loans | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1] | [4] | |||
Covered loans | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [4] | ||||
Covered loans | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [4] | ||||
Covered loans | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2] | 31,633 | 34,373 | [4] | |
Covered loans | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [4] | ||||
Covered loans | Classified/Criticized | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [3] | 1,046 | 1,066 | ||
Covered loans | Classified/Criticized | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [3] | ||||
Covered loans | Classified/Criticized | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1] | [3] | |||
Covered loans | Classified/Criticized | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [3] | ||||
Covered loans | Classified/Criticized | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [3] | ||||
Covered loans | Classified/Criticized | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2] | 1,046 | 1,066 | [3] | |
Covered loans | Classified/Criticized | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [3] | ||||
Covered loans | Pass | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 30,587 | 33,307 | |||
Covered loans | Pass | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | |||||
Covered loans | Pass | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1] | ||||
Covered loans | Pass | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | |||||
Covered loans | Pass | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | |||||
Covered loans | Pass | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2] | 30,587 | 33,307 | ||
Covered loans | Pass | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | |||||
Non-covered Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 876,776 | [4] | 797,171 | ||
Non-covered Loans | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 140,587 | 141,521 | |||
Non-covered Loans | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1] | 339,745 | 282,592 | ||
Non-covered Loans | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 68,477 | 67,832 | |||
Non-covered Loans | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 125,969 | 124,985 | |||
Non-covered Loans | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2] | 200,673 | 178,875 | ||
Non-covered Loans | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 1,325 | 1,366 | |||
Non-covered Loans | Special Mention | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 78 | 8,232 | |||
Non-covered Loans | Special Mention | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 50 | 3,666 | |||
Non-covered Loans | Special Mention | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1] | ||||
Non-covered Loans | Special Mention | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 552 | ||||
Non-covered Loans | Special Mention | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 28 | 4,014 | |||
Non-covered Loans | Special Mention | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2] | ||||
Non-covered Loans | Special Mention | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | |||||
Non-covered Loans | Substandard | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [5] | 18,100 | 13,482 | ||
Non-covered Loans | Substandard | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [5] | 9,878 | 7,862 | ||
Non-covered Loans | Substandard | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1],[5] | 133 | 136 | ||
Non-covered Loans | Substandard | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [5] | ||||
Non-covered Loans | Substandard | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [5] | 8,089 | 5,484 | ||
Non-covered Loans | Substandard | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2],[5] | ||||
Non-covered Loans | Substandard | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [5] | ||||
Non-covered Loans | Pass | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 858,598 | 775,457 | |||
Non-covered Loans | Pass | Commercial real estate - owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 130,659 | 129,993 | |||
Non-covered Loans | Pass | Commercial real estate - non-owner occupied | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [1] | 339,612 | 282,456 | ||
Non-covered Loans | Pass | Construction and land development | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 68,477 | 67,280 | |||
Non-covered Loans | Pass | Commercial loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | 117,852 | 115,487 | |||
Non-covered Loans | Pass | Residential 1-4 family | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | [2] | 200,673 | 178,875 | ||
Non-covered Loans | Pass | Other consumer loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Total loans | $ 1,325 | $ 1,366 | |||
[1] | Includes loans secured by farmland and multi-family residential loans. | ||||
[2] | Includes home equity lines of credit. | ||||
[3] | Credit quality is enhanced by a loss sharing agreement with the FDIC in the covered portfolio. The same credit quality indicators used in the non-covered portfolio are combined. | ||||
[4] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering non-single family loans expired in December 2014. | ||||
[5] | Includes SBA guarantees of $1.7 million and $3.5 million as of June 30, 2016 and December 31, 2015, respectively. |
LOANS AND ALLOWANCE FOR LOAN 45
LOANS AND ALLOWANCE FOR LOAN LOSSES (Details Textuals) $ in Thousands | 6 Months Ended | |||
Jun. 30, 2016USD ($)Agreements | Dec. 31, 2015USD ($) | |||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | $ 908,409 | $ 831,544 | ||
Greater Atlantic Bank | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Accretable discount on the acquired covered loans | 7,000 | 7,900 | ||
HarVest Bank of Maryland | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Accretable discount on the acquired covered loans | 7,000 | 7,900 | ||
PGFSB | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Accretable discount on the acquired covered loans | 7,000 | 7,900 | ||
Covered loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | 31,633 | 34,373 | |
Non-covered Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 876,776 | [1] | $ 797,171 | |
Non-covered Loans | HarVest Bank of Maryland | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 26,600 | |||
Non-covered Loans | PGFSB | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | $ 47,900 | |||
FDIC | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of agreements | Agreements | 2 | |||
FDIC | Covered loans | Greater Atlantic Bank | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loss sharing agreement | $ 143,400 | |||
FDIC | Single family loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Term loan agreement expiring | 10 years | |||
FDIC | Non-Single Family (Commercial) | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Term loan agreement expiring | 5 years | |||
[1] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering non-single family loans expired in December 2014. |
LOANS AND ALLOWANCE FOR LOAN 46
LOANS AND ALLOWANCE FOR LOAN LOSSESS (Details Textuals 1) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | |
Accounts Notes And Loans Receivable [Line Items] | ||
Foreclosed residential real estate property | $ 3,500 | |
Consumer mortgage loans collateralized by residential real estate property | 567 | |
Non-covered Loans | ||
Accounts Notes And Loans Receivable [Line Items] | ||
SBA guarantees | 1,700 | $ 3,500 |
Charge off on recorded investment | 1,000 | $ 1,200 |
Non-covered Loans | 30 - 59 Days Past Due | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Financing Receivable, Modifications, Post-Modification Recorded Investment | $ 695 |
FINANCIAL INSTRUMENTS WITH OF47
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK (Detail Textuals) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Letter of Credit | ||
Line of Credit Facility [Line Items] | ||
Letters of credit outstanding | $ 5.7 | $ 6.7 |
FINANCIAL INSTRUMENTS WITH OF48
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK (Detail Textuals 1) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Unfunded Lines Of Credit and Undisbursed Construction Loan Funds | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unfunded lines of credit and undisbursed construction loan funds | $ 115.6 | $ 132.3 |
Approved loan commitment | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unfunded lines of credit and undisbursed construction loan funds | $ 7.3 | $ 2.7 |
EARNINGS PER SHARE - Reconcilia
EARNINGS PER SHARE - Reconciliation of the denominators of the basic and diluted EPS computations (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Earnings Per Share [Abstract] | ||||
Basic EPS - Income (Numerator) (in dollars) | $ 2,789 | $ 2,466 | $ 5,355 | $ 4,470 |
Effect of dilutive stock options and warrants - Income (Numerator) (in dollars) | ||||
Diluted EPS - Income (Numerator) | $ 2,789 | $ 2,466 | $ 5,355 | $ 4,470 |
Basic EPS - Weighted Average Shares (Denominator) (in shares) | 12,249 | 12,240 | 12,243 | 12,229 |
Effect of dilutive stock options and warrants - Weighted Average Shares (Denominator) (in shares) | 146 | 119 | 151 | 114 |
Diluted EPS - Weighted Average Shares (Denominator) (in shares) | 12,395 | 12,359 | 12,394 | 12,343 |
Basic EPS - Per Share Amount (in dollars per share) | $ 0.23 | $ 0.20 | $ 0.44 | $ 0.37 |
Effect of dilutive stock options and warrants - Per Share Amount (in dollars per share) | ||||
Diluted EPS - Per Share Amount (in dollars per share) | $ 0.23 | $ 0.20 | $ 0.43 | $ 0.36 |
EARNINGS PER SHARE (Detail Text
EARNINGS PER SHARE (Detail Textuals) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Stock Options and Warrants | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti-dilutive options and warrants (in shares) | 585,605 | 663,596 | 580,935 | 667,854 |
FAIR VALUE - Assets measured at
FAIR VALUE - Assets measured at fair value on recurring basis (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Available for sale securities | ||
Fair value | $ 3,722 | $ 4,209 |
Fair Value, Measurements, Recurring | Total | ||
Available for sale securities | ||
Fair value | 3,722 | 4,209 |
Fair Value, Measurements, Recurring | Total | Obligations of states and political subdivisions | ||
Available for sale securities | ||
Fair value | 2,348 | 2,312 |
Fair Value, Measurements, Recurring | Total | Trust preferred securities | ||
Available for sale securities | ||
Fair value | 1,374 | 1,897 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Available for sale securities | ||
Fair value | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Obligations of states and political subdivisions | ||
Available for sale securities | ||
Fair value | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Trust preferred securities | ||
Available for sale securities | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Available for sale securities | ||
Fair value | 3,722 | 4,209 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Obligations of states and political subdivisions | ||
Available for sale securities | ||
Fair value | 2,348 | 2,312 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Trust preferred securities | ||
Available for sale securities | ||
Fair value | 1,374 | 1,897 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Available for sale securities | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Obligations of states and political subdivisions | ||
Available for sale securities | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Trust preferred securities | ||
Available for sale securities | ||
Fair value |
FAIR VALUE - Assets measured 52
FAIR VALUE - Assets measured at fair value on non-recurring basis (Details 1) - Fair Value, Measurements, Nonrecurring - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | |
Total | Commercial real estate - owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | $ 9,728 | $ 7,423 | |
Non covered other real estate owned: | |||
Non-covered other real estate owned | 1,110 | 1,110 | |
Total | Commercial real estate - non-owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | [1] | 133 | 136 |
Non covered other real estate owned: | |||
Non-covered other real estate owned | [1] | 237 | 237 |
Total | Construction and land development | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | 4,614 | 5,007 | |
Total | Commercial loans | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | 7,439 | 5,084 | |
Total | Residential 1-4 family | |||
Impaired covered loans: | |||
Impaired covered loans | 1,046 | 1,066 | |
Non covered other real estate owned: | |||
Non-covered other real estate owned | 3,407 | 3,741 | |
Covered other real estate owned: | |||
Covered other real estate owned | 90 | 343 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial real estate - owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial real estate - non-owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | [1] | ||
Non covered other real estate owned: | |||
Non-covered other real estate owned | [1] | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Construction and land development | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial loans | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Residential 1-4 family | |||
Impaired covered loans: | |||
Impaired covered loans | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Covered other real estate owned: | |||
Covered other real estate owned | |||
Significant Other Observable Inputs (Level 2) | Commercial real estate - owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Significant Other Observable Inputs (Level 2) | Commercial real estate - non-owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | [1] | ||
Non covered other real estate owned: | |||
Non-covered other real estate owned | [1] | ||
Significant Other Observable Inputs (Level 2) | Construction and land development | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Significant Other Observable Inputs (Level 2) | Commercial loans | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Significant Other Observable Inputs (Level 2) | Residential 1-4 family | |||
Impaired covered loans: | |||
Impaired covered loans | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Covered other real estate owned: | |||
Covered other real estate owned | |||
Significant Unobservable Inputs (Level 3) | Commercial real estate - owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | 9,728 | 7,423 | |
Non covered other real estate owned: | |||
Non-covered other real estate owned | 1,110 | 1,110 | |
Significant Unobservable Inputs (Level 3) | Commercial real estate - non-owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | [1] | 133 | 136 |
Non covered other real estate owned: | |||
Non-covered other real estate owned | [1] | 237 | 237 |
Significant Unobservable Inputs (Level 3) | Construction and land development | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | 4,614 | 5,007 | |
Significant Unobservable Inputs (Level 3) | Commercial loans | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | 7,439 | 5,084 | |
Significant Unobservable Inputs (Level 3) | Residential 1-4 family | |||
Impaired covered loans: | |||
Impaired covered loans | 1,046 | 1,066 | |
Non covered other real estate owned: | |||
Non-covered other real estate owned | 3,407 | 3,741 | |
Covered other real estate owned: | |||
Covered other real estate owned | $ 90 | $ 343 | |
[1] | Includes loans secured by farmland and multi-family residential loans. |
FAIR VALUE - Fair Value of Fina
FAIR VALUE - Fair Value of Financial Instruments (Details 2) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Dec. 31, 2014 |
Financial assets: | ||||
Cash and cash equivalents | $ 41,705 | $ 30,336 | $ 74,526 | $ 38,320 |
Securities available for sale | 3,722 | 4,209 | ||
Securities held to maturity | 92,285 | 96,780 | ||
Stock in Federal Reserve Bank and Federal Home Loan Bank | 7,610 | 6,929 | ||
Equity investment in mortgage affiliate | 4,695 | 4,459 | ||
Preferred investment in mortgage affiliate | 2,555 | 2,555 | ||
FDIC indemnification asset | 2,503 | 2,922 | ||
Financial liabilities: | ||||
Certificates of deposit | 591,316 | 531,775 | ||
Securities sold under agreements to repurchase and other short-term borrowings | 10,381 | |||
FHLB advances | 10,000 | 15,000 | ||
Carrying Amount | ||||
Financial assets: | ||||
Cash and cash equivalents | 41,705 | 30,336 | ||
Securities available for sale | 3,722 | 4,209 | ||
Securities held to maturity | 92,285 | 96,780 | ||
Stock in Federal Reserve Bank and Federal Home Loan Bank | 7,610 | 6,929 | ||
Equity investment in mortgage affiliate | 4,695 | 4,539 | ||
Preferred investment in mortgage affiliate | 2,555 | 2,555 | ||
Net non-covered loans | 866,282 | 786,631 | ||
Net covered loans | 31,633 | 34,373 | ||
Accrued interest receivable | 3,052 | 2,914 | ||
FDIC indemnification asset | 2,503 | 2,922 | ||
Financial liabilities: | ||||
Demand deposits | 131,770 | 111,849 | ||
Money market and savings accounts | 179,664 | 181,670 | ||
Certificates of deposit | 591,316 | 531,775 | ||
Securities sold under agreements to repurchase and other short-term borrowings | 77,500 | 69,381 | ||
FHLB advances | 10,000 | 15,000 | ||
Accrued interest payable | 835 | 846 | ||
Fair Value | ||||
Financial assets: | ||||
Cash and cash equivalents | 41,705 | 30,336 | ||
Securities available for sale | 3,722 | 4,209 | ||
Securities held to maturity | 93,151 | 96,464 | ||
Stock in Federal Reserve Bank and Federal Home Loan Bank | ||||
Equity investment in mortgage affiliate | 4,695 | 4,539 | ||
Preferred investment in mortgage affiliate | 2,555 | 2,555 | ||
Net non-covered loans | 877,861 | 793,541 | ||
Net covered loans | 37,057 | 38,077 | ||
Accrued interest receivable | 3,052 | 2,914 | ||
FDIC indemnification asset | 745 | 745 | ||
Financial liabilities: | ||||
Demand deposits | 131,770 | 111,849 | ||
Money market and savings accounts | 179,664 | 181,670 | ||
Certificates of deposit | 594,708 | 531,456 | ||
Securities sold under agreements to repurchase and other short-term borrowings | 77,500 | 69,381 | ||
FHLB advances | 10,053 | 15,041 | ||
Accrued interest payable | $ 835 | $ 846 |
FAIR VALUE (Details Textuals)
FAIR VALUE (Details Textuals) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2016 | Dec. 31, 2015 | Mar. 31, 2016 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | |
Accounts Notes And Loans Receivable [Line Items] | ||||||
Allowances for loan losses | $ 8,421 | $ 8,421 | ||||
Minimum | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
Fair value of estimated costs related to selling the collateral | 6.00% | 6.00% | ||||
Maximum | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
Fair value of estimated costs related to selling the collateral | 10.00% | 10.00% | ||||
Non-covered Loans | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
Non covered Impaired loans | $ 18,100 | $ 13,500 | ||||
SBA guarantees | 1,700 | 3,500 | ||||
Allowances for loan losses | 8,421 | 8,421 | $ 8,690 | $ 7,973 | $ 7,720 | $ 7,393 |
SBA guaranteed | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
SBA guarantees | 1,700 | 3,500 | ||||
Total Loans | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
Allowances for loan losses | $ 800 | $ 839 |
FAIR VALUE (Details Textuals 1)
FAIR VALUE (Details Textuals 1) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2016 | Dec. 31, 2015 | |
Fair Value, Assets Measured On Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Description of other real estate owned loan collateral liquidation expenses | Fair value is classified as Level 3 in the fair value hierarchy. OREO is further evaluated quarterly for any additional impairment | |
Minimum | ||
Fair Value, Assets Measured On Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Percentage Of Discount Rate On Other Real Estate Owned | 6.00% | 6.00% |
Maximum | ||
Fair Value, Assets Measured On Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Percentage Of Discount Rate On Other Real Estate Owned | 7.60% | 7.60% |
FAIR VALUE (Details Textuals 2)
FAIR VALUE (Details Textuals 2) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Other real estate owned | $ 9,458 | $ 10,439 |
Non-covered Loans | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Non covered other real estate owned | 9,400 | |
Covered loans | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Covered other real estate owned | $ 90 | $ 343 |
SECURITIES SOLD UNDER AGREEME57
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND OTHER SHORT-TERM BORROWINGS (Details Textuals) $ in Millions | Jun. 30, 2016USD ($) |
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Abstract] | |
Securities sold under agreements to repurchase and other short term borrowings | $ 10.7 |