Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Nov. 14, 2014 | |
Document Information [Line Items] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Trading Symbol | 'BCAR | ' |
Entity Registrant Name | 'Bank of the Carolinas CORP | ' |
Entity Central Index Key | '0001365997 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 462,028,831 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | |
In Thousands, except Share data, unless otherwise specified | |||
Assets: | ' | ' | |
Cash and due from banks, noninterest-bearing | $9,349 | $12,778 | [1] |
Interest-bearing deposits in banks | 44,076 | 2,064 | [1] |
Cash and cash equivalents | 53,425 | 14,842 | [1] |
Federal funds sold | ' | 19,580 | [1] |
Investment securities available-for-sale, at fair value | 40,997 | 90,315 | [1] |
Loans receivable | 281,696 | 278,510 | [1] |
Less: Allowance for loan losses | -5,183 | -6,015 | [1] |
Loans, net | 276,513 | 272,495 | [1] |
Premises and equipment | 10,951 | 11,274 | [1] |
Other real estate owned | 1,220 | 1,233 | [1] |
Bank owned life insurance | 11,146 | 10,888 | [1] |
Accrued interest receivable | 845 | 1,156 | [1] |
Other assets | 1,182 | 1,867 | [1] |
Total Assets | 396,279 | 423,650 | [1] |
Deposits: | ' | ' | |
Noninterest-bearing demand deposits | 34,857 | 35,243 | [1] |
Interest-checking deposits | 41,540 | 40,939 | [1] |
Savings and money market deposits | 114,284 | 109,419 | [1] |
Time deposits | 157,486 | 180,549 | [1] |
Total deposits | 348,167 | 366,150 | [1] |
Securities sold under agreements to repurchase | 394 | 45,388 | [1] |
Subordinated debt | ' | 7,855 | [1] |
Other liabilities | 1,527 | 2,509 | [1] |
Total Liabilities | 350,088 | 421,902 | [1] |
Commitments and contingencies (Note 6) | ' | ' | [1] |
Stockholders' Equity: | ' | ' | |
Preferred stock, net of discount, no par value | ' | 13,079 | [1] |
Common stock, no par value at September 30, 2014, $5 per share par value at December 31, 2013 | ' | 19,479 | [1] |
Additional paid-in capital | 73,815 | 12,991 | [1] |
Retained deficit | -27,324 | -38,422 | [1] |
Accumulated other comprehensive loss | -300 | -5,379 | [1] |
Total Stockholders' Equity | 46,191 | 1,748 | [1] |
Total Liabilities and Stockholders' Equity | 396,279 | 423,650 | [1] |
Preferred shares authorized | 3,000,000 | 3,000,000 | [1] |
Preferred shares issued | 13,179 | 13,179 | [1] |
Preferred shares outstanding | 13,179 | 13,179 | [1] |
Unaccrued preferred stock dividend | ' | $1,894 | [1] |
Common shares authorized | 580,000,000 | 15,000,000 | [1] |
Common shares issued | 462,028,831 | 3,895,840 | [1] |
Common shares outstanding | 462,028,831 | 3,895,840 | [1] |
[1] | Derived from audited consolidated financial statements. |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | |
Preferred stock, par value | ' | ' | [1] |
Common stock, par value | $0 | $5 | [1] |
[1] | Derived from audited consolidated financial statements. |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Interest income | ' | ' | ' | ' |
Interest and fees on loans | $3,269 | $3,264 | $9,697 | $9,704 |
Interest on securities | 317 | 520 | 1,392 | 1,606 |
Other interest income | 22 | 17 | 55 | 56 |
Total interest income | 3,608 | 3,801 | 11,144 | 11,366 |
Interest expense | ' | ' | ' | ' |
Interest on deposits | 509 | 561 | 1,561 | 1,761 |
Interest on borrowed funds | 102 | 569 | 1,223 | 1,689 |
Total interest expense | 611 | 1,130 | 2,784 | 3,450 |
Net interest income | 2,997 | 2,671 | 8,360 | 7,916 |
Provision for (recovery of) loan losses | -535 | -920 | -760 | -2,078 |
Net interest income after provision for loan losses | 3,532 | 3,591 | 9,120 | 9,994 |
Noninterest income | ' | ' | ' | ' |
Customer service fees | 294 | 285 | 878 | 857 |
Increase in value of bank owned life insurance | 87 | 89 | 258 | 263 |
Losses on sales of investment securities | -1,275 | ' | -1,275 | ' |
Extinguishment of debt | 5,443 | ' | 5,443 | ' |
Other income | 4 | 6 | 23 | 9 |
Total noninterest income | 4,553 | 380 | 5,327 | 1,129 |
Noninterest expense | ' | ' | ' | ' |
Salaries and benefits | 1,434 | 1,611 | 4,571 | 4,804 |
Occupancy and equipment | 471 | 459 | 1,399 | 1,337 |
FDIC insurance assessments | 371 | 360 | 1,102 | 1,096 |
Data processing services | 260 | 257 | 788 | 809 |
Valuation provisions and net operating costs associated with foreclosed real estate | -26 | 144 | 1 | 676 |
Debt prepayment penalty | 4,353 | ' | 4,353 | ' |
Other | 852 | 748 | 2,498 | 2,297 |
Total noninterest expense | 7,715 | 3,579 | 14,712 | 11,019 |
Income (loss) before income taxes | 370 | 392 | -265 | 104 |
Provision for income taxes | ' | 152 | ' | 790 |
Net income (loss) | 370 | 240 | -265 | -686 |
Dividends and accretion on preferred stock | 165 | -245 | 65 | -731 |
Gain on redemption of preferred stock | 10,203 | ' | 10,203 | ' |
Net income (loss) available to common stockholders | $10,738 | ($5) | $10,003 | ($1,417) |
Earnings (Loss) per common share: | ' | ' | ' | ' |
Basic | $0.03 | ' | $0.08 | ($0.36) |
Diluted | $0.03 | ' | $0.08 | ($0.36) |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Net income (loss) | $370 | $240 | ($265) | ($686) |
Other comprehensive income (loss): | ' | ' | ' | ' |
Unrealized holding gains (losses) on securities available-for-sale | 138 | -655 | 3,804 | -4,792 |
Reclassification adjustment for losses realized in net income (loss) | 1,275 | ' | 1,275 | ' |
Income tax effect | ' | ' | ' | 335 |
Total other comprehensive income (loss), net of income tax effect | 1,413 | -655 | 5,079 | -4,457 |
Total comprehensive income (loss) | $1,783 | ($415) | $4,814 | ($5,143) |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | |
Cash flows from operating activities: | ' | ' | |
Net loss | ($265) | ($686) | |
Adjustments to reconcile net loss to net cash provided by operating activities: | ' | ' | |
Provision for loan losses | -760 | -2,078 | |
Deferred tax expense | ' | 790 | |
Depreciation and amortization | 506 | 508 | |
Change in valuation allowance on other real estate owned | ' | 475 | |
(Gain) loss on sale of other real estate owned | -65 | 41 | |
Loss on disposal of premises and equipment | 1 | 8 | |
Loss on sale of securities | 1,275 | ' | |
Extinguishment of debt | -5,443 | ' | |
Increase in bank owned life insurance | -258 | -263 | |
Net amortization/accretion of premiums and discounts on investments | 830 | 427 | |
Net change in other assets | 702 | 609 | |
Net change in other liabilities | 25 | 475 | |
Net cash provided (used) by operating activities | -3,452 | 306 | |
Cash flows from investing activities: | ' | ' | |
Net change in federal funds sold | 19,580 | 735 | |
Purchases of premises and equipment | -184 | -102 | |
Purchases of securities | ' | -16,640 | |
Proceeds from sales, calls, maturities and principal repayments of securities available for sale | 51,292 | 25,460 | |
Proceeds from maturity of security held to maturity | 1,000 | ' | |
Redemption of FHLB stock | 140 | 205 | |
Proceeds from sales of other real estate owned | 1,266 | 3,699 | |
Net increase in loans | -4,446 | -7,351 | |
Net cash provided by investing activities | 68,648 | 6,006 | |
Cash flows from financing activities: | ' | ' | |
Net increase (decrease) in deposits | -17,983 | -7,278 | |
Net increase (decrease) in repurchase agreements | -44,994 | 182 | |
Repayment of borrowing | -3,100 | ' | |
Issuance of common stock, net of cost | 42,759 | ' | |
Repurchase of preferred stock | -3,295 | ' | |
Net cash used by financing activities | -26,613 | -7,096 | |
Net increase (decrease) in cash and cash equivalents | 38,583 | -784 | |
Cash and cash equivalents at beginning of period | 14,842 | [1] | 7,786 |
Cash and cash equivalents at end of period | 53,425 | 7,002 | |
Supplemental disclosure of cash flow information: | ' | ' | |
Cash paid during the period for interest | 3,009 | 3,287 | |
Noncash investing and financing activities: | ' | ' | |
Change in fair value of securities available for sale | 5,079 | -4,457 | |
Transfer from loans to other real estate owned | $1,188 | $625 | |
[1] | Derived from audited consolidated financial statements. |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Stockholders' Equity (USD $) | Total | Preferred Stock | Discount on Preferred Stock | Common Stock | Additional Paid-In Capital | Retained Deficit | Accumulated Other Comprehensive Income (Loss) | |
In Thousands, except Share data | ||||||||
Beginning Balance at Dec. 31, 2012 | $9,065 | $13,179 | ($419) | $19,479 | $12,991 | ($36,748) | $583 | |
Beginning Balance (in shares) at Dec. 31, 2012 | ' | 13,179 | ' | 3,895,840 | ' | ' | ' | |
Net income (loss) | -686 | ' | ' | ' | ' | -686 | ' | |
Other comprehensive income (loss) | -4,457 | ' | ' | ' | ' | ' | -4,457 | |
Discount accretion on preferred stock | ' | ' | 236 | ' | ' | -236 | ' | |
Ending Balance at Sep. 30, 2013 | 3,922 | 13,179 | -183 | 19,479 | 12,991 | -37,670 | -3,874 | |
Ending Balance (in shares) at Sep. 30, 2013 | ' | 13,179 | ' | 3,895,840 | ' | ' | ' | |
Beginning Balance at Dec. 31, 2013 | 1,748 | [1] | 13,179 | -100 | 19,479 | 12,991 | -38,422 | -5,379 |
Beginning Balance (in shares) at Dec. 31, 2013 | ' | 13,179 | ' | 3,895,840 | ' | ' | ' | |
Net income (loss) | -265 | ' | ' | ' | ' | -265 | ' | |
Other comprehensive income (loss) | 5,079 | ' | ' | ' | ' | ' | 5,079 | |
Reclass due to no par value | ' | ' | ' | -19,479 | 19,479 | ' | ' | |
Issuance of common stock (in shares) | ' | ' | ' | 458,132,991 | ' | ' | ' | |
Issuance of common stock | 45,813 | ' | ' | ' | 45,813 | ' | ' | |
Cost of issuing common stock | -3,054 | ' | ' | ' | -3,054 | ' | ' | |
Repurchase of preferred stock | -3,295 | -13,179 | ' | ' | -319 | 10,203 | ' | |
Repurchase of preferred stock (in shares) | ' | -13,179 | ' | ' | ' | ' | ' | |
Discount accretion on preferred stock | ' | ' | 100 | ' | ' | -100 | ' | |
Dividends accrued on preferred stock | 165 | ' | ' | ' | ' | 165 | ' | |
Ending Balance at Sep. 30, 2014 | $46,191 | ' | ' | ' | $74,910 | ($28,419) | ($300) | |
Ending Balance (in shares) at Sep. 30, 2014 | ' | ' | ' | 462,028,831 | ' | ' | ' | |
[1] | Derived from audited consolidated financial statements. |
BASIS_OF_PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2014 | |
BASIS OF PRESENTATION | ' |
NOTE 1. BASIS OF PRESENTATION | |
In the opinion of management, the financial information included in these unaudited financial statements reflects all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the financial information as of September 30, 2014 and December 31, 2013 and for the three- and nine-month periods ended September 30, 2014 and 2013, in conformity with accounting principles generally accepted in the United States of America. | |
The preparation of financial statements requires management to make estimates and assumptions that affect reported amounts of assets and liabilities at the date of the financial statements, as well as the amounts of income and expense during the reporting period. Actual results could differ from those estimates. Operating results for the three- and nine-month periods ended September 30, 2014 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2014. | |
The results presented here are for Bank of the Carolinas Corporation (“the Company”), the parent company of Bank of the Carolinas (“the Bank”). The organization and business of the Company, accounting policies followed by the Company and other relevant information are contained in the notes to the financial statements filed as part of the Company’s annual report on Form 10-K for the year ended December 31, 2013, as amended. This quarterly report should be read in conjunction with the annual report. Because the Company has no separate operations and conducts no business on its own other than owning the Bank, this discussion concerns primarily the business of the Bank. However, because the financial statements are presented on a consolidated basis, the Company and the Bank are collectively referred to as “the Company” unless otherwise noted. |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
EARNINGS PER SHARE | ' | ||||||||||||||||
NOTE 2. EARNINGS PER SHARE | |||||||||||||||||
Basic earnings (loss) per share represents income (loss) available to common stockholders divided by the weighted average number of common shares outstanding during the period. When applicable, the weighted average shares outstanding for the diluted earnings per share computations are adjusted to reflect the assumed conversion of shares available under stock options using the treasury stock method. | |||||||||||||||||
Earnings (loss) per share have been computed based on the following (dollars in thousands): | |||||||||||||||||
Three months ended | Nine months ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net income (loss) applicable to common stockholders | $ | 10,573 | $ | (5 | ) | $ | 9,938 | $ | (1,417 | ) | |||||||
Weighted average number of common shares outstanding | 387,333,235 | 3,895,840 | 133,112,837 | 3,895,840 | |||||||||||||
Weighted average number of diluted common shares outstanding | 387,333,235 | 3,895,840 | 133,112,837 | 3,895,840 | |||||||||||||
Common stock options and common stock warrants - anti-dilutive | 20,000 | 497,605 | 20,000 | 497,605 | |||||||||||||
Earnings (Loss) per common share: | |||||||||||||||||
Basic | $ | 0.028 | $ | — | $ | 0.075 | $ | (0.36 | ) | ||||||||
Diluted | $ | 0.028 | $ | — | $ | 0.075 | $ | (0.36 | ) | ||||||||
The common stock warrants referred to above were issued to the United States Treasury in connection with the Company’s April 17, 2009 participation in the Capital Purchase Program, which was authorized as a part of the TARP legislation passed by Congress during 2008. | |||||||||||||||||
For the three and nine months ended September 30, 2014 there were 20,000 common stock options outstanding that were anti-dilutive as the average market price for the shares was less than the exercise price. |
INVESTMENT_SECURITIES
INVESTMENT SECURITIES | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
INVESTMENT SECURITIES | ' | ||||||||||||||||||||||||
NOTE 3. INVESTMENT SECURITIES | |||||||||||||||||||||||||
The amortized cost, estimated fair values and carrying values of the investment securities portfolios at the indicated dates are summarized as follows (dollars in thousands): | |||||||||||||||||||||||||
September 30, 2014 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Estimated | Carrying | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | Value | |||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
Investment securities available for sale: | |||||||||||||||||||||||||
U.S. Government agencies securities | $ | 4,896 | $ | 70 | $ | 31 | $ | 4,935 | $ | 4,935 | |||||||||||||||
State and municipal bonds | 6,175 | 43 | 152 | 6,066 | 6,066 | ||||||||||||||||||||
Mortgage-backed securities | 30,226 | 42 | 272 | 29,996 | 29,996 | ||||||||||||||||||||
Total investment securities available for sale | $ | 41,297 | $ | 155 | $ | 455 | $ | 40,997 | $ | 40,997 | |||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Estimated | Carrying | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | Value | |||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
Investment securities available for sale: | |||||||||||||||||||||||||
U.S. Government agencies securities | $ | 44,077 | $ | 87 | $ | 3,234 | $ | 40,930 | $ | 40,930 | |||||||||||||||
State and municipal bonds | 11,159 | — | 978 | 10,181 | 10,181 | ||||||||||||||||||||
Mortgage-backed securities | 39,458 | 34 | 1,288 | 38,204 | 38,204 | ||||||||||||||||||||
Total investment securities available for sale | 94,694 | 121 | 5,500 | 89,315 | 89,315 | ||||||||||||||||||||
Investment securities held to maturity: | |||||||||||||||||||||||||
Corporate securities | 1,000 | — | 180 | 820 | 1,000 | ||||||||||||||||||||
Total investment securities | $ | 95,694 | $ | 121 | $ | 5,680 | $ | 90,135 | $ | 90,315 | |||||||||||||||
Management of the Bank believes all unrealized losses on available for sale securities as of September 30, 2014 represent temporary impairments related to market fluctuations. The unrealized losses on our securities are a nominal portion of the total value of the portfolio. | |||||||||||||||||||||||||
The fair values of securities with unrealized losses at September 30, 2014 and December 31, 2013 are as follows (dollars in thousands): | |||||||||||||||||||||||||
September 30, 2014: | |||||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | |||||||||||||||||||||||
Temporarily impaired securities: | Estimated | Unrealized | Estimated | Unrealized | Estimated | Unrealized | |||||||||||||||||||
Fair Value | Losses | Fair Value | Losses | Fair Value | Losses | ||||||||||||||||||||
U.S. Government agency securities | $ | — | $ | — | $ | 1,674 | $ | 31 | $ | 1,674 | $ | 31 | |||||||||||||
State and municipal bonds | — | — | 4,151 | 152 | 4,151 | 152 | |||||||||||||||||||
Mortgage-backed securities | 11,449 | 50 | 14,325 | 222 | 25,774 | 272 | |||||||||||||||||||
Corporate securities | — | — | — | — | — | — | |||||||||||||||||||
Total | $ | 11,449 | $ | 50 | $ | 20,150 | $ | 405 | $ | 31,599 | $ | 455 | |||||||||||||
December 31, 2013: | |||||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | |||||||||||||||||||||||
Temporarily impaired securities: | Estimated | Unrealized | Estimated | Unrealized | Estimated | Unrealized | |||||||||||||||||||
Fair Value | Losses | Fair Value | Losses | Fair Value | Losses | ||||||||||||||||||||
U.S. Government agency securities | $ | 35,679 | $ | 2,731 | $ | 3,482 | $ | 503 | $ | 39,161 | $ | 3,234 | |||||||||||||
State and municipal bonds | 7,835 | 723 | 2,346 | 255 | 10,181 | 978 | |||||||||||||||||||
Mortgage-backed securities | 34,564 | 1,287 | 528 | 1 | 35,092 | 1,288 | |||||||||||||||||||
Corporate securities | — | — | 820 | 180 | 820 | 180 | |||||||||||||||||||
Total | $ | 78,078 | $ | 4,741 | $ | 7,176 | $ | 939 | $ | 85,254 | $ | 5,680 | |||||||||||||
The Company does not believe that the investment securities that were in an unrealized loss position as of September 30, 2014, which were comprised of 25 securities, represent an other-than-temporary impairment. Total gross unrealized losses were primarily attributable to change in interest rates, relative to the when the investment securities were purchased, and not due to the credit quality of the investment securities. As of September 30, 2014 and December 31, 2013, the gross unrealized losses reported for mortgage-backed securities were primarily related to investment securities issued by Government National Mortgage Association. The Company does not intend to sell the investment securities that were in an unrealized loss position and it is not more likely than not that the Company will be required to sell the investment securities before recovery of their amortized cost basis, which may be at maturity. |
LOANS
LOANS | 9 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||||||||||||||
LOANS | ' | ||||||||||||||||||||||||||||||||||||||||
NOTE 4. LOANS | |||||||||||||||||||||||||||||||||||||||||
The loan portfolio as of the dates indicated is summarized below (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, | December 31, | ||||||||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||||||||||||||
Residential, 1-4 family | $ | 90,786 | $ | 84,855 | |||||||||||||||||||||||||||||||||||||
Commercial real estate | 111,850 | 117,463 | |||||||||||||||||||||||||||||||||||||||
Construction and development | 23,130 | 27,049 | |||||||||||||||||||||||||||||||||||||||
Home equity | 28,233 | 28,217 | |||||||||||||||||||||||||||||||||||||||
Total real estate loans | 253,999 | 257,584 | |||||||||||||||||||||||||||||||||||||||
Commercial business and other loans | 23,504 | 17,428 | |||||||||||||||||||||||||||||||||||||||
Consumer loans | 3,099 | 2,554 | |||||||||||||||||||||||||||||||||||||||
Other | 1,094 | 944 | |||||||||||||||||||||||||||||||||||||||
Gross loans receivable | 281,696 | 278,510 | |||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | (5,183 | ) | (6,015 | ) | |||||||||||||||||||||||||||||||||||||
Loans, net | $ | 276,513 | $ | 272,495 | |||||||||||||||||||||||||||||||||||||
Impaired loans, segregated by class of loans, are summarized as follows as of the dates indicated (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Recorded | Unpaid | Related | Average | Interest | Recorded | Unpaid | Related | Average | Interest | ||||||||||||||||||||||||||||||||
Investment | Principal | Allowance | Recorded | Income | Investment | Principal | Allowance | Recorded | Income | ||||||||||||||||||||||||||||||||
Balance | Investment | Recognized | Balance | Investment | Recognized | ||||||||||||||||||||||||||||||||||||
With no related allowance: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 381 | $ | 448 | $ | — | $ | 465 | $ | 19 | $ | 1,099 | $ | 1,305 | $ | — | $ | 1,384 | $ | 79 | |||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 2,121 | 2,446 | — | 2,658 | 106 | 3,480 | 4,062 | — | 4,365 | 239 | |||||||||||||||||||||||||||||||
Income producing | 3,299 | 3,483 | — | 3,518 | 120 | 3,734 | 3,887 | — | 3,938 | 183 | |||||||||||||||||||||||||||||||
Multifamily | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||
Other | 2,257 | 3,280 | — | 3,523 | 57 | 1,545 | 1,881 | — | 1,981 | 112 | |||||||||||||||||||||||||||||||
Farmland | 110 | 131 | — | 160 | 9 | 252 | 273 | — | 340 | 26 | |||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 69 | 77 | — | 77 | 2 | 95 | 101 | — | 105 | 3 | |||||||||||||||||||||||||||||||
1 - 4 Family | 5,109 | 5,512 | — | 5,562 | 176 | 5,632 | 6,198 | — | 6,281 | 322 | |||||||||||||||||||||||||||||||
Junior Liens | 413 | 436 | — | 444 | 18 | 196 | 218 | — | 223 | 12 | |||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 16 | 16 | — | 17 | 1 | 68 | 68 | — | 70 | 4 | |||||||||||||||||||||||||||||||
Total loans with no allowance | $ | 13,775 | $ | 15,829 | $ | — | $ | 16,424 | $ | 508 | $ | 16,101 | $ | 17,993 | $ | — | $ | 18,687 | $ | 980 | |||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 1,613 | $ | 1,615 | $ | 26 | $ | 1,677 | $ | 53 | $ | 1,205 | $ | 1,205 | $ | 25 | $ | 1,282 | $ | 45 | |||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 4,416 | 4,471 | 829 | 4,505 | 146 | 3,666 | 3,666 | 77 | 3,727 | 166 | |||||||||||||||||||||||||||||||
Income producing | 7,173 | 7,229 | 164 | 7,388 | 284 | 7,287 | 7,343 | 126 | 7,465 | 382 | |||||||||||||||||||||||||||||||
Multifamily | 1,206 | 1,239 | 74 | 1,248 | 33 | 1,226 | 1,259 | 12 | 1,273 | 45 | |||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 353 | 359 | 9 | 363 | 14 | 360 | 366 | 8 | 371 | 19 | |||||||||||||||||||||||||||||||
Other | 731 | 736 | 14 | 750 | 25 | 3,176 | 3,181 | 107 | 3,224 | 118 | |||||||||||||||||||||||||||||||
Farmland | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 40 | 40 | 41 | 40 | 1 | — | — | — | — | — | |||||||||||||||||||||||||||||||
1 - 4 Family | 6,292 | 6,335 | 271 | 6,417 | 219 | 6,778 | 6,795 | 204 | 6,893 | 279 | |||||||||||||||||||||||||||||||
Junior Liens | 104 | 106 | 3 | 107 | 4 | 339 | 341 | 4 | 345 | 19 | |||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 54 | 54 | 5 | 57 | 3 | 8 | 8 | — | 11 | — | |||||||||||||||||||||||||||||||
Total loans with an allowance | $ | 21,982 | $ | 22,184 | $ | 1,436 | $ | 22,552 | $ | 782 | $ | 24,045 | $ | 24,164 | $ | 563 | $ | 24,591 | $ | 1,073 | |||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 1,994 | $ | 2,063 | $ | 26 | $ | 2,142 | $ | 72 | $ | 2,304 | $ | 2,510 | $ | 25 | $ | 2,666 | $ | 124 | |||||||||||||||||||||
Commercial Real Estate | $ | 18,215 | $ | 18,868 | $ | 1,067 | $ | 19,317 | $ | 689 | $ | 19,393 | $ | 20,217 | $ | 215 | $ | 20,768 | $ | 1,015 | |||||||||||||||||||||
Construction & Development | $ | 3,451 | $ | 4,506 | $ | 23 | $ | 4,796 | $ | 105 | $ | 5,333 | $ | 5,701 | $ | 115 | $ | 5,916 | $ | 275 | |||||||||||||||||||||
Residential | $ | 12,027 | $ | 12,506 | $ | 315 | $ | 12,647 | $ | 420 | $ | 13,040 | $ | 13,653 | $ | 208 | $ | 13,847 | $ | 635 | |||||||||||||||||||||
Consumer - Non Real Estate | $ | 70 | $ | 70 | $ | 5 | $ | 74 | $ | 4 | $ | 76 | $ | 76 | $ | — | $ | 81 | $ | 4 | |||||||||||||||||||||
Totals | $ | 35,757 | $ | 38,013 | $ | 1,436 | $ | 38,976 | $ | 1,290 | $ | 40,146 | $ | 42,157 | $ | 563 | $ | 43,278 | $ | 2,053 | |||||||||||||||||||||
Impaired loans include loans whose contractual terms have been restructured in a manner that grants a concession to a borrower experiencing financial difficulties. Troubled debt restructurings (TDRs) are a subset of impaired loans and totaled $34.3 million at September 30, 2014 and $37.5 million at December 31, 2013. | |||||||||||||||||||||||||||||||||||||||||
The following tables provide a summary of loans modified as TDRs (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
Accrual | Nonaccrual | Total TDRs | Allowance for | ||||||||||||||||||||||||||||||||||||||
Loan Losses | |||||||||||||||||||||||||||||||||||||||||
Allocated | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | |||||||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 17,333 | $ | — | $ | 17,333 | $ | 983 | |||||||||||||||||||||||||||||||||
Commercial construction | 1,784 | 1,667 | 3,451 | 23 | |||||||||||||||||||||||||||||||||||||
Commercial and industrial | 1,817 | 176 | 1,993 | 26 | |||||||||||||||||||||||||||||||||||||
Residential mortgage | 11,176 | 256 | 11,432 | 265 | |||||||||||||||||||||||||||||||||||||
Consumer and other | 65 | — | 65 | — | |||||||||||||||||||||||||||||||||||||
Total modifications | $ | 32,175 | $ | 2,099 | $ | 34,274 | $ | 1,297 | |||||||||||||||||||||||||||||||||
Total contracts | 133 | 10 | 143 | ||||||||||||||||||||||||||||||||||||||
Accrual | Nonaccrual | Total TDRs | Allowance for | ||||||||||||||||||||||||||||||||||||||
Loan Losses | |||||||||||||||||||||||||||||||||||||||||
Allocated | |||||||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 17,461 | $ | 1,016 | $ | 18,477 | $ | 216 | |||||||||||||||||||||||||||||||||
Commercial construction | 4,319 | 612 | 4,931 | 8 | |||||||||||||||||||||||||||||||||||||
Commercial and industrial | 2,421 | 301 | 2,722 | 25 | |||||||||||||||||||||||||||||||||||||
Residential mortgage | 11,051 | 230 | 11,281 | 314 | |||||||||||||||||||||||||||||||||||||
Consumer and other | 70 | — | 70 | — | |||||||||||||||||||||||||||||||||||||
Total modifications | $ | 35,322 | $ | 2,159 | $ | 37,481 | $ | 563 | |||||||||||||||||||||||||||||||||
Total contracts | 133 | 12 | 145 | ||||||||||||||||||||||||||||||||||||||
The following tables illustrate new TDR information for the three- and nine-months ended September 30, 2014 and 2013 (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
For the three months ended September 30, 2014 | For the nine months ended September 30, 2014 | ||||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructuring | Number of | Pre-Modification | Post-Modification | Number of | Pre-Modification | Post-Modification | |||||||||||||||||||||||||||||||||||
Contracts | Recorded | Recorded | Contracts | Recorded | Recorded | ||||||||||||||||||||||||||||||||||||
Investment | Investment | Investment | Investment | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | — | $ | — | $ | — | 1 | $ | 61 | $ | 61 | |||||||||||||||||||||||||||||||
Commercial - Real Estate | — | — | — | 2 | 458 | 458 | |||||||||||||||||||||||||||||||||||
Construction & Development | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||
Residential | 2 | 75 | 75 | 3 | 101 | 101 | |||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||
Totals | 2 | $ | 75 | $ | 75 | 6 | $ | 620 | $ | 620 | |||||||||||||||||||||||||||||||
For the three months ended September 30, 2013 | For the nine months ended September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructuring | Number of | Pre-Modification | Post-Modification | Number of | Pre-Modification | Post-Modification | |||||||||||||||||||||||||||||||||||
Contracts | Recorded | Recorded | Contracts | Recorded | Recorded | ||||||||||||||||||||||||||||||||||||
Investment | Investment | Investment | Investment | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | — | $ | — | $ | — | 1 | $ | 32 | $ | 32 | |||||||||||||||||||||||||||||||
Commercial - Real Estate | — | — | — | 1 | 238 | 238 | |||||||||||||||||||||||||||||||||||
Construction & Development | 1 | 129 | 129 | 2 | 621 | 621 | |||||||||||||||||||||||||||||||||||
Residential | 2 | 95 | 96 | 5 | 543 | 544 | |||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||
Totals | 3 | $ | 224 | $ | 225 | 9 | $ | 1,434 | $ | 1,435 | |||||||||||||||||||||||||||||||
For the purposes of this report, default is defined as being 90-days past due or on non-accrual status without performance. There were no loans restructured in the twelve months prior to September 30, 2014 and 2013 that went into default during the three-month periods ended September 30, 2014 and 2013. | |||||||||||||||||||||||||||||||||||||||||
Some loan modifications classified as TDRs may not ultimately result in the full collection of principal and interest, as modified, and may result in potential incremental losses. These potential incremental losses have been factored into our overall allowance for loan losses estimate. The level of any re-defaults will likely be affected by future economic conditions. Once a loan becomes a TDR, it will continue to be reported as a TDR until it is ultimately repaid in full, reclassified to loans held for sale, or foreclosed and sold. Included in the allowance for loan losses at September 30, 2014 and 2013 was an impairment reserve for TDRs in the amount of $1.3 million and $617,000, respectively. | |||||||||||||||||||||||||||||||||||||||||
Non-accrual loans and an age analysis of past due loans, segregated by class of loans, were as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
30 - 59 | 60 - 89 | 90 Days | Total | Current | Total | 90 Days | Non-accrual | ||||||||||||||||||||||||||||||||||
Days | Days | or More | Past Due | Loans | Past Due | Loans | |||||||||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | and Still | ||||||||||||||||||||||||||||||||||||||
Accruing | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | — | $ | 170 | $ | — | $ | 170 | $ | 23,334 | $ | 23,504 | $ | — | $ | 176 | |||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 116 | — | — | 116 | 55,229 | 55,345 | — | 355 | |||||||||||||||||||||||||||||||||
Income producing | — | — | — | — | 47,588 | 47,588 | — | 304 | |||||||||||||||||||||||||||||||||
Multifamily | — | — | — | — | 8,917 | 8,917 | — | — | |||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | — | — | — | — | 3,028 | 3,028 | — | — | |||||||||||||||||||||||||||||||||
Other | — | — | — | — | 19,722 | 19,722 | — | 1,557 | |||||||||||||||||||||||||||||||||
Farmland | — | — | 110 | 110 | 270 | 380 | — | 110 | |||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | — | 40 | — | 40 | 28,193 | 28,233 | — | 69 | |||||||||||||||||||||||||||||||||
1 - 4 Family | 518 | — | 83 | 601 | 89,354 | 89,955 | — | 693 | |||||||||||||||||||||||||||||||||
Junior Liens | — | — | 27 | 27 | 804 | 831 | — | 49 | |||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 2 | — | — | 2 | 3,097 | 3,099 | — | 5 | |||||||||||||||||||||||||||||||||
Other | — | — | — | — | 1,094 | 1,094 | — | — | |||||||||||||||||||||||||||||||||
Total | $ | 636 | $ | 210 | $ | 220 | $ | 1,066 | $ | 280,630 | $ | 281,696 | $ | — | $ | 3,318 | |||||||||||||||||||||||||
30 - 59 | 60 - 89 | 90 Days | Total | Current | Total | 90 Days | Non-accrual | ||||||||||||||||||||||||||||||||||
Days | Days | or More | Past Due | Loans | Past Due | Loans | |||||||||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | and Still | ||||||||||||||||||||||||||||||||||||||
Accruing | |||||||||||||||||||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 46 | $ | — | $ | 154 | $ | 200 | $ | 17,228 | $ | 17,428 | $ | — | $ | 463 | |||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | — | 77 | 684 | 761 | 57,154 | 57,915 | — | 1,689 | |||||||||||||||||||||||||||||||||
Income producing | — | — | 503 | 503 | 51,297 | 51,800 | — | 503 | |||||||||||||||||||||||||||||||||
Multifamily | — | — | — | — | 7,748 | 7,748 | — | — | |||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | — | — | — | — | 1,745 | 1,745 | — | — | |||||||||||||||||||||||||||||||||
Other | 158 | — | 240 | 398 | 24,375 | 24,773 | — | 599 | |||||||||||||||||||||||||||||||||
Farmland | — | — | 252 | 252 | 279 | 531 | — | 252 | |||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 75 | 9 | — | 84 | 28,133 | 28,217 | — | 95 | |||||||||||||||||||||||||||||||||
1 - 4 Family | 157 | 242 | 355 | 754 | 82,995 | 83,749 | — | 1,128 | |||||||||||||||||||||||||||||||||
Junior Liens | — | — | 26 | 26 | 1,080 | 1,106 | — | 53 | |||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 1 | 2 | — | 3 | 2,551 | 2,554 | — | 6 | |||||||||||||||||||||||||||||||||
Other | — | — | — | — | 944 | 944 | — | — | |||||||||||||||||||||||||||||||||
Total | $ | 437 | $ | 330 | $ | 2,214 | $ | 2,981 | $ | 275,529 | $ | 278,510 | $ | — | $ | 4,788 | |||||||||||||||||||||||||
The Bank categorizes loans and leases into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. This categorization is made on all commercial, commercial real estate, and construction and development loans. The Bank uses the following definitions for risk ratings: | |||||||||||||||||||||||||||||||||||||||||
Pass – Loans and leases classified as pass should be performing relatively close to expectations, with adequate evidence that the borrower is continuing to generate adequate cash flow to service debt. There should be no significant departure from the intended source and timing of repayment, and there should be no undue reliance on secondary sources of repayment. To the extent that some variance exists in one or more criteria being measured, it may be offset by the relative strength of other factors and/or collateral pledged to secure the transaction. | |||||||||||||||||||||||||||||||||||||||||
Special Mention - Loans and leases classified as special mention, while still adequately protected by the borrower’s capital adequacy and payment capability, exhibit distinct weakening trends and/or elevated levels of exposure to external conditions. If left unchecked or uncorrected, these potential weaknesses may result in deteriorated prospects of repayment. These exposures require management’s close attention so as to avoid becoming undue or unwarranted credit exposures. | |||||||||||||||||||||||||||||||||||||||||
Substandard - Loans and leases classified as substandard are inadequately protected by the borrower’s current financial condition and payment capability or of the collateral pledged, if any. Loans and leases so classified have a well-defined weakness or weaknesses that jeopardize the orderly repayment of debt. They are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. | |||||||||||||||||||||||||||||||||||||||||
Doubtful - Loans and leases classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or orderly repayment in full, on the basis of current existing facts, conditions and values, highly questionable and improbable. Possibility of loss is extremely high, but because of certain important and reasonably specific factors that may work to the advantage and strengthening of the exposure, its classification as an estimated loss is deferred until its more exact status may be determined. The Company’s practice is to charge-off the portion of the loan amount determined to be doubtful in the quarter that the determination is made if the repayment of the loan is collateral dependent. | |||||||||||||||||||||||||||||||||||||||||
Loss - Loans and leases classified as loss are considered to be non-collectible and of such little value that their continuance as bankable assets is not warranted. This does not mean the loan has absolutely no recovery value, but rather it is neither practical nor desirable to defer writing off the loan, even though partial recovery may be obtained in the future. Losses are taken in the period in which they surface as uncollectible. | |||||||||||||||||||||||||||||||||||||||||
Commercial loans that do not require individual analysis as part of the above described process are considered to be pass-rated loans. As of September 30, 2014 and December 31, 2013, and based on the most recent analysis performed, the loans and leases were categorized as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | |||||||||||||||||||||||||||||||||||||||||
Internal Risk Rating Grades | Pass | Special | Substandard | Doubtful | Loss | ||||||||||||||||||||||||||||||||||||
Mention | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 19,918 | $ | 2,885 | $ | 701 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 47,386 | 3,831 | 4,128 | — | — | ||||||||||||||||||||||||||||||||||||
Income producing | 31,050 | 13,891 | 2,647 | — | — | ||||||||||||||||||||||||||||||||||||
Multifamily | 7,177 | 1,740 | — | — | — | ||||||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 2,480 | 195 | 353 | — | — | ||||||||||||||||||||||||||||||||||||
Other | 15,228 | 1,865 | 2,629 | — | — | ||||||||||||||||||||||||||||||||||||
Farmland | 270 | — | 110 | — | — | ||||||||||||||||||||||||||||||||||||
Other | 1,094 | — | — | — | — | ||||||||||||||||||||||||||||||||||||
Totals | $ | 124,603 | $ | 24,407 | $ | 10,568 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 19,918 | $ | 2,885 | $ | 701 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 85,613 | $ | 19,462 | $ | 6,775 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Construction & Development | $ | 17,978 | $ | 2,060 | $ | 3,092 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Other | $ | 1,094 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||||||||||||||||||
Totals | $ | 123,509 | $ | 24,407 | $ | 10,568 | $ | — | $ | — | |||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Internal Risk Rating Grades | Pass | Special | Substandard | Doubtful | Loss | ||||||||||||||||||||||||||||||||||||
Mention | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 13,289 | $ | 3,157 | $ | 982 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 47,207 | 6,009 | 4,699 | — | — | ||||||||||||||||||||||||||||||||||||
Income producing | 33,875 | 10,501 | 7,424 | — | — | ||||||||||||||||||||||||||||||||||||
Multifamily | 5,925 | 1,823 | — | — | — | ||||||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 1,133 | 252 | 360 | — | — | ||||||||||||||||||||||||||||||||||||
Other | 17,122 | 3,265 | 4,386 | — | — | ||||||||||||||||||||||||||||||||||||
Farmland | 279 | — | 252 | — | — | ||||||||||||||||||||||||||||||||||||
Other | 944 | — | — | — | — | ||||||||||||||||||||||||||||||||||||
Totals | $ | 119,774 | $ | 25,007 | $ | 18,103 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 13,289 | $ | 3,157 | $ | 982 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 87,007 | $ | 18,333 | $ | 12,123 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Construction & Development | $ | 18,534 | $ | 3,517 | $ | 4,998 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Other | $ | 944 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||||||||||||||||||
Totals | $ | 118,830 | $ | 25,007 | $ | 18,103 | $ | — | $ | — | |||||||||||||||||||||||||||||||
All consumer-related loans, including residential real estate and non-real estate, are evaluated and monitored based upon payment activity. Once a consumer-related loan becomes past due on a recurring basis, the Company will pull that loan out of the homogenized pool and evaluate it individually for impairment. At this time, the consumer-related loan may be placed on the Company’s internal watch list and risk rated either special mention or substandard, depending upon the individual circumstances. Consumer-related loans at September 30, 2014 and December 31, 2013, segregated by class of loans, were as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Risk Based on Payment Activity | Performing | Non- | Performing | Non- | |||||||||||||||||||||||||||||||||||||
Performing | Performing | ||||||||||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | $ | 28,165 | $ | 68 | $ | 28,122 | $ | 95 | |||||||||||||||||||||||||||||||||
1 - 4 Family | 89,562 | 393 | 83,092 | 657 | |||||||||||||||||||||||||||||||||||||
Junior Liens | 805 | 26 | 1,080 | 26 | |||||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | |||||||||||||||||||||||||||||||||||||||||
Credit Cards | — | — | — | — | |||||||||||||||||||||||||||||||||||||
Other | 3,094 | 5 | 2,548 | 6 | |||||||||||||||||||||||||||||||||||||
Totals | $ | 121,626 | $ | 492 | $ | 114,842 | $ | 784 | |||||||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 118,532 | $ | 487 | $ | 112,294 | $ | 778 | |||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | $ | 3,094 | $ | 5 | $ | 2,548 | $ | 6 | |||||||||||||||||||||||||||||||||
Totals | $ | 121,626 | $ | 492 | $ | 114,842 | $ | 784 | |||||||||||||||||||||||||||||||||
ALLOWANCE_FOR_LOAN_LOSSES
ALLOWANCE FOR LOAN LOSSES | 9 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||||||||||||||
ALLOWANCE FOR LOAN LOSSES | ' | ||||||||||||||||||||||||||||||||||||||||
NOTE 5. ALLOWANCE FOR LOAN LOSSES | |||||||||||||||||||||||||||||||||||||||||
Changes in the allowance for loan losses by segment, since their respective year-end, are as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||
Beginning | Chargeoffs | Recoveries | Provision | Ending | Beginning | Chargeoffs | Recoveries | Provision | Ending | ||||||||||||||||||||||||||||||||
Balance | Balance | Balance | Balance | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 176 | $ | (58 | ) | $ | 806 | $ | (768 | ) | $ | 156 | $ | 1,209 | $ | (107 | ) | $ | 1,605 | $ | (2,320 | ) | $ | 387 | |||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 1,224 | — | 11 | 44 | 1,279 | 1,359 | (290 | ) | 549 | (284 | ) | 1,334 | |||||||||||||||||||||||||||||
Income producing | 831 | (104 | ) | — | 303 | 1,030 | 773 | (21 | ) | 20 | 13 | 785 | |||||||||||||||||||||||||||||
Multifamily | 50 | — | — | 116 | 166 | 78 | — | — | (19 | ) | 59 | ||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 52 | (719 | ) | — | 740 | 73 | 78 | (5 | ) | — | (24 | ) | 49 | ||||||||||||||||||||||||||||
Other | 580 | — | 55 | (22 | ) | 613 | 728 | — | 9 | (177 | ) | 560 | |||||||||||||||||||||||||||||
Farmland | 3 | — | — | 2 | 5 | — | (21 | ) | — | 24 | 3 | ||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 332 | (123 | ) | 6 | 154 | 369 | 314 | (207 | ) | 33 | 210 | 350 | |||||||||||||||||||||||||||||
1 - 4 Family | 1,218 | (15 | ) | 77 | (64 | ) | 1,216 | 1,267 | (620 | ) | 468 | 247 | 1,362 | ||||||||||||||||||||||||||||
Consumer - Non Real Estate | 44 | (24 | ) | 16 | 16 | 52 | 98 | (38 | ) | 28 | (29 | ) | 59 | ||||||||||||||||||||||||||||
Unallocated | 1,505 | — | — | (1,281 | ) | 224 | 986 | — | — | 281 | 1,267 | ||||||||||||||||||||||||||||||
Total | $ | 6,015 | $ | (1,043 | ) | $ | 971 | $ | (760 | ) | $ | 5,183 | $ | 6,890 | $ | (1,309 | ) | $ | 2,712 | $ | (2,078 | ) | $ | 6,215 | |||||||||||||||||
Changes in the allowance for loan losses by segment, since the prior quarter ended June 30, 2014 and 2013, respectively, are as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
June 30, 2014 - September 30, 2014 | June 30, 2013 - September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||
Beginning | Chargeoffs | Recoveries | Provision | Ending | Beginning | Chargeoffs | Recoveries | Provision | Ending | ||||||||||||||||||||||||||||||||
Balance | Balance | Balance | Balance | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 33 | $ | (9 | ) | $ | 709 | $ | (577 | ) | $ | 156 | $ | 584 | $ | — | $ | 241 | $ | (438 | ) | $ | 387 | ||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 488 | — | 4 | 787 | 1,279 | 1,568 | — | 537 | (771 | ) | 1,334 | ||||||||||||||||||||||||||||||
Income producing | 1,403 | (104 | ) | — | (269 | ) | 1,030 | 756 | — | — | 29 | 785 | |||||||||||||||||||||||||||||
Multifamily | 113 | — | — | 53 | 166 | 67 | — | — | (8 | ) | 59 | ||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 52 | — | — | 21 | 73 | 85 | — | — | (36 | ) | 49 | ||||||||||||||||||||||||||||||
Other | 525 | — | 4 | 84 | 613 | 551 | — | 3 | 6 | 560 | |||||||||||||||||||||||||||||||
Farmland | 3 | — | — | 2 | 5 | 3 | — | — | — | 3 | |||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 149 | (41 | ) | 1 | 260 | 369 | 354 | — | 3 | (7 | ) | 350 | |||||||||||||||||||||||||||||
1 - 4 Family | 809 | (7 | ) | 12 | 402 | 1,216 | 1,171 | (42 | ) | 5 | 228 | 1,362 | |||||||||||||||||||||||||||||
Consumer - Non Real Estate | 36 | (1 | ) | (3 | ) | 20 | 52 | 90 | (16 | ) | 6 | (21 | ) | 59 | |||||||||||||||||||||||||||
Unallocated | 1,542 | — | — | (1,318 | ) | 224 | 1,169 | — | — | 98 | 1,267 | ||||||||||||||||||||||||||||||
Total | $ | 5,153 | $ | (162 | ) | $ | 727 | $ | (535 | ) | $ | 5,183 | $ | 6,398 | $ | (58 | ) | $ | 795 | $ | (920 | ) | $ | 6,215 | |||||||||||||||||
As of September 30, 2014 and December 31, 2013, loans were evaluated for impairment as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
Individually Evaluated for Impairment | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Allowance | Total Loans | Allowance | Total Loans | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 26 | $ | 1,994 | $ | 25 | $ | 2,304 | |||||||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 829 | 6,537 | 77 | 7,146 | |||||||||||||||||||||||||||||||||||||
Income producing | 164 | 10,472 | 126 | 11,021 | |||||||||||||||||||||||||||||||||||||
Multifamily | 74 | 1,206 | 12 | 1,226 | |||||||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 9 | 353 | 8 | 360 | |||||||||||||||||||||||||||||||||||||
Other | 14 | 2,988 | 107 | 4,721 | |||||||||||||||||||||||||||||||||||||
Farmland | — | 110 | — | 252 | |||||||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 41 | 109 | — | 95 | |||||||||||||||||||||||||||||||||||||
1 - 4 Family | 274 | 11,918 | 208 | 12,945 | |||||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 5 | 70 | — | 76 | |||||||||||||||||||||||||||||||||||||
Unallocated | — | — | — | — | |||||||||||||||||||||||||||||||||||||
Total | $ | 1,436 | $ | 35,757 | $ | 563 | $ | 40,146 | |||||||||||||||||||||||||||||||||
Collectively Evaluated for Impairment | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Allowance | Total Loans | Allowance | Total Loans | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 130 | $ | 21,510 | $ | 151 | $ | 15,124 | |||||||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 450 | 48,808 | 1,147 | 50,769 | |||||||||||||||||||||||||||||||||||||
Income producing | 866 | 37,116 | 705 | 40,779 | |||||||||||||||||||||||||||||||||||||
Multifamily | 92 | 7,711 | 38 | 6,522 | |||||||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 64 | 2,675 | 44 | 1,385 | |||||||||||||||||||||||||||||||||||||
Other | 599 | 16,734 | 473 | 20,052 | |||||||||||||||||||||||||||||||||||||
Farmland | 5 | 270 | 3 | 279 | |||||||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 328 | 28,124 | 332 | 28,122 | |||||||||||||||||||||||||||||||||||||
1 - 4 Family | 942 | 78,868 | 1,010 | 71,910 | |||||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 47 | 3,029 | 44 | 2,478 | |||||||||||||||||||||||||||||||||||||
Unallocated | 224 | 1,094 | 1,505 | 944 | |||||||||||||||||||||||||||||||||||||
Total | $ | 3,747 | $ | 245,939 | $ | 5,452 | $ | 238,364 | |||||||||||||||||||||||||||||||||
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
COMMITMENTS AND CONTINGENCIES | ' | ||||
NOTE 6. COMMITMENTS AND CONTINGENCIES | |||||
The Company 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, lines of credit and standby letters of credit. These instruments involve elements of credit risk in excess of amounts recognized in the accompanying financial statements. | |||||
The Company’s risk of loss related to unfunded loan commitments and lines of credit or standby letters of credit is represented by the contractual amount of these instruments. The Company uses the same credit policies in making commitments under such instruments as it does for on-balance sheet instruments. The amount of collateral obtained, if any, is based on management’s credit evaluation of the borrower. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The following table presents a summary of outstanding financial instruments whose contract amounts represent credit risk as of September 30, 2014 (dollars in thousands): | |||||
Unfunded loan commitments | $ | 31,096 | |||
Financial standby letters of credit | 209 | ||||
Total unused commitments | $ | 31,305 | |||
RECENT_ACCOUNTING_PRONOUNCEMEN
RECENT ACCOUNTING PRONOUNCEMENTS | 9 Months Ended |
Sep. 30, 2014 | |
RECENT ACCOUNTING PRONOUNCEMENTS | ' |
NOTE 7. RECENT ACCOUNTING PRONOUNCEMENTS | |
In June 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-11, Transfers and Servicing (Topic 860). The amendments in this ASU require that repurchase-to-maturity transactions be accounted for as secured borrowings consistent with the accounting for other repurchase agreements. In addition, the amendments require separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty (a repurchase financing), which will result in secured borrowing accounting for the repurchase agreement. The amendments require an entity to disclose information about transfers accounted for as sales in transactions that are economically similar to repurchase agreements, in which the transferor retains substantially all of the exposure to the economic return on the transferred financial asset throughout the term of the transaction. In addition the amendments require disclosure of the types of collateral pledged in repurchase agreements, securities lending transactions, and repurchase-to-maturity transactions and the tenor of those transactions. This ASU is effective for first interim or annual periods beginning after December 15, 2014. The Company will evaluate the impact this ASU may have on its consolidated financial statements. | |
In January 2014, the FASB issued ASU 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40). The amendments in this Update clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction. The amendments in this Update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. For entities other than public business entities, the amendments in this Update are effective for annual periods beginning after December 15, 2014, and interim periods within annual periods beginning after December 15, 2015. The amendments are not expected to have a significant impact on the Company. | |
In July 2013, the FASB issued ASU 2013-11, Income Taxes (Topic 740). An unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, except as follows. To the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The assessment of whether a deferred tax asset is available is based on the unrecognized tax benefit and deferred tax asset that exist at the reporting date and should be made presuming disallowance of the tax position at the reporting date. For example, an entity should not evaluate whether the deferred tax asset expires before the statute of limitations on the tax position or whether the deferred tax asset may be used prior to the unrecognized tax benefit being settled. The amendments in this Update do not require new recurring disclosures. The amendments are not expected to have a significant impact on the Company. |
FAIR_VALUE
FAIR VALUE | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
FAIR VALUE | ' | ||||||||||||||||
NOTE 8. FAIR VALUE | |||||||||||||||||
Accounting principles generally accepted in the United States of America require that companies measure and record certain assets and liabilities at fair value and record any adjustments to the fair value of those assets. Securities are recorded at fair value on a recurring basis while other assets, such as impaired loans, are recorded at fair value on a non-recurring basis. | |||||||||||||||||
The Company uses three levels of measurement to group those assets measured at fair value. These groupings are made based on the markets the assets are traded in and the reliability of the assumptions used to determine fair value. The groupings include: | |||||||||||||||||
• | Level 1 – quoted prices (unadjusted) in active markets for identical assets or liabilities. | ||||||||||||||||
• | Level 2 – observable inputs other than the quoted prices included in Level 1. | ||||||||||||||||
• | Level 3 – unobservable inputs. | ||||||||||||||||
Investment Securities – The Company’s investment securities are measured on a recurring basis through a model used by our bond agent. All of our bond price adjustments meet level 2 criteria. Prices are derived from a model which uses actively quoted rates, prepayment models and other underlying credit and collateral data. | |||||||||||||||||
Impaired Loans – The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and an allowance for loan losses is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Impaired loans are recorded at fair value less estimated selling costs. Once a loan is identified as individually impaired, the Company measures impairment. Fair values of impaired loans are generally estimated using one of several methods, including collateral value, liquidation value, discounted cash flows and, in rare cases, the market value of the note. Those impaired loans not requiring an allowance represent loans for which the net present value of the expected cash flows or fair value of the collateral less costs to sell exceed the recorded investments in such loans. At September 30, 2014 and December 31, 2013, a majority of the total impaired loans were evaluated based on the fair value of the collateral. When the fair value of the collateral is based on an executed sales contract with an independent third party, the Company records the impaired loans as nonrecurring Level 1. If the collateral is based on another observable market price or a current appraised value, the Company records the impaired loans as nonrecurring Level 2. When an appraised value is not available or the Company determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price, the Company records the impaired loan as nonrecurring Level 3. Impaired loans can also be evaluated for impairment using the present value of expected future cash flows discounted at the loan’s effective interest rate. The measurement of impaired loans using future cash flows discounted at the loan’s effective interest rate rather than the market rate of interest is not a fair value measurement and is therefore excluded from fair value disclosure requirements. Appraised values may be discounted to reflect current market conditions and ultimate collectability. These discounts typically range from 0% to 20% for each of the respective periods. Impaired loans are reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted accordingly. | |||||||||||||||||
Other Real Estate Owned – Properties acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less costs to sell at the date of foreclosure. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of carrying value or the new fair value less estimated selling costs. Fair value is generally based upon current appraisals, comparable sales, and other estimates of value obtained principally from independent sources, adjusted for selling costs. When the fair value of the collateral is based on an observable market price or a current appraised value, the Company records the asset as nonrecurring Level 2. However, the Company also considers other factors or recent developments which could result in adjustments to the collateral value estimates indicated in the appraisals such as changes in absorption rates or market conditions from the time of valuation. In situations where an appraisal less estimated selling costs is used to determine fair value, management adjustments are significant to the fair value measurements, or other means are used to estimate fair value in the absence of an appraisal, the Company records the impaired loan as nonrecurring Level 3 within the valuation hierarchy. Appraised values may be discounted to reflect current market conditions and ultimate collectability. These discounts typically range from 0% to 20% for each of the respective periods. | |||||||||||||||||
The following table summarizes the Company’s assets measured at fair value at the dates indicated (dollars in thousands): | |||||||||||||||||
At September 30, 2014 | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets valued on a recurring basis | |||||||||||||||||
Investment securities: | |||||||||||||||||
U.S. government agency | $ | 4,935 | $ | — | $ | 4,935 | $ | — | |||||||||
State and municipals | 6,066 | — | 6,066 | — | |||||||||||||
Mortgage-backed | 29,996 | — | 29,996 | — | |||||||||||||
Assets valued on a non-recurring basis | |||||||||||||||||
Impaired loans | 34,321 | — | — | 34,321 | |||||||||||||
Other real estate owned | 1,220 | — | — | 1,220 | |||||||||||||
Total | $ | 76,538 | $ | — | $ | 40,997 | $ | 35,541 | |||||||||
At December 31, 2013 | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets valued on a recurring basis | |||||||||||||||||
Investment securities: | |||||||||||||||||
U.S. government agency | $ | 40,930 | $ | — | $ | 40,930 | $ | — | |||||||||
State and municipals | 10,181 | — | 10,181 | — | |||||||||||||
Mortgage-backed | 38,204 | — | 38,204 | — | |||||||||||||
Assets valued on a non-recurring basis | |||||||||||||||||
Impaired loans | 39,583 | — | — | 39,583 | |||||||||||||
Other real estate owned | 1,233 | — | — | 1,233 | |||||||||||||
Total | $ | 130,131 | $ | — | $ | 89,315 | $ | 40,816 | |||||||||
BORROWED_FUNDS
BORROWED FUNDS | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
BORROWED FUNDS | ' | ||||||||||||||||
NOTE 9. BORROWED FUNDS | |||||||||||||||||
A summary of the Company’s outstanding borrowings and the annual rate of interest currently payable on each category is presented in the following table at the dates indicated (dollars in thousands): | |||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||
Outstanding | Annual | Outstanding | Annual | ||||||||||||||
Balance | Interest Rate | Balance | Interest Rate | ||||||||||||||
Securities sold under overnight repurchase agreements | $ | 394 | 0.15 | % | $ | 388 | 0.14 | % | |||||||||
Securities sold under term repurchase agreements | — | — | 45,000 | 4.38 | |||||||||||||
Trust preferred securities | — | — | 5,155 | 3.19 | |||||||||||||
Subordinated debt | — | — | 2,700 | 4 | |||||||||||||
Total borrowed funds | $ | 394 | 0.15 | % | $ | 53,243 | 4.21 | % | |||||||||
The Bank engages from time-to-time in federal funds purchases from upstream correspondent institutions to meet temporary funding needs. There were none of these transactions outstanding at the close of either period presented in the above table. | |||||||||||||||||
The Bank had a total of $45.0 million of borrowings in the form of securities sold under term repurchase agreements that were entered into during 2008. These borrowings are secured by marketable investment securities equal to approximately 109.5% of the principal balances outstanding plus accrued interest and the value of an imbedded interest rate cap. | |||||||||||||||||
The borrowings were repaid as of July 18, 2014. There was prepayment expense of $4.4 million. The security interests in the pledged investment securities were released in connection with the Company’s repayment of these borrowings. | |||||||||||||||||
The Bank utilizes borrowings from the Federal Home Loan Bank (“FHLB”) as a source of liquidity. At September 30, 2014, the Bank had immediately available credit of $6.7 million. There were no advances from the FHLB at quarter-end. | |||||||||||||||||
During 2008, the Company issued $5.2 million of junior subordinated debentures to its wholly owned capital trust, Bank of the Carolinas Trust I (the “Trust”), which, in turn, issued $5.0 million in trust preferred securities having a like liquidation amount and $155,000 in common securities (all common securities are owned by the Company). The Company fully and unconditionally guaranteed the Trust’s obligations related to the trust preferred securities. | |||||||||||||||||
On July 16, 2014, the Company repurchased all of its floating rate trust preferred securities issued through the Trust from the holders of those securities for an aggregate cash payment of $1.75 million. The holders of the trust preferred securities agreed to forgive any unpaid interest on the securities. | |||||||||||||||||
In 2008, the Company issued $2.7 million of subordinated debt in a private transaction with another financial institution. On July 16, 2014, the Company agreed to repurchase the subordinated note representing this debt from the holder of the note for a cash payment of $1.35 million. The noteholder also agreed to forgive any unpaid interest on the note. | |||||||||||||||||
Under the terms of a written agreement between the Company and the Federal Reserve Bank of Richmond, the Company and the Trust may not make any distributions of interest, principal, or other sums on subordinated debentures or trust preferred securities without the prior written approval of the Federal Reserve Bank of Richmond and the Director of the Division of Banking Supervision and Regulation of the Federal Reserve Board of Governors. |
STOCKHOLDERS_EQUITY
STOCKHOLDERS' EQUITY | 9 Months Ended |
Sep. 30, 2014 | |
STOCKHOLDERS' EQUITY | ' |
NOTE 10. STOCKHOLDERS’ EQUITY | |
The Company completed a private placement of common stock resulting in gross proceeds of approximately $45.8 million on July 16, 2014. In connection with the private placement, the Company repurchased all 13,179 shares of its Fixed Rate Cumulative Perpetual Preferred Stock, Series A, issued under the Capital Purchase Program from the U.S. Treasury for a cash payment of $3.3 million. The Treasury also agreed to waive any unpaid dividends on the Series A Preferred Stock, and to cancel the warrant to purchase 475,204 shares of the Company’s common stock held by the Treasury. The Company invested $34.8 million into its banking subsidiary. | |
Preferred Stock: | |
The Company has 3.0 million shares of preferred stock authorized. There were 13,179 shares of preferred stock issued and outstanding with a $1,000 per share liquidation preference on December 31, 2013. All of the shares were issued on April 17, 2009 in connection with the Company’s participation in the U.S. Treasury’s TARP Capital Purchase Program. | |
On July 16, 2014, in connection with the private placement, the Company repurchased all 13,179 shares of its Series A Preferred Stock for a cash payment of $3.3 million. The Treasury also agreed to waive any unpaid dividends on the Series A Preferred Stock, and to cancel the warrant to purchase 475,204 shares of the Company’s common stock held by the Treasury. | |
Common Stock: | |
The Company has 580.0 million shares with no par value common stock authorized as of September 30, 2014. There were 462,028,831 and 3,895,840 shares of common stock issued and outstanding at September 30, 2014 and December 31, 2013, respectively. | |
Warrants: | |
In connection with the issuance of the preferred shares under the U.S. Treasury’s TARP Capital Purchase Program, the Company issued the U.S. Treasury a warrant to purchase 475,204 shares of its common stock for $4.16 per share. The warrant expires April 17, 2019. | |
The warrants were cancelled on July 16, 2014 as disclosed above. |
INCOME_TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2014 | |
INCOME TAXES | ' |
NOTE 11. INCOME TAXES | |
The Company utilizes the liability method of computing income taxes. Under the liability method, deferred tax liabilities and assets are established for future tax return effects of the temporary differences between the stated value of assets and liabilities for financial reporting purposes and their tax bases. The focus is on accruing the appropriate balance sheet deferred tax amount, with the statement of income effect being the result of the changes in the balance sheet amounts from period to period. The current portion of income tax expense is provided based upon the actual tax liability incurred for tax return purposes. | |
An evaluation of the probability of being able to realize the future benefits of deferred tax assets is made. A valuation allowance is provided for the deferred tax asset when it is more likely than not that some portion or all of the deferred tax asset will not be realized. Management has established a deferred tax asset valuation allowance of $15.8 million and $17.7 as of September 30, 2014 and December 31, 2013, respectively. The change in the valuation allowance is due to the change in unrealized losses in the bond portfolio from $5.4 million at December 31, 2013 to $300,000 at September 30, 2014. The valuation allowance has been established because management believes current overall credit trends, as well as actual and forecasted performance, raise significant concern over the ability of the Company to realize the components of its deferred tax assets relating to net operating losses and the allowances for losses on loans and OREO. The Company does not expect to have taxable income for year ended December 31, 2014. |
RECENT_ACCOUNTING_PRONOUNCEMEN1
RECENT ACCOUNTING PRONOUNCEMENTS (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Transfers and Servicing | ' |
In June 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-11, Transfers and Servicing (Topic 860). The amendments in this ASU require that repurchase-to-maturity transactions be accounted for as secured borrowings consistent with the accounting for other repurchase agreements. In addition, the amendments require separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty (a repurchase financing), which will result in secured borrowing accounting for the repurchase agreement. The amendments require an entity to disclose information about transfers accounted for as sales in transactions that are economically similar to repurchase agreements, in which the transferor retains substantially all of the exposure to the economic return on the transferred financial asset throughout the term of the transaction. In addition the amendments require disclosure of the types of collateral pledged in repurchase agreements, securities lending transactions, and repurchase-to-maturity transactions and the tenor of those transactions. This ASU is effective for first interim or annual periods beginning after December 15, 2014. The Company will evaluate the impact this ASU may have on its consolidated financial statements. | |
Receivables - Troubled Debt Restructurings by Creditors | ' |
In January 2014, the FASB issued ASU 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40). The amendments in this Update clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction. The amendments in this Update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. For entities other than public business entities, the amendments in this Update are effective for annual periods beginning after December 15, 2014, and interim periods within annual periods beginning after December 15, 2015. The amendments are not expected to have a significant impact on the Company. | |
Income Taxes | ' |
In July 2013, the FASB issued ASU 2013-11, Income Taxes (Topic 740). An unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, except as follows. To the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The assessment of whether a deferred tax asset is available is based on the unrecognized tax benefit and deferred tax asset that exist at the reporting date and should be made presuming disallowance of the tax position at the reporting date. For example, an entity should not evaluate whether the deferred tax asset expires before the statute of limitations on the tax position or whether the deferred tax asset may be used prior to the unrecognized tax benefit being settled. The amendments in this Update do not require new recurring disclosures. The amendments are not expected to have a significant impact on the Company. |
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Computation of Earnings (Loss) Per Share | ' | ||||||||||||||||
Earnings (loss) per share have been computed based on the following (dollars in thousands): | |||||||||||||||||
Three months ended | Nine months ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net income (loss) applicable to common stockholders | $ | 10,573 | $ | (5 | ) | $ | 9,938 | $ | (1,417 | ) | |||||||
Weighted average number of common shares outstanding | 387,333,235 | 3,895,840 | 133,112,837 | 3,895,840 | |||||||||||||
Weighted average number of diluted common shares outstanding | 387,333,235 | 3,895,840 | 133,112,837 | 3,895,840 | |||||||||||||
Common stock options and common stock warrants - anti-dilutive | 20,000 | 497,605 | 20,000 | 497,605 | |||||||||||||
Earnings (Loss) per common share: | |||||||||||||||||
Basic | $ | 0.028 | $ | — | $ | 0.075 | $ | (0.36 | ) | ||||||||
Diluted | $ | 0.028 | $ | — | $ | 0.075 | $ | (0.36 | ) | ||||||||
INVESTMENT_SECURITIES_Tables
INVESTMENT SECURITIES (Tables) | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
Amortized Cost, Estimated Fair Values and Carrying Values of Investment Securities Portfolios | ' | ||||||||||||||||||||||||
The amortized cost, estimated fair values and carrying values of the investment securities portfolios at the indicated dates are summarized as follows (dollars in thousands): | |||||||||||||||||||||||||
September 30, 2014 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Estimated | Carrying | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | Value | |||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
Investment securities available for sale: | |||||||||||||||||||||||||
U.S. Government agencies securities | $ | 4,896 | $ | 70 | $ | 31 | $ | 4,935 | $ | 4,935 | |||||||||||||||
State and municipal bonds | 6,175 | 43 | 152 | 6,066 | 6,066 | ||||||||||||||||||||
Mortgage-backed securities | 30,226 | 42 | 272 | 29,996 | 29,996 | ||||||||||||||||||||
Total investment securities available for sale | $ | 41,297 | $ | 155 | $ | 455 | $ | 40,997 | $ | 40,997 | |||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Estimated | Carrying | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | Value | |||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
Investment securities available for sale: | |||||||||||||||||||||||||
U.S. Government agencies securities | $ | 44,077 | $ | 87 | $ | 3,234 | $ | 40,930 | $ | 40,930 | |||||||||||||||
State and municipal bonds | 11,159 | — | 978 | 10,181 | 10,181 | ||||||||||||||||||||
Mortgage-backed securities | 39,458 | 34 | 1,288 | 38,204 | 38,204 | ||||||||||||||||||||
Total investment securities available for sale | 94,694 | 121 | 5,500 | 89,315 | 89,315 | ||||||||||||||||||||
Investment securities held to maturity: | |||||||||||||||||||||||||
Corporate securities | 1,000 | — | 180 | 820 | 1,000 | ||||||||||||||||||||
Total investment securities | $ | 95,694 | $ | 121 | $ | 5,680 | $ | 90,135 | $ | 90,315 | |||||||||||||||
Fair Values of Securities with Unrealized Losses | ' | ||||||||||||||||||||||||
The fair values of securities with unrealized losses at September 30, 2014 and December 31, 2013 are as follows (dollars in thousands): | |||||||||||||||||||||||||
September 30, 2014: | |||||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | |||||||||||||||||||||||
Temporarily impaired securities: | Estimated | Unrealized | Estimated | Unrealized | Estimated | Unrealized | |||||||||||||||||||
Fair Value | Losses | Fair Value | Losses | Fair Value | Losses | ||||||||||||||||||||
U.S. Government agency securities | $ | — | $ | — | $ | 1,674 | $ | 31 | $ | 1,674 | $ | 31 | |||||||||||||
State and municipal bonds | — | — | 4,151 | 152 | 4,151 | 152 | |||||||||||||||||||
Mortgage-backed securities | 11,449 | 50 | 14,325 | 222 | 25,774 | 272 | |||||||||||||||||||
Corporate securities | — | — | — | — | — | — | |||||||||||||||||||
Total | $ | 11,449 | $ | 50 | $ | 20,150 | $ | 405 | $ | 31,599 | $ | 455 | |||||||||||||
December 31, 2013: | |||||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | |||||||||||||||||||||||
Temporarily impaired securities: | Estimated | Unrealized | Estimated | Unrealized | Estimated | Unrealized | |||||||||||||||||||
Fair Value | Losses | Fair Value | Losses | Fair Value | Losses | ||||||||||||||||||||
U.S. Government agency securities | $ | 35,679 | $ | 2,731 | $ | 3,482 | $ | 503 | $ | 39,161 | $ | 3,234 | |||||||||||||
State and municipal bonds | 7,835 | 723 | 2,346 | 255 | 10,181 | 978 | |||||||||||||||||||
Mortgage-backed securities | 34,564 | 1,287 | 528 | 1 | 35,092 | 1,288 | |||||||||||||||||||
Corporate securities | — | — | 820 | 180 | 820 | 180 | |||||||||||||||||||
Total | $ | 78,078 | $ | 4,741 | $ | 7,176 | $ | 939 | $ | 85,254 | $ | 5,680 | |||||||||||||
LOANS_Tables
LOANS (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||||||||||||||
Loan Portfolio | ' | ||||||||||||||||||||||||||||||||||||||||
The loan portfolio as of the dates indicated is summarized below (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, | December 31, | ||||||||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||||||||||||||
Residential, 1-4 family | $ | 90,786 | $ | 84,855 | |||||||||||||||||||||||||||||||||||||
Commercial real estate | 111,850 | 117,463 | |||||||||||||||||||||||||||||||||||||||
Construction and development | 23,130 | 27,049 | |||||||||||||||||||||||||||||||||||||||
Home equity | 28,233 | 28,217 | |||||||||||||||||||||||||||||||||||||||
Total real estate loans | 253,999 | 257,584 | |||||||||||||||||||||||||||||||||||||||
Commercial business and other loans | 23,504 | 17,428 | |||||||||||||||||||||||||||||||||||||||
Consumer loans | 3,099 | 2,554 | |||||||||||||||||||||||||||||||||||||||
Other | 1,094 | 944 | |||||||||||||||||||||||||||||||||||||||
Gross loans receivable | 281,696 | 278,510 | |||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | (5,183 | ) | (6,015 | ) | |||||||||||||||||||||||||||||||||||||
Loans, net | $ | 276,513 | $ | 272,495 | |||||||||||||||||||||||||||||||||||||
Impaired Loans, Segregated by Class of Loans | ' | ||||||||||||||||||||||||||||||||||||||||
Impaired loans, segregated by class of loans, are summarized as follows as of the dates indicated (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Recorded | Unpaid | Related | Average | Interest | Recorded | Unpaid | Related | Average | Interest | ||||||||||||||||||||||||||||||||
Investment | Principal | Allowance | Recorded | Income | Investment | Principal | Allowance | Recorded | Income | ||||||||||||||||||||||||||||||||
Balance | Investment | Recognized | Balance | Investment | Recognized | ||||||||||||||||||||||||||||||||||||
With no related allowance: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 381 | $ | 448 | $ | — | $ | 465 | $ | 19 | $ | 1,099 | $ | 1,305 | $ | — | $ | 1,384 | $ | 79 | |||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 2,121 | 2,446 | — | 2,658 | 106 | 3,480 | 4,062 | — | 4,365 | 239 | |||||||||||||||||||||||||||||||
Income producing | 3,299 | 3,483 | — | 3,518 | 120 | 3,734 | 3,887 | — | 3,938 | 183 | |||||||||||||||||||||||||||||||
Multifamily | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||
Other | 2,257 | 3,280 | — | 3,523 | 57 | 1,545 | 1,881 | — | 1,981 | 112 | |||||||||||||||||||||||||||||||
Farmland | 110 | 131 | — | 160 | 9 | 252 | 273 | — | 340 | 26 | |||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 69 | 77 | — | 77 | 2 | 95 | 101 | — | 105 | 3 | |||||||||||||||||||||||||||||||
1 - 4 Family | 5,109 | 5,512 | — | 5,562 | 176 | 5,632 | 6,198 | — | 6,281 | 322 | |||||||||||||||||||||||||||||||
Junior Liens | 413 | 436 | — | 444 | 18 | 196 | 218 | — | 223 | 12 | |||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 16 | 16 | — | 17 | 1 | 68 | 68 | — | 70 | 4 | |||||||||||||||||||||||||||||||
Total loans with no allowance | $ | 13,775 | $ | 15,829 | $ | — | $ | 16,424 | $ | 508 | $ | 16,101 | $ | 17,993 | $ | — | $ | 18,687 | $ | 980 | |||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 1,613 | $ | 1,615 | $ | 26 | $ | 1,677 | $ | 53 | $ | 1,205 | $ | 1,205 | $ | 25 | $ | 1,282 | $ | 45 | |||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 4,416 | 4,471 | 829 | 4,505 | 146 | 3,666 | 3,666 | 77 | 3,727 | 166 | |||||||||||||||||||||||||||||||
Income producing | 7,173 | 7,229 | 164 | 7,388 | 284 | 7,287 | 7,343 | 126 | 7,465 | 382 | |||||||||||||||||||||||||||||||
Multifamily | 1,206 | 1,239 | 74 | 1,248 | 33 | 1,226 | 1,259 | 12 | 1,273 | 45 | |||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 353 | 359 | 9 | 363 | 14 | 360 | 366 | 8 | 371 | 19 | |||||||||||||||||||||||||||||||
Other | 731 | 736 | 14 | 750 | 25 | 3,176 | 3,181 | 107 | 3,224 | 118 | |||||||||||||||||||||||||||||||
Farmland | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 40 | 40 | 41 | 40 | 1 | — | — | — | — | — | |||||||||||||||||||||||||||||||
1 - 4 Family | 6,292 | 6,335 | 271 | 6,417 | 219 | 6,778 | 6,795 | 204 | 6,893 | 279 | |||||||||||||||||||||||||||||||
Junior Liens | 104 | 106 | 3 | 107 | 4 | 339 | 341 | 4 | 345 | 19 | |||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 54 | 54 | 5 | 57 | 3 | 8 | 8 | — | 11 | — | |||||||||||||||||||||||||||||||
Total loans with an allowance | $ | 21,982 | $ | 22,184 | $ | 1,436 | $ | 22,552 | $ | 782 | $ | 24,045 | $ | 24,164 | $ | 563 | $ | 24,591 | $ | 1,073 | |||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 1,994 | $ | 2,063 | $ | 26 | $ | 2,142 | $ | 72 | $ | 2,304 | $ | 2,510 | $ | 25 | $ | 2,666 | $ | 124 | |||||||||||||||||||||
Commercial Real Estate | $ | 18,215 | $ | 18,868 | $ | 1,067 | $ | 19,317 | $ | 689 | $ | 19,393 | $ | 20,217 | $ | 215 | $ | 20,768 | $ | 1,015 | |||||||||||||||||||||
Construction & Development | $ | 3,451 | $ | 4,506 | $ | 23 | $ | 4,796 | $ | 105 | $ | 5,333 | $ | 5,701 | $ | 115 | $ | 5,916 | $ | 275 | |||||||||||||||||||||
Residential | $ | 12,027 | $ | 12,506 | $ | 315 | $ | 12,647 | $ | 420 | $ | 13,040 | $ | 13,653 | $ | 208 | $ | 13,847 | $ | 635 | |||||||||||||||||||||
Consumer - Non Real Estate | $ | 70 | $ | 70 | $ | 5 | $ | 74 | $ | 4 | $ | 76 | $ | 76 | $ | — | $ | 81 | $ | 4 | |||||||||||||||||||||
Totals | $ | 35,757 | $ | 38,013 | $ | 1,436 | $ | 38,976 | $ | 1,290 | $ | 40,146 | $ | 42,157 | $ | 563 | $ | 43,278 | $ | 2,053 | |||||||||||||||||||||
Summary of Loans Modified as TDRs | ' | ||||||||||||||||||||||||||||||||||||||||
The following tables provide a summary of loans modified as TDRs (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
Accrual | Nonaccrual | Total TDRs | Allowance for | ||||||||||||||||||||||||||||||||||||||
Loan Losses | |||||||||||||||||||||||||||||||||||||||||
Allocated | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | |||||||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 17,333 | $ | — | $ | 17,333 | $ | 983 | |||||||||||||||||||||||||||||||||
Commercial construction | 1,784 | 1,667 | 3,451 | 23 | |||||||||||||||||||||||||||||||||||||
Commercial and industrial | 1,817 | 176 | 1,993 | 26 | |||||||||||||||||||||||||||||||||||||
Residential mortgage | 11,176 | 256 | 11,432 | 265 | |||||||||||||||||||||||||||||||||||||
Consumer and other | 65 | — | 65 | — | |||||||||||||||||||||||||||||||||||||
Total modifications | $ | 32,175 | $ | 2,099 | $ | 34,274 | $ | 1,297 | |||||||||||||||||||||||||||||||||
Total contracts | 133 | 10 | 143 | ||||||||||||||||||||||||||||||||||||||
Accrual | Nonaccrual | Total TDRs | Allowance for | ||||||||||||||||||||||||||||||||||||||
Loan Losses | |||||||||||||||||||||||||||||||||||||||||
Allocated | |||||||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 17,461 | $ | 1,016 | $ | 18,477 | $ | 216 | |||||||||||||||||||||||||||||||||
Commercial construction | 4,319 | 612 | 4,931 | 8 | |||||||||||||||||||||||||||||||||||||
Commercial and industrial | 2,421 | 301 | 2,722 | 25 | |||||||||||||||||||||||||||||||||||||
Residential mortgage | 11,051 | 230 | 11,281 | 314 | |||||||||||||||||||||||||||||||||||||
Consumer and other | 70 | — | 70 | — | |||||||||||||||||||||||||||||||||||||
Total modifications | $ | 35,322 | $ | 2,159 | $ | 37,481 | $ | 563 | |||||||||||||||||||||||||||||||||
Total contracts | 133 | 12 | 145 | ||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructuring | ' | ||||||||||||||||||||||||||||||||||||||||
The following tables illustrate new TDR information for the three- and nine-months ended September 30, 2014 and 2013 (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
For the three months ended September 30, 2014 | For the nine months ended September 30, 2014 | ||||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructuring | Number of | Pre-Modification | Post-Modification | Number of | Pre-Modification | Post-Modification | |||||||||||||||||||||||||||||||||||
Contracts | Recorded | Recorded | Contracts | Recorded | Recorded | ||||||||||||||||||||||||||||||||||||
Investment | Investment | Investment | Investment | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | — | $ | — | $ | — | 1 | $ | 61 | $ | 61 | |||||||||||||||||||||||||||||||
Commercial - Real Estate | — | — | — | 2 | 458 | 458 | |||||||||||||||||||||||||||||||||||
Construction & Development | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||
Residential | 2 | 75 | 75 | 3 | 101 | 101 | |||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||
Totals | 2 | $ | 75 | $ | 75 | 6 | $ | 620 | $ | 620 | |||||||||||||||||||||||||||||||
For the three months ended September 30, 2013 | For the nine months ended September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructuring | Number of | Pre-Modification | Post-Modification | Number of | Pre-Modification | Post-Modification | |||||||||||||||||||||||||||||||||||
Contracts | Recorded | Recorded | Contracts | Recorded | Recorded | ||||||||||||||||||||||||||||||||||||
Investment | Investment | Investment | Investment | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | — | $ | — | $ | — | 1 | $ | 32 | $ | 32 | |||||||||||||||||||||||||||||||
Commercial - Real Estate | — | — | — | 1 | 238 | 238 | |||||||||||||||||||||||||||||||||||
Construction & Development | 1 | 129 | 129 | 2 | 621 | 621 | |||||||||||||||||||||||||||||||||||
Residential | 2 | 95 | 96 | 5 | 543 | 544 | |||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||
Totals | 3 | $ | 224 | $ | 225 | 9 | $ | 1,434 | $ | 1,435 | |||||||||||||||||||||||||||||||
Non-Accrual Loans and Age Analysis of Past Due Loans, Segregated by Class of Loans | ' | ||||||||||||||||||||||||||||||||||||||||
Non-accrual loans and an age analysis of past due loans, segregated by class of loans, were as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
30 - 59 | 60 - 89 | 90 Days | Total | Current | Total | 90 Days | Non-accrual | ||||||||||||||||||||||||||||||||||
Days | Days | or More | Past Due | Loans | Past Due | Loans | |||||||||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | and Still | ||||||||||||||||||||||||||||||||||||||
Accruing | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | — | $ | 170 | $ | — | $ | 170 | $ | 23,334 | $ | 23,504 | $ | — | $ | 176 | |||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 116 | — | — | 116 | 55,229 | 55,345 | — | 355 | |||||||||||||||||||||||||||||||||
Income producing | — | — | — | — | 47,588 | 47,588 | — | 304 | |||||||||||||||||||||||||||||||||
Multifamily | — | — | — | — | 8,917 | 8,917 | — | — | |||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | — | — | — | — | 3,028 | 3,028 | — | — | |||||||||||||||||||||||||||||||||
Other | — | — | — | — | 19,722 | 19,722 | — | 1,557 | |||||||||||||||||||||||||||||||||
Farmland | — | — | 110 | 110 | 270 | 380 | — | 110 | |||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | — | 40 | — | 40 | 28,193 | 28,233 | — | 69 | |||||||||||||||||||||||||||||||||
1 - 4 Family | 518 | — | 83 | 601 | 89,354 | 89,955 | — | 693 | |||||||||||||||||||||||||||||||||
Junior Liens | — | — | 27 | 27 | 804 | 831 | — | 49 | |||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 2 | — | — | 2 | 3,097 | 3,099 | — | 5 | |||||||||||||||||||||||||||||||||
Other | — | — | — | — | 1,094 | 1,094 | — | — | |||||||||||||||||||||||||||||||||
Total | $ | 636 | $ | 210 | $ | 220 | $ | 1,066 | $ | 280,630 | $ | 281,696 | $ | — | $ | 3,318 | |||||||||||||||||||||||||
30 - 59 | 60 - 89 | 90 Days | Total | Current | Total | 90 Days | Non-accrual | ||||||||||||||||||||||||||||||||||
Days | Days | or More | Past Due | Loans | Past Due | Loans | |||||||||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | and Still | ||||||||||||||||||||||||||||||||||||||
Accruing | |||||||||||||||||||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 46 | $ | — | $ | 154 | $ | 200 | $ | 17,228 | $ | 17,428 | $ | — | $ | 463 | |||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | — | 77 | 684 | 761 | 57,154 | 57,915 | — | 1,689 | |||||||||||||||||||||||||||||||||
Income producing | — | — | 503 | 503 | 51,297 | 51,800 | — | 503 | |||||||||||||||||||||||||||||||||
Multifamily | — | — | — | — | 7,748 | 7,748 | — | — | |||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | — | — | — | — | 1,745 | 1,745 | — | — | |||||||||||||||||||||||||||||||||
Other | 158 | — | 240 | 398 | 24,375 | 24,773 | — | 599 | |||||||||||||||||||||||||||||||||
Farmland | — | — | 252 | 252 | 279 | 531 | — | 252 | |||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 75 | 9 | — | 84 | 28,133 | 28,217 | — | 95 | |||||||||||||||||||||||||||||||||
1 - 4 Family | 157 | 242 | 355 | 754 | 82,995 | 83,749 | — | 1,128 | |||||||||||||||||||||||||||||||||
Junior Liens | — | — | 26 | 26 | 1,080 | 1,106 | — | 53 | |||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 1 | 2 | — | 3 | 2,551 | 2,554 | — | 6 | |||||||||||||||||||||||||||||||||
Other | — | — | — | — | 944 | 944 | — | — | |||||||||||||||||||||||||||||||||
Total | $ | 437 | $ | 330 | $ | 2,214 | $ | 2,981 | $ | 275,529 | $ | 278,510 | $ | — | $ | 4,788 | |||||||||||||||||||||||||
Risk Category of Loans and Leases | ' | ||||||||||||||||||||||||||||||||||||||||
As of September 30, 2014 and December 31, 2013, and based on the most recent analysis performed, the loans and leases were categorized as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | |||||||||||||||||||||||||||||||||||||||||
Internal Risk Rating Grades | Pass | Special | Substandard | Doubtful | Loss | ||||||||||||||||||||||||||||||||||||
Mention | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 19,918 | $ | 2,885 | $ | 701 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 47,386 | 3,831 | 4,128 | — | — | ||||||||||||||||||||||||||||||||||||
Income producing | 31,050 | 13,891 | 2,647 | — | — | ||||||||||||||||||||||||||||||||||||
Multifamily | 7,177 | 1,740 | — | — | — | ||||||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 2,480 | 195 | 353 | — | — | ||||||||||||||||||||||||||||||||||||
Other | 15,228 | 1,865 | 2,629 | — | — | ||||||||||||||||||||||||||||||||||||
Farmland | 270 | — | 110 | — | — | ||||||||||||||||||||||||||||||||||||
Other | 1,094 | — | — | — | — | ||||||||||||||||||||||||||||||||||||
Totals | $ | 124,603 | $ | 24,407 | $ | 10,568 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 19,918 | $ | 2,885 | $ | 701 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 85,613 | $ | 19,462 | $ | 6,775 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Construction & Development | $ | 17,978 | $ | 2,060 | $ | 3,092 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Other | $ | 1,094 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||||||||||||||||||
Totals | $ | 123,509 | $ | 24,407 | $ | 10,568 | $ | — | $ | — | |||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Internal Risk Rating Grades | Pass | Special | Substandard | Doubtful | Loss | ||||||||||||||||||||||||||||||||||||
Mention | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 13,289 | $ | 3,157 | $ | 982 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 47,207 | 6,009 | 4,699 | — | — | ||||||||||||||||||||||||||||||||||||
Income producing | 33,875 | 10,501 | 7,424 | — | — | ||||||||||||||||||||||||||||||||||||
Multifamily | 5,925 | 1,823 | — | — | — | ||||||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 1,133 | 252 | 360 | — | — | ||||||||||||||||||||||||||||||||||||
Other | 17,122 | 3,265 | 4,386 | — | — | ||||||||||||||||||||||||||||||||||||
Farmland | 279 | — | 252 | — | — | ||||||||||||||||||||||||||||||||||||
Other | 944 | — | — | — | — | ||||||||||||||||||||||||||||||||||||
Totals | $ | 119,774 | $ | 25,007 | $ | 18,103 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 13,289 | $ | 3,157 | $ | 982 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 87,007 | $ | 18,333 | $ | 12,123 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Construction & Development | $ | 18,534 | $ | 3,517 | $ | 4,998 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Other | $ | 944 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||||||||||||||||||
Totals | $ | 118,830 | $ | 25,007 | $ | 18,103 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Consumer Related Loans, Segregated by Class of Loans | ' | ||||||||||||||||||||||||||||||||||||||||
Consumer-related loans at September 30, 2014 and December 31, 2013, segregated by class of loans, were as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Risk Based on Payment Activity | Performing | Non- | Performing | Non- | |||||||||||||||||||||||||||||||||||||
Performing | Performing | ||||||||||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | $ | 28,165 | $ | 68 | $ | 28,122 | $ | 95 | |||||||||||||||||||||||||||||||||
1 - 4 Family | 89,562 | 393 | 83,092 | 657 | |||||||||||||||||||||||||||||||||||||
Junior Liens | 805 | 26 | 1,080 | 26 | |||||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | |||||||||||||||||||||||||||||||||||||||||
Credit Cards | — | — | — | — | |||||||||||||||||||||||||||||||||||||
Other | 3,094 | 5 | 2,548 | 6 | |||||||||||||||||||||||||||||||||||||
Totals | $ | 121,626 | $ | 492 | $ | 114,842 | $ | 784 | |||||||||||||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 118,532 | $ | 487 | $ | 112,294 | $ | 778 | |||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | $ | 3,094 | $ | 5 | $ | 2,548 | $ | 6 | |||||||||||||||||||||||||||||||||
Totals | $ | 121,626 | $ | 492 | $ | 114,842 | $ | 784 | |||||||||||||||||||||||||||||||||
ALLOWANCE_FOR_LOAN_LOSSES_Tabl
ALLOWANCE FOR LOAN LOSSES (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||||||||||||||
Schedule of Changes in Allowance for Loan Losses by Segment | ' | ||||||||||||||||||||||||||||||||||||||||
Changes in the allowance for loan losses by segment, since their respective year-end, are as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||
Beginning | Chargeoffs | Recoveries | Provision | Ending | Beginning | Chargeoffs | Recoveries | Provision | Ending | ||||||||||||||||||||||||||||||||
Balance | Balance | Balance | Balance | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 176 | $ | (58 | ) | $ | 806 | $ | (768 | ) | $ | 156 | $ | 1,209 | $ | (107 | ) | $ | 1,605 | $ | (2,320 | ) | $ | 387 | |||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 1,224 | — | 11 | 44 | 1,279 | 1,359 | (290 | ) | 549 | (284 | ) | 1,334 | |||||||||||||||||||||||||||||
Income producing | 831 | (104 | ) | — | 303 | 1,030 | 773 | (21 | ) | 20 | 13 | 785 | |||||||||||||||||||||||||||||
Multifamily | 50 | — | — | 116 | 166 | 78 | — | — | (19 | ) | 59 | ||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 52 | (719 | ) | — | 740 | 73 | 78 | (5 | ) | — | (24 | ) | 49 | ||||||||||||||||||||||||||||
Other | 580 | — | 55 | (22 | ) | 613 | 728 | — | 9 | (177 | ) | 560 | |||||||||||||||||||||||||||||
Farmland | 3 | — | — | 2 | 5 | — | (21 | ) | — | 24 | 3 | ||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 332 | (123 | ) | 6 | 154 | 369 | 314 | (207 | ) | 33 | 210 | 350 | |||||||||||||||||||||||||||||
1 - 4 Family | 1,218 | (15 | ) | 77 | (64 | ) | 1,216 | 1,267 | (620 | ) | 468 | 247 | 1,362 | ||||||||||||||||||||||||||||
Consumer - Non Real Estate | 44 | (24 | ) | 16 | 16 | 52 | 98 | (38 | ) | 28 | (29 | ) | 59 | ||||||||||||||||||||||||||||
Unallocated | 1,505 | — | — | (1,281 | ) | 224 | 986 | — | — | 281 | 1,267 | ||||||||||||||||||||||||||||||
Total | $ | 6,015 | $ | (1,043 | ) | $ | 971 | $ | (760 | ) | $ | 5,183 | $ | 6,890 | $ | (1,309 | ) | $ | 2,712 | $ | (2,078 | ) | $ | 6,215 | |||||||||||||||||
Changes in the allowance for loan losses by segment, since the prior quarter ended June 30, 2014 and 2013, respectively, are as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
June 30, 2014 - September 30, 2014 | June 30, 2013 - September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||
Beginning | Chargeoffs | Recoveries | Provision | Ending | Beginning | Chargeoffs | Recoveries | Provision | Ending | ||||||||||||||||||||||||||||||||
Balance | Balance | Balance | Balance | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 33 | $ | (9 | ) | $ | 709 | $ | (577 | ) | $ | 156 | $ | 584 | $ | — | $ | 241 | $ | (438 | ) | $ | 387 | ||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 488 | — | 4 | 787 | 1,279 | 1,568 | — | 537 | (771 | ) | 1,334 | ||||||||||||||||||||||||||||||
Income producing | 1,403 | (104 | ) | — | (269 | ) | 1,030 | 756 | — | — | 29 | 785 | |||||||||||||||||||||||||||||
Multifamily | 113 | — | — | 53 | 166 | 67 | — | — | (8 | ) | 59 | ||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 52 | — | — | 21 | 73 | 85 | — | — | (36 | ) | 49 | ||||||||||||||||||||||||||||||
Other | 525 | — | 4 | 84 | 613 | 551 | — | 3 | 6 | 560 | |||||||||||||||||||||||||||||||
Farmland | 3 | — | — | 2 | 5 | 3 | — | — | — | 3 | |||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 149 | (41 | ) | 1 | 260 | 369 | 354 | — | 3 | (7 | ) | 350 | |||||||||||||||||||||||||||||
1 - 4 Family | 809 | (7 | ) | 12 | 402 | 1,216 | 1,171 | (42 | ) | 5 | 228 | 1,362 | |||||||||||||||||||||||||||||
Consumer - Non Real Estate | 36 | (1 | ) | (3 | ) | 20 | 52 | 90 | (16 | ) | 6 | (21 | ) | 59 | |||||||||||||||||||||||||||
Unallocated | 1,542 | — | — | (1,318 | ) | 224 | 1,169 | — | — | 98 | 1,267 | ||||||||||||||||||||||||||||||
Total | $ | 5,153 | $ | (162 | ) | $ | 727 | $ | (535 | ) | $ | 5,183 | $ | 6,398 | $ | (58 | ) | $ | 795 | $ | (920 | ) | $ | 6,215 | |||||||||||||||||
Schedule of Loans Individually Evaluated for Impairment | ' | ||||||||||||||||||||||||||||||||||||||||
As of September 30, 2014 and December 31, 2013, loans were evaluated for impairment as follows (dollars in thousands): | |||||||||||||||||||||||||||||||||||||||||
Individually Evaluated for Impairment | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Allowance | Total Loans | Allowance | Total Loans | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 26 | $ | 1,994 | $ | 25 | $ | 2,304 | |||||||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 829 | 6,537 | 77 | 7,146 | |||||||||||||||||||||||||||||||||||||
Income producing | 164 | 10,472 | 126 | 11,021 | |||||||||||||||||||||||||||||||||||||
Multifamily | 74 | 1,206 | 12 | 1,226 | |||||||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 9 | 353 | 8 | 360 | |||||||||||||||||||||||||||||||||||||
Other | 14 | 2,988 | 107 | 4,721 | |||||||||||||||||||||||||||||||||||||
Farmland | — | 110 | — | 252 | |||||||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 41 | 109 | — | 95 | |||||||||||||||||||||||||||||||||||||
1 - 4 Family | 274 | 11,918 | 208 | 12,945 | |||||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 5 | 70 | — | 76 | |||||||||||||||||||||||||||||||||||||
Unallocated | — | — | — | — | |||||||||||||||||||||||||||||||||||||
Total | $ | 1,436 | $ | 35,757 | $ | 563 | $ | 40,146 | |||||||||||||||||||||||||||||||||
Collectively Evaluated for Impairment | |||||||||||||||||||||||||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Allowance | Total Loans | Allowance | Total Loans | ||||||||||||||||||||||||||||||||||||||
Commercial - Non Real Estate | $ | 130 | $ | 21,510 | $ | 151 | $ | 15,124 | |||||||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||||||||||||||
Owner occupied | 450 | 48,808 | 1,147 | 50,769 | |||||||||||||||||||||||||||||||||||||
Income producing | 866 | 37,116 | 705 | 40,779 | |||||||||||||||||||||||||||||||||||||
Multifamily | 92 | 7,711 | 38 | 6,522 | |||||||||||||||||||||||||||||||||||||
Construction & Development | |||||||||||||||||||||||||||||||||||||||||
1 - 4 Family | 64 | 2,675 | 44 | 1,385 | |||||||||||||||||||||||||||||||||||||
Other | 599 | 16,734 | 473 | 20,052 | |||||||||||||||||||||||||||||||||||||
Farmland | 5 | 270 | 3 | 279 | |||||||||||||||||||||||||||||||||||||
Residential | |||||||||||||||||||||||||||||||||||||||||
Equity Lines | 328 | 28,124 | 332 | 28,122 | |||||||||||||||||||||||||||||||||||||
1 - 4 Family | 942 | 78,868 | 1,010 | 71,910 | |||||||||||||||||||||||||||||||||||||
Consumer - Non Real Estate | 47 | 3,029 | 44 | 2,478 | |||||||||||||||||||||||||||||||||||||
Unallocated | 224 | 1,094 | 1,505 | 944 | |||||||||||||||||||||||||||||||||||||
Total | $ | 3,747 | $ | 245,939 | $ | 5,452 | $ | 238,364 | |||||||||||||||||||||||||||||||||
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
Summary of Outstanding Financial Instruments Whose Contract Amounts Represent Credit Risk | ' | ||||
The following table presents a summary of outstanding financial instruments whose contract amounts represent credit risk as of September 30, 2014 (dollars in thousands): | |||||
Unfunded loan commitments | $ | 31,096 | |||
Financial standby letters of credit | 209 | ||||
Total unused commitments | $ | 31,305 | |||
FAIR_VALUE_Tables
FAIR VALUE (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Assets Measured on Recurring Basis | ' | ||||||||||||||||
The following table summarizes the Company’s assets measured at fair value at the dates indicated (dollars in thousands): | |||||||||||||||||
At September 30, 2014 | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets valued on a recurring basis | |||||||||||||||||
Investment securities: | |||||||||||||||||
U.S. government agency | $ | 4,935 | $ | — | $ | 4,935 | $ | — | |||||||||
State and municipals | 6,066 | — | 6,066 | — | |||||||||||||
Mortgage-backed | 29,996 | — | 29,996 | — | |||||||||||||
Assets valued on a non-recurring basis | |||||||||||||||||
Impaired loans | 34,321 | — | — | 34,321 | |||||||||||||
Other real estate owned | 1,220 | — | — | 1,220 | |||||||||||||
Total | $ | 76,538 | $ | — | $ | 40,997 | $ | 35,541 | |||||||||
At December 31, 2013 | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets valued on a recurring basis | |||||||||||||||||
Investment securities: | |||||||||||||||||
U.S. government agency | $ | 40,930 | $ | — | $ | 40,930 | $ | — | |||||||||
State and municipals | 10,181 | — | 10,181 | — | |||||||||||||
Mortgage-backed | 38,204 | — | 38,204 | — | |||||||||||||
Assets valued on a non-recurring basis | |||||||||||||||||
Impaired loans | 39,583 | — | — | 39,583 | |||||||||||||
Other real estate owned | 1,233 | — | — | 1,233 | |||||||||||||
Total | $ | 130,131 | $ | — | $ | 89,315 | $ | 40,816 | |||||||||
BORROWED_FUNDS_Tables
BORROWED FUNDS (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Outstanding Borrowings and Annual Rate of Interest | ' | ||||||||||||||||
A summary of the Company’s outstanding borrowings and the annual rate of interest currently payable on each category is presented in the following table at the dates indicated (dollars in thousands): | |||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||
Outstanding | Annual | Outstanding | Annual | ||||||||||||||
Balance | Interest Rate | Balance | Interest Rate | ||||||||||||||
Securities sold under overnight repurchase agreements | $ | 394 | 0.15 | % | $ | 388 | 0.14 | % | |||||||||
Securities sold under term repurchase agreements | — | — | 45,000 | 4.38 | |||||||||||||
Trust preferred securities | — | — | 5,155 | 3.19 | |||||||||||||
Subordinated debt | — | — | 2,700 | 4 | |||||||||||||
Total borrowed funds | $ | 394 | 0.15 | % | $ | 53,243 | 4.21 | % | |||||||||
Computation_of_Earnings_Loss_P
Computation of Earnings (Loss) Per Share (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Earnings Per Share [Line Items] | ' | ' | ' | ' |
Net income (loss) applicable to common stockholders | $10,738 | ($5) | $10,003 | ($1,417) |
Weighted average number of common shares outstanding | 387,333,235 | 3,895,840 | 133,112,837 | 3,895,840 |
Weighted average number of diluted common shares outstanding | 387,333,235 | 3,895,840 | 133,112,837 | 3,895,840 |
Common stock options and common stock warrants - anti-dilutive | 20,000 | 497,605 | 20,000 | 497,605 |
Earnings (Loss) per common share: | ' | ' | ' | ' |
Basic | $0.03 | ' | $0.08 | ($0.36) |
Diluted | $0.03 | ' | $0.08 | ($0.36) |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Earnings Per Share Note [Line Items] | ' | ' | ' | ' |
Common stock options outstanding that were anti-dilutive | 20,000 | 497,605 | 20,000 | 497,605 |
Amortized_Cost_Estimated_Fair_
Amortized Cost, Estimated Fair Values and Carrying Values of Investment Securities Portfolios (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | |
In Thousands, unless otherwise specified | |||
Investment [Line Items] | ' | ' | |
Investment securities available for sale, Amortized Cost | $41,297 | $94,694 | |
Investment securities available for sale, Gross Unrealized Gains | 155 | 121 | |
Investment securities available for sale, Gross Unrealized Losses | 455 | 5,500 | |
Investment securities available for sale, Estimated Fair Value | 40,997 | 89,315 | |
Investment securities available for sale, Carrying Value | 40,997 | 89,315 | |
Investment securities held to maturity, Gross Unrealized Gains | ' | ' | |
Total Investment Securities, Amortized Cost | ' | 95,694 | |
Total Investment Securities, Gross Unrealized Gains | ' | 121 | |
Total Investment Securities, Gross Unrealized Losses | ' | 5,680 | |
Total Investment Securities, Estimated Fair Value | ' | 90,135 | |
Total Investment Securities, Carrying Value | 40,997 | 90,315 | [1] |
U.S. Government agency securities | ' | ' | |
Investment [Line Items] | ' | ' | |
Investment securities available for sale, Amortized Cost | 4,896 | 44,077 | |
Investment securities available for sale, Gross Unrealized Gains | 70 | 87 | |
Investment securities available for sale, Gross Unrealized Losses | 31 | 3,234 | |
Investment securities available for sale, Estimated Fair Value | 4,935 | 40,930 | |
Investment securities available for sale, Carrying Value | 4,935 | 40,930 | |
State and municipal bonds | ' | ' | |
Investment [Line Items] | ' | ' | |
Investment securities available for sale, Amortized Cost | 6,175 | 11,159 | |
Investment securities available for sale, Gross Unrealized Gains | 43 | ' | |
Investment securities available for sale, Gross Unrealized Losses | 152 | 978 | |
Investment securities available for sale, Estimated Fair Value | 6,066 | 10,181 | |
Investment securities available for sale, Carrying Value | 6,066 | 10,181 | |
Mortgage-backed securities | ' | ' | |
Investment [Line Items] | ' | ' | |
Investment securities available for sale, Amortized Cost | 30,226 | 39,458 | |
Investment securities available for sale, Gross Unrealized Gains | 42 | 34 | |
Investment securities available for sale, Gross Unrealized Losses | 272 | 1,288 | |
Investment securities available for sale, Estimated Fair Value | 29,996 | 38,204 | |
Investment securities available for sale, Carrying Value | 29,996 | 38,204 | |
Corporate securities | ' | ' | |
Investment [Line Items] | ' | ' | |
Investment securities held to maturity, Amortized Cost | ' | 1,000 | |
Investment securities held to maturity, Gross Unrealized Gains | ' | ' | |
Investment securities held to maturity, Gross Unrealized Losses | ' | 180 | |
Investment securities held to maturity, Estimated Fair Value | ' | 820 | |
Investment securities held to maturity, Carrying Value | ' | $1,000 | |
[1] | Derived from audited consolidated financial statements. |
Fair_Values_of_Securities_with
Fair Values of Securities with Unrealized Losses (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 Months, Estimated Fair Value | $11,449 | $78,078 |
Less than 12 Months, Unrealized Losses | 50 | 4,741 |
12 Months or More, Estimated Fair Value | 20,150 | 7,176 |
12 Months or More, Unrealized Losses | 405 | 939 |
Total, Estimated Fair Value | 31,599 | 85,254 |
Total, Unrealized Losses | 455 | 5,680 |
U.S. Government agency securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 Months, Estimated Fair Value | ' | 35,679 |
Less than 12 Months, Unrealized Losses | ' | 2,731 |
12 Months or More, Estimated Fair Value | 1,674 | 3,482 |
12 Months or More, Unrealized Losses | 31 | 503 |
Total, Estimated Fair Value | 1,674 | 39,161 |
Total, Unrealized Losses | 31 | 3,234 |
State and municipal bonds | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 Months, Estimated Fair Value | ' | 7,835 |
Less than 12 Months, Unrealized Losses | ' | 723 |
12 Months or More, Estimated Fair Value | 4,151 | 2,346 |
12 Months or More, Unrealized Losses | 152 | 255 |
Total, Estimated Fair Value | 4,151 | 10,181 |
Total, Unrealized Losses | 152 | 978 |
Mortgage-backed securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 Months, Estimated Fair Value | 11,449 | 34,564 |
Less than 12 Months, Unrealized Losses | 50 | 1,287 |
12 Months or More, Estimated Fair Value | 14,325 | 528 |
12 Months or More, Unrealized Losses | 222 | 1 |
Total, Estimated Fair Value | 25,774 | 35,092 |
Total, Unrealized Losses | 272 | 1,288 |
Corporate securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
12 Months or More, Estimated Fair Value | ' | 820 |
12 Months or More, Unrealized Losses | ' | 180 |
Total, Estimated Fair Value | ' | 820 |
Total, Unrealized Losses | ' | $180 |
Investment_Securities_Addition
Investment Securities - Additional Information (Detail) | Sep. 30, 2014 |
Securities | |
Investment [Line Items] | ' |
Number of securities, in unrealized loss position | 25 |
Loan_Portfolio_Detail
Loan Portfolio (Detail) (USD $) | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | |
In Thousands, unless otherwise specified | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | ' | ' | |
Total real estate loans | $253,999 | ' | $257,584 | ' | ' | ' | |
Commercial business and other loans | 23,504 | ' | 17,428 | ' | ' | ' | |
Consumer loans | 3,099 | ' | 2,554 | ' | ' | ' | |
Other | 1,094 | ' | 944 | ' | ' | ' | |
Gross loans receivable | 281,696 | ' | 278,510 | ' | ' | ' | |
Allowance for loan losses | -5,183 | -5,153 | -6,015 | [1] | -6,215 | -6,398 | -6,890 |
Loans, net | 276,513 | ' | 272,495 | [1] | ' | ' | ' |
1-4 Family Residential | ' | ' | ' | ' | ' | ' | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | ' | ' | |
Total real estate loans | 90,786 | ' | 84,855 | ' | ' | ' | |
Commercial Real Estate | ' | ' | ' | ' | ' | ' | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | ' | ' | |
Total real estate loans | 111,850 | ' | 117,463 | ' | ' | ' | |
Construction & Development | ' | ' | ' | ' | ' | ' | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | ' | ' | |
Total real estate loans | 23,130 | ' | 27,049 | ' | ' | ' | |
Equity Lines | ' | ' | ' | ' | ' | ' | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | ' | ' | |
Total real estate loans | $28,233 | ' | $28,217 | ' | ' | ' | |
[1] | Derived from audited consolidated financial statements. |
Impaired_Loans_Segregated_by_C
Impaired Loans, Segregated by Class of Loans (Detail) (USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | $13,775 | $16,101 |
With No Related Allowance, Unpaid Principal Balance | 15,829 | 17,993 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 16,424 | 18,687 |
With No Related Allowance, Interest Income Recognized | 508 | 980 |
With Related Allowance, Recorded Investment | 21,982 | 24,045 |
With Related Allowance, Unpaid Principal Balance | 22,184 | 24,164 |
With Related Allowance, Related Allowance | 1,436 | 563 |
With Related Allowance, Average Recorded Investment | 22,552 | 24,591 |
With Related Allowance, Interest Income Recognized | 782 | 1,073 |
Recorded Investment, Total | 35,757 | 40,146 |
Unpaid Principal Balance, Total | 38,013 | 42,157 |
Related Allowance, Total | 1,436 | 563 |
Average Recorded Investment, Total | 38,976 | 43,278 |
Interest Income Recognized, Total | 1,290 | 2,053 |
Commercial - Non Real Estate | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | 381 | 1,099 |
With No Related Allowance, Unpaid Principal Balance | 448 | 1,305 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 465 | 1,384 |
With No Related Allowance, Interest Income Recognized | 19 | 79 |
With Related Allowance, Recorded Investment | 1,613 | 1,205 |
With Related Allowance, Unpaid Principal Balance | 1,615 | 1,205 |
With Related Allowance, Related Allowance | 26 | 25 |
With Related Allowance, Average Recorded Investment | 1,677 | 1,282 |
With Related Allowance, Interest Income Recognized | 53 | 45 |
Recorded Investment, Total | 1,994 | 2,304 |
Unpaid Principal Balance, Total | 2,063 | 2,510 |
Related Allowance, Total | 26 | 25 |
Average Recorded Investment, Total | 2,142 | 2,666 |
Interest Income Recognized, Total | 72 | 124 |
Commercial Real Estate | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment, Total | 18,215 | 19,393 |
Unpaid Principal Balance, Total | 18,868 | 20,217 |
Related Allowance, Total | 1,067 | 215 |
Average Recorded Investment, Total | 19,317 | 20,768 |
Interest Income Recognized, Total | 689 | 1,015 |
Commercial Real Estate | Owner occupied | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | 2,121 | 3,480 |
With No Related Allowance, Unpaid Principal Balance | 2,446 | 4,062 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 2,658 | 4,365 |
With No Related Allowance, Interest Income Recognized | 106 | 239 |
With Related Allowance, Recorded Investment | 4,416 | 3,666 |
With Related Allowance, Unpaid Principal Balance | 4,471 | 3,666 |
With Related Allowance, Related Allowance | 829 | 77 |
With Related Allowance, Average Recorded Investment | 4,505 | 3,727 |
With Related Allowance, Interest Income Recognized | 146 | 166 |
Commercial Real Estate | Income Producing | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | 3,299 | 3,734 |
With No Related Allowance, Unpaid Principal Balance | 3,483 | 3,887 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 3,518 | 3,938 |
With No Related Allowance, Interest Income Recognized | 120 | 183 |
With Related Allowance, Recorded Investment | 7,173 | 7,287 |
With Related Allowance, Unpaid Principal Balance | 7,229 | 7,343 |
With Related Allowance, Related Allowance | 164 | 126 |
With Related Allowance, Average Recorded Investment | 7,388 | 7,465 |
With Related Allowance, Interest Income Recognized | 284 | 382 |
Commercial Real Estate | Multifamily | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Related Allowance | ' | ' |
With Related Allowance, Recorded Investment | 1,206 | 1,226 |
With Related Allowance, Unpaid Principal Balance | 1,239 | 1,259 |
With Related Allowance, Related Allowance | 74 | 12 |
With Related Allowance, Average Recorded Investment | 1,248 | 1,273 |
With Related Allowance, Interest Income Recognized | 33 | 45 |
Construction & Development | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment, Total | 3,451 | 5,333 |
Unpaid Principal Balance, Total | 4,506 | 5,701 |
Related Allowance, Total | 23 | 115 |
Average Recorded Investment, Total | 4,796 | 5,916 |
Interest Income Recognized, Total | 105 | 275 |
Construction & Development | 1-4 Family Residential | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Related Allowance | ' | ' |
With Related Allowance, Recorded Investment | 353 | 360 |
With Related Allowance, Unpaid Principal Balance | 359 | 366 |
With Related Allowance, Related Allowance | 9 | 8 |
With Related Allowance, Average Recorded Investment | 363 | 371 |
With Related Allowance, Interest Income Recognized | 14 | 19 |
Construction & Development | Construction & Development, Other | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | 2,257 | 1,545 |
With No Related Allowance, Unpaid Principal Balance | 3,280 | 1,881 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 3,523 | 1,981 |
With No Related Allowance, Interest Income Recognized | 57 | 112 |
With Related Allowance, Recorded Investment | 731 | 3,176 |
With Related Allowance, Unpaid Principal Balance | 736 | 3,181 |
With Related Allowance, Related Allowance | 14 | 107 |
With Related Allowance, Average Recorded Investment | 750 | 3,224 |
With Related Allowance, Interest Income Recognized | 25 | 118 |
Construction & Development | Farmland | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | 110 | 252 |
With No Related Allowance, Unpaid Principal Balance | 131 | 273 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 160 | 340 |
With No Related Allowance, Interest Income Recognized | 9 | 26 |
Residential | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Recorded Investment, Total | 12,027 | 13,040 |
Unpaid Principal Balance, Total | 12,506 | 13,653 |
Related Allowance, Total | 315 | 208 |
Average Recorded Investment, Total | 12,647 | 13,847 |
Interest Income Recognized, Total | 420 | 635 |
Residential | 1-4 Family Residential | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | 5,109 | 5,632 |
With No Related Allowance, Unpaid Principal Balance | 5,512 | 6,198 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 5,562 | 6,281 |
With No Related Allowance, Interest Income Recognized | 176 | 322 |
With Related Allowance, Recorded Investment | 6,292 | 6,778 |
With Related Allowance, Unpaid Principal Balance | 6,335 | 6,795 |
With Related Allowance, Related Allowance | 271 | 204 |
With Related Allowance, Average Recorded Investment | 6,417 | 6,893 |
With Related Allowance, Interest Income Recognized | 219 | 279 |
Residential | Equity Lines | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | 69 | 95 |
With No Related Allowance, Unpaid Principal Balance | 77 | 101 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 77 | 105 |
With No Related Allowance, Interest Income Recognized | 2 | 3 |
With Related Allowance, Recorded Investment | 40 | ' |
With Related Allowance, Unpaid Principal Balance | 40 | ' |
With Related Allowance, Related Allowance | 41 | ' |
With Related Allowance, Average Recorded Investment | 40 | ' |
With Related Allowance, Interest Income Recognized | 1 | ' |
Residential | Junior Liens | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | 413 | 196 |
With No Related Allowance, Unpaid Principal Balance | 436 | 218 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 444 | 223 |
With No Related Allowance, Interest Income Recognized | 18 | 12 |
With Related Allowance, Recorded Investment | 104 | 339 |
With Related Allowance, Unpaid Principal Balance | 106 | 341 |
With Related Allowance, Related Allowance | 3 | 4 |
With Related Allowance, Average Recorded Investment | 107 | 345 |
With Related Allowance, Interest Income Recognized | 4 | 19 |
Consumer - Non Real Estate | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
With No Related Allowance, Recorded Investment | 16 | 68 |
With No Related Allowance, Unpaid Principal Balance | 16 | 68 |
With No Related Allowance, Related Allowance | ' | ' |
With No Related Allowance, Average Recorded Investment | 17 | 70 |
With No Related Allowance, Interest Income Recognized | 1 | 4 |
With Related Allowance, Recorded Investment | 54 | 8 |
With Related Allowance, Unpaid Principal Balance | 54 | 8 |
With Related Allowance, Related Allowance | 5 | ' |
With Related Allowance, Average Recorded Investment | 57 | 11 |
With Related Allowance, Interest Income Recognized | 3 | ' |
Recorded Investment, Total | 70 | 76 |
Unpaid Principal Balance, Total | 70 | 76 |
Related Allowance, Total | 5 | ' |
Average Recorded Investment, Total | 74 | 81 |
Interest Income Recognized, Total | $4 | $4 |
Loans_Receivable_Additional_In
Loans Receivable - Additional Information (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Financing Receivable Modifications Recorded Investment | $34,274 | $37,481 | ' |
Impairment reserve for troubled debt restructurings | $1,297 | $563 | $617 |
Summary_of_Loans_Modified_as_T
Summary of Loans Modified as TDRs (Detail) (USD $) | 9 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 |
Loan | Loan | ||
Financing Receivable, Modifications [Line Items] | ' | ' | ' |
Total modifications, accrual | $32,175 | $35,322 | ' |
Total modifications, non-accrual | 2,099 | 2,159 | ' |
Total modifications, total TDRs | 34,274 | 37,481 | ' |
Total modifications, allowances for loan losses allocated | 1,297 | 563 | 617 |
Total contracts, accrual | 133 | 133 | ' |
Total contracts, non-accrual | 10 | 12 | ' |
Total contracts, total TDRs | 143 | 145 | ' |
Commercial Real Estate | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' |
Total modifications, accrual | 17,333 | 17,461 | ' |
Total modifications, non-accrual | ' | 1,016 | ' |
Total modifications, total TDRs | 17,333 | 18,477 | ' |
Total modifications, allowances for loan losses allocated | 983 | 216 | ' |
Commercial Construction | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' |
Total modifications, accrual | 1,784 | 4,319 | ' |
Total modifications, non-accrual | 1,667 | 612 | ' |
Total modifications, total TDRs | 3,451 | 4,931 | ' |
Total modifications, allowances for loan losses allocated | 23 | 8 | ' |
Commercial and Industrial | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' |
Total modifications, accrual | 1,817 | 2,421 | ' |
Total modifications, non-accrual | 176 | 301 | ' |
Total modifications, total TDRs | 1,993 | 2,722 | ' |
Total modifications, allowances for loan losses allocated | 26 | 25 | ' |
Residential | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' |
Total modifications, accrual | 11,176 | 11,051 | ' |
Total modifications, non-accrual | 256 | 230 | ' |
Total modifications, total TDRs | 11,432 | 11,281 | ' |
Total modifications, allowances for loan losses allocated | 265 | 314 | ' |
Customer and Other | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' |
Total modifications, accrual | 65 | 70 | ' |
Total modifications, total TDRs | $65 | $70 | ' |
Troubled_Debt_Restructuring_De
Troubled Debt Restructuring (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Contract | Contract | Contract | Contract | |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Troubled Debt Restructuring, Number of Contracts | 2 | 3 | 6 | 9 |
Troubled Debt Restructuring, Pre-Modification Recorded Investment | $75 | $224 | $620 | $1,434 |
Troubled Debt Restructuring, Post- Modification Recorded Investment | 75 | 225 | 620 | 1,435 |
Commercial - Non Real Estate | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Troubled Debt Restructuring, Number of Contracts | ' | ' | 1 | 1 |
Troubled Debt Restructuring, Pre-Modification Recorded Investment | ' | ' | 61 | 32 |
Troubled Debt Restructuring, Post- Modification Recorded Investment | ' | ' | 61 | 32 |
Commercial Real Estate | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Troubled Debt Restructuring, Number of Contracts | ' | ' | 2 | 1 |
Troubled Debt Restructuring, Pre-Modification Recorded Investment | ' | ' | 458 | 238 |
Troubled Debt Restructuring, Post- Modification Recorded Investment | ' | ' | 458 | 238 |
Construction & Development | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Troubled Debt Restructuring, Number of Contracts | ' | 1 | ' | 2 |
Troubled Debt Restructuring, Pre-Modification Recorded Investment | ' | 129 | ' | 621 |
Troubled Debt Restructuring, Post- Modification Recorded Investment | ' | 129 | ' | 621 |
Residential | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Troubled Debt Restructuring, Number of Contracts | 2 | 2 | 3 | 5 |
Troubled Debt Restructuring, Pre-Modification Recorded Investment | 75 | 95 | 101 | 543 |
Troubled Debt Restructuring, Post- Modification Recorded Investment | $75 | $96 | $101 | $544 |
Nonaccrual_Loans_and_Age_Analy
Non-accrual Loans and Age Analysis of Past Due Loans, Segregated by Class of Loans (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30 to 59 Days Past Due | $636 | $437 |
60 - 89 Days Past Due | 210 | 330 |
Equal to Greater than 90 Days Past Due | 220 | 2,214 |
Past Due | 1,066 | 2,981 |
Current | 280,630 | 275,529 |
Gross loans receivable | 281,696 | 278,510 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 3,318 | 4,788 |
Commercial - Non Real Estate | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30 to 59 Days Past Due | ' | 46 |
60 - 89 Days Past Due | 170 | ' |
Equal to Greater than 90 Days Past Due | ' | 154 |
Past Due | 170 | 200 |
Current | 23,334 | 17,228 |
Gross loans receivable | 23,504 | 17,428 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 176 | 463 |
Commercial Real Estate | Owner occupied | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30 to 59 Days Past Due | 116 | ' |
60 - 89 Days Past Due | ' | 77 |
Equal to Greater than 90 Days Past Due | ' | 684 |
Past Due | 116 | 761 |
Current | 55,229 | 57,154 |
Gross loans receivable | 55,345 | 57,915 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 355 | 1,689 |
Commercial Real Estate | Income Producing | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Equal to Greater than 90 Days Past Due | ' | 503 |
Past Due | ' | 503 |
Current | 47,588 | 51,297 |
Gross loans receivable | 47,588 | 51,800 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 304 | 503 |
Commercial Real Estate | Multifamily | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 8,917 | 7,748 |
Gross loans receivable | 8,917 | 7,748 |
90 Days Past Due and Still Accruing | ' | ' |
Construction & Development | 1-4 Family Residential | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 3,028 | 1,745 |
Gross loans receivable | 3,028 | 1,745 |
90 Days Past Due and Still Accruing | ' | ' |
Construction & Development | Construction & Development, Other | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30 to 59 Days Past Due | ' | 158 |
Equal to Greater than 90 Days Past Due | ' | 240 |
Past Due | ' | 398 |
Current | 19,722 | 24,375 |
Gross loans receivable | 19,722 | 24,773 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 1,557 | 599 |
Construction & Development | Farmland | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Equal to Greater than 90 Days Past Due | 110 | 252 |
Past Due | 110 | 252 |
Current | 270 | 279 |
Gross loans receivable | 380 | 531 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 110 | 252 |
Residential | 1-4 Family Residential | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30 to 59 Days Past Due | 518 | 157 |
60 - 89 Days Past Due | ' | 242 |
Equal to Greater than 90 Days Past Due | 83 | 355 |
Past Due | 601 | 754 |
Current | 89,354 | 82,995 |
Gross loans receivable | 89,955 | 83,749 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 693 | 1,128 |
Residential | Equity Lines | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30 to 59 Days Past Due | ' | 75 |
60 - 89 Days Past Due | 40 | 9 |
Past Due | 40 | 84 |
Current | 28,193 | 28,133 |
Gross loans receivable | 28,233 | 28,217 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 69 | 95 |
Residential | Junior Liens | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Equal to Greater than 90 Days Past Due | 27 | 26 |
Past Due | 27 | 26 |
Current | 804 | 1,080 |
Gross loans receivable | 831 | 1,106 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 49 | 53 |
Consumer - Non Real Estate | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30 to 59 Days Past Due | 2 | 1 |
60 - 89 Days Past Due | ' | 2 |
Past Due | 2 | 3 |
Current | 3,097 | 2,551 |
Gross loans receivable | 3,099 | 2,554 |
90 Days Past Due and Still Accruing | ' | ' |
Non-accrual Status | 5 | 6 |
Others | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 1,094 | 944 |
Gross loans receivable | 1,094 | 944 |
90 Days Past Due and Still Accruing | ' | ' |
Risk_Category_of_Loans_and_Lea
Risk Category of Loans and Leases (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | $281,696 | $278,510 |
Commercial - Non Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 23,504 | 17,428 |
Commercial Real Estate | Owner occupied | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 55,345 | 57,915 |
Commercial Real Estate | Income Producing | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 47,588 | 51,800 |
Commercial Real Estate | Multifamily | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 8,917 | 7,748 |
Construction & Development | Construction & Development, Other | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 19,722 | 24,773 |
Construction & Development | Farmland | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 380 | 531 |
Pass | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 124,603 | 119,774 |
Pass | Commercial - Non Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 19,918 | 13,289 |
Pass | Commercial Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 85,613 | 87,007 |
Pass | Commercial Real Estate | Owner occupied | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 47,386 | 47,207 |
Pass | Commercial Real Estate | Income Producing | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 31,050 | 33,875 |
Pass | Commercial Real Estate | Multifamily | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 7,177 | 5,925 |
Pass | Construction & Development | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 17,978 | 18,534 |
Pass | Construction & Development | 1-4 Family | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 2,480 | 1,133 |
Pass | Construction & Development | Construction & Development, Other | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 15,228 | 17,122 |
Pass | Construction & Development | Farmland | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 270 | 279 |
Pass | Other | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 1,094 | 944 |
Special Mention | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 24,407 | 25,007 |
Special Mention | Commercial - Non Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 2,885 | 3,157 |
Special Mention | Commercial Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 19,462 | 18,333 |
Special Mention | Commercial Real Estate | Owner occupied | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 3,831 | 6,009 |
Special Mention | Commercial Real Estate | Income Producing | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 13,891 | 10,501 |
Special Mention | Commercial Real Estate | Multifamily | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 1,740 | 1,823 |
Special Mention | Construction & Development | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 2,060 | 3,517 |
Special Mention | Construction & Development | 1-4 Family | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 195 | 252 |
Special Mention | Construction & Development | Construction & Development, Other | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 1,865 | 3,265 |
Substandard | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 10,568 | 18,103 |
Substandard | Commercial - Non Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 701 | 982 |
Substandard | Commercial Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 6,775 | 12,123 |
Substandard | Commercial Real Estate | Owner occupied | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 4,128 | 4,699 |
Substandard | Commercial Real Estate | Income Producing | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 2,647 | 7,424 |
Substandard | Construction & Development | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 3,092 | 4,998 |
Substandard | Construction & Development | 1-4 Family | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 353 | 360 |
Substandard | Construction & Development | Construction & Development, Other | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 2,629 | 4,386 |
Substandard | Construction & Development | Farmland | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | $110 | $252 |
Consumer_Related_Loans_Segrega
Consumer Related Loans, Segregated by Class of Loans (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | $281,696 | $278,510 |
Residential | Equity Lines | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 28,233 | 28,217 |
Residential | 1-4 Family Residential | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 89,955 | 83,749 |
Residential | Junior Liens | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 831 | 1,106 |
Consumer - Non Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 3,099 | 2,554 |
Performing Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 121,626 | 114,842 |
Performing Financing Receivable | Residential | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 118,532 | 112,294 |
Performing Financing Receivable | Residential | Equity Lines | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 28,165 | 28,122 |
Performing Financing Receivable | Residential | 1-4 Family Residential | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 89,562 | 83,092 |
Performing Financing Receivable | Residential | Junior Liens | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 805 | 1,080 |
Performing Financing Receivable | Consumer - Non Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 3,094 | 2,548 |
Performing Financing Receivable | Consumer - Non Real Estate | Consumer Other Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 3,094 | 2,548 |
Nonperforming Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 492 | 784 |
Nonperforming Financing Receivable | Residential | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 487 | 778 |
Nonperforming Financing Receivable | Residential | Equity Lines | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 68 | 95 |
Nonperforming Financing Receivable | Residential | 1-4 Family Residential | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 393 | 657 |
Nonperforming Financing Receivable | Residential | Junior Liens | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 26 | 26 |
Nonperforming Financing Receivable | Consumer - Non Real Estate | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | 5 | 6 |
Nonperforming Financing Receivable | Consumer - Non Real Estate | Consumer Other Financing Receivable | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Totals | $5 | $6 |
Changes_in_Allowance_for_Loan_
Changes in Allowance for Loan Losses by Segment (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||||||||||||||||||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Commercial - Non Real Estate | Commercial - Non Real Estate | Commercial - Non Real Estate | Commercial - Non Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Commercial Real Estate | Construction & Development | Construction & Development | Construction & Development | Construction & Development | Construction & Development | Construction & Development | Construction & Development | Construction & Development | Construction & Development | Construction & Development | Construction & Development | Construction & Development | Residential | Residential | Residential | Residential | Residential | Residential | Residential | Residential | Consumer - Non Real Estate | Consumer - Non Real Estate | Consumer - Non Real Estate | Consumer - Non Real Estate | Unallocated | Unallocated | Unallocated | Unallocated | ||||||
Owner occupied | Owner occupied | Owner occupied | Owner occupied | Income Producing | Income Producing | Income Producing | Income Producing | Multifamily | Multifamily | Multifamily | Multifamily | 1-4 Family Residential | 1-4 Family Residential | 1-4 Family Residential | 1-4 Family Residential | Construction & Development, Other | Construction & Development, Other | Construction & Development, Other | Construction & Development, Other | Farmland | Farmland | Farmland | Farmland | 1-4 Family Residential | 1-4 Family Residential | 1-4 Family Residential | 1-4 Family Residential | Equity Lines | Equity Lines | Equity Lines | Equity Lines | ||||||||||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Beginning Balance | $5,153 | $6,398 | $6,015 | [1] | $6,890 | $33 | $584 | $176 | $1,209 | $488 | $1,568 | $1,224 | $1,359 | $1,403 | $756 | $831 | $773 | $113 | $67 | $50 | $78 | $52 | $85 | $52 | $78 | $525 | $551 | $580 | $728 | $3 | $3 | ' | $3 | $809 | $1,171 | $1,218 | $1,267 | $149 | $354 | $332 | $314 | $36 | $90 | $44 | $98 | $1,542 | $1,169 | $1,505 | $986 |
Chargeoffs | -162 | -58 | -1,043 | -1,309 | -9 | ' | -58 | -107 | ' | ' | ' | -290 | -104 | ' | -104 | -21 | ' | ' | ' | ' | ' | ' | -719 | -5 | ' | ' | ' | ' | ' | ' | -21 | ' | -7 | -42 | -15 | -620 | -41 | ' | -123 | -207 | -1 | -16 | -24 | -38 | ' | ' | ' | ' | |
Recoveries | 727 | 795 | 971 | 2,712 | 709 | 241 | 806 | 1,605 | 4 | 537 | 11 | 549 | ' | ' | ' | 20 | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 3 | 55 | 9 | ' | ' | ' | ' | 12 | 5 | 77 | 468 | 1 | 3 | 6 | 33 | -3 | 6 | 16 | 28 | ' | ' | ' | ' | |
Provision | -535 | -920 | -760 | -2,078 | -577 | -438 | -768 | -2,320 | 787 | -771 | 44 | -284 | -269 | 29 | 303 | 13 | 53 | -8 | 116 | -19 | 21 | -36 | 740 | -24 | 84 | 6 | -22 | -177 | 2 | 2 | 24 | ' | 402 | 228 | -64 | 247 | 260 | -7 | 154 | 210 | 20 | -21 | 16 | -29 | -1,318 | 98 | -1,281 | 281 | |
Ending Balance | $5,183 | $6,215 | $5,183 | $6,215 | $156 | $387 | $156 | $387 | $1,279 | $1,334 | $1,279 | $1,334 | $1,030 | $785 | $1,030 | $785 | $166 | $59 | $166 | $59 | $73 | $49 | $73 | $49 | $613 | $560 | $613 | $560 | $5 | $5 | $3 | $3 | $1,216 | $1,362 | $1,216 | $1,362 | $369 | $350 | $369 | $350 | $52 | $59 | $52 | $59 | $224 | $1,267 | $224 | $1,267 | |
[1] | Derived from audited consolidated financial statements. |
Individually_Evaluated_for_Imp
Individually Evaluated for Impairment (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Individually Evaluated for Impairment, Allowance | $1,436 | $563 |
Individually Evaluated for Impairment, Total Loans | 35,757 | 40,146 |
Commercial - Non Real Estate | ' | ' |
Individually Evaluated for Impairment, Allowance | 26 | 25 |
Individually Evaluated for Impairment, Total Loans | 1,994 | 2,304 |
Commercial Real Estate | Owner occupied | ' | ' |
Individually Evaluated for Impairment, Allowance | 829 | 77 |
Individually Evaluated for Impairment, Total Loans | 6,537 | 7,146 |
Commercial Real Estate | Income Producing | ' | ' |
Individually Evaluated for Impairment, Allowance | 164 | 126 |
Individually Evaluated for Impairment, Total Loans | 10,472 | 11,021 |
Commercial Real Estate | Multifamily | ' | ' |
Individually Evaluated for Impairment, Allowance | 74 | 12 |
Individually Evaluated for Impairment, Total Loans | 1,206 | 1,226 |
Construction & Development | 1-4 Family Residential | ' | ' |
Individually Evaluated for Impairment, Allowance | 9 | 8 |
Individually Evaluated for Impairment, Total Loans | 353 | 360 |
Construction & Development | Construction & Development, Other | ' | ' |
Individually Evaluated for Impairment, Allowance | 14 | 107 |
Individually Evaluated for Impairment, Total Loans | 2,988 | 4,721 |
Construction & Development | Farmland | ' | ' |
Individually Evaluated for Impairment, Total Loans | 110 | 252 |
Residential | 1-4 Family Residential | ' | ' |
Individually Evaluated for Impairment, Allowance | 274 | 208 |
Individually Evaluated for Impairment, Total Loans | 11,918 | 12,945 |
Residential | Equity Lines | ' | ' |
Individually Evaluated for Impairment, Allowance | 41 | ' |
Individually Evaluated for Impairment, Total Loans | 109 | 95 |
Consumer - Non Real Estate | ' | ' |
Individually Evaluated for Impairment, Allowance | 5 | ' |
Individually Evaluated for Impairment, Total Loans | $70 | $76 |
Collectively_Evaluated_for_Imp
Collectively Evaluated for Impairment (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | $3,747 | $5,452 |
Collectively Evaluated for Impairment, Total Loans | 245,939 | 238,364 |
Commercial - Non Real Estate | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 130 | 151 |
Collectively Evaluated for Impairment, Total Loans | 21,510 | 15,124 |
Commercial Real Estate | Owner occupied | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 450 | 1,147 |
Collectively Evaluated for Impairment, Total Loans | 48,808 | 50,769 |
Commercial Real Estate | Income Producing | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 866 | 705 |
Collectively Evaluated for Impairment, Total Loans | 37,116 | 40,779 |
Commercial Real Estate | Multifamily | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 92 | 38 |
Collectively Evaluated for Impairment, Total Loans | 7,711 | 6,522 |
Construction & Development | 1-4 Family Residential | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 64 | 44 |
Collectively Evaluated for Impairment, Total Loans | 2,675 | 1,385 |
Construction & Development | Construction & Development, Other | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 599 | 473 |
Collectively Evaluated for Impairment, Total Loans | 16,734 | 20,052 |
Construction & Development | Farmland | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 5 | 3 |
Collectively Evaluated for Impairment, Total Loans | 270 | 279 |
Residential | 1-4 Family Residential | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 942 | 1,010 |
Collectively Evaluated for Impairment, Total Loans | 78,868 | 71,910 |
Residential | Equity Lines | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 328 | 332 |
Collectively Evaluated for Impairment, Total Loans | 28,124 | 28,122 |
Consumer - Non Real Estate | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 47 | 44 |
Collectively Evaluated for Impairment, Total Loans | 3,029 | 2,478 |
Unallocated | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
Collectively Evaluated for Impairment, Allowance | 224 | 1,505 |
Collectively Evaluated for Impairment, Total Loans | $1,094 | $944 |
Summary_of_Outstanding_Financi
Summary of Outstanding Financial Instruments Whose Contract Amounts Represent Credit Risk (Detail) (Commitments, USD $) | Sep. 30, 2014 |
In Thousands, unless otherwise specified | |
Loss Contingencies [Line Items] | ' |
Commitments | $31,305 |
Unfunded loan commitments | ' |
Loss Contingencies [Line Items] | ' |
Commitments | 31,096 |
Financial standby letters of credit | ' |
Loss Contingencies [Line Items] | ' |
Commitments | $209 |
Fair_Value_Additional_Informat
Fair Value - Additional Information (Detail) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2014 | Dec. 31, 2013 | |
Impaired Loans | Minimum | ' | ' |
Fair Value of Financial Instruments [Line Items] | ' | ' |
Discount rate | 0.00% | 0.00% |
Impaired Loans | Maximum | ' | ' |
Fair Value of Financial Instruments [Line Items] | ' | ' |
Discount rate | 20.00% | 20.00% |
Other real estate owned | Minimum | ' | ' |
Fair Value of Financial Instruments [Line Items] | ' | ' |
Discount rate | 0.00% | 0.00% |
Other real estate owned | Maximum | ' | ' |
Fair Value of Financial Instruments [Line Items] | ' | ' |
Discount rate | 20.00% | 20.00% |
Assets_Measured_on_Recurring_a
Assets Measured on Recurring and Non-recurring Basis (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total | $76,538 | $130,131 |
U.S. Government agency securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a recurring basis | 4,935 | 40,930 |
State and municipal bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a recurring basis | 6,066 | 10,181 |
Mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a recurring basis | 29,996 | 38,204 |
Impaired Loans | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a non-recurring basis | 34,321 | 39,583 |
Other real estate owned | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a non-recurring basis | 1,220 | 1,233 |
Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total | 40,997 | 89,315 |
Level 2 | U.S. Government agency securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a recurring basis | 4,935 | 40,930 |
Level 2 | State and municipal bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a recurring basis | 6,066 | 10,181 |
Level 2 | Mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a recurring basis | 29,996 | 38,204 |
Level 3 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Total | 35,541 | 40,816 |
Level 3 | Impaired Loans | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a non-recurring basis | 34,321 | 39,583 |
Level 3 | Other real estate owned | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets valued on a non-recurring basis | $1,220 | $1,233 |
Outstanding_Borrowings_and_Ann
Outstanding Borrowings and Annual Rate of Interest (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Outstanding Balance | $394 | $53,243 |
Annual Interest Rate | 0.15% | 4.21% |
Securities sold under overnight repurchase agreements | ' | ' |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Outstanding Balance | 394 | 388 |
Annual Interest Rate | 0.15% | 0.14% |
Securities sold under term repurchase agreements | ' | ' |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Outstanding Balance | ' | 45,000 |
Annual Interest Rate | ' | 4.38% |
Trust preferred securities | ' | ' |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Outstanding Balance | ' | 5,155 |
Annual Interest Rate | ' | 3.19% |
Subordinated debt | ' | ' |
Assets Sold under Agreements to Repurchase [Line Items] | ' | ' |
Outstanding Balance | $2,700 | $2,700 |
Annual Interest Rate | ' | 4.00% |
Borrowed_Funds_Additional_Info
Borrowed Funds - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | 9 Months Ended | 0 Months Ended | |||||||||
Sep. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | Jul. 16, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Jul. 16, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | ||
Bank of Carolinas Trust I | Securities sold under term repurchase agreements | Securities sold under term repurchase agreements | Junior Subordinated Debt | Trust preferred securities | Trust preferred securities | Trust preferred securities | Subordinated debt | Subordinated debt | Subordinated debt | |||||
Bank of Carolinas Trust I | ||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Securities sold under agreements to repurchase | $394,000 | $394,000 | $45,388,000 | [1] | ' | $45,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of marketable investment securities used to secure borrowings | ' | ' | ' | ' | 109.50% | ' | ' | ' | ' | ' | ' | ' | ' | |
Prepayment expense | 4,353,000 | 4,353,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Immediately available credit | 6,700,000 | 6,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Advances from the FHLB | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Borrowings in the form of securities sold | 394,000 | 394,000 | 53,243,000 | ' | ' | 45,000,000 | 5,200,000 | ' | 5,155,000 | ' | ' | 2,700,000 | 2,700,000 | |
Issued trust preferred securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,000,000 | ' | ' | ' | |
Preferred securities, liquidation amount | ' | ' | ' | ' | ' | ' | ' | 155,000 | ' | ' | ' | ' | ' | |
Payment for repurchase of private placement | ' | ' | ' | $1,750,000 | ' | ' | ' | ' | ' | ' | $1,350,000 | ' | ' | |
[1] | Derived from audited consolidated financial statements. |
Stockholders_Equity_Additional
Stockholders' Equity - Additional Information (Detail) (USD $) | 0 Months Ended | 9 Months Ended | ||
Jul. 16, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | |
Preferred stock authorized | ' | 3,000,000 | 3,000,000 | [1] |
Preferred shares issued | ' | 13,179 | 13,179 | [1] |
Preferred shares outstanding | ' | 13,179 | 13,179 | [1] |
Preferred shares, liquidation preference | ' | $1,000 | $1,000 | |
Proceeds from issuance of private placement | $45,800,000 | ' | ' | |
Proceeds from issuance of private placement invested in banking subsidiary | 34,800,000 | ' | ' | |
Repurchase of preferred stock | ' | 3,295,000 | ' | |
Common stock authorized | ' | 580,000,000 | 15,000,000 | [1] |
Common stock par value | ' | $0 | $5 | [1] |
Common shares issued | ' | 462,028,831 | 3,895,840 | [1] |
Common shares outstanding | ' | 462,028,831 | 3,895,840 | [1] |
Private placement | ' | ' | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | |
Number of shares repurchased | 13,179 | ' | ' | |
US Treasury Securities | ' | ' | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | |
Repurchase of preferred stock | $3,300,000 | ' | ' | |
Company issued the U.S. Treasury a warrant to purchase common shares | ' | 475,204 | ' | |
Common stock par value | ' | 4.16 | ' | |
Warrant, expiration date | ' | 17-Apr-19 | ' | |
[1] | Derived from audited consolidated financial statements. |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Income Tax [Line Items] | ' | ' |
Valuation allowance established against deferred tax asset | $15.80 | $17.70 |
Unrealized losses in bond portfolio | ($0.30) | ($5.40) |