Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Dec. 31, 2013 | Feb. 04, 2014 | |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 31-Dec-13 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Trading Symbol | 'HBNK | ' |
Entity Registrant Name | 'HAMPDEN BANCORP, INC. | ' |
Entity Central Index Key | '0001375320 | ' |
Current Fiscal Year End Date | '--06-30 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 5,650,312 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Assets | ' | ' |
Cash and due from banks | $10,728 | $13,737 |
Federal funds sold and other short-term investments | 4,214 | 11,881 |
Cash and cash equivalents | 14,942 | 25,618 |
Securities available for sale, at fair value | 142,507 | 138,730 |
Federal Home Loan Bank of Boston stock, at cost | 6,761 | 5,092 |
Loans held for sale | 653 | 1,274 |
Loans, net of allowance for loan losses of $5,492 at December 31, 2013 and $5,414 at June 30, 2013 | 496,805 | 450,347 |
Other real estate owned | 1,274 | 1,221 |
Premises and equipment, net | 4,838 | 5,010 |
Accrued interest receivable | 1,645 | 1,636 |
Deferred tax asset, net | 5,089 | 4,584 |
Bank-owned life insurance | 17,216 | 16,956 |
Other assets | 2,608 | 2,494 |
Total assets | 694,338 | 652,962 |
Liabilities and Stockholders' Equity | ' | ' |
Deposits | 477,139 | 474,798 |
Short-term borrowings | 22,000 | 4,500 |
Long-term debt | 104,374 | 82,492 |
Mortgagors' escrow accounts | 1,142 | 1,100 |
Accrued expenses and other liabilities | 5,069 | 6,413 |
Total liabilities | 609,724 | 569,303 |
Commitments and contingencies | ' | ' |
Preferred stock ($.01 par value, 5,000,000 shares authorized, none issued or outstanding) | ' | ' |
Common stock ($.01 par value, 25,000,000 shares authorized; 8,020,607 issued at December 31, 2013 and 7,982,976 issued at June 30, 2013; 5,648,848 outstanding at December 31, 2013 and 5,629,099 outstanding at June 30, 2013) | 80 | 80 |
Additional paid-in capital | 80,241 | 79,926 |
Unearned compensation - ESOP (339,197 shares unallocated at December 31, 2013 and 360,397 shares unallocated at June 30, 2013) | -3,392 | -3,604 |
Unearned compensation - equity incentive plan | -12 | -16 |
Retained earnings | 36,046 | 34,450 |
Accumulated other comprehensive income (loss) | -552 | 346 |
Treasury stock, at cost (2,371,759 shares at December 31, 2013 and 2,353,877 shares at June 30, 2013) | -27,797 | -27,523 |
Total stockholders' equity | 84,614 | 83,659 |
Total liabilities and stockholders' equity | $694,338 | $652,962 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Loans, allowance for loan losses | $5,492 | $5,414 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 25,000,000 | 25,000,000 |
Common stock, issued | 8,020,607 | 7,982,976 |
Common stock, outstanding | 5,648,848 | 5,629,099 |
Unearned compensation - ESOP, shares unallocated | 339,197 | 360,397 |
Treasury stock, shares | 2,371,759 | 2,353,877 |
CONSOLIDATED_STATEMENTS_OF_NET
CONSOLIDATED STATEMENTS OF NET INCOME (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Interest and dividend income: | ' | ' | ' | ' |
Loans, including fees | $5,728 | $5,400 | $11,237 | $10,856 |
Debt securities | 685 | 704 | 1,308 | 1,446 |
Dividends | 6 | 7 | 10 | 14 |
Federal funds sold and other short-term investments | 9 | 10 | 22 | 14 |
Total interest and dividend income | 6,428 | 6,121 | 12,577 | 12,330 |
Interest expense: | ' | ' | ' | ' |
Deposits | 745 | 947 | 1,547 | 1,904 |
Borrowings | 586 | 467 | 1,045 | 918 |
Total interest expense | 1,331 | 1,414 | 2,592 | 2,822 |
Net interest income | 5,097 | 4,707 | 9,985 | 9,508 |
Provision for loan losses | 150 | 175 | 250 | 225 |
Net interest income, after provision for loan losses | 4,947 | 4,532 | 9,735 | 9,283 |
Non-interest income: | ' | ' | ' | ' |
Customer service fees | 560 | 504 | 1,130 | 1,020 |
Gain on sales of loans, net | 100 | 321 | 185 | 516 |
Increase in cash surrender value of bank-owned life insurance | 129 | 137 | 260 | 272 |
Other | 122 | 110 | 439 | 230 |
Total non-interest income | 911 | 1,072 | 2,014 | 2,038 |
Non-interest expense: | ' | ' | ' | ' |
Salaries and employee benefits | 2,278 | 2,539 | 4,499 | 5,019 |
Occupancy and equipment | 467 | 461 | 930 | 910 |
Data processing services | 212 | 265 | 414 | 505 |
Advertising | 112 | 125 | 256 | 273 |
Net loss (gain) on other real estate owned | 15 | ' | 19 | -12 |
FDIC insurance assessment | 99 | 88 | 196 | 168 |
Other general and administrative | 1,077 | 902 | 1,951 | 1,981 |
Total non-interest expense | 4,260 | 4,380 | 8,265 | 8,844 |
Income before income taxes | 1,598 | 1,224 | 3,484 | 2,477 |
Income tax provision | 577 | 453 | 1,256 | 945 |
Net income | $1,021 | $771 | $2,228 | $1,532 |
Earnings per share | ' | ' | ' | ' |
Basic (dollars per share) | $0.19 | $0.14 | $0.42 | $0.28 |
Diluted (dollars per share) | $0.19 | $0.14 | $0.41 | $0.28 |
Weighted average shares outstanding | ' | ' | ' | ' |
Basic (in shares) | 5,300,289 | 5,401,349 | 5,287,594 | 5,448,576 |
Diluted (in shares) | 5,443,078 | 5,527,472 | 5,422,530 | 5,556,209 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Net income | $1,021 | $771 | $2,228 | $1,532 |
Other comprehensive loss: | ' | ' | ' | ' |
Unrealized holding losses on available-for-sale securities | -411 | -743 | -1,404 | -80 |
Tax effect | -148 | -260 | -506 | -3 |
Other comprehensive loss, net-of-tax | -263 | -483 | -898 | -77 |
Comprehensive income | $758 | $288 | $1,330 | $1,455 |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (USD $) | Total | Common Stock | Additional Paid-in Capital | Unearned Compensation - ESOP | Unearned Compensation - Equity Incentive Plan | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock |
In Thousands, except Share data | ||||||||
Balance at Jun. 30, 2012 | $87,160 | $80 | $78,995 | ($4,028) | ($225) | $32,473 | $2,117 | ($22,252) |
Balance (in shares) at Jun. 30, 2012 | ' | 5,968,395 | ' | ' | ' | ' | ' | ' |
Comprehensive income | 1,455 | ' | ' | ' | ' | 1,532 | -77 | ' |
Issuance of common stock for exercise of stock options | 326 | ' | 326 | ' | ' | ' | ' | ' |
Issuance of common stock for exercise of stock options (in shares) | ' | 29,917 | ' | ' | ' | ' | ' | ' |
Cash dividends paid | -456 | ' | ' | ' | ' | -456 | ' | ' |
Common stock repurchased | -2,650 | ' | ' | ' | ' | ' | ' | -2,650 |
Common stock repurchased (in shares) | ' | -199,419 | ' | ' | ' | ' | ' | ' |
Stock-based compensation | 394 | ' | 189 | ' | 205 | ' | ' | ' |
ESOP shares allocated or committed to be allocated | 267 | ' | 55 | 212 | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | 86,496 | 80 | 79,565 | -3,816 | -20 | 33,549 | 2,040 | -24,902 |
Balance (in shares) at Dec. 31, 2012 | ' | 5,798,893 | ' | ' | ' | ' | ' | ' |
Balance at Jun. 30, 2013 | 83,659 | 80 | 79,926 | -3,604 | -16 | 34,450 | 346 | -27,523 |
Balance (in shares) at Jun. 30, 2013 | ' | 5,629,099 | ' | ' | ' | ' | ' | ' |
Comprehensive income | 1,330 | ' | ' | ' | ' | 2,228 | -898 | ' |
Issuance of common stock for exercise of stock options | 163 | ' | 163 | ' | ' | ' | ' | ' |
Issuance of common stock for exercise of stock options (in shares) | ' | 37,631 | ' | ' | ' | ' | ' | ' |
Cash dividends paid | -632 | ' | ' | ' | ' | -632 | ' | ' |
Common stock repurchased | -274 | ' | ' | ' | ' | ' | ' | -274 |
Common stock repurchased (in shares) | ' | -17,882 | ' | ' | ' | ' | ' | ' |
Stock-based compensation | 22 | ' | 18 | ' | 4 | ' | ' | ' |
Tax benefit from equity incentive plan vesting | 1 | ' | 1 | ' | ' | ' | ' | ' |
ESOP shares allocated or committed to be allocated | 345 | ' | 133 | 212 | ' | ' | ' | ' |
Balance at Dec. 31, 2013 | $84,614 | $80 | $80,241 | ($3,392) | ($12) | $36,046 | ($552) | ($27,797) |
Balance (in shares) at Dec. 31, 2013 | ' | 5,648,848 | ' | ' | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CHA1
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) (USD $) | 6 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Cash dividends paid, per share | $0.12 | $0.08 |
ESOP shares allocated or committed to be allocated, shares | 21,200 | 21,200 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows from operating activities: | ' | ' |
Net income | $2,228 | $1,532 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Provision for loan losses | 250 | 225 |
Changes in fair value of mortgage servicing rights | -68 | 102 |
Net amortization of securities | 221 | 388 |
Depreciation and amortization | 353 | 360 |
Loans originated for sale | -11,108 | -16,538 |
Proceeds from loan sales | 11,914 | 15,001 |
Gain on sales of loans, net | -185 | -516 |
Realized loss (gain) on sale of other real estate owned | 19 | -12 |
Increase in cash surrender value of bank-owned life insurance | -260 | -272 |
Deferred tax benefit | 1 | 36 |
ESOP expense | 345 | 267 |
Stock-based compensation | 22 | 394 |
Tax benefit from equity incentive plan vesting | -1 | ' |
Net change in: | ' | ' |
Accrued interest receivable | -9 | 9 |
Other assets | -46 | 155 |
Accrued expenses and other liabilities | -1,343 | -291 |
Net cash provided by operating activities | 2,333 | 840 |
Cash flows from investing activities: | ' | ' |
Maturities and calls of available-for-sale securities | 800 | ' |
Principal payments of available-for-sale securities | 16,612 | 21,199 |
Purchases of available-for-sale securities | -22,814 | -27,800 |
Purchase of loans | -2,640 | -4,211 |
Loan originations, net of principal payments | -44,529 | -17,158 |
Purchase of Federal Home Loan Bank stock | -1,669 | -194 |
Proceeds from sale of other real estate owned | 389 | 498 |
Purchase of bank-owned life insurance | ' | -221 |
Purchase of premises and equipment | -181 | -449 |
Net cash used in investing activities | -54,032 | -28,336 |
Cash flows from financing activities: | ' | ' |
Net change in deposits | 2,341 | 24,308 |
Net change in repurchase agreements | ' | -2,895 |
Net change in short-term borrowings | 17,500 | 4,500 |
Proceeds from issuance of long-term debt | 38,131 | 12,130 |
Repayment of long-term debt | -16,249 | -5,462 |
Net change in mortgagors' escrow accounts | 42 | 51 |
Tax benefit from equity incentive plan vesting | 1 | ' |
Issuance of common stock for exercise of stock options | 163 | 326 |
Repurchase of common stock | -274 | -2,650 |
Payment of dividends on common stock | -632 | -456 |
Net cash provided by financing activities | 41,023 | 29,852 |
Net change in cash and cash equivalents | -10,676 | 2,356 |
Cash and cash equivalents at beginning of period | 25,618 | 27,923 |
Cash and cash equivalents at end of period | 14,942 | 30,279 |
Supplemental cash flow information: | ' | ' |
Interest paid on deposits | 1,547 | 1,904 |
Interest paid on borrowings | 1,053 | 912 |
Income taxes paid | 1,220 | 650 |
Transfers from loans to other real estate owned | $461 | $215 |
Basis_of_presentation_and_cons
Basis of presentation and consolidation | 6 Months Ended |
Dec. 31, 2013 | |
Basis of presentation and consolidation | ' |
1. Basis of presentation and consolidation | |
The consolidated financial statements include the accounts of Hampden Bancorp, Inc. (the “Company”) and its wholly-owned subsidiaries, Hampden Bank (the “Bank”) and Hampden LS, Inc. Hampden Bank is a Massachusetts chartered stock savings bank. The Company contributed funds to Hampden LS, Inc. to enable it to make a 15-year loan to the employee stock ownership plan (the “ESOP”) to allow it to purchase shares of the Company’s common stock as part of the completion of the Company’s initial public offering. Hampden Bank has three wholly-owned subsidiaries, Hampden Investment Corporation and Hampden Investment Corporation II, which engage in buying, selling, holding and otherwise dealing in securities, and Hampden Insurance Agency, which ceased selling insurance products in November of 2000 and remains inactive. All significant intercompany accounts and transactions have been eliminated in consolidation. | |
These financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial statements and the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management the information reflects all adjustments (consisting solely of normal recurring adjustments) that are necessary for a fair presentation. The results shown for the interim period ended December 31, 2013 are not necessarily indicative of the results to be obtained for a full year. These consolidated interim financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended June 30, 2013 included in the Company’s most recent Annual Report on Form 10-K filed by the Company with the Securities and Exchange Commission (“SEC”) on September 17, 2013. | |
In preparing the consolidated interim financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities, as of the date of the statement of financial condition and reported amounts of revenues and expenses for the periods presented. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses and deferred income taxes. |
Recent_Accounting_Pronouncemen
Recent Accounting Pronouncements | 6 Months Ended |
Dec. 31, 2013 | |
Recent Accounting Pronouncements | ' |
2. Recent Accounting Pronouncements | |
During the quarter ended September 30, 2013, the Company adopted the Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) Comprehensive Income (Topic 220), Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income, related to disclosure of amounts reclassified out of accumulated other comprehensive income. The standard requires that companies present either in a single note or parenthetically on the face of the financial statements, the effect of significant amounts reclassified from each component of accumulated other comprehensive income based on its source and the income statement line items affected by the reclassification. Adoption of this standard did not have a material impact on the Company’s consolidated financial statements. | |
In January 2014, the FASB issued ASU No. 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40) – Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. This standard is intended to clarify when a creditor should be considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan such that the loan should be derecognized and the real estate recognized. Additional disclosures are required. This standard is effective for annual periods and interim periods within those annual periods beginning after December 15, 2014 and is not expected to have a material impact on the Company’s consolidated financial statements. |
Earnings_Per_Share
Earnings Per Share | 6 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Earnings Per Share | ' | ||||||||||||||||
3. Earnings Per Share | |||||||||||||||||
Basic earnings per share (“EPS”) excludes dilution and is calculated by dividing net income available to common stockholders by the weighted-average number of shares of common stock outstanding during the period. Diluted EPS is computed in a manner similar to that of basic EPS except that the weighted-average number of common shares outstanding is increased to include the number of incremental common shares (computed using the treasury stock method) that would have been outstanding if all potentially dilutive common stock equivalents (such as stock options and unvested restricted stock) were issued during the period. Unallocated common shares held by the ESOP are shown as a reduction in stockholders' equity and are included in the weighted-average number of common shares outstanding for both basic and diluted EPS calculations as they are committed to be released. | |||||||||||||||||
Earnings per share for the three and six month periods ended December 31, 2013 and 2012 have been computed as follows: | |||||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Net income applicable to common stock (in thousands) | $ | 1,021 | $ | 771 | $ | 2,228 | $ | 1,532 | |||||||||
Average number of shares issued | 8,020,607 | 7,964,496 | 8,012,352 | 7,958,022 | |||||||||||||
Less: average unallocated ESOP shares | (346,159 | ) | (388,555 | ) | (351,477 | ) | (393,873 | ) | |||||||||
Less: average treasury stock | (2,371,759 | ) | (2,124,496 | ) | (2,370,760 | ) | (2,066,080 | ) | |||||||||
Less: average unvested restricted stock awards | (2,400 | ) | (50,096 | ) | (2,521 | ) | (49,493 | ) | |||||||||
Average number of basic shares outstanding | 5,300,289 | 5,401,349 | 5,287,594 | 5,448,576 | |||||||||||||
Plus: dilutive unvested restricted stock awards | 1,380 | 38,504 | 1,427 | 33,910 | |||||||||||||
Plus: dilutive stock option shares | 141,409 | 87,619 | 133,509 | 73,723 | |||||||||||||
Average number of diluted shares outstanding | 5,443,078 | 5,527,472 | 5,422,530 | 5,556,209 | |||||||||||||
Basic earnings per share | $ | 0.19 | $ | 0.14 | $ | 0.42 | $ | 0.28 | |||||||||
Diluted earnings per share | $ | 0.19 | $ | 0.14 | $ | 0.41 | $ | 0.28 |
Dividends
Dividends | 6 Months Ended |
Dec. 31, 2013 | |
Dividends | ' |
4. Dividends | |
On November 5, 2013, the Company declared a cash dividend of $0.06 per common share which was paid on November 29, 2013 to stockholders of record as of the close of business on November 15, 2013. | |
On February 4, 2014, the Company declared a cash dividend of $0.06 per common share which is payable on February 28, 2014 to stockholders of record as of the close of business on February 14, 2014. |
Loan_Commitments
Loan Commitments | 6 Months Ended |
Dec. 31, 2013 | |
Loan Commitments | ' |
5. Loan Commitments | |
Outstanding loan commitments totaled $131.1 million at December 31, 2013 and $155.6 million at June 30, 2013. Loan commitments primarily consist of commitments to originate new loans as well as the outstanding unused portions of home equity, business and other lines of credit, and unused portions of construction loans. |
Fair_Value_of_Assets_and_Liabi
Fair Value of Assets and Liabilities | 6 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Fair Value of Assets and Liabilities | ' | ||||||||||||||||||||
6. Fair Value of Assets and Liabilities | |||||||||||||||||||||
GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. GAAP establishes a fair value hierarchy that prioritizes the use of inputs used in valuation methodologies into the following three levels: | |||||||||||||||||||||
Level 1: | Inputs to the valuation methodology are quoted prices, unadjusted, for identical assets or liabilities in active markets. A quoted price in an active market provides the most reliable evidence of fair value and shall be used to measure fair value whenever available. | ||||||||||||||||||||
Level 2: | Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets; and quoted prices for identical or similar assets or liabilities in markets that are not active; or inputs to the valuation methodology are derived principally from or can be corroborated by observable market data by correlation or other means. | ||||||||||||||||||||
Level 3: | Inputs to the valuation methodology are unobservable and significant to the fair value measurement. Level 3 assets and liabilities include financial instruments whose value is determined using discounted cash flow methodologies, as well as instruments for which the determination of fair value requires significant management judgment or estimation. | ||||||||||||||||||||
Where assets or liabilities are measured at fair value, transfers between levels are recognized at the end of the reporting period, if applicable. | |||||||||||||||||||||
The following methods and assumptions were used by the Company in estimating fair value measurements and disclosures for financial instruments: | |||||||||||||||||||||
Cash and cash equivalents: The carrying amounts of cash and federal funds sold and other short-term investments approximate fair values. | |||||||||||||||||||||
Securities available for sale: The fair values used by the Company are obtained from an independent pricing service, which represents either quoted market prices for identical securities, quoted market prices for comparable securities or fair values determined by pricing models that consider observable market data, such as interest rate volatilities, credit spreads and prices from market makers and live trading systems and other market indicators, industry and economic events. These values are not adjusted by the Company. | |||||||||||||||||||||
Federal Home Loan Bank of Boston stock: The carrying amount of Federal Home Loan Bank (“FHLB”) stock approximates fair value based upon the redemption provisions of the FHLB of Boston. | |||||||||||||||||||||
Loans held for sale: Fair value of loans held for sale is estimated based on commitments on hand from investors or prevailing market prices. | |||||||||||||||||||||
Loans: Fair values for loans are estimated using discounted cash flow analyses, using market interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. This analysis assumes no prepayment. Fair values for non-performing loans are estimated using discounted cash flow analyses or underlying collateral values, where applicable. | |||||||||||||||||||||
Mortgage servicing rights: Mortgage servicing rights (“MSR”) are the rights of a mortgage servicer to collect mortgage payments and forward them, after deducting a fee, to the mortgage holder. The fair value of servicing rights is estimated using a discounted cash flow model. Discount rates, estimate of servicing costs and ancillary income, estimates of float earnings rates and delinquency information as well as an estimate of prepayments are used to calculate the value of the mortgage servicing asset. The fair value of MSR is highly sensitive to changes in assumptions. Changes in prepayment speed assumptions generally have the most significant impact on the fair value of MSR. Generally, as interest rates decline, mortgage loan prepayments accelerate due to increased refinance activity, which results in a decrease in the fair value of MSR. As interest rates rise, mortgage loan prepayments slowdown, which results in an increase in the fair value of MSR. Thus, any measurement of the fair value of MSR is limited by the conditions existing and the assumptions utilized as of a particular point in time, and those assumptions may not be appropriate if they are applied at a different point in time. | |||||||||||||||||||||
Deposits and mortgagors’ escrow accounts: The fair values for non-certificate accounts and mortgagors’ escrow accounts are, by definition, equal to the amounts payable on demand at the reporting date (i.e., their carrying amounts). Fair values for certificate accounts are estimated using a discounted cash flow calculation that applies market interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities of time deposits. | |||||||||||||||||||||
Short-term borrowings: For short-term borrowings maturing within ninety days, carrying values approximate fair values. Fair values of other short-term borrowings are estimated using discounted cash flow analyses based on the current incremental borrowing rates in the market for similar types of borrowing arrangements. | |||||||||||||||||||||
Long-term debt: The fair values of the Company's advances are estimated using discounted cash flow analyses based on the Company's current incremental borrowing rates for similar types of borrowing arrangements. | |||||||||||||||||||||
Accrued interest: The carrying amounts of accrued interest approximate fair value. | |||||||||||||||||||||
Off-balance-sheet instruments: Fair values for off-balance-sheet lending commitments are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties' credit standing. The estimated fair value of off-balance sheet financial instruments at December 31, 2013 and June 30, 2013 was not material. | |||||||||||||||||||||
The Company does not measure any liabilities at fair value on either a recurring or non-recurring basis. | |||||||||||||||||||||
The following tables present the balance of assets measured at fair value on a recurring basis as of December 31, 2013 and June 30, 2013: | |||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||
31-Dec-13 | (In Thousands) | ||||||||||||||||||||
Debt securities: | |||||||||||||||||||||
Municipal bonds | $ | - | $ | 8,375 | $ | - | $ | 8,375 | |||||||||||||
Corporate bonds | - | 3,102 | - | 3,102 | |||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||
Government-sponsored enterprise | - | 129,061 | - | 129,061 | |||||||||||||||||
Non-government-sponsored enterprise | - | 1,897 | - | 1,897 | |||||||||||||||||
Total debt securities | - | 142,435 | - | 142,435 | |||||||||||||||||
Marketable equity securities | 72 | - | - | 72 | |||||||||||||||||
Mortgage servicing rights | - | - | 783 | 783 | |||||||||||||||||
Total assets measured at fair value on a recurring basis | $ | 72 | $ | 142,435 | $ | 783 | $ | 143,290 | |||||||||||||
30-Jun-13 | |||||||||||||||||||||
Debt securities: | |||||||||||||||||||||
Municipal bonds | $ | - | $ | 395 | $ | - | $ | 395 | |||||||||||||
Corporate bonds | - | 3,076 | - | 3,076 | |||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||
Government-sponsored enterprise | - | 132,988 | - | 132,988 | |||||||||||||||||
Non-government-sponsored enterprise | - | 2,203 | - | 2,203 | |||||||||||||||||
Total debt securities | - | 138,662 | - | 138,662 | |||||||||||||||||
Marketable equity securities | 68 | - | - | 68 | |||||||||||||||||
Mortgage servicing rights | - | - | 654 | 654 | |||||||||||||||||
Total assets measured at fair value on a recurring basis | $ | 68 | $ | 138,662 | $ | 654 | $ | 139,384 | |||||||||||||
The table below presents, for the three and six months ended December 31, 2013 and 2012, the changes in Level 3 assets that are measured at fair value on a recurring basis: | |||||||||||||||||||||
Mortgage Servicing Rights | |||||||||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Beginning balance | $ | 830 | $ | 440 | $ | 654 | $ | 445 | |||||||||||||
Total realized and unrealized gains | (76 | ) | (59 | ) | 68 | (102 | ) | ||||||||||||||
(losses) included in net income | |||||||||||||||||||||
Capitalized servicing assets | 29 | 63 | 61 | 101 | |||||||||||||||||
Transfers in and/or out of Level 3 | - | - | - | - | |||||||||||||||||
Ending balance | $ | 783 | $ | 444 | $ | 783 | $ | 444 | |||||||||||||
Also, the Company may be required, from time to time, to measure certain other assets at fair value on a non-recurring basis in accordance with GAAP. These adjustments to fair value usually result from the application of lower-of-cost-or-market accounting or write-downs, charge-offs, and specific loss allocations of individual assets. The following table summarizes the fair value hierarchy used to determine each adjustment and the carrying value of the related individual assets measured at fair value on a non-recurring basis as of December 31, 2013 and June 30, 2013. | |||||||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||||||
31-Dec-13 | (In Thousands) | ||||||||||||||||||||
Other real estate owned | $ | - | $ | - | $ | 1,274 | |||||||||||||||
30-Jun-13 | |||||||||||||||||||||
Impaired loans | $ | - | $ | - | $ | 292 | |||||||||||||||
Other real estate owned | - | - | 1,221 | ||||||||||||||||||
Total assets | $ | - | $ | - | $ | 1,513 | |||||||||||||||
During the six months ended December 31, 2013 there were no transfers from levels 1, 2, or 3. | |||||||||||||||||||||
The amount of impaired loans represents the carrying value of loans that include adjustments which are based on the estimated fair value of the underlying collateral. The fair value of collateral used by the Company represents the amount expected to be received from the sale of the property, net of selling costs, as determined by an independent, licensed or certified appraiser using observable market data. This data includes information such as selling price of similar properties, expected future cash flows or earnings of the subject property based on current market expectations, as well as relevant legal, physical and economic factors. The Company had a $204,000 loss on those impaired loans for the three and six months ended December 31, 2012. The Company charges off any collateral shortfall on collaterally dependent impaired loans. Independent appraisals or tax assessments are obtained and updated as required for commercial real estate and residential real estate loans that are considered impaired and collateral dependent. Losses applicable to certain impaired loans are estimated using the appraised or assessed value adjusted for market related discounts associated with foreclosure auctions, short sales, inventory of like properties, general liquidity in the market place as well as selling and disposal costs. These considerations are applied on a case by case basis. | |||||||||||||||||||||
The Company classifies property acquired through foreclosure or acceptance of a deed in lieu of foreclosure as other real estate owned (“OREO”) in its consolidated financial statements. When property is placed into OREO, it is recorded at the fair value less estimated costs to sell at the date of foreclosure or acceptance of deed in lieu of foreclosure. At the time of transfer to OREO, any excess of carrying value over fair value is charged to the allowance for loan losses. Management, or its designee, inspects all OREO property periodically. Holding costs and declines in fair value result in charges to expense after the property is acquired. The Company had a $15,000 loss on OREO for the three months ended December 31, 2013 and a $19,000 loss for the six months ended December 31, 2013. The Company had a $12,000 gain on OREO for the six months ended December 31, 2012. At December 31, 2013 and 2012, the amount of other real estate owned represents the carrying value and related charge-offs for which adjustments are based on current appraised value of the collateral or, where current appraised value is not obtained, management’s discounted estimate of the fair value of the collateral. | |||||||||||||||||||||
The fair value of a financial instrument is the current amount that would be exchanged between willing parties, other than in a forced liquidation. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company's various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. Certain financial instruments and all non-financial instruments are exempt from disclosure requirements. Accordingly, the aggregate fair value amounts presented herein may not necessarily represent the underlying fair value of the Company. | |||||||||||||||||||||
The estimated fair values, and related carrying amounts, of the Company’s financial instruments are as follows: | |||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||
Carrying | Fair Value | ||||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Financial assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 14,942 | $ | 14,942 | $ | - | $ | - | $ | 14,942 | |||||||||||
Securities available for sale | 142,507 | 72 | 142,435 | - | 142,507 | ||||||||||||||||
Federal Home Loan Bank stock | 6,761 | - | - | 6,761 | 6,761 | ||||||||||||||||
Loans held for sale | 653 | - | - | 653 | 653 | ||||||||||||||||
Loans, net | 496,805 | - | - | 504,831 | 504,831 | ||||||||||||||||
Accrued interest receivable | 1,645 | - | - | 1,645 | 1,645 | ||||||||||||||||
Mortgage servicing rights (1) | 783 | - | - | 783 | 783 | ||||||||||||||||
Financial liabilities: | |||||||||||||||||||||
Deposits | 477,139 | - | - | 478,820 | 478,820 | ||||||||||||||||
Short-term borrowings | 22,000 | - | 22,000 | - | 22,000 | ||||||||||||||||
Long-term debt | 104,374 | - | 103,734 | - | 103,734 | ||||||||||||||||
Mortgagors' escrow accounts | 1,142 | - | - | 1,142 | 1,142 | ||||||||||||||||
30-Jun-13 | |||||||||||||||||||||
Carrying | Fair Value | ||||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Financial assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 25,618 | $ | 25,618 | $ | - | $ | - | $ | 25,618 | |||||||||||
Securities available for sale | 138,730 | 68 | 138,662 | - | 138,730 | ||||||||||||||||
Federal Home Loan Bank stock | 5,092 | - | - | 5,092 | 5,092 | ||||||||||||||||
Loans held for sale | 1,274 | - | - | 1,274 | 1,274 | ||||||||||||||||
Loans, net | 450,347 | - | - | 459,018 | 459,018 | ||||||||||||||||
Accrued interest receivable | 1,636 | - | - | 1,636 | 1,636 | ||||||||||||||||
Mortgage servicing rights (1) | 654 | - | - | 654 | 654 | ||||||||||||||||
Financial liabilities: | |||||||||||||||||||||
Deposits | 474,798 | - | - | 477,059 | 477,059 | ||||||||||||||||
Short-term borrowings | 4,500 | - | 4,500 | - | 4,500 | ||||||||||||||||
Long-term debt | 82,492 | - | 82,527 | - | 82,527 | ||||||||||||||||
Mortgagors' escrow accounts | 1,100 | - | - | 1,010 | 1,010 | ||||||||||||||||
(1) Included in other assets. |
Securities_Available_For_Sale
Securities Available For Sale | 6 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Securities Available For Sale | ' | ||||||||||||||||||||||||
7. Securities Available For Sale | |||||||||||||||||||||||||
The amortized cost and fair value of securities available for sale, with gross unrealized gains and losses, are as follows: | |||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Fair Value | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||
Debt securities: | |||||||||||||||||||||||||
Municipal bonds | $ | 8,375 | $ | - | $ | - | $ | 8,375 | |||||||||||||||||
Corporate bonds | 3,031 | 71 | - | 3,102 | |||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | 130,017 | 1,650 | (2,606 | ) | 129,061 | ||||||||||||||||||||
Non-government-sponsored enterprise | 1,895 | 9 | (7 | ) | 1,897 | ||||||||||||||||||||
Total debt securities | 143,319 | 1,729 | (2,613 | ) | 142,435 | ||||||||||||||||||||
Marketable equity securities | 51 | 21 | - | 72 | |||||||||||||||||||||
Total securities available for sale | $ | 143,370 | $ | 1,750 | $ | (2,613 | ) | $ | 142,507 | ||||||||||||||||
30-Jun-13 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Fair Value | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||
Debt securities: | |||||||||||||||||||||||||
Municipal bonds | $ | 395 | $ | - | $ | - | $ | 395 | |||||||||||||||||
Corporate bonds | 3,036 | 40 | - | 3,076 | |||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | 132,498 | 1,916 | (1,426 | ) | 132,988 | ||||||||||||||||||||
Non-government-sponsored enterprise | 2,209 | 10 | (16 | ) | 2,203 | ||||||||||||||||||||
Total debt securities | 138,138 | 1,966 | (1,442 | ) | 138,662 | ||||||||||||||||||||
Marketable equity securities | 51 | 17 | - | 68 | |||||||||||||||||||||
Total securities available for sale | $ | 138,189 | $ | 1,983 | $ | (1,442 | ) | $ | 138,730 | ||||||||||||||||
The amortized cost and estimated fair value of debt securities by contractual maturity at December 31, 2013 is set forth below. Expected maturities will differ from contractual maturities because the issuer may have the right to call or prepay obligations with or without call or prepayment penalties. | |||||||||||||||||||||||||
Fair Value | |||||||||||||||||||||||||
Amortized Cost | |||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||
Within 1 year | $ | 7,422 | $ | 7,401 | |||||||||||||||||||||
Over 1 year through 5 years | 3,984 | 4,076 | |||||||||||||||||||||||
Total bonds and obligations | 11,406 | 11,477 | |||||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | 130,017 | 129,061 | |||||||||||||||||||||||
Non-government-sponsored enterprise | 1,895 | 1,897 | |||||||||||||||||||||||
Total debt securities | $ | 143,319 | $ | 142,435 | |||||||||||||||||||||
Information pertaining to securities with gross unrealized losses at December 31, 2013 and June 30, 2013, aggregated by investment category and length of time that individual securities have been in a continuous loss position, are as follows: | |||||||||||||||||||||||||
Less Than Twelve Months | Over Twelve Months | Total | |||||||||||||||||||||||
Gross | Fair Value | Gross | Fair Value | Gross | Fair Value | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | $ | 2,020 | $ | 57,366 | $ | 586 | $ | 13,730 | $ | 2,606 | $ | 71,096 | |||||||||||||
Non-government-sponsored enterprise | 2 | 739 | 5 | 332 | 7 | 1,071 | |||||||||||||||||||
$ | 2,022 | $ | 58,105 | $ | 591 | $ | 14,062 | $ | 2,613 | $ | 72,167 | ||||||||||||||
June 30, 2013: | |||||||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | 1,337 | 68,456 | 89 | 6,142 | 1,426 | 74,598 | |||||||||||||||||||
Non-government-sponsored enterprise | 5 | 330 | 11 | 1,047 | 16 | 1,377 | |||||||||||||||||||
$ | 1,342 | $ | 68,786 | $ | 100 | $ | 7,189 | $ | 1,442 | $ | 75,975 | ||||||||||||||
Management conducts, at least on a quarterly basis, a review of our investment securities to determine if the value of any security has declined below its cost or amortized cost and whether such decline represents other-than-temporary impairment (“OTTI”). | |||||||||||||||||||||||||
At December 31, 2013, forty-seven debt securities had unrealized losses with aggregate depreciation of 3.5% from the Company's amortized cost basis. In analyzing an issuer's financial condition, management considers whether the securities are issued by the federal government, its agencies or government-sponsored agencies, whether downgrades by bond rating agencies have occurred, and industry analyst's reports. Because the majority of these securities have been issued by government-sponsored agencies and as management has not decided to sell these securities, nor is it likely that the Company will be required to sell these securities, no declines are deemed to be other than temporary. At December 31, 2013, the Company held nine securities issued by private mortgage originators that had unrealized losses. All of these investments are “Senior” Class tranches and have underlying credit enhancements. Management estimates the loss projections for each security by evaluating the industry rating, amount of delinquencies, amount of foreclosure, amount of other real estate owned, average credit scores, average amortized loan to value and credit enhancement. Based on this review, management determines whether credit losses have occurred. Management has determined that no credit losses have occurred as of December 31, 2013. |
Loans
Loans | 6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Loans | ' | ||||||||||||||||||||||||||||||||||||||||||||
8. Loans | |||||||||||||||||||||||||||||||||||||||||||||
The following table sets forth the composition of the Company’s loan portfolio in dollar amounts and as a percentage of the total loan portfolio at the dates indicated. | |||||||||||||||||||||||||||||||||||||||||||||
At December 31, 2013 | At June 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||
Amount | Percent | Amount | Percent | Change | % Change | ||||||||||||||||||||||||||||||||||||||||
(Dollars In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 108,210 | 21.66 | % | $ | 107,617 | 23.75 | % | $ | 593 | 0.55 | % | |||||||||||||||||||||||||||||||||
Commercial | 193,163 | 38.67 | 167,381 | 36.95 | 25,782 | 15.4 | |||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
First lien | 37,036 | 7.41 | 36,093 | 7.97 | 943 | 2.61 | |||||||||||||||||||||||||||||||||||||||
Second lien | 41,768 | 8.36 | 42,328 | 9.34 | (560 | ) | (1.32 | ) | |||||||||||||||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||||||||||||||||||
Residential | 3,809 | 0.76 | 3,736 | 0.82 | 73 | 1.95 | |||||||||||||||||||||||||||||||||||||||
Commercial | 28,740 | 5.75 | 21,237 | 4.69 | 7,503 | 35.33 | |||||||||||||||||||||||||||||||||||||||
Total mortgage loans on real estate | 412,726 | 82.62 | 378,392 | 83.52 | 34,334 | 9.07 | |||||||||||||||||||||||||||||||||||||||
Other loans: | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 53,561 | 10.72 | 43,566 | 9.62 | 9,995 | 22.94 | |||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 22,052 | 4.41 | 21,716 | 4.79 | 336 | 1.55 | |||||||||||||||||||||||||||||||||||||||
Automobile and other secured loans | 8,685 | 1.74 | 7,682 | 1.7 | 1,003 | 13.06 | |||||||||||||||||||||||||||||||||||||||
Other | 2,500 | 0.5 | 1,679 | 0.37 | 821 | 48.9 | |||||||||||||||||||||||||||||||||||||||
Total other loans | 86,798 | 17.38 | 74,643 | 16.48 | 12,155 | 16.28 | |||||||||||||||||||||||||||||||||||||||
Total loans | 499,524 | 100 | % | 453,035 | 100 | % | $ | 46,489 | 10.26 | % | |||||||||||||||||||||||||||||||||||
Other items: | |||||||||||||||||||||||||||||||||||||||||||||
Net deferred loan costs | 2,773 | 2,726 | |||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | (5,492 | ) | (5,414 | ) | |||||||||||||||||||||||||||||||||||||||||
Total loans, net | $ | 496,805 | $ | 450,347 | |||||||||||||||||||||||||||||||||||||||||
Management performs a quarterly evaluation of the adequacy of the allowance for loan losses. The analysis of the allowance for loan losses has two components: specific and general allocations, which are further described below. | |||||||||||||||||||||||||||||||||||||||||||||
Specific allocation | |||||||||||||||||||||||||||||||||||||||||||||
Specific allocations are made for loans determined to be impaired. Impairment is measured by determining the present value of expected future cash flows or fair value of collateral for collateral dependent loans. The Company charges off any collateral shortfall on collaterally dependent impaired loans. | |||||||||||||||||||||||||||||||||||||||||||||
A loan is considered impaired when, based on current information and events, it is probable that the Bank will be unable to collect the scheduled payments of principal and interest when due according to the contractual terms of the loan agreement. Impaired loans are generally placed on non-accrual status either when there is reasonable doubt as to the full collection of payments or when the loans become 90 days past due unless an evaluation clearly indicates that the loan is well secured and in the process of collection. Impairment is measured on a loan by loan basis for commercial loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, or the fair value of the collateral, adjusted for market conditions and selling expenses, if the loan is collateral dependent. | |||||||||||||||||||||||||||||||||||||||||||||
The Company may periodically agree to modify the contractual terms of loans. When a loan is modified and a concession is made to a borrower experiencing financial difficulty, the modification is considered a troubled debt restructure (“TDR”). All TDRs are initially classified as impaired and may be evaluated for removal from impaired status after one year of current payments for a modified loan with a market rate for that borrower at the time of restructuring. | |||||||||||||||||||||||||||||||||||||||||||||
General allocation | |||||||||||||||||||||||||||||||||||||||||||||
The general allocation is determined by segregating the remaining loans by type of loan and payment history. Consideration is given to historical loss experience and qualitative factors such as delinquency trends, changes in underwriting standards or lending policies, procedures and practices, experience and depth of management and lending staff, and general economic conditions. This analysis establishes loss factors that are applied to the loan groups to determine the amount of the general allocations. This evaluation is inherently subjective as it requires material estimates that may be susceptible to significant revisions based upon changes in economic and real estate market conditions. Actual loan losses may be significantly more than the allowance for loan losses that have been established which could have a material negative effect on financial results. There were no changes in the Company’s policies or methodology pertaining to the general component of the allowance for loan losses during the six months ended December 31, 2013. | |||||||||||||||||||||||||||||||||||||||||||||
On a quarterly basis, management’s Loan Review Committee reviews the current status of various loan assets in order to evaluate the adequacy of the allowance for loan losses. In this evaluation process specific loans with risk ratings of six or higher are analyzed to determine their potential risk of loss. This process concentrates on watch list, non-accrual and classified loans. Any loan determined to be impaired is evaluated for potential loss exposure. Any shortfall results in a charge-off if the likelihood of loss is evaluated as probable. The Company’s policy for charging off uncollectible loans is based on an analysis of the financial condition of the borrower and/or the collateral value. To determine the adequacy of collateral on a particular loan, an estimate of the fair market value of the collateral is based on the most current appraised value, discounted cash flow valuation or other available information. | |||||||||||||||||||||||||||||||||||||||||||||
The qualitative factors are assessed based on the various risk characteristics of each loan segment. Risk characteristics relevant to each portfolio segment are as follows: | |||||||||||||||||||||||||||||||||||||||||||||
Residential real estate – The Company generally does not originate loans with a loan-to-value ratio greater than 80 percent unless there is private mortgage insurance. All loans in this segment are collateralized by 1-4 family residential real estate and repayment is dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment rates and housing prices, will have an effect on the credit quality in this segment. | |||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate – Loans in this segment are primarily income-producing properties throughout Massachusetts and Connecticut. The underlying cash flows generated by the properties can be adversely impacted by a downturn in the economy as evidenced by increased vacancy rates, which in turn, will have an effect on the credit quality in this segment. Management requires annual borrower financial statements, obtains rent rolls annually and continually monitors the cash flows of these loans. | |||||||||||||||||||||||||||||||||||||||||||||
Home equity loans - Loans in this segment are secured by first or second mortgages on 1-4 family owner occupied properties, and are generally underwritten in amounts such that the combined first and second mortgage balances generally do not exceed 85% of the value of the property serving as collateral at time of origination. The lines-of-credit are available to be drawn upon for 10 to 20 years, at the end of which time they become term loans amortized over 5 to 10 years. Interest rates on home equity lines normally adjust based on the month-end prime rate published in the Wall Street Journal. | |||||||||||||||||||||||||||||||||||||||||||||
Residential construction loans – Loans in this segment primarily include construction to permanent non-speculative real estate loans. All loans in this segment are collateralized by 1-4 family residential real estate and repayment is dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment rates and housing prices, will have an effect on the credit quality in this segment. | |||||||||||||||||||||||||||||||||||||||||||||
Commercial construction loans – Loans in this segment primarily include construction to permanent non-speculative real estate loans. The underlying cash flows generated by the properties may be adversely impacted by a downturn in the economy, which in turn, will have an effect on the credit quality in this segment. | |||||||||||||||||||||||||||||||||||||||||||||
Commercial loans – Loans in this segment are made to businesses and are generally secured by assets of the business. Repayment is expected from the cash flows of the business. A weakened economy may have an effect on the credit quality in this segment. | |||||||||||||||||||||||||||||||||||||||||||||
Automobile and other secured loans – Loans in this segment include consumer non-real estate secured loans that the Company originates as well as automobile loans that the Company purchases from a third party. The Company has the ability to select the automobile loans it purchases based on its own underwriting standards. | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured home loans – Loans in this segment are secured by first liens on properties located primarily in the Northeast. Repayment is dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment rates, will have an effect on the credit quality in this segment. The Company has the ability to select the manufactured home loans it purchases based on its own underwriting standards. | |||||||||||||||||||||||||||||||||||||||||||||
Other consumer loans – Loans in this segment are generally unsecured and repayment is dependent on the credit quality of the individual borrower. | |||||||||||||||||||||||||||||||||||||||||||||
Credit Quality Information | |||||||||||||||||||||||||||||||||||||||||||||
The Company utilizes a nine grade internal loan rating system for all loans as follows: | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 1 – 5 are considered “pass” rated loans with low to average risk. | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 6 are considered “special mention.” These loans are starting to show signs of potential weakness and are being closely monitored by management. | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 7 are considered “substandard.” Generally, a loan is considered substandard if it is inadequately protected by the current net worth and paying capacity of the obligors and/or the collateral pledged. There is a distinct possibility that the Company will sustain some loss if the weakness is not corrected. | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 8 are considered “doubtful” and have all the weaknesses inherent in those classified substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, highly questionable and improbable. | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 9 are considered uncollectible (“loss”) and of such little value that their continuance as loans is not warranted. These loans are generally charged off at each quarter end. | |||||||||||||||||||||||||||||||||||||||||||||
On an annual basis, or more often if needed, the Company formally reviews the ratings on all commercial real estate, commercial construction and commercial loans. The Company engages an independent third-party to review a significant portion of loans within these segments. Management uses the results of these reviews as part of its annual review process. All credits rated 6 or worse are reviewed on a quarterly basis by management and semi-annually a statistically significant percentage is reviewed by a third party. At origination, management assigns risk ratings to 1-4 family residential loans, home equity loans, residential construction loans, manufactured home loans, and other consumer loans. The Company updates these risk ratings as needed based primarily on delinquency, bankruptcy, or tax delinquency. | |||||||||||||||||||||||||||||||||||||||||||||
The following table presents the Company’s loans by risk rating at December 31, 2013 and June 30, 2013: | |||||||||||||||||||||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||||||||||
1-4 Family | Commercial | Home Equity | Home Equity | Residential | Commercial Construction | ||||||||||||||||||||||||||||||||||||||||
Residential | Real Estate | First Lien | Second Lien | Construction | |||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 1-5 | $ | 106,660 | $ | 181,019 | $ | 37,036 | $ | 41,683 | $ | 3,809 | $ | 28,328 | |||||||||||||||||||||||||||||||||
Loans rated 6 | 939 | 9,410 | - | - | - | 412 | |||||||||||||||||||||||||||||||||||||||
Loans rated 7 | 611 | 2,734 | - | 85 | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 8 | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 9 | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||||
$ | 108,210 | $ | 193,163 | $ | 37,036 | $ | 41,768 | $ | 3,809 | $ | 28,740 | ||||||||||||||||||||||||||||||||||
Commercial | Manufactured | Automobile and | Other Consumer | Total | |||||||||||||||||||||||||||||||||||||||||
Homes | Other Secured Loans | ||||||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 1-5 | $ | 47,908 | $ | 21,924 | $ | 8,685 | $ | 2,499 | $ | 479,551 | |||||||||||||||||||||||||||||||||||
Loans rated 6 | 688 | 27 | - | 1 | 11,477 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 7 | 4,965 | 71 | - | - | 8,466 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 8 | - | 30 | - | - | 30 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 9 | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||
$ | 53,561 | $ | 22,052 | $ | 8,685 | $ | 2,500 | $ | 499,524 | ||||||||||||||||||||||||||||||||||||
30-Jun-13 | |||||||||||||||||||||||||||||||||||||||||||||
1-4 Family | Commercial | Home Equity | Home Equity | Residential | Commercial Construction | ||||||||||||||||||||||||||||||||||||||||
Residential | Real Estate | First Lien | Second Lien | Construction | |||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 1-5 | $ | 105,529 | $ | 153,513 | $ | 36,093 | $ | 41,963 | $ | 3,736 | $ | 21,237 | |||||||||||||||||||||||||||||||||
Loans rated 6 | 835 | 7,624 | - | - | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 7 | 686 | 6,244 | - | 115 | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 8 | 567 | - | - | 250 | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 9 | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||||
$ | 107,617 | $ | 167,381 | $ | 36,093 | $ | 42,328 | $ | 3,736 | $ | 21,237 | ||||||||||||||||||||||||||||||||||
Commercial | Manufactured | Automobile and | Other Consumer | Total | |||||||||||||||||||||||||||||||||||||||||
Homes | Other Secured Loans | ||||||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 1-5 | $ | 36,827 | $ | 21,398 | $ | 7,682 | $ | 1,678 | $ | 429,656 | |||||||||||||||||||||||||||||||||||
Loans rated 6 | 994 | 146 | - | - | 9,599 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 7 | 5,745 | 36 | - | 1 | 12,827 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 8 | - | 136 | - | - | 953 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 9 | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||
$ | 43,566 | $ | 21,716 | $ | 7,682 | $ | 1,679 | $ | 453,035 | ||||||||||||||||||||||||||||||||||||
The results of the quarterly evaluation of the adequacy of the allowance for loan losses are summarized, and appropriate recommendations and loan loss allowances are approved, by the Loan Review Committee. All supporting documentation with regard to the evaluation process, loan loss experience, allowance levels and the schedules of classified loans is maintained by the Company. The Loan Review Committee is chaired by the Company’s Chief Financial Officer. The allowance for loan loss calculation is presented to the Board of Directors on a quarterly basis with recommendations on its adequacy. | |||||||||||||||||||||||||||||||||||||||||||||
The following are summaries of past due and non-accrual loans at December 31, 2013 and June 30, 2013: | |||||||||||||||||||||||||||||||||||||||||||||
30-59 Days | 60-89 Days | 90 Days | Total | Loans on | |||||||||||||||||||||||||||||||||||||||||
or Greater | |||||||||||||||||||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | Past Due | Non-accrual | |||||||||||||||||||||||||||||||||||||||||
31-Dec-13 | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 552 | $ | 477 | $ | 439 | $ | 1,468 | $ | 670 | |||||||||||||||||||||||||||||||||||
Commercial | - | - | - | - | 138 | ||||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
Second lien | 184 | - | 61 | 245 | 113 | ||||||||||||||||||||||||||||||||||||||||
Commercial | - | - | 1,984 | 1,984 | 1,984 | ||||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 351 | 36 | 65 | 452 | 65 | ||||||||||||||||||||||||||||||||||||||||
Automobile and other | 13 | - | - | 13 | - | ||||||||||||||||||||||||||||||||||||||||
secured loans | |||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,100 | $ | 513 | $ | 2,549 | $ | 4,162 | $ | 2,970 | |||||||||||||||||||||||||||||||||||
30-Jun-13 | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 642 | $ | - | $ | 1,013 | $ | 1,655 | $ | 1,405 | |||||||||||||||||||||||||||||||||||
Commercial | 148 | - | - | 148 | 148 | ||||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
Second lien | 180 | 29 | 268 | 477 | 335 | ||||||||||||||||||||||||||||||||||||||||
Commercial | 16 | 75 | 1,984 | 2,075 | 1,988 | ||||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 115 | - | 103 | 218 | 103 | ||||||||||||||||||||||||||||||||||||||||
Automobile and other | 18 | - | - | 18 | - | ||||||||||||||||||||||||||||||||||||||||
secured loans | |||||||||||||||||||||||||||||||||||||||||||||
Other | 1 | - | - | 1 | - | ||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,120 | $ | 104 | $ | 3,368 | $ | 4,592 | $ | 3,979 | |||||||||||||||||||||||||||||||||||
At December 31, 2013 and June 30, 2013 there were no loans past due 90 days or more and still accruing. | |||||||||||||||||||||||||||||||||||||||||||||
The following are summaries of impaired loans at December 31, 2013 and June 30, 2013: | |||||||||||||||||||||||||||||||||||||||||||||
31-Dec-13 | 30-Jun-13 | ||||||||||||||||||||||||||||||||||||||||||||
Recorded | Unpaid | Related | Recorded | Unpaid | Related | ||||||||||||||||||||||||||||||||||||||||
Investment | Principal | Allowance | Investment | Principal | Allowance | ||||||||||||||||||||||||||||||||||||||||
Balance | Balance | ||||||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans without a valuation allowance: | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 821 | $ | 964 | $ | - | $ | 1,405 | $ | 1,676 | $ | - | |||||||||||||||||||||||||||||||||
Commercial | 4,234 | 4,234 | - | 5,962 | 5,962 | - | |||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
Second lien | 113 | 113 | - | 335 | 335 | - | |||||||||||||||||||||||||||||||||||||||
Other loans: | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 3,963 | 3,970 | - | 4,408 | 4,415 | - | |||||||||||||||||||||||||||||||||||||||
Manufactured homes | 65 | 65 | - | 103 | 103 | - | |||||||||||||||||||||||||||||||||||||||
Total | 9,196 | 9,346 | - | 12,213 | 12,491 | - | |||||||||||||||||||||||||||||||||||||||
Impaired loans with a valuation allowance: | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 682 | 682 | 12 | 2,208 | 2,208 | 32 | |||||||||||||||||||||||||||||||||||||||
Other loans: | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 600 | 600 | 1 | 533 | 533 | - | |||||||||||||||||||||||||||||||||||||||
Total | 1,282 | 1,282 | 13 | 2,741 | 2,741 | 32 | |||||||||||||||||||||||||||||||||||||||
Total impaired loans | $ | 10,478 | $ | 10,628 | $ | 13 | $ | 14,954 | $ | 15,232 | $ | 32 | |||||||||||||||||||||||||||||||||
Information pertaining to impaired loans for the three and six months ended December 31, 2013 and 2012 follows: | |||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended December 31, 2013 | Three Months Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||
Average | Interest Income | Average | Interest Income | ||||||||||||||||||||||||||||||||||||||||||
Recorded | Recognized | Recorded | Recognized | ||||||||||||||||||||||||||||||||||||||||||
Investment on Impaired | Recognized | Investment on Impaired | Recognized | on a Cash | |||||||||||||||||||||||||||||||||||||||||
Loans | on a Cash | Loans | Basis | ||||||||||||||||||||||||||||||||||||||||||
Basis | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 946 | $ | 18 | $ | 12 | $ | 1,700 | $ | 15 | $ | 15 | |||||||||||||||||||||||||||||||||
Commercial | 6,192 | 53 | 53 | 11,309 | 191 | 191 | |||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
First lien | - | - | - | 84 | 1 | 1 | |||||||||||||||||||||||||||||||||||||||
Second lien | 238 | 2 | 1 | 215 | 3 | 1 | |||||||||||||||||||||||||||||||||||||||
Commercial | 4,610 | 71 | 35 | 3,763 | 35 | 26 | |||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 60 | 1 | - | 161 | - | - | |||||||||||||||||||||||||||||||||||||||
Total loans | $ | 12,046 | $ | 145 | $ | 101 | $ | 17,232 | $ | 245 | $ | 234 | |||||||||||||||||||||||||||||||||
Six Months Ended December 31, 2013 | Six Months Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||
Average | Interest Income | Average | Interest Income | ||||||||||||||||||||||||||||||||||||||||||
Recorded | Recorded | ||||||||||||||||||||||||||||||||||||||||||||
Investment on Impaired | Recognized | Recognized | Investment on Impaired | Recognized | Recognized | ||||||||||||||||||||||||||||||||||||||||
Loans | on a Cash | Loans | on a Cash | ||||||||||||||||||||||||||||||||||||||||||
Basis | Basis | ||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 1,099 | $ | 35 | $ | 26 | $ | 1,556 | $ | 41 | $ | 41 | |||||||||||||||||||||||||||||||||
Commercial | 6,851 | 106 | 106 | 11,398 | 385 | 385 | |||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
First lien | - | - | - | 56 | 2 | 2 | |||||||||||||||||||||||||||||||||||||||
Second lien | 271 | 4 | 3 | 166 | 9 | 4 | |||||||||||||||||||||||||||||||||||||||
Commercial | 4,720 | 139 | 71 | 3,852 | 76 | 71 | |||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 74 | 3 | 1 | 152 | 10 | - | |||||||||||||||||||||||||||||||||||||||
Total loans | $ | 13,015 | $ | 287 | $ | 207 | $ | 17,180 | $ | 523 | $ | 503 | |||||||||||||||||||||||||||||||||
At December 31, 2013, the Company had three impaired loans that had $399,000 committed to be advanced. The $10.5 million of impaired loans include $3.0 million of non-accrual loans, and $4.8 million of accruing troubled debt restructured loans as of December 31, 2013. The remaining $2.7 million of impaired loans, all of which are current with payments, are loans that the Company believes, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Of the $10.5 million of impaired loans, $7.4 million, or 70.2%, are current with all payment terms. As of June 30, 2013, the $15.0 million of impaired loans included $4.0 million of non-accrual loans and $7.3 million of accruing troubled debt restructured loans. The remaining $3.7 million of impaired loans are loans that the Company believed, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Of the $15.0 million of impaired loans, $11.0 million, or 73%, were current with all payment terms as of June 30, 2013. | |||||||||||||||||||||||||||||||||||||||||||||
The Company had no new TDR loan relationships in the three and six months ended December 31, 2013 and 2012. As of December 31, 2013 and 2012, there were no TDR loans that were restructured within the previous twelve months that had any payment defaults. | |||||||||||||||||||||||||||||||||||||||||||||
Information pertaining to the allowance for loan losses and recorded investment in loans for the three and six months ended December 31, 2013 and 2012 follows: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 Family Residential | Commercial Real Estate | Home Equity First Lien | Home Equity Second Lien | Residential Construction | Commercial Construction | Commercial | Manufactured Homes | Automobile and Other Secured Loans | Other Consumer | Total | |||||||||||||||||||||||||||||||||||
Three Months Ended | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2013 | $ | 762 | $ | 2,301 | $ | 234 | $ | 302 | $ | 33 | $ | 315 | $ | 1,066 | $ | 396 | $ | 34 | $ | 34 | $ | 5,477 | |||||||||||||||||||||||
Charge-offs | (98 | ) | (17 | ) | - | - | - | - | - | (34 | ) | (1 | ) | - | (150 | ) | |||||||||||||||||||||||||||||
Recoveries | - | - | 2 | - | - | - | 13 | - | - | - | 15 | ||||||||||||||||||||||||||||||||||
Provision | 25 | 76 | - | - | - | - | - | 49 | - | - | 150 | ||||||||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 689 | $ | 2,360 | $ | 236 | $ | 302 | $ | 33 | $ | 315 | $ | 1,079 | $ | 411 | $ | 33 | $ | 34 | $ | 5,492 | |||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2012 | $ | 876 | $ | 2,366 | $ | 208 | $ | 283 | $ | 39 | $ | 21 | $ | 963 | $ | 379 | $ | 25 | $ | 12 | $ | 5,172 | |||||||||||||||||||||||
Charge-offs | (113 | ) | (56 | ) | (50 | ) | - | - | - | - | - | - | (8 | ) | (227 | ) | |||||||||||||||||||||||||||||
Recoveries | 2 | - | 2 | - | - | - | - | - | - | 3 | 7 | ||||||||||||||||||||||||||||||||||
Provision | 26 | 60 | 7 | 10 | 1 | 4 | 50 | 15 | 1 | 1 | 175 | ||||||||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 791 | $ | 2,370 | $ | 167 | $ | 293 | $ | 40 | $ | 25 | $ | 1,013 | $ | 394 | $ | 26 | $ | 8 | $ | 5,127 | |||||||||||||||||||||||
Six Months Ended | |||||||||||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2013 | $ | 762 | $ | 2,215 | $ | 233 | $ | 302 | $ | 33 | $ | 315 | $ | 1,065 | $ | 432 | $ | 34 | $ | 23 | $ | 5,414 | |||||||||||||||||||||||
Charge-offs | (98 | ) | (20 | ) | - | - | - | - | - | (81 | ) | (1 | ) | - | (200 | ) | |||||||||||||||||||||||||||||
Recoveries | - | - | 3 | - | - | - | 14 | - | - | 11 | 28 | ||||||||||||||||||||||||||||||||||
Provision | 25 | 165 | - | - | - | - | - | 60 | - | - | 250 | ||||||||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 689 | $ | 2,360 | $ | 236 | $ | 302 | $ | 33 | $ | 315 | $ | 1,079 | $ | 411 | $ | 33 | $ | 34 | $ | 5,492 | |||||||||||||||||||||||
Six Months Ended | |||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2012 | $ | 865 | $ | 2,360 | $ | 206 | $ | 280 | $ | 38 | $ | 20 | $ | 969 | $ | 375 | $ | 25 | $ | 10 | $ | 5,148 | |||||||||||||||||||||||
Charge-offs | (113 | ) | (87 | ) | (50 | ) | - | - | - | - | - | - | (8 | ) | (258 | ) | |||||||||||||||||||||||||||||
Recoveries | 5 | - | 2 | - | - | - | - | - | - | 5 | 12 | ||||||||||||||||||||||||||||||||||
Provision | 34 | 97 | 9 | 13 | 2 | 5 | 44 | 19 | 1 | 1 | 225 | ||||||||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 791 | $ | 2,370 | $ | 167 | $ | 293 | $ | 40 | $ | 25 | $ | 1,013 | $ | 394 | $ | 26 | $ | 8 | $ | 5,127 | |||||||||||||||||||||||
1-4 Family Residential | Commercial Real Estate | Home Equity First Lien | Home Equity Second Lien | Residential Construction | Commercial Construction | Commercial | Manufactured Homes | Automobile and Other Secured Loans | Other Consumer | Total | |||||||||||||||||||||||||||||||||||
At December 31, 2013 | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
Allowance: | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans | $ | - | $ | 12 | $ | - | $ | - | $ | - | $ | - | $ | 1 | $ | - | $ | - | $ | - | $ | 13 | |||||||||||||||||||||||
Non-impaired loans | 689 | 2,348 | 236 | 302 | 33 | 315 | 1,078 | 411 | 33 | 34 | 5,479 | ||||||||||||||||||||||||||||||||||
Total allowance for loan losses | $ | 689 | $ | 2,360 | $ | 236 | $ | 302 | $ | 33 | $ | 315 | $ | 1,079 | $ | 411 | $ | 33 | $ | 34 | $ | 5,492 | |||||||||||||||||||||||
Loans: | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans | $ | 821 | $ | 4,916 | $ | - | $ | 113 | $ | - | $ | - | $ | 4,563 | $ | 65 | $ | - | $ | - | $ | 10,478 | |||||||||||||||||||||||
Non-impaired loans | 107,389 | 188,247 | 37,036 | 41,655 | 3,809 | 28,740 | 48,998 | 21,987 | 8,685 | 2,500 | 489,046 | ||||||||||||||||||||||||||||||||||
Total loans | $ | 108,210 | $ | 193,163 | $ | 37,036 | $ | 41,768 | $ | 3,809 | $ | 28,740 | $ | 53,561 | $ | 22,052 | $ | 8,685 | $ | 2,500 | $ | 499,524 | |||||||||||||||||||||||
At June 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Allowance: | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans | $ | - | $ | 32 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 32 | |||||||||||||||||||||||
Non-impaired loans | 762 | 2,183 | 233 | 302 | 33 | 315 | 1,065 | 432 | 34 | 23 | 5,382 | ||||||||||||||||||||||||||||||||||
Total allowance for loan losses | $ | 762 | $ | 2,215 | $ | 233 | $ | 302 | $ | 33 | $ | 315 | $ | 1,065 | $ | 432 | $ | 34 | $ | 23 | $ | 5,414 | |||||||||||||||||||||||
Loans: | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans | $ | 1,405 | $ | 8,170 | $ | - | $ | 335 | $ | - | $ | - | $ | 4,941 | $ | 103 | $ | - | $ | - | $ | 14,954 | |||||||||||||||||||||||
Non-impaired loans | 106,212 | 159,211 | 36,093 | 41,993 | 3,736 | 21,237 | 38,625 | 21,613 | 7,682 | 1,679 | 438,081 | ||||||||||||||||||||||||||||||||||
Total loans | $ | 107,617 | $ | 167,381 | $ | 36,093 | $ | 42,328 | $ | 3,736 | $ | 21,237 | $ | 43,566 | $ | 21,716 | $ | 7,682 | $ | 1,679 | $ | 453,035 | |||||||||||||||||||||||
The Company has transferred a portion of its originated commercial real estate and commercial loans to participating lenders. The amounts transferred have been accounted for as sales and are therefore not included in the Company’s accompanying consolidated balance sheets. The Company and participating lenders share ratably in any gains or losses that may result from a borrower’s lack of compliance with contractual terms of the loan. The Company continues to service the loans on behalf of the participating lenders and, as such, collects cash payments from the borrowers, remits payments (net of servicing fees) to participating lenders and disburses required escrow funds to relevant parties. At December 31, 2013 and June 30, 2013, the Company was servicing loans for participants aggregating $34.5 million and $35.0 million, respectively. |
Significant_Accounting_Policie
Significant Accounting Policies (Policies) | 6 Months Ended | |
Dec. 31, 2013 | ||
Recent Accounting Pronouncements | ' | |
Recent Accounting Pronouncements | ||
During the quarter ended September 30, 2013, the Company adopted the Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) Comprehensive Income (Topic 220), Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income, related to disclosure of amounts reclassified out of accumulated other comprehensive income. The standard requires that companies present either in a single note or parenthetically on the face of the financial statements, the effect of significant amounts reclassified from each component of accumulated other comprehensive income based on its source and the income statement line items affected by the reclassification. Adoption of this standard did not have a material impact on the Company’s consolidated financial statements. | ||
In January 2014, the FASB issued ASU No. 2014-04, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40) – Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. This standard is intended to clarify when a creditor should be considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan such that the loan should be derecognized and the real estate recognized. Additional disclosures are required. This standard is effective for annual periods and interim periods within those annual periods beginning after December 15, 2014 and is not expected to have a material impact on the Company’s consolidated financial statements. | ||
Determination of Fair Value | ' | |
The following methods and assumptions were used by the Company in estimating fair value measurements and disclosures for financial instruments: | ||
Cash and cash equivalents: The carrying amounts of cash and federal funds sold and other short-term investments approximate fair values. | ||
Securities available for sale: The fair values used by the Company are obtained from an independent pricing service, which represents either quoted market prices for identical securities, quoted market prices for comparable securities or fair values determined by pricing models that consider observable market data, such as interest rate volatilities, credit spreads and prices from market makers and live trading systems and other market indicators, industry and economic events. These values are not adjusted by the Company. | ||
Federal Home Loan Bank of Boston stock: The carrying amount of Federal Home Loan Bank (“FHLB”) stock approximates fair value based upon the redemption provisions of the FHLB of Boston. | ||
Loans held for sale: Fair value of loans held for sale is estimated based on commitments on hand from investors or prevailing market prices. | ||
Loans: Fair values for loans are estimated using discounted cash flow analyses, using market interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. This analysis assumes no prepayment. Fair values for non-performing loans are estimated using discounted cash flow analyses or underlying collateral values, where applicable. | ||
Mortgage servicing rights: Mortgage servicing rights (“MSR”) are the rights of a mortgage servicer to collect mortgage payments and forward them, after deducting a fee, to the mortgage holder. The fair value of servicing rights is estimated using a discounted cash flow model. Discount rates, estimate of servicing costs and ancillary income, estimates of float earnings rates and delinquency information as well as an estimate of prepayments are used to calculate the value of the mortgage servicing asset. The fair value of MSR is highly sensitive to changes in assumptions. Changes in prepayment speed assumptions generally have the most significant impact on the fair value of MSR. Generally, as interest rates decline, mortgage loan prepayments accelerate due to increased refinance activity, which results in a decrease in the fair value of MSR. As interest rates rise, mortgage loan prepayments slowdown, which results in an increase in the fair value of MSR. Thus, any measurement of the fair value of MSR is limited by the conditions existing and the assumptions utilized as of a particular point in time, and those assumptions may not be appropriate if they are applied at a different point in time. | ||
Deposits and mortgagors’ escrow accounts: The fair values for non-certificate accounts and mortgagors’ escrow accounts are, by definition, equal to the amounts payable on demand at the reporting date (i.e., their carrying amounts). Fair values for certificate accounts are estimated using a discounted cash flow calculation that applies market interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities of time deposits. | ||
Short-term borrowings: For short-term borrowings maturing within ninety days, carrying values approximate fair values. Fair values of other short-term borrowings are estimated using discounted cash flow analyses based on the current incremental borrowing rates in the market for similar types of borrowing arrangements. | ||
Long-term debt: The fair values of the Company's advances are estimated using discounted cash flow analyses based on the Company's current incremental borrowing rates for similar types of borrowing arrangements. | ||
Accrued interest: The carrying amounts of accrued interest approximate fair value. | ||
Off-balance-sheet instruments: Fair values for off-balance-sheet lending commitments are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties' credit standing. The estimated fair value of off-balance sheet financial instruments at December 31, 2013 and June 30, 2013 was not material. | ||
The Company does not measure any liabilities at fair value on either a recurring or non-recurring basis. | ||
Allowance for Loan Losses | ' | |
Management performs a quarterly evaluation of the adequacy of the allowance for loan losses. The analysis of the allowance for loan losses has two components: specific and general allocations, which are further described below. | ||
Specific allocation | ||
Specific allocations are made for loans determined to be impaired. Impairment is measured by determining the present value of expected future cash flows or fair value of collateral for collateral dependent loans. The Company charges off any collateral shortfall on collaterally dependent impaired loans. | ||
A loan is considered impaired when, based on current information and events, it is probable that the Bank will be unable to collect the scheduled payments of principal and interest when due according to the contractual terms of the loan agreement. Impaired loans are generally placed on non-accrual status either when there is reasonable doubt as to the full collection of payments or when the loans become 90 days past due unless an evaluation clearly indicates that the loan is well secured and in the process of collection. Impairment is measured on a loan by loan basis for commercial loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, or the fair value of the collateral, adjusted for market conditions and selling expenses, if the loan is collateral dependent. | ||
The Company may periodically agree to modify the contractual terms of loans. When a loan is modified and a concession is made to a borrower experiencing financial difficulty, the modification is considered a troubled debt restructure (“TDR”). All TDRs are initially classified as impaired and may be evaluated for removal from impaired status after one year of current payments for a modified loan with a market rate for that borrower at the time of restructuring. | ||
General allocation | ||
The general allocation is determined by segregating the remaining loans by type of loan and payment history. Consideration is given to historical loss experience and qualitative factors such as delinquency trends, changes in underwriting standards or lending policies, procedures and practices, experience and depth of management and lending staff, and general economic conditions. This analysis establishes loss factors that are applied to the loan groups to determine the amount of the general allocations. This evaluation is inherently subjective as it requires material estimates that may be susceptible to significant revisions based upon changes in economic and real estate market conditions. Actual loan losses may be significantly more than the allowance for loan losses that have been established which could have a material negative effect on financial results. There were no changes in the Company’s policies or methodology pertaining to the general component of the allowance for loan losses during the six months ended December 31, 2013. | ||
On a quarterly basis, management’s Loan Review Committee reviews the current status of various loan assets in order to evaluate the adequacy of the allowance for loan losses. In this evaluation process specific loans with risk ratings of six or higher are analyzed to determine their potential risk of loss. This process concentrates on watch list, non-accrual and classified loans. Any loan determined to be impaired is evaluated for potential loss exposure. Any shortfall results in a charge-off if the likelihood of loss is evaluated as probable. The Company’s policy for charging off uncollectible loans is based on an analysis of the financial condition of the borrower and/or the collateral value. To determine the adequacy of collateral on a particular loan, an estimate of the fair market value of the collateral is based on the most current appraised value, discounted cash flow valuation or other available information. | ||
The qualitative factors are assessed based on the various risk characteristics of each loan segment. Risk characteristics relevant to each portfolio segment are as follows: | ||
Residential real estate – The Company generally does not originate loans with a loan-to-value ratio greater than 80 percent unless there is private mortgage insurance. All loans in this segment are collateralized by 1-4 family residential real estate and repayment is dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment rates and housing prices, will have an effect on the credit quality in this segment. | ||
Commercial real estate – Loans in this segment are primarily income-producing properties throughout Massachusetts and Connecticut. The underlying cash flows generated by the properties can be adversely impacted by a downturn in the economy as evidenced by increased vacancy rates, which in turn, will have an effect on the credit quality in this segment. Management requires annual borrower financial statements, obtains rent rolls annually and continually monitors the cash flows of these loans. | ||
Home equity loans - Loans in this segment are secured by first or second mortgages on 1-4 family owner occupied properties, and are generally underwritten in amounts such that the combined first and second mortgage balances generally do not exceed 85% of the value of the property serving as collateral at time of origination. The lines-of-credit are available to be drawn upon for 10 to 20 years, at the end of which time they become term loans amortized over 5 to 10 years. Interest rates on home equity lines normally adjust based on the month-end prime rate published in the Wall Street Journal. | ||
Residential construction loans – Loans in this segment primarily include construction to permanent non-speculative real estate loans. All loans in this segment are collateralized by 1-4 family residential real estate and repayment is dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment rates and housing prices, will have an effect on the credit quality in this segment. | ||
Commercial construction loans – Loans in this segment primarily include construction to permanent non-speculative real estate loans. The underlying cash flows generated by the properties may be adversely impacted by a downturn in the economy, which in turn, will have an effect on the credit quality in this segment. | ||
Commercial loans – Loans in this segment are made to businesses and are generally secured by assets of the business. Repayment is expected from the cash flows of the business. A weakened economy may have an effect on the credit quality in this segment. | ||
Automobile and other secured loans – Loans in this segment include consumer non-real estate secured loans that the Company originates as well as automobile loans that the Company purchases from a third party. The Company has the ability to select the automobile loans it purchases based on its own underwriting standards. | ||
Manufactured home loans – Loans in this segment are secured by first liens on properties located primarily in the Northeast. Repayment is dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment rates, will have an effect on the credit quality in this segment. The Company has the ability to select the manufactured home loans it purchases based on its own underwriting standards. | ||
Other consumer loans – Loans in this segment are generally unsecured and repayment is dependent on the credit quality of the individual borrower. |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 6 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Schedule of Earnings Per Share | ' | ||||||||||||||||
Earnings per share for the three and six month periods ended December 31, 2013 and 2012 have been computed as follows: | |||||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Net income applicable to common stock (in thousands) | $ | 1,021 | $ | 771 | $ | 2,228 | $ | 1,532 | |||||||||
Average number of shares issued | 8,020,607 | 7,964,496 | 8,012,352 | 7,958,022 | |||||||||||||
Less: average unallocated ESOP shares | (346,159 | ) | (388,555 | ) | (351,477 | ) | (393,873 | ) | |||||||||
Less: average treasury stock | (2,371,759 | ) | (2,124,496 | ) | (2,370,760 | ) | (2,066,080 | ) | |||||||||
Less: average unvested restricted stock awards | (2,400 | ) | (50,096 | ) | (2,521 | ) | (49,493 | ) | |||||||||
Average number of basic shares outstanding | 5,300,289 | 5,401,349 | 5,287,594 | 5,448,576 | |||||||||||||
Plus: dilutive unvested restricted stock awards | 1,380 | 38,504 | 1,427 | 33,910 | |||||||||||||
Plus: dilutive stock option shares | 141,409 | 87,619 | 133,509 | 73,723 | |||||||||||||
Average number of diluted shares outstanding | 5,443,078 | 5,527,472 | 5,422,530 | 5,556,209 | |||||||||||||
Basic earnings per share | $ | 0.19 | $ | 0.14 | $ | 0.42 | $ | 0.28 | |||||||||
Diluted earnings per share | $ | 0.19 | $ | 0.14 | $ | 0.41 | $ | 0.28 |
Fair_Value_of_Assets_and_Liabi1
Fair Value of Assets and Liabilities (Tables) | 6 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Schedule of Financial Assets Measured at Fair Value on Recurring Basis | ' | ||||||||||||||||||||
The following tables present the balance of assets measured at fair value on a recurring basis as of December 31, 2013 and June 30, 2013: | |||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||
31-Dec-13 | (In Thousands) | ||||||||||||||||||||
Debt securities: | |||||||||||||||||||||
Municipal bonds | $ | - | $ | 8,375 | $ | - | $ | 8,375 | |||||||||||||
Corporate bonds | - | 3,102 | - | 3,102 | |||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||
Government-sponsored enterprise | - | 129,061 | - | 129,061 | |||||||||||||||||
Non-government-sponsored enterprise | - | 1,897 | - | 1,897 | |||||||||||||||||
Total debt securities | - | 142,435 | - | 142,435 | |||||||||||||||||
Marketable equity securities | 72 | - | - | 72 | |||||||||||||||||
Mortgage servicing rights | - | - | 783 | 783 | |||||||||||||||||
Total assets measured at fair value on a recurring basis | $ | 72 | $ | 142,435 | $ | 783 | $ | 143,290 | |||||||||||||
30-Jun-13 | |||||||||||||||||||||
Debt securities: | |||||||||||||||||||||
Municipal bonds | $ | - | $ | 395 | $ | - | $ | 395 | |||||||||||||
Corporate bonds | - | 3,076 | - | 3,076 | |||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||
Government-sponsored enterprise | - | 132,988 | - | 132,988 | |||||||||||||||||
Non-government-sponsored enterprise | - | 2,203 | - | 2,203 | |||||||||||||||||
Total debt securities | - | 138,662 | - | 138,662 | |||||||||||||||||
Marketable equity securities | 68 | - | - | 68 | |||||||||||||||||
Mortgage servicing rights | - | - | 654 | 654 | |||||||||||||||||
Total assets measured at fair value on a recurring basis | $ | 68 | $ | 138,662 | $ | 654 | $ | 139,384 | |||||||||||||
Schedule of Level 3 Assets Measured at Fair Value on Recurring Basis | ' | ||||||||||||||||||||
The table below presents, for the three and six months ended December 31, 2013 and 2012, the changes in Level 3 assets that are measured at fair value on a recurring basis: | |||||||||||||||||||||
Mortgage Servicing Rights | |||||||||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Beginning balance | $ | 830 | $ | 440 | $ | 654 | $ | 445 | |||||||||||||
Total realized and unrealized gains | (76 | ) | (59 | ) | 68 | (102 | ) | ||||||||||||||
(losses) included in net income | |||||||||||||||||||||
Capitalized servicing assets | 29 | 63 | 61 | 101 | |||||||||||||||||
Transfers in and/or out of Level 3 | - | - | - | - | |||||||||||||||||
Ending balance | $ | 783 | $ | 444 | $ | 783 | $ | 444 | |||||||||||||
Schedule of Financial Assets Measured at Fair Value on Nonrecurring Basis | ' | ||||||||||||||||||||
The following table summarizes the fair value hierarchy used to determine each adjustment and the carrying value of the related individual assets measured at fair value on a non-recurring basis as of December 31, 2013 and June 30, 2013. | |||||||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||||||
31-Dec-13 | (In Thousands) | ||||||||||||||||||||
Other real estate owned | $ | - | $ | - | $ | 1,274 | |||||||||||||||
30-Jun-13 | |||||||||||||||||||||
Impaired loans | $ | - | $ | - | $ | 292 | |||||||||||||||
Other real estate owned | - | - | 1,221 | ||||||||||||||||||
Total assets | $ | - | $ | - | $ | 1,513 | |||||||||||||||
Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments | ' | ||||||||||||||||||||
The estimated fair values, and related carrying amounts, of the Company’s financial instruments are as follows: | |||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||
Carrying | Fair Value | ||||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Financial assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 14,942 | $ | 14,942 | $ | - | $ | - | $ | 14,942 | |||||||||||
Securities available for sale | 142,507 | 72 | 142,435 | - | 142,507 | ||||||||||||||||
Federal Home Loan Bank stock | 6,761 | - | - | 6,761 | 6,761 | ||||||||||||||||
Loans held for sale | 653 | - | - | 653 | 653 | ||||||||||||||||
Loans, net | 496,805 | - | - | 504,831 | 504,831 | ||||||||||||||||
Accrued interest receivable | 1,645 | - | - | 1,645 | 1,645 | ||||||||||||||||
Mortgage servicing rights (1) | 783 | - | - | 783 | 783 | ||||||||||||||||
Financial liabilities: | |||||||||||||||||||||
Deposits | 477,139 | - | - | 478,820 | 478,820 | ||||||||||||||||
Short-term borrowings | 22,000 | - | 22,000 | - | 22,000 | ||||||||||||||||
Long-term debt | 104,374 | - | 103,734 | - | 103,734 | ||||||||||||||||
Mortgagors' escrow accounts | 1,142 | - | - | 1,142 | 1,142 | ||||||||||||||||
30-Jun-13 | |||||||||||||||||||||
Carrying | Fair Value | ||||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||
(In Thousands) | |||||||||||||||||||||
Financial assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 25,618 | $ | 25,618 | $ | - | $ | - | $ | 25,618 | |||||||||||
Securities available for sale | 138,730 | 68 | 138,662 | - | 138,730 | ||||||||||||||||
Federal Home Loan Bank stock | 5,092 | - | - | 5,092 | 5,092 | ||||||||||||||||
Loans held for sale | 1,274 | - | - | 1,274 | 1,274 | ||||||||||||||||
Loans, net | 450,347 | - | - | 459,018 | 459,018 | ||||||||||||||||
Accrued interest receivable | 1,636 | - | - | 1,636 | 1,636 | ||||||||||||||||
Mortgage servicing rights (1) | 654 | - | - | 654 | 654 | ||||||||||||||||
Financial liabilities: | |||||||||||||||||||||
Deposits | 474,798 | - | - | 477,059 | 477,059 | ||||||||||||||||
Short-term borrowings | 4,500 | - | 4,500 | - | 4,500 | ||||||||||||||||
Long-term debt | 82,492 | - | 82,527 | - | 82,527 | ||||||||||||||||
Mortgagors' escrow accounts | 1,100 | - | - | 1,010 | 1,010 | ||||||||||||||||
(1) Included in other assets. |
Securities_Available_For_Sale_
Securities Available For Sale (Tables) | 6 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Schedule of Amortized Cost and Estimated Fair Value of Securities Available for Sale | ' | ||||||||||||||||||||||||
The amortized cost and fair value of securities available for sale, with gross unrealized gains and losses, are as follows: | |||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Fair Value | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||
Debt securities: | |||||||||||||||||||||||||
Municipal bonds | $ | 8,375 | $ | - | $ | - | $ | 8,375 | |||||||||||||||||
Corporate bonds | 3,031 | 71 | - | 3,102 | |||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | 130,017 | 1,650 | (2,606 | ) | 129,061 | ||||||||||||||||||||
Non-government-sponsored enterprise | 1,895 | 9 | (7 | ) | 1,897 | ||||||||||||||||||||
Total debt securities | 143,319 | 1,729 | (2,613 | ) | 142,435 | ||||||||||||||||||||
Marketable equity securities | 51 | 21 | - | 72 | |||||||||||||||||||||
Total securities available for sale | $ | 143,370 | $ | 1,750 | $ | (2,613 | ) | $ | 142,507 | ||||||||||||||||
30-Jun-13 | |||||||||||||||||||||||||
Amortized | Gross | Gross | Fair Value | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||
Debt securities: | |||||||||||||||||||||||||
Municipal bonds | $ | 395 | $ | - | $ | - | $ | 395 | |||||||||||||||||
Corporate bonds | 3,036 | 40 | - | 3,076 | |||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | 132,498 | 1,916 | (1,426 | ) | 132,988 | ||||||||||||||||||||
Non-government-sponsored enterprise | 2,209 | 10 | (16 | ) | 2,203 | ||||||||||||||||||||
Total debt securities | 138,138 | 1,966 | (1,442 | ) | 138,662 | ||||||||||||||||||||
Marketable equity securities | 51 | 17 | - | 68 | |||||||||||||||||||||
Total securities available for sale | $ | 138,189 | $ | 1,983 | $ | (1,442 | ) | $ | 138,730 | ||||||||||||||||
Schedule of Debt Securities by Contractual Maturity | ' | ||||||||||||||||||||||||
The amortized cost and estimated fair value of debt securities by contractual maturity at December 31, 2013 is set forth below. Expected maturities will differ from contractual maturities because the issuer may have the right to call or prepay obligations with or without call or prepayment penalties. | |||||||||||||||||||||||||
Amortized Cost | Fair Value | ||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||
Within 1 year | $ | 7,422 | $ | 7,401 | |||||||||||||||||||||
Over 1 year through 5 years | 3,984 | 4,076 | |||||||||||||||||||||||
Total bonds and obligations | 11,406 | 11,477 | |||||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | 130,017 | 129,061 | |||||||||||||||||||||||
Non-government-sponsored enterprise | 1,895 | 1,897 | |||||||||||||||||||||||
Total debt securities | $ | 143,319 | $ | 142,435 | |||||||||||||||||||||
Schedule of Securities with Gross Unrealized Losses | ' | ||||||||||||||||||||||||
Information pertaining to securities with gross unrealized losses at December 31, 2013 and June 30, 2013, aggregated by investment category and length of time that individual securities have been in a continuous loss position, are as follows: | |||||||||||||||||||||||||
Less Than Twelve Months | Over Twelve Months | Total | |||||||||||||||||||||||
Gross | Fair Value | Gross | Fair Value | Gross | Fair Value | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | $ | 2,020 | $ | 57,366 | $ | 586 | $ | 13,730 | $ | 2,606 | $ | 71,096 | |||||||||||||
Non-government-sponsored enterprise | 2 | 739 | 5 | 332 | 7 | 1,071 | |||||||||||||||||||
$ | 2,022 | $ | 58,105 | $ | 591 | $ | 14,062 | $ | 2,613 | $ | 72,167 | ||||||||||||||
June 30, 2013: | |||||||||||||||||||||||||
Residential mortgage-backed securities: | |||||||||||||||||||||||||
Government-sponsored enterprise | 1,337 | 68,456 | 89 | 6,142 | 1,426 | 74,598 | |||||||||||||||||||
Non-government-sponsored enterprise | 5 | 330 | 11 | 1,047 | 16 | 1,377 | |||||||||||||||||||
$ | 1,342 | $ | 68,786 | $ | 100 | $ | 7,189 | $ | 1,442 | $ | 75,975 |
Loans_Tables
Loans (Tables) | 6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Schedule of Loan Balances | ' | ||||||||||||||||||||||||||||||||||||||||||||
The following table sets forth the composition of the Company’s loan portfolio in dollar amounts and as a percentage of the total loan portfolio at the dates indicated. | |||||||||||||||||||||||||||||||||||||||||||||
At December 31, 2013 | At June 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||
Amount | Percent | Amount | Percent | Change | % Change | ||||||||||||||||||||||||||||||||||||||||
(Dollars In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 108,210 | 21.66 | % | $ | 107,617 | 23.75 | % | $ | 593 | 0.55 | % | |||||||||||||||||||||||||||||||||
Commercial | 193,163 | 38.67 | 167,381 | 36.95 | 25,782 | 15.4 | |||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
First lien | 37,036 | 7.41 | 36,093 | 7.97 | 943 | 2.61 | |||||||||||||||||||||||||||||||||||||||
Second lien | 41,768 | 8.36 | 42,328 | 9.34 | (560 | ) | (1.32 | ) | |||||||||||||||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||||||||||||||||||
Residential | 3,809 | 0.76 | 3,736 | 0.82 | 73 | 1.95 | |||||||||||||||||||||||||||||||||||||||
Commercial | 28,740 | 5.75 | 21,237 | 4.69 | 7,503 | 35.33 | |||||||||||||||||||||||||||||||||||||||
Total mortgage loans on real estate | 412,726 | 82.62 | 378,392 | 83.52 | 34,334 | 9.07 | |||||||||||||||||||||||||||||||||||||||
Other loans: | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 53,561 | 10.72 | 43,566 | 9.62 | 9,995 | 22.94 | |||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 22,052 | 4.41 | 21,716 | 4.79 | 336 | 1.55 | |||||||||||||||||||||||||||||||||||||||
Automobile and other secured loans | 8,685 | 1.74 | 7,682 | 1.7 | 1,003 | 13.06 | |||||||||||||||||||||||||||||||||||||||
Other | 2,500 | 0.5 | 1,679 | 0.37 | 821 | 48.9 | |||||||||||||||||||||||||||||||||||||||
Total other loans | 86,798 | 17.38 | 74,643 | 16.48 | 12,155 | 16.28 | |||||||||||||||||||||||||||||||||||||||
Total loans | 499,524 | 100 | % | 453,035 | 100 | % | $ | 46,489 | 10.26 | % | |||||||||||||||||||||||||||||||||||
Other items: | |||||||||||||||||||||||||||||||||||||||||||||
Net deferred loan costs | 2,773 | 2,726 | |||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | (5,492 | ) | (5,414 | ) | |||||||||||||||||||||||||||||||||||||||||
Total loans, net | $ | 496,805 | $ | 450,347 | |||||||||||||||||||||||||||||||||||||||||
Schedule of Loans by Risk Rating | ' | ||||||||||||||||||||||||||||||||||||||||||||
The following table presents the Company’s loans by risk rating at December 31, 2013 and June 30, 2013: | |||||||||||||||||||||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||||||||||
1-4 Family | Commercial | Home Equity | Home Equity | Residential | Commercial Construction | ||||||||||||||||||||||||||||||||||||||||
Residential | Real Estate | First Lien | Second Lien | Construction | |||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 1-5 | $ | 106,660 | $ | 181,019 | $ | 37,036 | $ | 41,683 | $ | 3,809 | $ | 28,328 | |||||||||||||||||||||||||||||||||
Loans rated 6 | 939 | 9,410 | - | - | - | 412 | |||||||||||||||||||||||||||||||||||||||
Loans rated 7 | 611 | 2,734 | - | 85 | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 8 | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 9 | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||||
$ | 108,210 | $ | 193,163 | $ | 37,036 | $ | 41,768 | $ | 3,809 | $ | 28,740 | ||||||||||||||||||||||||||||||||||
Commercial | Manufactured | Automobile and | Other Consumer | Total | |||||||||||||||||||||||||||||||||||||||||
Homes | Other Secured Loans | ||||||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 1-5 | $ | 47,908 | $ | 21,924 | $ | 8,685 | $ | 2,499 | $ | 479,551 | |||||||||||||||||||||||||||||||||||
Loans rated 6 | 688 | 27 | - | 1 | 11,477 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 7 | 4,965 | 71 | - | - | 8,466 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 8 | - | 30 | - | - | 30 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 9 | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||
$ | 53,561 | $ | 22,052 | $ | 8,685 | $ | 2,500 | $ | 499,524 | ||||||||||||||||||||||||||||||||||||
30-Jun-13 | |||||||||||||||||||||||||||||||||||||||||||||
1-4 Family | Commercial | Home Equity | Home Equity | Residential | Commercial Construction | ||||||||||||||||||||||||||||||||||||||||
Residential | Real Estate | First Lien | Second Lien | Construction | |||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 1-5 | $ | 105,529 | $ | 153,513 | $ | 36,093 | $ | 41,963 | $ | 3,736 | $ | 21,237 | |||||||||||||||||||||||||||||||||
Loans rated 6 | 835 | 7,624 | - | - | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 7 | 686 | 6,244 | - | 115 | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 8 | 567 | - | - | 250 | - | - | |||||||||||||||||||||||||||||||||||||||
Loans rated 9 | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||||
$ | 107,617 | $ | 167,381 | $ | 36,093 | $ | 42,328 | $ | 3,736 | $ | 21,237 | ||||||||||||||||||||||||||||||||||
Commercial | Manufactured | Automobile and | Other Consumer | Total | |||||||||||||||||||||||||||||||||||||||||
Homes | Other Secured Loans | ||||||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Loans rated 1-5 | $ | 36,827 | $ | 21,398 | $ | 7,682 | $ | 1,678 | $ | 429,656 | |||||||||||||||||||||||||||||||||||
Loans rated 6 | 994 | 146 | - | - | 9,599 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 7 | 5,745 | 36 | - | 1 | 12,827 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 8 | - | 136 | - | - | 953 | ||||||||||||||||||||||||||||||||||||||||
Loans rated 9 | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||
$ | 43,566 | $ | 21,716 | $ | 7,682 | $ | 1,679 | $ | 453,035 | ||||||||||||||||||||||||||||||||||||
Schedule of Past Due and Non-Accrual Loans | ' | ||||||||||||||||||||||||||||||||||||||||||||
The following are summaries of past due and non-accrual loans at December 31, 2013 and June 30, 2013: | |||||||||||||||||||||||||||||||||||||||||||||
30-59 Days | 60-89 Days | 90 Days | Total | Loans on | |||||||||||||||||||||||||||||||||||||||||
or Greater | |||||||||||||||||||||||||||||||||||||||||||||
Past Due | Past Due | Past Due | Past Due | Non-accrual | |||||||||||||||||||||||||||||||||||||||||
31-Dec-13 | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 552 | $ | 477 | $ | 439 | $ | 1,468 | $ | 670 | |||||||||||||||||||||||||||||||||||
Commercial | - | - | - | - | 138 | ||||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
Second lien | 184 | - | 61 | 245 | 113 | ||||||||||||||||||||||||||||||||||||||||
Commercial | - | - | 1,984 | 1,984 | 1,984 | ||||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 351 | 36 | 65 | 452 | 65 | ||||||||||||||||||||||||||||||||||||||||
Automobile and other | 13 | - | - | 13 | - | ||||||||||||||||||||||||||||||||||||||||
secured loans | |||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,100 | $ | 513 | $ | 2,549 | $ | 4,162 | $ | 2,970 | |||||||||||||||||||||||||||||||||||
30-Jun-13 | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 642 | $ | - | $ | 1,013 | $ | 1,655 | $ | 1,405 | |||||||||||||||||||||||||||||||||||
Commercial | 148 | - | - | 148 | 148 | ||||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
Second lien | 180 | 29 | 268 | 477 | 335 | ||||||||||||||||||||||||||||||||||||||||
Commercial | 16 | 75 | 1,984 | 2,075 | 1,988 | ||||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 115 | - | 103 | 218 | 103 | ||||||||||||||||||||||||||||||||||||||||
Automobile and other | 18 | - | - | 18 | - | ||||||||||||||||||||||||||||||||||||||||
secured loans | |||||||||||||||||||||||||||||||||||||||||||||
Other | 1 | - | - | 1 | - | ||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,120 | $ | 104 | $ | 3,368 | $ | 4,592 | $ | 3,979 | |||||||||||||||||||||||||||||||||||
Schedule of Impaired Loans by Category | ' | ||||||||||||||||||||||||||||||||||||||||||||
The following are summaries of impaired loans at December 31, 2013 and June 30, 2013: | |||||||||||||||||||||||||||||||||||||||||||||
31-Dec-13 | 30-Jun-13 | ||||||||||||||||||||||||||||||||||||||||||||
Recorded | Unpaid | Related | Recorded | Unpaid | Related | ||||||||||||||||||||||||||||||||||||||||
Investment | Principal | Allowance | Investment | Principal | Allowance | ||||||||||||||||||||||||||||||||||||||||
Balance | Balance | ||||||||||||||||||||||||||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans without a valuation allowance: | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 821 | $ | 964 | $ | - | $ | 1,405 | $ | 1,676 | $ | - | |||||||||||||||||||||||||||||||||
Commercial | 4,234 | 4,234 | - | 5,962 | 5,962 | - | |||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
Second lien | 113 | 113 | - | 335 | 335 | - | |||||||||||||||||||||||||||||||||||||||
Other loans: | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 3,963 | 3,970 | - | 4,408 | 4,415 | - | |||||||||||||||||||||||||||||||||||||||
Manufactured homes | 65 | 65 | - | 103 | 103 | - | |||||||||||||||||||||||||||||||||||||||
Total | 9,196 | 9,346 | - | 12,213 | 12,491 | - | |||||||||||||||||||||||||||||||||||||||
Impaired loans with a valuation allowance: | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 682 | 682 | 12 | 2,208 | 2,208 | 32 | |||||||||||||||||||||||||||||||||||||||
Other loans: | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 600 | 600 | 1 | 533 | 533 | - | |||||||||||||||||||||||||||||||||||||||
Total | 1,282 | 1,282 | 13 | 2,741 | 2,741 | 32 | |||||||||||||||||||||||||||||||||||||||
Total impaired loans | $ | 10,478 | $ | 10,628 | $ | 13 | $ | 14,954 | $ | 15,232 | $ | 32 | |||||||||||||||||||||||||||||||||
Schedule of Impaired Loans, Average Recorded Investment and Interest Income Recognized | ' | ||||||||||||||||||||||||||||||||||||||||||||
Information pertaining to impaired loans for the three and six months ended December 31, 2013 and 2012 follows: | |||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended December 31, 2013 | Three Months Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||
Average | Interest Income | Average | Interest Income | ||||||||||||||||||||||||||||||||||||||||||
Recorded | Recognized | Recorded | Recognized | ||||||||||||||||||||||||||||||||||||||||||
Investment on Impaired | Recognized | Investment on Impaired | Recognized | on a Cash | |||||||||||||||||||||||||||||||||||||||||
Loans | on a Cash | Loans | Basis | ||||||||||||||||||||||||||||||||||||||||||
Basis | |||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 946 | $ | 18 | $ | 12 | $ | 1,700 | $ | 15 | $ | 15 | |||||||||||||||||||||||||||||||||
Commercial | 6,192 | 53 | 53 | 11,309 | 191 | 191 | |||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
First lien | - | - | - | 84 | 1 | 1 | |||||||||||||||||||||||||||||||||||||||
Second lien | 238 | 2 | 1 | 215 | 3 | 1 | |||||||||||||||||||||||||||||||||||||||
Commercial | 4,610 | 71 | 35 | 3,763 | 35 | 26 | |||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 60 | 1 | - | 161 | - | - | |||||||||||||||||||||||||||||||||||||||
Total loans | $ | 12,046 | $ | 145 | $ | 101 | $ | 17,232 | $ | 245 | $ | 234 | |||||||||||||||||||||||||||||||||
Six Months Ended December 31, 2013 | Six Months Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||
Average | Interest Income | Average | Interest Income | ||||||||||||||||||||||||||||||||||||||||||
Recorded | Recorded | ||||||||||||||||||||||||||||||||||||||||||||
Investment on Impaired | Recognized | Recognized | Investment on Impaired | Recognized | Recognized | ||||||||||||||||||||||||||||||||||||||||
Loans | on a Cash | Loans | on a Cash | ||||||||||||||||||||||||||||||||||||||||||
Basis | Basis | ||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans on real estate: | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | $ | 1,099 | $ | 35 | $ | 26 | $ | 1,556 | $ | 41 | $ | 41 | |||||||||||||||||||||||||||||||||
Commercial | 6,851 | 106 | 106 | 11,398 | 385 | 385 | |||||||||||||||||||||||||||||||||||||||
Home equity: | |||||||||||||||||||||||||||||||||||||||||||||
First lien | - | - | - | 56 | 2 | 2 | |||||||||||||||||||||||||||||||||||||||
Second lien | 271 | 4 | 3 | 166 | 9 | 4 | |||||||||||||||||||||||||||||||||||||||
Commercial | 4,720 | 139 | 71 | 3,852 | 76 | 71 | |||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||
Manufactured homes | 74 | 3 | 1 | 152 | 10 | - | |||||||||||||||||||||||||||||||||||||||
Total loans | $ | 13,015 | $ | 287 | $ | 207 | $ | 17,180 | $ | 523 | $ | 503 | |||||||||||||||||||||||||||||||||
Schedule of Allowance for Loan Losses | ' | ||||||||||||||||||||||||||||||||||||||||||||
Information pertaining to the allowance for loan losses and recorded investment in loans for the three and six months ended December 31, 2013 and 2012 follows: | |||||||||||||||||||||||||||||||||||||||||||||
1-4 Family Residential | Commercial Real Estate | Home Equity First Lien | Home Equity Second Lien | Residential Construction | Commercial Construction | Commercial | Manufactured Homes | Automobile and Other Secured Loans | Other Consumer | Total | |||||||||||||||||||||||||||||||||||
Three Months Ended | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2013 | $ | 762 | $ | 2,301 | $ | 234 | $ | 302 | $ | 33 | $ | 315 | $ | 1,066 | $ | 396 | $ | 34 | $ | 34 | $ | 5,477 | |||||||||||||||||||||||
Charge-offs | (98 | ) | (17 | ) | - | - | - | - | - | (34 | ) | (1 | ) | - | (150 | ) | |||||||||||||||||||||||||||||
Recoveries | - | - | 2 | - | - | - | 13 | - | - | - | 15 | ||||||||||||||||||||||||||||||||||
Provision | 25 | 76 | - | - | - | - | - | 49 | - | - | 150 | ||||||||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 689 | $ | 2,360 | $ | 236 | $ | 302 | $ | 33 | $ | 315 | $ | 1,079 | $ | 411 | $ | 33 | $ | 34 | $ | 5,492 | |||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2012 | $ | 876 | $ | 2,366 | $ | 208 | $ | 283 | $ | 39 | $ | 21 | $ | 963 | $ | 379 | $ | 25 | $ | 12 | $ | 5,172 | |||||||||||||||||||||||
Charge-offs | (113 | ) | (56 | ) | (50 | ) | - | - | - | - | - | - | (8 | ) | (227 | ) | |||||||||||||||||||||||||||||
Recoveries | 2 | - | 2 | - | - | - | - | - | - | 3 | 7 | ||||||||||||||||||||||||||||||||||
Provision | 26 | 60 | 7 | 10 | 1 | 4 | 50 | 15 | 1 | 1 | 175 | ||||||||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 791 | $ | 2,370 | $ | 167 | $ | 293 | $ | 40 | $ | 25 | $ | 1,013 | $ | 394 | $ | 26 | $ | 8 | $ | 5,127 | |||||||||||||||||||||||
Six Months Ended | |||||||||||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2013 | $ | 762 | $ | 2,215 | $ | 233 | $ | 302 | $ | 33 | $ | 315 | $ | 1,065 | $ | 432 | $ | 34 | $ | 23 | $ | 5,414 | |||||||||||||||||||||||
Charge-offs | (98 | ) | (20 | ) | - | - | - | - | - | (81 | ) | (1 | ) | - | (200 | ) | |||||||||||||||||||||||||||||
Recoveries | - | - | 3 | - | - | - | 14 | - | - | 11 | 28 | ||||||||||||||||||||||||||||||||||
Provision | 25 | 165 | - | - | - | - | - | 60 | - | - | 250 | ||||||||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 689 | $ | 2,360 | $ | 236 | $ | 302 | $ | 33 | $ | 315 | $ | 1,079 | $ | 411 | $ | 33 | $ | 34 | $ | 5,492 | |||||||||||||||||||||||
Six Months Ended | |||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2012 | $ | 865 | $ | 2,360 | $ | 206 | $ | 280 | $ | 38 | $ | 20 | $ | 969 | $ | 375 | $ | 25 | $ | 10 | $ | 5,148 | |||||||||||||||||||||||
Charge-offs | (113 | ) | (87 | ) | (50 | ) | - | - | - | - | - | - | (8 | ) | (258 | ) | |||||||||||||||||||||||||||||
Recoveries | 5 | - | 2 | - | - | - | - | - | - | 5 | 12 | ||||||||||||||||||||||||||||||||||
Provision | 34 | 97 | 9 | 13 | 2 | 5 | 44 | 19 | 1 | 1 | 225 | ||||||||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 791 | $ | 2,370 | $ | 167 | $ | 293 | $ | 40 | $ | 25 | $ | 1,013 | $ | 394 | $ | 26 | $ | 8 | $ | 5,127 | |||||||||||||||||||||||
1-4 Family Residential | Commercial Real Estate | Home Equity First Lien | Home Equity Second Lien | Residential Construction | Commercial Construction | Commercial | Manufactured Homes | Automobile and Other Secured Loans | Other Consumer | Total | |||||||||||||||||||||||||||||||||||
At December 31, 2013 | (In Thousands) | ||||||||||||||||||||||||||||||||||||||||||||
Allowance: | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans | $ | - | $ | 12 | $ | - | $ | - | $ | - | $ | - | $ | 1 | $ | - | $ | - | $ | - | $ | 13 | |||||||||||||||||||||||
Non-impaired loans | 689 | 2,348 | 236 | 302 | 33 | 315 | 1,078 | 411 | 33 | 34 | 5,479 | ||||||||||||||||||||||||||||||||||
Total allowance for loan losses | $ | 689 | $ | 2,360 | $ | 236 | $ | 302 | $ | 33 | $ | 315 | $ | 1,079 | $ | 411 | $ | 33 | $ | 34 | $ | 5,492 | |||||||||||||||||||||||
Loans: | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans | $ | 821 | $ | 4,916 | $ | - | $ | 113 | $ | - | $ | - | $ | 4,563 | $ | 65 | $ | - | $ | - | $ | 10,478 | |||||||||||||||||||||||
Non-impaired loans | 107,389 | 188,247 | 37,036 | 41,655 | 3,809 | 28,740 | 48,998 | 21,987 | 8,685 | 2,500 | 489,046 | ||||||||||||||||||||||||||||||||||
Total loans | $ | 108,210 | $ | 193,163 | $ | 37,036 | $ | 41,768 | $ | 3,809 | $ | 28,740 | $ | 53,561 | $ | 22,052 | $ | 8,685 | $ | 2,500 | $ | 499,524 | |||||||||||||||||||||||
At June 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Allowance: | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans | $ | - | $ | 32 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 32 | |||||||||||||||||||||||
Non-impaired loans | 762 | 2,183 | 233 | 302 | 33 | 315 | 1,065 | 432 | 34 | 23 | 5,382 | ||||||||||||||||||||||||||||||||||
Total allowance for loan losses | $ | 762 | $ | 2,215 | $ | 233 | $ | 302 | $ | 33 | $ | 315 | $ | 1,065 | $ | 432 | $ | 34 | $ | 23 | $ | 5,414 | |||||||||||||||||||||||
Loans: | |||||||||||||||||||||||||||||||||||||||||||||
Impaired loans | $ | 1,405 | $ | 8,170 | $ | - | $ | 335 | $ | - | $ | - | $ | 4,941 | $ | 103 | $ | - | $ | - | $ | 14,954 | |||||||||||||||||||||||
Non-impaired loans | 106,212 | 159,211 | 36,093 | 41,993 | 3,736 | 21,237 | 38,625 | 21,613 | 7,682 | 1,679 | 438,081 | ||||||||||||||||||||||||||||||||||
Total loans | $ | 107,617 | $ | 167,381 | $ | 36,093 | $ | 42,328 | $ | 3,736 | $ | 21,237 | $ | 43,566 | $ | 21,716 | $ | 7,682 | $ | 1,679 | $ | 453,035 |
Recovered_Sheet1
Basis of Presentation and Consolidation (Detail) | 6 Months Ended |
Dec. 31, 2013 | |
Hampden LS, Inc. | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items] | ' |
Maturity period of loan to ESOP | '15 years |
Hampden Bank | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items] | ' |
Number of subsidiaries owned by Hampden Bank | 3 |
Earnings_Per_Share_Detail
Earnings Per Share (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' |
Net income applicable to common stock | $1,021 | $771 | $2,228 | $1,532 |
Average number of shares issued | 8,020,607 | 7,964,496 | 8,012,352 | 7,958,022 |
Less: average unallocated ESOP shares | -346,159 | -388,555 | -351,477 | -393,873 |
Less: average treasury stock | -2,371,759 | -2,124,496 | -2,370,760 | -2,066,080 |
Less: average unvested restricted stock awards | -2,400 | -50,096 | -2,521 | -49,493 |
Average number of basic shares outstanding | 5,300,289 | 5,401,349 | 5,287,594 | 5,448,576 |
Average number of diluted shares outstanding | 5,443,078 | 5,527,472 | 5,422,530 | 5,556,209 |
Basic earnings per share | $0.19 | $0.14 | $0.42 | $0.28 |
Diluted earnings per share | $0.19 | $0.14 | $0.41 | $0.28 |
Restricted Stock | ' | ' | ' | ' |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' |
Plus: dilutive shares attributable to share-based payments | 1,380 | 38,504 | 1,427 | 33,910 |
Stock Options | ' | ' | ' | ' |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' |
Plus: dilutive shares attributable to share-based payments | 141,409 | 87,619 | 133,509 | 73,723 |
Dividends_Detail
Dividends (Detail) (USD $) | 0 Months Ended | 6 Months Ended | 0 Months Ended | ||
Nov. 29, 2013 | Nov. 05, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Feb. 04, 2014 | |
Subsequent Event | |||||
Class of Stock [Line Items] | ' | ' | ' | ' | ' |
Common dividend declared, per share | ' | $0.06 | ' | ' | $0.06 |
Common dividend date of record | ' | 15-Nov-13 | ' | ' | 14-Feb-14 |
Common dividend paid, per share | $0.06 | ' | $0.12 | $0.08 | ' |
Common dividend date payable | ' | ' | ' | ' | 28-Feb-14 |
Loan_Commitments_Detail
Loan Commitments (Detail) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Millions, unless otherwise specified | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ' | ' |
Outstanding loan commitments | $131.10 | $155.60 |
Fair_Value_of_Assets_and_Liabi2
Fair Value of Assets and Liabilities - Schedule of Financial Assets Measured at Fair Value on Recurring Basis (Detail) (Fair Value, Measurements, Recurring, USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | $142,435 | $138,662 |
Marketable equity securities | 72 | 68 |
Mortgage servicing rights | 783 | 654 |
Total assets measured at fair value on a recurring basis | 143,290 | 139,384 |
Municipal Bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | 8,375 | 395 |
Corporate bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | 3,102 | 3,076 |
Government sponsored enterprises residential mortgage-backed securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | 129,061 | 132,988 |
Non-government sponsored enterprises residential mortgage-backed securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | 1,897 | 2,203 |
Level 1 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Marketable equity securities | 72 | 68 |
Total assets measured at fair value on a recurring basis | 72 | 68 |
Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | 142,435 | 138,662 |
Total assets measured at fair value on a recurring basis | 142,435 | 138,662 |
Level 2 | Municipal Bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | 8,375 | 395 |
Level 2 | Corporate bonds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | 3,102 | 3,076 |
Level 2 | Government sponsored enterprises residential mortgage-backed securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | 129,061 | 132,988 |
Level 2 | Non-government sponsored enterprises residential mortgage-backed securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Debt securities | 1,897 | 2,203 |
Level 3 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Mortgage servicing rights | 783 | 654 |
Total assets measured at fair value on a recurring basis | $783 | $654 |
Fair_Value_of_Assets_and_Liabi3
Fair Value of Assets and Liabilities - Schedule of Level 3 Assets Measured at Fair Value on Recurring Basis (Detail) (Mortgage Servicing Rights, Fair Value, Measurements, Recurring, USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Mortgage Servicing Rights | Fair Value, Measurements, Recurring | ' | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' | ' |
Beginning balance | $830 | $440 | $654 | $445 |
Total realized and unrealized gains (losses) included in net income | -76 | -59 | 68 | -102 |
Capitalized servicing assets | 29 | 63 | 61 | 101 |
Ending balance | $783 | $444 | $783 | $444 |
Fair_Value_of_Assets_and_Liabi4
Fair Value of Assets and Liabilities - Schedule of Financial Assets Measured at Fair Value on Nonrecurring Basis (Detail) (Fair Value, Measurements, Nonrecurring, Level 3, USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets at fair value | ' | $1,513 |
Impaired Loans | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets at fair value | ' | 292 |
Other Real Estate Owned | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets at fair value | $1,274 | $1,221 |
Fair_Value_of_Assets_and_Liabi5
Fair Value of Assets and Liabilities - Narrative (Detail) (Fair Value, Measurements, Nonrecurring, Level 3, USD $) | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | |
Other Real Estate Owned | Other Real Estate Owned | Other Real Estate Owned | Impaired Loans | Impaired Loans | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' |
Fair value, assets measured on nonrecurring basis, recognized gain (loss) | ($15,000) | ($19,000) | $12,000 | ($204,000) | ($204,000) |
Fair_Value_of_Assets_and_Liabi6
Fair Value of Assets and Liabilities - Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments (Detail) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | ||
In Thousands, unless otherwise specified | ||||||
Financial assets: | ' | ' | ' | ' | ||
Cash and cash equivalents | $14,942 | $25,618 | $30,279 | $27,923 | ||
Securities available for sale | 142,507 | 138,730 | ' | ' | ||
Federal Home Loan Bank stock | 6,761 | 5,092 | ' | ' | ||
Loans held for sale | 653 | 1,274 | ' | ' | ||
Loans, net, carrying value | 496,805 | 450,347 | ' | ' | ||
Accrued interest receivable | 1,645 | 1,636 | ' | ' | ||
Financial liabilities: | ' | ' | ' | ' | ||
Deposits, carrying value | 477,139 | 474,798 | ' | ' | ||
Short-term borrowings | 22,000 | 4,500 | ' | ' | ||
Long-term debt, carrying value | 104,374 | 82,492 | ' | ' | ||
Mortgagors' escrow accounts | 1,142 | 1,100 | ' | ' | ||
Level 1 | ' | ' | ' | ' | ||
Financial assets: | ' | ' | ' | ' | ||
Cash and cash equivalents | 14,942 | 25,618 | ' | ' | ||
Securities available for sale | 72 | 68 | ' | ' | ||
Level 2 | ' | ' | ' | ' | ||
Financial assets: | ' | ' | ' | ' | ||
Securities available for sale | 142,435 | 138,662 | ' | ' | ||
Financial liabilities: | ' | ' | ' | ' | ||
Short-term borrowings | 22,000 | 4,500 | ' | ' | ||
Long-term debt, fair value | 103,734 | 82,527 | ' | ' | ||
Level 3 | ' | ' | ' | ' | ||
Financial assets: | ' | ' | ' | ' | ||
Federal Home Loan Bank stock | 6,761 | 5,092 | ' | ' | ||
Loans held for sale | 653 | 1,274 | ' | ' | ||
Loans, net, fair value | 504,831 | 459,018 | ' | ' | ||
Accrued interest receivable | 1,645 | 1,636 | ' | ' | ||
Financial liabilities: | ' | ' | ' | ' | ||
Deposits, fair value | 478,820 | 477,059 | ' | ' | ||
Mortgagors' escrow accounts | 1,142 | 1,010 | ' | ' | ||
Level 3 | Other Assets | ' | ' | ' | ' | ||
Financial assets: | ' | ' | ' | ' | ||
Mortgage servicing rights | 783 | [1] | 654 | [1] | ' | ' |
Carrying Amount | ' | ' | ' | ' | ||
Financial assets: | ' | ' | ' | ' | ||
Cash and cash equivalents | 14,942 | 25,618 | ' | ' | ||
Securities available for sale | 142,507 | 138,730 | ' | ' | ||
Federal Home Loan Bank stock | 6,761 | 5,092 | ' | ' | ||
Loans held for sale | 653 | 1,274 | ' | ' | ||
Loans, net, carrying value | 496,805 | 450,347 | ' | ' | ||
Accrued interest receivable | 1,645 | 1,636 | ' | ' | ||
Financial liabilities: | ' | ' | ' | ' | ||
Deposits, carrying value | 477,139 | 474,798 | ' | ' | ||
Short-term borrowings | 22,000 | 4,500 | ' | ' | ||
Long-term debt, carrying value | 104,374 | 82,492 | ' | ' | ||
Mortgagors' escrow accounts | 1,142 | 1,100 | ' | ' | ||
Carrying Amount | Other Assets | ' | ' | ' | ' | ||
Financial assets: | ' | ' | ' | ' | ||
Mortgage servicing rights | 783 | [1] | 654 | [1] | ' | ' |
Fair Value | ' | ' | ' | ' | ||
Financial assets: | ' | ' | ' | ' | ||
Cash and cash equivalents | 14,942 | 25,618 | ' | ' | ||
Securities available for sale | 142,507 | 138,730 | ' | ' | ||
Federal Home Loan Bank stock | 6,761 | 5,092 | ' | ' | ||
Loans held for sale | 653 | 1,274 | ' | ' | ||
Loans, net, fair value | 504,831 | 459,018 | ' | ' | ||
Accrued interest receivable | 1,645 | 1,636 | ' | ' | ||
Financial liabilities: | ' | ' | ' | ' | ||
Deposits, fair value | 478,820 | 477,059 | ' | ' | ||
Short-term borrowings | 22,000 | 4,500 | ' | ' | ||
Long-term debt, fair value | 103,734 | 82,527 | ' | ' | ||
Mortgagors' escrow accounts | 1,142 | 1,010 | ' | ' | ||
Fair Value | Other Assets | ' | ' | ' | ' | ||
Financial assets: | ' | ' | ' | ' | ||
Mortgage servicing rights | $783 | [1] | $654 | [1] | ' | ' |
[1] | Included in other assets. |
Recovered_Sheet2
Securities Available for Sale - Schedule of Amortized Cost and Estimated Fair Value (Detail) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Amortized cost | $143,370 | $138,189 |
Securities available for sale - Gross unrealized gains | 1,750 | 1,983 |
Securities available for sale - Gross unrealized losses | -2,613 | -1,442 |
Securities available for sale - Fair value | 142,507 | 138,730 |
Marketable equity securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Equity securities - Amortized cost | 51 | 51 |
Securities available for sale - Gross unrealized gains | 21 | 17 |
Securities available for sale - Equity securities - Fair value | 72 | 68 |
Debt securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Debt securities - Amortized cost | 143,319 | 138,138 |
Securities available for sale - Gross unrealized gains | 1,729 | 1,966 |
Securities available for sale - Gross unrealized losses | -2,613 | -1,442 |
Securities available for sale - Debt securities - Fair value | 142,435 | 138,662 |
Debt securities | Municipal Bonds | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Debt securities - Amortized cost | 8,375 | 395 |
Securities available for sale - Debt securities - Fair value | 8,375 | 395 |
Debt securities | Corporate bonds | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Debt securities - Amortized cost | 3,031 | 3,036 |
Securities available for sale - Gross unrealized gains | 71 | 40 |
Securities available for sale - Debt securities - Fair value | 3,102 | 3,076 |
Debt securities | Government sponsored enterprises residential mortgage-backed securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Debt securities - Amortized cost | 130,017 | 132,498 |
Securities available for sale - Gross unrealized gains | 1,650 | 1,916 |
Securities available for sale - Gross unrealized losses | -2,606 | -1,426 |
Securities available for sale - Debt securities - Fair value | 129,061 | 132,988 |
Debt securities | Non-government sponsored enterprises residential mortgage-backed securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Debt securities - Amortized cost | 1,895 | 2,209 |
Securities available for sale - Gross unrealized gains | 9 | 10 |
Securities available for sale - Gross unrealized losses | -7 | -16 |
Securities available for sale - Debt securities - Fair value | $1,897 | $2,203 |
Securities_Available_for_Sale_1
Securities Available for Sale - Schedule of Debt Securities by Contractual Maturity (Detail) (Debt securities, USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Debt securities - Fair value | $142,435 | $138,662 |
Securities available for sale - Debt securities - Amortized cost | 143,319 | 138,138 |
Municipal and corporate bonds | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale, due within 1 year - Fair value | 7,401 | ' |
Securities available for sale, due after 1 year but within 5 years - Fair value | 4,076 | ' |
Securities available for sale - Debt securities - Fair value | 11,477 | ' |
Securities available for sale, due within 1 year - Amortized cost | 7,422 | ' |
Securities available for sale, due after 1 year but within 5 years - Amortized cost | 3,984 | ' |
Securities available for sale - Debt securities - Amortized cost | 11,406 | ' |
Government sponsored enterprises residential mortgage-backed securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Debt securities - Fair value | 129,061 | 132,988 |
Securities available for sale - Debt securities - Amortized cost | 130,017 | 132,498 |
Non-government sponsored enterprises residential mortgage-backed securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Debt securities - Fair value | 1,897 | 2,203 |
Securities available for sale - Debt securities - Amortized cost | $1,895 | $2,209 |
Securities_Available_for_Sale_2
Securities Available for Sale - Schedule of Securities with Gross Unrealized Losses (Detail) (Debt securities, USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Continuous unrealized loss position, less than 12 months - Gross unrealized losses | $2,022 | $1,342 |
Securities available for sale - Continuous unrealized loss position, less than 12 months - Fair value | 58,105 | 68,786 |
Securities available for sale - Continuous unrealized loss position, over 12 months - Gross unrealized losses | 591 | 100 |
Securities available for sale - Continuous unrealized loss position, over 12 months - Fair value | 14,062 | 7,189 |
Securities available for sale - Continuous unrealized loss - Gross unrealized losses | 2,613 | 1,442 |
Securities available for sale - Continuous unrealized loss position - Fair value | 72,167 | 75,975 |
Government sponsored enterprises residential mortgage-backed securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Continuous unrealized loss position, less than 12 months - Gross unrealized losses | 2,020 | 1,337 |
Securities available for sale - Continuous unrealized loss position, less than 12 months - Fair value | 57,366 | 68,456 |
Securities available for sale - Continuous unrealized loss position, over 12 months - Gross unrealized losses | 586 | 89 |
Securities available for sale - Continuous unrealized loss position, over 12 months - Fair value | 13,730 | 6,142 |
Securities available for sale - Continuous unrealized loss - Gross unrealized losses | 2,606 | 1,426 |
Securities available for sale - Continuous unrealized loss position - Fair value | 71,096 | 74,598 |
Non-government sponsored enterprises residential mortgage-backed securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Securities available for sale - Continuous unrealized loss position, less than 12 months - Gross unrealized losses | 2 | 5 |
Securities available for sale - Continuous unrealized loss position, less than 12 months - Fair value | 739 | 330 |
Securities available for sale - Continuous unrealized loss position, over 12 months - Gross unrealized losses | 5 | 11 |
Securities available for sale - Continuous unrealized loss position, over 12 months - Fair value | 332 | 1,047 |
Securities available for sale - Continuous unrealized loss - Gross unrealized losses | 7 | 16 |
Securities available for sale - Continuous unrealized loss position - Fair value | $1,071 | $1,377 |
Securities_Available_for_Sale_3
Securities Available for Sale - Narrative (Detail) (Debt securities) | Dec. 31, 2013 |
Investment | |
Schedule of Available-for-sale Securities [Line Items] | ' |
Number of securities with unrealized losses | 47 |
Aggregate depreciation percentage from amortized cost basis | 3.50% |
Private mortgage originators | ' |
Schedule of Available-for-sale Securities [Line Items] | ' |
Number of securities with unrealized losses | 9 |
Loans_Schedule_of_Loan_Balance
Loans - Schedule of Loan Balances (Detail) (USD $) | 6 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 100.00% | ' | 100.00% | ' | ' | ' |
Change in loan portfolio | $46,489 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 10.26% | ' | ' | ' | ' | ' |
Total mortgage loans on real estate | 412,726 | ' | 378,392 | ' | ' | ' |
Total other loans | 86,798 | ' | 74,643 | ' | ' | ' |
Total loans | 499,524 | ' | 453,035 | ' | ' | ' |
Net deferred loan costs | 2,773 | ' | 2,726 | ' | ' | ' |
Allowance for loan losses | -5,492 | -5,477 | -5,414 | -5,127 | -5,172 | -5,148 |
Total loans, net | 496,805 | ' | 450,347 | ' | ' | ' |
1-4 Family Residential Mortgage Loans | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 21.66% | ' | 23.75% | ' | ' | ' |
Change in loan portfolio | 593 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 0.55% | ' | ' | ' | ' | ' |
1-4 family residential mortgage loans | 108,210 | ' | 107,617 | ' | ' | ' |
Total loans | 108,210 | ' | 107,617 | ' | ' | ' |
Allowance for loan losses | -689 | -762 | -762 | -791 | -876 | -865 |
Commercial Real Estate Loans | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 38.67% | ' | 36.95% | ' | ' | ' |
Change in loan portfolio | 25,782 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 15.40% | ' | ' | ' | ' | ' |
Commercial real estate mortgage loans | 193,163 | ' | 167,381 | ' | ' | ' |
Total loans | 193,163 | ' | 167,381 | ' | ' | ' |
Allowance for loan losses | -2,360 | -2,301 | -2,215 | -2,370 | -2,366 | -2,360 |
Home Equity Lines of Credit | First Lien | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 7.41% | ' | 7.97% | ' | ' | ' |
Change in loan portfolio | 943 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 2.61% | ' | ' | ' | ' | ' |
Home equity loans | 37,036 | ' | 36,093 | ' | ' | ' |
Total loans | 37,036 | ' | 36,093 | ' | ' | ' |
Allowance for loan losses | -236 | -234 | -233 | -167 | -208 | -206 |
Home Equity Lines of Credit | Second Lien | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 8.36% | ' | 9.34% | ' | ' | ' |
Change in loan portfolio | -560 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | -1.32% | ' | ' | ' | ' | ' |
Home equity loans | 41,768 | ' | 42,328 | ' | ' | ' |
Total loans | 41,768 | ' | 42,328 | ' | ' | ' |
Allowance for loan losses | -302 | -302 | -302 | -293 | -283 | -280 |
Residential Construction Loans | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 0.76% | ' | 0.82% | ' | ' | ' |
Change in loan portfolio | 73 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 1.95% | ' | ' | ' | ' | ' |
Residential construction loans | 3,809 | ' | 3,736 | ' | ' | ' |
Total loans | 3,809 | ' | 3,736 | ' | ' | ' |
Allowance for loan losses | -33 | -33 | -33 | -40 | -39 | -38 |
Commercial Construction Loans | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 5.75% | ' | 4.69% | ' | ' | ' |
Change in loan portfolio | 7,503 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 35.33% | ' | ' | ' | ' | ' |
Commercial construction loans | 28,740 | ' | 21,237 | ' | ' | ' |
Total loans | 28,740 | ' | 21,237 | ' | ' | ' |
Allowance for loan losses | -315 | -315 | -315 | -25 | -21 | -20 |
Other Commercial Loans | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 10.72% | ' | 9.62% | ' | ' | ' |
Change in loan portfolio | 9,995 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 22.94% | ' | ' | ' | ' | ' |
Other commercial loans | 53,561 | ' | 43,566 | ' | ' | ' |
Total loans | 53,561 | ' | 43,566 | ' | ' | ' |
Allowance for loan losses | -1,079 | -1,066 | -1,065 | -1,013 | -963 | -969 |
Manufactured Home Loans | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 4.41% | ' | 4.79% | ' | ' | ' |
Change in loan portfolio | 336 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 1.55% | ' | ' | ' | ' | ' |
Other consumer loans | 22,052 | ' | 21,716 | ' | ' | ' |
Total loans | 22,052 | ' | 21,716 | ' | ' | ' |
Allowance for loan losses | -411 | -396 | -432 | -394 | -379 | -375 |
Automobile and Other Secured Loans | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 1.74% | ' | 1.70% | ' | ' | ' |
Change in loan portfolio | 1,003 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 13.06% | ' | ' | ' | ' | ' |
Other consumer loans | 8,685 | ' | 7,682 | ' | ' | ' |
Total loans | 8,685 | ' | 7,682 | ' | ' | ' |
Allowance for loan losses | -33 | -34 | -34 | -26 | -25 | -25 |
Other Consumer Loans | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 0.50% | ' | 0.37% | ' | ' | ' |
Change in loan portfolio | 821 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 48.90% | ' | ' | ' | ' | ' |
Other consumer loans | 2,500 | ' | 1,679 | ' | ' | ' |
Total loans | 2,500 | ' | 1,679 | ' | ' | ' |
Allowance for loan losses | -34 | -34 | -23 | -8 | -12 | -10 |
Mortgage Loans on Real Estate | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 82.62% | ' | 83.52% | ' | ' | ' |
Change in loan portfolio | 34,334 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 9.07% | ' | ' | ' | ' | ' |
Other Loans | ' | ' | ' | ' | ' | ' |
Loans Receivable [Line Items] | ' | ' | ' | ' | ' | ' |
Percentage of loan portfolio | 17.38% | ' | 16.48% | ' | ' | ' |
Change in loan portfolio | $12,155 | ' | ' | ' | ' | ' |
Percentage change in loan portfolio | 16.28% | ' | ' | ' | ' | ' |
Loans_Narrative_Detail
Loans - Narrative (Detail) (USD $) | 6 Months Ended | |
Dec. 31, 2013 | Jun. 30, 2013 | |
Item | ||
Loans Receivable [Line Items] | ' | ' |
Number of days past due to trigger loan impairment and non-accrual status | '90 days | ' |
Loans past due 90 days or more and still accruing | $0 | $0 |
Number of performing impaired loans with future funding commitments | 3 | ' |
Impaired loans, amount committed to be advanced | 399,000 | ' |
Impaired loans, recorded investment | 10,478,000 | 14,954,000 |
Impaired loans, non-accrual | 2,970,000 | 3,979,000 |
Impaired loans, accruing troubled debt restructured loans | 4,800,000 | 7,300,000 |
Impaired loans, unlikely to collect scheduled payments when due | 2,700,000 | 3,700,000 |
Impaired loans, current with payment terms | 7,400,000 | 11,000,000 |
Impaired loans, percentage current with payment terms | 70.20% | 73.00% |
1-4 Family Residential Mortgage Loans | ' | ' |
Loans Receivable [Line Items] | ' | ' |
Maximum loan-to-value ratio at time of origination | 80.00% | ' |
Impaired loans, recorded investment | 821,000 | 1,405,000 |
Impaired loans, non-accrual | 670,000 | 1,405,000 |
Home Equity Lines of Credit | ' | ' |
Loans Receivable [Line Items] | ' | ' |
Maximum loan-to-value ratio at time of origination | 85.00% | ' |
Home Equity Lines of Credit | Minimum | ' | ' |
Loans Receivable [Line Items] | ' | ' |
Contractual time period of availability for lines-of-credit to be drawn upon | '10 years | ' |
Lines-of-credit converted to term loans, amortization period | '5 years | ' |
Home Equity Lines of Credit | Maximum | ' | ' |
Loans Receivable [Line Items] | ' | ' |
Contractual time period of availability for lines-of-credit to be drawn upon | '20 years | ' |
Lines-of-credit converted to term loans, amortization period | '10 years | ' |
Commercial Real Estate and Commercial Loans | ' | ' |
Loans Receivable [Line Items] | ' | ' |
Loans sold and serviced by the company | $34,500,000 | $35,000,000 |
Loans_Schedule_of_Loans_by_Ris
Loans - Schedule of Loans by Risk Rating (Detail) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Total loans | $499,524 | $453,035 |
Loans rated 1-5 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Total loans | 479,551 | 429,656 |
Loans rated 6 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Total loans | 11,477 | 9,599 |
Loans rated 7 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Total loans | 8,466 | 12,827 |
Loans rated 8 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Total loans | 30 | 953 |
Other Commercial Loans | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 53,561 | 43,566 |
Total loans | 53,561 | 43,566 |
Other Commercial Loans | Loans rated 1-5 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 47,908 | 36,827 |
Other Commercial Loans | Loans rated 6 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 688 | 994 |
Other Commercial Loans | Loans rated 7 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial loans | 4,965 | 5,745 |
Manufactured Home Loans | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 22,052 | 21,716 |
Total loans | 22,052 | 21,716 |
Manufactured Home Loans | Loans rated 1-5 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 21,924 | 21,398 |
Manufactured Home Loans | Loans rated 6 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 27 | 146 |
Manufactured Home Loans | Loans rated 7 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 71 | 36 |
Manufactured Home Loans | Loans rated 8 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 30 | 136 |
Automobile and Other Secured Loans | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 8,685 | 7,682 |
Total loans | 8,685 | 7,682 |
Automobile and Other Secured Loans | Loans rated 1-5 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 8,685 | 7,682 |
Other Consumer Loans | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 2,500 | 1,679 |
Total loans | 2,500 | 1,679 |
Other Consumer Loans | Loans rated 1-5 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 2,499 | 1,678 |
Other Consumer Loans | Loans rated 6 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | 1 | ' |
Other Consumer Loans | Loans rated 7 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Other consumer loans | ' | 1 |
1-4 Family Residential Mortgage Loans | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
1-4 family residential mortgage loans | 108,210 | 107,617 |
Total loans | 108,210 | 107,617 |
1-4 Family Residential Mortgage Loans | Loans rated 1-5 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
1-4 family residential mortgage loans | 106,660 | 105,529 |
1-4 Family Residential Mortgage Loans | Loans rated 6 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
1-4 family residential mortgage loans | 939 | 835 |
1-4 Family Residential Mortgage Loans | Loans rated 7 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
1-4 family residential mortgage loans | 611 | 686 |
1-4 Family Residential Mortgage Loans | Loans rated 8 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
1-4 family residential mortgage loans | ' | 567 |
Commercial Real Estate Loans | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial real estate mortgage loans | 193,163 | 167,381 |
Total loans | 193,163 | 167,381 |
Commercial Real Estate Loans | Loans rated 1-5 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial real estate mortgage loans | 181,019 | 153,513 |
Commercial Real Estate Loans | Loans rated 6 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial real estate mortgage loans | 9,410 | 7,624 |
Commercial Real Estate Loans | Loans rated 7 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial real estate mortgage loans | 2,734 | 6,244 |
Home Equity Lines of Credit | First Lien | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Home equity loans | 37,036 | 36,093 |
Total loans | 37,036 | 36,093 |
Home Equity Lines of Credit | Second Lien | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Home equity loans | 41,768 | 42,328 |
Total loans | 41,768 | 42,328 |
Home Equity Lines of Credit | Loans rated 1-5 | First Lien | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Home equity loans | 37,036 | 36,093 |
Home Equity Lines of Credit | Loans rated 1-5 | Second Lien | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Home equity loans | 41,683 | 41,963 |
Home Equity Lines of Credit | Loans rated 7 | Second Lien | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Home equity loans | 85 | 115 |
Home Equity Lines of Credit | Loans rated 8 | Second Lien | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Home equity loans | ' | 250 |
Residential Construction Loans | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential construction loans | 3,809 | 3,736 |
Total loans | 3,809 | 3,736 |
Residential Construction Loans | Loans rated 1-5 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Residential construction loans | 3,809 | 3,736 |
Commercial Construction Loans | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial construction loans | 28,740 | 21,237 |
Total loans | 28,740 | 21,237 |
Commercial Construction Loans | Loans rated 1-5 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial construction loans | 28,328 | 21,237 |
Commercial Construction Loans | Loans rated 6 | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Commercial construction loans | $412 | ' |
Loans_Schedule_of_Past_Due_and
Loans - Schedule of Past Due and Non-Accrual Loans (Detail) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30-59 Days Past Due | $1,100 | $1,120 |
60-89 Days Past Due | 513 | 104 |
90 Days or Greater Past Due | 2,549 | 3,368 |
Total Past Due | 4,162 | 4,592 |
Loans on Non-accrual | 2,970 | 3,979 |
1-4 Family Residential Mortgage Loans | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30-59 Days Past Due | 552 | 642 |
60-89 Days Past Due | 477 | ' |
90 Days or Greater Past Due | 439 | 1,013 |
Total Past Due | 1,468 | 1,655 |
Loans on Non-accrual | 670 | 1,405 |
Commercial Real Estate Loans | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30-59 Days Past Due | ' | 148 |
Total Past Due | ' | 148 |
Loans on Non-accrual | 138 | 148 |
Home Equity Lines of Credit | Second Lien | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30-59 Days Past Due | 184 | 180 |
60-89 Days Past Due | ' | 29 |
90 Days or Greater Past Due | 61 | 268 |
Total Past Due | 245 | 477 |
Loans on Non-accrual | 113 | 335 |
Other Commercial Loans | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30-59 Days Past Due | ' | 16 |
60-89 Days Past Due | ' | 75 |
90 Days or Greater Past Due | 1,984 | 1,984 |
Total Past Due | 1,984 | 2,075 |
Loans on Non-accrual | 1,984 | 1,988 |
Manufactured Home Loans | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30-59 Days Past Due | 351 | 115 |
60-89 Days Past Due | 36 | ' |
90 Days or Greater Past Due | 65 | 103 |
Total Past Due | 452 | 218 |
Loans on Non-accrual | 65 | 103 |
Automobile and Other Secured Loans | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30-59 Days Past Due | 13 | 18 |
Total Past Due | 13 | 18 |
Other Consumer Loans | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
30-59 Days Past Due | ' | 1 |
Total Past Due | ' | $1 |
Loans_Schedule_of_Impaired_Loa
Loans - Schedule of Impaired Loans by Category (Detail) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Impaired [Line Items] | ' | ' |
Total impaired loans, recorded investment | $10,478 | $14,954 |
Total impaired loans, unpaid principal balance | 10,628 | 15,232 |
Impaired loans with a valuation allowance, recorded investment | 1,282 | 2,741 |
Impaired loans with a valuation allowance, unpaid principal balance | 1,282 | 2,741 |
Impaired loans with a valuation allowance, related allowance | 13 | 32 |
Impaired loans without a valuation allowance, recorded investment | 9,196 | 12,213 |
Impaired loans without a valuation allowance, unpaid principal balance | 9,346 | 12,491 |
1-4 Family Residential Mortgage Loans | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Total impaired loans, recorded investment | 821 | 1,405 |
Impaired loans without a valuation allowance, recorded investment | 821 | 1,405 |
Impaired loans without a valuation allowance, unpaid principal balance | 964 | 1,676 |
Commercial Real Estate Loans | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Total impaired loans, recorded investment | 4,916 | 8,170 |
Impaired loans with a valuation allowance, recorded investment | 682 | 2,208 |
Impaired loans with a valuation allowance, unpaid principal balance | 682 | 2,208 |
Impaired loans with a valuation allowance, related allowance | 12 | 32 |
Impaired loans without a valuation allowance, recorded investment | 4,234 | 5,962 |
Impaired loans without a valuation allowance, unpaid principal balance | 4,234 | 5,962 |
Home Equity Lines of Credit | Second Lien | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Total impaired loans, recorded investment | 113 | 335 |
Impaired loans without a valuation allowance, recorded investment | 113 | 335 |
Impaired loans without a valuation allowance, unpaid principal balance | 113 | 335 |
Other Commercial Loans | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Total impaired loans, recorded investment | 4,563 | 4,941 |
Impaired loans with a valuation allowance, recorded investment | 600 | 533 |
Impaired loans with a valuation allowance, unpaid principal balance | 600 | 533 |
Impaired loans with a valuation allowance, related allowance | 1 | ' |
Impaired loans without a valuation allowance, recorded investment | 3,963 | 4,408 |
Impaired loans without a valuation allowance, unpaid principal balance | 3,970 | 4,415 |
Manufactured Home Loans | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Total impaired loans, recorded investment | 65 | 103 |
Impaired loans without a valuation allowance, recorded investment | 65 | 103 |
Impaired loans without a valuation allowance, unpaid principal balance | $65 | $103 |
Loans_Schedule_of_Impaired_Loa1
Loans - Schedule of Impaired Loans, Average Recorded Investment and Interest Income Recognized (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Average investment in impaired loans | $12,046 | $17,232 | $13,015 | $17,180 |
Interest income recognized on impaired loans | 145 | 245 | 287 | 523 |
Interest income recognized on a cash basis on impaired loans | 101 | 234 | 207 | 503 |
1-4 Family Residential Mortgage Loans | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Average investment in impaired loans | 946 | 1,700 | 1,099 | 1,556 |
Interest income recognized on impaired loans | 18 | 15 | 35 | 41 |
Interest income recognized on a cash basis on impaired loans | 12 | 15 | 26 | 41 |
Commercial Real Estate Loans | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Average investment in impaired loans | 6,192 | 11,309 | 6,851 | 11,398 |
Interest income recognized on impaired loans | 53 | 191 | 106 | 385 |
Interest income recognized on a cash basis on impaired loans | 53 | 191 | 106 | 385 |
Home Equity Lines of Credit | First Lien | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Average investment in impaired loans | ' | 84 | ' | 56 |
Interest income recognized on impaired loans | ' | 1 | ' | 2 |
Interest income recognized on a cash basis on impaired loans | ' | 1 | ' | 2 |
Home Equity Lines of Credit | Second Lien | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Average investment in impaired loans | 238 | 215 | 271 | 166 |
Interest income recognized on impaired loans | 2 | 3 | 4 | 9 |
Interest income recognized on a cash basis on impaired loans | 1 | 1 | 3 | 4 |
Other Commercial Loans | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Average investment in impaired loans | 4,610 | 3,763 | 4,720 | 3,852 |
Interest income recognized on impaired loans | 71 | 35 | 139 | 76 |
Interest income recognized on a cash basis on impaired loans | 35 | 26 | 71 | 71 |
Manufactured Home Loans | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Average investment in impaired loans | 60 | 161 | 74 | 152 |
Interest income recognized on impaired loans | 1 | ' | 3 | 10 |
Interest income recognized on a cash basis on impaired loans | ' | ' | $1 | ' |
Loans_Troubled_Debt_Restructur
Loans - Troubled Debt Restructurings - Narrative (Detail) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Loan | Loan | Loan | Loan | |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of new troubled debt restructuring loan relationships | 0 | 0 | 0 | 0 |
Number of restructured loans with payment defaults | 0 | 0 | 0 | 0 |
Loans_Schedule_of_Allowance_fo
Loans - Schedule of Allowance for Loan Losses (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | |||||||||||||||||||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Jun. 30, 2013 |
1-4 Family Residential Mortgage Loans | 1-4 Family Residential Mortgage Loans | 1-4 Family Residential Mortgage Loans | 1-4 Family Residential Mortgage Loans | 1-4 Family Residential Mortgage Loans | Commercial Real Estate Loans | Commercial Real Estate Loans | Commercial Real Estate Loans | Commercial Real Estate Loans | Commercial Real Estate Loans | Home Equity Lines of Credit | Home Equity Lines of Credit | Home Equity Lines of Credit | Home Equity Lines of Credit | Home Equity Lines of Credit | Home Equity Lines of Credit | Home Equity Lines of Credit | Home Equity Lines of Credit | Home Equity Lines of Credit | Home Equity Lines of Credit | Residential Construction Loans | Residential Construction Loans | Residential Construction Loans | Residential Construction Loans | Residential Construction Loans | Commercial Construction Loans | Commercial Construction Loans | Commercial Construction Loans | Commercial Construction Loans | Commercial Construction Loans | Other Commercial Loans | Other Commercial Loans | Other Commercial Loans | Other Commercial Loans | Other Commercial Loans | Manufactured Home Loans | Manufactured Home Loans | Manufactured Home Loans | Manufactured Home Loans | Manufactured Home Loans | Automobile and Other Secured Loans | Automobile and Other Secured Loans | Automobile and Other Secured Loans | Automobile and Other Secured Loans | Automobile and Other Secured Loans | Other Consumer Loans | Other Consumer Loans | Other Consumer Loans | Other Consumer Loans | Other Consumer Loans | ||||||
First Lien | First Lien | First Lien | First Lien | First Lien | Second Lien | Second Lien | Second Lien | Second Lien | Second Lien | ||||||||||||||||||||||||||||||||||||||||||||||
Allowance: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | $5,477 | $5,172 | $5,414 | $5,148 | ' | $762 | $876 | $762 | $865 | ' | $2,301 | $2,366 | $2,215 | $2,360 | ' | $234 | $208 | $233 | $206 | ' | $283 | $280 | $302 | $302 | $302 | $39 | $38 | $33 | $33 | $33 | $21 | $20 | $315 | $315 | $315 | $1,066 | $963 | $1,065 | $969 | ' | $396 | $379 | $432 | $375 | ' | $34 | $25 | $34 | $25 | ' | $12 | $23 | $10 | $34 | ' |
Charge-offs | -150 | -227 | -200 | -258 | ' | -98 | -113 | -98 | -113 | ' | -17 | -56 | -20 | -87 | ' | ' | -50 | ' | -50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -34 | ' | -81 | ' | ' | -1 | ' | -1 | ' | ' | -8 | ' | -8 | ' | ' |
Recoveries | 15 | 7 | 28 | 12 | ' | ' | 2 | ' | 5 | ' | ' | ' | ' | ' | ' | 2 | 2 | 3 | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13 | ' | 14 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | 11 | 5 | ' | ' |
Provision | 150 | 175 | 250 | 225 | ' | 25 | 26 | 25 | 34 | ' | 76 | 60 | 165 | 97 | ' | ' | 7 | ' | 9 | ' | 10 | 13 | ' | ' | ' | 1 | 2 | ' | ' | ' | 4 | 5 | ' | ' | ' | ' | 50 | ' | 44 | ' | 49 | 15 | 60 | 19 | ' | ' | 1 | ' | 1 | ' | 1 | ' | 1 | ' | ' |
Ending balance | 5,492 | 5,127 | 5,492 | 5,127 | ' | 689 | 791 | 689 | 791 | ' | 2,360 | 2,370 | 2,360 | 2,370 | ' | 236 | 167 | 236 | 167 | ' | 293 | 293 | 302 | 302 | 302 | 40 | 40 | 33 | 33 | 33 | 25 | 25 | 315 | 315 | 315 | 1,079 | 1,013 | 1,079 | 1,013 | ' | 411 | 394 | 411 | 394 | ' | 33 | 26 | 33 | 26 | ' | 8 | 34 | 8 | 34 | ' |
Impaired loans | 13 | ' | 13 | ' | 32 | ' | ' | ' | ' | ' | 12 | ' | 12 | ' | 32 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-impaired loans | 5,479 | ' | 5,479 | ' | 5,382 | 689 | ' | 689 | ' | 762 | 2,348 | ' | 2,348 | ' | 2,183 | 236 | ' | 236 | ' | 233 | ' | ' | 302 | ' | 302 | ' | ' | 33 | ' | 33 | ' | ' | 315 | ' | 315 | 1,078 | ' | 1,078 | ' | 1,065 | 411 | ' | 411 | ' | 432 | 33 | ' | 33 | ' | 34 | ' | 34 | ' | ' | 23 |
Loans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Impaired loans | 10,478 | ' | 10,478 | ' | 14,954 | 821 | ' | 821 | ' | 1,405 | 4,916 | ' | 4,916 | ' | 8,170 | ' | ' | ' | ' | ' | ' | ' | 113 | ' | 335 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,563 | ' | 4,563 | ' | 4,941 | 65 | ' | 65 | ' | 103 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-impaired loans | 489,046 | ' | 489,046 | ' | 438,081 | 107,389 | ' | 107,389 | ' | 106,212 | 188,247 | ' | 188,247 | ' | 159,211 | 37,036 | ' | 37,036 | ' | 36,093 | ' | ' | 41,655 | ' | 41,993 | ' | ' | 3,809 | ' | 3,736 | ' | ' | 28,740 | ' | 21,237 | 48,998 | ' | 48,998 | ' | 38,625 | 21,987 | ' | 21,987 | ' | 21,613 | 8,685 | ' | 8,685 | ' | 7,682 | ' | 2,500 | ' | ' | 1,679 |
Total loans | $499,524 | ' | $499,524 | ' | $453,035 | $108,210 | ' | $108,210 | ' | $107,617 | $193,163 | ' | $193,163 | ' | $167,381 | $37,036 | ' | $37,036 | ' | $36,093 | ' | ' | $41,768 | ' | $42,328 | ' | ' | $3,809 | ' | $3,736 | ' | ' | $28,740 | ' | $21,237 | $53,561 | ' | $53,561 | ' | $43,566 | $22,052 | ' | $22,052 | ' | $21,716 | $8,685 | ' | $8,685 | ' | $7,682 | ' | $2,500 | ' | ' | $1,679 |