Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Feb. 28, 2014 | Jun. 30, 2013 |
Document Information [Line Items] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Trading Symbol | 'HBMD | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 4,090,402 | ' |
Entity Registrant Name | 'Howard Bancorp Inc | ' | ' |
Entity Central Index Key | '0001390162 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Public Float | ' | ' | $24 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
ASSETS | ' | ' | ||
Cash and due from banks | $23,282 | $25,739 | ||
Federal funds sold | 12,454 | 10,622 | ||
Total cash and cash equivalents | 35,736 | 36,361 | ||
Securities available-for-sale | 28,688 | 26,875 | ||
Nonmarketable equity securities | 2,282 | 1,475 | ||
Loans held for sale | 3,298 | 1,639 | ||
Loans and leases, net of unearned income | 403,875 | 322,218 | ||
Allowance for credit losses | -2,506 | -2,764 | ||
Net loans and leases | 401,369 | 319,454 | ||
Bank premises and equipment, net | 10,842 | 9,573 | ||
Core deposit intangible | 342 | 0 | ||
Bank owned life insurance | 11,282 | 0 | ||
Other real estate owned | 2,377 | 2,903 | ||
Deferred income taxes | 1,125 | 1,160 | ||
Interest receivable and other assets | 2,577 | 2,235 | ||
Total assets | 499,918 | 401,675 | ||
LIABILITIES | ' | ' | ||
Noninterest-bearing deposits | 89,759 | 95,875 | ||
Interest-bearing deposits | 299,190 | 218,983 | ||
Total deposits | 388,949 | 314,858 | ||
Short-term borrowings | 45,658 | 26,987 | ||
Long-term borrowings | 16,000 | [1] | 12,000 | [1] |
Accrued expenses and other liabilities | 687 | 1,109 | ||
Total liabilities | 451,294 | 354,954 | ||
COMMITMENTS AND CONTINGENCIES | ' | ' | ||
SHAREHOLDERS' EQUITY | ' | ' | ||
Preferred stock—par value $0.01 (liquidation preference of $1,000 per share) authorized 5,000,000; shares issued and outstanding 12,562 series AA at December 31, 2013 and December 31, 2012, net of issuance cost | 12,562 | 12,562 | ||
Common stock - par value of $0.01 authorized 10,000,000 shares; issued and outstanding 4,095,650 shares at December 31, 2013 and 4,040,471 December 31, 2012 | 41 | 40 | ||
Capital surplus | 37,607 | 37,484 | ||
Accumulated deficit | -1,590 | -3,386 | ||
Accumulated other comprehensive income | 4 | 21 | ||
Total shareholders’ equity | 48,624 | 46,721 | ||
Total liabilities and shareholders' equity | $499,918 | $401,675 | ||
[1] | Fixed rate advances |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets [Parenthetical] (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 |
Preferred stock, liquidation preference (in dollars per share) | $1,000 | $1,000 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 12,562 | 12,562 |
Preferred stock, shares outstanding | 12,562 | 12,562 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, shares issued | 4,095,650 | 4,040,471 |
Common stock, shares outstanding | 4,095,650 | 4,040,471 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
INTEREST INCOME | ' | ' | ' |
Interest and fees on loans | $17,579 | $15,380 | $14,516 |
Interest and dividends on securities | 78 | 102 | 102 |
Other interest income | 54 | 55 | 22 |
Total interest income | 17,711 | 15,537 | 14,640 |
INTEREST EXPENSE | ' | ' | ' |
Deposits | 1,656 | 1,778 | 1,748 |
Short-term borrowings | 114 | 163 | 168 |
Long-term borrowings | 131 | 64 | 101 |
Total interest expense | 1,901 | 2,005 | 2,017 |
NET INTEREST INCOME | 15,810 | 13,532 | 12,623 |
Provision for credit losses | 950 | 718 | 1,164 |
Net interest income after provision for credit losses | 14,860 | 12,814 | 11,459 |
NONINTEREST INCOME | ' | ' | ' |
Service charges on deposit accounts | 387 | 322 | 298 |
Gains on the sale of loans | 215 | 122 | 28 |
(Loss) gain on the sale of other real estate owned | -37 | -131 | 459 |
Income from bank owned life insurance | 282 | 0 | 0 |
Other operating income | 477 | 455 | 352 |
Total noninterest income | 1,324 | 768 | 1,137 |
NONINTEREST EXPENSE | ' | ' | ' |
Compensation and benefits | 7,397 | 6,075 | 5,020 |
Occupancy and equipment | 1,592 | 1,509 | 1,436 |
Amortization of core deposit intangible | 34 | 0 | 0 |
Marketing and business development | 752 | 606 | 494 |
Professional fees | 883 | 535 | 401 |
Data processing fees | 529 | 451 | 353 |
FDIC Assessment | 327 | 310 | 332 |
Provision for other real estate owned | 347 | 48 | 777 |
Other operating expense | 1,378 | 1,289 | 1,335 |
Total noninterest expense | 13,239 | 10,823 | 10,148 |
INCOME BEFORE INCOME TAXES | 2,945 | 2,759 | 2,448 |
Income tax expense | 984 | 1,138 | 1,063 |
NET INCOME | 1,961 | 1,621 | 1,385 |
Preferred stock dividends | 165 | 616 | 451 |
Net income available to common shareholders | $1,796 | $1,005 | $934 |
NET INCOME PER COMMON SHARE | ' | ' | ' |
Basic (in dollars per share) | $0.44 | $0.31 | $0.35 |
Diluted (in dollars per share) | $0.44 | $0.31 | $0.35 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Net Income | $1,961 | $1,621 | $1,385 |
Other comprehensive income Investments available-for-sale: | ' | ' | ' |
Unrealized holding (losses) gains | -27 | 2 | -16 |
Related income tax benefit (expense) | 10 | -1 | 6 |
Comprehensive income | $1,944 | $1,622 | $1,375 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Shareholders' Equity (USD $) | Total | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
In Thousands, except Share data, unless otherwise specified | ||||||
Balance at Dec. 31, 2010 | $29,288 | $6,272 | $26 | $28,285 | ($5,325) | $30 |
Balance (in shares) at Dec. 31, 2010 | ' | ' | 2,636,837 | ' | ' | ' |
Net income | 1,385 | 0 | 0 | 0 | 1,385 | 0 |
Net unrealized loss on securities | -10 | 0 | 0 | 0 | 0 | -10 |
Dividends paid on preferred stock | 12,562 | 12,562 | 0 | 0 | 0 | 0 |
Issuance of series AA preferred stock | -451 | 0 | 0 | 0 | -451 | 0 |
Repurchase of series A and series B preferred stock | -6,272 | -6,272 | 0 | 0 | 0 | 0 |
Issuance of common stock: | ' | ' | ' | ' | ' | ' |
Stock awards | 22 | 0 | 0 | 22 | 0 | 0 |
Stock awards (in shares) | ' | ' | 3,427 | ' | ' | ' |
Stock-based compensation | 106 | 0 | 0 | 106 | 0 | 0 |
Stock-based compensation (in shares) | ' | ' | 0 | ' | ' | ' |
Balance at Dec. 31, 2011 | 36,630 | 12,562 | 26 | 28,413 | -4,391 | 20 |
Balance (in shares) at Dec. 31, 2011 | ' | ' | 2,640,264 | ' | ' | ' |
Net income | 1,621 | 0 | 0 | 0 | 1,621 | 0 |
Net unrealized loss on securities | 1 | 0 | 0 | 0 | 0 | 1 |
Dividends paid on preferred stock | -616 | 0 | 0 | 0 | -616 | 0 |
Issuance of common stock: | ' | ' | ' | ' | ' | ' |
Stock offering | 8,980 | 0 | 14 | 8,966 | 0 | 0 |
Stock offering (in shares) | ' | ' | 1,396,364 | ' | ' | ' |
Stock awards | 22 | 0 | 0 | 22 | 0 | 0 |
Stock awards (in shares) | ' | ' | 3,843 | ' | ' | ' |
Stock-based compensation | 83 | 0 | 0 | 83 | 0 | 0 |
Stock-based compensation (in shares) | ' | ' | 0 | ' | ' | ' |
Balance at Dec. 31, 2012 | 46,721 | 12,562 | 40 | 37,484 | -3,386 | 21 |
Balance (in shares) at Dec. 31, 2012 | ' | ' | 4,040,471 | ' | ' | ' |
Net income | 1,961 | 0 | 0 | 0 | 1,961 | 0 |
Net unrealized loss on securities | -17 | 0 | 0 | 0 | 0 | -17 |
Dividends paid on preferred stock | -165 | 0 | 0 | 0 | -165 | 0 |
Issuance of common stock: | ' | ' | ' | ' | ' | ' |
Stock awards | 37 | 0 | 0 | 37 | 0 | 0 |
Stock awards (in shares) | ' | ' | 5,179 | ' | ' | ' |
Stock-based compensation | 87 | 0 | 1 | 86 | 0 | 0 |
Stock-based compensation (in shares) | ' | ' | 50,000 | ' | ' | ' |
Balance at Dec. 31, 2013 | $48,624 | $12,562 | $41 | $37,607 | ($1,590) | $4 |
Balance (in shares) at Dec. 31, 2013 | ' | ' | 4,095,650 | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' | ' |
Net income | $1,961 | $1,621 | $1,385 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Provision for credit losses | 950 | 718 | 1,164 |
Deferred income taxes | 45 | 518 | 991 |
Provision for other real estate owned | 347 | 48 | 777 |
Depreciation | 599 | 523 | 455 |
Stock-based compensation | 124 | 105 | 128 |
Net accretion of investment securities | 17 | 42 | 181 |
Net amortization of intangible asset | 34 | 0 | 0 |
Loans originated for sale | -14,119 | -10,777 | -3,298 |
Proceeds from loans originated for sale | 12,674 | 9,907 | 3,744 |
Gains on sales of loans | -215 | -122 | -28 |
Loss (gain) on sales of other real estate owned, net | 37 | 131 | -459 |
Cash surrender value of BOLI | -282 | 0 | 0 |
Increase in interest receivable | -29 | -93 | -111 |
Increase (decrease) in interest payable | 21 | -10 | -27 |
(Increase) decrease in other assets | -981 | 1,092 | 52 |
(Decrease) increase in other liabilities | -443 | 292 | 260 |
Net cash provided by operating activities | 740 | 3,995 | 5,214 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' | ' |
Purchases of investment securities available-for-sale | -50,513 | -47,018 | -39,185 |
Proceeds from maturities of investment securities available-for-sale | 48,658 | 33,479 | 40,652 |
Net increase in loans and leases outstanding | -45,679 | -48,799 | -23,283 |
Purchase of bank owned life insurance | -11,000 | 0 | 0 |
Proceeds from the sale of other real estate owned | 141 | 527 | 2,626 |
Purchase of premises and equipment | -1,033 | -612 | -700 |
Branch acqusition (net of cash received) | -3,195 | 0 | 0 |
Net cash used in investing activities | -62,621 | -62,423 | -19,890 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' | ' |
Net (decrease) increase in noninterest-bearing deposits | -6,115 | 33,831 | 13,365 |
Net increase in interest-bearing deposits | 44,866 | 18,385 | 9,963 |
Net increase (decrease) in short-term borrowings | 18,670 | 14,004 | -12,040 |
Proceeds from issuance of long-term debt | 12,000 | 2,000 | 4,000 |
Repayment of long-term debt | -8,000 | 0 | 0 |
Net proceeds from issuance of common stock, net of cost | 0 | 8,980 | 0 |
Net proceeds from issuance of preferred stock, net of cost | 0 | 0 | 6,290 |
Cash dividends on preferred stock | -165 | -616 | -451 |
Net cash provided by financing activities | 61,256 | 76,584 | 21,127 |
Net (decrease) increase in cash and cash equivalents | -625 | 18,156 | 6,451 |
Cash and cash equivalents at beginning of period | 36,361 | 18,205 | 11,754 |
Cash and cash equivalents at end of period | 35,736 | 36,361 | 18,205 |
SUPPLEMENTAL INFORMATION | ' | ' | ' |
Cash payments for interest | 1,879 | 2,015 | 1,774 |
Cash payments for income taxes | 707 | 490 | 330 |
Transferred from loans to other real estate owned | 0 | 1,598 | 1,805 |
BRANCH PURCHASE | ' | ' | ' |
Tangible assets acquired (net of cash received) | 38,159 | 0 | 0 |
Identifiable intangible assets acquired | 376 | 0 | 0 |
Liabilities assumed | $35,340 | $0 | $0 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||
Dec. 31, 2013 | |||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ||
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | ' | ||
Note 1: Summary of Significant Accounting Policies | |||
Nature of Operations | |||
On December 15, 2005, Howard Bancorp, Inc. (“Bancorp”) acquired all of the stock and became the holding company of Howard Bank (the “Bank”) pursuant to the Plan of Reorganization approved by the shareholders of the Bank and by federal and state regulatory agencies. Each share of the Bank’s common stock was converted into two shares of Bancorp common stock effected by the filing of Articles of Exchange on that date, and the shareholders of the Bank became the shareholders of Bancorp. The Bank has four subsidiaries, three of which hold foreclosed real estate and the other owns and manages real estate that is used as a branch location and has office and retail space. The accompanying consolidated financial statements of Bancorp and its wholly-owned subsidiary bank (collectively the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). | |||
Bancorp was incorporated in April of 2005 under the laws of the State of Maryland and is a bank holding company registered under the Bank Holding Company Act of 1956. Bancorp is a single bank holding company with one subsidiary, Howard Bank, which operates as a state trust company with commercial banking powers regulated by the Maryland Division of Financial Regulation. | |||
The Company is a diversified financial services company providing commercial banking, mortgage banking and consumer finance through banking branches, the internet and other distribution channels to businesses, business owners, professionals and other consumers located primarily in the Greater Baltimore Metropolitan Area. | |||
The following is a description of the Company’s significant accounting policies. | |||
Principles of Consolidation | |||
The consolidated financial statements include the accounts of Bancorp, its subsidiary bank and the Bank’s subsidiaries. All significant intercompany accounts and transactions have been eliminated. The parent company only financial statements report investments in the subsidiary bank under the equity method. Certain reclassifications may have been made to the prior year’s consolidated financial statements to conform to current period presentation. | |||
Use of Estimates | |||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes in the near-term relate to the determination of the allowance for credit losses, other-than-temporary impairment of investment securities and deferred income taxes. | |||
Segment Information | |||
The Company has one reportable segment, “Community Banking.” All of the Company’s activities are interrelated, and each activity is dependent and assessed based on how each of the activities of the Company supports the others. For example, lending is dependent upon the ability of the Bank to fund itself with deposits and other borrowings and manage interest rate and credit risk. Accordingly, all significant operating decisions are based upon analysis of the Company as one segment or unit. | |||
Cash and Cash Equivalents | |||
Cash and cash equivalents include cash on hand, amounts due from banks, cash items in the process of clearing, federal funds sold, and interest-bearing deposits with banks with original maturities of less than 90 days. Generally, federal funds are sold as overnight investments. | |||
Investment Securities | |||
Marketable equity securities and debt securities not classified as held-to-maturity are classified as available-for-sale. Securities available-for-sale are acquired as part of the Bank's asset/liability management strategy and may be sold in response to changes in interest rates, loan demand, changes in prepayment risk and other factors. Securities available-for-sale are carried at estimated fair value, with unrealized gains or losses based on the difference between amortized cost and fair value reported as accumulated other comprehensive income (loss), net of deferred taxes, a separate component of shareholders’ equity, when appropriate. Realized gains and losses, using the specific identification method, are included as a separate component of noninterest income. Related interest and dividends are included in interest income. Declines in the fair value of individual available-for-sale securities below their amortized cost that are other than temporary result in write-downs of the individual securities to their fair value. Factors affecting the determination of whether an other-than-temporary impairment has occurred include a downgrading of the security by a rating agency, a significant deterioration in the financial condition of the issuer, or that management would not have the intent and ability to hold a security for a period of time sufficient to allow for any anticipated recovery in fair value or that management would be required to sell the security before recovery in fair value. | |||
Nonmarketable Equity Securities | |||
Nonmarketable equity securities include equity securities that are not publicly traded or are held to meet regulatory requirements such as Federal Home Loan Bank stock. These securities are accounted for at cost. | |||
Loans Held-For-Sale | |||
The Company engages in sales of residential mortgage loans originated by the Bank. Loans held for sale are carried at the lower of aggregate cost or fair value. Fair value is derived from secondary market quotations for similar instruments. Gains and losses on sales of these loans are recorded as a component of noninterest income in the Consolidated Statements of Operations. The Company’s current practice is to sell residential mortgage loans on a servicing released basis, and, therefore, it has no intangible asset recorded for the value of such servicing. | |||
The Company enters into commitments to originate residential mortgage loans whereby the interest rate on the loan is determined prior to funding (i.e. rate lock commitment). Such rate lock commitments on mortgage loans to be sold in the secondary market are considered to be derivatives. The period of time between issuance of a loan commitment and closing and sale of the loan generally ranges from 15 to 60 days. The Company protects itself from changes in interest rates through the use of best efforts forward delivery commitments, whereby the Company commits to sell a loan at a premium at the time the borrower commits to an interest rate with the intent that the buyer has assumed interest rate risk on the loan. As a result, the Company is not exposed to losses nor will it realize gains related to its rate lock commitments due to changes in interest rates. | |||
The market value of rate lock commitments and best efforts contracts are not readily ascertainable with precision because rate lock commitments and best efforts contracts are not actively traded. Because of the high correlation between rate lock commitments and best efforts contracts, no gain or loss occurs on rate lock commitments. | |||
Loans and Leases | |||
Loans are stated at their principal balance outstanding, plus deferred origination costs, less unearned discounts and deferred origination fees. Interest on loans is credited to income based on the principal amounts outstanding. Origination fees and costs are amortized to income over the contractual life of the related loans. Generally, accrual of interest on a loan is discontinued when the loan is delinquent more than 90 days unless the collateral securing the loan is sufficient to liquidate the loan. All interest accrued but not collected for loans that are placed on non-accrual or charged-off is reversed against interest income. Interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. | |||
Management considers loans impaired when, based on current information, it is probable that the Company will not collect all principal and interest payments according to contractual terms. Loans are tested for impairment no later than when principal or interest payments become 90 days or more past due and they are placed on non-accrual. Management also considers the financial condition of the borrower, cash flows of the loan and the value of the related collateral. Impaired loans do not include large groups of smaller balance homogeneous loans such as residential real estate and consumer installment loans which are evaluated collectively for impairment. Loans specifically reviewed for impairment are not considered impaired during periods of “minimal delay” in payment (90 days or less) provided eventual collection of all amounts due is expected. The impairment of a loan may be measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate, or the fair value of the collateral if repayment is expected to be provided by the collateral. Generally, the Company’s impairment on such loans is measured by reference to the fair value of the collateral. Interest income on impaired loans is recognized on the cash basis. | |||
The segments of the Company’s loan portfolio are disaggregated to a level that allows management to monitor risk and performance. The commercial real estate (“CRE”) loan segment is further disaggregated into two classes; owner occupied loans and non-owner occupied loans. Non-owner occupied CRE loans, which include loans secured by non-owner occupied nonfarm nonresidential properties, generally have a greater risk profile than owner occupied CRE loans. The residential mortgage loan segment is further disaggregated into two classes: first lien mortgages and second or junior lien mortgages. | |||
Allowance for Credit Losses | |||
The allowance for credit losses is maintained at a level believed adequate by management to absorb probable losses inherent in the loan portfolio and is based on the size and current risk characteristics of the loan portfolio, an assessment of individual problem loans, actual loss experience, current economic events in specific industries and geographic areas including unemployment levels and other pertinent factors including general economic conditions. Determination of the allowance is inherently subjective as it requires significant estimates, including the amounts and timing of expected future cash flows on impaired loans, estimated losses on pools of homogenous loans based on historical loss experience and consideration of economic trends, all of which may be susceptible to significant change. Credit losses are charged off against the allowance, while recoveries of amounts previously charged off are credited to the allowance. A provision for credit losses is charged to operations based on management’s periodic evaluation of the factors previously mentioned, as well as other pertinent factors. Evaluations are conducted at least quarterly and more often if deemed necessary. | |||
The allowance for credit losses consists of a specific component and a nonspecific component. The components of the allowance for credit losses represent an estimation done pursuant to either Financial Accounting Standards (“FASB”) Accounting Standards Codification (“ASC”) Topic 450 Contingencies or ASC Topic 310 Receivables. The specific component of the allowance for credit losses reflects expected losses resulting from analysis developed through credit allocations for individual loans. The credit allocations are based on a regular analysis of all loans over a fixed-dollar amount where the internal credit rating is at or below a predetermined classification. The specific component of the allowance for credit losses also includes management’s determination of the amounts necessary given concentrations and changes in portfolio mix and volume. | |||
The nonspecific portion of the allowance is determined based on management’s assessment of general economic conditions, as well as economic factors in the individual markets in which the Company operates including the strength and timing of economic cycles and concerns over the effects of a prolonged economic downturn in the current cycle. This determination inherently involves a higher risk of uncertainty and considers current risk factors that may not have yet manifested themselves in the Bank’s historical loss factors used to determine the nonspecific component of the allowance, and it recognizes knowledge of the portfolio may be incomplete. The Bank’s historic loss factors are based upon actual losses incurred by portfolio segment over the preceding 24-month period. In portfolio segments where no actual losses have been incurred within the most recent 24-month period, industry loss data for that portfolio segment, as provided by the FDIC, are utilized. In addition to historic loss factors, the Bank’s methodology for the allowance for credit losses also incorporates other risk factors that may be inherent within the portfolio segments. For each portfolio segment, in addition to the historic loss experience experienced, the other factors that are measured and monitored in the overall determination of the allowance include: | |||
· | Changes in lending practices within the underwriting process | ||
· | Additional risk presented for construction-related loans | ||
· | Changes in levels and migration of classified loans | ||
· | Collateral lien positions for real estate-based loans | ||
· | Amount of loans with SBA guarantees and the related net exposure levels | ||
· | The current economic condition of the market and observable trends in the economy | ||
· | Level of current delinquency levels and non-performing loans with recent trends of each | ||
· | Any other factors which management believes may impose additional risk within each portfolio segment | ||
Each of these qualitative risk factors are measured based upon data generated either internally, or in the case of economic conditions utilizing independently provided data on items such as unemployment rates, commercial real estate vacancy rates, or other market data deemed relevant to the business conditions within the markets served. | |||
The Company’s loan policies state that after all collection efforts have been exhausted, and the loan is deemed to be a loss, then the remaining loan balance will be charged to the Company’s established allowance for credit losses. All loans are evaluated for loss potential once it has been determined by the Watch Committee that the likelihood of repayment is in doubt. When a loan is past due for at least 90 days or a deterioration in debt service coverage ratio, guarantor liquidity, or loan-to-value ratio has occurred that would cause concern regarding the likelihood of the full repayment of principal and interest, and the loan is deemed not to be well secured, the loan should be moved to non-accrual status and a specific reserve is established if the net realizable value is less than the principal value of the loan balance(s). Once the actual loss value has been determined a charge-off against the allowance for credit losses for the amount of the loss is taken. Each loss is evaluated on its specific facts regarding the appropriate timing to recognize the loss. | |||
Other Real Estate Owned | |||
Other real estate acquired through, or in lieu of, foreclosure is initially recorded at the lower of book value or fair value less estimated cost to sell at the date of acquisition, establishing a new cost basis. Revenues and expenses from operations are included in noninterest income. Additions to the valuation allowance are included in noninterest expense. Subsequent to foreclosure, valuations are periodically performed by management and an allowance for losses is established, if necessary, by a charge to operations if the carrying value of a property exceeds its estimated fair value less estimated costs to sell. | |||
Intangible Asset | |||
Intangible assets consist of core deposit intangibles (“CDI”) acquired in branch acquisitions. CDI represent the excess of the fair value of liabilities assumed over the fair value of tangible assets acquired in branch acquisitions. These intangible assets are amortized on an accelerated basis over an original life of 10 to 15 years. The Company reviews its intangible assets yearly, or whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. If such impairment is indicated, impairment is recognized by accelerating the amortization of the asset to the extent that the carrying value exceeds the estimated fair value. | |||
Premises and Equipment | |||
Premises and equipment are stated at cost less accumulated depreciation and amortization computed using the straight-line method. Premises and equipment are depreciated over the useful lives of the assets, which generally range from 3 to 10 years for furniture, fixtures and equipment and 3 to 5 years for computer software and hardware. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. The costs of major renewals and betterments are capitalized, while the costs of ordinary maintenance and repairs are included in noninterest expense. | |||
Income Taxes | |||
The Company uses the liability method of accounting for income taxes. Under the liability method, deferred-tax assets and liabilities are determined based on differences between the financial statement carrying amounts and the tax bases of existing assets and liabilities (i.e., temporary differences) and are measured at the enacted rates that will be in effect when these differences reverse. | |||
As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. In addition, deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or the entire deferred tax asset will not be realized. Interest and penalties related to income tax matters are recognized in income tax expense. | |||
The Company does not have uncertain tax positions that are deemed material, and did not recognize any adjustments for unrecognized tax benefits. The Company’s policy is to recognize interest and penalties on income taxes in other non-interest expenses. The Company remains subject to examination for income tax returns for the years ending after December 31, 2009 | |||
Net Income Per Common Share | |||
Basic net income per common share is computed by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding during the year. Diluted net income per common share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the year including any potential dilutive effects of common stock equivalents, such as options and warrants. | |||
Share-Based Compensation | |||
Compensation cost is recognized for stock options issued to directors and employees. Compensation cost is measured as the fair value of these awards on their date of grant. A Black-Scholes model is utilized to estimate the fair value of stock options. Compensation cost is recognized over the required service period, generally defined as the vesting period for stock option awards. For awards with graded vesting, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award. When an award is granted to an employee who is retirement eligible, the compensation cost of these awards is recognized over the period up to the director or employee first becomes eligible to retire. | |||
Compensation expense for non-vested common stock awards is based on the fair value of the awards, which is generally the market price of the common stock on the measurement date, which, for the Company, is the date of grant, and is recognized ratably over the service period of the award. | |||
Off-Balance Sheet Financial Instruments | |||
In the ordinary course of business, the Company has entered into off-balance sheet financial instruments consisting of commitments to extend credit. Such financial instruments are recorded in the statement of financial condition when they are funded. | |||
Comprehensive Income | |||
Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Certain changes in assets and liabilities, such as unrealized gains and losses on securities available for sale, are reported as a separate component of the equity section of the consolidated balance sheet, such items, along with net income, are components of comprehensive income. | |||
Transfer of Financial Assets | |||
Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. In certain cases, the recourse to the Bank to repurchase assets may exist but is deemed immaterial based on the specific facts and circumstances. | |||
New Accounting Pronouncements | |||
ASU No. 2014-4, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure (a consensus of the FASB Emerging Issues Task Force). The guidance clarifies when an “in substance repossession or foreclosure” occurs, that is, when a creditor should be considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, such that all or a portion of the loan should be derecognized and the real estate property recognized. ASU 2014-04 states that a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure, or the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. The amendments of ASU 2014-04 also require interim and annual disclosure of both the amount of foreclosed residential real estate property held by the creditor and the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure. The amendments of ASU 2014-04 are effective for interim and annual periods beginning after December 15, 2014, and may be applied using either a modified retrospective transition method or a prospective transition method as described in ASU 2014-04. The Company will evaluate this amendment but does not believe they will have an impact on its financial position or results of operations. | |||
ASU No. 2013-02, Comprehensive Income (Topic 220) – Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. ASU No. 2013-02 amends recent guidance related to the reporting of comprehensive income to enhance the reporting of reclassifications out of accumulated other comprehensive income. ASU 2013-02 became effective for the Company on January 1, 2013 and did not have a significant impact on the Company’s financial statements | |||
Cash_and_Due_from_Banks
Cash and Due from Banks | 12 Months Ended |
Dec. 31, 2013 | |
Cash and Due from Banks [Abstract] | ' |
Cash And Due From Banks [Text Block] | ' |
Note 2: Cash and Due from Banks | |
Regulation D of the Federal Reserve Act requires that banks maintain reserve balances with the Federal Reserve Bank based principally on the type and amount of their deposits. During 2013 and 2012, the Company maintained balances at the Federal Reserve (in addition to vault cash) to meet the reserve requirements as well as balances to partially compensate for services. Additionally, the Company maintained balances with the Federal Home Loan Bank and two domestic correspondents as partial compensation for services they provided to the Company. | |
Investments_Securities
Investments Securities | 12 Months Ended | |||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | ' | |||||||||||||||||||||||||
Equity Method Investments Disclosure [Text Block] | ' | |||||||||||||||||||||||||
Note 3: Investments Securities | ||||||||||||||||||||||||||
The amortized cost and estimated fair values of investments available for sale are as follows: | ||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Estimated | Amortized | Unrealized | Unrealized | Estimated | |||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||
U.S. Government agencies | $ | 28,522 | $ | 1 | $ | 2 | $ | 28,521 | $ | 26,526 | $ | 14 | $ | - | $ | 26,540 | ||||||||||
Mortgage-backed | 157 | 10 | - | 167 | 314 | 21 | - | 335 | ||||||||||||||||||
$ | 28,679 | $ | 11 | $ | 2 | $ | 28,688 | $ | 26,840 | $ | 35 | $ | - | $ | 26,875 | |||||||||||
There have not been any individual securities with an unrealized loss position for a period greater than one year as of either December 31, 2013 or December 31, 2012. Gross unrealized losses and fair value by investment category and length of time the individual securities have been in a continuous unrealized loss position at December 31, 2013 is as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
(in thousands) | Less than 12 months | 12 months or more | Total | |||||||||||||||||||||||
Gross | Gross | Gross | ||||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||||
Value | Losses | Value | Losses | Value | Losses | |||||||||||||||||||||
U.S. Government agencies | $ | 15,994 | $ | 2 | $ | - | $ | - | $ | 15,994 | $ | 2 | ||||||||||||||
Mortgage-backed | - | - | - | - | - | - | ||||||||||||||||||||
$ | 15,994 | $ | 2 | $ | - | $ | - | $ | 15,994 | $ | 2 | |||||||||||||||
In 2012, gross unrealized losses less than twelve months were less than $1 thousand. | ||||||||||||||||||||||||||
The unrealized losses that existed were a result of market changes in interest rates since the original purchase. Management systematically evaluates investment securities for other-than-temporary declines in fair value on a quarterly basis. This analysis requires management to consider various factors, which include (1) duration and magnitude of the decline in value, (2) the financial condition of the issuer or issuers and (3) structure of the security. | ||||||||||||||||||||||||||
An impairment loss is recognized in earnings if any of the following are true: (1) the Company intends to sell the debt security; (2) it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis or (3) the Company does not expect to recover the entire amortized cost basis of the security. In situations where the Company intends to sell or when it is more likely than not that the Company will be required to sell the security, the entire impairment loss must be recognized in earnings. In all other situations, only the portion of the impairment loss representing the credit loss must be recognized in earnings, with the remaining portion being recognized in shareholders’ equity as a component of other comprehensive income, net of deferred tax. | ||||||||||||||||||||||||||
The amortized cost and estimated fair values of investments available for sale by contractual maturity are shown below: | ||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||||||||||||||
Amortized | Estimated Fair | Amortized | Estimated Fair | |||||||||||||||||||||||
Cost | Value | Cost | Value | |||||||||||||||||||||||
Amounts maturing: | ||||||||||||||||||||||||||
One year or less | $ | 28,522 | $ | 28,521 | $ | 23,536 | $ | 23,544 | ||||||||||||||||||
After one through five years | 51 | 54 | 3,121 | 3,136 | ||||||||||||||||||||||
After five through ten years | 106 | 113 | 90 | 96 | ||||||||||||||||||||||
After ten years | - | - | 93 | 99 | ||||||||||||||||||||||
$ | 28,679 | $ | 28,688 | $ | 26,840 | $ | 26,875 | |||||||||||||||||||
There were no sales of investment securities during 2013, 2012 or 2011. At December 31, 2013 and December 31, 2012, $20.7 million and $16.6 million fair value of securities were pledged as collateral for repurchase agreements, respectively. The outstanding balance of no single issuer, except for U. S. Government and U. S. Government agency securities, exceeded ten percent of shareholders’ equity at December 31, 2013. | ||||||||||||||||||||||||||
Nonmarketable_Equity_Securitie
Nonmarketable Equity Securities | 12 Months Ended |
Dec. 31, 2013 | |
Nonmarketable Equity Securities [Abstract] | ' |
Nonmarketable Equity Securities [Text Block] | ' |
Note 4: Nonmarketable Equity Securities | |
At December 31, 2013 and December 31, 2012, the Company’s investment in nonmarketable equity securities consisted of Federal Home Loan Bank of Atlanta stock, which is required for continued membership, of $2.3 million and $1.5 million, respectively. These investments are carried at cost. | |
Loans_and_Leases
Loans and Leases | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Receivables [Abstract] | ' | |||||||||||||||
Financing Receivables [Text Block] | ' | |||||||||||||||
Note 5: Loans and Leases | ||||||||||||||||
The Company makes loans and leases to customers primarily in the Greater Baltimore Maryland metropolitan area, and surrounding communities. A substantial portion of the Company’s loan portfolio consists of loans to businesses secured by real estate and/or other business assets. | ||||||||||||||||
The loan portfolio segment balances at December 31, 2013 and December 31, 2012 are presented in the following table: | ||||||||||||||||
December 31, | ||||||||||||||||
(in thousands) | 2013 | % of Total | 2012 | % of Total | ||||||||||||
Real estate | ||||||||||||||||
Construction and land | $ | 50,884 | 12.6 | % | $ | 37,963 | 11.8 | % | ||||||||
Residential - first lien | 39,249 | 9.7 | 29,826 | 9.3 | ||||||||||||
Residential - junior lien | 8,266 | 2 | 7,983 | 2.5 | ||||||||||||
Total residential real estate | 47,515 | 11.7 | 37,809 | 11.7 | ||||||||||||
Commercial - owner occupied | 90,333 | 22.4 | 61,119 | 19 | ||||||||||||
Commercial - non-owner occupied | 113,559 | 28.1 | 96,223 | 29.9 | ||||||||||||
Total commercial real estate | 203,892 | 50.5 | 157,342 | 48.8 | ||||||||||||
Total real estate loans | 302,291 | 74.8 | 233,114 | 72.3 | ||||||||||||
Commercial loans and leases | 100,410 | 24.9 | 87,844 | 27.3 | ||||||||||||
Consumer | 1,174 | 0.3 | 1,260 | 0.4 | ||||||||||||
Total loans | $ | 403,875 | 100 | % | $ | 322,218 | 100 | % | ||||||||
The increase in the total loans above for 2013, included the purchase of approximately $37.1 million in loans resulting from our Aberdeen branch acquisition, and an unamortized net premium paid of $134 thousand. | ||||||||||||||||
There were $3.3 million and $1.6 million in loans held for sale at December 31, 2013 and December 31, 2012, respectively. | ||||||||||||||||
Portfolio Segments | ||||||||||||||||
The Company currently manages its credit products and the respective exposure to credit losses (credit risk) by the following specific portfolio segments (classes) which are levels at which the Company develops and documents its systematic methodology to determine the allowance for credit losses attributable to each respective portfolio segment. These segments are: | ||||||||||||||||
· | Commercial business loans & leases – Commercial loans are made to provide funds for equipment and general corporate needs. Repayment of a loan primarily uses the funds obtained from the operation of the borrower’s business. Commercial loans also include lines of credit that are utilized to finance a borrower’s short-term credit needs and/or to finance a percentage of eligible receivables and inventory. The Company’s loan portfolio also includes a small portfolio of equipment leases, which consists of leases for essential commercial equipment used by small to medium sized businesses. | |||||||||||||||
· | Construction and land loans – Commercial acquisition, development and construction loans are intended to finance the construction of commercial and residential properties and include loans for the acquisition and development of land. Construction loans represent a higher degree of risk than permanent real estate loans and may be affected by a variety of factors such as the borrower’s ability to control costs and adhere to time schedules and the risk that constructed units may not be absorbed by the market within the anticipated time frame or at the anticipated price. The loan commitment on these loans often includes an interest reserve that allows the lender to periodically advance loan funds to pay interest charges on the outstanding balance of the loan. | |||||||||||||||
· | Commercial owner occupied real estate loans – Commercial owned-occupied real estate loans consist of commercial mortgage loans secured by owner occupied properties where an established banking relationship exists and involves a variety of property types to conduct the borrower’s operations. The primary source of repayment for this type of loan is the cash flow from the business and is based upon the borrower’s financial health and the ability of the borrower and the business to repay. | |||||||||||||||
· | Commercial non-owner occupied real estate loans – Commercial non-owner occupied loans consist of properties where an established banking relationship exists and involves investment properties for warehouse, retail, and office space with a history of occupancy and cash flow. This commercial real estate category contains mortgage loans to the developers and owners of commercial real estate where the borrower intends to operate or sell the property at a profit and use the income stream or proceeds from the sale(s) to repay the loan. | |||||||||||||||
· | Consumer loans – This category of loans includes primarily installment loans and personal lines of credit. Consumer loans include installment loans used by customers to purchase automobiles, boats and recreational vehicles. | |||||||||||||||
· | Residential first lien mortgage loans – The residential real estate category contains permanent mortgage loans principally to consumers secured by residential real estate. Residential real estate loans are evaluated for the adequacy of repayment sources at the time of approval, based upon measures including credit scores, debt-to-income ratios, and collateral values. Loans may be either conforming or non-conforming. | |||||||||||||||
· | Residential junior lien mortgage loans – This category of loans includes primarily home equity loans and lines. The home equity category consists mainly of revolving lines of credit to consumers which are secured by residential real estate. These loans are typically secured with second mortgages on the homes. | |||||||||||||||
Credit_Quality_Assessment
Credit Quality Assessment | 12 Months Ended | |||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||
Receivables [Abstract] | ' | |||||||||||||||||||||||||
Allowance for Credit Losses [Text Block] | ' | |||||||||||||||||||||||||
Note 6: Credit Quality Assessment | ||||||||||||||||||||||||||
Allowance for Credit Losses | ||||||||||||||||||||||||||
Credit risk can vary significantly as losses, as a percentage of outstanding loans, can vary widely during economic cycles and are sensitive to changing economic conditions. The amount of loss in any particular type of loan can vary depending on the purpose of the loan and the underlying collateral securing the loan. Collateral securing commercial loans can range from accounts receivable to equipment to improved or unimproved real estate depending on the purpose of the loan. Home mortgage and home equity loans and lines are typically secured by first or second liens on residential real estate. Consumer loans may be secured by personal property, such as auto loans or they may be unsecured loan products. | ||||||||||||||||||||||||||
To control and manage credit risk, management has an internal credit process in place to determine whether credit standards are maintained along with an in-house loan administration accompanied by oversight and review procedures. The primary purpose of loan underwriting is the evaluation of specific lending risks that involves the analysis of the borrower’s ability to service the debt as well as the assessment of the value of the underlying collateral. Oversight and review procedures include the monitoring of the portfolio credit quality, early identification of potential problem credits and the management of the problem credits. As part of the oversight and review process, the Company maintains an allowance for credit losses (the “allowance”) to absorb estimated and probable losses in the loan and lease portfolio. The allowance is based on consistent, continuous review and evaluation of the loan and lease portfolio, along with ongoing assessments of the probable losses and problem credits in each portfolio. While portions of the allowance are attributed to specific portfolio segments, the entire allowance is available to credit losses inherent in the total loan portfolio. | ||||||||||||||||||||||||||
The following table provides information on the activity in the allowance for credit losses by the respective loan portfolio segment for the years ended December 31, 2013 and 2012: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||
Beginning balance | $ | 127 | $ | 204 | $ | 22 | $ | 650 | $ | 505 | $ | 1,227 | $ | 29 | $ | 2,764 | ||||||||||
Charge-offs | - | -183 | - | - | -375 | -759 | - | -1,317 | ||||||||||||||||||
Recoveries | - | - | - | - | 29 | 80 | 109 | |||||||||||||||||||
Provision for credit losses | -5 | 179 | 12 | -519 | 382 | 916 | -15 | 950 | ||||||||||||||||||
Ending balance | $ | 122 | $ | 200 | $ | 34 | $ | 131 | $ | 541 | $ | 1,464 | $ | 14 | $ | 2,506 | ||||||||||
Ending balance: | ||||||||||||||||||||||||||
individually evaluated for impairment | - | 3 | - | - | - | 256 | - | 259 | ||||||||||||||||||
collectively evaluated for impairment | 122 | 197 | 34 | 131 | 541 | 1,208 | 14 | 2,247 | ||||||||||||||||||
Loans: | ||||||||||||||||||||||||||
Ending balance | 50,884 | 39,249 | 8,266 | 90,333 | 113,559 | 100,410 | 1,174 | 403,875 | ||||||||||||||||||
Ending balance: | ||||||||||||||||||||||||||
individually evaluated for impairment | - | 331 | - | - | 2,984 | 2,975 | - | 6,290 | ||||||||||||||||||
collectively evaluated for impairment | 50,884 | 38,918 | 8,266 | 90,333 | 110,575 | 97,435 | 1,174 | 397,585 | ||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||
Beginning balance | $ | 174 | $ | 111 | $ | 64 | $ | 611 | $ | 197 | $ | 2,233 | $ | 43 | $ | 3,433 | ||||||||||
Charge-offs | - | -79 | -44 | - | -268 | -1,129 | -15 | -1,535 | ||||||||||||||||||
Recoveries | - | - | - | - | 63 | 80 | 5 | 148 | ||||||||||||||||||
Provision for credit losses | -47 | 172 | 2 | 39 | 513 | 43 | -4 | 718 | ||||||||||||||||||
Ending balance | $ | 127 | $ | 204 | $ | 22 | $ | 650 | $ | 505 | $ | 1,227 | $ | 29 | $ | 2,764 | ||||||||||
Ending balance: | ||||||||||||||||||||||||||
individually evaluated for impairment | 21 | 138 | - | - | 148 | 257 | - | 564 | ||||||||||||||||||
collectively evaluated for impairment | 106 | 66 | 22 | 650 | 357 | 970 | 29 | 2,200 | ||||||||||||||||||
Loans: | ||||||||||||||||||||||||||
Ending balance | 37,963 | 29,826 | 7,983 | 61,119 | 96,223 | 87,844 | 1,260 | 322,218 | ||||||||||||||||||
Ending balance: | ||||||||||||||||||||||||||
individually evaluated for impairment | 432 | 442 | - | - | 3,134 | 1,568 | - | 5,576 | ||||||||||||||||||
collectively evaluated for impairment | 37,531 | 29,384 | 7,983 | 61,119 | 93,089 | 86,276 | 1,260 | 316,642 | ||||||||||||||||||
Integral to the assessment of the allowance process is an evaluation that is performed to determine whether a specific reserve on an impaired credit is warranted. At such time an action plan is agreed upon for the particular loan and an appraisal will be ordered (for real estate based collateral) depending on the time elapsed since the prior appraisal, the loan balance and/or the result of the internal evaluation. The Company’s policy is to strictly adhere to regulatory appraisal standards. If an appraisal is ordered, no more than a 45 day turnaround is requested from the appraiser, who is selected from an approved appraiser list. After receipt of the updated appraisal, the Company’s Watch Committee will determine whether a specific reserve or a charge-off should be taken based upon an impairment analysis. When potential losses are identified, a specific provision and/or charge-off may be taken, based on the then current likelihood of repayment, that is at least in the amount of the collateral deficiency, and any potential collection costs, as determined by the independent third party appraisal. Any further collateral deterioration may result in either further specific reserves being established or additional charge-offs. The President and the Chief Lending Officer have the authority to approve a specific reserve or charge-off between Watch Committee meetings to ensure that there are no significant time lapses during this process. | ||||||||||||||||||||||||||
The Company’s systematic methodology for evaluating whether a loan is impaired begins with risk-rating credits on an individual basis and includes consideration of the borrower’s overall financial condition, resources and payment record, the sufficiency of collateral and, in a select few cases, support from financial guarantors. In measuring impairment, the Company looks to the discounted cash flows of the project itself or the value of the collateral as the primary sources of repayment of the loan. The Company will consider the existence of guarantees and the financial strength and wherewithal of the guarantors involved in any loan relationship as both a secondary source of repayment and for the potential as the primary repayment of the loan. | ||||||||||||||||||||||||||
The Company typically relies on recent third party appraisals of the collateral to assist in measuring impairment. | ||||||||||||||||||||||||||
Management has established a credit process that dictates that structured procedures be performed to monitor these loans between the receipt of an original appraisal and the updated appraisal. These procedures include the following: | ||||||||||||||||||||||||||
· | An internal evaluation is updated quarterly to include borrower financial statements and/or cash flow projections. | |||||||||||||||||||||||||
· | The borrower may be contacted for a meeting to discuss an update or revised action plan which may include a request for additional collateral. | |||||||||||||||||||||||||
· | Re-verification of the documentation supporting the Company’s position with respect to the collateral securing the loan. | |||||||||||||||||||||||||
· | At the Watch Committee meeting the loan may be downgraded and a specific reserve may be decided upon in advance of the receipt of the appraisal if it is determined that the likelihood of repayment is in doubt. | |||||||||||||||||||||||||
The Company generally follows a policy of not extending maturities on non-performing loans under existing terms. The Company may extend the maturity of a performing or current loan that may have some inherent weakness associated with the loan. Maturity date extensions only occur under terms that clearly place the Company in a position to assure full collection of the loan under the contractual terms and /or terms at the time of the extension that may eliminate or mitigate the inherent weakness in the loan. These terms may incorporate, but are not limited to additional assignment of collateral, significant balance curtailments/liquidations and assignments of additional project cash flows. Guarantees may be a consideration in the extension of loan maturities, but the Company does not extend loans based solely on guarantees. As a general matter, the Company does not view extension of a loan to be a satisfactory approach to resolving non-performing credits. On an exception basis, certain performing loans that have displayed some inherent weakness in the underlying collateral values, an inability to comply with certain loan covenants which are not affecting the performance of the credit or other identified weakness may be extended. | ||||||||||||||||||||||||||
Collateral values or estimates of discounted cash flows (inclusive of any potential cash flow from guarantees) are evaluated to estimate the probability and severity of potential losses. A specific amount of impairment is established based on the Company’s calculation of the probable loss inherent in the individual loan. The actual occurrence and severity of losses involving impaired credits can differ substantially from estimates. | ||||||||||||||||||||||||||
Credit risk profile by portfolio segment based upon internally assigned risk assignments are presented below: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Credit quality indicators: | ||||||||||||||||||||||||||
Not classified | $ | 50,884 | $ | 38,918 | $ | 8,266 | $ | 90,333 | $ | 113,301 | $ | 97,817 | $ | 1,174 | $ | 400,693 | ||||||||||
Special mention | - | - | - | - | - | - | - | - | ||||||||||||||||||
Substandard | - | 331 | - | - | 258 | 2,593 | - | 3,182 | ||||||||||||||||||
Doubtful | - | - | - | - | - | - | - | - | ||||||||||||||||||
Total | $ | 50,884 | $ | 39,249 | $ | 8,266 | $ | 90,333 | $ | 113,559 | $ | 100,410 | $ | 1,174 | $ | 403,875 | ||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Credit quality indicators: | ||||||||||||||||||||||||||
Not classified | $ | 37,531 | $ | 29,384 | $ | 7,983 | $ | 61,119 | $ | 95,839 | $ | 86,701 | $ | 1,260 | $ | 319,817 | ||||||||||
Special mention | - | - | - | - | - | - | - | - | ||||||||||||||||||
Substandard | 432 | 442 | - | - | 384 | 1,143 | - | 2,401 | ||||||||||||||||||
Doubtful | - | - | - | - | - | - | - | - | ||||||||||||||||||
Total | $ | 37,963 | $ | 29,826 | $ | 7,983 | $ | 61,119 | $ | 96,223 | $ | 87,844 | $ | 1,260 | $ | 322,218 | ||||||||||
· | Special Mention - A Special Mention asset has potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the asset or in the institution’s credit position at some future date. Special Mention assets are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification. | |||||||||||||||||||||||||
· | Substandard - Substandard loans are inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified must have a well defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. | |||||||||||||||||||||||||
· | Doubtful - Loans classified Doubtful 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 known facts, conditions and values, highly questionable and improbable. | |||||||||||||||||||||||||
Loans classified Special Mention, Substandard, Doubtful or Loss are reviewed at least quarterly to determine their appropriate classification. All commercial loan relationships are reviewed annually. Non-classified residential mortgage loans and consumer loans are not evaluated unless a specific event occurs to raise the awareness of a possible credit deterioration. | ||||||||||||||||||||||||||
An aged analysis of past due loans are as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Analysis of past due loans: | ||||||||||||||||||||||||||
Accruing loans current | $ | 50,884 | $ | 38,025 | $ | 8,266 | $ | 90,333 | $ | 113,142 | $ | 97,127 | $ | 1,174 | $ | 398,951 | ||||||||||
Accruing loans past due: | ||||||||||||||||||||||||||
31-59 days past due | - | 570 | - | - | - | 150 | - | 720 | ||||||||||||||||||
60-89 days past due | - | 323 | - | - | - | 244 | - | 567 | ||||||||||||||||||
Greater than 90 days past due | - | - | - | - | 159 | 296 | - | 455 | ||||||||||||||||||
Total past due | $ | - | $ | 893 | $ | - | $ | - | $ | 159 | $ | 690 | $ | - | $ | 1,742 | ||||||||||
Non-accrual loans | - | 331 | - | - | 258 | 2,593 | - | 3,182 | ||||||||||||||||||
Total loans | $ | 50,884 | $ | 39,249 | $ | 8,266 | $ | 90,333 | $ | 113,559 | $ | 100,410 | $ | 1,174 | $ | 403,875 | ||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Analysis of past due loans: | ||||||||||||||||||||||||||
Accruing loans current | $ | 37,531 | $ | 29,176 | $ | 7,942 | $ | 61,119 | $ | 95,839 | $ | 86,393 | $ | 1,260 | $ | 319,260 | ||||||||||
Accruing loans past due: | ||||||||||||||||||||||||||
31-59 days past due | - | - | - | - | - | - | - | - | ||||||||||||||||||
60-89 days past due | - | - | - | - | - | 308 | - | 308 | ||||||||||||||||||
Greater than 90 days past due | - | 208 | 41 | - | - | - | - | 249 | ||||||||||||||||||
Total past due | $ | - | $ | 208 | $ | 41 | $ | - | $ | - | $ | 308 | $ | - | $ | 557 | ||||||||||
Non-accrual loans | 432 | 442 | - | - | 384 | 1,143 | - | 2,401 | ||||||||||||||||||
Total loans | $ | 37,963 | $ | 29,826 | $ | 7,983 | $ | 61,119 | $ | 96,223 | $ | 87,844 | $ | 1,260 | $ | 322,218 | ||||||||||
Total loans either in non-accrual status or in excess of 90 days delinquent totaled $3.6 million, which is less than one percent of total loans outstanding, as of December 31, 2013 and represents an increase from the total of $2.6 million also less than one percent of total loans at December 31, 2012. | ||||||||||||||||||||||||||
The impaired loans for the years ended December 31, 2013 and 2012 are as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | & land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Impaired loans: | ||||||||||||||||||||||||||
Recorded investment | - | 331 | - | - | 2,984 | 2,975 | - | 6,290 | ||||||||||||||||||
With an allowance recorded | - | 331 | - | - | 258 | 677 | - | 1,266 | ||||||||||||||||||
With no related allowance recorded | - | - | - | - | 2,726 | 2,298 | - | 5,024 | ||||||||||||||||||
Related allowance | - | 4 | - | - | 31 | 224 | - | 259 | ||||||||||||||||||
Unpaid principal | - | 331 | - | - | 2,984 | 2,978 | - | 6,293 | ||||||||||||||||||
Average balance of impaired loans | - | 333 | - | - | 2,994 | 3,706 | - | 7,033 | ||||||||||||||||||
Interest income recognized | - | 15 | - | - | 208 | 120 | - | 343 | ||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | & land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Impaired loans: | ||||||||||||||||||||||||||
Recorded investment | 432 | 442 | - | - | 3,134 | 1,568 | - | 5,576 | ||||||||||||||||||
With an allowance recorded | 432 | 442 | - | - | 381 | 540 | - | 1,795 | ||||||||||||||||||
With no related allowance recorded | - | - | - | - | 2,753 | 1,028 | - | 3,781 | ||||||||||||||||||
Related allowance | 21 | 138 | - | - | 148 | 257 | - | 564 | ||||||||||||||||||
Unpaid principal | 432 | 442 | - | - | 3,372 | 1,580 | - | 5,826 | ||||||||||||||||||
Average balance of impaired loans | 439 | 444 | - | - | 4,225 | 1,809 | 7 | 6,924 | ||||||||||||||||||
Interest income recognized | 18 | 15 | - | - | 211 | 96 | 1 | 341 | ||||||||||||||||||
Included in the total impaired loans above were non-accrual loans of $3.2 million and $2.4 million at December 31, 2013 and 2012, respectively. Interest income that would have been recorded if non-accrual loans had been current and in accordance with their original terms, was $154 thousand, $113 thousand and $105 thousand for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||||||||
The Company did not transfer any loans to other real estate owned (“OREO”) in 2013, and in 2012 transferred one loan totaling $1.6 million, net of reserves. Management routinely evaluates OREO based upon periodic appraisals. In 2013, 2012 and 2011, the Company recorded a valuation allowance of $347 thousand, $48 thousand and $777 thousand, respectively, in non-interest expense for properties whose current appraised value was less than the carried amount. | ||||||||||||||||||||||||||
Loans may have their terms restructured (e.g., interest rates, loan maturity date, payment and amortization period, etc.) in circumstances that provide payment relief to a borrower experiencing financial difficulty. Such restructured loans are considered impaired loans that may either be in accruing status or non-accruing status. Non-accruing restructured loans may return to accruing status provided there is a sufficient period of payment performance in accordance with the restructure terms. Loans may be removed from the restructured category in the year subsequent to the restructuring if they have performed based on all of the restructured loan terms. | ||||||||||||||||||||||||||
The trouble debt restructured loans (“TDRs”) at December 31, 2013 and December 31, 2012 are as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Number | Non-Accrual | Number | Accrual | Total | ||||||||||||||||||||||
(dollars in thousands) | of Loans | Status | of Loans | Status | TDRs | |||||||||||||||||||||
Commercial real estate non-owner occupied | - | $ | - | - | $ | - | $ | - | ||||||||||||||||||
Commercial loans | 6 | 861 | - | - | 861 | |||||||||||||||||||||
6 | $ | 861 | - | $ | - | $ | 861 | |||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Number | Non-Accrual | Number | Accrual | Total | ||||||||||||||||||||||
(dollars in thousands) | of Loans | Status | of Loans | Status | TDRs | |||||||||||||||||||||
Commercial real estate non-owner occupied | 1 | $ | 381 | - | $ | - | $ | 381 | ||||||||||||||||||
Commercial loans | 6 | 903 | - | - | 903 | |||||||||||||||||||||
7 | $ | 1,284 | - | $ | - | $ | 1,284 | |||||||||||||||||||
A summary of TDR modifications outstanding and performance under modified terms are as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Not Performing | Performing | |||||||||||||||||||||||||
to Modified | to Modified | Total | ||||||||||||||||||||||||
(in thousands) | Terms | Terms | TDRs | |||||||||||||||||||||||
Commercial loans | ||||||||||||||||||||||||||
Interest only payments | $ | - | $ | - | $ | - | ||||||||||||||||||||
Rate modification | - | - | - | |||||||||||||||||||||||
Forberance | 861 | - | 861 | |||||||||||||||||||||||
Extension or other modification | - | - | - | |||||||||||||||||||||||
Total commercial | 861 | - | 861 | |||||||||||||||||||||||
Total TDRs | $ | 861 | $ | - | $ | 861 | ||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Not Performing | Performing | |||||||||||||||||||||||||
to Modified | to Modified | Total | ||||||||||||||||||||||||
(in thousands) | Terms | Terms | TDRs | |||||||||||||||||||||||
Commercial loans | ||||||||||||||||||||||||||
Interest only payments | $ | - | $ | - | $ | - | ||||||||||||||||||||
Rate modification | - | - | - | |||||||||||||||||||||||
Forberance | 1,284 | - | 1,284 | |||||||||||||||||||||||
Extension or other modification | - | - | - | |||||||||||||||||||||||
Total commercial | 1,284 | - | 1,284 | |||||||||||||||||||||||
Total TDRs | $ | 1,284 | $ | - | $ | 1,284 | ||||||||||||||||||||
There were 6 loans restructured in 2013 and 7 loans restructured in 2012. | ||||||||||||||||||||||||||
Intangible_Asset
Intangible Asset | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||
Intangible Assets Disclosure [Text Block] | ' | ||||||||||
Note 7: Intangible Asset | |||||||||||
The gross carrying amount and accumulated amortization of intangible assets are as follows: | |||||||||||
December 31, 2013 | |||||||||||
Gross | Net | ||||||||||
Carrying | Accumulated | Carrying | |||||||||
(in thousands) | Amount | Amortization | Amount | ||||||||
Amortizing intangible assets: | |||||||||||
Core deposit intangible | $ | 376 | $ | 34 | $ | 342 | |||||
There were no intangible assets in prior periods. | |||||||||||
Estimated future amortizing expense for amortizing intangibles within the years ending December 31, are as follows: | |||||||||||
(in thousands) | |||||||||||
2014 | 73 | ||||||||||
2015 | 57 | ||||||||||
2016 | 46 | ||||||||||
2017 | 36 | ||||||||||
2018 | 29 | ||||||||||
Thereafter | 101 | ||||||||||
Total amortizing intangible assets | $ | 342 | |||||||||
Premises_and_Equipment
Premises and Equipment | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property, Plant and Equipment Disclosure [Text Block] | ' | |||||||
Note 8: Premises and Equipment | ||||||||
Premises and equipment include the following at: | ||||||||
December 31, | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Land | $ | 2,850 | $ | 2,660 | ||||
Building and leasehold improvements | 8,858 | 7,430 | ||||||
Furniture and equipment | 2,414 | 2,231 | ||||||
Software | 167 | 167 | ||||||
14,289 | 12,488 | |||||||
Less: accumulated depreciation and amortization | 3,447 | 2,915 | ||||||
Net premises and equipment | $ | 10,842 | $ | 9,573 | ||||
The Company occupies banking, land and office space in nine locations, seven of which are under noncancellable lease arrangements accounted for as operating leases. The initial lease periods range from 10 to 20 years and provide for one or more 5-year renewal options. Rent expense applicable to operating leases amounted to $903 thousand, $856 thousand and $800 thousand for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||
The Company owns two properties. One property includes one of our branch locations as well as a building with both office and retail units. The Company utilizes the office portion of the center for Bank purposes and leases the remainder of the space. As part of the Aberdeen branch acquisition, the Company purchased both the ground and building associated with the branch location. | ||||||||
Depreciation and amortization expense for premises and equipment were $599 thousand, $532 thousand and $455 thousand for the years ended December 31, 2013, 2012 and 2011, respectively | ||||||||
Future minimum lease payments under noncancellable operating leases within the years ending December 31, having an initial term in excess of one year are as follows: | ||||||||
(in thousands) | ||||||||
2014 | $ | 783 | ||||||
2015 | 746 | |||||||
2016 | 699 | |||||||
2017 | 689 | |||||||
2018 | 702 | |||||||
Thereafter | 1,325 | |||||||
Total minimum lease payments | $ | 4,944 | ||||||
Deposits
Deposits | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Banking and Thrift [Abstract] | ' | |||||||||||||||||||||
Deposit Liabilities Disclosures [Text Block] | ' | |||||||||||||||||||||
Note 9: Deposits | ||||||||||||||||||||||
The following table details the composition of deposits and the related percentage mix of total deposits, respectively: | ||||||||||||||||||||||
December 31, | ||||||||||||||||||||||
(dollars in thousands) | 2013 | 2012 | ||||||||||||||||||||
Weighted | Weighted | |||||||||||||||||||||
% of | Average | % of | Average | |||||||||||||||||||
Amount | Total | Rate | Amount | Total | Rate | |||||||||||||||||
Noninterest-bearing demand | $ | 89,759 | 23 | % | - | % | $ | 95,875 | 30 | % | - | % | ||||||||||
Interest-bearing checking | 31,443 | 8 | 0.27 | 26,209 | 8 | 0.34 | ||||||||||||||||
Money market accounts | 96,365 | 25 | 0.4 | 70,856 | 23 | 0.55 | ||||||||||||||||
Savings | 12,496 | 3 | 0.34 | 11,107 | 4 | 0.51 | ||||||||||||||||
Certificates of deposit $100,000 and over | 110,516 | 29 | 1.2 | 77,759 | 25 | 1.27 | ||||||||||||||||
Certificates of deposit under $100,000 | 48,370 | 12 | 0.72 | 33,052 | 10 | 1.01 | ||||||||||||||||
Total deposits | $ | 388,949 | 100 | % | 0.67 | % | $ | 314,858 | 100 | % | 0.85 | % | ||||||||||
The following table presents the maturity schedule for time deposits maturing within years ending December 31: | ||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||
2014 | $ | 97,420 | ||||||||||||||||||||
2015 | 32,194 | |||||||||||||||||||||
2016 | 20,215 | |||||||||||||||||||||
2017 | 4,159 | |||||||||||||||||||||
2018 | 4,898 | |||||||||||||||||||||
Total time deposits | $ | 158,886 | ||||||||||||||||||||
Interest expense on deposits for the twelve months ended December 31, 2013, December 31, 2012 and December 31, 2011 were as follows: | ||||||||||||||||||||||
December 31, | ||||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||||
Interest-bearing checking | $ | 69 | $ | 64 | $ | 68 | ||||||||||||||||
Savings and money market | 368 | 422 | 517 | |||||||||||||||||||
Certificates of deposit $100,000 and over | 719 | 762 | 756 | |||||||||||||||||||
Certificates of deposit under $100,000 | 500 | 530 | 407 | |||||||||||||||||||
Total | $ | 1,656 | $ | 1,778 | $ | 1,748 | ||||||||||||||||
ShortTerm_Borrowings
Short-Term Borrowings | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Short-term Debt [Abstract] | ' | |||||||||||||
Short-term Debt [Text Block] | ' | |||||||||||||
Note 10: Short-Term Borrowings | ||||||||||||||
Short-term borrowings consist of overnight unsecured master notes, overnight securities sold under agreement to repurchase and FHLB advances with a final remaining maturity of less than one year. Information relating to short-term borrowings at December 31, 2013 and December 31, 2012 is presented below: | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
(dollars in thousands) | Amount | Rate | Amount | Rate | ||||||||||
At period end | $ | 45,658 | 0.28 | % | $ | 26,987 | 0.54 | % | ||||||
Average for the year | $ | 28,459 | 0.4 | % | $ | 23,756 | 0.69 | % | ||||||
Maximum month-end balance | $ | 45,658 | $ | 29,726 | ||||||||||
The Company pledges U.S. Government Agency securities, based upon their fair value, as collateral for 100% of the principal and accrued interest of its repurchase agreements. At December 31, 2013 and 2012 there were $20.7 million and $16.6 million, respectively, in borrowings under these agreements. | ||||||||||||||
If the Company should need to supplement its liquidity, it could borrow, subject to collateral requirements, up to approximately $71.7 million on a line of credit arrangement with the Federal Home Loan Bank of Atlanta (“FHLB”). At December 31, 2013 and 2012 there were $40.0 million and $22.0 million, respectively, in advances outstanding under this arrangement. | ||||||||||||||
LongTerm_Borrowings
Long-Term Borrowings | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Debt Disclosure [Abstract] | ' | |||||||||
Long-term Debt [Text Block] | ' | |||||||||
Note 11: Long-Term Borrowings | ||||||||||
Long-term borrowings for the periods consisted of the following: | ||||||||||
December 31, | ||||||||||
(in thousands) | 2013 | 2012 | ||||||||
Federal Home Loan Bank Advances 1 | ||||||||||
1.59 | % | Due 2014 | $ | 2,000 | ||||||
0.84 | % | Due 2014 | 2,000 | |||||||
0.37 | % | Due 2014 | 2,000 | |||||||
0.32 | % | Due 2014 | 2,000 | |||||||
0.37 | % | Due 2014 | 2,000 | |||||||
0.54 | % | Due 2015 | 2,000 | 2,000 | ||||||
0.44 | % | Due 2015 | 2,000 | - | ||||||
0.62 | % | Due 2016 | 2,000 | - | ||||||
0.98 | % | Due 2016 | 5,000 | - | ||||||
1.46 | % | Due 2017 | 2,500 | - | ||||||
1.88 | % | Due 2018 | 2,500 | - | ||||||
Total long-term borrowings | $ | 16,000 | $ | 12,000 | ||||||
-1 | Fixed rate advances | |||||||||
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||
Income Tax Disclosure [Text Block] | ' | ||||||||||
Note 12: Income Taxes | |||||||||||
Federal and state income tax expense consists of the following for the years ended: | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Current federal income tax | $ | 780 | $ | 491 | $ | 72 | |||||
Current state income tax | 159 | 129 | - | ||||||||
Deferred federal income tax expense | 27 | 410 | 754 | ||||||||
Deferred state income tax expense | 18 | 108 | 207 | ||||||||
Total income tax expense | $ | 984 | $ | 1,138 | $ | 1,063 | |||||
A reconciliation of the statutory federal income tax rate to the Company’s effective tax rate for the years ended follows: | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Statutory federal income tax rate | 34 | % | 34 | % | 34 | ||||||
State income taxes, net of federal income tax expense | 4 | 5.6 | 5.6 | ||||||||
Bank owned life insurance | -3.3 | - | - | ||||||||
Other, net | -1.3 | 1.7 | 0.8 | ||||||||
Effective tax rate | 33.4 | % | 41.3 | % | 40.4 | ||||||
The following table is a summary of the tax effect of temporary differences that give rise to a significant portion of deferred tax assets: | |||||||||||
December, 31 | |||||||||||
(in thousands) | 2013 | 2012 | |||||||||
Deferred tax assets: | |||||||||||
Allowance for credit losses | $ | 100 | $ | 370 | |||||||
Valuation on foreclosed real estate | 836 | 710 | |||||||||
Stock-based compensation | 59 | 59 | |||||||||
Deferred loan fees and costs, net | 89 | 21 | |||||||||
Other | 111 | 100 | |||||||||
Total deferred tax assets | 1,195 | 1,260 | |||||||||
Deferred tax liabilities: | |||||||||||
Unrealized gain on securities | 4 | 14 | |||||||||
Depreciation and amortization | 66 | 86 | |||||||||
Total deferred tax liabilities | 70 | 100 | |||||||||
Net deferred tax assets | $ | 1,125 | $ | 1,160 | |||||||
Related_Party_Transactions
Related Party Transactions | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Related Party Transactions [Abstract] | ' | |||||||
Related Party Transactions Disclosure [Text Block] | ' | |||||||
Note 13: Related Party Transactions | ||||||||
In the normal course of business, loans are made to officers and directors of the Company, as well as to their related interests. In the opinion of management, these loans are consistent with sound banking practices, are within regulatory lending limitations and do not involve more than the normal risk of collectability. Total outstanding balances to the Company’s executive officers, directors and their related interests at are presented below. Total outstanding loans and unfunded commitments to these parties at December 31, 2013 were $23.0 million. | ||||||||
December 31, | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Balance January 1 | $ | 15,673 | $ | 12,768 | ||||
Additions | 11,821 | 6,072 | ||||||
Repayments | 8,874 | 3,167 | ||||||
Balance December 31 | $ | 18,620 | $ | 15,673 | ||||
Financial_Instruments_with_Off
Financial Instruments with Off-Balance Sheet Risk | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Risks and Uncertainties [Abstract] | ' | |||||||
Financial Instruments With Off Balance Sheet Risk [Text Block] | ' | |||||||
Note 14: Financial Instruments with Off-Balance Sheet Risk | ||||||||
The Company is a party to financial instruments with off-balance sheet risk in the normal course of business. These financial instruments may include commitments to extend credit, standby letters of credit and purchase commitments. The Company uses these financial instruments to meet the financing needs of its customers. Financial instruments involve, to varying degrees, elements of credit, interest rate, and liquidity risk. These do not represent unusual risks, and management does not anticipate any losses which would have a material effect on the accompanying financial statements. | ||||||||
Outstanding loan commitments and lines and letters of credit are as follows: | ||||||||
December 31, | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Unfunded loan commitments | $ | 34,464 | $ | 34,057 | ||||
Unused lines of credit | 41,326 | 40,493 | ||||||
Letters of credit | 9,676 | 6,178 | ||||||
Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. The Company generally requires collateral to support financial instruments with credit risk on the same basis as it does for on-balance sheet instruments. The collateral is based on management’s credit evaluation of the counterparty. Commitments have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amount does not necessarily represent future cash requirements. Each customer’s credit-worthiness is evaluated on a case-by-case basis. | ||||||||
Standby letters of credit are conditional commitments issued to guarantee the performance of a customer to a third party. | ||||||||
Stock_Options_Awards_and_Warra
Stock Options, Awards and Warrants | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Stock Options Awards and Warrants [Abstract] | ' | |||||||||||||
Stock Options Awards and Warrants [Text Block] | ' | |||||||||||||
Note 15: Stock Options, Awards and Warrants | ||||||||||||||
The Company initially raised $4,775,000 of capital by selling to its founders investment units consisting of one share of common stock and a fully detachable warrant equal to .25 shares of common stock per unit. The warrants were issued in recognition of the financial and organizational risk undertaken by the purchasers in the organizational offering. The warrants are immediately exercisable and will expire ten (10) years from the date of issuance, which will be in August 2014. As of December 31, 2013 there have been no exercises of these warrants and the Company has outstanding warrants to purchase 119,376 shares at the price of $10.00 per share. | ||||||||||||||
The Company’s equity incentive plans provide for awards of nonqualified and incentive stock options as well as vested and non-vested common stock awards. Employee stock options can be granted with exercise prices at the fair market value (as defined within the plan) of the stock at the date of grant and with terms of up to ten years. Except as otherwise permitted in the plan, upon termination of employment for reasons other than retirement, permanent disability or death, the option exercise period is reduced or the options are canceled. | ||||||||||||||
Stock awards may also be granted to non-employee members of the Board of Directors as compensation for attendance and participation at meetings of the Board of Directors and meetings of the various committees of the Board. In 2013 and 2012, the Company issued 5,179 and 3,843 shares of stock, respectively, to directors as compensation for their service. Expenses related to these issued shares were $38 thousand and $22 thousand for 2013 and 2012, respectively. | ||||||||||||||
The following table summarizes the Company’s stock option activity and related information for the years ended: | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Weighted | Weighted | |||||||||||||
Average | Average | |||||||||||||
Exercise | Exercise | |||||||||||||
Shares | Price | Shares | Price | |||||||||||
Balance at January 1, 2013 | 395,351 | $ | 11.16 | 395,351 | $ | 11.16 | ||||||||
Granted | - | - | - | - | ||||||||||
Exercised | - | - | - | - | ||||||||||
Forfeited | -8,250 | 9.9 | - | - | ||||||||||
Balance at December 31, 2013 | 387,101 | $ | 11.19 | 395,351 | $ | 11.16 | ||||||||
Exercisable at December 31, 2013 | 387,101 | $ | 11.19 | 395,351 | $ | 11.16 | ||||||||
Weighted average fair value of options granted during the year | $ | - | $ | - | ||||||||||
The intrinsic value of a stock option is the amount that the market value of the underlying stock exceeds the exercise price of the option. Based upon a fair market value of $9.42 on December 31, 2013 the options outstanding had an aggregate intrinsic value of $32 thousand. There were no options exercised during 2013, 2012 or 2011. | ||||||||||||||
In the second quarter of 2013, 50,000 shares of restricted stock were granted, with 30,000 of the shares subject to a three year vesting schedule with one third of the shares vesting each year on the grant date anniversary. The remaining 20,000 awarded shares also are subject to a three year vesting schedule, however they only vest if certain annual performance measures are satisfactorily achieved. | ||||||||||||||
A summary of the activity for the Company’s restricted stock for the period indicated is presented in the following table: | ||||||||||||||
Weighted | ||||||||||||||
Average | ||||||||||||||
Number | Grant-Date | |||||||||||||
(In dollars, except share data): | of Shares | Fair Value | ||||||||||||
Restricted stock at January 1, 2013 | 0 | $ | 0 | |||||||||||
Granted | 50,000 | $ | 6.89 | |||||||||||
Vested | 0 | $ | 0 | |||||||||||
Restricted stock at December 31, 2013 | 50,000 | $ | 6.89 | |||||||||||
At December 31, 2013, based on equity awards outstanding at that time, the total unrecognized pre-tax compensation expense related to unvested equity awards was $258 thousand. This expense is expected to be recognized through 2016. | ||||||||||||||
Stock-Based Compensation Expense: Stock-based compensation is recognized as compensation cost in the statement of operations based on their fair values on the measurement date, which, for the Company, is the date of the grant. The Company recognized stock-based compensation expense related to the issuance of restricted stock of $87 thousand for the year ended December 31, 2013, and stock-based compensation expense related to stock options of $83 thousand and $106 thousand during 2012 and 2011, respectively. | ||||||||||||||
Valuation of Stock-Based Compensation: The fair value of the Company’s stock options granted as compensation is estimated on the measurement date, which, for the Company, is the date of grant. The fair value of stock options was calculated using the Black-Scholes option-pricing model. There were no stock options granted in 2013 and 2012. The Company estimated expected market price volatility and expected term of the options based on historical data and other factors. | ||||||||||||||
Profit_Sharing_Plan
Profit Sharing Plan | 12 Months Ended |
Dec. 31, 2013 | |
Profit Sharing Plan [Abstract] | ' |
Profit Sharing Plan [Text Block] | ' |
Note 16: Profit Sharing Plan | |
The Company sponsors a defined contribution retirement plan through a Section 401(k) profit sharing plan. Employees may contribute up to 15% of their pretax compensation. Participants are eligible for matching Company contributions up to 4% of eligible compensation dependent on the level of voluntary contributions. Company matching contributions totaled $147 thousand, $110 thousand and $99 thousand, respectively, for the year ended December 31, 2013, 2012 and 2011. The Company’s matching contributions vest immediately. | |
Income_Loss_per_Common_Share
Income (Loss) per Common Share | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||
Earnings Per Share [Text Block] | ' | ||||||||||
Note 17: Income (Loss) per Common Share | |||||||||||
The table below shows the presentation of basic and diluted income (loss) per common share for the years ended: | |||||||||||
December 31, | |||||||||||
(dollars in thousands, except per share data) | 2013 | 2012 | 2011 | ||||||||
Net income applicable to common stock (numerator) | $ | 1,961 | $ | 1,621 | $ | 1,385 | |||||
Preferred dividends | $ | -165 | $ | -616 | $ | -451 | |||||
Net income available to common shareholders | $ | 1,796 | $ | 1,005 | $ | 934 | |||||
BASIC | |||||||||||
Average common shares outstanding (denominator) | 4,077,613 | 3,269,835 | 2,638,443 | ||||||||
Basic income per common share | $ | 0.44 | $ | 0.31 | $ | 0.35 | |||||
DILUTED | |||||||||||
Average common shares outstanding | 4,077,613 | 3,269,835 | 2,638,443 | ||||||||
Diluted effect of stock options and warrants | 3,398 | - | - | ||||||||
Diluted average common shares outstanding (denominator) | 4,081,011 | 3,269,835 | 2,638,443 | ||||||||
Diluted income per common share | $ | 0.44 | $ | 0.31 | $ | 0.35 | |||||
Stock options and warrants outstanding that are anti-dilutive and thus excluded from calculation of diluted number of shares presented above | 479,971 | 514,727 | 495,141 | ||||||||
Regulatory_Matters
Regulatory Matters | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Banking and Thrift [Abstract] | ' | |||||||||||||||||||||
Regulatory Capital Requirements under Banking Regulations [Text Block] | ' | |||||||||||||||||||||
Note 18: Regulatory Matters | ||||||||||||||||||||||
The Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company's and the Bank's financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank's assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Company and the Bank's capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. | ||||||||||||||||||||||
Quantitative measures, established by the regulators to ensure capital adequacy, require that the Bank maintain minimum ratios (set forth below) of capital to risk-weighted assets. There are three categories of capital under the guidelines. Tier 1 capital includes common shareholders’ equity, qualifying preferred stock and trust preferred securities, less goodwill and certain other deductions (including the unrealized net gains and losses, after applicable income taxes, on securities available for sale carried at fair value). Tier 2 capital includes preferred stock not qualifying as Tier 1 capital, subordinated debt, the allowance for credit losses and net unrealized gains on marketable equity securities, subject to limitations by the guidelines. Tier 2 capital is limited to the amount of Tier 1 capital (i.e., at least half of total capital must be in the form of Tier 1 capital). Tier 3 capital includes certain qualifying unsecured subordinated debt. | ||||||||||||||||||||||
Under the guidelines, capital is compared to the relative risk related to the balance sheet. To derive the risk included in the balance sheet, one of four risk weights (0%, 20%, 50% and 100%) is applied to the different balance sheet and off-balance sheet assets, primarily based on the relative credit risk of the counterparty. For example, claims guaranteed by the U.S. government or one of its agencies are risk-weighted at 0%. Off-balance sheet items, such as loan commitments, are also applied a risk weight after calculating balance sheet equivalent amounts. One of four credit conversion factors (0%, 20%, 50% and 100%) is assigned to loan commitments based on the likelihood of the off-balance sheet item becoming an asset. For example, certain loan commitments are converted at 50% and then risk-weighted at 100%. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. | ||||||||||||||||||||||
Management believes that, as of December 31, 2013 and 2012, the Bank met all capital adequacy requirements to which it is subject. | ||||||||||||||||||||||
To be well | ||||||||||||||||||||||
capitalized under | ||||||||||||||||||||||
the FDICIA | ||||||||||||||||||||||
For capital | prompt corrective | |||||||||||||||||||||
Actual | adequacy purposes | action provisions | ||||||||||||||||||||
(dollars in thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||||
As of December 31, 2013: | ||||||||||||||||||||||
Total capital (to risk-weighted assets) | ||||||||||||||||||||||
Howard Bank | $ | 49,902 | 11.85 | % | $ | 33,684 | 8 | % | $ | 42,105 | 10 | % | ||||||||||
Howard Bancorp | $ | 50,700 | 12.05 | % | $ | 33,668 | 8 | % | N/A | |||||||||||||
Tier 1 capital (to risk-weighted assets) | ||||||||||||||||||||||
Howard Bank | $ | 47,396 | 11.26 | % | $ | 16,842 | 4 | % | $ | 25,263 | 6 | % | ||||||||||
Howard Bancorp | $ | 48,195 | 11.45 | % | $ | 16,834 | 4 | % | N/A | |||||||||||||
Tier 1 capital (to average assets) | ||||||||||||||||||||||
(Leverage ratio) | ||||||||||||||||||||||
Howard Bank | $ | 47,396 | 9.77 | % | $ | 19,406 | 4 | % | $ | 24,257 | 5 | % | ||||||||||
Howard Bancorp | $ | 48,195 | 9.93 | % | $ | 19,414 | 4 | % | N/A | |||||||||||||
As of December 31, 2012: | ||||||||||||||||||||||
Total capital (to risk-weighted assets) | ||||||||||||||||||||||
Howard Bank | $ | 39,739 | 12.17 | % | $ | 26,127 | 8 | % | $ | 32,659 | 10 | % | ||||||||||
Howard Bancorp | $ | 49,404 | 15.02 | % | $ | 26,312 | 8 | % | N/A | |||||||||||||
Tier 1 capital (to risk-weighted assets) | ||||||||||||||||||||||
Howard Bank | $ | 36,978 | 11.32 | % | $ | 13,064 | 4 | % | $ | 19,595 | 6 | % | ||||||||||
Howard Bancorp | $ | 46,640 | 14.18 | % | $ | 13,156 | 4 | % | N/A | |||||||||||||
Tier 1 capital (to average assets) | ||||||||||||||||||||||
(Leverage ratio) | ||||||||||||||||||||||
Howard Bank | $ | 36,978 | 9.79 | % | $ | 15,109 | 4 | % | $ | 18,887 | 5 | % | ||||||||||
Howard Bancorp | $ | 46,640 | 12.34 | % | $ | 15,114 | 4 | % | N/A | |||||||||||||
Preferred_Stock
Preferred Stock | 12 Months Ended |
Dec. 31, 2013 | |
Equity [Abstract] | ' |
Preferred Stock [Text Block] | ' |
Note 19: Preferred Stock | |
On September 22, 2011, we entered into a Securities Purchase Agreement with the Secretary of the Treasury, pursuant to which Bancorp issued and sold to the Treasury 12,562 shares of our Senior Non-Cumulative Perpetual Preferred Stock, Series AA, having a liquidation preference of $1,000 per share, for aggregate proceeds of $12,562,000. The issuance was pursuant to the Treasury’s Small Business Lending Fund (SBLF) program, a $30 billion fund established under the Small Business Jobs Act of 2010, which encourages lending to small businesses by providing capital to qualified community banks with assets of less than $10 billion. The Series AA Preferred Stock holders are entitled to receive non-cumulative dividends payable quarterly on each January 1, April 1, July 1 and October 1, beginning October 1, 2011. The dividend rate, which is calculated on the aggregate Liquidation Amount, was initially set at 5% per annum based upon the then-current level of “Qualified Small Business Lending” (“QSBL”) by the Bank and is currently set at 1%. The dividend rate for each dividend period may vary and is set based upon the percentage change in qualified lending between each dividend period and the baseline QSBL level established at the time the Agreement was entered into. Such dividend rate may vary from 1% per annum to 5% per annum for the second through tenth dividend periods and from 1% per annum to 7% per annum for the eleventh through the eighteenth dividend periods and though March 22, 2016 with respect to the nineteenth dividend period. If the Series AA Preferred Stock remains outstanding for more than four-and-one-half years, the dividend rate will be fixed at 9%. Prior to that time, in general, the dividend rate decreases as the level of the Bank’s QSBL increases. Such dividends are not cumulative, but Bancorp may only declare and pay dividends on its common stock (or any other equity securities junior to the Series AA Preferred Stock) if it has declared and paid dividends for the current dividend period on the Series AA Preferred Stock, and will be subject to other restrictions on its ability to repurchase or redeem other securities. In addition, if we have not timely declared and paid dividends on the Series AA Preferred Stock for six dividend periods or more, whether or not consecutive, the Treasury (or any successor holder of Series AA Preferred Stock) may designate a representative to attend all meetings of Bancorp’s Board of Directors in a nonvoting observer capacity and Bancorp must give such representative copies of all notices, minutes, consents and other materials that Bancorp provide to its directors in connection with such meetings. | |
We may redeem the shares of Series AA Preferred Stock, in whole or in part, at any time at a redemption price equal to the sum of the Liquidation Amount per share and the per-share amount of any unpaid dividends for the then-current period, subject to any required prior approval by our primary federal banking regulator. | |
Fair_Value
Fair Value | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Disclosures [Text Block] | ' | ||||||||||||||||
Note 20: Fair Value | |||||||||||||||||
FASB ASC Topic 820 “Fair Value Measurements” defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. FASB ASC Topic 820 also establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. | |||||||||||||||||
The Company utilizes fair value measurements to record fair value adjustments to certain assets and to determine fair value disclosures. Securities available for sale are recorded at fair value on a recurring basis. Additionally, from time to time, the Company may be required to record at fair value other assets on a nonrecurring basis, such as loans held for investment and certain other assets. These nonrecurring fair value adjustments typically involve application of lower of cost or market accounting or write-downs of individual assets. | |||||||||||||||||
Under FASB ASC Topic 820, the Company groups assets and liabilities at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine the fair value. These hierarchy levels are: | |||||||||||||||||
Level 1: Valuations for assets and liabilities traded in active exchange markets. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities. | |||||||||||||||||
Level 2: Valuations for assets and liabilities traded in less active dealer or broker markets. Valuations are obtained from third party pricing services for identical or comparable assets or liabilities which use observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in active markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. | |||||||||||||||||
Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. | |||||||||||||||||
A financial instrument's level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. | |||||||||||||||||
The types of instruments valued based on quoted market prices in active markets include most U.S. government and agency securities, liquid mortgage products (including Loans held for sale), active listed equities and most money market securities. Such instruments are generally classified within Level 1 or Level 2 of the fair value hierarchy. As required by FASB ASC Topic 820, the Company does not adjust the quoted price for such instruments. | |||||||||||||||||
The types of instruments valued based on quoted prices in markets that are not active, broker or dealer quotations, or alternative pricing sources with reasonable levels of price transparency include most investment-grade and high-yield corporate bonds, less liquid mortgage products, less liquid equities, state, municipal and provincial obligations, and certain physical commodities. Such instruments are generally classified within Level 2 of the fair value hierarchy. | |||||||||||||||||
Level 3 is for positions that are not traded in active markets or are subject to transfer restrictions, valuations are adjusted to reflect illiquidity and/or non-transferability, and such adjustments are generally based on available market evidence. In the absence of such evidence, management's best estimate is used. | |||||||||||||||||
Impaired loans are evaluated and valued at the time the loan is identified as impaired, at the lower of cost or market value. Market value is measured based on the value of the collateral securing these loans and is classified at a Level 3 in the fair value hierarchy. Collateral may be real estate and/or business assets including equipment, inventory and/or accounts receivable. The value of real estate collateral is determined based on appraisal by qualified licensed appraisers hired by the Company. The value of business equipment, inventory and accounts receivable collateral is based on the net book value on the business' financial statements and, if necessary, discounted based on management's review and analysis. Appraised and reported values may be discounted based on management's historical knowledge, changes in market conditions from the time of valuation, and/or management's expertise and knowledge of the client and client's business. Impaired loans are reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted accordingly, based on the same factors identified above. | |||||||||||||||||
Other real estate owned acquired through, or in lieu of, foreclosure are held for sale and are initially recorded at the lower of cost or fair value, less selling costs. Any write-downs to fair value at the time of transfer to OREO are charged to the allowance for credit losses subsequent to foreclosure. Values are derived from appraisals of underlying collateral and discounted cash flow analysis. Valuation losses due to reductions in appraised values on OREO of $347 thousand and $48 thousand were recognized for years ended December 31, 2013 and 2012, respectively. These charges were for declines in the value of OREO subsequent to foreclosure. OREO is classified within Level 3 of the hierarchy. | |||||||||||||||||
The following table sets forth the Company's financial assets and liabilities that were accounted for or disclosed at fair value on a recurring basis at December 31, 2013 and December 31, 2012. | |||||||||||||||||
December 31, 2013 | Quoted Price in | Significant | |||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
Carrying | for Identical | Observable | Unobservable | ||||||||||||||
Value | Assets | Inputs | Inputs | ||||||||||||||
(in thousands) | (Fair Value) | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Investment securities: | |||||||||||||||||
U.S. Goverment agencies | $ | 28,521 | $ | - | $ | 28,521 | $ | - | |||||||||
Mortgage-backed securities | 167 | - | 167 | - | |||||||||||||
December 31, 2012 | Quoted Price in | Significant | |||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
Carrying | for Identical | Observable | Unobservable | ||||||||||||||
Value | Assets | Inputs | Inputs | ||||||||||||||
(in thousands) | (Fair Value) | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Investment securities: | |||||||||||||||||
U.S. Goverment agencies | $ | 26,540 | $ | - | $ | 26,540 | $ | - | |||||||||
Mortgage-backed securities | 335 | - | 335 | - | |||||||||||||
The following table sets forth the Company's financial assets and liabilities that were accounted for or disclosed at fair value on a nonrecurring basis as of December 31, 2013 and December 31, 2012. | |||||||||||||||||
December 31, 2013 | Quoted Price in | Significant | |||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
Carrying | for Identical | Observable | Unobservable | ||||||||||||||
Value | Assets | Inputs | Inputs | ||||||||||||||
(in thousands) | (Fair Value) | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Other real estate owned | $ | 2,377 | $ | - | $ | - | $ | 2,377 | |||||||||
Loans held for sale | 3,298 | - | 3,298 | - | |||||||||||||
Impaired loans: | |||||||||||||||||
Construction and land | - | - | - | - | |||||||||||||
Residential - first lien | 327 | - | - | 327 | |||||||||||||
Residential - junior lien | - | - | - | - | |||||||||||||
Commercial - owner occupied | - | - | - | - | |||||||||||||
Commercial - non-owner occupied | 2,953 | - | - | 2,953 | |||||||||||||
Commercial loans and leases | 2,751 | - | - | 2,751 | |||||||||||||
Consumer | - | - | - | - | |||||||||||||
December 31, 2012 | Quoted Price in | Significant | |||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
Carrying | for Identical | Observable | Unobservable | ||||||||||||||
Value | Assets | Inputs | Inputs | ||||||||||||||
(in thousands) | (Fair Value) | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Other real estate owned | $ | 2,903 | $ | - | $ | - | $ | 2,903 | |||||||||
Loans held for sale | 1,639 | - | 1,639 | - | |||||||||||||
Impaired loans: | |||||||||||||||||
Construction and land | 411 | - | - | 411 | |||||||||||||
Residential - first lien | 304 | - | - | 304 | |||||||||||||
Residential - junior lien | - | - | - | - | |||||||||||||
Commercial - owner occupied | - | - | - | - | |||||||||||||
Commercial - non-owner occupied | 2,986 | - | - | 2,986 | |||||||||||||
Commercial loans and leases | 1,311 | - | - | 1,311 | |||||||||||||
Consumer | - | - | - | - | |||||||||||||
The following table presents required information in accordance with ASC Topic 825 “Financial Instruments” December 31, 2013 and 2012. The fair value of a financial instrument is the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. Fair value estimates are based on quoted market prices where available or calculated using present value techniques. Since quoted market prices are not available on many of our financial instruments, estimates may be based on the present value of estimated future cash flows and estimated discount rates. These financial assets and liabilities have not been recorded at fair value: | |||||||||||||||||
The following methods and assumptions were used to estimate the fair value of financial instruments where it is practical to estimate fair value: | |||||||||||||||||
Cash and cash equivalents: The fair value of cash and cash equivalents is estimated to approximate the carrying amounts. | |||||||||||||||||
Securities available-for-sale: Based on quoted market prices. If quoted market price is not available fair value is estimated using quoted market prices for similar securities. | |||||||||||||||||
Nonmarketable equity securities: Because these securities are not marketable, the carrying amount approximates the fair value. | |||||||||||||||||
Loans: For variable rate loans the carrying amount approximates the fair value. For fixed rate loans the fair value is calculated by discounting estimated cash flows using current rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities. The estimated cash flows do not anticipate prepayments. | |||||||||||||||||
Deposits: The carrying amount of non-maturity deposits such as demand deposits, money market and saving deposits approximates the fair value. The fair value of deposits with predetermined maturity dates such as certificate of deposits is estimated by discounting the future cash flows using current rates of similar deposits with similar remaining maturities. | |||||||||||||||||
Short-term borrowing: Variable rate repurchase agreements carrying amounts approximate the fair values at the reporting date. | |||||||||||||||||
Long-term borrowing: Because the borrowing is a variable rate instrument, the carrying amount approximates the fair value. | |||||||||||||||||
Management has made estimates of fair value discount rates that it believes to be reasonable. However, because there is no market for many of these financial instruments, management has no basis to determine whether the fair value presented for loans would be indicative of the value negotiated in an actual sale. | |||||||||||||||||
The following table presents the estimated fair value of financial instruments for the periods indicated: | |||||||||||||||||
December 31, 2013 | |||||||||||||||||
Quoted Price in | Significant | ||||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||
Carrying | Fair | Assets | Inputs | Inputs | |||||||||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Financial Assets | |||||||||||||||||
Cash and cash equivalents | $ | 35,736 | $ | 35,736 | $ | - | $ | 35,736 | $ | - | |||||||
Investment securities | 28,688 | 28,688 | - | 28,688 | - | ||||||||||||
Nonmarketable equity securities | 2,282 | 2,282 | - | 2,282 | - | ||||||||||||
Loans held for sale | 3,298 | 3,298 | - | 3,298 | - | ||||||||||||
Loans and leases | 401,369 | 401,652 | - | - | 401,652 | ||||||||||||
Financial Liabilities | |||||||||||||||||
Deposits | 388,949 | 389,220 | - | - | 389,220 | ||||||||||||
Short-term borrowings | 45,658 | 45,658 | - | 45,658 | - | ||||||||||||
Long-term borrowings | 16,000 | 16,008 | - | 16,008 | - | ||||||||||||
December 31, 2012 | |||||||||||||||||
Quoted Price in | Significant | ||||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||
Carrying | Fair | Assets | Inputs | Inputs | |||||||||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Financial Assets | |||||||||||||||||
Cash and cash equivalents | $ | 36,361 | $ | 36,361 | $ | - | $ | 36,361 | $ | - | |||||||
Investment securities | 26,875 | 26,875 | - | 26,875 | - | ||||||||||||
Nonmarketable equity securities | 1,475 | 1,475 | - | 1,475 | - | ||||||||||||
Loans held for sale | 1,639 | 1,639 | - | 1,639 | - | ||||||||||||
Loans and leases | 319,454 | 322,495 | - | - | 322,495 | ||||||||||||
Financial Liabilities | |||||||||||||||||
Deposits | 314,858 | 314,292 | - | 314,292 | |||||||||||||
Short-term borrowings | 26,987 | 26,987 | - | 26,987 | - | ||||||||||||
Long-term borrowings | 12,000 | 12,025 | - | 12,025 | - | ||||||||||||
Parent_Company_Financial_Infor
Parent Company Financial Information | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | ||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | ' | ||||||||||
Note 21: Parent Company Financial Information | |||||||||||
The condensed financial statement for Howard Bancorp, Inc. (Parent Only) is presented below: | |||||||||||
Howard Bancorp, Inc. | |||||||||||
Balance Sheets | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | |||||||||
ASSETS | |||||||||||
Cash and cash equivalents | $ | 1,865 | $ | 9,969 | |||||||
Loans, net of unearned income | - | 250 | |||||||||
Allowance for credit losses | - | -3 | |||||||||
Net loans | - | 247 | |||||||||
Investment in subsidiaries | 47,744 | 36,999 | |||||||||
Other assets | 68 | 62 | |||||||||
Total assets | $ | 49,677 | $ | 47,277 | |||||||
LIABILITIES | |||||||||||
Short-term borrowings | $ | 981 | $ | 376 | |||||||
Other Liabilities | 72 | 180 | |||||||||
Total liabilities | 1,053 | 556 | |||||||||
SHAREHOLDERS' EQUITY | |||||||||||
Preferred stock—par value $0.01 (liquidation preference of $1,000 per share) authorized 5,000,000; shares issued and outstanding 12,562 series AA at December 31, 2013 and December 31, 2012, net of issuance cost | 12,562 | 12,562 | |||||||||
Common stock - par value of $0.01 authorized 10,000,000 shares; issued and outstanding 4,095,650 shares at December 31, 2013 and 4,040,471 December 31, 2012 | 41 | 40 | |||||||||
Capital surplus | 37,607 | 37,484 | |||||||||
Accumulated deficit | -1,590 | -3,386 | |||||||||
Accumulated other comprehensive income, net | 4 | 21 | |||||||||
Total shareholders’ equity | 48,624 | 46,721 | |||||||||
Total liabilities and shareholders’equity | $ | 49,677 | $ | 47,277 | |||||||
Statements of Operations | |||||||||||
For the year ended | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
INTEREST INCOME | |||||||||||
Interest and fees on loans | $ | 11 | $ | 3 | $ | - | |||||
INTEREST EXPENSE | |||||||||||
Short-term borrowings | 5 | 7 | 27 | ||||||||
NET INTEREST EXPENSE | 6 | -4 | -27 | ||||||||
Provision for credit losses | -3 | 3 | - | ||||||||
Net interest expense after provision for credit losses | 9 | -7 | -27 | ||||||||
NONINTEREST EXPENSE | |||||||||||
Compensation and benefits | 86 | 83 | 106 | ||||||||
Other operating expense | 223 | 147 | 111 | ||||||||
Total noninterest expense | 309 | 230 | 217 | ||||||||
Loss before income tax and equity in undistributed loss of subsidiary | -300 | -237 | -244 | ||||||||
Income tax benefit | - | -2 | -72 | ||||||||
Loss before equity in undistributed income of subsidiary | -300 | -235 | -172 | ||||||||
Equity in undistributed income of subsidiary | 2,261 | 1,856 | 1,557 | ||||||||
Net income | $ | 1,961 | $ | 1,621 | $ | 1,385 | |||||
Preferred stock dividends | 165 | 616 | 451 | ||||||||
Net income available to common shareholders | $ | 1,796 | $ | 1,005 | $ | 934 | |||||
Statements of Cash Flows | |||||||||||
Year Ended December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||
Net income | $ | 1,961 | $ | 1,621 | $ | 1,385 | |||||
Adjustments to reconcile net income to net cash (used) provided by operating activities: | |||||||||||
Provision for credit losses | -3 | 3 | - | ||||||||
Deferred income taxes (benefits) | - | -1 | 26 | ||||||||
Share-based compensation | 124 | 105 | 128 | ||||||||
Equity in undistributed income of subsidiary | -2,245 | -1,857 | -1,546 | ||||||||
(Increase) decrease in other assets | -22 | -1 | -44 | ||||||||
(Decrease) increase in other liabilities | -109 | -145 | 295 | ||||||||
Net cash (used) provided by operating activities | -294 | -275 | 244 | ||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||
Net decrease (increase) in loans outstanding | 250 | -250 | - | ||||||||
Investment in subsidiary | -8,500 | - | -5,024 | ||||||||
Net cash provided (used) by investing activities | -8,250 | -250 | -5,024 | ||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||
Net increase (decrease) in short-term borrowings | 605 | -802 | -819 | ||||||||
Net proceeds from issuance of common stock, net of cost | - | 8,980 | - | ||||||||
Net proceeds from issuance of preferred stock, net of cost | - | - | 6,290 | ||||||||
Cash dividends on preferred stock | -165 | -616 | -451 | ||||||||
Net cash provided by financing activities | 440 | 7,562 | 5,020 | ||||||||
Net (decrease) increase in cash and cash equivalents | -8,104 | 7,037 | 240 | ||||||||
Cash and cash equivalents at beginning of period | 9,969 | 2,932 | 2,692 | ||||||||
Cash and cash equivalents at end of period | $ | 1,865 | $ | 9,969 | $ | 2,932 | |||||
Quarterly_Financial_Results_un
Quarterly Financial Results (unaudited) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||
Quarterly Financial Information [Text Block] | ' | |||||||||||||
Note 22: Quarterly Financial Results (unaudited) | ||||||||||||||
The following table provides a summary of selected consolidated quarterly financial data for the years ended December 31, 2013 and December 31, 2012: | ||||||||||||||
2013 | ||||||||||||||
Fourth | Third | Second | First | |||||||||||
(in thousands, except per share data.) | Quarter | Quarter | Quarter | Quarter | ||||||||||
Interest income | $ | 4,906 | $ | 4,656 | $ | 4,160 | $ | 3,989 | ||||||
Interest expense | 520 | 497 | 445 | 439 | ||||||||||
Net interest income | 4,386 | 4,159 | 3,715 | 3,550 | ||||||||||
Provision for loan losses | 284 | 140 | 165 | 361 | ||||||||||
Noninterest income | 362 | 319 | 316 | 327 | ||||||||||
Noninterest expense | 3,731 | 3,707 | 3,049 | 2,752 | ||||||||||
Net income before income taxes | 733 | 631 | 817 | 764 | ||||||||||
Income tax expenses | 177 | 223 | 303 | 281 | ||||||||||
Net income | 556 | 408 | 514 | 483 | ||||||||||
Preferred stock Dividends | 31 | 32 | 33 | 69 | ||||||||||
Net income available to common shareholders | $ | 525 | $ | 376 | $ | 481 | $ | 414 | ||||||
Net income per common share, basic | $ | 0.13 | $ | 0.09 | $ | 0.12 | $ | 0.1 | ||||||
Net income per common share, diluted | $ | 0.13 | $ | 0.09 | $ | 0.12 | $ | 0.1 | ||||||
2012 | ||||||||||||||
Fourth | Third | Second | First | |||||||||||
(in thousands, except per share data.) | Quarter | Quarter | Quarter | Quarter | ||||||||||
Interest income | $ | 4,031 | $ | 3,898 | $ | 3,799 | $ | 3,809 | ||||||
Interest expense | 456 | 486 | 536 | 527 | ||||||||||
Net interest income | 3,575 | 3,412 | 3,263 | 3,282 | ||||||||||
Provision for loan losses | 68 | 308 | 201 | 141 | ||||||||||
Noninterest income | 219 | 216 | 247 | 86 | ||||||||||
Noninterest expense | 2,979 | 2,659 | 2,638 | 2,547 | ||||||||||
Net income before income taxes | 747 | 661 | 671 | 680 | ||||||||||
Income tax expenses | 306 | 274 | 276 | 282 | ||||||||||
Net income | 441 | 387 | 395 | 398 | ||||||||||
Preferred stock Dividends | 145 | 157 | 157 | 157 | ||||||||||
Net income available to common shareholders | $ | 296 | $ | 230 | $ | 238 | $ | 241 | ||||||
Net income per common share, basic | $ | 0.07 | $ | 0.06 | $ | 0.09 | $ | 0.09 | ||||||
Net income per common share, diluted | $ | 0.07 | $ | 0.06 | $ | 0.09 | $ | 0.09 | ||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||
Dec. 31, 2013 | |||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ||
Consolidation, Policy [Policy Text Block] | ' | ||
Principles of Consolidation | |||
The consolidated financial statements include the accounts of Bancorp, its subsidiary bank and the Bank’s subsidiaries. All significant intercompany accounts and transactions have been eliminated. The parent company only financial statements report investments in the subsidiary bank under the equity method. Certain reclassifications may have been made to the prior year’s consolidated financial statements to conform to current period presentation. | |||
Use of Estimates, Policy [Policy Text Block] | ' | ||
Use of Estimates | |||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes in the near-term relate to the determination of the allowance for credit losses, other-than-temporary impairment of investment securities and deferred income taxes. | |||
Segment Reporting, Policy [Policy Text Block] | ' | ||
Segment Information | |||
The Company has one reportable segment, “Community Banking.” All of the Company’s activities are interrelated, and each activity is dependent and assessed based on how each of the activities of the Company supports the others. For example, lending is dependent upon the ability of the Bank to fund itself with deposits and other borrowings and manage interest rate and credit risk. Accordingly, all significant operating decisions are based upon analysis of the Company as one segment or unit. | |||
Cash and Cash Equivalents, Policy [Policy Text Block] | ' | ||
Cash and Cash Equivalents | |||
Cash and cash equivalents include cash on hand, amounts due from banks, cash items in the process of clearing, federal funds sold, and interest-bearing deposits with banks with original maturities of less than 90 days. Generally, federal funds are sold as overnight investments. | |||
Marketable Securities, Policy [Policy Text Block] | ' | ||
Investment Securities | |||
Marketable equity securities and debt securities not classified as held-to-maturity are classified as available-for-sale. Securities available-for-sale are acquired as part of the Bank's asset/liability management strategy and may be sold in response to changes in interest rates, loan demand, changes in prepayment risk and other factors. Securities available-for-sale are carried at estimated fair value, with unrealized gains or losses based on the difference between amortized cost and fair value reported as accumulated other comprehensive income (loss), net of deferred taxes, a separate component of shareholders’ equity, when appropriate. Realized gains and losses, using the specific identification method, are included as a separate component of noninterest income. Related interest and dividends are included in interest income. Declines in the fair value of individual available-for-sale securities below their amortized cost that are other than temporary result in write-downs of the individual securities to their fair value. Factors affecting the determination of whether an other-than-temporary impairment has occurred include a downgrading of the security by a rating agency, a significant deterioration in the financial condition of the issuer, or that management would not have the intent and ability to hold a security for a period of time sufficient to allow for any anticipated recovery in fair value or that management would be required to sell the security before recovery in fair value. | |||
Nonmarketable Equity Securities [Policy Text Block] | ' | ||
Nonmarketable Equity Securities | |||
Nonmarketable equity securities include equity securities that are not publicly traded or are held to meet regulatory requirements such as Federal Home Loan Bank stock. These securities are accounted for at cost. | |||
Loans Held For Sale Mortgages [Policy Text Block] | ' | ||
Loans Held-For-Sale | |||
The Company engages in sales of residential mortgage loans originated by the Bank. Loans held for sale are carried at the lower of aggregate cost or fair value. Fair value is derived from secondary market quotations for similar instruments. Gains and losses on sales of these loans are recorded as a component of noninterest income in the Consolidated Statements of Operations. The Company’s current practice is to sell residential mortgage loans on a servicing released basis, and, therefore, it has no intangible asset recorded for the value of such servicing. | |||
The Company enters into commitments to originate residential mortgage loans whereby the interest rate on the loan is determined prior to funding (i.e. rate lock commitment). Such rate lock commitments on mortgage loans to be sold in the secondary market are considered to be derivatives. The period of time between issuance of a loan commitment and closing and sale of the loan generally ranges from 15 to 60 days. The Company protects itself from changes in interest rates through the use of best efforts forward delivery commitments, whereby the Company commits to sell a loan at a premium at the time the borrower commits to an interest rate with the intent that the buyer has assumed interest rate risk on the loan. As a result, the Company is not exposed to losses nor will it realize gains related to its rate lock commitments due to changes in interest rates. | |||
The market value of rate lock commitments and best efforts contracts are not readily ascertainable with precision because rate lock commitments and best efforts contracts are not actively traded. Because of the high correlation between rate lock commitments and best efforts contracts, no gain or loss occurs on rate lock commitments. | |||
Loans and Leases Receivable, Lease Financing, Policy [Policy Text Block] | ' | ||
Loans and Leases | |||
Loans are stated at their principal balance outstanding, plus deferred origination costs, less unearned discounts and deferred origination fees. Interest on loans is credited to income based on the principal amounts outstanding. Origination fees and costs are amortized to income over the contractual life of the related loans. Generally, accrual of interest on a loan is discontinued when the loan is delinquent more than 90 days unless the collateral securing the loan is sufficient to liquidate the loan. All interest accrued but not collected for loans that are placed on non-accrual or charged-off is reversed against interest income. Interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. | |||
Management considers loans impaired when, based on current information, it is probable that the Company will not collect all principal and interest payments according to contractual terms. Loans are tested for impairment no later than when principal or interest payments become 90 days or more past due and they are placed on non-accrual. Management also considers the financial condition of the borrower, cash flows of the loan and the value of the related collateral. Impaired loans do not include large groups of smaller balance homogeneous loans such as residential real estate and consumer installment loans which are evaluated collectively for impairment. Loans specifically reviewed for impairment are not considered impaired during periods of “minimal delay” in payment (90 days or less) provided eventual collection of all amounts due is expected. The impairment of a loan may be measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate, or the fair value of the collateral if repayment is expected to be provided by the collateral. Generally, the Company’s impairment on such loans is measured by reference to the fair value of the collateral. Interest income on impaired loans is recognized on the cash basis. | |||
The segments of the Company’s loan portfolio are disaggregated to a level that allows management to monitor risk and performance. The commercial real estate (“CRE”) loan segment is further disaggregated into two classes; owner occupied loans and non-owner occupied loans. Non-owner occupied CRE loans, which include loans secured by non-owner occupied nonfarm nonresidential properties, generally have a greater risk profile than owner occupied CRE loans. The residential mortgage loan segment is further disaggregated into two classes: first lien mortgages and second or junior lien mortgages. | |||
Allowance For Loan Losses [Policy Text Block] | ' | ||
Allowance for Credit Losses | |||
The allowance for credit losses is maintained at a level believed adequate by management to absorb probable losses inherent in the loan portfolio and is based on the size and current risk characteristics of the loan portfolio, an assessment of individual problem loans, actual loss experience, current economic events in specific industries and geographic areas including unemployment levels and other pertinent factors including general economic conditions. Determination of the allowance is inherently subjective as it requires significant estimates, including the amounts and timing of expected future cash flows on impaired loans, estimated losses on pools of homogenous loans based on historical loss experience and consideration of economic trends, all of which may be susceptible to significant change. Credit losses are charged off against the allowance, while recoveries of amounts previously charged off are credited to the allowance. A provision for credit losses is charged to operations based on management’s periodic evaluation of the factors previously mentioned, as well as other pertinent factors. Evaluations are conducted at least quarterly and more often if deemed necessary. | |||
The allowance for credit losses consists of a specific component and a nonspecific component. The components of the allowance for credit losses represent an estimation done pursuant to either Financial Accounting Standards (“FASB”) Accounting Standards Codification (“ASC”) Topic 450 Contingencies or ASC Topic 310 Receivables. The specific component of the allowance for credit losses reflects expected losses resulting from analysis developed through credit allocations for individual loans. The credit allocations are based on a regular analysis of all loans over a fixed-dollar amount where the internal credit rating is at or below a predetermined classification. The specific component of the allowance for credit losses also includes management’s determination of the amounts necessary given concentrations and changes in portfolio mix and volume. | |||
The nonspecific portion of the allowance is determined based on management’s assessment of general economic conditions, as well as economic factors in the individual markets in which the Company operates including the strength and timing of economic cycles and concerns over the effects of a prolonged economic downturn in the current cycle. This determination inherently involves a higher risk of uncertainty and considers current risk factors that may not have yet manifested themselves in the Bank’s historical loss factors used to determine the nonspecific component of the allowance, and it recognizes knowledge of the portfolio may be incomplete. The Bank’s historic loss factors are based upon actual losses incurred by portfolio segment over the preceding 24-month period. In portfolio segments where no actual losses have been incurred within the most recent 24-month period, industry loss data for that portfolio segment, as provided by the FDIC, are utilized. In addition to historic loss factors, the Bank’s methodology for the allowance for credit losses also incorporates other risk factors that may be inherent within the portfolio segments. For each portfolio segment, in addition to the historic loss experience experienced, the other factors that are measured and monitored in the overall determination of the allowance include: | |||
· | Changes in lending practices within the underwriting process | ||
· | Additional risk presented for construction-related loans | ||
· | Changes in levels and migration of classified loans | ||
· | Collateral lien positions for real estate-based loans | ||
· | Amount of loans with SBA guarantees and the related net exposure levels | ||
· | The current economic condition of the market and observable trends in the economy | ||
· | Level of current delinquency levels and non-performing loans with recent trends of each | ||
· | Any other factors which management believes may impose additional risk within each portfolio segment | ||
Each of these qualitative risk factors are measured based upon data generated either internally, or in the case of economic conditions utilizing independently provided data on items such as unemployment rates, commercial real estate vacancy rates, or other market data deemed relevant to the business conditions within the markets served. | |||
The Company’s loan policies state that after all collection efforts have been exhausted, and the loan is deemed to be a loss, then the remaining loan balance will be charged to the Company’s established allowance for credit losses. All loans are evaluated for loss potential once it has been determined by the Watch Committee that the likelihood of repayment is in doubt. When a loan is past due for at least 90 days or a deterioration in debt service coverage ratio, guarantor liquidity, or loan-to-value ratio has occurred that would cause concern regarding the likelihood of the full repayment of principal and interest, and the loan is deemed not to be well secured, the loan should be moved to non-accrual status and a specific reserve is established if the net realizable value is less than the principal value of the loan balance(s). Once the actual loss value has been determined a charge-off against the allowance for credit losses for the amount of the loss is taken. Each loss is evaluated on its specific facts regarding the appropriate timing to recognize the loss. | |||
Other Real Estate Owned Valuation Allowance [Policy Text Block] | ' | ||
Other Real Estate Owned | |||
Other real estate acquired through, or in lieu of, foreclosure is initially recorded at the lower of book value or fair value less estimated cost to sell at the date of acquisition, establishing a new cost basis. Revenues and expenses from operations are included in noninterest income. Additions to the valuation allowance are included in noninterest expense. Subsequent to foreclosure, valuations are periodically performed by management and an allowance for losses is established, if necessary, by a charge to operations if the carrying value of a property exceeds its estimated fair value less estimated costs to sell. | |||
Intangible Assets, Finite-Lived, Policy [Policy Text Block] | ' | ||
Intangible Asset | |||
Intangible assets consist of core deposit intangibles (“CDI”) acquired in branch acquisitions. CDI represent the excess of the fair value of liabilities assumed over the fair value of tangible assets acquired in branch acquisitions. These intangible assets are amortized on an accelerated basis over an original life of 10 to 15 years. The Company reviews its intangible assets yearly, or whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. If such impairment is indicated, impairment is recognized by accelerating the amortization of the asset to the extent that the carrying value exceeds the estimated fair value. | |||
Property, Plant and Equipment, Policy [Policy Text Block] | ' | ||
Premises and Equipment | |||
Premises and equipment are stated at cost less accumulated depreciation and amortization computed using the straight-line method. Premises and equipment are depreciated over the useful lives of the assets, which generally range from 3 to 10 years for furniture, fixtures and equipment and 3 to 5 years for computer software and hardware. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. The costs of major renewals and betterments are capitalized, while the costs of ordinary maintenance and repairs are included in noninterest expense. | |||
Income Tax, Policy [Policy Text Block] | ' | ||
Income Taxes | |||
The Company uses the liability method of accounting for income taxes. Under the liability method, deferred-tax assets and liabilities are determined based on differences between the financial statement carrying amounts and the tax bases of existing assets and liabilities (i.e., temporary differences) and are measured at the enacted rates that will be in effect when these differences reverse. | |||
As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. In addition, deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or the entire deferred tax asset will not be realized. Interest and penalties related to income tax matters are recognized in income tax expense. | |||
The Company does not have uncertain tax positions that are deemed material, and did not recognize any adjustments for unrecognized tax benefits. The Company’s policy is to recognize interest and penalties on income taxes in other non-interest expenses. The Company remains subject to examination for income tax returns for the years ending after December 31, 2009 | |||
Earnings Per Share, Policy [Policy Text Block] | ' | ||
Net Income Per Common Share | |||
Basic net income per common share is computed by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding during the year. Diluted net income per common share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the year including any potential dilutive effects of common stock equivalents, such as options and warrants. | |||
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | ' | ||
Share-Based Compensation | |||
Compensation cost is recognized for stock options issued to directors and employees. Compensation cost is measured as the fair value of these awards on their date of grant. A Black-Scholes model is utilized to estimate the fair value of stock options. Compensation cost is recognized over the required service period, generally defined as the vesting period for stock option awards. For awards with graded vesting, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award. When an award is granted to an employee who is retirement eligible, the compensation cost of these awards is recognized over the period up to the director or employee first becomes eligible to retire. | |||
Compensation expense for non-vested common stock awards is based on the fair value of the awards, which is generally the market price of the common stock on the measurement date, which, for the Company, is the date of grant, and is recognized ratably over the service period of the award. | |||
Off-Balance-Sheet Credit Exposure, Policy [Policy Text Block] | ' | ||
Off-Balance Sheet Financial Instruments | |||
In the ordinary course of business, the Company has entered into off-balance sheet financial instruments consisting of commitments to extend credit. Such financial instruments are recorded in the statement of financial condition when they are funded. | |||
Comprehensive Income, Policy [Policy Text Block] | ' | ||
Comprehensive Income | |||
Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Certain changes in assets and liabilities, such as unrealized gains and losses on securities available for sale, are reported as a separate component of the equity section of the consolidated balance sheet, such items, along with net income, are components of comprehensive income. | |||
Transfers and Servicing of Financial Assets, Policy [Policy Text Block] | ' | ||
Transfer of Financial Assets | |||
Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. In certain cases, the recourse to the Bank to repurchase assets may exist but is deemed immaterial based on the specific facts and circumstances. | |||
New Accounting Pronouncements, Policy [Policy Text Block] | ' | ||
New Accounting Pronouncements | |||
ASU No. 2014-4, Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure (a consensus of the FASB Emerging Issues Task Force). The guidance clarifies when an “in substance repossession or foreclosure” occurs, that is, when a creditor should be considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, such that all or a portion of the loan should be derecognized and the real estate property recognized. ASU 2014-04 states that a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure, or the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. The amendments of ASU 2014-04 also require interim and annual disclosure of both the amount of foreclosed residential real estate property held by the creditor and the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure. The amendments of ASU 2014-04 are effective for interim and annual periods beginning after December 15, 2014, and may be applied using either a modified retrospective transition method or a prospective transition method as described in ASU 2014-04. The Company will evaluate this amendment but does not believe they will have an impact on its financial position or results of operations. | |||
ASU No. 2013-02, Comprehensive Income (Topic 220) – Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. ASU No. 2013-02 amends recent guidance related to the reporting of comprehensive income to enhance the reporting of reclassifications out of accumulated other comprehensive income. ASU 2013-02 became effective for the Company on January 1, 2013 and did not have a significant impact on the Company’s financial statements | |||
Investments_Securities_Tables
Investments Securities (Tables) | 12 Months Ended | |||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | ' | |||||||||||||||||||||||||
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | ' | |||||||||||||||||||||||||
The amortized cost and estimated fair values of investments available for sale are as follows: | ||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Estimated | Amortized | Unrealized | Unrealized | Estimated | |||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||
U.S. Government agencies | $ | 28,522 | $ | 1 | $ | 2 | $ | 28,521 | $ | 26,526 | $ | 14 | $ | - | $ | 26,540 | ||||||||||
Mortgage-backed | 157 | 10 | - | 167 | 314 | 21 | - | 335 | ||||||||||||||||||
$ | 28,679 | $ | 11 | $ | 2 | $ | 28,688 | $ | 26,840 | $ | 35 | $ | - | $ | 26,875 | |||||||||||
Schedule of Unrealized Loss on Investments [Table Text Block] | ' | |||||||||||||||||||||||||
Gross unrealized losses and fair value by investment category and length of time the individual securities have been in a continuous unrealized loss position at December 31, 2013 is as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
(in thousands) | Less than 12 months | 12 months or more | Total | |||||||||||||||||||||||
Gross | Gross | Gross | ||||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||||
Value | Losses | Value | Losses | Value | Losses | |||||||||||||||||||||
U.S. Government agencies | $ | 15,994 | $ | 2 | $ | - | $ | - | $ | 15,994 | $ | 2 | ||||||||||||||
Mortgage-backed | - | - | - | - | - | - | ||||||||||||||||||||
$ | 15,994 | $ | 2 | $ | - | $ | - | $ | 15,994 | $ | 2 | |||||||||||||||
Schedule of Available-for-sale by Debt Maturity [Table Text Block] | ' | |||||||||||||||||||||||||
The amortized cost and estimated fair values of investments available for sale by contractual maturity are shown below: | ||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||||||||||||||
Amortized | Estimated Fair | Amortized | Estimated Fair | |||||||||||||||||||||||
Cost | Value | Cost | Value | |||||||||||||||||||||||
Amounts maturing: | ||||||||||||||||||||||||||
One year or less | $ | 28,522 | $ | 28,521 | $ | 23,536 | $ | 23,544 | ||||||||||||||||||
After one through five years | 51 | 54 | 3,121 | 3,136 | ||||||||||||||||||||||
After five through ten years | 106 | 113 | 90 | 96 | ||||||||||||||||||||||
After ten years | - | - | 93 | 99 | ||||||||||||||||||||||
$ | 28,679 | $ | 28,688 | $ | 26,840 | $ | 26,875 | |||||||||||||||||||
Loans_and_Leases_Tables
Loans and Leases (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Receivables [Abstract] | ' | |||||||||||||||
Schedule of Receivables with Imputed Interest [Table Text Block] | ' | |||||||||||||||
The loan portfolio segment balances at December 31, 2013 and December 31, 2012 are presented in the following table: | ||||||||||||||||
December 31, | ||||||||||||||||
(in thousands) | 2013 | % of Total | 2012 | % of Total | ||||||||||||
Real estate | ||||||||||||||||
Construction and land | $ | 50,884 | 12.6 | % | $ | 37,963 | 11.8 | % | ||||||||
Residential - first lien | 39,249 | 9.7 | 29,826 | 9.3 | ||||||||||||
Residential - junior lien | 8,266 | 2 | 7,983 | 2.5 | ||||||||||||
Total residential real estate | 47,515 | 11.7 | 37,809 | 11.7 | ||||||||||||
Commercial - owner occupied | 90,333 | 22.4 | 61,119 | 19 | ||||||||||||
Commercial - non-owner occupied | 113,559 | 28.1 | 96,223 | 29.9 | ||||||||||||
Total commercial real estate | 203,892 | 50.5 | 157,342 | 48.8 | ||||||||||||
Total real estate loans | 302,291 | 74.8 | 233,114 | 72.3 | ||||||||||||
Commercial loans and leases | 100,410 | 24.9 | 87,844 | 27.3 | ||||||||||||
Consumer | 1,174 | 0.3 | 1,260 | 0.4 | ||||||||||||
Total loans | $ | 403,875 | 100 | % | $ | 322,218 | 100 | % | ||||||||
Credit_Quality_Assessment_Tabl
Credit Quality Assessment (Tables) | 12 Months Ended | |||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||
Receivables [Abstract] | ' | |||||||||||||||||||||||||
Allowance for Loan and Lease Losses [Table Text Block] | ' | |||||||||||||||||||||||||
The following table provides information on the activity in the allowance for credit losses by the respective loan portfolio segment for the years ended December 31, 2013 and 2012: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||
Beginning balance | $ | 127 | $ | 204 | $ | 22 | $ | 650 | $ | 505 | $ | 1,227 | $ | 29 | $ | 2,764 | ||||||||||
Charge-offs | - | -183 | - | - | -375 | -759 | - | -1,317 | ||||||||||||||||||
Recoveries | - | - | - | - | 29 | 80 | 109 | |||||||||||||||||||
Provision for credit losses | -5 | 179 | 12 | -519 | 382 | 916 | -15 | 950 | ||||||||||||||||||
Ending balance | $ | 122 | $ | 200 | $ | 34 | $ | 131 | $ | 541 | $ | 1,464 | $ | 14 | $ | 2,506 | ||||||||||
Ending balance: | ||||||||||||||||||||||||||
individually evaluated for impairment | - | 3 | - | - | - | 256 | - | 259 | ||||||||||||||||||
collectively evaluated for impairment | 122 | 197 | 34 | 131 | 541 | 1,208 | 14 | 2,247 | ||||||||||||||||||
Loans: | ||||||||||||||||||||||||||
Ending balance | 50,884 | 39,249 | 8,266 | 90,333 | 113,559 | 100,410 | 1,174 | 403,875 | ||||||||||||||||||
Ending balance: | ||||||||||||||||||||||||||
individually evaluated for impairment | - | 331 | - | - | 2,984 | 2,975 | - | 6,290 | ||||||||||||||||||
collectively evaluated for impairment | 50,884 | 38,918 | 8,266 | 90,333 | 110,575 | 97,435 | 1,174 | 397,585 | ||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||
Beginning balance | $ | 174 | $ | 111 | $ | 64 | $ | 611 | $ | 197 | $ | 2,233 | $ | 43 | $ | 3,433 | ||||||||||
Charge-offs | - | -79 | -44 | - | -268 | -1,129 | -15 | -1,535 | ||||||||||||||||||
Recoveries | - | - | - | - | 63 | 80 | 5 | 148 | ||||||||||||||||||
Provision for credit losses | -47 | 172 | 2 | 39 | 513 | 43 | -4 | 718 | ||||||||||||||||||
Ending balance | $ | 127 | $ | 204 | $ | 22 | $ | 650 | $ | 505 | $ | 1,227 | $ | 29 | $ | 2,764 | ||||||||||
Ending balance: | ||||||||||||||||||||||||||
individually evaluated for impairment | 21 | 138 | - | - | 148 | 257 | - | 564 | ||||||||||||||||||
collectively evaluated for impairment | 106 | 66 | 22 | 650 | 357 | 970 | 29 | 2,200 | ||||||||||||||||||
Loans: | ||||||||||||||||||||||||||
Ending balance | 37,963 | 29,826 | 7,983 | 61,119 | 96,223 | 87,844 | 1,260 | 322,218 | ||||||||||||||||||
Ending balance: | ||||||||||||||||||||||||||
individually evaluated for impairment | 432 | 442 | - | - | 3,134 | 1,568 | - | 5,576 | ||||||||||||||||||
collectively evaluated for impairment | 37,531 | 29,384 | 7,983 | 61,119 | 93,089 | 86,276 | 1,260 | 316,642 | ||||||||||||||||||
Financing Receivable Credit Quality Indicators [Table Text Block] | ' | |||||||||||||||||||||||||
Credit risk profile by portfolio segment based upon internally assigned risk assignments are presented below: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Credit quality indicators: | ||||||||||||||||||||||||||
Not classified | $ | 50,884 | $ | 38,918 | $ | 8,266 | $ | 90,333 | $ | 113,301 | $ | 97,817 | $ | 1,174 | $ | 400,693 | ||||||||||
Special mention | - | - | - | - | - | - | - | - | ||||||||||||||||||
Substandard | - | 331 | - | - | 258 | 2,593 | - | 3,182 | ||||||||||||||||||
Doubtful | - | - | - | - | - | - | - | - | ||||||||||||||||||
Total | $ | 50,884 | $ | 39,249 | $ | 8,266 | $ | 90,333 | $ | 113,559 | $ | 100,410 | $ | 1,174 | $ | 403,875 | ||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Credit quality indicators: | ||||||||||||||||||||||||||
Not classified | $ | 37,531 | $ | 29,384 | $ | 7,983 | $ | 61,119 | $ | 95,839 | $ | 86,701 | $ | 1,260 | $ | 319,817 | ||||||||||
Special mention | - | - | - | - | - | - | - | - | ||||||||||||||||||
Substandard | 432 | 442 | - | - | 384 | 1,143 | - | 2,401 | ||||||||||||||||||
Doubtful | - | - | - | - | - | - | - | - | ||||||||||||||||||
Total | $ | 37,963 | $ | 29,826 | $ | 7,983 | $ | 61,119 | $ | 96,223 | $ | 87,844 | $ | 1,260 | $ | 322,218 | ||||||||||
Past Due Financing Receivables [Table Text Block] | ' | |||||||||||||||||||||||||
An aged analysis of past due loans are as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Analysis of past due loans: | ||||||||||||||||||||||||||
Accruing loans current | $ | 50,884 | $ | 38,025 | $ | 8,266 | $ | 90,333 | $ | 113,142 | $ | 97,127 | $ | 1,174 | $ | 398,951 | ||||||||||
Accruing loans past due: | ||||||||||||||||||||||||||
31-59 days past due | - | 570 | - | - | - | 150 | - | 720 | ||||||||||||||||||
60-89 days past due | - | 323 | - | - | - | 244 | - | 567 | ||||||||||||||||||
Greater than 90 days past due | - | - | - | - | 159 | 296 | - | 455 | ||||||||||||||||||
Total past due | $ | - | $ | 893 | $ | - | $ | - | $ | 159 | $ | 690 | $ | - | $ | 1,742 | ||||||||||
Non-accrual loans | - | 331 | - | - | 258 | 2,593 | - | 3,182 | ||||||||||||||||||
Total loans | $ | 50,884 | $ | 39,249 | $ | 8,266 | $ | 90,333 | $ | 113,559 | $ | 100,410 | $ | 1,174 | $ | 403,875 | ||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | and land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Analysis of past due loans: | ||||||||||||||||||||||||||
Accruing loans current | $ | 37,531 | $ | 29,176 | $ | 7,942 | $ | 61,119 | $ | 95,839 | $ | 86,393 | $ | 1,260 | $ | 319,260 | ||||||||||
Accruing loans past due: | ||||||||||||||||||||||||||
31-59 days past due | - | - | - | - | - | - | - | - | ||||||||||||||||||
60-89 days past due | - | - | - | - | - | 308 | - | 308 | ||||||||||||||||||
Greater than 90 days past due | - | 208 | 41 | - | - | - | - | 249 | ||||||||||||||||||
Total past due | $ | - | $ | 208 | $ | 41 | $ | - | $ | - | $ | 308 | $ | - | $ | 557 | ||||||||||
Non-accrual loans | 432 | 442 | - | - | 384 | 1,143 | - | 2,401 | ||||||||||||||||||
Total loans | $ | 37,963 | $ | 29,826 | $ | 7,983 | $ | 61,119 | $ | 96,223 | $ | 87,844 | $ | 1,260 | $ | 322,218 | ||||||||||
Impaired Financing Receivables [Table Text Block] | ' | |||||||||||||||||||||||||
The impaired loans for the years ended December 31, 2013 and 2012 are as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | & land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Impaired loans: | ||||||||||||||||||||||||||
Recorded investment | - | 331 | - | - | 2,984 | 2,975 | - | 6,290 | ||||||||||||||||||
With an allowance recorded | - | 331 | - | - | 258 | 677 | - | 1,266 | ||||||||||||||||||
With no related allowance recorded | - | - | - | - | 2,726 | 2,298 | - | 5,024 | ||||||||||||||||||
Related allowance | - | 4 | - | - | 31 | 224 | - | 259 | ||||||||||||||||||
Unpaid principal | - | 331 | - | - | 2,984 | 2,978 | - | 6,293 | ||||||||||||||||||
Average balance of impaired loans | - | 333 | - | - | 2,994 | 3,706 | - | 7,033 | ||||||||||||||||||
Interest income recognized | - | 15 | - | - | 208 | 120 | - | 343 | ||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Commercial | Commercial | Commercial | ||||||||||||||||||||||||
Construction | Residential | Residential | owner | non-owner | loans | Consumer | ||||||||||||||||||||
(in thousands) | & land | first lien | junior lien | occupied | occupied | and leases | loans | Total | ||||||||||||||||||
Impaired loans: | ||||||||||||||||||||||||||
Recorded investment | 432 | 442 | - | - | 3,134 | 1,568 | - | 5,576 | ||||||||||||||||||
With an allowance recorded | 432 | 442 | - | - | 381 | 540 | - | 1,795 | ||||||||||||||||||
With no related allowance recorded | - | - | - | - | 2,753 | 1,028 | - | 3,781 | ||||||||||||||||||
Related allowance | 21 | 138 | - | - | 148 | 257 | - | 564 | ||||||||||||||||||
Unpaid principal | 432 | 442 | - | - | 3,372 | 1,580 | - | 5,826 | ||||||||||||||||||
Average balance of impaired loans | 439 | 444 | - | - | 4,225 | 1,809 | 7 | 6,924 | ||||||||||||||||||
Interest income recognized | 18 | 15 | - | - | 211 | 96 | 1 | 341 | ||||||||||||||||||
Troubled Debt Restructurings on Financing Receivables [Table Text Block] | ' | |||||||||||||||||||||||||
The trouble debt restructured loans (“TDRs”) at December 31, 2013 and December 31, 2012 are as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Number | Non-Accrual | Number | Accrual | Total | ||||||||||||||||||||||
(dollars in thousands) | of Loans | Status | of Loans | Status | TDRs | |||||||||||||||||||||
Commercial real estate non-owner occupied | - | $ | - | - | $ | - | $ | - | ||||||||||||||||||
Commercial loans | 6 | 861 | - | - | 861 | |||||||||||||||||||||
6 | $ | 861 | - | $ | - | $ | 861 | |||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Number | Non-Accrual | Number | Accrual | Total | ||||||||||||||||||||||
(dollars in thousands) | of Loans | Status | of Loans | Status | TDRs | |||||||||||||||||||||
Commercial real estate non-owner occupied | 1 | $ | 381 | - | $ | - | $ | 381 | ||||||||||||||||||
Commercial loans | 6 | 903 | - | - | 903 | |||||||||||||||||||||
7 | $ | 1,284 | - | $ | - | $ | 1,284 | |||||||||||||||||||
Summary of Troubled Debt Restructuring Outstanding and Performance [Table Text Block] | ' | |||||||||||||||||||||||||
A summary of TDR modifications outstanding and performance under modified terms are as follows: | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||
Not Performing | Performing | |||||||||||||||||||||||||
to Modified | to Modified | Total | ||||||||||||||||||||||||
(in thousands) | Terms | Terms | TDRs | |||||||||||||||||||||||
Commercial loans | ||||||||||||||||||||||||||
Interest only payments | $ | - | $ | - | $ | - | ||||||||||||||||||||
Rate modification | - | - | - | |||||||||||||||||||||||
Forberance | 861 | - | 861 | |||||||||||||||||||||||
Extension or other modification | - | - | - | |||||||||||||||||||||||
Total commercial | 861 | - | 861 | |||||||||||||||||||||||
Total TDRs | $ | 861 | $ | - | $ | 861 | ||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||
Not Performing | Performing | |||||||||||||||||||||||||
to Modified | to Modified | Total | ||||||||||||||||||||||||
(in thousands) | Terms | Terms | TDRs | |||||||||||||||||||||||
Commercial loans | ||||||||||||||||||||||||||
Interest only payments | $ | - | $ | - | $ | - | ||||||||||||||||||||
Rate modification | - | - | - | |||||||||||||||||||||||
Forberance | 1,284 | - | 1,284 | |||||||||||||||||||||||
Extension or other modification | - | - | - | |||||||||||||||||||||||
Total commercial | 1,284 | - | 1,284 | |||||||||||||||||||||||
Total TDRs | $ | 1,284 | $ | - | $ | 1,284 | ||||||||||||||||||||
Intangible_Asset_Tables
Intangible Asset (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||
Finite-lived Intangible Assets Amortization Expense [Table Text Block] | ' | ||||||||||
The gross carrying amount and accumulated amortization of intangible assets are as follows: | |||||||||||
December 31, 2013 | |||||||||||
Gross | Net | ||||||||||
Carrying | Accumulated | Carrying | |||||||||
(in thousands) | Amount | Amortization | Amount | ||||||||
Amortizing intangible assets: | |||||||||||
Core deposit intangible | $ | 376 | $ | 34 | $ | 342 | |||||
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | ' | ||||||||||
Estimated future amortizing expense for amortizing intangibles within the years ending December 31, are as follows: | |||||||||||
(in thousands) | |||||||||||
2014 | 73 | ||||||||||
2015 | 57 | ||||||||||
2016 | 46 | ||||||||||
2017 | 36 | ||||||||||
2018 | 29 | ||||||||||
Thereafter | 101 | ||||||||||
Total amortizing intangible assets | $ | 342 | |||||||||
Premises_and_Equipment_Tables
Premises and Equipment (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property, Plant and Equipment [Table Text Block] | ' | |||||||
Premises and equipment include the following at: | ||||||||
December 31, | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Land | $ | 2,850 | $ | 2,660 | ||||
Building and leasehold improvements | 8,858 | 7,430 | ||||||
Furniture and equipment | 2,414 | 2,231 | ||||||
Software | 167 | 167 | ||||||
14,289 | 12,488 | |||||||
Less: accumulated depreciation and amortization | 3,447 | 2,915 | ||||||
Net premises and equipment | $ | 10,842 | $ | 9,573 | ||||
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | ' | |||||||
Future minimum lease payments under noncancellable operating leases within the years ending December 31, having an initial term in excess of one year are as follows: | ||||||||
(in thousands) | ||||||||
2014 | $ | 783 | ||||||
2015 | 746 | |||||||
2016 | 699 | |||||||
2017 | 689 | |||||||
2018 | 702 | |||||||
Thereafter | 1,325 | |||||||
Total minimum lease payments | $ | 4,944 | ||||||
Deposits_Tables
Deposits (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Banking and Thrift [Abstract] | ' | |||||||||||||||||||||
Schedule of Deposits [Table Text Block] | ' | |||||||||||||||||||||
The following table details the composition of deposits and the related percentage mix of total deposits, respectively: | ||||||||||||||||||||||
December 31, | ||||||||||||||||||||||
(dollars in thousands) | 2013 | 2012 | ||||||||||||||||||||
Weighted | Weighted | |||||||||||||||||||||
% of | Average | % of | Average | |||||||||||||||||||
Amount | Total | Rate | Amount | Total | Rate | |||||||||||||||||
Noninterest-bearing demand | $ | 89,759 | 23 | % | - | % | $ | 95,875 | 30 | % | - | % | ||||||||||
Interest-bearing checking | 31,443 | 8 | 0.27 | 26,209 | 8 | 0.34 | ||||||||||||||||
Money market accounts | 96,365 | 25 | 0.4 | 70,856 | 23 | 0.55 | ||||||||||||||||
Savings | 12,496 | 3 | 0.34 | 11,107 | 4 | 0.51 | ||||||||||||||||
Certificates of deposit $100,000 and over | 110,516 | 29 | 1.2 | 77,759 | 25 | 1.27 | ||||||||||||||||
Certificates of deposit under $100,000 | 48,370 | 12 | 0.72 | 33,052 | 10 | 1.01 | ||||||||||||||||
Total deposits | $ | 388,949 | 100 | % | 0.67 | % | $ | 314,858 | 100 | % | 0.85 | % | ||||||||||
Schedule Of Contractual Maturities Time Deposits More Than 100000 [Table Text Block] | ' | |||||||||||||||||||||
The following table presents the maturity schedule for time deposits maturing within years ending December 31: | ||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||
2014 | $ | 97,420 | ||||||||||||||||||||
2015 | 32,194 | |||||||||||||||||||||
2016 | 20,215 | |||||||||||||||||||||
2017 | 4,159 | |||||||||||||||||||||
2018 | 4,898 | |||||||||||||||||||||
Total time deposits | $ | 158,886 | ||||||||||||||||||||
Schedule Of Interest Expense On Deposits [Table Text Block] | ' | |||||||||||||||||||||
Interest expense on deposits for the twelve months ended December 31, 2013, December 31, 2012 and December 31, 2011 were as follows: | ||||||||||||||||||||||
December 31, | ||||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||||
Interest-bearing checking | $ | 69 | $ | 64 | $ | 68 | ||||||||||||||||
Savings and money market | 368 | 422 | 517 | |||||||||||||||||||
Certificates of deposit $100,000 and over | 719 | 762 | 756 | |||||||||||||||||||
Certificates of deposit under $100,000 | 500 | 530 | 407 | |||||||||||||||||||
Total | $ | 1,656 | $ | 1,778 | $ | 1,748 | ||||||||||||||||
ShortTerm_Borrowings_Tables
Short-Term Borrowings (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Short-term Debt [Abstract] | ' | |||||||||||||
Schedule of Short-term Debt [Table Text Block] | ' | |||||||||||||
Information relating to short-term borrowings at December 31, 2013 and December 31, 2012 is presented below: | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
(dollars in thousands) | Amount | Rate | Amount | Rate | ||||||||||
At period end | $ | 45,658 | 0.28 | % | $ | 26,987 | 0.54 | % | ||||||
Average for the year | $ | 28,459 | 0.4 | % | $ | 23,756 | 0.69 | % | ||||||
Maximum month-end balance | $ | 45,658 | $ | 29,726 | ||||||||||
LongTerm_Borrowings_Tables
Long-Term Borrowings (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Debt Disclosure [Abstract] | ' | |||||||||
Schedule of Maturities of Long-term Debt [Table Text Block] | ' | |||||||||
Long-term borrowings for the periods consisted of the following: | ||||||||||
December 31, | ||||||||||
(in thousands) | 2013 | 2012 | ||||||||
Federal Home Loan Bank Advances 1 | ||||||||||
1.59 | % | Due 2014 | $ | 2,000 | ||||||
0.84 | % | Due 2014 | 2,000 | |||||||
0.37 | % | Due 2014 | 2,000 | |||||||
0.32 | % | Due 2014 | 2,000 | |||||||
0.37 | % | Due 2014 | 2,000 | |||||||
0.54 | % | Due 2015 | 2,000 | 2,000 | ||||||
0.44 | % | Due 2015 | 2,000 | - | ||||||
0.62 | % | Due 2016 | 2,000 | - | ||||||
0.98 | % | Due 2016 | 5,000 | - | ||||||
1.46 | % | Due 2017 | 2,500 | - | ||||||
1.88 | % | Due 2018 | 2,500 | - | ||||||
Total long-term borrowings | $ | 16,000 | $ | 12,000 | ||||||
-1 | Fixed rate advances | |||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | ' | ||||||||||
Federal and state income tax expense consists of the following for the years ended: | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Current federal income tax | $ | 780 | $ | 491 | $ | 72 | |||||
Current state income tax | 159 | 129 | - | ||||||||
Deferred federal income tax expense | 27 | 410 | 754 | ||||||||
Deferred state income tax expense | 18 | 108 | 207 | ||||||||
Total income tax expense | $ | 984 | $ | 1,138 | $ | 1,063 | |||||
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | ' | ||||||||||
A reconciliation of the statutory federal income tax rate to the Company’s effective tax rate for the years ended follows: | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Statutory federal income tax rate | 34 | % | 34 | % | 34 | ||||||
State income taxes, net of federal income tax expense | 4 | 5.6 | 5.6 | ||||||||
Bank owned life insurance | -3.3 | - | - | ||||||||
Other, net | -1.3 | 1.7 | 0.8 | ||||||||
Effective tax rate | 33.4 | % | 41.3 | % | 40.4 | ||||||
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | ' | ||||||||||
The following table is a summary of the tax effect of temporary differences that give rise to a significant portion of deferred tax assets: | |||||||||||
December, 31 | |||||||||||
(in thousands) | 2013 | 2012 | |||||||||
Deferred tax assets: | |||||||||||
Allowance for credit losses | $ | 100 | $ | 370 | |||||||
Valuation on foreclosed real estate | 836 | 710 | |||||||||
Stock-based compensation | 59 | 59 | |||||||||
Deferred loan fees and costs, net | 89 | 21 | |||||||||
Other | 111 | 100 | |||||||||
Total deferred tax assets | 1,195 | 1,260 | |||||||||
Deferred tax liabilities: | |||||||||||
Unrealized gain on securities | 4 | 14 | |||||||||
Depreciation and amortization | 66 | 86 | |||||||||
Total deferred tax liabilities | 70 | 100 | |||||||||
Net deferred tax assets | $ | 1,125 | $ | 1,160 | |||||||
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Related Party Transactions [Abstract] | ' | |||||||
Schedule of Related Party Transactions [Table Text Block] | ' | |||||||
Total outstanding balances to the Company’s executive officers, directors and their related interests at are presented below. Total outstanding loans and unfunded commitments to these parties at December 31, 2013 were $23.0 million. | ||||||||
December 31, | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Balance January 1 | $ | 15,673 | $ | 12,768 | ||||
Additions | 11,821 | 6,072 | ||||||
Repayments | 8,874 | 3,167 | ||||||
Balance December 31 | $ | 18,620 | $ | 15,673 | ||||
Financial_Instruments_with_Off1
Financial Instruments with Off-Balance Sheet Risk (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Risks and Uncertainties [Abstract] | ' | |||||||
Schedule of Fair Value, Off-balance Sheet Risks [Table Text Block] | ' | |||||||
Outstanding loan commitments and lines and letters of credit are as follows: | ||||||||
December 31, | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Unfunded loan commitments | $ | 34,464 | $ | 34,057 | ||||
Unused lines of credit | 41,326 | 40,493 | ||||||
Letters of credit | 9,676 | 6,178 | ||||||
Stock_Options_Awards_and_Warra1
Stock Options, Awards and Warrants (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Stock Options Awards and Warrants [Abstract] | ' | |||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | ' | |||||||||||||
The following table summarizes the Company’s stock option activity and related information for the years ended: | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Weighted | Weighted | |||||||||||||
Average | Average | |||||||||||||
Exercise | Exercise | |||||||||||||
Shares | Price | Shares | Price | |||||||||||
Balance at January 1, 2013 | 395,351 | $ | 11.16 | 395,351 | $ | 11.16 | ||||||||
Granted | - | - | - | - | ||||||||||
Exercised | - | - | - | - | ||||||||||
Forfeited | -8,250 | 9.9 | - | - | ||||||||||
Balance at December 31, 2013 | 387,101 | $ | 11.19 | 395,351 | $ | 11.16 | ||||||||
Exercisable at December 31, 2013 | 387,101 | $ | 11.19 | 395,351 | $ | 11.16 | ||||||||
Weighted average fair value of options granted during the year | $ | - | $ | - | ||||||||||
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | ' | |||||||||||||
A summary of the activity for the Company’s restricted stock for the period indicated is presented in the following table: | ||||||||||||||
Weighted | ||||||||||||||
Average | ||||||||||||||
Number | Grant-Date | |||||||||||||
(In dollars, except share data): | of Shares | Fair Value | ||||||||||||
Restricted stock at January 1, 2013 | 0 | $ | 0 | |||||||||||
Granted | 50,000 | $ | 6.89 | |||||||||||
Vested | 0 | $ | 0 | |||||||||||
Restricted stock at December 31, 2013 | 50,000 | $ | 6.89 | |||||||||||
Income_Loss_per_Common_Share_T
Income (Loss) per Common Share (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | ' | ||||||||||
The table below shows the presentation of basic and diluted income (loss) per common share for the years ended: | |||||||||||
December 31, | |||||||||||
(dollars in thousands, except per share data) | 2013 | 2012 | 2011 | ||||||||
Net income applicable to common stock (numerator) | $ | 1,961 | $ | 1,621 | $ | 1,385 | |||||
Preferred dividends | $ | -165 | $ | -616 | $ | -451 | |||||
Net income available to common shareholders | $ | 1,796 | $ | 1,005 | $ | 934 | |||||
BASIC | |||||||||||
Average common shares outstanding (denominator) | 4,077,613 | 3,269,835 | 2,638,443 | ||||||||
Basic income per common share | $ | 0.44 | $ | 0.31 | $ | 0.35 | |||||
DILUTED | |||||||||||
Average common shares outstanding | 4,077,613 | 3,269,835 | 2,638,443 | ||||||||
Diluted effect of stock options and warrants | 3,398 | - | - | ||||||||
Diluted average common shares outstanding (denominator) | 4,081,011 | 3,269,835 | 2,638,443 | ||||||||
Diluted income per common share | $ | 0.44 | $ | 0.31 | $ | 0.35 | |||||
Stock options and warrants outstanding that are anti-dilutive and thus excluded from calculation of diluted number of shares presented above | 479,971 | 514,727 | 495,141 | ||||||||
Regulatory_Matters_Tables
Regulatory Matters (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Banking and Thrift [Abstract] | ' | |||||||||||||||||||||
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations [Table Text Block] | ' | |||||||||||||||||||||
Management believes that, as of December 31, 2013 and 2012, the Bank met all capital adequacy requirements to which it is subject. | ||||||||||||||||||||||
To be well | ||||||||||||||||||||||
capitalized under | ||||||||||||||||||||||
the FDICIA | ||||||||||||||||||||||
For capital | prompt corrective | |||||||||||||||||||||
Actual | adequacy purposes | action provisions | ||||||||||||||||||||
(dollars in thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||||
As of December 31, 2013: | ||||||||||||||||||||||
Total capital (to risk-weighted assets) | ||||||||||||||||||||||
Howard Bank | $ | 49,902 | 11.85 | % | $ | 33,684 | 8 | % | $ | 42,105 | 10 | % | ||||||||||
Howard Bancorp | $ | 50,700 | 12.05 | % | $ | 33,668 | 8 | % | N/A | |||||||||||||
Tier 1 capital (to risk-weighted assets) | ||||||||||||||||||||||
Howard Bank | $ | 47,396 | 11.26 | % | $ | 16,842 | 4 | % | $ | 25,263 | 6 | % | ||||||||||
Howard Bancorp | $ | 48,195 | 11.45 | % | $ | 16,834 | 4 | % | N/A | |||||||||||||
Tier 1 capital (to average assets) | ||||||||||||||||||||||
(Leverage ratio) | ||||||||||||||||||||||
Howard Bank | $ | 47,396 | 9.77 | % | $ | 19,406 | 4 | % | $ | 24,257 | 5 | % | ||||||||||
Howard Bancorp | $ | 48,195 | 9.93 | % | $ | 19,414 | 4 | % | N/A | |||||||||||||
As of December 31, 2012: | ||||||||||||||||||||||
Total capital (to risk-weighted assets) | ||||||||||||||||||||||
Howard Bank | $ | 39,739 | 12.17 | % | $ | 26,127 | 8 | % | $ | 32,659 | 10 | % | ||||||||||
Howard Bancorp | $ | 49,404 | 15.02 | % | $ | 26,312 | 8 | % | N/A | |||||||||||||
Tier 1 capital (to risk-weighted assets) | ||||||||||||||||||||||
Howard Bank | $ | 36,978 | 11.32 | % | $ | 13,064 | 4 | % | $ | 19,595 | 6 | % | ||||||||||
Howard Bancorp | $ | 46,640 | 14.18 | % | $ | 13,156 | 4 | % | N/A | |||||||||||||
Tier 1 capital (to average assets) | ||||||||||||||||||||||
(Leverage ratio) | ||||||||||||||||||||||
Howard Bank | $ | 36,978 | 9.79 | % | $ | 15,109 | 4 | % | $ | 18,887 | 5 | % | ||||||||||
Howard Bancorp | $ | 46,640 | 12.34 | % | $ | 15,114 | 4 | % | N/A | |||||||||||||
Fair_Value_Tables
Fair Value (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | ' | ||||||||||||||||
The following table sets forth the Company's financial assets and liabilities that were accounted for or disclosed at fair value on a recurring basis at December 31, 2013 and December 31, 2012. | |||||||||||||||||
December 31, 2013 | Quoted Price in | Significant | |||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
Carrying | for Identical | Observable | Unobservable | ||||||||||||||
Value | Assets | Inputs | Inputs | ||||||||||||||
(in thousands) | (Fair Value) | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Investment securities: | |||||||||||||||||
U.S. Goverment agencies | $ | 28,521 | $ | - | $ | 28,521 | $ | - | |||||||||
Mortgage-backed securities | 167 | - | 167 | - | |||||||||||||
December 31, 2012 | Quoted Price in | Significant | |||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
Carrying | for Identical | Observable | Unobservable | ||||||||||||||
Value | Assets | Inputs | Inputs | ||||||||||||||
(in thousands) | (Fair Value) | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Investment securities: | |||||||||||||||||
U.S. Goverment agencies | $ | 26,540 | $ | - | $ | 26,540 | $ | - | |||||||||
Mortgage-backed securities | 335 | - | 335 | - | |||||||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques [Table Text Block] | ' | ||||||||||||||||
The following table sets forth the Company's financial assets and liabilities that were accounted for or disclosed at fair value on a nonrecurring basis as of December 31, 2013 and December 31, 2012. | |||||||||||||||||
December 31, 2013 | Quoted Price in | Significant | |||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
Carrying | for Identical | Observable | Unobservable | ||||||||||||||
Value | Assets | Inputs | Inputs | ||||||||||||||
(in thousands) | (Fair Value) | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Other real estate owned | $ | 2,377 | $ | - | $ | - | $ | 2,377 | |||||||||
Loans held for sale | 3,298 | - | 3,298 | - | |||||||||||||
Impaired loans: | |||||||||||||||||
Construction and land | - | - | - | - | |||||||||||||
Residential - first lien | 327 | - | - | 327 | |||||||||||||
Residential - junior lien | - | - | - | - | |||||||||||||
Commercial - owner occupied | - | - | - | - | |||||||||||||
Commercial - non-owner occupied | 2,953 | - | - | 2,953 | |||||||||||||
Commercial loans and leases | 2,751 | - | - | 2,751 | |||||||||||||
Consumer | - | - | - | - | |||||||||||||
December 31, 2012 | Quoted Price in | Significant | |||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
Carrying | for Identical | Observable | Unobservable | ||||||||||||||
Value | Assets | Inputs | Inputs | ||||||||||||||
(in thousands) | (Fair Value) | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Other real estate owned | $ | 2,903 | $ | - | $ | - | $ | 2,903 | |||||||||
Loans held for sale | 1,639 | - | 1,639 | - | |||||||||||||
Impaired loans: | |||||||||||||||||
Construction and land | 411 | - | - | 411 | |||||||||||||
Residential - first lien | 304 | - | - | 304 | |||||||||||||
Residential - junior lien | - | - | - | - | |||||||||||||
Commercial - owner occupied | - | - | - | - | |||||||||||||
Commercial - non-owner occupied | 2,986 | - | - | 2,986 | |||||||||||||
Commercial loans and leases | 1,311 | - | - | 1,311 | |||||||||||||
Consumer | - | - | - | - | |||||||||||||
Fair Value, by Balance Sheet Grouping [Table Text Block] | ' | ||||||||||||||||
The following table presents the estimated fair value of financial instruments for the periods indicated: | |||||||||||||||||
December 31, 2013 | |||||||||||||||||
Quoted Price in | Significant | ||||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||
Carrying | Fair | Assets | Inputs | Inputs | |||||||||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Financial Assets | |||||||||||||||||
Cash and cash equivalents | $ | 35,736 | $ | 35,736 | $ | - | $ | 35,736 | $ | - | |||||||
Investment securities | 28,688 | 28,688 | - | 28,688 | - | ||||||||||||
Nonmarketable equity securities | 2,282 | 2,282 | - | 2,282 | - | ||||||||||||
Loans held for sale | 3,298 | 3,298 | - | 3,298 | - | ||||||||||||
Loans and leases | 401,369 | 401,652 | - | - | 401,652 | ||||||||||||
Financial Liabilities | |||||||||||||||||
Deposits | 388,949 | 389,220 | - | - | 389,220 | ||||||||||||
Short-term borrowings | 45,658 | 45,658 | - | 45,658 | - | ||||||||||||
Long-term borrowings | 16,000 | 16,008 | - | 16,008 | - | ||||||||||||
December 31, 2012 | |||||||||||||||||
Quoted Price in | Significant | ||||||||||||||||
Active Markets | Other | Significant | |||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||
Carrying | Fair | Assets | Inputs | Inputs | |||||||||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Financial Assets | |||||||||||||||||
Cash and cash equivalents | $ | 36,361 | $ | 36,361 | $ | - | $ | 36,361 | $ | - | |||||||
Investment securities | 26,875 | 26,875 | - | 26,875 | - | ||||||||||||
Nonmarketable equity securities | 1,475 | 1,475 | - | 1,475 | - | ||||||||||||
Loans held for sale | 1,639 | 1,639 | - | 1,639 | - | ||||||||||||
Loans and leases | 319,454 | 322,495 | - | - | 322,495 | ||||||||||||
Financial Liabilities | |||||||||||||||||
Deposits | 314,858 | 314,292 | - | 314,292 | |||||||||||||
Short-term borrowings | 26,987 | 26,987 | - | 26,987 | - | ||||||||||||
Long-term borrowings | 12,000 | 12,025 | - | 12,025 | - | ||||||||||||
Parent_Company_Financial_Infor1
Parent Company Financial Information (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | ||||||||||
Condensed Balance Sheet [Table Text Block] | ' | ||||||||||
Howard Bancorp, Inc. | |||||||||||
Balance Sheets | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | |||||||||
ASSETS | |||||||||||
Cash and cash equivalents | $ | 1,865 | $ | 9,969 | |||||||
Loans, net of unearned income | - | 250 | |||||||||
Allowance for credit losses | - | -3 | |||||||||
Net loans | - | 247 | |||||||||
Investment in subsidiaries | 47,744 | 36,999 | |||||||||
Other assets | 68 | 62 | |||||||||
Total assets | $ | 49,677 | $ | 47,277 | |||||||
LIABILITIES | |||||||||||
Short-term borrowings | $ | 981 | $ | 376 | |||||||
Other Liabilities | 72 | 180 | |||||||||
Total liabilities | 1,053 | 556 | |||||||||
SHAREHOLDERS' EQUITY | |||||||||||
Preferred stock—par value $0.01 (liquidation preference of $1,000 per share) authorized 5,000,000; shares issued and outstanding 12,562 series AA at December 31, 2013 and December 31, 2012, net of issuance cost | 12,562 | 12,562 | |||||||||
Common stock - par value of $0.01 authorized 10,000,000 shares; issued and outstanding 4,095,650 shares at December 31, 2013 and 4,040,471 December 31, 2012 | 41 | 40 | |||||||||
Capital surplus | 37,607 | 37,484 | |||||||||
Accumulated deficit | -1,590 | -3,386 | |||||||||
Accumulated other comprehensive income, net | 4 | 21 | |||||||||
Total shareholders’ equity | 48,624 | 46,721 | |||||||||
Total liabilities and shareholders’equity | $ | 49,677 | $ | 47,277 | |||||||
Condensed Income Statement [Table Text Block] | ' | ||||||||||
Statements of Operations | |||||||||||
For the year ended | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
INTEREST INCOME | |||||||||||
Interest and fees on loans | $ | 11 | $ | 3 | $ | - | |||||
INTEREST EXPENSE | |||||||||||
Short-term borrowings | 5 | 7 | 27 | ||||||||
NET INTEREST EXPENSE | 6 | -4 | -27 | ||||||||
Provision for credit losses | -3 | 3 | - | ||||||||
Net interest expense after provision for credit losses | 9 | -7 | -27 | ||||||||
NONINTEREST EXPENSE | |||||||||||
Compensation and benefits | 86 | 83 | 106 | ||||||||
Other operating expense | 223 | 147 | 111 | ||||||||
Total noninterest expense | 309 | 230 | 217 | ||||||||
Loss before income tax and equity in undistributed loss of subsidiary | -300 | -237 | -244 | ||||||||
Income tax benefit | - | -2 | -72 | ||||||||
Loss before equity in undistributed income of subsidiary | -300 | -235 | -172 | ||||||||
Equity in undistributed income of subsidiary | 2,261 | 1,856 | 1,557 | ||||||||
Net income | $ | 1,961 | $ | 1,621 | $ | 1,385 | |||||
Preferred stock dividends | 165 | 616 | 451 | ||||||||
Net income available to common shareholders | $ | 1,796 | $ | 1,005 | $ | 934 | |||||
Condensed Cash Flow Statement [Table Text Block] | ' | ||||||||||
Statements of Cash Flows | |||||||||||
Year Ended December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||
Net income | $ | 1,961 | $ | 1,621 | $ | 1,385 | |||||
Adjustments to reconcile net income to net cash (used) provided by operating activities: | |||||||||||
Provision for credit losses | -3 | 3 | - | ||||||||
Deferred income taxes (benefits) | - | -1 | 26 | ||||||||
Share-based compensation | 124 | 105 | 128 | ||||||||
Equity in undistributed income of subsidiary | -2,245 | -1,857 | -1,546 | ||||||||
(Increase) decrease in other assets | -22 | -1 | -44 | ||||||||
(Decrease) increase in other liabilities | -109 | -145 | 295 | ||||||||
Net cash (used) provided by operating activities | -294 | -275 | 244 | ||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||
Net decrease (increase) in loans outstanding | 250 | -250 | - | ||||||||
Investment in subsidiary | -8,500 | - | -5,024 | ||||||||
Net cash provided (used) by investing activities | -8,250 | -250 | -5,024 | ||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||
Net increase (decrease) in short-term borrowings | 605 | -802 | -819 | ||||||||
Net proceeds from issuance of common stock, net of cost | - | 8,980 | - | ||||||||
Net proceeds from issuance of preferred stock, net of cost | - | - | 6,290 | ||||||||
Cash dividends on preferred stock | -165 | -616 | -451 | ||||||||
Net cash provided by financing activities | 440 | 7,562 | 5,020 | ||||||||
Net (decrease) increase in cash and cash equivalents | -8,104 | 7,037 | 240 | ||||||||
Cash and cash equivalents at beginning of period | 9,969 | 2,932 | 2,692 | ||||||||
Cash and cash equivalents at end of period | $ | 1,865 | $ | 9,969 | $ | 2,932 | |||||
Quarterly_Financial_Results_un1
Quarterly Financial Results (unaudited) (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||
Schedule of Quarterly Financial Information [Table Text Block] | ' | |||||||||||||
The following table provides a summary of selected consolidated quarterly financial data for the years ended December 31, 2013 and December 31, 2012: | ||||||||||||||
2013 | ||||||||||||||
Fourth | Third | Second | First | |||||||||||
(in thousands, except per share data.) | Quarter | Quarter | Quarter | Quarter | ||||||||||
Interest income | $ | 4,906 | $ | 4,656 | $ | 4,160 | $ | 3,989 | ||||||
Interest expense | 520 | 497 | 445 | 439 | ||||||||||
Net interest income | 4,386 | 4,159 | 3,715 | 3,550 | ||||||||||
Provision for loan losses | 284 | 140 | 165 | 361 | ||||||||||
Noninterest income | 362 | 319 | 316 | 327 | ||||||||||
Noninterest expense | 3,731 | 3,707 | 3,049 | 2,752 | ||||||||||
Net income before income taxes | 733 | 631 | 817 | 764 | ||||||||||
Income tax expenses | 177 | 223 | 303 | 281 | ||||||||||
Net income | 556 | 408 | 514 | 483 | ||||||||||
Preferred stock Dividends | 31 | 32 | 33 | 69 | ||||||||||
Net income available to common shareholders | $ | 525 | $ | 376 | $ | 481 | $ | 414 | ||||||
Net income per common share, basic | $ | 0.13 | $ | 0.09 | $ | 0.12 | $ | 0.1 | ||||||
Net income per common share, diluted | $ | 0.13 | $ | 0.09 | $ | 0.12 | $ | 0.1 | ||||||
2012 | ||||||||||||||
Fourth | Third | Second | First | |||||||||||
(in thousands, except per share data.) | Quarter | Quarter | Quarter | Quarter | ||||||||||
Interest income | $ | 4,031 | $ | 3,898 | $ | 3,799 | $ | 3,809 | ||||||
Interest expense | 456 | 486 | 536 | 527 | ||||||||||
Net interest income | 3,575 | 3,412 | 3,263 | 3,282 | ||||||||||
Provision for loan losses | 68 | 308 | 201 | 141 | ||||||||||
Noninterest income | 219 | 216 | 247 | 86 | ||||||||||
Noninterest expense | 2,979 | 2,659 | 2,638 | 2,547 | ||||||||||
Net income before income taxes | 747 | 661 | 671 | 680 | ||||||||||
Income tax expenses | 306 | 274 | 276 | 282 | ||||||||||
Net income | 441 | 387 | 395 | 398 | ||||||||||
Preferred stock Dividends | 145 | 157 | 157 | 157 | ||||||||||
Net income available to common shareholders | $ | 296 | $ | 230 | $ | 238 | $ | 241 | ||||||
Net income per common share, basic | $ | 0.07 | $ | 0.06 | $ | 0.09 | $ | 0.09 | ||||||
Net income per common share, diluted | $ | 0.07 | $ | 0.06 | $ | 0.09 | $ | 0.09 | ||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Details Textual) | 12 Months Ended |
Dec. 31, 2013 | |
Maximum [Member] | ' |
Summary of Significant Accounting Policies [Line Items] | ' |
Finite-Lived Intangible Asset, Useful Life | '15 years |
Minimum [Member] | ' |
Summary of Significant Accounting Policies [Line Items] | ' |
Finite-Lived Intangible Asset, Useful Life | '10 years |
Furniture and Fixtures [Member] | Maximum [Member] | ' |
Summary of Significant Accounting Policies [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '10 years |
Furniture and Fixtures [Member] | Minimum [Member] | ' |
Summary of Significant Accounting Policies [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '3 years |
Computer Software, Intangible Asset [Member] | Maximum [Member] | ' |
Summary of Significant Accounting Policies [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '5 years |
Computer Software, Intangible Asset [Member] | Minimum [Member] | ' |
Summary of Significant Accounting Policies [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '3 years |
Investments_Securities_Details
Investments Securities (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | $28,679 | $26,840 |
Gross Unrealized Gains | 11 | 35 |
Gross Unrealized Losses | 2 | 0 |
Estimated Fair Value | 28,688 | 26,875 |
US Government Agencies [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | 28,522 | 26,526 |
Gross Unrealized Gains | 1 | 14 |
Gross Unrealized Losses | 2 | 0 |
Estimated Fair Value | 28,521 | 26,540 |
Collateralized Mortgage Backed Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | 157 | 314 |
Gross Unrealized Gains | 10 | 21 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | $167 | $335 |
Investments_Securities_Details1
Investments Securities (Details 1) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Available For Sale Securities Continuous Unrealized Loss Position [Line Items] | ' | ' |
Individual securities, Less than 12 months, Fair Value | $15,994 | ' |
Individual securities, Less than 12 months, Gross Unrealized Losses | 2 | 1 |
Individual securities, 12 months or more, Fair Value | 0 | ' |
Individual securities, 12 months or more, Gross Unrealized Losses | 0 | ' |
Individual securities, Total, Fair Value | 15,994 | ' |
Individual securities, Total, Gross Unrealized Losses | 2 | ' |
US Government Agencies [Member] | ' | ' |
Available For Sale Securities Continuous Unrealized Loss Position [Line Items] | ' | ' |
Individual securities, Less than 12 months, Fair Value | 15,994 | ' |
Individual securities, Less than 12 months, Gross Unrealized Losses | 2 | ' |
Individual securities, 12 months or more, Fair Value | 0 | ' |
Individual securities, 12 months or more, Gross Unrealized Losses | 0 | ' |
Individual securities, Total, Fair Value | 15,994 | ' |
Individual securities, Total, Gross Unrealized Losses | 2 | ' |
Collateralized Mortgage Backed Securities [Member] | ' | ' |
Available For Sale Securities Continuous Unrealized Loss Position [Line Items] | ' | ' |
Individual securities, Less than 12 months, Fair Value | 0 | ' |
Individual securities, Less than 12 months, Gross Unrealized Losses | 0 | ' |
Individual securities, 12 months or more, Fair Value | 0 | ' |
Individual securities, 12 months or more, Gross Unrealized Losses | 0 | ' |
Individual securities, Total, Fair Value | 0 | ' |
Individual securities, Total, Gross Unrealized Losses | $0 | ' |
Investments_Securities_Details2
Investments Securities (Details 2) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Amounts maturing: | ' | ' |
One year or less, Amortized Cost | $28,522 | $23,536 |
After one through five years, Amortized Cost | 51 | 3,121 |
After five through ten years, Amortized Cost | 106 | 90 |
After ten years, Amortized Cost | 0 | 93 |
Amortized Cost | 28,679 | 26,840 |
One year or less, Estimated Fair value | 28,521 | 23,544 |
After one through five years, Estimated Fair value | 54 | 3,136 |
After five through ten years, Estimated Fair value | 113 | 96 |
After ten years, Estimated Fair value | 0 | 99 |
Estimated Fair Value | $28,688 | $26,875 |
Investments_Securities_Details3
Investments Securities (Details Textual) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Securities Pledged For Repurchase Agreements [Line Items] | ' | ' |
Pledged Assets Separately Reported, Securities Pledged for Repurchase Agreements, at Fair Value | $20,700,000 | $16,600,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | $2,000 | $1,000 |
Nonmarketable_Equity_Securitie1
Nonmarketable Equity Securities (Details Textual) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Disclosure of Nonmarketable Equity Securities [Line Items] | ' | ' |
Non Marketable Equity Securities | $2,282 | $1,475 |
Federal Home Loan Bank of Atlanta [Member] | ' | ' |
Disclosure of Nonmarketable Equity Securities [Line Items] | ' | ' |
Non Marketable Equity Securities | $2,300 | $1,500 |
Loans_and_Leases_Details
Loans and Leases (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | $403,875 | $322,218 |
Loans and Leases, Net Percent | 100.00% | 100.00% |
Construction and Land [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | 50,884 | 37,963 |
Loans and Leases, Net Percent | 12.60% | 11.80% |
Residential - First Lien [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | 39,249 | 29,826 |
Loans and Leases, Net Percent | 9.70% | 9.30% |
Residential Junior Lien [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | 8,266 | 7,983 |
Loans and Leases, Net Percent | 2.00% | 2.50% |
Residential Real Estate [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | 47,515 | 37,809 |
Loans and Leases, Net Percent | 11.70% | 11.70% |
Commercial Owner Occupied [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | 90,333 | 61,119 |
Loans and Leases, Net Percent | 22.40% | 19.00% |
Commercial Non Owner Occupied [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | 113,559 | 96,223 |
Loans and Leases, Net Percent | 28.10% | 29.90% |
Commercial Real Estate [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | 203,892 | 157,342 |
Loans and Leases, Net Percent | 50.50% | 48.80% |
Real Estate [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | 302,291 | 233,114 |
Loans and Leases, Net Percent | 74.80% | 72.30% |
Commercial Loan [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | 100,410 | 87,844 |
Loans and Leases, Net Percent | 24.90% | 27.30% |
Consumer Loan [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases | $1,174 | $1,260 |
Loans and Leases, Net Percent | 0.30% | 0.40% |
Loans_and_Leases_Details_Textu
Loans and Leases (Details Textual) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans Receivable Held-for-sale, Net | $3,298,000 | $1,639,000 |
Aberdeen branch [Member] | ' | ' |
Loans and Leases Receivable [Line Items] | ' | ' |
Loans and Leases Receivable, Deferred Income, Total | 134,000 | ' |
Loans For Acquisition | $37,100,000 | ' |
Credit_Quality_Assessment_Deta
Credit Quality Assessment (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Allowance for credit losses, Beginning balance | $2,764 | $3,433 | ' |
Allowance for credit losses, Charge-offs | -1,317 | -1,535 | ' |
Allowance for credit losses, Recoveries | 109 | 148 | ' |
Allowance for credit losses, Provision for credit losses | 950 | 718 | 1,164 |
Allowance for credit losses, Ending balance | 2,506 | 2,764 | 3,433 |
Allowance for credit losses, Ending balance, individually evaluated for impairment | 259 | 564 | ' |
Allowance for credit losses, Ending balance, collectively evaluated for impairment | 2,247 | 2,200 | ' |
Loans, Ending balance | 403,875 | 322,218 | ' |
Loans, Ending balance, individually evaluated for impairment | 6,290 | 5,576 | ' |
Loans, Ending balance, collectively evaluated for impairment | 397,585 | 316,642 | ' |
Construction and Land [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Allowance for credit losses, Beginning balance | 127 | 174 | ' |
Allowance for credit losses, Charge-offs | 0 | 0 | ' |
Allowance for credit losses, Recoveries | 0 | 0 | ' |
Allowance for credit losses, Provision for credit losses | -5 | -47 | ' |
Allowance for credit losses, Ending balance | 122 | 127 | ' |
Allowance for credit losses, Ending balance, individually evaluated for impairment | 0 | 21 | ' |
Allowance for credit losses, Ending balance, collectively evaluated for impairment | 122 | 106 | ' |
Loans, Ending balance | 50,884 | 37,963 | ' |
Loans, Ending balance, individually evaluated for impairment | 0 | 432 | ' |
Loans, Ending balance, collectively evaluated for impairment | 50,884 | 37,531 | ' |
Residential - First Lien [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Allowance for credit losses, Beginning balance | 204 | 111 | ' |
Allowance for credit losses, Charge-offs | -183 | -79 | ' |
Allowance for credit losses, Recoveries | 0 | 0 | ' |
Allowance for credit losses, Provision for credit losses | 179 | 172 | ' |
Allowance for credit losses, Ending balance | 200 | 204 | ' |
Allowance for credit losses, Ending balance, individually evaluated for impairment | 3 | 138 | ' |
Allowance for credit losses, Ending balance, collectively evaluated for impairment | 197 | 66 | ' |
Loans, Ending balance | 39,249 | 29,826 | ' |
Loans, Ending balance, individually evaluated for impairment | 331 | 442 | ' |
Loans, Ending balance, collectively evaluated for impairment | 38,918 | 29,384 | ' |
Residential - Junior Lien [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Allowance for credit losses, Beginning balance | 22 | 64 | ' |
Allowance for credit losses, Charge-offs | 0 | -44 | ' |
Allowance for credit losses, Recoveries | 0 | 0 | ' |
Allowance for credit losses, Provision for credit losses | 12 | 2 | ' |
Allowance for credit losses, Ending balance | 34 | 22 | ' |
Allowance for credit losses, Ending balance, individually evaluated for impairment | 0 | 0 | ' |
Allowance for credit losses, Ending balance, collectively evaluated for impairment | 34 | 22 | ' |
Loans, Ending balance | 8,266 | 7,983 | ' |
Loans, Ending balance, individually evaluated for impairment | 0 | 0 | ' |
Loans, Ending balance, collectively evaluated for impairment | 8,266 | 7,983 | ' |
Commercial - Owner Occupied [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Allowance for credit losses, Beginning balance | 650 | 611 | ' |
Allowance for credit losses, Charge-offs | 0 | 0 | ' |
Allowance for credit losses, Recoveries | 0 | 0 | ' |
Allowance for credit losses, Provision for credit losses | -519 | 39 | ' |
Allowance for credit losses, Ending balance | 131 | 650 | ' |
Allowance for credit losses, Ending balance, individually evaluated for impairment | 0 | 0 | ' |
Allowance for credit losses, Ending balance, collectively evaluated for impairment | 131 | 650 | ' |
Loans, Ending balance | 90,333 | 61,119 | ' |
Loans, Ending balance, individually evaluated for impairment | 0 | 0 | ' |
Loans, Ending balance, collectively evaluated for impairment | 90,333 | 61,119 | ' |
Commercial - Non-Owner Occupied [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Allowance for credit losses, Beginning balance | 505 | 197 | ' |
Allowance for credit losses, Charge-offs | -375 | -268 | ' |
Allowance for credit losses, Recoveries | 29 | 63 | ' |
Allowance for credit losses, Provision for credit losses | 382 | 513 | ' |
Allowance for credit losses, Ending balance | 541 | 505 | ' |
Allowance for credit losses, Ending balance, individually evaluated for impairment | 0 | 148 | ' |
Allowance for credit losses, Ending balance, collectively evaluated for impairment | 541 | 357 | ' |
Loans, Ending balance | 113,559 | 96,223 | ' |
Loans, Ending balance, individually evaluated for impairment | 2,984 | 3,134 | ' |
Loans, Ending balance, collectively evaluated for impairment | 110,575 | 93,089 | ' |
Commercial - Loan and Leases [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Allowance for credit losses, Beginning balance | 1,227 | 2,233 | ' |
Allowance for credit losses, Charge-offs | -759 | -1,129 | ' |
Allowance for credit losses, Recoveries | 80 | 80 | ' |
Allowance for credit losses, Provision for credit losses | 916 | 43 | ' |
Allowance for credit losses, Ending balance | 1,464 | 1,227 | ' |
Allowance for credit losses, Ending balance, individually evaluated for impairment | 256 | 257 | ' |
Allowance for credit losses, Ending balance, collectively evaluated for impairment | 1,208 | 970 | ' |
Loans, Ending balance | 100,410 | 87,844 | ' |
Loans, Ending balance, individually evaluated for impairment | 2,975 | 1,568 | ' |
Loans, Ending balance, collectively evaluated for impairment | 97,435 | 86,276 | ' |
Consumer Loans [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Allowance for credit losses, Beginning balance | 29 | 43 | ' |
Allowance for credit losses, Charge-offs | 0 | -15 | ' |
Allowance for credit losses, Recoveries | ' | 5 | ' |
Allowance for credit losses, Provision for credit losses | -15 | -4 | ' |
Allowance for credit losses, Ending balance | 14 | 29 | ' |
Allowance for credit losses, Ending balance, individually evaluated for impairment | 0 | 0 | ' |
Allowance for credit losses, Ending balance, collectively evaluated for impairment | 14 | 29 | ' |
Loans, Ending balance | 1,174 | 1,260 | ' |
Loans, Ending balance, individually evaluated for impairment | 0 | 0 | ' |
Loans, Ending balance, collectively evaluated for impairment | $1,174 | $1,260 | ' |
Credit_Quality_Assessment_Deta1
Credit Quality Assessment (Details 1) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | $403,875 | $322,218 |
Not Classified [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 400,693 | 319,817 |
Special Mention [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Substandard [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 3,182 | 2,401 |
Doubtful [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Construction and Land [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 50,884 | 37,963 |
Construction and Land [Member] | Not Classified [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 50,884 | 37,531 |
Construction and Land [Member] | Special Mention [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Construction and Land [Member] | Substandard [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 432 |
Construction and Land [Member] | Doubtful [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Residential - First Lien [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 39,249 | 29,826 |
Residential - First Lien [Member] | Not Classified [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 38,918 | 29,384 |
Residential - First Lien [Member] | Special Mention [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Residential - First Lien [Member] | Substandard [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 331 | 442 |
Residential - First Lien [Member] | Doubtful [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Residential Junior Lien [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 8,266 | 7,983 |
Residential Junior Lien [Member] | Not Classified [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 8,266 | 7,983 |
Residential Junior Lien [Member] | Special Mention [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Residential Junior Lien [Member] | Substandard [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Residential Junior Lien [Member] | Doubtful [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Commercial Owner Occupied [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 90,333 | 61,119 |
Commercial Owner Occupied [Member] | Not Classified [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 90,333 | 61,119 |
Commercial Owner Occupied [Member] | Special Mention [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Commercial Owner Occupied [Member] | Substandard [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Commercial Owner Occupied [Member] | Doubtful [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Commercial Non Owner Occupied [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 113,559 | 96,223 |
Commercial Non Owner Occupied [Member] | Not Classified [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 113,301 | 95,839 |
Commercial Non Owner Occupied [Member] | Special Mention [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Commercial Non Owner Occupied [Member] | Substandard [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 258 | 384 |
Commercial Non Owner Occupied [Member] | Doubtful [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Commercial Loan and Leases [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 100,410 | 87,844 |
Commercial Loan and Leases [Member] | Not Classified [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 97,817 | 86,701 |
Commercial Loan and Leases [Member] | Special Mention [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Commercial Loan and Leases [Member] | Substandard [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 2,593 | 1,143 |
Commercial Loan and Leases [Member] | Doubtful [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Consumer Loan [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 1,174 | 1,260 |
Consumer Loan [Member] | Not Classified [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 1,174 | 1,260 |
Consumer Loan [Member] | Special Mention [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Consumer Loan [Member] | Substandard [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | 0 | 0 |
Consumer Loan [Member] | Doubtful [Member] | ' | ' |
Credit Quality Indicator [Line Items] | ' | ' |
Credit quality indicators | $0 | $0 |
Credit_Quality_Assessment_Deta2
Credit Quality Assessment (Details 2) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Accruing loans current | $398,951 | $319,260 |
Accruing loans 31-59 days past due | 720 | 0 |
Accruing loans 60-89 days past due | 567 | 308 |
Accruing loans Greater than 90 days past due | 455 | 249 |
Total past due | 1,742 | 557 |
Non-accrual loans | 3,182 | 2,401 |
Total loans | 403,875 | 322,218 |
Construction and Land [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Accruing loans current | 50,884 | 37,531 |
Accruing loans 31-59 days past due | 0 | 0 |
Accruing loans 60-89 days past due | 0 | 0 |
Accruing loans Greater than 90 days past due | 0 | 0 |
Total past due | 0 | 0 |
Non-accrual loans | 0 | 432 |
Total loans | 50,884 | 37,963 |
Residential - First Lien [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Accruing loans current | 38,025 | 29,176 |
Accruing loans 31-59 days past due | 570 | 0 |
Accruing loans 60-89 days past due | 323 | 0 |
Accruing loans Greater than 90 days past due | 0 | 208 |
Total past due | 893 | 208 |
Non-accrual loans | 331 | 442 |
Total loans | 39,249 | 29,826 |
Residential Junior Lien [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Accruing loans current | 8,266 | 7,942 |
Accruing loans 31-59 days past due | 0 | 0 |
Accruing loans 60-89 days past due | 0 | 0 |
Accruing loans Greater than 90 days past due | 0 | 41 |
Total past due | 0 | 41 |
Non-accrual loans | 0 | 0 |
Total loans | 8,266 | 7,983 |
Commercial Owner Occupied [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Accruing loans current | 90,333 | 61,119 |
Accruing loans 31-59 days past due | 0 | 0 |
Accruing loans 60-89 days past due | 0 | 0 |
Accruing loans Greater than 90 days past due | 0 | 0 |
Total past due | 0 | 0 |
Non-accrual loans | 0 | 0 |
Total loans | 90,333 | 61,119 |
Commercial Non Owner Occupied [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Accruing loans current | 113,142 | 95,839 |
Accruing loans 31-59 days past due | 0 | 0 |
Accruing loans 60-89 days past due | 0 | 0 |
Accruing loans Greater than 90 days past due | 159 | 0 |
Total past due | 159 | 0 |
Non-accrual loans | 258 | 384 |
Total loans | 113,559 | 96,223 |
Commercial Loan and Leases [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Accruing loans current | 97,127 | 86,393 |
Accruing loans 31-59 days past due | 150 | 0 |
Accruing loans 60-89 days past due | 244 | 308 |
Accruing loans Greater than 90 days past due | 296 | 0 |
Total past due | 690 | 308 |
Non-accrual loans | 2,593 | 1,143 |
Total loans | 100,410 | 87,844 |
Consumer Loan [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Accruing loans current | 1,174 | 1,260 |
Accruing loans 31-59 days past due | 0 | 0 |
Accruing loans 60-89 days past due | 0 | 0 |
Accruing loans Greater than 90 days past due | 0 | 0 |
Total past due | 0 | 0 |
Non-accrual loans | 0 | 0 |
Total loans | $1,174 | $1,260 |
Credit_Quality_Assessment_Deta3
Credit Quality Assessment (Details 3) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired loans, Recorded Investment | $6,290 | $5,576 |
Impaired loans, Recorded investment, With an allowance recorded | 1,266 | 1,795 |
Impaired loans, Recorded investment, With no related allowance recorded | 5,024 | 3,781 |
Impaired loans, Related allowance | 259 | 564 |
Impaired loans, Unpaid principal | 6,293 | 5,826 |
Average balance of impaired loans | 7,033 | 6,924 |
Interest income recognized | 343 | 341 |
Construction and Land [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 432 |
Impaired loans, Recorded investment, With an allowance recorded | 0 | 432 |
Impaired loans, Recorded investment, With no related allowance recorded | 0 | 0 |
Impaired loans, Related allowance | 0 | 21 |
Impaired loans, Unpaid principal | 0 | 432 |
Average balance of impaired loans | 0 | 439 |
Interest income recognized | 0 | 18 |
Residential - First Lien [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 331 | 442 |
Impaired loans, Recorded investment, With an allowance recorded | 331 | 442 |
Impaired loans, Recorded investment, With no related allowance recorded | 0 | 0 |
Impaired loans, Related allowance | 4 | 138 |
Impaired loans, Unpaid principal | 331 | 442 |
Average balance of impaired loans | 333 | 444 |
Interest income recognized | 15 | 15 |
Residential Junior Lien [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Impaired loans, Recorded investment, With an allowance recorded | 0 | 0 |
Impaired loans, Recorded investment, With no related allowance recorded | 0 | 0 |
Impaired loans, Related allowance | 0 | 0 |
Impaired loans, Unpaid principal | 0 | 0 |
Average balance of impaired loans | 0 | 0 |
Interest income recognized | 0 | 0 |
Commercial Owner Occupied [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Impaired loans, Recorded investment, With an allowance recorded | 0 | 0 |
Impaired loans, Recorded investment, With no related allowance recorded | 0 | 0 |
Impaired loans, Related allowance | 0 | 0 |
Impaired loans, Unpaid principal | 0 | 0 |
Average balance of impaired loans | 0 | 0 |
Interest income recognized | 0 | 0 |
Commercial Non Owner Occupied [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 2,984 | 3,134 |
Impaired loans, Recorded investment, With an allowance recorded | 258 | 381 |
Impaired loans, Recorded investment, With no related allowance recorded | 2,726 | 2,753 |
Impaired loans, Related allowance | 31 | 148 |
Impaired loans, Unpaid principal | 2,984 | 3,372 |
Average balance of impaired loans | 2,994 | 4,225 |
Interest income recognized | 208 | 211 |
Commercial Loan and Leases [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 2,975 | 1,568 |
Impaired loans, Recorded investment, With an allowance recorded | 677 | 540 |
Impaired loans, Recorded investment, With no related allowance recorded | 2,298 | 1,028 |
Impaired loans, Related allowance | 224 | 257 |
Impaired loans, Unpaid principal | 2,978 | 1,580 |
Average balance of impaired loans | 3,706 | 1,809 |
Interest income recognized | 120 | 96 |
Consumer Loan [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Impaired loans, Recorded investment, With an allowance recorded | 0 | 0 |
Impaired loans, Recorded investment, With no related allowance recorded | 0 | 0 |
Impaired loans, Related allowance | 0 | 0 |
Impaired loans, Unpaid principal | 0 | 0 |
Average balance of impaired loans | 0 | 7 |
Interest income recognized | $0 | $1 |
Credit_Quality_Assessment_Deta4
Credit Quality Assessment (Details 4) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Loans | Loans | |
Trouble Debt Restructured Loans [Line Items] | ' | ' |
Number of Loans | 6 | 7 |
Non-Accrual Status | $861 | $1,284 |
Number of Loans | 0 | 0 |
Accrual Status | 0 | 0 |
Total TDR's | 861 | 1,284 |
Commercial Real Estate Non Owner Occupied [Member] | ' | ' |
Trouble Debt Restructured Loans [Line Items] | ' | ' |
Number of Loans | 0 | 1 |
Non-Accrual Status | 0 | 381 |
Number of Loans | 0 | 0 |
Accrual Status | 0 | 0 |
Total TDR's | 0 | 381 |
Commercial Loan [Member] | ' | ' |
Trouble Debt Restructured Loans [Line Items] | ' | ' |
Number of Loans | 6 | 6 |
Non-Accrual Status | 861 | 903 |
Number of Loans | 0 | 0 |
Accrual Status | 0 | 0 |
Total TDR's | $861 | $903 |
Credit_Quality_Assessment_Deta5
Credit Quality Assessment (Details 5) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | $861 | $1,284 |
Commercial Loans and Interest Only Payments [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Commercial Loans and Rate Modification [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Commercial Loans and Forberance [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 861 | 1,284 |
Commercial Loans and Extension Or Other Modification [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Commercial Loan [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 861 | 1,284 |
Nonperforming Financing Receivable [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 861 | 1,284 |
Nonperforming Financing Receivable [Member] | Commercial Loans and Interest Only Payments [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Nonperforming Financing Receivable [Member] | Commercial Loans and Rate Modification [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Nonperforming Financing Receivable [Member] | Commercial Loans and Forberance [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 861 | 1,284 |
Nonperforming Financing Receivable [Member] | Commercial Loans and Extension Or Other Modification [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Nonperforming Financing Receivable [Member] | Commercial Loan [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 861 | 1,284 |
Performing Financing Receivable [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Performing Financing Receivable [Member] | Commercial Loans and Interest Only Payments [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Performing Financing Receivable [Member] | Commercial Loans and Rate Modification [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Performing Financing Receivable [Member] | Commercial Loans and Forberance [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Performing Financing Receivable [Member] | Commercial Loans and Extension Or Other Modification [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | 0 | 0 |
Performing Financing Receivable [Member] | Commercial Loan [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Troubled Debt Restructuring Modifications | $0 | $0 |
Credit_Quality_Assessment_Deta6
Credit Quality Assessment (Details Textual) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Credit Quality Indicator [Line Items] | ' | ' | ' |
Delinquent Loans, Outstanding Nonaccrual Status | $3,600,000 | $2,600,000 | ' |
Financing Receivable, Recorded Investment, Nonaccrual Status | 3,182,000 | 2,401,000 | ' |
Loans and Leases Receivable, Impaired, Interest Lost on Nonaccrual Loans | 154,000 | 113,000 | 105,000 |
Proceeds from Sale of Wholly Owned Real Estate and Real Estate Acquired in Settlement of Loans | 347,000 | 48,000 | 777,000 |
Transfer to Other Real Estate | $0 | $1,598,000 | $1,805,000 |
Number Of Restructuring Loans | 6 | 7 | ' |
Intangible_Asset_Details
Intangible Asset (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Net Carrying Amount | $342 | $0 |
Core Deposits [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 376 | ' |
Accumulated Amortization | 34 | ' |
Net Carrying Amount | $342 | ' |
Intangible_Asset_Details_1
Intangible Asset (Details 1) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
2014 | $73 | ' |
2015 | 57 | ' |
2016 | 46 | ' |
2017 | 36 | ' |
2018 | 29 | ' |
Thereafter | 101 | ' |
Total amortizing intangible assets | $342 | $0 |
Premises_and_Equipment_Details
Premises and Equipment (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Premises and Equipment [Line Items] | ' | ' |
Premises and Equipment | $14,289 | $12,488 |
Less: accumulated depreciation and amortization | 3,447 | 2,915 |
Net premises and equipment | 10,842 | 9,573 |
Land [Member] | ' | ' |
Schedule of Premises and Equipment [Line Items] | ' | ' |
Premises and Equipment | 2,850 | 2,660 |
Leaseholds and Leasehold Improvements [Member] | ' | ' |
Schedule of Premises and Equipment [Line Items] | ' | ' |
Premises and Equipment | 8,858 | 7,430 |
Furniture and Fixtures [Member] | ' | ' |
Schedule of Premises and Equipment [Line Items] | ' | ' |
Premises and Equipment | 2,414 | 2,231 |
Computer Software, Intangible Asset [Member] | ' | ' |
Schedule of Premises and Equipment [Line Items] | ' | ' |
Premises and Equipment | $167 | $167 |
Premises_and_Equipment_Details1
Premises and Equipment (Details 1) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Schedule of Premises and Equipment [Line Items] | ' |
2014 | $783 |
2015 | 746 |
2016 | 699 |
2017 | 689 |
2018 | 702 |
Thereafter | 1,325 |
Total minimum lease payments | $4,944 |
Premises_and_Equipment_Details2
Premises and Equipment (Details Textual) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure of Premises and Equipment [Line Items] | ' | ' | ' |
Operating Leases, Rent Expense | $903 | $856 | $800 |
Depreciation and amortization expense | $599 | $523 | $455 |
Maximum [Member] | ' | ' | ' |
Disclosure of Premises and Equipment [Line Items] | ' | ' | ' |
Operating Leases Initial Lease Period | '20 years | ' | ' |
Minimum [Member] | ' | ' | ' |
Disclosure of Premises and Equipment [Line Items] | ' | ' | ' |
Operating Leases Initial Lease Period | '10 years | ' | ' |
Deposits_Details
Deposits (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deposits [Line Items] | ' | ' |
Noninterest-bearing demand | $89,759 | $95,875 |
Interest-bearing checking | 31,443 | 26,209 |
Money market accounts | 96,365 | 70,856 |
Savings | 12,496 | 11,107 |
Certificates of deposit $100,000 and over | 110,516 | 77,759 |
Certificates of deposit under $100,000 | 48,370 | 33,052 |
Total deposits | $388,949 | $314,858 |
Percentage of Noninterest-bearing demand | 23.00% | 30.00% |
Percentage of Interest-bearing checking | 8.00% | 8.00% |
Percentage of Money market accounts | 25.00% | 23.00% |
Percentage of Savings | 3.00% | 4.00% |
Percentage of Certificates of deposit $100,000 and over | 29.00% | 25.00% |
Percentage of Certificates of deposit under $100,000 | 12.00% | 10.00% |
Percentage of Total deposits | 100.00% | 100.00% |
Weighted Average Rate Noninterest Bearing Demand | 0.00% | 0.00% |
Weighted Average Rate, Interest-bearing checking | 0.27% | 0.34% |
Weighted Average Rate, Money market accounts | 0.40% | 0.55% |
Weighted Average Rate, Savings | 0.34% | 0.51% |
Weighted Average Rate, Certificates of deposit 100,000 and over | 1.20% | 1.27% |
Weighted Average Rate, Certificates of deposit under 100,000 | 0.72% | 1.01% |
Weighted Average Rate, Total deposits | 0.67% | 0.85% |
Deposits_Details_1
Deposits (Details 1) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Maturity time deposits [Line Items] | ' |
2014 | $97,420 |
2015 | 32,194 |
2016 | 20,215 |
2017 | 4,159 |
2018 | 4,898 |
Total time deposits | $158,886 |
Deposits_Details_2
Deposits (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Interest expense on deposits [Line Items] | ' | ' | ' |
Interest-bearing checking | $69 | $64 | $68 |
Savings and money market | 368 | 422 | 517 |
Certificates of deposit $100,000 and over | 719 | 762 | 756 |
Certificates of deposit under $100,000 | 500 | 530 | 407 |
Total | $1,656 | $1,778 | $1,748 |
ShortTerm_Borrowings_Details
Short-Term Borrowings (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Short-term Debt [Line Items] | ' | ' |
At period end | $45,658 | $26,987 |
Average for the year | 28,459 | 23,756 |
Maximum month-end balance | $45,658 | $29,726 |
Rate At period end | 0.28% | 0.54% |
Rate Average for the year | 0.40% | 0.69% |
ShortTerm_Borrowings_Details_T
Short-Term Borrowings (Details Textual) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Short-term Debt [Line Items] | ' | ' |
Pledged Assets Separately Reported, Securities Pledged for Repurchase Agreements, at Fair Value | $20.70 | $16.60 |
Us Government Agency Securities [Member] | ' | ' |
Short-term Debt [Line Items] | ' | ' |
Short-term Debt, Percentage Bearing Fixed Interest Rate | 100.00% | ' |
Federal Home Loan Bank of Atlanta [Member] | ' | ' |
Short-term Debt [Line Items] | ' | ' |
Line of Credit, Current | 71.7 | ' |
Line of Credit Facility, Amount Outstanding | $40 | $22 |
LongTerm_Borrowings_Details
Long-Term Borrowings (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | $16,000 | [1] | $12,000 | [1] |
One Point Five Nine Due In Two Year [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | ' | 2,000 | [1] | |
Zero Point Eight Four Due In Two Year [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | ' | 2,000 | [1] | |
Zero Point Three Seven One Due In Two Year [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | ' | 2,000 | [1] | |
Zero Point Three Two Due In Two Year [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | ' | 2,000 | [1] | |
Zero Point Three Seven Two Due In Two Year [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | ' | 2,000 | [1] | |
Zero Point Five Four Due In Three Year [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | 2,000 | [1] | 2,000 | [1] |
Zero Point Four Four Due In Three Years [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | 2,000 | [1] | 0 | [1] |
Zero Point Six Two Due In Four Years [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | 2,000 | [1] | 0 | [1] |
Zero Point Nine Eight Due In Four Years [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | 5,000 | [1] | 0 | [1] |
One Point Four Six Due In Five Years [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | 2,500 | [1] | 0 | [1] |
One Point Eight Eight Due In Six Years [Member] | ' | ' | ||
Schedule of long term debt [Line Items] | ' | ' | ||
Long-term borrowings | $2,500 | [1] | $0 | [1] |
[1] | Fixed rate advances |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current federal income tax | ' | ' | ' | ' | ' | ' | ' | ' | $780 | $491 | $72 |
Current state income tax | ' | ' | ' | ' | ' | ' | ' | ' | 159 | 129 | 0 |
Deferred federal income tax expense | ' | ' | ' | ' | ' | ' | ' | ' | 27 | 410 | 754 |
Deferred state income tax expense | ' | ' | ' | ' | ' | ' | ' | ' | 18 | 108 | 207 |
Total income tax expense | $177 | $223 | $303 | $281 | $306 | $274 | $276 | $282 | $984 | $1,138 | $1,063 |
Income_Taxes_Details_1
Income Taxes (Details 1) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Statutory federal income tax rate | 34.00% | 34.00% | 34.00% |
State income taxes, net of federal income tax expense | 4.00% | 5.60% | 5.60% |
Bank owned life insurance | -3.30% | 0.00% | 0.00% |
Other, net | -1.30% | 1.70% | 0.80% |
Effective tax rate | 33.40% | 41.30% | 40.40% |
Income_Taxes_Details_2
Income Taxes (Details 2) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ' | ' |
Allowance for credit losses | $100 | $370 |
Valuation on foreclosed real estate | 836 | 710 |
Stock-based compensation | 59 | 59 |
Deferred loan fees and costs, net | 89 | 21 |
Other | 111 | 100 |
Total deferred tax assets | 1,195 | 1,260 |
Deferred tax liabilities: | ' | ' |
Unrealized gain on securities | 4 | 14 |
Depreciation and amortization | 66 | 86 |
Total deferred tax liabilities | 70 | 100 |
Net deferred tax assets | $1,125 | $1,160 |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Related Party Transaction [Line Items] | ' | ' |
Balance January 1 | $15,673 | $12,768 |
Additions | 11,821 | 6,072 |
Repayments | 8,874 | 3,167 |
Balance December 31 | $18,620 | $15,673 |
Related_Party_Transactions_Det1
Related Party Transactions (Details Textual) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Related Party Transaction [Line Items] | ' |
Due from Related Parties | $23 |
Financial_Instruments_with_Off2
Financial Instruments with Off-Balance Sheet Risk (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Unused lines of Credit [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Fair Value Disclosure, Off-balance Sheet Risks, Amount, Asset | $41,326 | $40,493 |
Letter of Credit [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Fair Value Disclosure, Off-balance Sheet Risks, Amount, Asset | 9,676 | 6,178 |
Loan Purchase Commitments [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Fair Value Disclosure, Off-balance Sheet Risks, Amount, Asset | $34,464 | $34,057 |
Stock_Options_Awards_and_Warra2
Stock Options, Awards and Warrants (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Share Based Compensation Stock Options Activity [Line Items] | ' | ' |
Shares, Beginning Balance | 395,351 | 395,351 |
Shares, Granted | 0 | 0 |
Shares, Exercised | 0 | 0 |
Shares, Forfeited | -8,250 | 0 |
Shares, Ending Balance | 387,101 | 395,351 |
Shares, Exercisable | 387,101 | 395,351 |
Weighted Average Exercise Shares Price, Beginning Balance | $11.16 | $11.16 |
Weighted Average Exercise Shares Price, Granted | $0 | $0 |
Weighted Average Exercise Shares Price, Exercised | $0 | $0 |
Weighted Average Exercise Shares Price, Forfeited | $9.90 | $0 |
Weighted Average Exercise Shares Price, Ending Balance | $11.19 | $11.16 |
Weighted Average Exercise Shares Price, Exercisable | $11.19 | $11.16 |
Weighted average fair value of options granted during the year | $0 | $0 |
Stock_Options_Awards_and_Warra3
Stock Options, Awards and Warrants (Details 1) (Restricted Stock [Member], USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Restricted Stock [Member] | ' |
Share Based Compensation Restricted Stock Units Award Activity [Line Items] | ' |
Number of Shares, Beginning of period | 0 |
Number of Shares, Granted | 50,000 |
Number of Shares, Vested | 0 |
Number of Shares, End of period | 50,000 |
Weighted Average Grant-Date Fair Value, Beginning of period | $0 |
Weighted Average Grant-Date Fair Value, Granted | $6.89 |
Weighted Average Grant-Date Fair Value, Vested | $0 |
Weighted Average Grant-Date Fair Value, End of period | $6.89 |
Stock_Options_Awards_and_Warra4
Stock Options, Awards and Warrants (Details Textual) (USD $) | 12 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | |
Restricted Stock [Member] | Restricted Stock [Member] | Vest on grant date anniversary [Member] | vest if performance achieved [Member] | ||||
Stock Options Awards And Warrants [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Other Additional Capital | $4,775,000 | ' | ' | ' | ' | ' | ' |
Warrants to Common Stock Share Equivalent Conversion Ratio | 0.25 | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding, Weighted Average Remaining Contractual Terms | '10 years | ' | ' | ' | ' | ' | ' |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | 'August 2014 | ' | ' | ' | ' | ' | ' |
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 119,376 | ' | ' | ' | ' | ' | ' |
Class of Warrants Exercise Price | $10 | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable Fair Market Value | $9.42 | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding | 32,000 | ' | ' | ' | ' | ' | ' |
Share-Based Compensation Arrangement By Share-Based Payment Award, Options, Grants In Period, Gross | 0 | 0 | ' | 50,000 | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | ' | ' | ' | ' | ' | 30,000 | 20,000 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | 258,000 | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, Issued for Services | 5,179 | 3,843 | ' | ' | ' | ' | ' |
Allocated Share-based Compensation Expense | ' | 83,000 | 106,000 | ' | 87,000 | ' | ' |
Stock Issuance Cost | $38,000 | $22,000 | ' | ' | ' | ' | ' |
Profit_Sharing_Plan_Details_Te
Profit Sharing Plan (Details Textual) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Profit Sharing Plan [Line Items] | ' | ' | ' |
Defined Contribution Plan, Maximum Annual Contribution Per Employee, Percent | 15.00% | ' | ' |
Defined Contribution Plan, Maximum Annual Contribution Per Employee, Amount | $147 | $110 | $99 |
Maximum [Member] | ' | ' | ' |
Profit Sharing Plan [Line Items] | ' | ' | ' |
Defined Contribution Plan, Employer Matching Contribution, Percent | 4.00% | ' | ' |
Income_Loss_per_Common_Share_D
Income (Loss) per Common Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Earnings Per Share Basic And Diluted [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income applicable to common stock (numerator) | $556 | $408 | $514 | $483 | $441 | $387 | $395 | $398 | $1,961 | $1,621 | $1,385 |
Preferred dividends | -31 | -32 | -33 | -69 | -145 | -157 | -157 | -157 | -165 | -616 | -451 |
Net income available to common shareholders | $525 | $376 | $481 | $414 | $296 | $230 | $238 | $241 | $1,796 | $1,005 | $934 |
BASIC | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Average common shares outstanding (denominator) | ' | ' | ' | ' | ' | ' | ' | ' | 4,077,613 | 3,269,835 | 2,638,443 |
Basic income per common share (in dollars per share) | $0.13 | $0.09 | $0.12 | $0.10 | $0.07 | $0.06 | $0.09 | $0.09 | $0.44 | $0.31 | $0.35 |
DILUTED | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Average common shares outstanding | ' | ' | ' | ' | ' | ' | ' | ' | 4,077,613 | 3,269,835 | 2,638,443 |
Diluted effect of stock options and warrants | ' | ' | ' | ' | ' | ' | ' | ' | 3,398 | 0 | 0 |
Diluted average common shares outstanding (denominator) | ' | ' | ' | ' | ' | ' | ' | ' | 4,081,011 | 3,269,835 | 2,638,443 |
Diluted income per common share (in dollars per share) | $0.13 | $0.09 | $0.12 | $0.10 | $0.07 | $0.06 | $0.09 | $0.09 | $0.44 | $0.31 | $0.35 |
Stock options and warrants outstanding that are anti-dilutive and thus excluded from calculation of diluted number of shares presented above | ' | ' | ' | ' | ' | ' | ' | ' | 479,971 | 514,727 | 495,141 |
Regulatory_Matters_Details
Regulatory Matters (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Howard Bank [Member] | ' | ' |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Total capital (to risk-weighted assets) Actual amount | $49,902 | $39,739 |
Total capital (to risk-weighted assets) Actual ratio | 11.85% | 12.17% |
Total capital (to risk-weighted assets) For capital adequacy purposes amount | 33,684 | 26,127 |
Total capital (to risk-weighted assets) For capital adequacy purposes ratio | 8.00% | 8.00% |
Total capital (to risk-weighted assets) To be well capitalized under the FDICIA prompt corrective action provisions amount | 42,105 | 32,659 |
Total capital (to risk-weighted assets) To be well capitalized under the FDICIA prompt corrective action provisions ratio | 10.00% | 10.00% |
Tier 1 capital (to risk-weighted assets) Actual amount | 47,396 | 36,978 |
Tier 1 capital (to risk-weighted assets) Actual ratio | 11.26% | 11.32% |
Tier 1 capital (to risk-weighted assets) For capital adequacy purposes amount | 16,842 | 13,064 |
Tier 1 capital (to risk-weighted assets) For capital adequacy purposes ratio | 4.00% | 4.00% |
Tier 1 capital (to risk-weighted assets) To be well capitalized under the FDICIA prompt corrective action provisions amount | 25,263 | 19,595 |
Tier 1 capital (to risk-weighted assets) To be well capitalized under the FDICIA prompt corrective action provisions ratio | 6.00% | 6.00% |
Tier 1 capital (to average assets) Actual amount | 47,396 | 36,978 |
Tier 1 capital (to average assets) Actual ratio | 9.77% | 9.79% |
Tier 1 capital (to average assets) For capital adequacy purposes amount | 19,406 | 15,109 |
Tier 1 capital (to average assets) For capital adequacy purposes ratio | 4.00% | 4.00% |
Tier 1 capital (to average assets) To be well capitalized under the FDICIA prompt corrective action provisions amount | 24,257 | 18,887 |
Tier 1 capital (to average assets) To be well capitalized under the FDICIA prompt corrective action provisions ratio | 5.00% | 5.00% |
Howard Bancorp [Member] | ' | ' |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ' | ' |
Total capital (to risk-weighted assets) Actual amount | 50,700 | 49,404 |
Total capital (to risk-weighted assets) Actual ratio | 12.05% | 15.02% |
Total capital (to risk-weighted assets) For capital adequacy purposes amount | 33,668 | 26,312 |
Total capital (to risk-weighted assets) For capital adequacy purposes ratio | 8.00% | 8.00% |
Tier 1 capital (to risk-weighted assets) Actual amount | 48,195 | 46,640 |
Tier 1 capital (to risk-weighted assets) Actual ratio | 11.45% | 14.18% |
Tier 1 capital (to risk-weighted assets) For capital adequacy purposes amount | 16,834 | 13,156 |
Tier 1 capital (to risk-weighted assets) For capital adequacy purposes ratio | 4.00% | 4.00% |
Tier 1 capital (to average assets) Actual amount | 48,195 | 46,640 |
Tier 1 capital (to average assets) Actual ratio | 9.93% | 12.34% |
Tier 1 capital (to average assets) For capital adequacy purposes amount | $19,414 | $15,114 |
Tier 1 capital (to average assets) For capital adequacy purposes ratio | 4.00% | 4.00% |
Regulatory_Matters_Details_Tex
Regulatory Matters (Details Textual) | 12 Months Ended |
Dec. 31, 2013 | |
Schedule of regulatory matters [Line Items] | ' |
Derivative, Credit Risk | 'one of four risk weights (0%, 20%, 50% and 100%) is applied to the different balance sheet and off-balance sheet assets, primarily based on the relative credit risk of the counterparty. |
Derivative Conversion Factors | 'One of four credit conversion factors (0%, 20%, 50% and 100%) is assigned to loan commitments based on the likelihood of the off-balance sheet item becoming an asset. |
Preferred_Stock_Details_Textua
Preferred Stock (Details Textual) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 22, 2011 | Sep. 22, 2011 | Dec. 31, 2013 | Sep. 22, 2011 |
Second Through Tenth Dividend Periods [Member] | Second Through Tenth Dividend Periods [Member] | Eleventh through Nineteenth Dividend Periods [Member] | Eleventh through Nineteenth Dividend Periods [Member] | Series AA Preferred Stock Remains Outstanding for More than Four and One Half Years [Member] | Small Business Lending Fund Program [Member] | Qualified Small Business Lending [Member] | Qualified Small Business Lending [Member] | Senior Non Cumulative Perpetual Preferred Stock Series AA [Member] | |||
Maximum [Member] | Minimum [Member] | Maximum [Member] | Minimum [Member] | ||||||||
Preferred Stock [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred Stock, Shares Issued | 12,562 | 12,562 | ' | ' | ' | ' | ' | ' | ' | ' | 12,562 |
Preferred Stock, Liquidation Preference Per Share (in dollars per share) | $1,000 | $1,000 | ' | ' | ' | ' | ' | ' | ' | ' | $1,000 |
Preferred Stock, Value, Issued | $12,562,000 | $12,562,000 | ' | ' | ' | ' | ' | ' | ' | ' | $12,562,000 |
Funds Raised from Small Business Act | ' | ' | ' | ' | ' | ' | ' | 30,000,000,000 | ' | ' | ' |
Assets | $499,918,000 | $401,675,000 | ' | ' | ' | ' | ' | $10,000,000,000 | ' | ' | ' |
Preferred Stock, Aggregate Liquidation Amount, Dividend Rate, Percentage | ' | ' | ' | ' | ' | ' | ' | ' | 5.00% | 1.00% | ' |
Preferred Stock, Dividend Rate, Percentage | ' | ' | 5.00% | 1.00% | 7.00% | 1.00% | 9.00% | ' | ' | ' | ' |
Fair_Value_Details
Fair Value (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' |
Investment securities | $28,688 | $26,875 |
US Federal Agencies [Member] | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' |
Investment securities | 28,521 | 26,540 |
Collateralized Mortgage Backed Securities [Member] | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' |
Investment securities | 167 | 335 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | US Federal Agencies [Member] | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' |
Investment securities | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' |
Investment securities | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | US Federal Agencies [Member] | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' |
Investment securities | 28,521 | 26,540 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' |
Investment securities | 167 | 335 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | US Federal Agencies [Member] | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' |
Investment securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' |
Investment securities | $0 | $0 |
Fair_Value_Details_1
Fair Value (Details 1) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Other real estate owned | $2,377 | $2,903 |
Loans held for sale | 3,298 | 1,639 |
Impaired loans, Recorded Investment | 6,290 | 5,576 |
Construction and Land [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 432 |
Residential - First Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 331 | 442 |
Residential Junior Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Commercial Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Commercial Non Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 2,984 | 3,134 |
Commercial Loan and Leases [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 2,975 | 1,568 |
Consumer Loan [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Loans held for sale | 3,298 | 1,639 |
Fair Value, Measurements, Nonrecurring [Member] | Other Real Estate Owned [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Other real estate owned | 2,377 | 2,903 |
Fair Value, Measurements, Nonrecurring [Member] | Construction and Land [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 411 |
Fair Value, Measurements, Nonrecurring [Member] | Residential - First Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 327 | 304 |
Fair Value, Measurements, Nonrecurring [Member] | Residential Junior Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Commercial Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Commercial Non Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 2,953 | 2,986 |
Fair Value, Measurements, Nonrecurring [Member] | Commercial Loan and Leases [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 2,751 | 1,311 |
Fair Value, Measurements, Nonrecurring [Member] | Consumer Loan [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Loans held for sale | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Other Real Estate Owned [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Other real estate owned | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Construction and Land [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Residential - First Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Residential Junior Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Commercial Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Commercial Non Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Commercial Loan and Leases [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Consumer Loan [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Loans held for sale | 3,298 | 1,639 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Other Real Estate Owned [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Other real estate owned | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Construction and Land [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Residential - First Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Residential Junior Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Commercial Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Commercial Non Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Commercial Loan and Leases [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Consumer Loan [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Loans held for sale | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Other Real Estate Owned [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Other real estate owned | 2,377 | 2,903 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Construction and Land [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 411 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Residential - First Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 327 | 304 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Residential Junior Lien [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Commercial Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Commercial Non Owner Occupied [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 2,953 | 2,986 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Commercial Loan and Leases [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | 2,751 | 1,311 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Consumer Loan [Member] | ' | ' |
Fair Value Assets Measured On NonRecurring Basis [Line Items] | ' | ' |
Impaired loans, Recorded Investment | $0 | $0 |
Fair_Value_Details_2
Fair Value (Details 2) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Financial Assets | ' | ' | ||
Cash and cash equivalents, Carrying Value | $35,736 | $36,361 | ||
Investment securities, Carrying Value | 28,688 | 26,875 | ||
Nonmarketable equity securities, Carrying Value | 2,282 | 1,475 | ||
Loans held for sale, Carrying Value | 3,298 | 1,639 | ||
Loans and leases, Carrying Value | 401,369 | 319,454 | ||
Cash and cash equivalents, Fair value | 35,736 | 36,361 | ||
Investment securities, Fair value | 28,688 | 26,875 | ||
Nonmarketable equity securities, Fair value | 2,282 | 1,475 | ||
Loans held for sale, Fair value | 3,298 | 1,639 | ||
Loans and leases, Fair value | 401,652 | 322,495 | ||
Financial Liabilities | ' | ' | ||
Deposits, Carrying Value | 388,949 | 314,858 | ||
Short-term borrowings, Carrying Value | 45,658 | 26,987 | ||
Long-term borrowings, Carrying Value | 16,000 | [1] | 12,000 | [1] |
Deposits, Fair value | 389,220 | 314,292 | ||
Short-term borrowings, Fair value | 45,658 | 26,987 | ||
Long-term borrowings, Fair value | 16,008 | 12,025 | ||
Fair Value, Inputs, Level 1 [Member] | ' | ' | ||
Financial Assets | ' | ' | ||
Cash and cash equivalents, Fair value | 0 | 0 | ||
Investment securities, Fair value | 0 | 0 | ||
Nonmarketable equity securities, Fair value | 0 | 0 | ||
Loans held for sale, Fair value | 0 | 0 | ||
Loans and leases, Fair value | 0 | 0 | ||
Financial Liabilities | ' | ' | ||
Deposits, Fair value | 0 | 0 | ||
Short-term borrowings, Fair value | 0 | 0 | ||
Long-term borrowings, Fair value | 0 | 0 | ||
Fair Value, Inputs, Level 2 [Member] | ' | ' | ||
Financial Assets | ' | ' | ||
Cash and cash equivalents, Fair value | 35,736 | 36,361 | ||
Investment securities, Fair value | 28,688 | 26,875 | ||
Nonmarketable equity securities, Fair value | 2,282 | 1,475 | ||
Loans held for sale, Fair value | 3,298 | 1,639 | ||
Loans and leases, Fair value | 0 | 0 | ||
Financial Liabilities | ' | ' | ||
Deposits, Fair value | 0 | ' | ||
Short-term borrowings, Fair value | 45,658 | 26,987 | ||
Long-term borrowings, Fair value | 16,008 | 12,025 | ||
Fair Value, Inputs, Level 3 [Member] | ' | ' | ||
Financial Assets | ' | ' | ||
Cash and cash equivalents, Fair value | 0 | 0 | ||
Investment securities, Fair value | 0 | 0 | ||
Nonmarketable equity securities, Fair value | 0 | 0 | ||
Loans held for sale, Fair value | 0 | 0 | ||
Loans and leases, Fair value | 401,652 | 322,495 | ||
Financial Liabilities | ' | ' | ||
Deposits, Fair value | 389,220 | 314,292 | ||
Short-term borrowings, Fair value | 0 | 0 | ||
Long-term borrowings, Fair value | $0 | $0 | ||
[1] | Fixed rate advances |
Fair_Value_Details_Textual
Fair Value (Details Textual) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Proceeds From Sale Of Wholly Owned Real Estate and Real Estate Acquired In Settlement Of Loans | $347 | $48 | $777 |
Parent_Company_Financial_Infor2
Parent Company Financial Information (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | ||||
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents | $35,736 | $36,361 | ' | ' |
Loans and leases, net of unearned income | 403,875 | 322,218 | ' | ' |
Allowance for credit losses | -2,506 | -2,764 | ' | ' |
Net loans | 401,369 | 319,454 | ' | ' |
Total assets | 499,918 | 401,675 | ' | ' |
LIABILITIES | ' | ' | ' | ' |
Short-term borrowings | 45,658 | 26,987 | ' | ' |
Total liabilities | 451,294 | 354,954 | ' | ' |
SHAREHOLDERS' EQUITY | ' | ' | ' | ' |
Preferred stock—par value $0.01 (liquidation preference of $1,000 per share) authorized 5,000,000; shares issued and outstanding 12,562 series AA at December 31, 2013 and December 31, 2012, net of issuance cost | 12,562 | 12,562 | ' | ' |
Common stock - par value of $0.01 authorized 10,000,000 shares; issued and outstanding 4,095,650 shares at December 31, 2013 and 4,040,471 December 31, 2012 | 41 | 40 | ' | ' |
Capital surplus | 37,607 | 37,484 | ' | ' |
Accumulated deficit | -1,590 | -3,386 | ' | ' |
Accumulated other comprehensive income, net | 4 | 21 | ' | ' |
Total shareholders' equity | 48,624 | 46,721 | 36,630 | 29,288 |
Total liabilities and shareholders' equity | 499,918 | 401,675 | ' | ' |
Parent Company [Member] | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents | 1,865 | 9,969 | ' | ' |
Loans and leases, net of unearned income | 0 | 250 | ' | ' |
Allowance for credit losses | 0 | -3 | ' | ' |
Net loans | 0 | 247 | ' | ' |
Investment in subsidiaries | 47,744 | 36,999 | ' | ' |
Other assets | 68 | 62 | ' | ' |
Total assets | 49,677 | 47,277 | ' | ' |
LIABILITIES | ' | ' | ' | ' |
Short-term borrowings | 981 | 376 | ' | ' |
Other Liabilities | 72 | 180 | ' | ' |
Total liabilities | 1,053 | 556 | ' | ' |
SHAREHOLDERS' EQUITY | ' | ' | ' | ' |
Preferred stock—par value $0.01 (liquidation preference of $1,000 per share) authorized 5,000,000; shares issued and outstanding 12,562 series AA at December 31, 2013 and December 31, 2012, net of issuance cost | 12,562 | 12,562 | ' | ' |
Common stock - par value of $0.01 authorized 10,000,000 shares; issued and outstanding 4,095,650 shares at December 31, 2013 and 4,040,471 December 31, 2012 | 41 | 40 | ' | ' |
Capital surplus | 37,607 | 37,484 | ' | ' |
Accumulated deficit | -1,590 | -3,386 | ' | ' |
Accumulated other comprehensive income, net | 4 | 21 | ' | ' |
Total shareholders' equity | 48,624 | 46,721 | ' | ' |
Total liabilities and shareholders' equity | $49,677 | $47,277 | ' | ' |
Parent_Company_Financial_Infor3
Parent Company Financial Information (Details 1) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
INTEREST INCOME | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest and fees on loans | ' | ' | ' | ' | ' | ' | ' | ' | $17,579 | $15,380 | $14,516 |
INTEREST EXPENSE | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Short-term borrowings | ' | ' | ' | ' | ' | ' | ' | ' | 114 | 163 | 168 |
NET INTEREST EXPENSE | 4,386 | 4,159 | 3,715 | 3,550 | 3,575 | 3,412 | 3,263 | 3,282 | 15,810 | 13,532 | 12,623 |
Provision for credit losses | ' | ' | ' | ' | ' | ' | ' | ' | 950 | 718 | 1,164 |
Net interest expense after provision for credit losses | ' | ' | ' | ' | ' | ' | ' | ' | 14,860 | 12,814 | 11,459 |
NONINTEREST EXPENSE | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation and benefits | ' | ' | ' | ' | ' | ' | ' | ' | 7,397 | 6,075 | 5,020 |
Other operating expense | ' | ' | ' | ' | ' | ' | ' | ' | 1,378 | 1,289 | 1,335 |
Total noninterest expense | 3,731 | 3,707 | 3,049 | 2,752 | 2,979 | 2,659 | 2,638 | 2,547 | 13,239 | 10,823 | 10,148 |
Loss before income tax and equity in undistributed loss of subsidiary | 733 | 631 | 817 | 764 | 747 | 661 | 671 | 680 | 2,945 | 2,759 | 2,448 |
Income tax benefit | 177 | 223 | 303 | 281 | 306 | 274 | 276 | 282 | 984 | 1,138 | 1,063 |
Net income | 556 | 408 | 514 | 483 | 441 | 387 | 395 | 398 | 1,961 | 1,621 | 1,385 |
Preferred stock dividends | 31 | 32 | 33 | 69 | 145 | 157 | 157 | 157 | 165 | 616 | 451 |
Net income available to common shareholders | 525 | 376 | 481 | 414 | 296 | 230 | 238 | 241 | 1,796 | 1,005 | 934 |
Parent Company [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
INTEREST INCOME | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest and fees on loans | ' | ' | ' | ' | ' | ' | ' | ' | 11 | 3 | 0 |
INTEREST EXPENSE | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Short-term borrowings | ' | ' | ' | ' | ' | ' | ' | ' | 5 | 7 | 27 |
NET INTEREST EXPENSE | ' | ' | ' | ' | ' | ' | ' | ' | 6 | -4 | -27 |
Provision for credit losses | ' | ' | ' | ' | ' | ' | ' | ' | -3 | 3 | 0 |
Net interest expense after provision for credit losses | ' | ' | ' | ' | ' | ' | ' | ' | 9 | -7 | -27 |
NONINTEREST EXPENSE | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation and benefits | ' | ' | ' | ' | ' | ' | ' | ' | 86 | 83 | 106 |
Other operating expense | ' | ' | ' | ' | ' | ' | ' | ' | 223 | 147 | 111 |
Total noninterest expense | ' | ' | ' | ' | ' | ' | ' | ' | 309 | 230 | 217 |
Loss before income tax and equity in undistributed loss of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | -300 | -237 | -244 |
Income tax benefit | ' | ' | ' | ' | ' | ' | ' | ' | 0 | -2 | -72 |
Loss before equity in undistributed income of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | -300 | -235 | -172 |
Equity in undistributed income of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | 2,261 | 1,856 | 1,557 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 1,961 | 1,621 | 1,385 |
Preferred stock dividends | ' | ' | ' | ' | ' | ' | ' | ' | 165 | 616 | 451 |
Net income available to common shareholders | ' | ' | ' | ' | ' | ' | ' | ' | $1,796 | $1,005 | $934 |
Parent_Company_Financial_Infor4
Parent Company Financial Information (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net Income | $556 | $408 | $514 | $483 | $441 | $387 | $395 | $398 | $1,961 | $1,621 | $1,385 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provision for credit losses | ' | ' | ' | ' | ' | ' | ' | ' | 950 | 718 | 1,164 |
Deferred income taxes (benefits) | ' | ' | ' | ' | ' | ' | ' | ' | 45 | 518 | 991 |
Stock-based compensation | ' | ' | ' | ' | ' | ' | ' | ' | 124 | 105 | 128 |
(Increase) decrease in other assets | ' | ' | ' | ' | ' | ' | ' | ' | -981 | 1,092 | 52 |
(Decrease) increase in other liabilities | ' | ' | ' | ' | ' | ' | ' | ' | -443 | 292 | 260 |
Net cash (used) provided by operating activities | ' | ' | ' | ' | ' | ' | ' | ' | 740 | 3,995 | 5,214 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net decrease (increase) in loans outstanding | ' | ' | ' | ' | ' | ' | ' | ' | -45,679 | -48,799 | -23,283 |
Net cash provided (used) by investing activities | ' | ' | ' | ' | ' | ' | ' | ' | -62,621 | -62,423 | -19,890 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net increase (decrease) in short-term borrowings | ' | ' | ' | ' | ' | ' | ' | ' | 18,670 | 14,004 | -12,040 |
Net proceeds from issuance of common stock, net of cost | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 8,980 | 0 |
Net proceeds from issuance of preferred stock, net of cost | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 6,290 |
Cash dividends on preferred stock | ' | ' | ' | ' | ' | ' | ' | ' | -165 | -616 | -451 |
Net cash provided by financing activities | ' | ' | ' | ' | ' | ' | ' | ' | 61,256 | 76,584 | 21,127 |
Net (decrease) increase in cash and cash equivalents | ' | ' | ' | ' | ' | ' | ' | ' | -625 | 18,156 | 6,451 |
Cash and cash equivalents at beginning of period | ' | ' | ' | 36,361 | ' | ' | ' | 18,205 | 36,361 | 18,205 | 11,754 |
Cash and cash equivalents at end of period | 35,736 | ' | ' | ' | 36,361 | ' | ' | ' | 35,736 | 36,361 | 18,205 |
Parent Company [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net Income | ' | ' | ' | ' | ' | ' | ' | ' | 1,961 | 1,621 | 1,385 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provision for credit losses | ' | ' | ' | ' | ' | ' | ' | ' | -3 | 3 | 0 |
Deferred income taxes (benefits) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | -1 | 26 |
Stock-based compensation | ' | ' | ' | ' | ' | ' | ' | ' | 124 | 105 | 128 |
Equity in undistributed income of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | -2,261 | -1,856 | -1,557 |
(Increase) decrease in other assets | ' | ' | ' | ' | ' | ' | ' | ' | -22 | -1 | -44 |
(Decrease) increase in other liabilities | ' | ' | ' | ' | ' | ' | ' | ' | -109 | -145 | 295 |
Net cash (used) provided by operating activities | ' | ' | ' | ' | ' | ' | ' | ' | -294 | -275 | 244 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net decrease (increase) in loans outstanding | ' | ' | ' | ' | ' | ' | ' | ' | 250 | -250 | 0 |
Investment in subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | -8,500 | 0 | -5,024 |
Net cash provided (used) by investing activities | ' | ' | ' | ' | ' | ' | ' | ' | -8,250 | -250 | -5,024 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net increase (decrease) in short-term borrowings | ' | ' | ' | ' | ' | ' | ' | ' | 605 | -802 | -819 |
Net proceeds from issuance of common stock, net of cost | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | 0 |
Net proceeds from issuance of preferred stock, net of cost | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 6,290 |
Cash dividends on preferred stock | ' | ' | ' | ' | ' | ' | ' | ' | -165 | -616 | -451 |
Net cash provided by financing activities | ' | ' | ' | ' | ' | ' | ' | ' | 440 | 7,562 | 5,020 |
Net (decrease) increase in cash and cash equivalents | ' | ' | ' | ' | ' | ' | ' | ' | -8,104 | 7,037 | 240 |
Cash and cash equivalents at beginning of period | ' | ' | ' | 9,969 | ' | ' | ' | 2,932 | 9,969 | 2,932 | 2,692 |
Cash and cash equivalents at end of period | $1,865 | ' | ' | ' | $9,969 | ' | ' | ' | $1,865 | $9,969 | $2,932 |
Parent_Company_Financial_Infor5
Parent Company Financial Information (Details Textual) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Parent Company Financial Information Disclosure [Line Items] | ' | ' |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 |
Preferred stock, liquidation preference (in dollars per share) | $1,000 | $1,000 |
Preferred Stock, Shares Authorized | 5,000,000 | 5,000,000 |
Preferred Stock, Shares Issued | 12,562 | 12,562 |
Preferred Stock, Shares Outstanding | 12,562 | 12,562 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Common Stock, Shares Issued | 4,095,650 | 4,040,471 |
Common Stock, Shares Outstanding | 4,095,650 | 4,040,471 |
Parent Company [Member] | ' | ' |
Parent Company Financial Information Disclosure [Line Items] | ' | ' |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 |
Preferred stock, liquidation preference (in dollars per share) | $1,000 | $1,000 |
Preferred Stock, Shares Authorized | 5,000,000 | 5,000,000 |
Preferred Stock, Shares Issued | 12,562 | 12,562 |
Preferred Stock, Shares Outstanding | 12,562 | 12,562 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Common Stock, Shares Issued | 4,095,650 | 4,040,471 |
Common Stock, Shares Outstanding | 4,095,650 | 4,040,471 |
Quarterly_Financial_Results_un2
Quarterly Financial Results (unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Schedule of quaterly financial information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest income | $4,906 | $4,656 | $4,160 | $3,989 | $4,031 | $3,898 | $3,799 | $3,809 | ' | ' | ' |
Interest expense | 520 | 497 | 445 | 439 | 456 | 486 | 536 | 527 | 1,901 | 2,005 | 2,017 |
Net interest income | 4,386 | 4,159 | 3,715 | 3,550 | 3,575 | 3,412 | 3,263 | 3,282 | 15,810 | 13,532 | 12,623 |
Provision for loan losses | 284 | 140 | 165 | 361 | 68 | 308 | 201 | 141 | ' | ' | ' |
Noninterest income | 362 | 319 | 316 | 327 | 219 | 216 | 247 | 86 | 1,324 | 768 | 1,137 |
Noninterest expense | 3,731 | 3,707 | 3,049 | 2,752 | 2,979 | 2,659 | 2,638 | 2,547 | 13,239 | 10,823 | 10,148 |
Net income before income taxes | 733 | 631 | 817 | 764 | 747 | 661 | 671 | 680 | 2,945 | 2,759 | 2,448 |
Income tax expenses | 177 | 223 | 303 | 281 | 306 | 274 | 276 | 282 | 984 | 1,138 | 1,063 |
Net Income | 556 | 408 | 514 | 483 | 441 | 387 | 395 | 398 | 1,961 | 1,621 | 1,385 |
Preferred stock Dividends | 31 | 32 | 33 | 69 | 145 | 157 | 157 | 157 | 165 | 616 | 451 |
Net income available to common shareholders | $525 | $376 | $481 | $414 | $296 | $230 | $238 | $241 | $1,796 | $1,005 | $934 |
Net income per common share, basic (in dollars per share) | $0.13 | $0.09 | $0.12 | $0.10 | $0.07 | $0.06 | $0.09 | $0.09 | $0.44 | $0.31 | $0.35 |
Net income per common share, diluted (in dollars per share) | $0.13 | $0.09 | $0.12 | $0.10 | $0.07 | $0.06 | $0.09 | $0.09 | $0.44 | $0.31 | $0.35 |