Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Nov. 05, 2017 | |
Document And Entity Information | ||
Entity Registrant Name | ENB Financial Corp | |
Entity Central Index Key | 1,437,479 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2017 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Is Entity a Well-known Seasoned Issuer | No | |
Is Entity a Voluntary Filer | No | |
Is Entity's Reporting Status Current | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 2,845,679 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,017 |
CONSOLIDATED BALANCE SHEETS (UN
CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
ASSETS | |||
Cash and due from banks | $ 18,426 | $ 19,852 | $ 16,055 |
Interest-bearing deposits in other banks | 25,814 | 25,780 | 33,812 |
Total cash and cash equivalents | 44,240 | 45,632 | 49,867 |
Securities available for sale (at fair value) | 320,695 | 308,111 | 298,139 |
Loans held for sale | 3,809 | 2,552 | 4,525 |
Loans (net of unearned income) | 584,077 | 571,567 | 565,968 |
Less: Allowance for loan losses | 8,028 | 7,562 | 7,435 |
Net loans | 576,049 | 564,005 | 558,533 |
Premises and equipment | 24,402 | 22,568 | 22,776 |
Regulatory stock | 6,139 | 5,372 | 5,218 |
Bank owned life insurance | 25,161 | 24,687 | 24,489 |
Other assets | 9,583 | 11,326 | 7,140 |
Total assets | 1,010,078 | 984,253 | 970,687 |
Deposits: | |||
Noninterest-bearing | 301,978 | 280,543 | 260,873 |
Interest-bearing | 536,847 | 536,948 | 531,787 |
Total deposits | 838,825 | 817,491 | 792,660 |
Short-term borrowings | 8,329 | 12,053 | |
Long-term debt | 68,350 | 61,257 | 63,757 |
Other liabilities | 2,036 | 2,237 | 2,264 |
Total liabilities | 909,211 | 889,314 | 870,734 |
Stockholders' equity: | |||
Common stock, par value $0.20; Shares: Authorized 12,000,000 Issued 2,869,557 and Outstanding 2,848,679 (Issued 2,869,557 and Outstanding 2,850,382 as of 12/31/16) (Issued 2,869,557 and Outstanding 2,851,338 as of 9/30/16) | 574 | 574 | 574 |
Capital surplus | 4,413 | 4,403 | 4,398 |
Retained earnings | 98,815 | 95,475 | 94,353 |
Accumulated other comprehensive income (loss) net of tax | (2,232) | (4,885) | 1,221 |
Less: Treasury stock cost on 20,878 shares (19,175 shares as of 12/31/16 and 18,219 shares as of 9/30/16) | (703) | (628) | (593) |
Total stockholders' equity | 100,867 | 94,939 | 99,953 |
Total liabilities and stockholders' equity | $ 1,010,078 | $ 984,253 | $ 970,687 |
CONSOLIDATED BALANCE SHEETS (U3
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - $ / shares | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Statement of Financial Position [Abstract] | |||
Common stock, par value | $ 0.20 | $ 0.20 | $ 0.20 |
Common stock, authorized | 12,000,000 | 12,000,000 | 12,000,000 |
Common stock, issued | 2,869,557 | 2,869,557 | 2,869,557 |
Common stock, outstanding | 2,848,679 | 2,850,382 | 2,851,338 |
Treasury shares | 20,878 | 19,175 | 18,219 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Interest and dividend income: | ||||
Interest and fees on loans | $ 6,180 | $ 5,721 | $ 17,996 | $ 16,716 |
Interest on securities available for sale | ||||
Taxable | 997 | 581 | 2,818 | 729 |
Tax-exempt | 1,051 | 966 | 3,281 | 2,788 |
Interest on deposits at other banks | 111 | 38 | 257 | 94 |
Dividend income | 105 | 87 | 287 | 246 |
Total interest and dividend income | 8,444 | 7,393 | 24,639 | 20,573 |
Interest expense: | ||||
Interest on deposits | 489 | 509 | 1,438 | 1,568 |
Interest on borrowings | 265 | 242 | 749 | 751 |
Total interest expense | 754 | 751 | 2,187 | 2,319 |
Net interest income | 7,690 | 6,642 | 22,452 | 18,254 |
Provision for loan losses | 240 | 200 | 450 | 200 |
Net interest income after provision for loan losses | 7,450 | 6,442 | 22,002 | 18,054 |
Other income: | ||||
Trust and investment services income | 427 | 344 | 1,335 | 1,104 |
Service fees | 648 | 589 | 1,894 | 1,644 |
Commissions | 583 | 552 | 1,714 | 1,611 |
Gains on securities transactions, net | 170 | 464 | 417 | 2,130 |
Gains on sale of mortgages | 510 | 557 | 1,302 | 1,109 |
Earnings on bank-owned life insurance | 170 | 210 | 514 | 604 |
Other income | 114 | 112 | 370 | 364 |
Total other income | 2,622 | 2,828 | 7,546 | 8,566 |
Operating expenses: | ||||
Salaries and employee benefits | 4,840 | 4,219 | 14,370 | 12,230 |
Occupancy | 624 | 555 | 1,828 | 1,584 |
Equipment | 299 | 276 | 878 | 811 |
Advertising & marketing | 143 | 120 | 539 | 422 |
Computer software & data processing | 575 | 471 | 1,654 | 1,345 |
Shares tax | 215 | 227 | 644 | 680 |
Professional services | 377 | 380 | 1,260 | 1,207 |
Other expense | 574 | 500 | 1,707 | 1,663 |
Total operating expenses | 7,647 | 6,748 | 22,880 | 19,942 |
Income before income taxes | 2,425 | 2,522 | 6,668 | 6,678 |
Provision for federal income taxes | 391 | 445 | 935 | 1,045 |
Net income | $ 2,034 | $ 2,077 | $ 5,733 | $ 5,633 |
Earnings per share of common stock | $ 0.71 | $ 0.73 | $ 2.01 | $ 1.98 |
Cash dividends paid per share | $ 0.28 | $ 0.27 | $ 0.84 | $ 0.81 |
Weighted average shares outstanding | 2,848,504 | 2,851,939 | 2,849,849 | 2,851,184 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 2,034 | $ 2,077 | $ 5,733 | $ 5,633 |
Other comprehensive income (loss): | ||||
Unrealized gains (losses) arising during the period | (406) | (650) | 4,437 | 4,362 |
Income tax effect | 138 | 221 | (1,509) | (1,483) |
Total | (268) | (429) | 2,928 | 2,879 |
Gains recognized in earnings | (170) | (464) | (417) | (2,130) |
Income tax effect | 58 | 158 | 142 | 724 |
Total | (112) | (306) | (275) | (1,406) |
Other comprehensive income (loss), net of tax | (380) | (735) | 2,653 | 1,473 |
Comprehensive Income | $ 1,654 | $ 1,342 | $ 8,386 | $ 7,106 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Cash flows from operating activities: | ||
Net income | $ 5,733 | $ 5,633 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Net amortization of securities premiums and discounts and loan fees | 2,936 | 5,393 |
Decrease in interest receivable | 359 | 452 |
Increase (decrease) in interest payable | 7 | (41) |
Provision for loan losses | 450 | 200 |
Gains on securities transactions, net | (417) | (2,130) |
Gains on sale of mortgages | (1,302) | (1,109) |
Loans originated for sale | (34,064) | (36,127) |
Proceeds from sales of loans | 34,109 | 33,837 |
Earnings on bank-owned life insurance | (514) | (604) |
Depreciation of premises and equipment and amortization of software | 1,229 | 1,209 |
Net increase in deferred income tax | (159) | (314) |
Other assets and other liabilities, net | (71) | 29 |
Net cash provided by operating activities | 8,296 | 6,428 |
Securities available for sale: | ||
Proceeds from maturities, calls, and repayments | 14,855 | 51,739 |
Proceeds from sales | 60,404 | 142,095 |
Purchases | (86,007) | (203,307) |
Purchase of regulatory bank stock | (2,537) | (1,894) |
Redemptions of regulatory bank stock | 1,770 | 990 |
Net increase in loans | (12,829) | (45,803) |
Purchases of premises and equipment, net | (2,882) | (2,136) |
Purchase of computer software | (102) | (295) |
Net cash used for investing activities | (27,328) | (58,611) |
Cash flows from financing activities: | ||
Net increase in demand, NOW, and savings accounts | 30,680 | 68,433 |
Net decrease in time deposits | (9,346) | (15,835) |
Net increase (decrease) in short-term borrowings | (8,329) | 3,317 |
Proceeds from long-term debt | 17,093 | 17,163 |
Repayments of long-term debt | (10,000) | (13,000) |
Dividends paid | (2,393) | (2,309) |
Proceeds from sale of treasury stock | 403 | 368 |
Treasury stock purchased | (468) | (314) |
Net cash provided by financing activities | 17,640 | 57,823 |
Increase (decrease) in cash and cash equivalents | (1,392) | 5,640 |
Cash and cash equivalents at beginning of period | 45,632 | 44,227 |
Cash and cash equivalents at end of period | 44,240 | 49,867 |
Supplemental disclosures of cash flow information: | ||
Interest paid | 2,180 | 2,360 |
Income taxes paid | 1,175 | 1,340 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Fair value adjustments for securities available for sale | $ (4,020) | $ (2,231) |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | 1. Basis of Presentation The accompanying unaudited consolidated interim financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and to general practices within the banking industry. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all significant adjustments considered necessary for fair presentation have been included. Certain items previously reported have been reclassified to conform to the current period’s reporting format. Such reclassifications did not affect net income or stockholders’ equity. ENB Financial Corp (“the Corporation”) is the bank holding company for its wholly-owned subsidiary Ephrata National Bank (the “Bank”). This Form 10-Q, for the third quarter of 2017, is reporting on the results of operations and financial condition of ENB Financial Corp. Operating results for the three and nine months ended September 30, 2017, are not necessarily indicative of the results that may be expected for the year ended December 31, 2017. For further information, refer to the consolidated financial statements and footnotes thereto included in ENB Financial Corp’s Annual Report on Form 10-K for the year ended December 31, 2016. |
Securities Available for Sale
Securities Available for Sale | 9 Months Ended |
Sep. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities Available for Sale | 2. Securities Available for Sale The amortized cost, gross unrealized gains and losses, and fair value of securities held at September 30, 2017, and December 31, 2016, are as follows: Gross Gross (DOLLARS IN THOUSANDS) Amortized Unrealized Unrealized Fair Cost Gains Losses Value $ $ $ $ September 30, 2017 U.S. government agencies 29,107 3 (463 ) 28,647 U.S. agency mortgage-backed securities 54,181 36 (634 ) 53,583 U.S. agency collateralized mortgage obligations 54,503 117 (582 ) 54,038 Corporate bonds 57,384 64 (312 ) 57,136 Obligations of states and political subdivisions 123,344 505 (2,176 ) 121,673 Total debt securities 318,519 725 (4,167 ) 315,077 Marketable equity securities 5,557 61 — 5,618 Total securities available for sale 324,076 786 (4,167 ) 320,695 December 31, 2016 U.S. government agencies 33,124 — (863 ) 32,261 U.S. agency mortgage-backed securities 56,826 22 (979 ) 55,869 U.S. agency collateralized mortgage obligations 38,737 41 (842 ) 37,936 Corporate bonds 52,928 8 (845 ) 52,091 Obligations of states and political subdivisions 128,428 346 (4,344 ) 124,430 Total debt securities 310,043 417 (7,873 ) 302,587 Marketable equity securities 5,469 55 — 5,524 Total securities available for sale 315,512 472 (7,873 ) 308,111 The amortized cost and fair value of debt securities available for sale at September 30, 2017, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities due to certain call or prepayment provisions. CONTRACTUAL MATURITY OF DEBT SECURITIES (DOLLARS IN THOUSANDS) Amortized Cost Fair Value $ $ Due in one year or less 17,425 17,322 Due after one year through five years 127,834 126,947 Due after five years through ten years 54,502 53,703 Due after ten years 118,758 117,105 Total debt securities 318,519 315,077 Securities available for sale with a par value of $63,286,000 and $63,726,000 at September 30, 2017, and December 31, 2016, respectively, were pledged or restricted for public funds, borrowings, or other purposes as required by law. The fair value of these pledged securities was $65,495,000 at September 30, 2017, and $65,770,000 at December 31, 2016. Proceeds from active sales of securities available for sale, along with the associated gross realized gains and gross realized losses, are shown below. Realized gains and losses are computed on the basis of specific identification. PROCEEDS FROM SALES OF SECURITIES AVAILABLE FOR SALE (DOLLARS IN THOUSANDS) Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 $ $ $ $ Proceeds from sales 20,319 38,592 60,404 142,095 Gross realized gains 243 468 631 2,186 Gross realized losses 73 4 214 56 Management evaluates all of the Corporation’s securities for other than temporary impairment (OTTI) on a periodic basis. No securities in the portfolio had other-than-temporary impairment recorded in the first nine months of 2017 or 2016. Information pertaining to securities with gross unrealized losses at September 30, 2017, and December 31, 2016, aggregated by investment category and length of time that individual securities have been in a continuous loss position follows: TEMPORARY IMPAIRMENTS OF SECURITIES (DOLLARS IN THOUSANDS) Less than 12 months More than 12 months Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses $ $ $ $ $ $ As of September 30, 2017 U.S. government agencies 10,925 (111 ) 15,718 (352 ) 26,643 (463 ) U.S. agency mortgage-backed securities 29,092 (267 ) 15,140 (367 ) 44,232 (634 ) U.S. agency collateralized mortgage obligations 23,804 (277 ) 11,438 (305 ) 35,242 (582 ) Corporate bonds 17,539 (69 ) 18,513 (243 ) 36,052 (312 ) Obligations of states & political subdivisions 35,033 (595 ) 50,271 (1,581 ) 85,304 (2,176 ) Total debt securities 116,393 (1,319 ) 111,080 (2,848 ) 227,473 (4,167 ) Marketable equity securities — — — — — — Total temporarily impaired securities 116,393 (1,319 ) 111,080 (2,848 ) 227,473 (4,167 ) As of December 31, 2016 U.S. government agencies 32,261 (863 ) — — 32,261 (863 ) U.S. agency mortgage-backed securities 47,418 (856 ) 3,989 (123 ) 51,407 (979 ) U.S. agency collateralized mortgage obligations 33,206 (842 ) — — 33,206 (842 ) Corporate bonds 45,335 (830 ) 2,002 (15 ) 47,337 (845 ) Obligations of states & political subdivisions 101,229 (4,063 ) 8,041 (281 ) 109,270 (4,344 ) Total debt securities 259,449 (7,454 ) 14,032 (419 ) 273,481 (7,873 ) Marketable equity securities — — — — — — Total temporarily impaired securities 259,449 (7,454 ) 14,032 (419 ) 273,481 (7,873 ) In the debt security portfolio there were 162 positions that were carrying unrealized losses as of September 30, 2017. There were no instruments considered to be other-than-temporarily impaired at September 30, 2017. The Corporation evaluates both equity and fixed maturity positions for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic and market concerns warrant such evaluation. U.S. generally accepted accounting principles provide for the bifurcation of OTTI into two categories: (a) the amount of the total OTTI related to a decrease in cash flows expected to be collected from the debt security (the credit loss), which is recognized in earnings, and (b) the amount of total OTTI related to all other factors, which is recognized, net of taxes, as a component of accumulated other comprehensive income. As part of management’s normal monthly securities review, instruments are examined for known or expected calls that would impact the value of the bonds by causing accelerated amortization. If a security was purchased at a high premium, or dollar price above par, the remaining premium has to be amortized on a straight line basis to the known call date. Calls can occur in a majority of the securities the Corporation purchases but they are dependent on the structure of the instrument, and can also be dependent on certain conditions. On March 15, 2016, management was made aware of a regulatory call provision on a CoBank bond held by the Corporation. CoBank is a sub-U.S. agency and cooperative of the Farm Credit Association (FCA), a U.S. government sponsored enterprise (GSE). The bond is classified as a corporate bond for disclosure purposes. The regulatory call was not anticipated and the high coupon bond was purchased at a high premium. The call required accelerated amortization to the April 15, 2016 call date, resulting in an additional $479,000 of amortization through September 30, 2016. This regulatory call specifically involved the CoBank issue maturing on April 16, 2018. On April 26, 2016, management became aware of an AgriBank bond call. AgriBank is another cooperative of the FCA. The Corporation owned $6.4 million par of the AgriBank issue maturing on July 15, 2019, with a book value of $6.6 million as of June 30, 2016. AgriBank went public with this call, stating they intended to call the bonds on July 15, 2016. As a result of this par call notice, management accelerated the amortization of the remaining premium on the AgriBank bond, beginning in April and running until the call date of July 15, 2016. As of September 30, 2016, $1,202,000 of accelerated amortization was recorded on this bond. After July 15, 2016, the Corporation no longer held any sub-U.S. Agency debt of FCA or any other U.S. GSE. In both the CoBank and AgriBank matters investors, including the Corporation, have contested the ability of both CoBank and AgriBank to conduct these regulatory calls. Presently, the Corporation is listed on a complaint filed in the U.S District Court for the Southern District of New York against CoBank by over 30 previous holders of CoBank bonds. The complaint has gone through initial mediation phases and the discovery stage which concluded on September 29, 2017. The parties are presently engaged in expert discovery, with the matter proceeding toward trial. Management anticipates going through a similar process with AgriBank, however that litigation is taking the form of a class action lawsuit with a plaintiff representing the class. The Corporation, as a member of the class, initially waited for the court to issue a ruling on AgriBank’s motion to dismiss. The District Court Judge issued an opinion in mid-September 2017, denying AgriBank’s motion to dismiss. The District Court recently entered a discovery schedule that establishes mid-May 2018 as the deadline to complete fact discovery, and mid-August 2018 as the deadline for expert discovery. In both litigation efforts management is contesting the process that was undertaken to exercise these regulatory calls. Management cannot make any prediction or draw any conclusion as to the outcome of any negotiations and/or litigation in connection with these matters. |
Loans and Allowance for Loan Lo
Loans and Allowance for Loan Losses | 9 Months Ended |
Sep. 30, 2017 | |
Receivables [Abstract] | |
Loans and Allowance for Loan Losses | 3. Loans and Allowance for Loan Losses The following table presents the Corporation’s loan portfolio by category of loans as of September 30, 2017, and December 31, 2016: LOAN PORTFOLIO (DOLLARS IN THOUSANDS) September 30, December 31, 2017 2016 $ $ Commercial real estate Commercial mortgages 90,468 86,434 Agriculture mortgages 150,269 163,753 Construction 18,762 24,880 Total commercial real estate 259,499 275,067 Consumer real estate (a) 1-4 family residential mortgages 168,984 150,253 Home equity loans 11,457 10,391 Home equity lines of credit 57,991 53,127 Total consumer real estate 238,432 213,771 Commercial and industrial Commercial and industrial 41,724 42,471 Tax-free loans 19,632 13,091 Agriculture loans 18,487 21,630 Total commercial and industrial 79,843 77,192 Consumer 5,166 4,537 Gross loans prior to deferred fees 582,940 570,567 Less: Deferred loan costs, net 1,137 1,000 Allowance for loan losses (8,028 ) (7,562 ) Total net loans 576,049 564,005 (a) Real estate loans serviced for others, which are not included in the Consolidated Balance Sheets, totaled $90,123,000 and $66,767,000 as of September 30, 2017, and December 31, 2016, respectively. The Corporation grades commercial credits differently than consumer credits. The following tables represent all of the Corporation’s commercial credit exposures by internally assigned grades as of September 30, 2017 and December 31, 2016. The grading analysis estimates the capability of the borrower to repay the contractual obligations under the loan agreements as scheduled. The Corporation's internal commercial credit risk grading system is based on experiences with similarly graded loans. The Corporation's internally assigned grades for commercial credits are as follows: · Pass – loans which are protected by the current net worth and paying capacity of the obligor or by the value of the underlying collateral. · Special Mention – loans where a potential weakness or risk exists, which could cause a more serious problem if not corrected. · Substandard – loans that have a well-defined weakness based on objective evidence and characterized by the distinct possibility that the Corporation will sustain some loss if the deficiencies are not corrected. · Doubtful – loans classified as doubtful have all the weaknesses inherent in a substandard asset. In addition, these weaknesses make collection or liquidation in full highly questionable and improbable, based on existing circumstances. · Loss – loans classified as a loss are considered uncollectible, or of such value that continuance as an asset is not warranted. COMMERCIAL CREDIT EXPOSURE CREDIT RISK PROFILE BY INTERNALLY ASSIGNED GRADE (DOLLARS IN THOUSANDS) September 30, 2017 Commercial Agriculture Construction Commercial Tax-free Agriculture Total $ $ $ $ $ $ $ Grade: Pass 84,614 139,458 17,762 37,900 19,422 17,490 316,646 Special Mention 373 5,095 — 795 210 229 6,702 Substandard 5,481 5,716 1,000 3,029 — 768 15,994 Doubtful — — — — — — — Loss — — — — — — — Total 90,468 150,269 18,762 41,724 19,632 18,487 339,342 December 31, 2016 Commercial Agriculture Construction Commercial Tax-free Agriculture Total $ $ $ $ $ $ $ Grade: Pass 78,367 155,820 23,880 36,887 13,091 20,245 328,290 Special Mention 4,860 5,360 — 1,955 — 653 12,828 Substandard 3,207 2,573 1,000 3,629 — 732 11,141 Doubtful — — — — — — — Loss — — — — — — — Total 86,434 163,753 24,880 42,471 13,091 21,630 352,259 For consumer loans, the Corporation evaluates credit quality based on whether the loan is considered performing or non-performing. Non-performing loans consist of those loans greater than 90 days delinquent and nonaccrual loans. The following tables present the balances of consumer loans by classes of the loan portfolio based on payment performance as of September 30, 2017 and December 31, 2016: CONSUMER CREDIT EXPOSURE CREDIT RISK PROFILE BY PAYMENT PERFORMANCE (DOLLARS IN THOUSANDS) September 30, 2017 1-4 Family Home Equity Home Equity Consumer Total Payment performance: $ $ $ $ $ Performing 168,863 11,457 57,991 5,160 243,471 Non-performing 121 — — 6 127 Total 168,984 11,457 57,991 5,166 243,598 December 31, 2016 1-4 Family Home Equity Home Equity Consumer Total Payment performance: $ $ $ $ $ Performing 149,873 10,388 53,127 4,536 217,924 Non-performing 380 3 — 1 384 Total 150,253 10,391 53,127 4,537 218,308 The following tables present an age analysis of the Corporation’s past due loans, segregated by loan portfolio class, as of September 30, 2017 and December 31, 2016: AGING OF LOANS RECEIVABLE (DOLLARS IN THOUSANDS) Loans Greater Receivable > 30-59 Days 60-89 Days than 90 Total Past Total Loans 90 Days and September 30, 2017 Past Due Past Due Days Due Current Receivable Accruing $ $ $ $ $ $ $ Commercial real estate Commercial mortgages 248 110 418 776 89,692 90,468 — Agriculture mortgages — — — — 150,269 150,269 — Construction — — — — 18,762 18,762 — Consumer real estate 1-4 family residential mortgages 1,310 124 121 1,555 167,429 168,984 57 Home equity loans 9 — — 9 11,448 11,457 — Home equity lines of credit — 30 — 30 57,961 57,991 — Commercial and industrial Commercial and industrial — — 266 266 41,458 41,724 191 Tax-free loans — — — — 19,632 19,632 — Agriculture loans — — — — 18,487 18,487 — Consumer 9 8 6 23 5,143 5,166 6 Total 1,576 272 811 2,659 580,281 582,940 254 Loans Greater Receivable > 30-59 Days 60-89 Days than 90 Total Past Total Loans 90 Days and December 31, 2016 Past Due Past Due Days Due Current Receivable Accruing $ $ $ $ $ $ $ Commercial real estate Commercial mortgages — 419 417 836 85,598 86,434 — Agriculture mortgages 165 — — 165 163,588 163,753 — Construction — — — — 24,880 24,880 — Consumer real estate 1-4 family residential mortgages 565 662 380 1,607 148,646 150,253 380 Home equity loans 178 — 3 181 10,210 10,391 3 Home equity lines of credit — — — — 53,127 53,127 — Commercial and industrial Commercial and industrial 266 — 75 341 42,130 42,471 — Tax-free loans — — — — 13,091 13,091 — Agriculture loans — — — — 21,630 21,630 — Consumer 16 4 1 21 4,516 4,537 1 Total 1,190 1,085 876 3,151 567,416 570,567 384 The following table presents nonaccrual loans by classes of the loan portfolio as of September 30, 2017 and December 31, 2016: NONACCRUAL LOANS BY LOAN CLASS (DOLLARS IN THOUSANDS) September 30, December 31, 2017 2016 $ $ Commercial real estate Commercial mortgages 528 646 Agriculture mortgages — — Construction — — Consumer real estate 1-4 family residential mortgages 64 — Home equity loans — — Home equity lines of credit — — Commercial and industrial Commercial and industrial 75 75 Tax-free loans — — Agriculture loans — — Consumer 20 — Total 687 721 As of September 30, 2017 and December 31, 2016, all of the Corporation’s commercial loans on nonaccrual status were also considered impaired. Information with respect to impaired loans for the three and nine months ended September 30, 2017 and September 30, 2016, is as follows: IMPAIRED LOANS (DOLLARS IN THOUSANDS) Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 $ $ $ $ Average recorded balance of impaired loans 2,152 1,830 2,394 1,894 Interest income recognized on impaired loans 17 14 49 42 During the nine months ended September 30, 2017 there was one loan modification made causing a loan to be considered a troubled debt restructuring (TDR). A TDR is a loan where management has granted a concession to a borrower that is experiencing financial difficulty. A concession is generally defined as more favorable payment or credit terms granted to a borrower in an effort to improve the likelihood of the lender collecting principal in its entirety. Concessions usually are in the form of interest only for a period of time, or a lower interest rate offered in an effort to enable the borrower to continue to make normally scheduled payments. The loan classified as a TDR during the nine months ended September 30, 2017, was an agricultural loan with a principal balance at September 30, 2017, of $263,000. The concession granted to the borrower was an interest-only period initially running for three months to March 31, 2017. However, in April 2017, that deferral period was extended for an additional three months, causing management to classify the loan as a TDR. The concession period ended June 30, 2017. Subsequent to June 30, 2017, the borrower resumed normal principal and interest payments as of July 2017. There were no loans classified as a TDR during the nine months ended September 30, 2016. The following tables summarize information in regards to impaired loans by loan portfolio class as of September 30, 2017, December 31, 2016, and September 30, 2016: IMPAIRED LOAN ANALYSIS (DOLLARS IN THOUSANDS) September 30, 2017 Recorded Unpaid Related Average Interest $ $ $ $ $ With no related allowance recorded: Commercial real estate Commercial mortgages 195 292 — 281 4 Agriculture mortgages 1,193 1,193 — 1,220 40 Construction — — — — — Total commercial real estate 1,388 1,485 — 1,501 44 Commercial and industrial Commercial and industrial 75 75 — 75 — Tax-free loans — — — — — Agriculture loans 263 263 — 400 5 Total commercial and industrial 338 338 — 475 5 Total with no related allowance 1,726 1,823 — 1,976 49 With an allowance recorded: Commercial real estate Commercial mortgages 418 418 98 418 — Agriculture mortgages — — — — — Construction — — — — — Total commercial real estate 418 418 98 418 — Commercial and industrial Commercial and industrial — — — — — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial — — — — — Total with a related allowance 418 418 98 418 — Total by loan class: Commercial real estate Commercial mortgages 613 710 98 699 4 Agriculture mortgages 1,193 1,193 — 1,220 40 Construction — — — — — Total commercial real estate 1,806 1,903 98 1,919 44 Commercial and industrial Commercial and industrial 75 75 — 75 — Tax-free loans — — — — — Agriculture loans 263 263 — 400 5 Total commercial and industrial 338 338 — 475 5 Total 2,144 2,241 98 2,394 49 IMPAIRED LOAN ANALYSIS (DOLLARS IN THOUSANDS) December 31, 2016 Recorded Unpaid Related Average Interest $ $ $ $ $ With no related allowance recorded: Commercial real estate Commercial mortgages 646 743 — 768 2 Agriculture mortgages 1,248 1,248 — 1,285 55 Construction — — — — — Total commercial real estate 1,894 1,991 — 2,053 57 Commercial and industrial Commercial and industrial 75 75 — 76 — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial 75 75 — 76 — Total with no related allowance 1,969 2,066 — 2,129 57 With an allowance recorded: Commercial real estate Commercial mortgages — — — — — Agriculture mortgages — — — — — Construction — — — — — Total commercial real estate — — — — — Commercial and industrial Commercial and industrial — — — — — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial — — — — — Total with a related allowance — — — — — Total by loan class: Commercial real estate Commercial mortgages 646 743 — 768 2 Agriculture mortgages 1,248 1,248 — 1,285 55 Construction — — — — — Total commercial real estate 1,894 1,991 — 2,053 57 Commercial and industrial Commercial and industrial 75 75 — 76 — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial 75 75 — 76 — Total 1,969 2,066 — 2,129 57 IMPAIRED LOAN ANALYSIS (DOLLARS IN THOUSANDS) September 30, 2016 Recorded Unpaid Related Average Interest $ $ $ $ $ With no related allowance recorded: Commercial real estate Commercial mortgages 730 827 — 561 — Agriculture mortgages 1,267 1,267 — 1,295 42 Construction — — — — — Total commercial real estate 1,997 2,094 — 1,856 42 Commercial and industrial Commercial and industrial 75 75 — 38 — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial 75 75 — 38 — Total with no related allowance 2,072 2,169 — 1,894 42 With an allowance recorded: Commercial real estate Commercial mortgages — — — — — Agriculture mortgages — — — — — Construction — — — — — Total commercial real estate — — — — — Commercial and industrial Commercial and industrial — — — — — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial — — — — — Total with a related allowance — — — — — Total by loan class: Commercial real estate Commercial mortgages 730 827 — 561 — Agriculture mortgages 1,267 1,267 — 1,295 42 Construction — — — — — Total commercial real estate 1,997 2,094 — 1,856 42 Commercial and industrial Commercial and industrial 75 75 — 38 — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial 75 75 — 38 — Total 2,072 2,169 — 1,894 42 The following table details activity in the allowance for loan losses by portfolio segment for the nine months ended September 30, 2017: ALLOWANCE FOR CREDIT LOSSES (DOLLARS IN THOUSANDS) Commercial Consumer Commercial Consumer Unallocated Total $ $ $ $ $ $ Allowance for credit losses: Beginning balance - December 31, 2016 3,795 1,652 1,552 82 481 7,562 Charge-offs — — (7 ) (4 ) — (11 ) Recoveries — 20 9 2 — 31 Provision (275 ) 163 95 3 104 90 Balance - March 31, 2017 3,520 1,835 1,649 83 585 7,672 Charge-offs — — — (3 ) — (3 ) Recoveries — — 10 3 — 13 Provision 208 83 (42 ) 36 (165 ) 120 Ending Balance - June 30, 2017 3,728 1,918 1,617 119 420 7,802 Charge-offs — — (7 ) (9 ) — (16 ) Recoveries — — 2 — — 2 Provision 31 (16 ) 201 (18 ) 42 240 Ending Balance - September 30, 2017 3,759 1,902 1,813 92 462 8,028 During the nine months ended September 30, 2017, provision expenses were recorded for the consumer real estate, commercial and industrial, and consumer loan segments, with a credit provision recorded in the commercial real estate loan category. The decrease in the amount of allowance for loan losses allocated to commercial real estate was primarily due to a material drop in commercial real estate loans over the first nine months of 2017. As of December 31, 2016, 50.2% of the Corporation’s allowance for loan losses was allocated to commercial real estate loans, which consisted of 48.2% of all loans. As of September 30, 2017, 46.8 % of the allowance was allocated to commercial real estate loans which consisted of 44.5% of total loans. Delinquency rates among the Corporation’s loan pools remain very low. Additionally, there have been no charge-offs for three of our loan pools over the past three years. However, classified loans experienced a large increase in the first nine months of 2017. The Corporation’s classified loans were relatively low and stable throughout 2016 but in the first quarter of 2017 increased by $7.4 million, from $14.2 million to $21.6 million. Two large loan relationships, one consisting of business loans and mortgages, and the other agriculture mortgages were classified as substandard in the first quarter. In the second quarter of 2017, classified loans increased another $4.0 million, to $25.6 million. This increase was primarily caused by four loan customers being classified as substandard, two being commercial and two agricultural-related. However, in the third quarter of 2017, classified loans decreased by $4.6 million, bringing the outstanding balance to $21.0 million. Currently, the agricultural lending sector remains under stress due to weak milk and egg prices impacting farmers. Outside of the commercial loan relationships noted above, the health of the Corporation’s commercial real estate and commercial and industrial borrowers is generally stable with no material trends related to certain types of industries. Commercial borrowers that have exposure to agriculture are subject to more financial stress in the current environment. Qualitative factors regarding trends in the loan portfolio as well as national and local economic conditions were increased for several loan pools in the third quarter of 2017. The increases in classified loans along with higher qualitative factors, caused management to record provision expense of $450,000 through September 30, 2017 despite the continuation of very low levels of delinquencies and charge-offs. T ALLOWANCE FOR CREDIT LOSSES (DOLLARS IN THOUSANDS) Commercial Consumer Commercial Consumer Unallocated Total $ $ $ $ $ $ Allowance for credit losses: Beginning balance - December 31, 2015 3,831 1,403 1,314 62 468 7,078 Charge-offs — — (4 ) (12 ) — (16 ) Recoveries — 10 16 2 — 28 Provision (303 ) (45 ) 47 15 236 (50 ) Balance - March 31, 2016 3,528 1,368 1,373 67 704 7,040 Charge-offs — — — (2 ) — (2 ) Recoveries — — 159 — — 159 Provision 255 105 (271 ) 6 (45 ) 50 Ending Balance - June 30, 2016 3,783 1,473 1,261 71 659 7,247 Charge-offs — — (19 ) (10 ) — (29 ) Recoveries — 1 9 7 — 17 Provision 95 95 101 20 (111 ) 200 Ending Balance - September 30, 2016 3,878 1,569 1,352 88 548 7,435 During the nine months ended September 30, 2016, a credit provision was recorded for the commercial and industrial segment with provision expense recorded in all other loan categories. For the entire portfolio, $200,000 of additional provision expense was needed for the first nine months of 2016. Delinquency rates among most loan pools remained very low with the total amount of delinquent loans lower on September 30, 2016 than on December 31, 2015, even with larger loan balances. The Corporation received $157,000 more recoveries than charge-offs for the nine months ended September 30, 2016. These favorable results acted to offset higher levels of classified loans and non-accruals resulting in $200,000 of additional provision being sufficient to cover the growth in the loan portfolio. Changes in qualitative factors were minimal during the third quarter and the provision expense recorded was mostly to account for significant loan growth during the year-to-date period. The following tables present the balance in the allowance for credit losses and the recorded investment in loans receivable by portfolio segment based on impairment method as of September 30, 2017 and December 31, 2016: ALLOWANCE FOR CREDIT LOSSES AND RECORDED INVESTMENT IN LOANS RECEIVABLE (DOLLARS IN THOUSANDS) As of September 30, 2017: Commercial Consumer Commercial Consumer Unallocated Total $ $ $ $ $ $ Allowance for credit losses: Ending balance: individually evaluated for impairment 98 — — — — 98 Ending balance: collectively evaluated for impairment 3,661 1,902 1,813 92 462 7,930 Loans receivable: Ending balance 259,499 238,432 79,843 5,166 582,940 Ending balance: individually evaluated for impairment 1,806 — 338 — 2,144 Ending balance: collectively evaluated for impairment 257,693 238,432 79,505 5,166 580,796 As of December 31, 2016: Commercial Consumer Commercial Consumer Unallocated Total $ $ $ $ $ $ Allowance for credit losses: Ending balance: individually evaluated for impairment — — — — — — Ending balance: collectively evaluated for impairment 3,795 1,652 1,552 82 481 7,562 Loans receivable: Ending balance 275,067 213,771 77,192 4,537 570,567 Ending balance: individually evaluated for impairment 1,894 — 75 — 1,969 Ending balance: collectively evaluated for impairment 273,173 213,771 77,117 4,537 568,598 |
Fair Value Presentation
Fair Value Presentation | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Presentation | 4. Fair Value Presentation U.S. generally accepted accounting principles establish a hierarchal disclosure framework associated with the level of observable pricing utilized in measuring assets and liabilities at fair value. The three broad levels defined by the hierarchy are as follows: Level I: Quoted prices are available in active markets for identical assets or liabilities as of the reported date. Level II: Pricing inputs are other than the quoted prices in active markets, which are either directly or indirectly observable as of the reported date. The nature of these assets and liabilities includes items for which quoted prices are available but traded less frequently and items that are fair-valued using other financial instruments, the parameters of which can be directly observed. Level III: Assets and liabilities that have little to no observable pricing as of the reported date. These items do not have two-way markets and are measured using management’s best estimate of fair value, where the inputs into the determination of fair value require significant management judgment or estimation. The following tables present the assets reported on the consolidated balance sheets at their fair value as of September 30, 2017, and December 31, 2016, by level within the fair value hierarchy. As required by U.S. generally accepted accounting principles, financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Fair Value Measurements: ASSETS MEASURED ON A RECURRING BASIS (DOLLARS IN THOUSANDS) September 30, 2017 Level I Level II Level III Total $ $ $ $ U.S. government agencies — 28,647 — 28,647 U.S. agency mortgage-backed securities — 53,583 — 53,583 U.S. agency collateralized mortgage obligations — 54,038 — 54,038 Corporate bonds — 57,136 — 57,136 Obligations of states & political subdivisions — 121,673 — 121,673 Marketable equity securities 5,618 — — 5,618 Total securities 5,618 315,077 — 320,695 On September 30, 2017, the Corporation held no securities valued using level III inputs. All of the Corporation’s debt instruments were valued using level II inputs, where quoted prices are available and observable, but not necessarily quotes on identical securities traded in active markets on a daily basis. The Corporation’s CRA fund investments and bank stocks are fair valued utilizing level I inputs because the funds have their own quoted prices in an active market. As of September 30, 2017, the CRA fund investments had a $5,250,000 book and fair market value and the bank stock portfolio had a book value of $307,000, and fair market value of $368,000. Fair Value Measurements: ASSETS MEASURED ON A RECURRING BASIS (DOLLARS IN THOUSANDS) December 31, 2016 Level I Level II Level III Total $ $ $ $ U.S. government agencies — 32,261 — 32,261 U.S. agency mortgage-backed securities — 55,869 — 55,869 U.S. agency collateralized mortgage obligations — 37,936 — 37,936 Corporate bonds — 52,091 — 52,091 Obligations of states & political subdivisions — 124,430 — 124,430 Marketable equity securities 5,524 — — 5,524 Total securities 5,524 302,587 — 308,111 On December 31, 2016, the Corporation held no securities valued using level III inputs. All of the Corporation’s debt instruments were valued using level II inputs, where quoted prices are available and observable but not necessarily quotes on identical securities traded in active markets on a daily basis. As of December 31, 2016, the Corporation’s CRA fund investments had a book and fair market value of $5,250,000 and the bank stock portfolio had a book value of $219,000 and a market value of $274,000 utilizing level I pricing. Financial instruments are considered level III when their values are determined using pricing models, discounted cash flow methodologies, or similar techniques, and at least one significant model assumption or input is unobservable. In addition to these unobservable inputs, the valuation models for level III financial instruments typically also rely on a number of inputs that are readily observable either directly or indirectly. Level III financial instruments also include those for which the determination of fair value requires significant management judgment or estimation. There were no level III securities as of September 30, 2017 or December 31, 2016. The following tables present the assets measured on a nonrecurring basis on the Consolidated Balance Sheets at their fair value as of September 30, 2017 and December 31, 2016, by level within the fair value hierarchy: ASSETS MEASURED ON A NONRECURRING BASIS ( Dollars in Thousands September 30, 2017 Level I Level II Level III Total Assets: Impaired Loans — — 2,046 2,046 Total — — 2,046 2,046 December 31, 2016 Level I Level II Level III Total Assets: Impaired Loans — — 1,969 1,969 Total — — 1,969 1,969 The Corporation had a total of $2,144,000 of impaired loans as of September 30, 2017, with $98,000 of specific allocation against these loans and $1,969,000 of impaired loans as of December 31, 2016, with no specific allocation against these loans. The value of impaired loans is generally determined through independent appraisals of the underlying collateral. The Corporation had no OREO (Other Real Estate Owned) assets as of December 31, 2016 and September 30, 2017. The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis for which the Corporation has utilized level III inputs to determine fair value: QUANTITATIVE INFORMATION ABOUT LEVEL III FAIR VALUE MEASUREMENTS (DOLLARS IN THOUSANDS) September 30, 2017 Fair Value Valuation Unobservable Range Estimate Techniques Input (Weighted Avg) Impaired loans 2,046 Appraisal of Appraisal -20% (-20%) collateral (1) adjustments (2) Liquidation -10% (-10%) expenses (2) December 31, 2016 Fair Value Valuation Unobservable Range Estimate Techniques Input (Weighted Avg) Impaired loans 1,969 Appraisal of Appraisal -20% (-20%) collateral (1) adjustments (2) Liquidation -10% (-10%) expenses (2) (1) Fair value is generally determined through independent appraisals of the underlying collateral, which generally include various level III inputs which are not identifiable. (2) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. |
Interim Disclosures about Fair
Interim Disclosures about Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | |
Interim Disclosures about Fair Value of Financial Instruments | 5. Interim Disclosures about Fair Value of Financial Instruments The following methods and assumptions were used to estimate the fair value of each class of financial instrument: Cash and Cash Equivalents For these short-term instruments, the carrying amount is a reasonable estimate of fair value. Securities Available for Sale Management utilizes quoted market pricing for the fair value of the Corporation's securities that are available for sale, if available. If a quoted market rate is not available, fair value is estimated using quoted market prices for similar securities. Regulatory Stock Regulatory stock is valued at a stable dollar price, which is the price used to purchase or liquidate shares; therefore, the carrying amount is a reasonable estimate of fair value. Loans Held for Sale Loans held for sale are individual loans for which the Corporation has a firm sales commitment; therefore, the carrying value is a reasonable estimate of the fair value. Loans The fair value of fixed and variable rate loans is estimated by discounting back the scheduled future cash flows of the particular loan product, using the market interest rates of comparable loan products in the Corporation’s greater market area, with the same general structure, comparable credit ratings, and for the same remaining maturities. Mortgage Servicing Assets The fair value of mortgage servicing assets is based on the present value of estimated future cash flows and estimates the price at which a portfolio would prospectively be sold. Accrued Interest Receivable The carrying amount of accrued interest receivable is a reasonable estimate of fair value. Bank Owned Life Insurance Fair value is equal to the cash surrender value of the life insurance policies. Deposits The fair value of non-interest bearing demand deposit accounts and interest bearing demand, savings, and money market deposit accounts is based on the amount payable on demand at the reporting date. The fair value of fixed-maturity time deposits is estimated by discounting back the expected cash flows of the time deposit using market interest rates from the Corporation’s greater market area currently offered for similar time deposits with similar remaining maturities. Borrowings The carrying amount of short-term borrowing is a reasonable estimate of fair value. The fair value of long-term borrowing is estimated by comparing the rate currently offered for the same type of borrowing instrument with a matching remaining term. Accrued Interest Payable The carrying amount of accrued interest payable is a reasonable estimate of fair value. Firm Commitments to Extend Credit, Lines of Credit, and Open Letters of Credit These financial instruments are generally not subject to sale and estimated fair values are not readily available. The carrying value, represented by the net deferred fee arising from the unrecognized commitment or letter of credit, and the fair value, determined by discounting the remaining contractual fee over the term of the commitment, using fees currently charged to enter into similar agreements with similar credit risk, is not considered material for disclosure purposes. The contractual amounts of unfunded commitments are presented in Note 6. Fair Value of Financial Instruments The carrying amounts and estimated fair values of the Corporation's financial instruments at September 30, 2017 and December 31, 2016, are summarized as follows: FAIR VALUE OF FINANCIAL INSTRUMENTS (DOLLARS IN THOUSANDS) September 30, 2017 Quoted Prices in Active Markets Significant Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs Amount Fair Value (Level 1) (Level II) (Level III) $ $ $ $ $ Financial Assets: Cash and cash equivalents 44,240 44,240 44,240 — — Securities available for sale 320,695 320,695 5,618 315,077 — Regulatory stock 6,139 6,139 6,139 — — Loans held for sale 3,809 3,809 3,809 — — Loans, net of allowance 576,049 573,681 — — 573,681 Mortgage servicing assets 592 678 — — 678 Accrued interest receivable 3,391 3,391 3,391 — — Bank owned life insurance 25,161 25,161 25,161 — — Financial Liabilities: Demand deposits 301,978 301,978 301,978 — — Interest-bearing demand deposits 19,279 19,279 19,279 — — NOW accounts 78,061 78,061 78,061 — — Money market deposit accounts 99,235 99,235 99,235 — — Savings accounts 188,015 188,015 188,015 — — Time deposits 152,257 153,163 — — 153,163 Total deposits 838,825 839,731 686,568 — 153,163 Long-term debt 68,350 68,429 — — 68,429 Accrued interest payable 391 391 391 — — FAIR VALUE OF FINANCIAL INSTRUMENTS (DOLLARS IN THOUSANDS) December 31, 2016 Quoted Prices in Active Markets Significant Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs Amount Fair Value (Level 1) (Level II) (Level III) $ $ $ $ $ Financial Assets: Cash and cash equivalents 45,632 45,632 45,632 — — Securities available for sale 308,111 308,111 5,524 302,587 — Regulatory stock 5,372 5,372 5,372 — — Loans held for sale 2,552 2,552 2,552 — — Loans, net of allowance 564,005 563,418 — — 563,418 Mortgage servicing assets 410 531 — — 531 Accrued interest receivable 3,750 3,750 3,750 — — Bank owned life insurance 24,687 24,687 24,687 — — Financial Liabilities: Demand deposits 280,543 280,543 280,543 — — Interest-bearing demand deposits 20,108 20,108 20,108 — — NOW accounts 85,540 85,540 85,540 — — Money market deposit accounts 93,943 93,943 93,943 — — Savings accounts 175,753 175,753 175,753 — — Time deposits 161,604 163,464 — — 163,464 Total deposits 817,491 819,351 655,887 — 163,464 Short-term borrowings 8,329 8,329 8,329 — — Long-term debt 61,257 61,372 — — 61,372 Accrued interest payable 384 384 384 — — |
Commitments and Contingent Liab
Commitments and Contingent Liabilities | 9 Months Ended |
Sep. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingent Liabilities | 6. Commitments and Contingent Liabilities In order to meet the financing needs of its customers in the normal course of business, the Corporation makes various commitments that are not reflected in the accompanying consolidated financial statements. These commitments include firm commitments to extend credit, unused lines of credit, and open letters of credit. As of September 30, 2017, firm loan commitments were $40.5 million, unused lines of credit were $209.3 million, and open letters of credit were $11.1 million. The total of these commitments was $260.9 million, which represents the Corporation’s exposure to credit loss in the event of nonperformance by its customers with respect to these financial instruments. The actual credit losses that may arise from these commitments are expected to compare favorably with the Corporation’s loan loss experience on its loan portfolio taken as a whole. The Corporation uses the same credit policies in making commitments and conditional obligations as it does for balance sheet financial instruments. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | 7. Accumulated Other Comprehensive Income (Loss) The activity in accumulated other comprehensive income (loss) for the three and nine months ended September 30, 2017 and 2016 is as follows: ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (1) (2) (DOLLARS IN THOUSANDS) Unrealized Gains (Losses) on Securities Available-for-Sale $ Balance at December 31, 2016 (4,885 ) Other comprehensive income before reclassifications 418 Amount reclassified from accumulated other comprehensive income (92 ) Period change 326 Balance at March 31, 2017 (4,559 ) Other comprehensive income before reclassifications 2,778 Amount reclassified from accumulated other comprehensive income (71 ) Period change 2,707 Balance at June 30, 2017 (1,852 ) Other comprehensive loss before reclassifications (268 ) Amount reclassified from accumulated other comprehensive loss (112 ) Period change (380 ) Balance at September 30, 2017 (2,232 ) Balance at December 31, 2015 (252 ) Other comprehensive income before reclassifications 1,050 Amount reclassified from accumulated other comprehensive income (480 ) Period change 570 Balance at March 31, 2016 318 Other comprehensive income before reclassifications 2,258 Amount reclassified from accumulated other comprehensive income (620 ) Period change 1,638 Balance at June 30, 2016 1,956 Other comprehensive loss before reclassifications (429 ) Amount reclassified from accumulated other comprehensive loss (306 ) Period change (735 ) Balance at September 30, 2016 1,221 (1) All amounts are net of tax. Related income tax expense or benefit is calculated using a Federal income tax rate of 34%. (2) Amounts in parentheses indicate debits. DETAILS ABOUT ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) COMPONENTS (1) (DOLLARS IN THOUSANDS) Amount Reclassified from Accumulated Other Comprehensive Income (Loss) For the Three Months Ended September 30, 2017 2016 Affected Line Item in the $ $ Consolidated Statements of Income Securities available-for-sale: Net securities gains reclassified into earnings 170 464 Gains on securities transactions, net Related income tax expense (58 ) (158 ) Provision for federal income taxes Net effect on accumulated other comprehensive income for the period 112 306 (1) Amounts in parentheses indicate debits. DETAILS ABOUT ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) COMPONENTS (1) (DOLLARS IN THOUSANDS) Amount Reclassified from Accumulated Other Comprehensive Income (Loss) For the Nine Months Ended September 30, 2017 2016 Affected Line Item in the $ $ Consolidated Statements of Income Securities available-for-sale: Net securities gains reclassified into earnings 417 2,130 Gains on securities transactions, net Related income tax expense (142 ) (724 ) Provision for federal income taxes Net effect on accumulated other comprehensive income for the period 275 1,406 (1) Amounts in parentheses indicate debits. |
Recently Issued Accounting Stan
Recently Issued Accounting Standards | 9 Months Ended |
Sep. 30, 2017 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recently Issued Accounting Standards | 8. Recently Issued Accounting Standards In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (a new revenue recognition standard). The Update’s core principle is that a company will recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In addition, this Update specifies the accounting for certain costs to obtain or fulfill a contract with a customer and expands disclosure requirements for revenue recognition. Subsequently, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606) In January 2016, the FASB issued ASU 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU 2016-06, Derivatives and Hedging (Topic 815) In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606). Revenue from Contracts with Customers (Topic 606), Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, In April 2016 , the FASB issued ASU 2016-10, Revenue from Contracts with Customers (Topic 606). Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606) Deferral of the Effective Date In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses: Measurement of Credit Losses on Financial Instruments In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740) In October 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230) In March 2017, the FASB issued ASU 2017-08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20). The amendments in this Update shorten the amortization period for certain callable debt securities held at a premium. Specifically, the amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. For public business entities, the amendments in this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. For all other entities, the amendments are effective for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. An entity should apply the amendments in this Update on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. Additionally, in the period of adoption, an entity should provide disclosures about a change in accounting principle. The Corporation is currently evaluating the impact the adoption of the standard will have on the Corporation’s financial position or results of operations. In September 2017, the FASB issued ASU 2017-13, Revenue Recognition (Topic 605), Revenue from Contracts with Customers (Topic 606), Leases (Topic 840), and Leases (Topic 842 Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments. Revenue from Contracts with Customers Leases |
Securities Available for Sale (
Securities Available for Sale (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost and fair value of securities | The amortized cost, gross unrealized gains and losses, and fair value of securities held at September 30, 2017, and December 31, 2016, are as follows: Gross Gross (DOLLARS IN THOUSANDS) Amortized Unrealized Unrealized Fair Cost Gains Losses Value $ $ $ $ September 30, 2017 U.S. government agencies 29,107 3 (463 ) 28,647 U.S. agency mortgage-backed securities 54,181 36 (634 ) 53,583 U.S. agency collateralized mortgage obligations 54,503 117 (582 ) 54,038 Corporate bonds 57,384 64 (312 ) 57,136 Obligations of states and political subdivisions 123,344 505 (2,176 ) 121,673 Total debt securities 318,519 725 (4,167 ) 315,077 Marketable equity securities 5,557 61 — 5,618 Total securities available for sale 324,076 786 (4,167 ) 320,695 December 31, 2016 U.S. government agencies 33,124 — (863 ) 32,261 U.S. agency mortgage-backed securities 56,826 22 (979 ) 55,869 U.S. agency collateralized mortgage obligations 38,737 41 (842 ) 37,936 Corporate bonds 52,928 8 (845 ) 52,091 Obligations of states and political subdivisions 128,428 346 (4,344 ) 124,430 Total debt securities 310,043 417 (7,873 ) 302,587 Marketable equity securities 5,469 55 — 5,524 Total securities available for sale 315,512 472 (7,873 ) 308,111 |
Schedule of contractual maturity of debt securities | Actual maturities may differ from contractual maturities due to certain call or prepayment provisions. CONTRACTUAL MATURITY OF DEBT SECURITIES (DOLLARS IN THOUSANDS) Amortized Cost Fair Value $ $ Due in one year or less 17,425 17,322 Due after one year through five years 127,834 126,947 Due after five years through ten years 54,502 53,703 Due after ten years 118,758 117,105 Total debt securities 318,519 315,077 |
Schedule of proceeds and gains and losses on securities available for sale | PROCEEDS FROM SALES OF SECURITIES AVAILABLE FOR SALE (DOLLARS IN THOUSANDS) Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 $ $ $ $ Proceeds from sales 20,319 38,592 60,404 142,095 Gross realized gains 243 468 631 2,186 Gross realized losses 73 4 214 56 |
Schedule of securities in an unrealized loss position (temporary impairment) | Information pertaining to securities with gross unrealized losses at September 30, 2017, and December 31, 2016, aggregated by investment category and length of time that individual securities have been in a continuous loss position follows: TEMPORARY IMPAIRMENTS OF SECURITIES (DOLLARS IN THOUSANDS) Less than 12 months More than 12 months Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses $ $ $ $ $ $ As of September 30, 2017 U.S. government agencies 10,925 (111 ) 15,718 (352 ) 26,643 (463 ) U.S. agency mortgage-backed securities 29,092 (267 ) 15,140 (367 ) 44,232 (634 ) U.S. agency collateralized mortgage obligations 23,804 (277 ) 11,438 (305 ) 35,242 (582 ) Corporate bonds 17,539 (69 ) 18,513 (243 ) 36,052 (312 ) Obligations of states & political subdivisions 35,033 (595 ) 50,271 (1,581 ) 85,304 (2,176 ) Total debt securities 116,393 (1,319 ) 111,080 (2,848 ) 227,473 (4,167 ) Marketable equity securities — — — — — — Total temporarily impaired securities 116,393 (1,319 ) 111,080 (2,848 ) 227,473 (4,167 ) As of December 31, 2016 U.S. government agencies 32,261 (863 ) — — 32,261 (863 ) U.S. agency mortgage-backed securities 47,418 (856 ) 3,989 (123 ) 51,407 (979 ) U.S. agency collateralized mortgage obligations 33,206 (842 ) — — 33,206 (842 ) Corporate bonds 45,335 (830 ) 2,002 (15 ) 47,337 (845 ) Obligations of states & political subdivisions 101,229 (4,063 ) 8,041 (281 ) 109,270 (4,344 ) Total debt securities 259,449 (7,454 ) 14,032 (419 ) 273,481 (7,873 ) Marketable equity securities — — — — — — Total temporarily impaired securities 259,449 (7,454 ) 14,032 (419 ) 273,481 (7,873 ) |
Loans and Allowance for Loan 16
Loans and Allowance for Loan Losses (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Receivables [Abstract] | |
Schedule of loan portfolio by category | The following table presents the Corporation’s loan portfolio by category of loans as of September 30, 2017, and December 31, 2016: LOAN PORTFOLIO (DOLLARS IN THOUSANDS) September 30, December 31, 2017 2016 $ $ Commercial real estate Commercial mortgages 90,468 86,434 Agriculture mortgages 150,269 163,753 Construction 18,762 24,880 Total commercial real estate 259,499 275,067 Consumer real estate (a) 1-4 family residential mortgages 168,984 150,253 Home equity loans 11,457 10,391 Home equity lines of credit 57,991 53,127 Total consumer real estate 238,432 213,771 Commercial and industrial Commercial and industrial 41,724 42,471 Tax-free loans 19,632 13,091 Agriculture loans 18,487 21,630 Total commercial and industrial 79,843 77,192 Consumer 5,166 4,537 Gross loans prior to deferred fees 582,940 570,567 Less: Deferred loan costs, net 1,137 1,000 Allowance for loan losses (8,028 ) (7,562 ) Total net loans 576,049 564,005 (a) Real estate loans serviced for others, which are not included in the Consolidated Balance Sheets, totaled $90,123,000 and $66,767,000 as of September 30, 2017, and December 31, 2016, respectively. |
Schedule of commercial and consumer credit exposure | COMMERCIAL CREDIT EXPOSURE CREDIT RISK PROFILE BY INTERNALLY ASSIGNED GRADE (DOLLARS IN THOUSANDS) September 30, 2017 Commercial Agriculture Construction Commercial Tax-free Agriculture Total $ $ $ $ $ $ $ Grade: Pass 84,614 139,458 17,762 37,900 19,422 17,490 316,646 Special Mention 373 5,095 — 795 210 229 6,702 Substandard 5,481 5,716 1,000 3,029 — 768 15,994 Doubtful — — — — — — — Loss — — — — — — — Total 90,468 150,269 18,762 41,724 19,632 18,487 339,342 December 31, 2016 Commercial Agriculture Construction Commercial Tax-free Agriculture Total $ $ $ $ $ $ $ Grade: Pass 78,367 155,820 23,880 36,887 13,091 20,245 328,290 Special Mention 4,860 5,360 — 1,955 — 653 12,828 Substandard 3,207 2,573 1,000 3,629 — 732 11,141 Doubtful — — — — — — — Loss — — — — — — — Total 86,434 163,753 24,880 42,471 13,091 21,630 352,259 The following tables present the balances of consumer loans by classes of the loan portfolio based on payment performance as of September 30, 2017 and December 31, 2016: CONSUMER CREDIT EXPOSURE CREDIT RISK PROFILE BY PAYMENT PERFORMANCE (DOLLARS IN THOUSANDS) September 30, 2017 1-4 Family Home Equity Home Equity Consumer Total Payment performance: $ $ $ $ $ Performing 168,863 11,457 57,991 5,160 243,471 Non-performing 121 — — 6 127 Total 168,984 11,457 57,991 5,166 243,598 December 31, 2016 1-4 Family Home Equity Home Equity Consumer Total Payment performance: $ $ $ $ $ Performing 149,873 10,388 53,127 4,536 217,924 Non-performing 380 3 — 1 384 Total 150,253 10,391 53,127 4,537 218,308 |
Schedule of aging of loans receivable | The following tables present an age analysis of the Corporation’s past due loans, segregated by loan portfolio class, as of September 30, 2017 and December 31, 2016: AGING OF LOANS RECEIVABLE (DOLLARS IN THOUSANDS) Loans Greater Receivable > 30-59 Days 60-89 Days than 90 Total Past Total Loans 90 Days and September 30, 2017 Past Due Past Due Days Due Current Receivable Accruing $ $ $ $ $ $ $ Commercial real estate Commercial mortgages 248 110 418 776 89,692 90,468 — Agriculture mortgages — — — — 150,269 150,269 — Construction — — — — 18,762 18,762 — Consumer real estate 1-4 family residential mortgages 1,310 124 121 1,555 167,429 168,984 57 Home equity loans 9 — — 9 11,448 11,457 — Home equity lines of credit — 30 — 30 57,961 57,991 — Commercial and industrial Commercial and industrial — — 266 266 41,458 41,724 191 Tax-free loans — — — — 19,632 19,632 — Agriculture loans — — — — 18,487 18,487 — Consumer 9 8 6 23 5,143 5,166 6 Total 1,576 272 811 2,659 580,281 582,940 254 Loans Greater Receivable > 30-59 Days 60-89 Days than 90 Total Past Total Loans 90 Days and December 31, 2016 Past Due Past Due Days Due Current Receivable Accruing $ $ $ $ $ $ $ Commercial real estate Commercial mortgages — 419 417 836 85,598 86,434 — Agriculture mortgages 165 — — 165 163,588 163,753 — Construction — — — — 24,880 24,880 — Consumer real estate 1-4 family residential mortgages 565 662 380 1,607 148,646 150,253 380 Home equity loans 178 — 3 181 10,210 10,391 3 Home equity lines of credit — — — — 53,127 53,127 — Commercial and industrial Commercial and industrial 266 — 75 341 42,130 42,471 — Tax-free loans — — — — 13,091 13,091 — Agriculture loans — — — — 21,630 21,630 — Consumer 16 4 1 21 4,516 4,537 1 Total 1,190 1,085 876 3,151 567,416 570,567 384 |
Schedule of nonaccrual loans by class | The following table presents nonaccrual loans by classes of the loan portfolio as of September 30, 2017 and December 31, 2016: NONACCRUAL LOANS BY LOAN CLASS (DOLLARS IN THOUSANDS) September 30, December 31, 2017 2016 $ $ Commercial real estate Commercial mortgages 528 646 Agriculture mortgages — — Construction — — Consumer real estate 1-4 family residential mortgages 64 — Home equity loans — — Home equity lines of credit — — Commercial and industrial Commercial and industrial 75 75 Tax-free loans — — Agriculture loans — — Consumer 20 — Total 687 721 |
Schedule of impaired loans | As of September 30, 2017 and December 31, 2016, all of the Corporation’s commercial loans on nonaccrual status were also considered impaired. Information with respect to impaired loans for the three and nine months ended September 30, 2017 and September 30, 2016, is as follows: IMPAIRED LOANS (DOLLARS IN THOUSANDS) Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 $ $ $ $ Average recorded balance of impaired loans 2,152 1,830 2,394 1,894 Interest income recognized on impaired loans 17 14 49 42 The following tables summarize information in regards to impaired loans by loan portfolio class as of September 30, 2017, December 31, 2016, and September 30, 2016: IMPAIRED LOAN ANALYSIS (DOLLARS IN THOUSANDS) September 30, 2017 Recorded Unpaid Related Average Interest $ $ $ $ $ With no related allowance recorded: Commercial real estate Commercial mortgages 195 292 — 281 4 Agriculture mortgages 1,193 1,193 — 1,220 40 Construction — — — — — Total commercial real estate 1,388 1,485 — 1,501 44 Commercial and industrial Commercial and industrial 75 75 — 75 — Tax-free loans — — — — — Agriculture loans 263 263 — 400 5 Total commercial and industrial 338 338 — 475 5 Total with no related allowance 1,726 1,823 — 1,976 49 With an allowance recorded: Commercial real estate Commercial mortgages 418 418 98 418 — Agriculture mortgages — — — — — Construction — — — — — Total commercial real estate 418 418 98 418 — Commercial and industrial Commercial and industrial — — — — — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial — — — — — Total with a related allowance 418 418 98 418 — Total by loan class: Commercial real estate Commercial mortgages 613 710 98 699 4 Agriculture mortgages 1,193 1,193 — 1,220 40 Construction — — — — — Total commercial real estate 1,806 1,903 98 1,919 44 Commercial and industrial Commercial and industrial 75 75 — 75 — Tax-free loans — — — — — Agriculture loans 263 263 — 400 5 Total commercial and industrial 338 338 — 475 5 Total 2,144 2,241 98 2,394 49 IMPAIRED LOAN ANALYSIS (DOLLARS IN THOUSANDS) December 31, 2016 Recorded Unpaid Related Average Interest $ $ $ $ $ With no related allowance recorded: Commercial real estate Commercial mortgages 646 743 — 768 2 Agriculture mortgages 1,248 1,248 — 1,285 55 Construction — — — — — Total commercial real estate 1,894 1,991 — 2,053 57 Commercial and industrial Commercial and industrial 75 75 — 76 — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial 75 75 — 76 — Total with no related allowance 1,969 2,066 — 2,129 57 With an allowance recorded: Commercial real estate Commercial mortgages — — — — — Agriculture mortgages — — — — — Construction — — — — — Total commercial real estate — — — — — Commercial and industrial Commercial and industrial — — — — — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial — — — — — Total with a related allowance — — — — — Total by loan class: Commercial real estate Commercial mortgages 646 743 — 768 2 Agriculture mortgages 1,248 1,248 — 1,285 55 Construction — — — — — Total commercial real estate 1,894 1,991 — 2,053 57 Commercial and industrial Commercial and industrial 75 75 — 76 — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial 75 75 — 76 — Total 1,969 2,066 — 2,129 57 IMPAIRED LOAN ANALYSIS (DOLLARS IN THOUSANDS) September 30, 2016 Recorded Unpaid Related Average Interest $ $ $ $ $ With no related allowance recorded: Commercial real estate Commercial mortgages 730 827 — 561 — Agriculture mortgages 1,267 1,267 — 1,295 42 Construction — — — — — Total commercial real estate 1,997 2,094 — 1,856 42 Commercial and industrial Commercial and industrial 75 75 — 38 — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial 75 75 — 38 — Total with no related allowance 2,072 2,169 — 1,894 42 With an allowance recorded: Commercial real estate Commercial mortgages — — — — — Agriculture mortgages — — — — — Construction — — — — — Total commercial real estate — — — — — Commercial and industrial Commercial and industrial — — — — — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial — — — — — Total with a related allowance — — — — — Total by loan class: Commercial real estate Commercial mortgages 730 827 — 561 — Agriculture mortgages 1,267 1,267 — 1,295 42 Construction — — — — — Total commercial real estate 1,997 2,094 — 1,856 42 Commercial and industrial Commercial and industrial 75 75 — 38 — Tax-free loans — — — — — Agriculture loans — — — — — Total commercial and industrial 75 75 — 38 — Total 2,072 2,169 — 1,894 42 |
Schedule of allowance for credit losses | The following table details activity in the allowance for loan losses by portfolio segment for the nine months ended September 30, 2017: ALLOWANCE FOR CREDIT LOSSES (DOLLARS IN THOUSANDS) Commercial Consumer Commercial Consumer Unallocated Total $ $ $ $ $ $ Allowance for credit losses: Beginning balance - December 31, 2016 3,795 1,652 1,552 82 481 7,562 Charge-offs — — (7 ) (4 ) — (11 ) Recoveries — 20 9 2 — 31 Provision (275 ) 163 95 3 104 90 Balance - March 31, 2017 3,520 1,835 1,649 83 585 7,672 Charge-offs — — — (3 ) — (3 ) Recoveries — — 10 3 — 13 Provision 208 83 (42 ) 36 (165 ) 120 Ending Balance - June 30, 2017 3,728 1,918 1,617 119 420 7,802 Charge-offs — — (7 ) (9 ) — (16 ) Recoveries — — 2 — — 2 Provision 31 (16 ) 201 (18 ) 42 240 Ending Balance - September 30, 2017 3,759 1,902 1,813 92 462 8,028 T ALLOWANCE FOR CREDIT LOSSES (DOLLARS IN THOUSANDS) Commercial Consumer Commercial Consumer Unallocated Total $ $ $ $ $ $ Allowance for credit losses: Beginning balance - December 31, 2015 3,831 1,403 1,314 62 468 7,078 Charge-offs — — (4 ) (12 ) — (16 ) Recoveries — 10 16 2 — 28 Provision (303 ) (45 ) 47 15 236 (50 ) Balance - March 31, 2016 3,528 1,368 1,373 67 704 7,040 Charge-offs — — — (2 ) — (2 ) Recoveries — — 159 — — 159 Provision 255 105 (271 ) 6 (45 ) 50 Ending Balance - June 30, 2016 3,783 1,473 1,261 71 659 7,247 Charge-offs — — (19 ) (10 ) — (29 ) Recoveries — 1 9 7 — 17 Provision 95 95 101 20 (111 ) 200 Ending Balance - September 30, 2016 3,878 1,569 1,352 88 548 7,435 The following tables present the balance in the allowance for credit losses and the recorded investment in loans receivable by portfolio segment based on impairment method as of September 30, 2017 and December 31, 2016: ALLOWANCE FOR CREDIT LOSSES AND RECORDED INVESTMENT IN LOANS RECEIVABLE (DOLLARS IN THOUSANDS) As of September 30, 2017: Commercial Consumer Commercial Consumer Unallocated Total $ $ $ $ $ $ Allowance for credit losses: Ending balance: individually evaluated for impairment 98 — — — — 98 Ending balance: collectively evaluated for impairment 3,661 1,902 1,813 92 462 7,930 Loans receivable: Ending balance 259,499 238,432 79,843 5,166 582,940 Ending balance: individually evaluated for impairment 1,806 — 338 — 2,144 Ending balance: collectively evaluated for impairment 257,693 238,432 79,505 5,166 580,796 As of December 31, 2016: Commercial Consumer Commercial Consumer Unallocated Total $ $ $ $ $ $ Allowance for credit losses: Ending balance: individually evaluated for impairment — — — — — — Ending balance: collectively evaluated for impairment 3,795 1,652 1,552 82 481 7,562 Loans receivable: Ending balance 275,067 213,771 77,192 4,537 570,567 Ending balance: individually evaluated for impairment 1,894 — 75 — 1,969 Ending balance: collectively evaluated for impairment 273,173 213,771 77,117 4,537 568,598 |
Fair Value Presentation (Tables
Fair Value Presentation (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets measured on a recurring basis | ASSETS MEASURED ON A RECURRING BASIS (DOLLARS IN THOUSANDS) September 30, 2017 Level I Level II Level III Total $ $ $ $ U.S. government agencies — 28,647 — 28,647 U.S. agency mortgage-backed securities — 53,583 — 53,583 U.S. agency collateralized mortgage obligations — 54,038 — 54,038 Corporate bonds — 57,136 — 57,136 Obligations of states & political subdivisions — 121,673 — 121,673 Marketable equity securities 5,618 — — 5,618 Total securities 5,618 315,077 — 320,695 ASSETS MEASURED ON A RECURRING BASIS (DOLLARS IN THOUSANDS) December 31, 2016 Level I Level II Level III Total $ $ $ $ U.S. government agencies — 32,261 — 32,261 U.S. agency mortgage-backed securities — 55,869 — 55,869 U.S. agency collateralized mortgage obligations — 37,936 — 37,936 Corporate bonds — 52,091 — 52,091 Obligations of states & political subdivisions — 124,430 — 124,430 Marketable equity securities 5,524 — — 5,524 Total securities 5,524 302,587 — 308,111 |
Schedule of assets measured on a nonrecurring basis | The following tables present the assets measured on a nonrecurring basis on the Consolidated Balance Sheets at their fair value as of September 30, 2017 and December 31, 2016, by level within the fair value hierarchy: ASSETS MEASURED ON A NONRECURRING BASIS ( Dollars in Thousands September 30, 2017 Level I Level II Level III Total Assets: Impaired Loans — — 2,046 2,046 Total — — 2,046 2,046 December 31, 2016 Level I Level II Level III Total Assets: Impaired Loans — — 1,969 1,969 Total — — 1,969 1,969 |
Schedule of Level III inputs | The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis for which the Corporation has utilized level III inputs to determine fair value: QUANTITATIVE INFORMATION ABOUT LEVEL III FAIR VALUE MEASUREMENTS (DOLLARS IN THOUSANDS) September 30, 2017 Fair Value Valuation Unobservable Range Estimate Techniques Input (Weighted Avg) Impaired loans 2,046 Appraisal of Appraisal -20% (-20%) collateral (1) adjustments (2) Liquidation -10% (-10%) expenses (2) December 31, 2016 Fair Value Valuation Unobservable Range Estimate Techniques Input (Weighted Avg) Impaired loans 1,969 Appraisal of Appraisal -20% (-20%) collateral (1) adjustments (2) Liquidation -10% (-10%) expenses (2) (1) Fair value is generally determined through independent appraisals of the underlying collateral, which generally include various level III inputs which are not identifiable. (2) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. |
Interim Disclosures about Fai18
Interim Disclosures about Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | |
Schedule of carrying amount and fair value of financial instruments | The carrying amounts and estimated fair values of the Corporation's financial instruments at September 30, 2017 and December 31, 2016, are summarized as follows: FAIR VALUE OF FINANCIAL INSTRUMENTS (DOLLARS IN THOUSANDS) September 30, 2017 Quoted Prices in Active Markets Significant Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs Amount Fair Value (Level 1) (Level II) (Level III) $ $ $ $ $ Financial Assets: Cash and cash equivalents 44,240 44,240 44,240 — — Securities available for sale 320,695 320,695 5,618 315,077 — Regulatory stock 6,139 6,139 6,139 — — Loans held for sale 3,809 3,809 3,809 — — Loans, net of allowance 576,049 573,681 — — 573,681 Mortgage servicing assets 592 678 — — 678 Accrued interest receivable 3,391 3,391 3,391 — — Bank owned life insurance 25,161 25,161 25,161 — — Financial Liabilities: Demand deposits 301,978 301,978 301,978 — — Interest-bearing demand deposits 19,279 19,279 19,279 — — NOW accounts 78,061 78,061 78,061 — — Money market deposit accounts 99,235 99,235 99,235 — — Savings accounts 188,015 188,015 188,015 — — Time deposits 152,257 153,163 — — 153,163 Total deposits 838,825 839,731 686,568 — 153,163 Long-term debt 68,350 68,429 — — 68,429 Accrued interest payable 391 391 391 — — FAIR VALUE OF FINANCIAL INSTRUMENTS (DOLLARS IN THOUSANDS) December 31, 2016 Quoted Prices in Active Markets Significant Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs Amount Fair Value (Level 1) (Level II) (Level III) $ $ $ $ $ Financial Assets: Cash and cash equivalents 45,632 45,632 45,632 — — Securities available for sale 308,111 308,111 5,524 302,587 — Regulatory stock 5,372 5,372 5,372 — — Loans held for sale 2,552 2,552 2,552 — — Loans, net of allowance 564,005 563,418 — — 563,418 Mortgage servicing assets 410 531 — — 531 Accrued interest receivable 3,750 3,750 3,750 — — Bank owned life insurance 24,687 24,687 24,687 — — Financial Liabilities: Demand deposits 280,543 280,543 280,543 — — Interest-bearing demand deposits 20,108 20,108 20,108 — — NOW accounts 85,540 85,540 85,540 — — Money market deposit accounts 93,943 93,943 93,943 — — Savings accounts 175,753 175,753 175,753 — — Time deposits 161,604 163,464 — — 163,464 Total deposits 817,491 819,351 655,887 — 163,464 Short-term borrowings 8,329 8,329 8,329 — — Long-term debt 61,257 61,372 — — 61,372 Accrued interest payable 384 384 384 — — |
Accumulated Other Comprehensi19
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of accumulated other comprehensive income | The activity in accumulated other comprehensive income (loss) for the three and nine months ended September 30, 2017 and 2016 is as follows: ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (1) (2) (DOLLARS IN THOUSANDS) Unrealized Gains (Losses) on Securities Available-for-Sale $ Balance at December 31, 2016 (4,885 ) Other comprehensive income before reclassifications 418 Amount reclassified from accumulated other comprehensive income (92 ) Period change 326 Balance at March 31, 2017 (4,559 ) Other comprehensive income before reclassifications 2,778 Amount reclassified from accumulated other comprehensive income (71 ) Period change 2,707 Balance at June 30, 2017 (1,852 ) Other comprehensive loss before reclassifications (268 ) Amount reclassified from accumulated other comprehensive loss (112 ) Period change (380 ) Balance at September 30, 2017 (2,232 ) Balance at December 31, 2015 (252 ) Other comprehensive income before reclassifications 1,050 Amount reclassified from accumulated other comprehensive income (480 ) Period change 570 Balance at March 31, 2016 318 Other comprehensive income before reclassifications 2,258 Amount reclassified from accumulated other comprehensive income (620 ) Period change 1,638 Balance at June 30, 2016 1,956 Other comprehensive loss before reclassifications (429 ) Amount reclassified from accumulated other comprehensive loss (306 ) Period change (735 ) Balance at September 30, 2016 1,221 (1) All amounts are net of tax. Related income tax expense or benefit is calculated using a Federal income tax rate of 34%. (2) Amounts in parentheses indicate debits. DETAILS ABOUT ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) COMPONENTS (1) (DOLLARS IN THOUSANDS) Amount Reclassified from Accumulated Other Comprehensive Income (Loss) For the Three Months Ended September 30, 2017 2016 Affected Line Item in the $ $ Consolidated Statements of Income Securities available-for-sale: Net securities gains reclassified into earnings 170 464 Gains on securities transactions, net Related income tax expense (58 ) (158 ) Provision for federal income taxes Net effect on accumulated other comprehensive income for the period 112 306 (1) Amounts in parentheses indicate debits. DETAILS ABOUT ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) COMPONENTS (1) (DOLLARS IN THOUSANDS) Amount Reclassified from Accumulated Other Comprehensive Income (Loss) For the Nine Months Ended September 30, 2017 2016 Affected Line Item in the $ $ Consolidated Statements of Income Securities available-for-sale: Net securities gains reclassified into earnings 417 2,130 Gains on securities transactions, net Related income tax expense (142 ) (724 ) Provision for federal income taxes Net effect on accumulated other comprehensive income for the period 275 1,406 (1) Amounts in parentheses indicate debits. |
Securities Available for Sale20
Securities Available for Sale (Narrative) (Details) $ in Thousands | 9 Months Ended | ||||
Sep. 30, 2016USD ($) | Sep. 30, 2017USD ($)N | Dec. 31, 2016USD ($) | Jun. 30, 2016USD ($) | Apr. 26, 2016USD ($) | |
Schedule of Available-for-sale Securities [Line Items] | |||||
Available for sale debt securities pledged or restricted for public funds, par value | $ 63,286 | $ 63,726 | |||
Available for sale debt securities pledged or restricted for public funds, fair value | $ 65,495 | $ 65,770 | |||
Number of securities considered temporarily impaired | N | 162 | ||||
AgriBank [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Amortization of premium on the bond | $ 1,202 | ||||
Par value of bond owned | $ 6,400 | ||||
Book value of bond held by Corporation | $ 6,600 | ||||
CoBank [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Amortization of premium on the bond | $ 479 |
Securities Available for Sale21
Securities Available for Sale (Schedule of Amortized Cost and Fair Value of Securities) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Securities Available For Sale | |||
Amortized Cost | $ 324,076 | $ 315,512 | |
Gross Unrealized Gains | 786 | 472 | |
Gross Unrealized Losses | (4,167) | (7,873) | |
Fair Value | 320,695 | 308,111 | $ 298,139 |
U.S. Government Agencies [Member] | |||
Securities Available For Sale | |||
Amortized Cost | 29,107 | 33,124 | |
Gross Unrealized Gains | 3 | ||
Gross Unrealized Losses | (463) | (863) | |
Fair Value | 28,647 | 32,261 | |
U.S. Agency Mortgage-Backed Securities [Member] | |||
Securities Available For Sale | |||
Amortized Cost | 54,181 | 56,826 | |
Gross Unrealized Gains | 36 | 22 | |
Gross Unrealized Losses | (634) | (979) | |
Fair Value | 53,583 | 55,869 | |
U.S. Agency Collateralized Mortgage Obligations [Member] | |||
Securities Available For Sale | |||
Amortized Cost | 54,503 | 38,737 | |
Gross Unrealized Gains | 117 | 41 | |
Gross Unrealized Losses | (582) | (842) | |
Fair Value | 54,038 | 37,936 | |
Corporate Bonds [Member] | |||
Securities Available For Sale | |||
Amortized Cost | 57,384 | 52,928 | |
Gross Unrealized Gains | 64 | 8 | |
Gross Unrealized Losses | (312) | (845) | |
Fair Value | 57,136 | 52,091 | |
Obligations of States and Political Subdivisions [Member] | |||
Securities Available For Sale | |||
Amortized Cost | 123,344 | 128,428 | |
Gross Unrealized Gains | 505 | 346 | |
Gross Unrealized Losses | (2,176) | (4,344) | |
Fair Value | 121,673 | 124,430 | |
Total Debt Securities [Member] | |||
Securities Available For Sale | |||
Amortized Cost | 318,519 | 310,043 | |
Gross Unrealized Gains | 725 | 417 | |
Gross Unrealized Losses | (4,167) | (7,873) | |
Fair Value | 315,077 | 302,587 | |
Marketable equity securities [Member] | |||
Securities Available For Sale | |||
Amortized Cost | 5,557 | 5,469 | |
Gross Unrealized Gains | 61 | 55 | |
Gross Unrealized Losses | |||
Fair Value | $ 5,618 | $ 5,524 |
Securities Available for Sale22
Securities Available for Sale (Schedule of Contractual Maturity of Debt Securities) (Details) $ in Thousands | Sep. 30, 2017USD ($) |
Contractual maturity of debt securities, Amortized Cost | |
Due in one year or less | $ 17,425 |
Due after one year through five years | 127,834 |
Due after five years through ten years | 54,502 |
Due after ten years | 118,758 |
Total debt securities | 318,519 |
Contractual maturity of debt securities, Fair Value | |
Due in one year or less | 17,322 |
Due after one year through five years | 126,947 |
Due after five years through ten years | 53,703 |
Due after ten years | 117,105 |
Securities available for sale | $ 315,077 |
Securities Available for Sale23
Securities Available for Sale (Schedule of Proceeds and Gains and Losses on Securities) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Proceeds from sales of securities available for sale | ||||
Proceeds from sales | $ 20,319 | $ 38,592 | $ 60,404 | $ 142,095 |
Gross realized gains | 243 | 468 | 631 | 2,186 |
Gross realized losses | $ 73 | $ 4 | $ 214 | $ 56 |
Securities Available for Sale24
Securities Available for Sale (Schedule of Securities in an Unrealized Loss Position) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Fair Value | ||
Less than 12 months | $ 116,393 | $ 259,449 |
More than 12 months | 111,080 | 14,032 |
Total | 227,473 | 273,481 |
Gross Unrealized Losses | ||
Less than 12 months | (1,319) | (7,454) |
More than 12 months | (2,848) | (419) |
Total | (4,167) | (7,873) |
U.S. Government Agencies [Member] | ||
Fair Value | ||
Less than 12 months | 10,925 | 32,261 |
More than 12 months | 15,718 | |
Total | 26,643 | 32,261 |
Gross Unrealized Losses | ||
Less than 12 months | (111) | (863) |
More than 12 months | (352) | |
Total | (463) | (863) |
U.S. Agency Mortgage-Backed Securities [Member] | ||
Fair Value | ||
Less than 12 months | 29,092 | 47,418 |
More than 12 months | 15,140 | 3,989 |
Total | 44,232 | 51,407 |
Gross Unrealized Losses | ||
Less than 12 months | (267) | (856) |
More than 12 months | (367) | (123) |
Total | (634) | (979) |
U.S. Agency Collateralized Mortgage Obligations [Member] | ||
Fair Value | ||
Less than 12 months | 23,804 | 33,206 |
More than 12 months | 11,438 | |
Total | 35,242 | 33,206 |
Gross Unrealized Losses | ||
Less than 12 months | (277) | (842) |
More than 12 months | (305) | |
Total | (582) | (842) |
Corporate Bonds [Member] | ||
Fair Value | ||
Less than 12 months | 17,539 | 45,335 |
More than 12 months | 18,513 | 2,002 |
Total | 36,052 | 47,337 |
Gross Unrealized Losses | ||
Less than 12 months | (69) | (830) |
More than 12 months | (243) | (15) |
Total | (312) | (845) |
Obligations of States and Political Subdivisions [Member] | ||
Fair Value | ||
Less than 12 months | 35,033 | 101,229 |
More than 12 months | 50,271 | 8,041 |
Total | 85,304 | 109,270 |
Gross Unrealized Losses | ||
Less than 12 months | (595) | (4,063) |
More than 12 months | (1,581) | (281) |
Total | (2,176) | (4,344) |
Total Debt Securities [Member] | ||
Fair Value | ||
Less than 12 months | 116,393 | 259,449 |
More than 12 months | 111,080 | 14,032 |
Total | 227,473 | 273,481 |
Gross Unrealized Losses | ||
Less than 12 months | (1,319) | (7,454) |
More than 12 months | (2,848) | (419) |
Total | (4,167) | (7,873) |
Marketable equity securities [Member] | ||
Fair Value | ||
Less than 12 months | ||
More than 12 months | ||
Total | ||
Gross Unrealized Losses | ||
Less than 12 months | ||
More than 12 months | ||
Total |
Loans and Allowance for Loan 25
Loans and Allowance for Loan Losses (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||||||
Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Jun. 30, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||||
Increase decrease in loans | $ (4,600) | $ 7,400 | ||||||||
Decrease in ending balance of allowance for loan losses | 44.50% | 48.20% | ||||||||
Provision (credit) for loan losses | $ 450 | $ 200 | ||||||||
Charge-offs | 16 | $ 3 | 11 | $ 29 | $ 2 | $ 16 | $ 157 | |||
Minimum [Member] | ||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||||
Increase decrease in loans | 14,200 | $ 4,000 | ||||||||
Maximum [Member] | ||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||||
Increase decrease in loans | 21,000 | 21,600 | $ 25,600 | |||||||
Loans Serviced for Others [Member] | ||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||||
Real estate loans serviced for others | 90,123 | 90,123 | $ 66,767 | |||||||
Agricultural Sector [Member] | ||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||||
TDRs loan | 263 | $ 263 | ||||||||
Commercial Real Estate [Member] | ||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||||
Decrease in ending balance of allowance for loan losses | 46.80% | 50.20% | ||||||||
Charge-offs |
Loans and Allowance for Loan 26
Loans and Allowance for Loan Losses (Schedule of Loan Portfolio by Category) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | |
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | $ 582,940 | $ 570,567 | |||||||
Less: Deferred loan costs, net | 1,137 | 1,000 | |||||||
Allowance for loan losses | (8,028) | $ (7,802) | $ (7,672) | (7,562) | $ (7,435) | $ (7,247) | $ (7,040) | $ (7,078) | |
Total net loans | 576,049 | 564,005 | 558,533 | ||||||
Home Equity Loan [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 11,457 | 10,391 | |||||||
Home Equity Lines of Credit [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 57,991 | 53,127 | |||||||
Commercial Real Estate [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 259,499 | 275,067 | |||||||
Allowance for loan losses | (3,759) | (3,728) | (3,520) | (3,795) | (3,878) | (3,783) | (3,528) | (3,831) | |
Commercial Real Estate [Member] | Mortgages [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 90,468 | 86,434 | |||||||
Commercial Real Estate [Member] | Agricultural Sector [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 150,269 | 163,753 | |||||||
Commercial Real Estate [Member] | Construction [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 18,762 | 24,880 | |||||||
Consumer Real Estate [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | [1] | 238,432 | 213,771 | ||||||
Allowance for loan losses | (1,902) | (1,918) | (1,835) | (1,652) | (1,569) | (1,473) | (1,368) | (1,403) | |
Consumer Real Estate [Member] | 1-4 Family Residential Mortgages [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | [1] | 168,984 | 150,253 | ||||||
Consumer Real Estate [Member] | Home Equity Loan [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | [1] | 11,457 | 10,391 | ||||||
Consumer Real Estate [Member] | Home Equity Lines of Credit [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | [1] | 57,991 | 53,127 | ||||||
Commercial and Industrial [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 79,843 | 77,192 | |||||||
Allowance for loan losses | (1,813) | (1,552) | (1,352) | ||||||
Commercial and Industrial [Member] | Agricultural Sector [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 18,487 | 21,630 | |||||||
Commercial and Industrial [Member] | Commercial and Industrial Sector [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 41,724 | 42,471 | |||||||
Commercial and Industrial [Member] | Tax-free loans [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 19,632 | 13,091 | |||||||
Consumer Portfolio Segment [Member] | |||||||||
Loan Portfolio | |||||||||
Gross loans prior to deferred fees | 5,166 | 4,537 | |||||||
Allowance for loan losses | $ (92) | $ (119) | $ (83) | $ (82) | $ (88) | $ (71) | $ (67) | $ (62) | |
[1] | Real estate loans serviced for others, which are not included in the Consolidated Balance Sheets, totaled $90,123,000 and $66,767,000 as of September 30, 2017, and December 31, 2016, respectively. |
Loans and Allowance for Loan 27
Loans and Allowance for Loan Losses (Schedule of Commercial and Consumer Credit Exposure) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Total | $ 339,342 | $ 352,259 |
Construction [Member] | ||
Total | 18,762 | 24,880 |
Agricultural Mortgage Loans [Member] | ||
Total | 150,269 | 163,753 |
Commercial and Industrial Sector [Member] | ||
Total | 41,724 | 42,471 |
Tax-free loans [Member] | ||
Total | 19,632 | 13,091 |
Agriculture loans [Member] | ||
Total | 18,487 | 21,630 |
Commercial [Member] | ||
Total | 90,468 | 86,434 |
Pass [Member] | ||
Total | 316,646 | 328,290 |
Pass [Member] | Construction [Member] | ||
Total | 17,762 | 23,880 |
Pass [Member] | Agricultural Mortgage Loans [Member] | ||
Total | 139,458 | 155,820 |
Pass [Member] | Commercial and Industrial Sector [Member] | ||
Total | 37,900 | 36,887 |
Pass [Member] | Tax-free loans [Member] | ||
Total | 19,422 | 13,091 |
Pass [Member] | Agriculture loans [Member] | ||
Total | 17,490 | 20,245 |
Pass [Member] | Commercial [Member] | ||
Total | 84,614 | 78,367 |
Special Mention [Member] | ||
Total | 6,702 | 12,828 |
Special Mention [Member] | Construction [Member] | ||
Total | ||
Special Mention [Member] | Agricultural Mortgage Loans [Member] | ||
Total | 5,095 | 5,360 |
Special Mention [Member] | Commercial and Industrial Sector [Member] | ||
Total | 795 | 1,955 |
Special Mention [Member] | Tax-free loans [Member] | ||
Total | 210 | |
Special Mention [Member] | Agriculture loans [Member] | ||
Total | 229 | 653 |
Special Mention [Member] | Commercial [Member] | ||
Total | 373 | 4,860 |
Substandard [Member] | ||
Total | 15,994 | 11,141 |
Substandard [Member] | Construction [Member] | ||
Total | 1,000 | 1,000 |
Substandard [Member] | Agricultural Mortgage Loans [Member] | ||
Total | 5,716 | 2,573 |
Substandard [Member] | Commercial and Industrial Sector [Member] | ||
Total | 3,029 | 3,629 |
Substandard [Member] | Tax-free loans [Member] | ||
Total | ||
Substandard [Member] | Agriculture loans [Member] | ||
Total | 768 | 732 |
Substandard [Member] | Commercial [Member] | ||
Total | 5,481 | 3,207 |
Doubtful [Member] | ||
Total | ||
Doubtful [Member] | Construction [Member] | ||
Total | ||
Doubtful [Member] | Agricultural Mortgage Loans [Member] | ||
Total | ||
Doubtful [Member] | Commercial and Industrial Sector [Member] | ||
Total | ||
Doubtful [Member] | Tax-free loans [Member] | ||
Total | ||
Doubtful [Member] | Agriculture loans [Member] | ||
Total | ||
Doubtful [Member] | Construction [Member] | ||
Total | ||
Doubtful [Member] | Commercial [Member] | ||
Total | ||
Loss [Member] | ||
Total | ||
Loss [Member] | Construction [Member] | ||
Total | ||
Loss [Member] | Agricultural Mortgage Loans [Member] | ||
Total | ||
Loss [Member] | Commercial and Industrial Sector [Member] | ||
Total | ||
Loss [Member] | Tax-free loans [Member] | ||
Total | ||
Loss [Member] | Agriculture loans [Member] | ||
Total | ||
Loss [Member] | Commercial [Member] | ||
Total |
Loans and Allowance for Loan 28
Loans and Allowance for Loan Losses (Schedule of Credit Risk Profile by Payment Performance) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Gross loans prior to deferred fees | $ 582,940 | $ 570,567 |
Home Equity Loan [Member] | ||
Gross loans prior to deferred fees | 11,457 | 10,391 |
Home Equity Lines of Credit [Member] | ||
Gross loans prior to deferred fees | 57,991 | 53,127 |
1-4 Family Residential Mortgages [Member] | ||
Gross loans prior to deferred fees | 168,984 | 150,253 |
Consumer Portfolio Segment [Member] | ||
Gross loans prior to deferred fees | 5,166 | 4,537 |
Performing [Member] | ||
Gross loans prior to deferred fees | 243,471 | 217,924 |
Performing [Member] | Home Equity Loan [Member] | ||
Gross loans prior to deferred fees | 11,457 | 10,388 |
Performing [Member] | Home Equity Lines of Credit [Member] | ||
Gross loans prior to deferred fees | 57,991 | 53,127 |
Performing [Member] | 1-4 Family Residential Mortgages [Member] | ||
Gross loans prior to deferred fees | 168,863 | 149,873 |
Performing [Member] | Consumer Portfolio Segment [Member] | ||
Gross loans prior to deferred fees | 5,160 | 4,536 |
Nonperforming [Member] | ||
Gross loans prior to deferred fees | 127 | 384 |
Nonperforming [Member] | Home Equity Loan [Member] | ||
Gross loans prior to deferred fees | 3 | |
Nonperforming [Member] | Home Equity Lines of Credit [Member] | ||
Gross loans prior to deferred fees | ||
Nonperforming [Member] | 1-4 Family Residential Mortgages [Member] | ||
Gross loans prior to deferred fees | 121 | 380 |
Nonperforming [Member] | Consumer Portfolio Segment [Member] | ||
Gross loans prior to deferred fees | 6 | 1 |
Consumer Borrower [Member] | ||
Gross loans prior to deferred fees | $ 243,598 | $ 218,308 |
Loans and Allowance for Loan 29
Loans and Allowance for Loan Losses (Schedule of Aging of Loans Receivable) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 2,659 | $ 3,151 |
Current | 580,281 | 567,416 |
Total Loans Receivable | 582,940 | 570,567 |
Loans Receivable - Greater than 90 Days and Accruing | 254 | 384 |
30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,576 | 1,190 |
60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 272 | 1,085 |
Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 811 | 876 |
Commercial mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Loans Receivable | 79,843 | 77,192 |
1-4 Family Residential Mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Loans Receivable | 168,984 | 150,253 |
Commercial real estate [Member] | Commercial mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 776 | 836 |
Current | 89,692 | 85,598 |
Total Loans Receivable | 90,468 | 86,434 |
Loans Receivable - Greater than 90 Days and Accruing | ||
Commercial real estate [Member] | Commercial mortgages [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 248 | |
Commercial real estate [Member] | Commercial mortgages [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 110 | 419 |
Commercial real estate [Member] | Commercial mortgages [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 418 | 417 |
Commercial real estate [Member] | Agriculture mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 165 | |
Current | 150,269 | 163,588 |
Total Loans Receivable | 150,269 | 163,753 |
Loans Receivable - Greater than 90 Days and Accruing | ||
Commercial real estate [Member] | Agriculture mortgages [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 165 | |
Commercial real estate [Member] | Agriculture mortgages [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial real estate [Member] | Agriculture mortgages [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial real estate [Member] | Construction [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Current | 18,762 | 24,880 |
Total Loans Receivable | 18,762 | 24,880 |
Loans Receivable - Greater than 90 Days and Accruing | ||
Commercial real estate [Member] | Construction [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial real estate [Member] | Construction [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial real estate [Member] | Construction [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Consumer Real Estate [Member] | 1-4 Family Residential Mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,555 | 1,607 |
Current | 167,429 | 148,646 |
Total Loans Receivable | 168,984 | 150,253 |
Loans Receivable - Greater than 90 Days and Accruing | 57 | 380 |
Consumer Real Estate [Member] | 1-4 Family Residential Mortgages [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,310 | 565 |
Consumer Real Estate [Member] | 1-4 Family Residential Mortgages [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 124 | 662 |
Consumer Real Estate [Member] | 1-4 Family Residential Mortgages [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 121 | 380 |
Consumer Real Estate [Member] | Home equity loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 9 | 181 |
Current | 11,448 | 10,210 |
Total Loans Receivable | 11,457 | 10,391 |
Loans Receivable - Greater than 90 Days and Accruing | 3 | |
Consumer Real Estate [Member] | Home equity loans [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 9 | 178 |
Consumer Real Estate [Member] | Home equity loans [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Consumer Real Estate [Member] | Home equity loans [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3 | |
Consumer Real Estate [Member] | Home equity lines of credit [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 30 | |
Current | 57,961 | 53,127 |
Total Loans Receivable | 57,991 | 53,127 |
Loans Receivable - Greater than 90 Days and Accruing | ||
Consumer Real Estate [Member] | Home equity lines of credit [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Consumer Real Estate [Member] | Home equity lines of credit [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 30 | |
Consumer Real Estate [Member] | Home equity lines of credit [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial and industrial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 266 | 341 |
Current | 41,458 | 42,130 |
Total Loans Receivable | 41,724 | 42,471 |
Loans Receivable - Greater than 90 Days and Accruing | 191 | |
Commercial and industrial [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 266 | |
Commercial and industrial [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial and industrial [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 266 | 75 |
Commercial and industrial [Member] | Tax-free loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Current | 19,632 | 13,091 |
Total Loans Receivable | 19,632 | 13,091 |
Loans Receivable - Greater than 90 Days and Accruing | ||
Commercial and industrial [Member] | Tax-free loans [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial and industrial [Member] | Tax-free loans [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial and industrial [Member] | Tax-free loans [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial and industrial [Member] | Agriculture loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Current | 18,487 | 21,630 |
Total Loans Receivable | 18,487 | 21,630 |
Loans Receivable - Greater than 90 Days and Accruing | ||
Commercial and industrial [Member] | Agriculture loans [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial and industrial [Member] | Agriculture loans [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Commercial and industrial [Member] | Agriculture loans [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | ||
Consumer [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 23 | 21 |
Current | 5,143 | 4,516 |
Total Loans Receivable | 5,166 | 4,537 |
Loans Receivable - Greater than 90 Days and Accruing | 6 | 1 |
Consumer [Member] | 30-59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 9 | 16 |
Consumer [Member] | 60-89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 8 | 4 |
Consumer [Member] | Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 6 | $ 1 |
Loans and Allowance for Loan 30
Loans and Allowance for Loan Losses (Schedule of Nonaccrual Loans by Class) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | $ 687 | $ 721 |
Commercial real estate [Member] | Commercial mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | 528 | 646 |
Commercial real estate [Member] | Agriculture mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | ||
Commercial real estate [Member] | Construction [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | ||
Consumer Real Estate [Member] | 1-4 Family Residential Mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | 64 | |
Consumer Real Estate [Member] | Home equity loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | ||
Consumer Real Estate [Member] | Home equity lines of credit [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | ||
Commercial and industrial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | 75 | 75 |
Commercial and industrial [Member] | Tax-free loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | ||
Commercial and industrial [Member] | Agriculture loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | ||
Consumer [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accrual Loans | $ 20 |
Loans and Allowance for Loan 31
Loans and Allowance for Loan Losses (Schedule of Impaired Loans) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Total impaired loans | |||||
Average recorded balance of impaired loans | $ 2,152 | $ 1,830 | $ 2,394 | $ 1,894 | $ 2,129 |
Interest income recognized on impaired loans | $ 17 | $ 14 | $ 49 | $ 42 | $ 57 |
Loans and Allowance for Loan 32
Loans and Allowance for Loan Losses (Schedule of Impaired Loans by Loan Portfolio Class) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Loans with no related allowance recorded: | |||||
Recorded Investment | $ 1,726 | $ 2,072 | $ 1,726 | $ 2,072 | $ 1,969 |
Unpaid Principal Balance | 1,823 | 2,169 | 1,823 | 2,169 | 2,066 |
Related Allowance | |||||
Average Recorded Investment | 1,976 | 1,894 | 2,129 | ||
Interest Income Recognized | 49 | 42 | 57 | ||
Loans with an allowance recorded: | |||||
Recorded Investment | 418 | 418 | |||
Unpaid Principal Balance | 418 | 418 | |||
Related Allowance | 98 | 98 | |||
Average Recorded Investment | 418 | ||||
Interest Income Recognized | |||||
Total impaired loans | |||||
Recorded Investment | 2,144 | 2,072 | 2,144 | 2,072 | 1,969 |
Unpaid Principal Balance | 2,241 | 2,169 | 2,241 | 2,169 | 2,066 |
Related Allowance | 98 | 98 | |||
Average Recorded Investment | 2,152 | 1,830 | 2,394 | 1,894 | 2,129 |
Interest Income Recognized | 17 | 14 | 49 | 42 | 57 |
Commercial real estate [Member] | |||||
Loans with no related allowance recorded: | |||||
Recorded Investment | 1,388 | 1,997 | 1,388 | 1,997 | 1,894 |
Unpaid Principal Balance | 1,485 | 2,094 | 1,485 | 2,094 | 1,991 |
Related Allowance | |||||
Average Recorded Investment | 1,501 | 1,856 | 2,053 | ||
Interest Income Recognized | 44 | 42 | 57 | ||
Loans with an allowance recorded: | |||||
Recorded Investment | 418 | 418 | |||
Unpaid Principal Balance | 418 | 418 | |||
Related Allowance | 98 | 98 | |||
Average Recorded Investment | 418 | ||||
Interest Income Recognized | |||||
Total impaired loans | |||||
Recorded Investment | 1,806 | 1,997 | 1,806 | 1,997 | 1,894 |
Unpaid Principal Balance | 1,903 | 2,094 | 1,903 | 2,094 | 1,991 |
Related Allowance | 98 | 98 | |||
Average Recorded Investment | 1,919 | 1,856 | 2,053 | ||
Interest Income Recognized | 44 | 42 | 57 | ||
Commercial real estate [Member] | Commercial mortgages [Member] | |||||
Loans with no related allowance recorded: | |||||
Recorded Investment | 195 | 730 | 195 | 730 | 646 |
Unpaid Principal Balance | 292 | 827 | 292 | 827 | 743 |
Related Allowance | |||||
Average Recorded Investment | 281 | 561 | 768 | ||
Interest Income Recognized | 4 | 2 | |||
Loans with an allowance recorded: | |||||
Recorded Investment | 418 | 418 | |||
Unpaid Principal Balance | 418 | 418 | |||
Related Allowance | 98 | 98 | |||
Average Recorded Investment | 418 | ||||
Interest Income Recognized | |||||
Total impaired loans | |||||
Recorded Investment | 613 | 730 | 613 | 730 | 646 |
Unpaid Principal Balance | 710 | 827 | 710 | 827 | 743 |
Related Allowance | 98 | 98 | |||
Average Recorded Investment | 699 | 561 | 768 | ||
Interest Income Recognized | 4 | 2 | |||
Commercial real estate [Member] | Agricultural Sector [Member] | |||||
Loans with no related allowance recorded: | |||||
Recorded Investment | 1,193 | 1,267 | 1,193 | 1,267 | 1,248 |
Unpaid Principal Balance | 1,193 | 1,267 | 1,193 | 1,267 | 1,248 |
Related Allowance | |||||
Average Recorded Investment | 1,220 | 1,295 | 1,285 | ||
Interest Income Recognized | 40 | 42 | 55 | ||
Loans with an allowance recorded: | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Total impaired loans | |||||
Recorded Investment | 1,193 | 1,267 | 1,193 | 1,267 | 1,248 |
Unpaid Principal Balance | 1,193 | 1,267 | 1,193 | 1,267 | 1,248 |
Related Allowance | |||||
Average Recorded Investment | 1,220 | 1,295 | 1,285 | ||
Interest Income Recognized | 40 | 42 | 55 | ||
Commercial real estate [Member] | Construction [Member] | |||||
Loans with no related allowance recorded: | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Loans with an allowance recorded: | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Total impaired loans | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Commercial and Industrial Sector [Member] | |||||
Loans with no related allowance recorded: | |||||
Recorded Investment | 75 | 75 | 75 | 75 | 75 |
Unpaid Principal Balance | 75 | 75 | 75 | 75 | 75 |
Related Allowance | |||||
Average Recorded Investment | 75 | 38 | 76 | ||
Interest Income Recognized | |||||
Loans with an allowance recorded: | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Total impaired loans | |||||
Recorded Investment | 75 | 75 | 75 | 75 | 75 |
Unpaid Principal Balance | 75 | 75 | 75 | 75 | 75 |
Related Allowance | |||||
Average Recorded Investment | 75 | 38 | 76 | ||
Interest Income Recognized | |||||
Commercial and Industrial Sector [Member] | Tax-free loans [Member] | |||||
Loans with no related allowance recorded: | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Loans with an allowance recorded: | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Total impaired loans | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Commercial and Industrial Sector [Member] | Agriculture loans [Member] | |||||
Loans with no related allowance recorded: | |||||
Recorded Investment | 263 | 263 | |||
Unpaid Principal Balance | 263 | 263 | |||
Related Allowance | |||||
Average Recorded Investment | 400 | ||||
Interest Income Recognized | 5 | ||||
Loans with an allowance recorded: | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Total impaired loans | |||||
Recorded Investment | 263 | 263 | |||
Unpaid Principal Balance | 263 | 263 | |||
Related Allowance | |||||
Average Recorded Investment | 400 | ||||
Interest Income Recognized | 5 | ||||
Total Commercial and Industrial Sector [Member] | |||||
Loans with no related allowance recorded: | |||||
Recorded Investment | 338 | 75 | 338 | 75 | 75 |
Unpaid Principal Balance | 338 | 75 | 338 | 75 | 75 |
Related Allowance | |||||
Average Recorded Investment | 475 | 38 | 76 | ||
Interest Income Recognized | 5 | ||||
Loans with an allowance recorded: | |||||
Recorded Investment | |||||
Unpaid Principal Balance | |||||
Related Allowance | |||||
Average Recorded Investment | |||||
Interest Income Recognized | |||||
Total impaired loans | |||||
Recorded Investment | 338 | 75 | 338 | 75 | 75 |
Unpaid Principal Balance | 338 | 75 | 338 | 75 | 75 |
Related Allowance | |||||
Average Recorded Investment | 475 | 38 | 76 | ||
Interest Income Recognized | $ 5 |
Loans and Allowance for Loan 33
Loans and Allowance for Loan Losses (Schedule of Allowance for Credit Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Sep. 30, 2016 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Beginning balance | $ 7,802 | $ 7,672 | $ 7,562 | $ 7,247 | $ 7,040 | $ 7,078 | $ 7,078 |
Charge-offs | (16) | (3) | (11) | (29) | (2) | (16) | (157) |
Recoveries | 2 | 13 | 31 | 17 | 159 | 28 | |
Provision (credit) | 240 | 120 | 90 | 200 | 50 | (50) | |
Ending balance | 8,028 | 7,802 | 7,672 | 7,435 | 7,247 | 7,040 | 7,435 |
Commercial Real Estate [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Beginning balance | 3,728 | 3,520 | 3,795 | 3,783 | 3,528 | 3,831 | 3,831 |
Charge-offs | |||||||
Recoveries | |||||||
Provision (credit) | 31 | 208 | (275) | 95 | 255 | (303) | |
Ending balance | 3,759 | 3,728 | 3,520 | 3,878 | 3,783 | 3,528 | 3,878 |
Consumer Real Estate [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Beginning balance | 1,918 | 1,835 | 1,652 | 1,473 | 1,368 | 1,403 | 1,403 |
Charge-offs | |||||||
Recoveries | 20 | 1 | 10 | ||||
Provision (credit) | (16) | 83 | 163 | 95 | 105 | (45) | |
Ending balance | 1,902 | 1,918 | 1,835 | 1,569 | 1,473 | 1,368 | 1,569 |
Commercial and Industrial Sector [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Beginning balance | 1,617 | 1,649 | 1,552 | 1,261 | 1,373 | 1,314 | 1,314 |
Charge-offs | (7) | (7) | (19) | (4) | |||
Recoveries | 2 | 10 | 9 | 9 | 159 | 16 | |
Provision (credit) | 201 | (42) | 95 | 101 | (271) | 47 | |
Ending balance | 1,813 | 1,617 | 1,649 | 1,352 | 1,261 | 1,373 | 1,352 |
Consumer Portfolio Segment [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Beginning balance | 119 | 83 | 82 | 71 | 67 | 62 | 62 |
Charge-offs | (9) | (3) | (4) | (10) | (2) | (12) | |
Recoveries | 3 | 2 | 7 | 2 | |||
Provision (credit) | (18) | 36 | 3 | 20 | 6 | 15 | |
Ending balance | 92 | 119 | 83 | 88 | 71 | 67 | 88 |
Unallocated [Member] | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Beginning balance | 420 | 585 | 481 | 659 | 704 | 468 | 468 |
Charge-offs | |||||||
Recoveries | |||||||
Provision (credit) | 42 | (165) | 104 | (111) | (45) | 236 | |
Ending balance | $ 462 | $ 420 | $ 585 | $ 548 | $ 659 | $ 704 | $ 548 |
Loans and Allowance for Loan 34
Loans and Allowance for Loan Losses (Schedule of Allowance for Credit Losses and Recorded Investment) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | |
Allowance for credit losses: | |||||||||
Ending balance | $ 8,028 | $ 7,802 | $ 7,672 | $ 7,562 | $ 7,435 | $ 7,247 | $ 7,040 | $ 7,078 | |
Individually evaluated for impairment | 98 | ||||||||
Collectively evaluated for impairment | 7,930 | 7,562 | |||||||
Loans receivable: | |||||||||
Total Loans Receivable | 582,940 | 570,567 | |||||||
Individually evaluated for impairment | 2,144 | 1,969 | |||||||
Collectively evaluated for impairment | 580,796 | 568,598 | |||||||
Commercial Real Estate [Member] | |||||||||
Allowance for credit losses: | |||||||||
Ending balance | 3,759 | 3,728 | 3,520 | 3,795 | 3,878 | 3,783 | 3,528 | 3,831 | |
Individually evaluated for impairment | 98 | ||||||||
Collectively evaluated for impairment | 3,661 | 3,795 | |||||||
Loans receivable: | |||||||||
Total Loans Receivable | 259,499 | 275,067 | |||||||
Individually evaluated for impairment | 1,806 | 1,894 | |||||||
Collectively evaluated for impairment | 257,693 | 273,173 | |||||||
Consumer Real Estate [Member] | |||||||||
Allowance for credit losses: | |||||||||
Ending balance | 1,902 | 1,918 | 1,835 | 1,652 | 1,569 | 1,473 | 1,368 | 1,403 | |
Individually evaluated for impairment | |||||||||
Collectively evaluated for impairment | 1,902 | 1,652 | |||||||
Loans receivable: | |||||||||
Total Loans Receivable | [1] | 238,432 | 213,771 | ||||||
Individually evaluated for impairment | |||||||||
Collectively evaluated for impairment | 238,432 | 213,771 | |||||||
Commercial and Industrial Sector [Member] | |||||||||
Allowance for credit losses: | |||||||||
Ending balance | 1,813 | 1,617 | 1,649 | 1,552 | 1,352 | 1,261 | 1,373 | 1,314 | |
Individually evaluated for impairment | |||||||||
Collectively evaluated for impairment | 1,813 | 1,552 | |||||||
Loans receivable: | |||||||||
Total Loans Receivable | 79,843 | 77,192 | |||||||
Individually evaluated for impairment | 338 | 75 | |||||||
Collectively evaluated for impairment | 79,505 | 77,117 | |||||||
Consumer Portfolio Segment [Member] | |||||||||
Allowance for credit losses: | |||||||||
Ending balance | 92 | 119 | 83 | 82 | 88 | 71 | 67 | 62 | |
Individually evaluated for impairment | |||||||||
Collectively evaluated for impairment | 92 | 82 | |||||||
Loans receivable: | |||||||||
Total Loans Receivable | 5,166 | 4,537 | |||||||
Individually evaluated for impairment | |||||||||
Collectively evaluated for impairment | 5,166 | 4,537 | |||||||
Unallocated [Member] | |||||||||
Allowance for credit losses: | |||||||||
Ending balance | 462 | $ 420 | $ 585 | 481 | $ 548 | $ 659 | $ 704 | $ 468 | |
Individually evaluated for impairment | |||||||||
Collectively evaluated for impairment | $ 462 | $ 481 | |||||||
[1] | Real estate loans serviced for others, which are not included in the Consolidated Balance Sheets, totaled $90,123,000 and $66,767,000 as of September 30, 2017, and December 31, 2016, respectively. |
Fair Value Presentation (Narrat
Fair Value Presentation (Narrative) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | $ 2,144 | $ 1,969 | $ 2,072 |
Related Allowance | 98 | ||
CRA Investment Fund [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable equity securities, book value | 5,250 | 5,250 | |
Marketable equity securities, market value | 5,250 | 5,250 | |
Regulatory Bank Stock [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable equity securities, book value | 307 | 219 | |
Marketable equity securities, market value | $ 368 | ||
Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | Regulatory Bank Stock [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable equity securities, market value | $ 274 |
Fair Value Presentation (Schedu
Fair Value Presentation (Schedule of Assets Measured on Recurring Basis) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | $ 320,695 | $ 308,111 | $ 298,139 |
U.S. Government Agencies [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 28,647 | 32,261 | |
U.S. Agency Mortgage-Backed Securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 53,583 | 55,869 | |
U.S. Agency Collateralized Mortgage Obligations [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 54,038 | 37,936 | |
Corporate Bonds [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 57,136 | 52,091 | |
Obligations of States and Political Subdivisions [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 121,673 | 124,430 | |
Marketable equity securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 5,618 | 5,524 | |
Total Debt Securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 315,077 | 302,587 | |
Fair Value Measured on a Recurring Basis [Member] | U.S. Government Agencies [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 28,647 | 32,261 | |
Fair Value Measured on a Recurring Basis [Member] | U.S. Agency Mortgage-Backed Securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 53,583 | 55,869 | |
Fair Value Measured on a Recurring Basis [Member] | U.S. Agency Collateralized Mortgage Obligations [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 54,038 | 37,936 | |
Fair Value Measured on a Recurring Basis [Member] | Corporate Bonds [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 57,136 | 52,091 | |
Fair Value Measured on a Recurring Basis [Member] | Obligations of States and Political Subdivisions [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 121,673 | 124,430 | |
Fair Value Measured on a Recurring Basis [Member] | Marketable equity securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 5,618 | 5,524 | |
Fair Value Measured on a Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 5,618 | 5,524 | |
Fair Value Measured on a Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | U.S. Government Agencies [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | U.S. Agency Mortgage-Backed Securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | U.S. Agency Collateralized Mortgage Obligations [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | Corporate Bonds [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | Obligations of States and Political Subdivisions [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | Marketable equity securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 5,618 | 5,524 | |
Fair Value Measured on a Recurring Basis [Member] | Significant Other Observable Inputs (Level II) [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 315,077 | 302,587 | |
Fair Value Measured on a Recurring Basis [Member] | Significant Other Observable Inputs (Level II) [Member] | U.S. Government Agencies [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 28,647 | 32,261 | |
Fair Value Measured on a Recurring Basis [Member] | Significant Other Observable Inputs (Level II) [Member] | U.S. Agency Mortgage-Backed Securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 53,583 | 55,869 | |
Fair Value Measured on a Recurring Basis [Member] | Significant Other Observable Inputs (Level II) [Member] | U.S. Agency Collateralized Mortgage Obligations [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 54,038 | 37,936 | |
Fair Value Measured on a Recurring Basis [Member] | Significant Other Observable Inputs (Level II) [Member] | Corporate Bonds [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 57,136 | 52,091 | |
Fair Value Measured on a Recurring Basis [Member] | Significant Other Observable Inputs (Level II) [Member] | Obligations of States and Political Subdivisions [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | 121,673 | 124,430 | |
Fair Value Measured on a Recurring Basis [Member] | Significant Other Observable Inputs (Level II) [Member] | Marketable equity securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Significant Unobservable Inputs (Level III) [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Significant Unobservable Inputs (Level III) [Member] | U.S. Government Agencies [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Significant Unobservable Inputs (Level III) [Member] | U.S. Agency Mortgage-Backed Securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Significant Unobservable Inputs (Level III) [Member] | U.S. Agency Collateralized Mortgage Obligations [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Significant Unobservable Inputs (Level III) [Member] | Corporate Bonds [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Significant Unobservable Inputs (Level III) [Member] | Obligations of States and Political Subdivisions [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) | |||
Fair Value Measured on a Recurring Basis [Member] | Significant Unobservable Inputs (Level III) [Member] | Marketable equity securities [Member] | |||
Recurring Fair Value Measurements | |||
Securities available for sale (at fair value) |
Fair Value Presentation (Sche37
Fair Value Presentation (Schedule of Assets Measured on Nonrecurring Basis) (Details) - Fair Value Measured on a Nonrecurring Basis [Member] - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Non-Recurring Fair Value Measurements | ||
Impaired Loans | $ 2,046 | $ 1,969 |
Total Fair Value, non-recurring | 2,046 | 1,969 |
Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | ||
Non-Recurring Fair Value Measurements | ||
Impaired Loans | ||
Total Fair Value, non-recurring | ||
Significant Other Observable Inputs (Level II) [Member] | ||
Non-Recurring Fair Value Measurements | ||
Impaired Loans | ||
Total Fair Value, non-recurring | ||
Significant Unobservable Inputs (Level III) [Member] | ||
Non-Recurring Fair Value Measurements | ||
Impaired Loans | 2,046 | 1,969 |
Total Fair Value, non-recurring | $ 2,046 | $ 1,969 |
Fair Value Presentation (Sche38
Fair Value Presentation (Schedule of Level III Inputs to Determine Fair Value) (Details) - Impaired Loans [Member] - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2017 | Dec. 31, 2016 | |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Total Fair Value, non-recurring | $ 2,046 | $ 1,969 |
Valuation Techniques | Appraisal of collateral | Appraisal of collateral |
Unobservable inputs - Appraisal adjustments | (20.00%) | (20.00%) |
Unobservable inputs - Liquidation expenses | (10.00%) | (10.00%) |
Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Unobservable inputs - Appraisal adjustments | (20.00%) | (20.00%) |
Unobservable inputs - Liquidation expenses | (10.00%) | (10.00%) |
Interim Disclosures about Fai39
Interim Disclosures about Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2015 |
Financial Assets: | ||||
Cash and cash equivalents | $ 44,240 | $ 45,632 | $ 49,867 | $ 44,227 |
Securities available for sale | 320,695 | 308,111 | 298,139 | |
Regulatory stock | 6,139 | 5,372 | 5,218 | |
Loans, net of allowance | 576,049 | 564,005 | 558,533 | |
Bank owned life insurance | 25,161 | 24,687 | 24,489 | |
Financial Liabilities: | ||||
Demand deposits | 301,978 | 280,543 | 260,873 | |
Total deposits | 838,825 | 817,491 | 792,660 | |
Short-term borrowings | 8,329 | 12,053 | ||
Long-term debt | 68,350 | 61,257 | $ 63,757 | |
Carrying Amount [Member] | ||||
Financial Assets: | ||||
Cash and cash equivalents | 44,240 | 45,632 | ||
Securities available for sale | 320,695 | 308,111 | ||
Regulatory stock | 6,139 | 5,372 | ||
Loans held for sale | 3,809 | 2,552 | ||
Loans, net of allowance | 576,049 | 564,005 | ||
Mortgage servicing assets | 592 | 410 | ||
Accrued interest receivable | 3,391 | 3,750 | ||
Bank owned life insurance | 25,161 | 24,687 | ||
Financial Liabilities: | ||||
Demand deposits | 301,978 | 280,543 | ||
Interest-bearing demand deposits | 19,279 | 20,108 | ||
NOW accounts | 78,061 | 85,540 | ||
Money market deposit accounts | 99,235 | 93,943 | ||
Savings accounts | 188,015 | 175,753 | ||
Time deposits | 152,257 | 161,604 | ||
Total deposits | 838,825 | 817,491 | ||
Short-term borrowings | 8,329 | |||
Long-term debt | 68,350 | 61,257 | ||
Accrued interest payable | 391 | 384 | ||
Fair Value [Member] | ||||
Financial Assets: | ||||
Cash and cash equivalents | 44,240 | 45,632 | ||
Securities available for sale | 320,695 | 308,111 | ||
Regulatory stock | 6,139 | 5,372 | ||
Loans held for sale | 3,809 | 2,552 | ||
Loans, net of allowance | 573,681 | 563,418 | ||
Mortgage servicing assets | 678 | 531 | ||
Accrued interest receivable | 3,391 | 3,750 | ||
Bank owned life insurance | 25,161 | 24,687 | ||
Financial Liabilities: | ||||
Demand deposits | 301,978 | 280,543 | ||
Interest-bearing demand deposits | 19,279 | 20,108 | ||
NOW accounts | 78,061 | 85,540 | ||
Money market deposit accounts | 99,235 | 93,943 | ||
Savings accounts | 188,015 | 175,753 | ||
Time deposits | 153,163 | 163,464 | ||
Total deposits | 839,731 | 819,351 | ||
Short-term borrowings | 8,329 | |||
Long-term debt | 68,429 | 61,372 | ||
Accrued interest payable | 391 | 384 | ||
Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level I) [Member] | ||||
Financial Assets: | ||||
Cash and cash equivalents | 44,240 | 45,632 | ||
Securities available for sale | 5,618 | 5,524 | ||
Regulatory stock | 6,139 | 5,372 | ||
Loans held for sale | 3,809 | 2,552 | ||
Loans, net of allowance | ||||
Accrued interest receivable | 3,391 | 3,750 | ||
Bank owned life insurance | 25,161 | 24,687 | ||
Financial Liabilities: | ||||
Demand deposits | 301,978 | 280,543 | ||
Interest-bearing demand deposits | 19,279 | 20,108 | ||
NOW accounts | 78,061 | 85,540 | ||
Money market deposit accounts | 99,235 | 93,943 | ||
Savings accounts | 188,015 | 175,753 | ||
Time deposits | ||||
Total deposits | 686,568 | 655,887 | ||
Short-term borrowings | 8,329 | |||
Long-term debt | ||||
Accrued interest payable | 391 | 384 | ||
Fair Value [Member] | Significant Other Observable Inputs (Level II) [Member] | ||||
Financial Assets: | ||||
Cash and cash equivalents | ||||
Securities available for sale | 315,077 | 302,587 | ||
Regulatory stock | ||||
Loans held for sale | ||||
Loans, net of allowance | ||||
Accrued interest receivable | ||||
Bank owned life insurance | ||||
Financial Liabilities: | ||||
Demand deposits | ||||
Interest-bearing demand deposits | ||||
NOW accounts | ||||
Money market deposit accounts | ||||
Savings accounts | ||||
Time deposits | ||||
Total deposits | ||||
Short-term borrowings | ||||
Long-term debt | ||||
Accrued interest payable | ||||
Fair Value [Member] | Significant Unobservable Inputs (Level III) [Member] | ||||
Financial Assets: | ||||
Cash and cash equivalents | ||||
Securities available for sale | ||||
Regulatory stock | ||||
Loans held for sale | ||||
Loans, net of allowance | 573,681 | 563,418 | ||
Mortgage servicing assets | 678 | 531 | ||
Accrued interest receivable | ||||
Bank owned life insurance | ||||
Financial Liabilities: | ||||
Demand deposits | ||||
Interest-bearing demand deposits | ||||
NOW accounts | ||||
Money market deposit accounts | ||||
Savings accounts | ||||
Time deposits | 153,163 | 163,464 | ||
Total deposits | 153,163 | 163,464 | ||
Short-term borrowings | ||||
Long-term debt | 68,429 | 61,372 | ||
Accrued interest payable |
Commitments and Contingent Li40
Commitments and Contingent Liabilities (Details) $ in Millions | Sep. 30, 2017USD ($) |
Commitment to extend credit | $ 260.9 |
Loan Commitments [Member] | |
Commitment to extend credit | 40.5 |
Line of Credit [Member] | |
Commitment to extend credit | 209.3 |
Letter of Credit [Member] | |
Commitment to extend credit | $ 11.1 |
Accumulated Other Comprehensi41
Accumulated Other Comprehensive Income (Loss) (Schedule of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | $ 94,939 | $ 94,939 | ||||||
Other comprehensive income (loss), net of tax | $ (380) | $ (735) | 2,653 | $ 1,473 | ||||
Ending balance | 100,867 | 99,953 | 100,867 | 99,953 | ||||
Unrealized Gains (Losses) on Securities Available-for-Sale [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | (1,852) | $ (4,559) | (4,885) | 1,956 | $ 318 | $ (252) | (4,885) | (252) |
Other comprehensive income (loss) before reclassifications | (268) | 2,778 | 418 | (429) | 2,258 | 1,050 | ||
Amount reclassified from accumulated other comprehensive income (loss) | (112) | (71) | (92) | (306) | (620) | (480) | ||
Other comprehensive income (loss), net of tax | (380) | 2,707 | 326 | (735) | 1,638 | 570 | ||
Ending balance | $ (2,232) | $ (1,852) | $ (4,559) | $ 1,221 | $ 1,956 | $ 318 | $ (2,232) | $ 1,221 |
Federal income tax rate | 34.00% |
Accumulated Other Comprehensi42
Accumulated Other Comprehensive Income (Loss) (Schedule of Amounts Reclassified from AOCI) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Gains on securities transactions, net | $ 170 | $ 464 | $ 417 | $ 2,130 |
Provision for federal income taxes | (391) | (445) | (935) | (1,045) |
Reclassifications for the period | 2,034 | 2,077 | 5,733 | 5,633 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Securities Available-for-Sale [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Gains on securities transactions, net | 170 | 464 | 417 | 2,130 |
Provision for federal income taxes | (58) | (158) | (142) | (724) |
Reclassifications for the period | $ 112 | $ 306 | $ 275 | $ 1,406 |