Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Mar. 31, 2015 | Jun. 30, 2014 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | HomeTown Bankshares Corp | ||
Document Type | 10-K | ||
Current Fiscal Year End Date | -19 | ||
Entity Common Stock, Shares Outstanding | 3,296,237 | ||
Entity Public Float | $19,297,569 | ||
Amendment Flag | FALSE | ||
Entity Central Index Key | 1461640 | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Well-known Seasoned Issuer | No | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Assets | ||
Cash and due from banks | $13,795,000 | $19,537,000 |
Federal funds sold | 649,000 | 738,000 |
Securities available for sale, at fair value | 54,603,000 | 57,922,000 |
Restricted equity securities, at cost | 2,476,000 | 2,564,000 |
Loans held for sale | 242,000 | 0 |
Loans, net of allowance for loan losses of $3,332 in 2014 and $3,721 in 2013 | 328,347,000 | 294,212,000 |
Property and equipment, net | 14,900,000 | 12,155,000 |
Other real estate owned, net of valuation allowance of $422 in 2014 and $935 in 2013 | 6,986,000 | 8,143,000 |
Bank owned life insurance | 3,622,000 | 3,518,000 |
Deferred tax asset, net | 1,159,000 | |
Accrued income | 1,924,000 | 1,877,000 |
Other assets | 665,000 | 612,000 |
Total assets | 428,209,000 | 402,437,000 |
Liabilities and Stockholders’ Equity | ||
Noninterest-bearing | 51,226,000 | 46,232,000 |
Interest-bearing | 311,369,000 | 293,538,000 |
Total deposits | 362,595,000 | 339,770,000 |
Short term borrowings | 422,000 | 258,000 |
Federal Home Loan Bank borrowings | 20,000,000 | 22,000,000 |
Accrued interest payable | 272,000 | 286,000 |
Other liabilities | 1,695,000 | 585,000 |
Total liabilities | 384,984,000 | 362,899,000 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Common stock, $5 par value; authorized 10,000,000 shares, issued and outstanding 3,287,567 (includes 37,727 restricted shares) at December 31, 2014 and 3,270,299 (includes 27,846 restricted shares) at December 31, 2013 | 16,438,000 | 16,351,000 |
Surplus | 15,310,000 | 15,339,000 |
Retained deficit | -2,271,000 | -4,846,000 |
Accumulated other comprehensive income (loss) | 455,000 | -599,000 |
Total stockholders’ equity | 43,225,000 | 39,538,000 |
Total liabilities and stockholders’ equity | 428,209,000 | 402,437,000 |
Series C Preferred Stock [Member] | ||
Stockholders’ equity: | ||
Convertible preferred stock, no par value; Series C 20,000 shares authorized, 14,000 issued and outstanding at December 31, 2014 and at December 31, 2013 | $13,293,000 | $13,293,000 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parentheticals) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Loans, allowance for loan losses (in Dollars) | $3,332 | $3,721 |
Other real estate owned, valuation allowance (in Dollars) | $422 | $935 |
Common stock, par value (in Dollars per share) | $5 | $5 |
Common stock, authorized shares | 10,000,000 | 10,000,000 |
Common stock, shares issued | 3,287,567 | 3,270,299 |
Common stock, shares outstanding | 3,287,567 | 3,270,299 |
Common stock, restricted shares | 37,727 | 27,846 |
Series C Preferred Stock [Member] | ||
Preferred stock, par value (in Dollars per share) | $0 | $0 |
Preferred stock, authorized | 20,000 | 20,000 |
Preferred stock, issued | 14,000 | 14,000 |
Preferred stock, outstanding | 14,000 | 14,000 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Interest and dividend income: | ||
Loans and fees on loans | $15,230 | $14,403 |
Taxable investment securities | 1,000 | 1,277 |
Nontaxable investment securities | 400 | 206 |
Dividends on restricted stock | 129 | 100 |
Other interest income | 39 | 44 |
Total interest and dividend income | 16,798 | 16,030 |
Interest expense: | ||
Deposits | 1,746 | 1,845 |
Other borrowed funds | 372 | 377 |
Total interest expense | 2,118 | 2,222 |
Net interest income | 14,680 | 13,808 |
Provision for loan losses | 125 | |
Net interest income after provision for loan losses | 14,680 | 13,683 |
Noninterest income: | ||
Service charges on deposit accounts | 452 | 314 |
ATM and interchange income | 443 | 327 |
Mortgage loan brokerage fees | 231 | 282 |
Gains on sales of investment securities | 128 | 152 |
Other income | 632 | 369 |
Total noninterest income | 1,886 | 1,444 |
Noninterest expense: | ||
Salaries and employee benefits | 5,802 | 5,242 |
Occupancy and equipment expense | 1,535 | 1,317 |
Data processing expense | 720 | 596 |
Advertising and marketing expense | 598 | 457 |
Professional fees | 581 | 495 |
Bank franchise taxes | 262 | 203 |
FDIC insurance expense | 283 | 514 |
(Gains), losses on sales and writedowns of other real estate owned, net | -10 | 582 |
Other real estate owned expense | 224 | 250 |
Directorsb fees | 223 | 217 |
Other expense | 1,346 | 1,185 |
Total noninterest expense | 11,564 | 11,058 |
Net income before income taxes | 5,002 | 4,069 |
Income tax expense | 1,587 | 1,340 |
Net income | 3,415 | 2,729 |
Effective dividends on preferred stock | 840 | 846 |
Accretion of discount on preferred stock | 142 | |
Net income available to common stockholders | $2,575 | $1,741 |
Basic earnings per common share (in Dollars per share) | $0.78 | $0.53 |
Diluted earnings per common share (in Dollars per share) | $0.62 | $0.48 |
Weighted average common shares outstanding (in Shares) | 3,284,870 | 3,269,063 |
Diluted weighted average common shares outstanding (in Shares) | 5,524,870 | 4,416,679 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Net income | $3,415 | $2,729 |
Other comprehensive income: | ||
Net unrealized holding gains (losses) on securities available for sale during the period | 1,725 | -2,898 |
Deferred income tax (expense) benefit on unrealized holding gains (losses) on securities available for sale | -587 | 979 |
Reclassification adjustment for gains included in net income | -128 | -152 |
Tax expense related to realized gains on securities sold | 44 | 52 |
Total other comprehensive income (loss) | 1,054 | -2,019 |
Comprehensive income | $4,469 | $710 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Stockholdersb Equity (USD $) | Series A and B Preferred Stock [Member] | Series C Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Discount on Preferred Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total |
In Thousands | Preferred Stock [Member] | Preferred Stock [Member] | ||||||
Balance at Dec. 31, 2012 | $10,374 | $16,167 | $15,487 | ($6,587) | ($142) | $1,420 | $36,719 | |
Net income | 2,729 | 2,729 | ||||||
Other comprehensive income (loss), net of tax | -2,019 | -2,019 | ||||||
Restricted stock awarded | 184 | -184 | ||||||
Preferred stock issued | 13,293 | 13,293 | ||||||
Preferred stock redeemed | -10,374 | -10,374 | ||||||
Preferred stock dividend paid | -846 | -846 | ||||||
Accretion of discount on preferred stock | -142 | 142 | -142 | |||||
Stock based compensation | 36 | 36 | ||||||
Balance at Dec. 31, 2013 | 13,293 | 16,351 | 15,339 | -4,846 | -599 | 39,538 | ||
Net income | 3,415 | 3,415 | ||||||
Other comprehensive income (loss), net of tax | 1,054 | 1,054 | ||||||
Restricted stock awarded | 87 | -87 | ||||||
Preferred stock dividend paid | -840 | -840 | ||||||
Stock based compensation | 58 | 58 | ||||||
Balance at Dec. 31, 2014 | $13,293 | $16,438 | $15,310 | ($2,271) | $455 | $43,225 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Cash flows from operating activities: | ||
Net income | $3,415 | $2,729 |
Adjustments to reconcile net income to net cash provided by operations: | ||
Depreciation and amortization | 657 | 539 |
Provision for loan losses | 125 | |
Amortization of premium on securities, net | 577 | 2,261 |
(Gains), losses on sales and writedowns of other real estate, net | -10 | 582 |
Gains on sales of investment securities | -128 | -152 |
Losses on disposal of fixed assets | 114 | |
Increase in value of life insurance contracts | -104 | -18 |
Stock compensation expense | 58 | 36 |
Changes in assets and liabilities: | ||
Loans held for sale | -242 | |
Accrued income | -47 | -287 |
Other assets | -53 | 945 |
Deferred taxes, net | 856 | 1,272 |
Accrued interest payable | -14 | -46 |
Other liabilities | 870 | -602 |
Net cash flows provided by operating activities | 5,835 | 7,498 |
Cash flows used in investing activities: | ||
Net decrease (increase) in federal funds sold | 89 | -542 |
Purchases of investment securities | -9,428 | -18,739 |
Sales, maturities, and calls of available for sale securities | 13,895 | 19,124 |
Redemption (purchase) of restricted equity securities, net | 88 | 27 |
Net increase in loans | -35,655 | -24,803 |
Proceeds from sales of other real estate | 1,206 | 1,826 |
Purchases of bank owned life insurance | -3,500 | |
Purchases of property and equipment | -1,921 | -3,063 |
Proceeds from disposals of property and equipment | 9 | |
Net cash flows used in investing activities | -31,726 | -29,661 |
Cash flows from financing activities: | ||
Net increase in noninterest-bearing deposits | 4,994 | 13,605 |
Net increase in interest-bearing deposits | 17,831 | 16,168 |
Net increase in short-term borrowings | 164 | 42 |
Net decrease in FHLB borrowings | -2,000 | |
Preferred stock issue, net | 13,293 | |
Preferred stock redeemed | -10,374 | |
Preferred stock dividend payment | -840 | -846 |
Net cash flows provided by financing activities | 20,149 | 31,888 |
Net (decrease) increase in cash and cash equivalents | -5,742 | 9,725 |
Cash and cash equivalents, beginning | 19,537 | 9,812 |
Cash and cash equivalents, ending | 13,795 | 19,537 |
Supplemental disclosure of cash flow information: | ||
Cash payments for interest | 2,132 | 2,268 |
Cash payments for income taxes | 42 | 38 |
Supplemental disclosure of noncash investing activities: | ||
Transfer from loans to other real estate owned | 1,520 | 1,613 |
Transfer from other real estate to fixed assets | 1,481 | |
Change in unrealized gains (losses) on available for sale securities | $1,597 | ($3,050) |
Note_1_Organization_and_Summar
Note 1 - Organization and Summary of Significant Accounting Policies | 12 Months Ended | |
Dec. 31, 2014 | ||
Accounting Policies [Abstract] | ||
Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies [Text Block] | Note 1. Organization and Summary of Significant Accounting Policies | |
Organization | ||
On September 4, 2009, HomeTown Bankshares Corporation (the “Company”) acquired all outstanding stock of HomeTown Bank (the “Bank”) in an exchange for shares of the Company on a one-for-one basis to become a single-bank holding company with the Bank becoming a wholly-owned subsidiary. The Bank was organized and incorporated under the laws of the State of Virginia on November 9, 2004 and commenced operations on November 14, 2005. The Bank currently serves Roanoke City, Virginia, the County of Roanoke, Virginia, the City of Salem, Virginia, Christiansburg, Virginia, and surrounding areas. As a state chartered bank, which is a member of the Federal Reserve System, the Bank is subject to regulation by the Virginia Bureau of Financial Institutions, the Federal Deposit Insurance Corporation and the Federal Reserve Board. In 2014 the Bank formed a joint venture with another entity and now has a 49% ownership interest in HomeTown Residential Mortgage, LLC. | ||
Summary of Significant Accounting Policies | ||
The following is a description of the significant accounting and reporting policies the Company follows in preparing and presenting its consolidated financial statements. | ||
Principles of Consolidation | ||
The consolidated financial statements include the accounts of HomeTown Bankshares Corporation and its wholly-owned subsidiary HomeTown Bank. All significant intercompany balances and transactions have been eliminated in consolidation. | ||
Use of Estimates | ||
In preparing financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated balance sheet and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation of other real estate owned, and the valuation of deferred tax assets. Substantially all of the Company’s loan portfolio consists of loans in its market area. Accordingly, the ultimate collectability of a substantial portion of the Company’s loan portfolio and the recovery of a substantial portion of the carrying amount of foreclosed real estate (as applicable) is susceptible to changes in local market conditions. | ||
Cash and Cash Equivalents | ||
Cash and cash equivalents include cash on hand and amounts due from correspondent banks. For the purpose of presentation in the consolidated statements of cash flows, cash and cash equivalents are defined as those amounts included in the consolidated balance sheet caption “cash and due from banks”. | ||
Securities | ||
Investments in debt and equity securities with readily determinable fair values are classified as either held to maturity, available for sale, or trading, based on management’s intent. Currently, all of the Company’s investment securities are classified as available for sale. Available for sale securities are carried at estimated fair value with the corresponding unrealized gains and losses excluded from earnings and reported in other comprehensive income. Gains or losses are recognized in earnings on the trade date using the amortized cost of the specific security sold. Purchase premiums and discounts are recognized in interest income using the interest method over the terms of the securities. | ||
Impairment of securities occurs when the fair value of a security is less than its amortized cost. For debt securities, impairment is considered other-than-temporary and recognized in its entirety in net income if either (i) the Company intends to sell the security or (ii) it is more-likely-than-not that the Company will be required to sell the security before recovery of its amortized cost basis. If, however, the Company does not intend to sell the security and it is not likely that it will be required to sell the security before recovery, the Company must determine what portion of the impairment is attributable to a credit loss, which occurs when the amortized cost basis of the security exceeds the present value of the cash flows expected to be collected from the security. If there is no credit loss, there is no other-than-temporary impairment. If there is a credit loss, other-than-temporary impairment exists, and the credit loss must be recognized in net income and the remaining portion of impairment must be recognized in other comprehensive income. The Company regularly reviews each investment security for other-than-temporary impairment based on criteria that include the extent to which cost exceeds market price, the duration of that market decline, the financial health of and specific prospects for the issuer, the best estimate of the present value of cash flows expected to be collected from debt securities, the Company’s intention with regard to holding the security to maturity and the likelihood that the Company would be required to sell the security before recovery. | ||
Restricted Equity Securities | ||
As members of the Federal Reserve Bank (FRB) and the Federal Home Loan Bank of Atlanta (FHLB), the Company is required to maintain certain minimum investments in the capital stock of the FRB and FHLB. The Company’s investment in these securities is recorded at cost, based on the redemption provisions of the FRB and FHLB. | ||
Loans | ||
Loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off are reported at their outstanding principal amount adjusted for any charge-offs, allowance for loan losses and deferred fees or costs on originated loans. Loan origination fees and certain direct origination costs are capitalized and recognized as an adjustment of the yield of the related loan. | ||
Interest is accrued and credited to income based on the principal amount outstanding. The accrual of interest on impaired loans for all classes is discontinued when, in management’s opinion, the borrower may be unable to meet payments as they become due. When interest accrual is discontinued, all unpaid accrued interest for the current year is reversed. Interest income is subsequently recognized only to the extent cash payments are received. When facts and circumstances indicate the borrower has regained the ability to meet the required payments, the loan is returned to accrual status. Past due status of loans is determined based on contractual terms. The loan portfolio is comprised of the following classes. | ||
● | Residential real estate construction loans carry risks that the home will not be finished according to schedule, will not be finished according to the budget and the value of the collateral may, at any point in time, be less than the principal amount of the loan. Construction loans also bear the risk that the general contractor may be unable to finish the construction project as planned because of financial pressure unrelated to the project. | |
● | Land acquisition and development loans and commercial construction loans carry risks that the project will not be finished according to schedule, will not be finished according to budget and the value of the collateral may, at any point in time, be less than the principal amount of the loan. Land acquisition and development loans and commercial construction loans also bear the risk that the developer in the case of land acquisition and development loans or the general contractor in the case of commercial construction loans, may be unable to finish the development or construction project as planned because of financial pressure unrelated to the project. | |
● | Residential real estate loans carry risks associated with the continued credit worthiness of the borrower and changes in the value of the collateral. | |
● | Commercial real estate loans carry risks associated with the successful operation of a business or a real estate project, in addition to other risks associated with the ownership of real estate, because the repayment of these loans may be dependent upon the profitability and cash flows of the business or project. | |
● | Commercial, industrial and agricultural loans carry risks associated with the successful operation of a business. In addition, there is risk associated with the value of the collateral which may depreciate over time and cannot be appraised with as much precision. | |
● | Equity lines of credit carry risks associated with the continued credit worthiness of the borrower and changes in the value of the collateral. | |
● | Consumer loans carry risks associated with the continued credit worthiness of the borrower and the value of the collateral (e.g., rapidly-depreciating assets such as automobiles), or lack thereof. Consumer loans are more likely than real estate loans to be immediately adversely affected by job loss, divorce, illness or personal bankruptcy. | |
A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan by loan basis for commercial and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral, less cost to sell, if the loan is collateral dependent. | ||
TDRs (Troubled Debt Restructurings) occur when the Company agrees to significantly modify the original terms of a loan due to the deterioration in the financial condition of the borrower. TDRs are considered impaired loans. Upon designation as a TDR, the Company evaluates the borrower’s payment history, past due status and ability to make payments based on the revised terms of the loan. If a loan was accruing prior to being modified as a TDR and if the Company concludes that the borrower is able to make such payments, and there are no other factors or circumstances that would cause it to conclude otherwise, the loan will remain on an accruing status. If a loan was on nonaccrual status at the time of the TDR, the loan will remain on nonaccrual status following the modification and may be returned to accrual status based on a record of making payments as scheduled for a period of six consecutive months. | ||
Allowance for Loan Losses | ||
The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is confirmed. Consumer loans are charged off when they become 120 days past due. Non-consumer loans are charged off when the loan becomes 180 days past due unless the loan is well secured and in the process of collection. Borrowers that are in bankruptcy are charged off unless the debt has been reaffirmed and is well secured and recovery is probable. Subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. | ||
The allowance consists of specific and general components. The specific component relates to loans that are classified as impaired, and is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. For collateral dependent loans, an updated appraisal will be ordered if a current one is not on file. Appraisals are performed by independent third-party appraisers with relevant industry experience. Adjustments to the appraised value may be made based on recent sales of like properties or general market conditions when appropriate. The general component covers non-classified, or performing, loans and those loans classified as substandard or special mention that are not impaired. The general component is based on historical loss experience adjusted for qualitative factors, such as current economic conditions, including current home sales and foreclosures, unemployment rates and retail sales. The characteristics of the loan ratings are as follows: | ||
● | Pass rated loans are to persons or business entities with an acceptable financial condition, appropriate collateral margins, appropriate cash flow to service the existing loan, and an appropriate leverage ratio. The borrower has paid all obligations as agreed and it is expected that this type of payment history will continue. When necessary, acceptable personal guarantors support the loan. | |
● | Special mention loans have a specific defined weakness in the borrower’s operations and the borrower’s ability to generate positive cash flow on a sustained basis. The borrower’s recent payment history may be characterized by late payments. The Company’s risk exposure is mitigated by collateral supporting the loan. The collateral is considered to be well-margined, well maintained, accessible and readily marketable. | |
● | Substandard loans are considered to have specific and well-defined weaknesses that jeopardize the viability of the Company’s credit extension. The payment history for the loan may have been inconsistent and the expected or projected primary repayment source may be inadequate to service the loan. The estimated net liquidation value of the collateral pledged and/or ability of the personal guarantor(s) to pay the loan may not adequately protect the Company. There is a distinct possibility that the Company will sustain some loss if the deficiencies associated with the loan are not corrected in the near term. A substandard loan would not automatically meet our definition of impaired unless the loan is significantly past due and the borrower’s performance and financial condition provide evidence that it is probable that the Company will be unable to collect all amounts due. | |
● | Substandard nonaccrual loans have the same characteristics as substandard loans; however, they have a non-accrual classification and are considered impaired. | |
● | Doubtful rated loans have all the weaknesses inherent in a loan that is classified substandard but with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The possibility of loss is extremely high. | |
● | Loss rated loans are not considered collectible under normal circumstances and there is no realistic expectation for any future payment on the loan. Loss rated loans are fully charged off. | |
Loan Fees and Costs | ||
Loan origination and commitment fees and certain direct loan origination costs charged by the Bank are deferred and the net amount amortized as an adjustment of the related loan’s yield. The Bank is amortizing these net amounts over the contractual life of the related loans or, in the case of demand loans, over the estimated life. Net fees related to standby letters of credit are recognized over the commitment period. | ||
Property and Equipment | ||
Land is carried at cost. Buildings, equipment, and leasehold improvements are carried at cost, less accumulated depreciation and amortization. Depreciation is provided over the estimated useful lives of the respective assets on the straight-line basis. Estimated useful lives range from ten to forty years for buildings and from three to ten years for equipment, furniture, and fixtures. Leasehold improvements are amortized over a term which includes the remaining lease term and probable renewal periods on a straight-line basis. Maintenance and repairs are charged to expense as incurred and major improvements are capitalized. | ||
Foreclosed Properties | ||
Real estate properties acquired through, or in lieu of, loan foreclosure are to be sold and are initially recorded at fair value less anticipated cost to sell at the date of foreclosure establishing a new cost basis. After foreclosure, valuations are periodically performed by management, and the real estate is carried at the lower of carrying amount or fair value less cost to sell. Changes in the valuation allowance are included in the income statement in the line “Gains, losses on sales and writedowns of other real estate owned, net.” | ||
Bank Owned Life Insurance | ||
The Company purchased life insurance policies during 2013 on certain key executives. These policies are recorded at their cash surrender value. Increases in the cash surrender value of the life insurance contracts are included in noninterest income in the consolidated income statement caption “other income.” | ||
Transfers of Financial Assets | ||
Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity, or the ability to unilaterally cause the transferee to return specific assets. | ||
Advertising Expense | ||
The Company expenses advertising and marketing costs as they are incurred. For the years ended December 31, 2014 and 2013, advertising and marketing expense was $598 thousand and $457 thousand, respectively. | ||
Income Taxes | ||
Deferred income tax assets and liabilities are determined using the liability method. Under this method, the net deferred tax asset or liability is determined based on the tax effects of the temporary differences between the book and tax basis of the various balance sheet assets and liabilities and gives current recognition to changes in tax rates and laws. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. | ||
When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the consolidated financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying consolidated balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Interest and penalties associated with unrecognized tax benefits are classified as additional income taxes in the consolidated statement of income. There are no unrecognized tax benefits as of December 31, 2014 and 2013. | ||
Earnings per Common Share | ||
Basic earnings per common share is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding during the period, after giving retroactive effect to stock splits and dividends. Diluted earnings per common share is similar to the computation of basic earnings per common share except that the denominator is increased to include the number of additional common shares that would have been outstanding if dilutive potential common shares had been issued. The numerator is adjusted for any changes in income or loss that would result from the assumed conversion of those potential common shares. Potential common shares that may be issued by the Company relate to the convertible preferred stock outstanding and the outstanding stock options. The preferred stock is convertible into shares of common stock of the Company based on a conversion price of $6.25 per share, subject to adjustment. The potential dilutive effect of the outstanding stock options is determined using the treasury stock method. | ||
Comprehensive Income | ||
Comprehensive income reflects the change in the Company’s equity during the year arising from transactions and events other than investment by and distributions to stockholders. It consists of net income plus certain other changes in assets and liabilities that are reported as separate components of stockholders’ equity rather than as income or expense. These changes for the Company relate solely to unrealized gains and losses on securities available for sale. | ||
Fair Value Measurements | ||
The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. The fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted prices for the Company’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. | ||
The fair value guidance provides a consistent definition of fair value, which focuses on exit price in an orderly transaction (that is, not a forced liquidation or distress sale) between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation techniques or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions. | ||
Credit Related Financial Instruments | ||
In the ordinary course of business, the Company has entered into commitments to extend credit, including commitments under lines of credit arrangements, commercial letters of credit and standby letters of credit. Such financial instruments are recorded when they are funded. | ||
Stock-Based Compensation Plan | ||
The 2005 Stock Option Plan was approved by stockholders on April 20, 2006, which authorized 550,000 shares of common stock to be used in the granting of incentive options to employees and directors. This is the first stock incentive plan adopted by the Company. Under the plan, the option price cannot be less than the fair market value of the stock on the date granted. An option’s maximum term is ten years from the date of grant. Options granted under the plan may be subject to a vesting schedule. | ||
The Company accounts for the stock option plan in accordance with applicable accounting guidance. Under the fair value recognition provisions of this guidance, stock-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as expense on a straight-line basis over the requisite service period, which is the vesting period. | ||
Recent Accounting Pronouncements | ||
In January 2014, the FASB issued ASU 2014-01, “Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects (a consensus of the FASB Emerging Issues Task Force).” The amendments in this ASU permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense (benefit). The amendments in this ASU should be applied retrospectively to all periods presented. A reporting entity that uses the effective yield method to account for its investments in qualified affordable housing projects before the date of adoption may continue to apply the effective yield method for those preexisting investments. The amendments in this ASU are effective for public business entities for annual periods and interim reporting periods within those annual periods, beginning after December 15, 2014. Early adoption is permitted. The Company is currently assessing the impact that ASU 2014-01 will have on its consolidated financial statements. | ||
In January 2014, the FASB issued ASU 2014-04, “Receivables—Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure (a consensus of the FASB Emerging Issues Task Force).” The amendments in this ASU clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction. The amendments in this ASU are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. The Company is currently assessing the impact that ASU 2014-04 will have on its consolidated financial statements. | ||
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity.” The amendments in this ASU change the criteria for reporting discontinued operations while enhancing disclosures in this area. Under the new guidance, only disposals representing a strategic shift in operations should be presented as discontinued operations. Those strategic shifts should have a major effect on the organization’s operations and financial results and include disposals of a major geographic area, a major line of business, or a major equity method investment. The new guidance requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. Additionally, the new guidance requires disclosure of the pre-tax income attributable to a disposal of a significant part of an organization that does not qualify for discontinued operations reporting. The amendments in the ASU are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. Early adoption is permitted. The Company does not expect the adoption of ASU 2014-08 to have a material impact on its consolidated financial statements. | ||
In June 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers: Topic 606.” This ASU applies to any entity using U.S. GAAP that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets unless those contracts are within the scope of other standards. The guidance supersedes the revenue recognition requirements in Topic 605, “Revenue Recognition,, most industry-specific guidance, and some cost guidance included in Subtopic 605-35, “Revenue Recognition—Construction-Type and Production-Type Contracts.” The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised 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. To be in alignment with the core principle, an entity must apply a five step process including: identification of the contract(s) with a customer, identification of performance obligations in the contract(s), determination of the transaction price, allocation of the transaction price to the performance obligations, and recognition of revenue when (or as) the entity satisfies a performance obligation. Additionally, the existing requirements for the recognition of a gain or loss on the transfer of nonfinancial assets that are not in a contract with a customer have also been amended to be consistent with the guidance on recognition and measurement. The amendments in this ASU are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early adoption is not permitted. The Company is currently assessing the impact that ASU 2014-09 will have on its consolidated financial statements. | ||
In June 2014, the FASB issued ASU 2014-10, “Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation.” The amendments in this ASU remove all incremental financial reporting requirements from U.S. GAAP for development stage entities, including the removal of Topic 915, “Development Stage Entities,” from the FASB Accounting Standards Codification. In addition, this ASU adds an example disclosure and removes an exception provided to development stage entities in Topic 810, “Consolidation,” for determining whether an entity is a variable interest entity. The presentation and disclosure requirements in Topic 915 will no longer be required for the first annual period beginning after December 15, 2014. The revised consolidation standards are effective for annual periods beginning after December 15, 2015. Early adoption is permitted. The Company does not expect the adoption of ASU 2014-10 to have a material impact on its consolidated financial statements. | ||
In June 2014, the FASB issued ASU No. 2014-11, “Transfers and Servicing (Topic 860): Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures.” This ASU aligns the accounting for repurchase-to-maturity transactions and repurchase agreements executed as a repurchase financing with the accounting for other typical repurchase agreements. The new guidance eliminates sale accounting for repurchase-to-maturity transactions and supersedes the guidance under which a transfer of a financial asset and a contemporaneous repurchase financing could be accounted for on a combined basis as a forward agreement. The amendments in the ASU also require a new disclosure for transactions economically similar to repurchase agreements in which the transferor retains substantially all of the exposure to the economic return on the transferred financial assets throughout the term of the transaction. Additional disclosures will be required for the nature of collateral pledged in repurchase agreements and similar transactions accounted for as secured borrowings. The amendments in this ASU are effective for the first interim or annual period beginning after December 15, 2014; however, the disclosure for transactions accounted for as secured borrowings is required to be presented for annual periods beginning after December 15, 2014, and interim periods beginning after March 15, 2015. Early adoption is not permitted. The Company is currently assessing the impact that ASU 2014-11 will have on its consolidated financial statements. | ||
In June 2014, the FASB issued ASU No. 2014-12, “Compensation – Stock Compensation (Topic 718): Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period.” The new guidance applies to reporting entities that grant employees share-based payments in which the terms of the award allow a performance target to be achieved after the requisite service period. The amendments in the ASU require that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. Existing guidance in “Compensation – Stock Compensation (Topic 718),” should be applied to account for these types of awards. The amendments in this ASU are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Early adoption is permitted and reporting entities may choose to apply the amendments in the ASU either on a prospective or retrospective basis. The Company is currently assessing the impact that ASU 2014-12 will have on its consolidated financial statements. | ||
In August 2014, the FASB issued ASU No. 2014-14, “Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40): Classification of Certain Government-Guaranteed Mortgage Loans upon Foreclosure.” The amendments in this ASU apply to creditors that hold government-guaranteed mortgage loans and are intended to eliminate the diversity in practice related to the classification of these guaranteed loans upon foreclosure. The new guidance stipulates that a mortgage loan be derecognized and a separate other receivable be recognized upon foreclosure if (1) the loan has a government guarantee that is not separable from the loan prior to foreclosure, (2) at the time of foreclosure, the creditor has the intent to convey the real estate property to the guarantor and make a claim on the guarantee, and the creditor has the ability to recover under that claim, and (3) at the time of foreclosure, any amount of the claim that is determined on the basis of the fair value of the real estate is fixed. Upon foreclosure, the other receivable should be measured on the amount of the loan balance (principal and interest) expected to be recovered from the guarantor. The amendments in this ASU are effective for annual periods and interim periods within those annual periods beginning after December 15, 2014. Entities may adopt the amendments on a prospective basis or modified retrospective basis as of the beginning of the annual period of adoption; however, the entity must apply the same method of transition as elected under ASU 2014-04. Early adoption is permitted provided the entity has already adopted ASU 2014-04. The Company is currently assessing the impact that ASU 2014-14 will have on its consolidated financial statements. | ||
In August 2014, the FASB issued ASU No. 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.” This update is intended to provide guidance about management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. Management is required under the new guidance to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date the financial statements are issued when preparing financial statements for each interim and annual reporting period. If conditions or events are identified, the ASU specifies the process that must be followed by management and also clarifies the timing and content of going concern footnote disclosures in order to reduce diversity in practice. The amendments in this ASU are effective for annual periods and interim periods within those annual periods beginning after December 15, 2016. Early adoption is permitted. The Company does not expect the adoption of ASU 2014-15 to have a material impact on its consolidated financial statements. | ||
In November 2014, the FASB issued ASU No. 2014-16, “Derivatives and Hedging (Topic 815): Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity.” The amendments in ASU do not change the current criteria in U.S. GAAP for determining when separation of certain embedded derivative features in a hybrid financial instrument is required. The amendments clarify how current U.S. GAAP should be interpreted in evaluating the economic characteristics and risks of a host contract in a hybrid financial instrument that is issued in the form of a share. Specifically, the amendments clarify that an entity should consider all relevant terms and features, including the embedded derivative feature being evaluated for bifurcation, in evaluating the nature of the host contract. Furthermore, the amendments clarify that no single term or feature would necessarily determine the economic characteristics and risks of the host contract. Rather, the nature of the host contract depends upon the economic characteristics and risks of the entire hybrid financial instrument. The amendments in this ASU also clarify that, in evaluating the nature of a host contract, an entity should assess the substance of the relevant terms and features (i.e., the relative strength of the debt-like or equity-like terms and features given the facts and circumstances) when considering how to weight those terms and features. The amendments in this ASU are effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption, including adoption in an interim period, is permitted. The Company does not expect the adoption of ASU 2014-16 to have a material impact on its consolidated financial statements. |
Note_2_Investment_Securities
Note 2 - Investment Securities | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | Note 2. Investment Securities | ||||||||||||||||||||||||
Amortized cost and fair value of securities available for sale are as follows: | |||||||||||||||||||||||||
(Dollars In Thousands) | 31-Dec-14 | ||||||||||||||||||||||||
Amortized | Gross | Gross | Fair Value | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
U.S. Government agency securities | $ | 26,812 | $ | 333 | $ | (180 | ) | $ | 26,965 | ||||||||||||||||
Mortgage-backed securities | 9,678 | 125 | (64 | ) | 9,739 | ||||||||||||||||||||
Municipal securities | 17,423 | 531 | (55 | ) | 17,899 | ||||||||||||||||||||
$ | 53,913 | $ | 989 | $ | (299 | ) | $ | 54,603 | |||||||||||||||||
(Dollars In Thousands) | 31-Dec-13 | ||||||||||||||||||||||||
Amortized | Gross | Gross | Fair Value | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
U.S. Government agency securities | $ | 26,489 | $ | 235 | $ | (440 | ) | $ | 26,284 | ||||||||||||||||
Mortgage-backed securities | 15,328 | 193 | (160 | ) | 15,361 | ||||||||||||||||||||
Municipal securities | 17,012 | 68 | (803 | ) | 16,277 | ||||||||||||||||||||
$ | 58,829 | $ | 496 | $ | (1,403 | ) | $ | 57,922 | |||||||||||||||||
The primary purpose of the investment portfolio is to generate income, diversify earning assets, and meet liquidity needs of the Company through readily saleable financial instruments. The portfolio is made up primarily of fixed rate bonds, whose prices move inversely with rates. At the end of any accounting period, the investment portfolio has unrealized gains and losses. The Company monitors the portfolio, which is subject to liquidity needs, market rate changes, and credit risk changes, to see if adjustments are needed. The primary concern in a loss situation is the credit quality of the business or entity behind the instrument. The primary cause of unrealized losses is the increase in market interest rates over the yields available at the time the securities were purchased. | |||||||||||||||||||||||||
At December 31, 2014, the Company does not consider any security in an unrealized loss position to be other-than-temporarily impaired. | |||||||||||||||||||||||||
U.S. Government and federal agency securities. The unrealized losses on twenty of the Company’s investments in obligations of the U.S. government were caused by increases in market interest rates over the yields available at the time the securities were purchased. The contractual terms of those investments do not permit the issuer to settle the securities at a price less than the amortized cost bases of the investments. The Company does not consider those investments to be other-than-temporarily impaired at December 31, 2014. | |||||||||||||||||||||||||
Mortgage-backed securities. The unrealized losses on nine of the Company’s investments in government-sponsored entity mortgage-backed securities were caused by increases in market interest rates over the yields available at the time the securities were purchased. Because the decline in market value is attributable to changes in interest rates and not credit quality, the Company does not consider those investments to be other-than-temporarily impaired at December 31, 2014. | |||||||||||||||||||||||||
Municipal securities. The unrealized losses on twelve of the Company’s investments in obligations of municipal securities were caused by increases in market interest rates over the yields available at the time the securities were purchased. All municipal securities are investment grade. Because the decline in market value is attributable to changes in interest rates, credit spreads, ratings and not credit quality, the Company does not consider those investments to be other-than-temporarily impaired at December 31, 2014. | |||||||||||||||||||||||||
The following tables demonstrate the unrealized loss position of securities available for sale at December 31, 2014 and 2013. | |||||||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||
Less than 12 months | 12 months or more | Total | |||||||||||||||||||||||
(Dollars In Thousands) | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||
U.S. Government agency securities | $ | 5,568 | $ | (48 | ) | $ | 7,078 | $ | (132 | ) | $ | 12,646 | $ | (180 | ) | ||||||||||
Mortgage-backed securities | 742 | (6 | ) | 4,058 | (58 | ) | 4,800 | (64 | ) | ||||||||||||||||
Municipal securities | 1,625 | (20 | ) | 2,186 | (35 | ) | 3,811 | (55 | ) | ||||||||||||||||
$ | 7,935 | $ | (74 | ) | $ | 13,322 | $ | (225 | ) | $ | 21,257 | $ | (299 | ) | |||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Less than 12 months | 12 months or more | Total | |||||||||||||||||||||||
(Dollars In Thousands) | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||
U.S. Government agency securities | $ | 9,676 | $ | (341 | ) | $ | 1,897 | $ | (99 | ) | $ | 11,573 | $ | (440 | ) | ||||||||||
Mortgage-backed securities | 5,964 | (134 | ) | 1,042 | (26 | ) | 7,006 | (160 | ) | ||||||||||||||||
Municipal securities | 12,253 | (683 | ) | 1,185 | (120 | ) | 13,438 | (803 | ) | ||||||||||||||||
$ | 27,893 | $ | (1,158 | ) | $ | 4,124 | $ | (245 | ) | $ | 32,017 | $ | (1,403 | ) | |||||||||||
The amortized cost and estimated fair value of securities at December 31, 2014, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to prepay obligations with or without call or prepayment penalties. | |||||||||||||||||||||||||
(Dollars In Thousands) | Amortized | Fair Value | |||||||||||||||||||||||
Cost | |||||||||||||||||||||||||
Less than one year | $ | 253 | $ | 253 | |||||||||||||||||||||
Over one through five years | 698 | 706 | |||||||||||||||||||||||
Over five through ten years | 8,458 | 8,458 | |||||||||||||||||||||||
Greater than 10 years | 44,504 | 45,186 | |||||||||||||||||||||||
$ | 53,913 | $ | 54,603 | ||||||||||||||||||||||
Proceeds from the sales, maturities and calls of securities available for sale in 2014 and 2013 were $13.9 million and $19.1 million, respectively. The Company realized $128 thousand in net gains on sales of twelve available for sale securities in 2014, compared to $152 thousand from the sales of twenty-five securities in the prior year. The net gain in 2014 included gross gains of $163 thousand and gross losses of $35 thousand. The prior year included gross gains of $261 thousand and gross losses of $109 thousand. Total pledged securities had a fair market value of $8.8 million at December 31, 2014 and $11.7 million at December 31, 2013. Securities having a fair market value of $5.0 million were pledged to secure public deposits, while securities pledged to secure Federal Home Loan Bank borrowings totaled $1.9 million. $1.9 million in securities were pledged for other purposes at December 31, 2014. |
Note_3_Loans_Receivable
Note 3 - Loans Receivable | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||||||
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | Note 3. Loans Receivable | ||||||||||||||||||||||||||||
The major classifications of loans in the consolidated balance sheets at December 31, 2014 and 2013 were as follows: | |||||||||||||||||||||||||||||
(Dollars In Thousands) | December 31, | ||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | 10,019 | $ | 6,768 | |||||||||||||||||||||||||
Land acquisition, development & commercial | 23,686 | 20,904 | |||||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | 86,269 | 72,934 | |||||||||||||||||||||||||||
Commercial | 135,070 | 126,100 | |||||||||||||||||||||||||||
Commercial, industrial & agricultural | 44,807 | 42,155 | |||||||||||||||||||||||||||
Equity lines | 24,330 | 20,374 | |||||||||||||||||||||||||||
Consumer | 7,498 | 8,698 | |||||||||||||||||||||||||||
Total loans | $ | 331,679 | $ | 297,933 | |||||||||||||||||||||||||
Less allowance for loan losses | (3,332 | ) | (3,721 | ) | |||||||||||||||||||||||||
Loans, net | $ | 328,347 | $ | 294,212 | |||||||||||||||||||||||||
The past due and nonaccrual status of loans as of December 31, 2014 was as follows: | |||||||||||||||||||||||||||||
(Dollars In Thousands) | 30-59 Days | 60-89 Days | 90 Days or | Total Past | Current | Total | Nonaccrual | ||||||||||||||||||||||
Past Due | Past Due | More Past | Due | Loans | Loans | ||||||||||||||||||||||||
Due | |||||||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | − | $ | − | $ | − | $ | − | $ | 10,019 | $ | 10,019 | $ | − | |||||||||||||||
Land acquisition, development & commercial | − | − | − | − | 23,686 | 23,686 | − | ||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | − | 381 | 261 | 642 | 85,627 | 86,269 | 475 | ||||||||||||||||||||||
Commercial | − | 85 | − | 85 | 134,985 | 135,070 | 758 | ||||||||||||||||||||||
Commercial, industrial & agricultural | 96 | − | − | 96 | 44,711 | 44,807 | − | ||||||||||||||||||||||
Equity lines | 105 | − | − | 105 | 24,225 | 24,330 | − | ||||||||||||||||||||||
Consumer | 10 | 36 | − | 46 | 7,452 | 7,498 | 21 | ||||||||||||||||||||||
Total | $ | 211 | $ | 502 | $ | 261 | $ | 974 | $ | 330,705 | $ | 331,679 | $ | 1,254 | |||||||||||||||
The past due and nonaccrual status of loans as of December 31, 2013 was as follows: | |||||||||||||||||||||||||||||
(Dollars In Thousands) | 30-59 Days | 60-89 Days | 90 Days or | Total Past | Current | Total | Nonaccrual | ||||||||||||||||||||||
Past Due | Past Due | More Past | Due | Loans | Loans | ||||||||||||||||||||||||
Due | |||||||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | – | $ | – | $ | – | $ | – | $ | 6,768 | $ | 6,768 | $ | – | |||||||||||||||
Land acquisition, development & commercial | – | – | – | – | 20,904 | 20,904 | – | ||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | – | – | 931 | 931 | 72,003 | 72,934 | 707 | ||||||||||||||||||||||
Commercial | – | – | – | – | 126,100 | 126,100 | – | ||||||||||||||||||||||
Commercial, industrial & agricultural | 270 | 44 | 36 | 350 | 41,805 | 42,155 | 193 | ||||||||||||||||||||||
Equity lines | 203 | – | 59 | 262 | 20,112 | 20,374 | 59 | ||||||||||||||||||||||
Consumer | 16 | – | 30 | 46 | 8,652 | 8,698 | 30 | ||||||||||||||||||||||
Total | $ | 489 | $ | 44 | $ | 1,056 | $ | 1,589 | $ | 296,344 | $ | 297,933 | $ | 989 | |||||||||||||||
There were no loans past due ninety days or more and still accruing interest at December 31, 2014. There was one loan of $223 thousand that was past due ninety days or more and still accruing interest at December 31, 2013. | |||||||||||||||||||||||||||||
Impaired loans, which include TDRs of $6.7 million and the related allowance at December 31, 2014, were as follows: | |||||||||||||||||||||||||||||
31-Dec-14 | Recorded | Unpaid | Related | Average | Interest | ||||||||||||||||||||||||
With no related allowance: | Investment | Principal | Allowance | Balance | Income | ||||||||||||||||||||||||
(Dollars In Thousands) | in Loans | Balance | Total Loans | Recognized | |||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | − | $ | − | $ | – | $ | − | $ | − | |||||||||||||||||||
Land acquisition, development & commercial | − | − | – | − | − | ||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | 525 | 700 | – | 605 | 12 | ||||||||||||||||||||||||
Commercial | 7,507 | 7,507 | – | 8,563 | 289 | ||||||||||||||||||||||||
Commercial, industrial & agricultural | − | − | – | − | − | ||||||||||||||||||||||||
Equity lines | − | − | – | − | − | ||||||||||||||||||||||||
Consumer | − | − | – | − | − | ||||||||||||||||||||||||
Total loans with no allowance | $ | 8,032 | $ | 8,207 | $ | – | $ | 9,168 | $ | 301 | |||||||||||||||||||
31-Dec-14 | Recorded | Unpaid | Related | Average | Interest | ||||||||||||||||||||||||
With an allowance recorded: | Investment | Principal | Allowance | Balance | Income | ||||||||||||||||||||||||
(Dollars In Thousands) | in Loans | Balance | Total Loans | Recognized | |||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | − | $ | − | $ | − | $ | − | $ | − | |||||||||||||||||||
Land acquisition, development & commercial | − | − | − | − | − | ||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | − | − | − | − | − | ||||||||||||||||||||||||
Commercial | 141 | 141 | 141 | 153 | − | ||||||||||||||||||||||||
Commercial, industrial & agricultural | − | − | − | − | − | ||||||||||||||||||||||||
Equity lines | − | − | − | − | − | ||||||||||||||||||||||||
Consumer | − | − | − | − | − | ||||||||||||||||||||||||
Total loans with an allowance | $ | 141 | $ | 141 | $ | 141 | $ | 153 | $ | − | |||||||||||||||||||
Impaired loans, which include TDRs of $6.3 million and the related allowance at December 31, 2013, were as follows: | |||||||||||||||||||||||||||||
31-Dec-13 | Recorded | Unpaid | Related | Average | Interest | ||||||||||||||||||||||||
With no related allowance: | Investment | Principal | Allowance | Balance | Income | ||||||||||||||||||||||||
(Dollars In Thousands) | in Loans | Balance | Total Loans | Recognized | |||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||||||
Land acquisition, development & commercial | 1,550 | 1,550 | – | 1,550 | 67 | ||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | 412 | 412 | – | 415 | 18 | ||||||||||||||||||||||||
Commercial | 9,266 | 9,266 | – | 9,365 | 442 | ||||||||||||||||||||||||
Commercial, industrial & agricultural | 283 | 283 | – | 733 | 46 | ||||||||||||||||||||||||
Equity lines | – | – | – | – | – | ||||||||||||||||||||||||
Consumer | – | – | – | – | – | ||||||||||||||||||||||||
Total loans with no allowance | $ | 11,511 | $ | 11,511 | $ | – | $ | 12,063 | $ | 573 | |||||||||||||||||||
31-Dec-13 | Recorded | Unpaid | Related | Average | Interest | ||||||||||||||||||||||||
With an allowance recorded: | Investment | Principal | Allowance | Balance | Income | ||||||||||||||||||||||||
(Dollars In Thousands) | in Loans | Balance | Total Loans | Recognized | |||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||||||
Land acquisition, development & commercial | – | – | – | – | – | ||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | 438 | 438 | 163 | 439 | 16 | ||||||||||||||||||||||||
Commercial | – | – | – | – | – | ||||||||||||||||||||||||
Commercial, industrial & agricultural | 41 | 41 | 10 | 34 | 1 | ||||||||||||||||||||||||
Equity lines | – | – | – | – | – | ||||||||||||||||||||||||
Consumer | – | – | – | – | – | ||||||||||||||||||||||||
Total loans with an allowance | $ | 479 | $ | 479 | $ | 173 | $ | 473 | $ | 17 | |||||||||||||||||||
Troubled Debt Restructurings | |||||||||||||||||||||||||||||
At December 31, 2014, four loans totaling $6.7 million were classified as troubled debt restructurings (“TDR’s”). Two of the four loans totaling $6.1 million were performing in accordance with their restructured terms and were not on nonaccrual status at year end 2014. The other two loans totaling $639 thousand were on nonaccrual status. One of the loans evaluated separately for impairment at year end 2013 was modified as a TDR during the third quarter of 2014. The other was a TDR that was classified as a substandard non-accruing loan at December 31, 2014 and 2013. The outstanding balance of this loan was $22 thousand and $30 thousand at December 31, 2014 and December 31, 2013, respectively. | |||||||||||||||||||||||||||||
TDR’s were comprised of three loans totaling $6.3 million at December 31, 2013. Two of the three loans totaling $6.3 million at year end 2013 were included in impaired loans, but were performing in accordance with their restructured terms and were not on nonaccrual status at the end 2013. The remaining $30 thousand loan was past due and included in loans 60-89 days past due and nonaccrual loans at year end 2013. | |||||||||||||||||||||||||||||
There was no valuation allowance related to total TDR’s at December 31, 2014, or December 31, 2013. | |||||||||||||||||||||||||||||
In September 2014, the Company agreed to take ownership via a deed-in-lieu of foreclosure of a commercial property pledged to a loan. The property is included in other real estate owned. The remaining balance is reported as a loan modified as a TDR. The following table presents by class of loan, information related to the loan modified in a TDR during 2014: | |||||||||||||||||||||||||||||
Loans modified as TDR's | |||||||||||||||||||||||||||||
For the year ended December 31, 2014 | |||||||||||||||||||||||||||||
Class of Loan | Number | Pre-Modification | Post-Modification | ||||||||||||||||||||||||||
of | Outstanding | Outstanding | |||||||||||||||||||||||||||
Contracts | Recorded | Recorded | |||||||||||||||||||||||||||
Investment | Investment | ||||||||||||||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||
Residential | — | $ | — | $ | — | ||||||||||||||||||||||||
Land acquisition, development & commercial | — | — | — | ||||||||||||||||||||||||||
Real estate loans: | — | — | — | ||||||||||||||||||||||||||
Residential | — | — | — | ||||||||||||||||||||||||||
Commercial | 1 | 1,932 | 632 | ||||||||||||||||||||||||||
Commercial, industrial, agricultural | — | — | — | ||||||||||||||||||||||||||
Equity lines | — | — | — | ||||||||||||||||||||||||||
Consumer | — | — | — | ||||||||||||||||||||||||||
Total Loans | 1 | $ | 1,932 | $ | 632 | ||||||||||||||||||||||||
For the year ended December 31, 2013, there were no loans modified in a TDR. | |||||||||||||||||||||||||||||
Management considers troubled debt restructurings and subsequent defaults in restructured loans in the determination of the adequacy of the Company’s allowance for loan losses. When identified as a TDR, a loan is evaluated for potential loss based on the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price, or the estimated fair value of the collateral, less any selling costs if the loan is collateral dependent. Loans identified as TDR’s frequently are on non-accrual status at the time of the restructuring and, in some cases, partial charge-offs may have already been taken against the loan and a specific allowance may have already been established for the loan. As a result of any modification as a TDR, the specific reserve associated with the loan may be increased. Additionally, loans modified in a TDR are closely monitored for delinquency as an early indicator of possible future defaults. If loans modified in a TDR subsequently default, the Company evaluates the loan for possible further impairment. As a result, any specific allowance may be increased, adjustments may be made in the allocation of the total allowance balance, or partial charge-offs may be taken to further write-down the carrying value of the loan. Management exercises significant judgment in developing estimates for potential losses associated with TDRs. |
Note_4_Allowance_for_Loan_Loss
Note 4 - Allowance for Loan Losses | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Disclosure Text Block Supplement [Abstract] | |||||||||||||||||||||||||||||||||||||||||
Allowance for Credit Losses [Text Block] | Note 4. Allowance for Loan Losses | ||||||||||||||||||||||||||||||||||||||||
The following table presents, as of December 31, 2014, the total loans and loans by impairment methodology (individually evaluated for impairment or collectively evaluated for impairment) and the total allowance for loan losses, the allowance by impairment methodology (individually evaluated for impairment or collectively evaluated for impairment). | |||||||||||||||||||||||||||||||||||||||||
December 31, | Allowance for loan losses | Loans | |||||||||||||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||||||||||||||
Class of Loan | Beginning | Charge- | Recoveries | Provisions | Ending | Ending | Ending | Ending | Ending | Ending | |||||||||||||||||||||||||||||||
(Dollars in Thousands) | balance | offs | balance | balance: | balance: | balance | balance: | balance: | |||||||||||||||||||||||||||||||||
individually | collectively | individually | collectively | ||||||||||||||||||||||||||||||||||||||
evaluated | evaluated | evaluated | evaluated | ||||||||||||||||||||||||||||||||||||||
for | for | for | for | ||||||||||||||||||||||||||||||||||||||
impairment | impairment | impairment | impairment | ||||||||||||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 156 | $ | − | $ | − | $ | (113 | ) | $ | 43 | $ | − | $ | 43 | $ | 10,019 | $ | − | $ | 10,019 | ||||||||||||||||||||
Land acquisition, development & commercial | 872 | − | − | (419 | ) | 453 | − | 453 | 23,686 | − | 23,686 | ||||||||||||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||||||||||||||||||
Residential | 867 | (233 | ) | 34 | 165 | 833 | − | 833 | 86,269 | 525 | 85,744 | ||||||||||||||||||||||||||||||
Commercial | 1,008 | − | − | 4 | 1,012 | 141 | 871 | 135,070 | 7,648 | 127,422 | |||||||||||||||||||||||||||||||
Commercial, industrial & agricultural | 327 | (55 | ) | − | 47 | 319 | − | 319 | 44,807 | − | 44,807 | ||||||||||||||||||||||||||||||
Equity lines | 385 | (136 | ) | 37 | 137 | 423 | − | 423 | 24,330 | − | 24,330 | ||||||||||||||||||||||||||||||
Consumer | 63 | (40 | ) | 4 | 38 | 65 | − | 65 | 7,498 | − | 7,498 | ||||||||||||||||||||||||||||||
Unallocated | 43 | − | − | 141 | 184 | − | 184 | − | − | − | |||||||||||||||||||||||||||||||
Total | $ | 3,721 | $ | (464 | ) | $ | 75 | $ | − | $ | 3,332 | $ | 141 | $ | 3,191 | $ | 331,679 | $ | 8,173 | $ | 323,506 | ||||||||||||||||||||
The following table presents, as of December 31, 2013, the total loans and loans by impairment methodology (individually evaluated for impairment or collectively evaluated for impairment) and the total allowance for loan losses, the allowance by impairment methodology (individually evaluated for impairment or collectively evaluated for impairment). | |||||||||||||||||||||||||||||||||||||||||
December 31, | Allowance for loan losses | Loans | |||||||||||||||||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||||||||||||||
Class of Loan | Beginning | Charge- | Recoveries | Provisions | Ending | Ending | Ending | Ending | Ending | Ending | |||||||||||||||||||||||||||||||
(Dollars in Thousands) | balance | offs | balance | balance: | balance: | balance | balance: | balance: | |||||||||||||||||||||||||||||||||
individually | collectively | individually | collectively | ||||||||||||||||||||||||||||||||||||||
evaluated | evaluated | evaluated | evaluated | ||||||||||||||||||||||||||||||||||||||
for | for | for | for | ||||||||||||||||||||||||||||||||||||||
impairment | impairment | impairment | impairment | ||||||||||||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 117 | $ | - | $ | - | $ | 39 | $ | 156 | $ | - | $ | 156 | $ | 6,768 | $ | - | $ | 6,768 | |||||||||||||||||||||
Land acquisition, development & commercial | 811 | - | - | 61 | 872 | - | 872 | 20,904 | 1,550 | 19,354 | |||||||||||||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||||||||||||||||||
Residential | 725 | (446 | ) | 81 | 507 | 867 | 163 | 704 | 72,934 | 850 | 72,084 | ||||||||||||||||||||||||||||||
Commercial | 1,054 | (88 | ) | 298 | (256 | ) | 1,008 | - | 1,008 | 126,100 | 9,266 | 116,834 | |||||||||||||||||||||||||||||
Commercial, industrial & agricultural | 459 | (27 | ) | - | (105 | ) | 327 | 10 | 317 | 42,155 | 324 | 41,831 | |||||||||||||||||||||||||||||
Equity lines | 386 | - | 2 | (3 | ) | 385 | - | 385 | 20,374 | - | 20,374 | ||||||||||||||||||||||||||||||
Consumer | 145 | (14 | ) | - | (68 | ) | 63 | - | 63 | 8,698 | - | 8,698 | |||||||||||||||||||||||||||||
Unallocated | 93 | - | - | (50 | ) | 43 | - | 43 | - | - | - | ||||||||||||||||||||||||||||||
Total | $ | 3,790 | $ | (575 | ) | $ | 381 | $ | 125 | $ | 3,721 | $ | 173 | $ | 3,548 | $ | 297,933 | $ | 11,990 | $ | 285,943 | ||||||||||||||||||||
Loans by credit quality indicators as of December 31, 2014 were as follows: | |||||||||||||||||||||||||||||||||||||||||
(Dollars In Thousands) | Pass | Special | Substandard | Substandard Nonaccrual | Total | ||||||||||||||||||||||||||||||||||||
Mention | Accruing | ||||||||||||||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 10,019 | $ | − | $ | − | $ | − | $ | 10,019 | |||||||||||||||||||||||||||||||
Land acquisition, development & commercial | 23,672 | − | 14 | − | 23,686 | ||||||||||||||||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | 81,409 | 4,335 | 50 | 475 | 86,269 | ||||||||||||||||||||||||||||||||||||
Commercial | 131,087 | 2,302 | 923 | 758 | 135,070 | ||||||||||||||||||||||||||||||||||||
Commercial, industrial, agricultural | 44,248 | 521 | 38 | − | 44,807 | ||||||||||||||||||||||||||||||||||||
Equity lines | 24,330 | − | − | − | 24,330 | ||||||||||||||||||||||||||||||||||||
Consumer | 7,475 | − | 2 | 21 | 7,498 | ||||||||||||||||||||||||||||||||||||
Total Loans | $ | 322,240 | $ | 7,158 | $ | 1,027 | $ | 1,254 | $ | 331,679 | |||||||||||||||||||||||||||||||
At December 31, 2014, the Company does not have any loans classified as Doubtful or Loss. | |||||||||||||||||||||||||||||||||||||||||
Loans by credit quality indicators as of December 31, 2013 were as follows: | |||||||||||||||||||||||||||||||||||||||||
(Dollars In Thousands) | Pass | Special | Substandard | Substandard Nonaccrual | Total | ||||||||||||||||||||||||||||||||||||
Mention | Accruing | ||||||||||||||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 6,768 | $ | – | $ | – | $ | – | $ | 6,768 | |||||||||||||||||||||||||||||||
Land acquisition, development & commercial | 19,336 | – | 1,568 | – | 20,904 | ||||||||||||||||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | 67,548 | 4,455 | 223 | 708 | 72,934 | ||||||||||||||||||||||||||||||||||||
Commercial | 121,970 | 510 | 3,620 | – | 126,100 | ||||||||||||||||||||||||||||||||||||
Commercial, industrial, agricultural | 41,051 | 96 | 815 | 193 | 42,155 | ||||||||||||||||||||||||||||||||||||
Equity lines | 20,316 | – | – | 58 | 20,374 | ||||||||||||||||||||||||||||||||||||
Consumer | 8,668 | – | – | 30 | 8,698 | ||||||||||||||||||||||||||||||||||||
Total Loans | $ | 285,657 | $ | 5,061 | $ | 6,226 | $ | 989 | $ | 297,933 | |||||||||||||||||||||||||||||||
At December 31, 2013, the Company does not have any loans classified as Doubtful or Loss. |
Note_5_Foreclosed_Properties
Note 5 - Foreclosed Properties | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Disclosure Text Block [Abstract] | |||||||||||||
Real Estate Owned [Text Block] | Note 5. Foreclosed Properties | ||||||||||||
Changes in foreclosed properties for 2014 were as follows: | |||||||||||||
(Dollars In Thousands) | Other Real | Valuation | Net | ||||||||||
Estate Owned | Allowance | ||||||||||||
Balance at the beginning of the year | $ | 9,078 | $ | (935 | ) | $ | 8,143 | ||||||
Additions | 1,520 | — | 1,520 | ||||||||||
Writedowns | — | — | — | ||||||||||
Sales | (1,618 | ) | 422 | (1,196 | ) | ||||||||
Transfer to fixed assets | (1,572 | ) | 91 | (1,481 | ) | ||||||||
Balance at the end of the year | $ | 7,408 | $ | (422 | ) | $ | 6,986 | ||||||
Changes in foreclosed properties for 2013 were as follows: | |||||||||||||
(Dollars In Thousands) | Other Real | Valuation | Net | ||||||||||
Estate Owned | Allowance | ||||||||||||
Balance at the beginning of the year | $ | 9,513 | $ | (575 | ) | $ | 8,938 | ||||||
Additions | 1,613 | — | 1,613 | ||||||||||
Writedowns | — | (608 | ) | (608 | ) | ||||||||
Sales | (2,048 | ) | 248 | (1,800 | ) | ||||||||
Balance at the end of the year | $ | 9,078 | $ | (935 | ) | $ | 8,143 | ||||||
The major classifications of other real estate owned in the consolidated balance sheets at December 31, 2014 and December 31, 2013 were as follows: | |||||||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||||||
Residential lots | $ | 3,023 | $ | 3,472 | |||||||||
Residential development | 423 | — | |||||||||||
Commercial lots | 1,076 | 1,076 | |||||||||||
Commercial buildings | 2,464 | 3,595 | |||||||||||
Total Other Real Estate Owned | $ | 6,986 | $ | 8,143 | |||||||||
Other real estate owned related expenses in the consolidated statements of income for the years ended December 31, 2014 and December 31, 2013 include: | |||||||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||||||
Net gain on sales | $ | (10 | ) | $ | (26 | ) | |||||||
Provision for unrealized losses | — | 608 | |||||||||||
Operating expenses | 224 | 250 | |||||||||||
Total Other Real Estate Owned | $ | 214 | $ | 832 | |||||||||
Note_6_Property_and_Equipment
Note 6 - Property and Equipment | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property, Plant and Equipment Disclosure [Text Block] | Note 6. Property and Equipment | ||||||||
The major components of property and equipment at December 31, 2014 and 2013 were as follows: | |||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||
Land | $ | 4,656 | $ | 4,257 | |||||
Buildings and improvements | 8,720 | 6,061 | |||||||
Leasehold improvements | 2,149 | 2,129 | |||||||
Furniture and equipment | 3,074 | 2,731 | |||||||
Software | 487 | 458 | |||||||
Construction in process | 49 | 97 | |||||||
Property and equipment, total | 19,135 | 15,733 | |||||||
Less accumulated depreciation and amortization | 4,235 | 3,578 | |||||||
Property and equipment, net | $ | 14,900 | $ | 12,155 | |||||
Depreciation and amortization expense was $657 thousand and $539 thousand for the years ended December 31, 2014 and 2013, respectively. | |||||||||
Leases | |||||||||
The Company currently leases its main office under a non-cancelable lease agreement. The lease expires December 15, 2015 and provides an option to extend the lease for two additional five-year periods. Terms of the agreement provide for an annual rental increase based on a published inflation index, not to exceed three percent over the rent for the immediately preceding lease year. The Company currently leases a branch location under a non-cancelable lease agreement. Terms of the agreement provide for an annual rental increase based on a published inflation index, not to exceed three percent over the rent for the immediately preceding lease year. The lease expires on July 31, 2016 and provides an option to extend the lease for two additional five-year periods. The Company currently leases space to operate an automated teller machine under a non-cancelable lease agreement. The lease expires April 1, 2021 and provides an option to extend the lease for two additional five-year periods. Terms of the agreement provide for an annual rental increase of three percent over the rent for the immediately preceding lease year. | |||||||||
The current minimum annual lease payments under non-cancelable leases in effect at December 31, 2014 were as follows: | |||||||||
(Dollars In Thousands) | 2014 | ||||||||
2015 | $ | 268 | |||||||
2016 | 67 | ||||||||
2017 | 11 | ||||||||
2018 | 12 | ||||||||
2019 | 12 | ||||||||
Thereafter | 15 | ||||||||
Total | $ | 385 | |||||||
Rent expense for the years ended December 31, 2014 and 2013 was $322 thousand and $324 thousand, respectively; and is included in occupancy and equipment expense on the Company’s consolidated statements of income. |
Note_7_Deposits
Note 7 - Deposits | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Disclosure Text Block [Abstract] | |||||
Deposit Liabilities Disclosures [Text Block] | Note 7. Deposits | ||||
The aggregate amount of time deposits in denominations of over two hundred and fifty thousand dollars at December 31, 2014 and 2013 were $9.4 million and $7.6 million, respectively. | |||||
At December 31, 2014, the scheduled maturities of time deposits are as follows: | |||||
(Dollars In Thousands) | 2014 | ||||
2015 | $ | 59,892 | |||
2016 | 32,780 | ||||
2017 | 27,400 | ||||
2018 | 9,626 | ||||
2019 | 3,638 | ||||
Total | $ | 133,336 | |||
The Company obtains certain deposits through the efforts of third-party deposit brokers. At December 31, 2014 and 2013, brokered deposits totaled $40.2 million and $37.0 million, respectively, and were included in interest-bearing deposits on the consolidated balance sheets. There were no deposit relationships over 5% of total deposits at the end of 2014. |
Note_8_Short_Term_Borrowings
Note 8 - Short Term Borrowings | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Disclosure Text Block [Abstract] | |||||||||
Short-term Debt [Text Block] | Note 8. Short Term Borrowings | ||||||||
Short term borrowings consist of the following at December 31, 2014 and 2013: | |||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||
Securities sold under agreements to repurchase | $ | 185 | $ | 258 | |||||
Warehouse line of credit | 237 | — | |||||||
$ | 422 | $ | 258 | ||||||
Weighted average interest rate at December 31 | 1.93 | % | 0.51 | % | |||||
Securities sold under agreements to repurchase, secured transactions with customers and generally mature the day following the day sold. Short-term borrowings may also include federal funds purchased, which are unsecured overnight borrowings from other financial institutions. The warehouse line of credit is a short term revolving credit facility used to fund mortgage loans originations until the underlying loan is sold. The amount borrowed on the warehouse line of credit was $237 thousand at year end 2014 at a rate of LIBOR plus 2.25% with a LIBOR floor of 1.00%. The Company also has an $8 million guidance line of credit to borrow against securities. The limit on this line is 15% of assets. In addition, the Company had $18.5 million of fed funds lines of credit available year end 2014. At December 31, 2014, there were no advances on the fed funds or guidance lines. At year-end 2013, there was no balance outstanding on any line of credit. |
Note_9_Federal_Home_Loan_Bank_
Note 9 - Federal Home Loan Bank Borrowings | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Disclosure Text Block [Abstract] | |||||||||||||||||
Federal Home Loan Bank Advances, Disclosure [Text Block] | Note 9. Federal Home Loan Bank Borrowings | ||||||||||||||||
The Company has outstanding debt with the Federal Home Loan Bank of Atlanta in the amount of $20.0 million and $22.0 million as of December 31, 2014 and 2013, respectively. The Federal Home Loan Bank debt at December 31, 2014 is comprised of one convertible advance in the amount of $4 million, and three fixed rate advances totaling $16 million. Beginning on March 7, 2011 the Federal Home Loan Bank of Atlanta had the option to convert the convertible advance and on any quarterly interest payment date thereafter, with at least two business days’ notice. If called, the advance will be converted into a 3-month London Interbank Offered Rate (LIBOR) based adjustable rate credit. | |||||||||||||||||
At December 31, 2014 and 2013, borrowings from the Federal Home Loan Bank of Atlanta were as follows: | |||||||||||||||||
(Dollars In Thousands) | |||||||||||||||||
Advance | Maturity | Conversion | Current Rate | 2014 | 2013 | ||||||||||||
Date | Date | Date | |||||||||||||||
7-Sep-07 | 7-Sep-17 | Quarterly | 3.69% | $ | 4,000 | $ | 4,000 | ||||||||||
27-Jul-11 | 28-Jul-14 | 2.19% | – | 3,000 | |||||||||||||
13-Apr-12 | 13-Apr-16 | 1.26% | 12,000 | 12,000 | |||||||||||||
11-Dec-13 | 11-Dec-14 | 0.36% | – | 3,000 | |||||||||||||
17-Jun-14 | 17-Jun-15 | 0.26% | 2,000 | – | |||||||||||||
17-Jun-14 | 17-Jun-16 | 0.67% | 2,000 | – | |||||||||||||
$ | 20,000 | $ | 22,000 | ||||||||||||||
The Company had collateral pledged on these borrowings at December 31, 2014 including real estate loans totaling $34.1 million, investment securities totaling $1.9 million, and Federal Home Loan Bank stock with a book value of $1.3 million. |
Note_10_Fair_Value_Measurement
Note 10 - Fair Value Measurements | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||
Fair Value Disclosures [Text Block] | Note 10. Fair Value Measurements | ||||||||||||||||||||
The Company uses a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. The three levels of the fair value hierarchy based on these two types of inputs are as follows: | |||||||||||||||||||||
Level 1 - Valuation is based on quoted prices in active markets for identical assets and liabilities. | |||||||||||||||||||||
Level 2 - Valuation is based on observable inputs including quoted prices in active markets for similar assets and liabilities, quoted prices for identical or similar assets and liabilities in less active markets, and model-based valuation techniques for which significant assumptions can be derived primarily from or corroborated by observable data in the market. | |||||||||||||||||||||
Level 3 - Valuation is based on model-based techniques that use one or more significant inputs or assumptions that are unobservable in the market. | |||||||||||||||||||||
The following describes the valuation techniques used by the Company to measure certain financial assets and liabilities recorded at fair value on a recurring basis in the consolidated financial statements: | |||||||||||||||||||||
Securities available for sale: Securities available for sale are recorded at fair value on a recurring basis. Fair value measurement is based upon quoted market prices, when available (Level 1). If quoted market prices are not available, fair values are measured utilizing independent valuation techniques of identical or similar securities for which significant assumptions are derived primarily from or corroborated by observable market data. Third party vendors compile prices from various sources and may determine the fair value of identical or similar securities by using pricing models that consider observable market data (Level 2). | |||||||||||||||||||||
Bank owned life insurance: The carrying value amounts of bank owned life insurance approximate fair value. | |||||||||||||||||||||
The following tables present the balances of financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2014 and 2013: | |||||||||||||||||||||
(Dollars In Thousands) | Carrying value at December 31, 2014 | ||||||||||||||||||||
Description | Balance as of December 31, | Quoted Prices | Significant | Significant | |||||||||||||||||
2014 | in Active Markets for | Other | Unobservable | ||||||||||||||||||
Identical Assets | Observable | Inputs | |||||||||||||||||||
(Level 1) | Inputs | (Level 3) | |||||||||||||||||||
(Level 2) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
U.S. Government agency securities | $ | 26,965 | $ | – | $ | 26,965 | $ | – | |||||||||||||
Mortgaged-backed securities | 9,739 | – | 9,739 | – | |||||||||||||||||
Municipal securities | 17,899 | – | 17,899 | – | |||||||||||||||||
Bank owned life insurance | 3,622 | – | 3,622 | – | |||||||||||||||||
(Dollars In Thousands) | Carrying value at December 31, 2013 | ||||||||||||||||||||
Description | Balance as of December 31, | Quoted Prices | Significant | Significant | |||||||||||||||||
2013 | in Active Markets for | Other | Unobservable | ||||||||||||||||||
Identical Assets | Observable | Inputs | |||||||||||||||||||
(Level 1) | Inputs | (Level 3) | |||||||||||||||||||
(Level 2) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
U.S. Government agency securities | $ | 26,284 | $ | – | $ | 26,284 | $ | – | |||||||||||||
Mortgaged-backed securities | 15,361 | – | 15,361 | – | |||||||||||||||||
Municipal securities | 16,277 | – | 16,277 | – | |||||||||||||||||
Bank owned life insurance | 3,518 | – | 3,518 | – | |||||||||||||||||
Certain assets are measured at fair value on a nonrecurring basis in accordance with generally accepted accounting principles (GAAP). Adjustments to the fair value of these assets usually result from the application of lower-of-cost-or-market accounting or write-downs of individual assets. | |||||||||||||||||||||
The following describes the valuation techniques used by the Company to measure certain assets recorded at fair value on a nonrecurring basis in the consolidated financial statements: | |||||||||||||||||||||
Impaired Loans: The Company does not record loans at fair value on a recurring basis. However, from time to time a loan is considered impaired and a specific reserve is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Once a loan is identified as individually impaired, management measures the extent of any loss. The fair value of impaired loans is estimated using one of several methods, including collateral value, market value of similar debt, enterprise value, liquidation value, and discounted cash flow. Those impaired loans not requiring an allowance represent loans for which the fair value of the expected repayments or collateral exceed the recorded investment in such loans. Impaired loans where an allowance is established based on the fair value of collateral require classification in the fair value hierarchy. If carried at market price based on appraised value using observable market data, it is recorded as nonrecurring Level 2. When an appraised value is not available or management determines the fair value of the collateral is further impaired below the appraisal value and there is no observable market price, the Company records the impaired loan as nonrecurring Level 3. | |||||||||||||||||||||
Loans held for sale: The carrying value of these loans approximates the fair value. These loans close in the name of the bank’s joint venture subsidiary HomeTown Residential Mortgage, LLC, but are generally sold within a two-week period. | |||||||||||||||||||||
Other Real Estate Owned (OREO): The carrying amount of real estate owned by the Company resulting from foreclosures is estimated at the lesser of cost or the fair value of the real estate based on an observable market price or a current appraised value less selling costs. If carried at market price based on appraised value using observable market data, it is recorded as nonrecurring Level 2. When an appraised value is not available or is not current, or management determines the fair value of the real estate is further impaired below the appraised value or there is no observable market price, the Company records the real estate as nonrecurring Level 3. | |||||||||||||||||||||
The following table summarizes the Company’s assets that were measured at fair value on a nonrecurring basis as of December 31, 2014 and 2013. | |||||||||||||||||||||
(Dollars In Thousands) | Carrying value at December 31, 2014 | ||||||||||||||||||||
Description | Balance as of | Quoted Prices | Significant | Significant | |||||||||||||||||
31-Dec-14 | in Active Markets | Other | Unobservable | ||||||||||||||||||
for Identical Assets | Observable | Inputs | |||||||||||||||||||
(Level 1) | Inputs | (Level 3) | |||||||||||||||||||
(Level 2) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Impaired loans, net of valuation allowance | $ | – | $ | – | $ | – | $ | – | |||||||||||||
Loans held for sale | 242 | – | 242 | – | |||||||||||||||||
Other real estate owned | 6,986 | – | 3,255 | 3,731 | |||||||||||||||||
(Dollars In Thousands) | Carrying value at December 31, 2013 | ||||||||||||||||||||
Description | Balance as of | Quoted Prices | Significant | Significant | |||||||||||||||||
31-Dec-13 | in Active Markets | Other | Unobservable | ||||||||||||||||||
for Identical Assets | Observable | Inputs | |||||||||||||||||||
(Level 1) | Inputs | (Level 3) | |||||||||||||||||||
(Level 2) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Impaired loans, net of valuation allowance | $ | 306 | $ | – | $ | – | $ | 306 | |||||||||||||
Other real estate owned | 8,143 | – | 3,745 | 4,398 | |||||||||||||||||
At December 31, 2014 and December 31, 2013, the Company did not have any liabilities measured at fair value on a nonrecurring basis. | |||||||||||||||||||||
The following table displays quantitative information about Level 3 Fair Value Measurements for December 31, 2014: | |||||||||||||||||||||
(Dollars In Thousands) | Quantitative information about Level 3 Fair Value Measurements for December 31, 2014 | ||||||||||||||||||||
Assets | Fair | Valuation Technique(s) | Unobservable input | Range (Weighted | |||||||||||||||||
Value | Average) | ||||||||||||||||||||
Impaired loans | $ | – | Discounted appraised value | Selling cost | 6 | % | - | 6 | % | -6% | |||||||||||
Discount for lack of marketability and age of appraisal | 94 | % | - | 94 | % | -94% | |||||||||||||||
Other real estate owned | $ | 1,458 | Discounted appraised value | Selling cost | 6 | % | - | 6 | % | -6% | |||||||||||
Discount for lack of marketability and age | 4 | % | - | 4 | % | -4% | |||||||||||||||
$ | 2,273 | Internal evaluations | Internal evaluations | 0 | % | - | 33 | % | -11% | ||||||||||||
The following table displays quantitative information about Level 3 Fair Value Measurements for December 31, 2013: | |||||||||||||||||||||
(Dollars In Thousands) | Quantitative information about Level 3 Fair Value Measurements for December 31, 2013 | ||||||||||||||||||||
Assets | Fair | Valuation Technique(s) | Unobservable input | Range (Weighted | |||||||||||||||||
Value | Average) | ||||||||||||||||||||
Impaired loans | $ | 306 | Discounted appraised value | Selling cost | 10 | % | - | 10 | % | -10% | |||||||||||
Discount for lack of marketability and age of appraisal | 32 | % | - | 32 | % | -32% | |||||||||||||||
Other real estate owned | $ | 1,458 | Discounted appraised value | Selling cost | 0 | % | - | 6 | % | -5% | |||||||||||
Discount for lack of marketability and age | 0 | % | - | 25 | % | -9% | |||||||||||||||
$ | 2,940 | Internal evaluations | Internal evaluations | 10 | % | - | 10 | % | -10% | ||||||||||||
The following methods and assumptions were used by the Company in estimating its fair value disclosures for financial instruments: | |||||||||||||||||||||
Cash and due from banks: The carrying amounts reported in the consolidated balance sheet for cash on hand and amounts due from correspondent banks approximate their fair values. The fair values for certificates of deposit are estimated using a discounted cash flow calculation that applies interest rates currently being offered on certificates of deposit to a schedule of contractual maturities on such time deposits. | |||||||||||||||||||||
Federal funds sold: Federal funds sold consist of overnight loans to other financial institutions and mature within one to three days. At December 31, 2014 and 2013, management believes the carrying value of federal funds sold approximates estimated market value. | |||||||||||||||||||||
Securities available for sale: Securities available for sale are recorded at fair value on a recurring basis. Fair value measurement is based upon quoted market prices, when available (Level 1). If quoted market prices are not available, fair values are measured utilizing independent valuation techniques of identical or similar securities for which significant assumptions are derived primarily from or corroborated by observable market data. Third party vendors compile prices from various sources and may determine the fair value of identical or similar securities by using pricing models that consider observable market data (Level 2). | |||||||||||||||||||||
Restricted equity securities: For these restricted equity securities, the carrying amount is a reasonable estimate of fair value based on the redemption provisions of the related securities. | |||||||||||||||||||||
Loans held for sale: The carrying value of these loans approximates the fair value. These loans close in the name of the bank’s joint venture subsidiary HomeTown Residential Mortgage, LLC, but are generally sold within a two-week period. | |||||||||||||||||||||
Loans receivable: For variable-rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying amounts. The fair values for other loans are estimated using discounted cash flow analysis, based on interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. | |||||||||||||||||||||
Bank owned life insurance: The cash values of these policies are estimates using information provided by insurance carriers. The policies are carried at their cash surrender value, which approximates fair value. | |||||||||||||||||||||
Deposit liabilities: The fair values disclosed for demand and savings deposits are, by definition, equal to the amount payable on demand at the reporting date. The fair values for certificates of deposit are estimated using a discounted cash flow calculation that applies interest rates currently being offered on certificates of deposit to a schedule of contractual maturities on such time deposits. | |||||||||||||||||||||
Short term borrowings: The carrying amounts of federal funds purchased, borrowings under repurchase agreements, and other short-term borrowings maturing within 30 days approximate their fair values. | |||||||||||||||||||||
FHLB borrowings: The fair values for long term borrowings are estimated using a discounted cash flow calculation that applies interest rates currently being offered on long term borrowings to the contractual maturities on such long term borrowings. | |||||||||||||||||||||
Accrued interest: The carrying amount of accrued interest receivable and payable approximates fair value. | |||||||||||||||||||||
Off-balance sheet financial instruments: The fair values of commitments to extend credit and standby letters of credit are estimated using the fees currently charged to enter into similar agreements. At December 31, 2014 and 2013, the fair value of loan commitments and standby letters of credit were deemed to be immaterial. | |||||||||||||||||||||
The carrying amounts and approximate fair values of the Company's financial instruments are as follows at December 31, 2014: | |||||||||||||||||||||
(Dollars In Thousands) | Fair value at December 31, 2014 | ||||||||||||||||||||
Description | Carrying value as of | Quoted Prices | Significant | Significant | Approximate | ||||||||||||||||
December 31, | in Active | Other | Unobservable | Fair Values | |||||||||||||||||
2014 | Markets for | Observable | Inputs | ||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||
Assets | (Level 2) | ||||||||||||||||||||
(Level 1) | |||||||||||||||||||||
Financial assets | |||||||||||||||||||||
Cash and due from banks | $ | 13,795 | $ | 11,794 | $ | 2,012 | $ | – | $ | 13,806 | |||||||||||
Federal funds sold | 649 | 649 | – | – | 649 | ||||||||||||||||
Securities available-for-sale | 54,603 | – | 54,603 | – | 54,603 | ||||||||||||||||
Restricted equity securities | 2,476 | – | 2,476 | – | 2,476 | ||||||||||||||||
Loans held for sale | 242 | – | 242 | – | 242 | ||||||||||||||||
Loans, net | 328,347 | – | – | 332,167 | 332,167 | ||||||||||||||||
Bank owned life insurance | 3,622 | – | 3,622 | – | 3,622 | ||||||||||||||||
Accrued income | 1,924 | – | 1,924 | – | 1,924 | ||||||||||||||||
Financial liabilities | |||||||||||||||||||||
Total deposits | 362,595 | – | 350,418 | – | 350,418 | ||||||||||||||||
Short term borrowings | 422 | – | 422 | – | 422 | ||||||||||||||||
FHLB borrowings | 20,000 | – | 20,356 | – | 20,356 | ||||||||||||||||
Accrued interest payable | 272 | – | 272 | – | 272 | ||||||||||||||||
The carrying amounts and approximate fair values of the Company's financial instruments are as follows at December 31, 2013: | |||||||||||||||||||||
(Dollars In Thousands) | Fair value at December 31, 2013 | ||||||||||||||||||||
Description | Carrying value as of | Quoted Prices | Significant | Significant | Approximate | ||||||||||||||||
December 31, | in Active | Other | Unobservable | Fair Values | |||||||||||||||||
2013 | Markets for | Observable | Inputs | ||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||
Assets | (Level 2) | ||||||||||||||||||||
(Level 1) | |||||||||||||||||||||
Financial assets | |||||||||||||||||||||
Cash and due from banks | $ | 19,537 | $ | 17,537 | $ | 2,004 | $ | – | $ | 19,541 | |||||||||||
Federal funds sold | 738 | 738 | – | – | 738 | ||||||||||||||||
Securities available-for-sale | 57,922 | – | 57,922 | – | 57,922 | ||||||||||||||||
Restricted equity securities | 2,564 | – | 2,564 | – | 2,564 | ||||||||||||||||
Loans, net | 294,212 | – | – | 293,135 | 293,135 | ||||||||||||||||
Bank owned life insurance | 3,518 | – | 3,518 | – | 3,518 | ||||||||||||||||
Accrued income | 1,877 | – | 1,877 | – | 1,877 | ||||||||||||||||
Financial liabilities | |||||||||||||||||||||
Total deposits | 339,770 | – | 327,514 | – | 327,514 | ||||||||||||||||
Short term borrowings | 258 | – | 258 | – | 258 | ||||||||||||||||
FHLB borrowings | 22,000 | – | 22,560 | – | 22,560 | ||||||||||||||||
Accrued interest payable | 286 | – | 286 | – | 286 | ||||||||||||||||
Note_11_Earnings_Per_Common_Sh
Note 11 - Earnings Per Common Share | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||
Earnings Per Share [Text Block] | Note 11. Earnings per Common Share | ||||||||||||||||||||||||
The following tables show the weighted average number of shares used in computing earnings per common share and the effect on weighted average number of shares of diluted potential common stock. Potential dilutive common stock had no effect on income available to common shareholders. | |||||||||||||||||||||||||
For the Years Ended | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Dollars In Thousands, except share and per share data | Weighted Average Common Shares Outstanding | Net Income Available to Common Shareholders | Per Share Amount | Weighted Average Common Shares Outstanding | Net Income Available to Common Shareholders | Per Share Amount | |||||||||||||||||||
Earnings per common share, basic | 3,284,870 | $ | 2,575 | $ | 0.78 | 3,269,063 | $ | 1,741 | $ | 0.53 | |||||||||||||||
Series C Preferred Stock Dividends | 840 | 390 | |||||||||||||||||||||||
Effect of dilutive securities: | |||||||||||||||||||||||||
Convertible preferred stock | 2,240,000 | − | (0.16 | ) | 1,147,616 | − | (0.05 | ) | |||||||||||||||||
Earnings per common share, diluted | 5,524,870 | $ | 3,415 | $ | 0.62 | 4,416,679 | $ | 2,131 | $ | 0.48 | |||||||||||||||
At December 31, 2014 and 2013, stock options to purchase 549,560 and 391,710 shares, respectively, were outstanding. These options were not included in the calculation of diluted weighted average shares as their impact would be antidilutive. Non vested restricted shares were included in weighted average common shares outstanding for computing basic earnings per share, as the holder has voting rights and would share in a stock dividend during the vesting period. |
Note_12_Stock_Based_Compensati
Note 12 - Stock Based Compensation | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 12. Stock Based Compensation | ||||||||||||||||
The Company recorded stock based compensation expense of $58 thousand and $36 thousand for the years ended December 31, 2014 and 2013, respectively. | |||||||||||||||||
The Company has a 2005 Stock Option Plan (the Plan) pursuant to which the Board of Directors may grant stock options to directors, officers and employees. Under the fair value recognition provisions of relevant accounting guidance, stock-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as expense on a straight-line basis over the requisite service period, which is the vesting period. | |||||||||||||||||
The Company uses the Black-Scholes option pricing model to determine the fair value of stock options. The fair value of the stock based payment awards is affected by the price of our stock and a number of financial assumptions and variables. These variables include the risk free interest rate, expected dividend rate, expected stock price volatility and the expected life of the options. On December 18, 2014, the Board of Directors granted 165 thousand shares which will vest over a five year period. Financial assumptions and variables used to determine the fair value of these stock options are; risk free interest rate of 2.01%, an expected term of 7.5 years, an expected stock price volatility of 26% and a dividend rate of 0%. Compensation expense will be charged to income ratably over the vesting period and was $2 thousand in 2014. As of December 31, 2014 there was $376 thousand of total unrecognized compensation cost related to nonvested stock options granted under the Plan. The cost is expected to be recognized over a period of five years. No options were granted in 2013. All previously issued options were fully vested at the end of 2012, resulting in no compensation expense being recorded in 2013. | |||||||||||||||||
A summary of option activity under the 2005 stock option plan during the year ended December 31, 2014 is as follows: | |||||||||||||||||
Options | Weighted | Aggregate | Weighted | ||||||||||||||
Outstanding | Average | Intrinsic | Average | ||||||||||||||
Exercise | Value(1) | Contractual | |||||||||||||||
Price | Term | ||||||||||||||||
(years) | |||||||||||||||||
Balance at December 31, 2013 | 391,710 | $ | 9.34 | ||||||||||||||
Granted | 165,000 | 6.9 | |||||||||||||||
Exercised | – | – | |||||||||||||||
Forfeited | (7,150 | ) | 9.09 | ||||||||||||||
Balance at December 31, 2014 | 549,560 | $ | 8.61 | $ | – | 4.08 | |||||||||||
Exercisable at December 31, 2014 | 549,560 | $ | 8.61 | $ | – | 4.08 | |||||||||||
(1) The aggregate intrinsic value of a stock option in the table above represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on December 31, 2014. | |||||||||||||||||
In 2009, the Board of Directors authorized 132,000 shares of common stock for issuance under the Restricted Stock Plan. The plan provides for restricted stock awards to key employees. Restricted shares awarded to employees generally vest over a five year period and compensation expense is charged to income ratably over the vesting period and was $56 thousand in 2014 and $36 thousand in 2013. Compensation is accounted for using the fair market value of the Company’s common stock on the date the restricted shares are awarded. The weighted-average grant date fair value of restricted stock granted in 2014 was $6.25 compared to $5.98 in 2013. The Company granted 17,268 and 7,781 shares of restricted stock under the plan in 2014 and 2013, respectively. | |||||||||||||||||
As of December 31, 2014, there was $215 thousand of total unrecognized compensation cost related to restricted stock granted under the Plan. The cost is expected to be recognized through 2019. A summary of the activity for restricted stock awards for the periods indicated is presented below: | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Shares | Weighted-Average | Shares | Weighted-Average | ||||||||||||||
Grant Date | Grant Date | ||||||||||||||||
Fair Value | Fair Value | ||||||||||||||||
Nonvested at beginning of year | 27,846 | $ | 5.05 | 25,896 | $ | 4.76 | |||||||||||
Granted | 17,268 | 6.25 | 7,781 | 5.98 | |||||||||||||
Vested | (7,387 | ) | 5.23 | (5,831 | ) | 5.03 | |||||||||||
Cancelled | – | – | – | – | |||||||||||||
Nonvested at end of year | 37,727 | $ | 5.56 | 27,846 | $ | 5.05 | |||||||||||
Note_13_Salary_Continuation_Pl
Note 13 - Salary Continuation Plan | 12 Months Ended |
Dec. 31, 2014 | |
Salary Continuation Plan [Abstract] | |
Salary Continuation Plan [Text Block] | Note 13. Salary Continuation Plan |
The Company has a Salary Continuation Plan for certain key officers. The plan provides the participating officers with supplemental retirement income. The Supplemental Executive Retirement Plan (the “SERP”) provides lifetime payments equal to 20% of a participant’s average annual base salary for the five years immediately prior to retirement. There is an incentive formula with an additional benefit of 20% of a participant’s average annual base salary for the five years immediately prior to retirement if performance targets set by the Board of Directors are met. The SERP contains provisions for disability and survivor benefits, a benefits vesting schedule based on age attained and automatic full vesting in the event of a change in control of the Company. Deferred compensation accrued under the SERP totaled $129 thousand and $24 thousand at the end of 2014 and 2013, respectively. The funding mechanism for the plan is Bank Owned Life Insurance policies on the lives of the participants. |
Note_14_Employee_Benefit_Plan
Note 14 - Employee Benefit Plan | 12 Months Ended |
Dec. 31, 2014 | |
Compensation and Retirement Disclosure [Abstract] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | Note 14. Employee Benefit Plan |
The Company adopted a profit sharing plan pursuant to Section 401(k) of the Internal Revenue Code. The plan covers substantially all employees. Participants may contribute a percentage of compensation, subject to a maximum allowed under the Code. The Company makes non-discretionary matching contributions of 100% of the employee’s deferral up to 3% of compensation and matches 50% of the employee’s next 3% deferral. In addition, the Company may make additional contributions at the discretion of the Board of Directors. The Company’s matching contributions were $209 thousand and $180 thousand for the years ended December 31, 2014 and 2013, respectively. |
Note_15_Income_Taxes
Note 15 - Income Taxes | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Income Tax Disclosure [Abstract] | |||||||||
Income Tax Disclosure [Text Block] | Note 15. Income Taxes | ||||||||
The Company files income tax returns in the U.S. federal jurisdiction and the Commonwealth of Virginia. With few exceptions, the Company is no longer subject to U.S. federal, state and local income tax examinations by tax authorities for years prior to 2011. | |||||||||
The current and deferred components of income tax expense for the periods ended December 31, 2014 and 2013 are as follows: | |||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||
Current | $ | 731 | $ | 68 | |||||
Deferred | 856 | 1,272 | |||||||
Income tax expense | $ | 1,587 | $ | 1,340 | |||||
Rate Reconciliation | |||||||||
Total income tax expense differed from the “expected” amount computed by applying the U.S. Federal income tax rate of 34 percent to income before income taxes as a result of the following. | |||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||
Tax at statutory federal rate | $ | 1,701 | $ | 1,384 | |||||
Tax-exempt interest income | (136 | ) | (96 | ) | |||||
Cash surrender value of life insurance | (35 | ) | 26 | ||||||
Qualified restricted stock awards | 19 | 26 | |||||||
Other | 38 | – | |||||||
Income tax expense | $ | 1,587 | $ | 1,340 | |||||
Deferred Income Tax Analysis | |||||||||
The significant components of net deferred taxes at December 31, 2014 and 2013 are summarized as follows: | |||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||
Deferred tax assets | |||||||||
Net operating losses | $ | — | $ | 302 | |||||
Alternative minimum tax | — | 98 | |||||||
Pre-opening expenses | 94 | 110 | |||||||
Allowance for loan losses | 513 | 675 | |||||||
Stock-based compensation | 236 | 236 | |||||||
Deferred compensation | 44 | 8 | |||||||
Other real estate expenses | 175 | 290 | |||||||
Unrealized loss on securities available for sale | — | 308 | |||||||
Nonaccrual loan interest | 14 | 17 | |||||||
Deferred tax asset | 1,076 | 2,044 | |||||||
Deferred tax liabilities | |||||||||
Depreciation | 360 | 297 | |||||||
Unrealized gain on securities available for sale | 235 | — | |||||||
Accretion of bond discount | — | 1 | |||||||
Deferred loan fees | 721 | 587 | |||||||
Deferred tax liability | 1,316 | 885 | |||||||
Net deferred tax (liability) asset | $ | (240 | ) | $ | 1,159 | ||||
Note_16_Commitments_and_Contin
Note 16 - Commitments and Contingencies | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||
Commitments and Contingencies Disclosure [Text Block] | Note 16. Commitments and Contingencies | ||||||||
Litigation | |||||||||
On June 27, 2014, HomeTrust Bank of Ashville, N.C., filed a lawsuit action against HomeTown Bank in the United States District Court for the Eastern District of Virginia seeking a declaratory judgment that their service mark is valid and that they can use it anywhere in the United States. | |||||||||
On July 18, 2014, HomeTown Bank, filed a lawsuit action against HomeTrust Bank of Ashville, N.C. in the United States District Court for the Western District of Virginia seeking injunctive relief and damages for unfair competition and cybersquatting. | |||||||||
HomeTown Bankshares Corporation (the “Company”), announced on August 19, 2014 the entry of its wholly owned subsidiary Roanoke, Virginia based HomeTown Bank into an Agreement with HomeTrust Bank, a Federal Saving Bank headquartered in Asheville, North Carolina whereby the two Companies agreed to dismiss the actions each had against the other in the United States District Courts for the Eastern and Western Districts of Virginia. Each party is responsible for their own attorneys’ fees and litigation expenses. The Company incurred $126 thousand in legal fees defending their position and $31 thousand in additional marketing expense. | |||||||||
In the normal course of business, the Company becomes involved in litigation arising from the banking, financial and other activities it conducts. Management, after consultation with legal counsel, does not anticipate that the ultimate liability, if any, arising from these matters will have a material effect on the Company’s financial condition, operating results or liquidity. | |||||||||
Financial Instruments with Off-Balance-Sheet Risk | |||||||||
The Company is party to credit related financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. These instruments involve, to varying degrees, credit risk in excess of the amount recognized in the consolidated balance sheet. | |||||||||
The Company’s exposure to credit loss, in the event of nonperformance by the other party to the financial instrument, for commitments to extend credit and standby letters of credit is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. | |||||||||
A summary of the Company’s commitments at December 31, 2014 and 2013 is as follows (dollars in thousands): | |||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||
Commitments to extend credit | $ | 21,137 | $ | 19,164 | |||||
Unfunded commitments under lines of credit | 55,280 | 41,056 | |||||||
Standby letters of credit | 5,563 | 4,040 | |||||||
Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the party. Collateral held varies, but may include accounts receivable, inventory, property and equipment, residential real estate and income-producing commercial properties. | |||||||||
Unfunded commitments under commercial lines-of-credit, revolving credit lines and overdraft protection agreements are commitments for possible future extensions of credit to existing customers. These lines-of-credit may or may not be drawn upon to the total extent to which the Company is committed. | |||||||||
Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. Collateral held varies as specified above and is required in instances which the Company deems necessary. | |||||||||
The Company is required to maintain certain required reserve balances with the Federal Reserve Bank. At December 31, 2014 and 2013, these reserve balances amounted to $3.7 million and $3.3 million, respectively. | |||||||||
The Company from time to time may have cash and cash equivalents on deposit with financial institutions that exceed federally insured limits. Balances in excess of FDIC insured amounts totaled $4,082,000 and $6,846,000 at December 31, 2014 and 2013, respectively. | |||||||||
Purchase Obligation | |||||||||
On November 1, the Company entered into a marketing agreement involving naming, advertising, and sponsorship rights. The agreement is for three years, with an option for an additional two years. The Company expensed $9.5 thousand in 2014 related to this agreement; and is obligated to pay $47.8 thousand in 2015, $52.8 thousand in 2016, and $47.9 thousand in 2017. |
Note_17_Regulatory_Restriction
Note 17 - Regulatory Restrictions | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Disclosure Text Block [Abstract] | |||||||||||||||||||||||||
Regulatory Capital Requirements under Banking Regulations [Text Block] | Note 17. Regulatory Restrictions | ||||||||||||||||||||||||
Dividends | |||||||||||||||||||||||||
The Company, as a Virginia banking corporation, may pay dividends only out of its retained earnings. However, regulatory authorities may limit payment of dividends by any company when it is determined that such a limitation is in the public interest and is necessary to ensure financial soundness of the Company. At December 31, 2014 there were no retained earnings available from which to pay dividends. | |||||||||||||||||||||||||
Capital Requirements | |||||||||||||||||||||||||
In July 2013, the FRB issued revised final rules that make technical changes to its market risk capital rules to align it with the Basel III regulatory capital framework and meet certain requirements of the Dodd-Frank Act. The final new capital rules require the Company to comply with the following new minimum capital ratios, effective January 1, 2015: (1) a new common equity Tier 1 capital ratio of 4.5% of risk-weighted assets; (2) a Tier 1 capital ratio of 6% of risk-weighted assets (increased from the current requirement of 4%); (3) a total capital ratio of 8% of risk-weighted assets (unchanged from current requirement); and, (4) a leverage ratio of 4% of total assets. Had the new minimum capital ratios described above been effective as of December 31, 2014, based on management’s interpretation and understanding of the new rules, the Company would have remained “well capitalized” as of such date. The rule introduces the requirement of a new 2.5% capital conservation buffer, to be phased in beginning on January 1, 2016, and ending on January 1, 2019. Banking organizations without other supervisory issues that wish to distribute capital freely, such as in the payment of dividends for example, must maintain the new capital conservation buffer. | |||||||||||||||||||||||||
The Company (on a consolidated basis) and the Bank are subject to various regulatory capital requirements administered by federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s and the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Prompt corrective action provisions are not applicable to bank holding companies. | |||||||||||||||||||||||||
Quantitative measures established by regulation to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios (set forth in the table below) of total and Tier I capital to risk-weighted assets, and of Tier I capital to average assets, as all those terms are defined in the applicable regulations. As of December 31, 2014, management believes the Company and the Bank met all capital adequacy requirements to which they are subject. | |||||||||||||||||||||||||
As of December 31, 2014, the most recent notification from the Federal Reserve Bank, categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Bank must maintain minimum total risk-based, Tier I risk-based, and Tier I leverage ratios as set forth in the following table. There are no conditions or events since the notification that management believes have changed the Bank’s category. | |||||||||||||||||||||||||
The Company’s and the Bank’s actual capital amounts and ratios are also presented in the following table. | |||||||||||||||||||||||||
31-Dec-14 | Actual | Minimum Capital | Minimum To Be | ||||||||||||||||||||||
Requirement | Well Capitalized | ||||||||||||||||||||||||
Under Prompt | |||||||||||||||||||||||||
Corrective Action | |||||||||||||||||||||||||
Provisions | |||||||||||||||||||||||||
(in thousands except for percentages) | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||
Total Capital (to Risk-Weighted Assets) | |||||||||||||||||||||||||
Consolidated | $ | 46,102 | 13.1 | % | $ | 28,125 | 8 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 45,695 | 13 | % | $ | 28,125 | 8 | % | $ | 35,157 | 10 | % | |||||||||||||
Tier I Capital (to Risk-Weighted Assets) | |||||||||||||||||||||||||
Consolidated | $ | 42,770 | 12.2 | % | $ | 14,063 | 4 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 42,363 | 12 | % | $ | 14,063 | 4 | % | $ | 21,094 | 6 | % | |||||||||||||
Tier I Capital (to Average Assets) | |||||||||||||||||||||||||
Consolidated | $ | 42,770 | 10.1 | % | $ | 16,952 | 4 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 42,363 | 10 | % | $ | 16952 | 4 | % | $ | 21,190 | 5 | % | |||||||||||||
31-Dec-13 | Actual | Minimum Capital | Minimum To Be | ||||||||||||||||||||||
Requirement | Well Capitalized | ||||||||||||||||||||||||
Under Prompt | |||||||||||||||||||||||||
Corrective Action | |||||||||||||||||||||||||
Provisions | |||||||||||||||||||||||||
(in thousands except for percentages) | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||
Total Capital (to Risk-Weighted Assets) | |||||||||||||||||||||||||
Consolidated | $ | 43,858 | 14 | % | $ | 25,077 | 8 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 42,516 | 13.6 | % | $ | 25,077 | 8 | % | $ | 31,346 | 10 | % | |||||||||||||
Tier I Capital (to Risk-Weighted Assets) | |||||||||||||||||||||||||
Consolidated | $ | 40,137 | 12.8 | % | $ | 12,538 | 4 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 38,795 | 12.4 | % | $ | 12,538 | 4 | % | $ | 18,808 | 6 | % | |||||||||||||
Tier I Capital (to Average Assets) | |||||||||||||||||||||||||
Consolidated | $ | 40,137 | 10.2 | % | $ | 15,719 | 4 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 38,795 | 9.9 | % | $ | 15,719 | 4 | % | $ | 19,648 | 5 | % | |||||||||||||
Note_18_Transactions_with_Rela
Note 18 - Transactions with Related Parties | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Related Party Transactions [Abstract] | |||||||||
Related Party Transactions Disclosure [Text Block] | Note 18. Transactions with Related Parties | ||||||||
The Company has entered into transactions with its directors, significant shareholders and their affiliates (related parties). Such transactions were made in the ordinary course of business on substantially the same terms and conditions, including interest rates and collateral, as those prevailing at the same time for comparable transactions with other customers, and did not, in the opinion of management, involve more than normal credit risk or present other unfavorable features. | |||||||||
Aggregate loan transactions with related parties were as follows: | |||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||
Balance, beginning | $ | 8,280 | $ | 8,140 | |||||
New loans | 3,859 | 5,182 | |||||||
Repayments | (4,091 | ) | (5,042 | ) | |||||
Balance, ending | $ | 8,048 | $ | 8,280 | |||||
Aggregate deposit balances with related parties at December 31, 2014 and 2013 were $6,354,000 and $5,994,000, respectively. |
Note_19_Capital_Transactions
Note 19 - Capital Transactions | 12 Months Ended |
Dec. 31, 2014 | |
Capital Transactions [Abstract] | |
Capital Transactions [Text Block] | Note 19. Capital Transactions |
The Department of the Treasury created the Troubled Asset Relief Program in 2008 to make capital available to certain U.S. financial institutions through the Capital Purchase Program. Under this program, the Treasury would purchase preferred stock with an initial cumulative dividend rate of 5% and received warrants to purchase additional preferred stock with a cumulative dividend rate of 9%. Participating financial institutions were required to adopt the Treasury’s standards for executive compensation and corporate governance for the period during which the Treasury holds equity issued under the TARP Capital Purchase Program. | |
On September 18, 2009, as part of the Capital Purchase Program, the Company entered into a Letter Agreement and Securities Purchase Agreement with the Treasury, pursuant to which the Company sold $10 million of its Fixed Rate Cumulative Perpetual Preferred Stock, Series A, and a warrant to purchase $374 thousand of its Fixed Rate Cumulative Perpetual Preferred Stock, Series B. The Warrant was exercised immediately, and the discount accreted until the shares were redeemed in 2013. | |
The Preferred Stock qualified as Tier 1 capital. The cumulative dividend rate for Series A was 5% per annum for the first five years, and thereafter at a rate of 9% per annum. The Series B paid cumulative dividends at a rate of 9% per annum. For the year through the September 23, 2013 redemption of the Series A and B preferred stock, the Company paid a total of $457 thousand in dividends. | |
On June 28, 2013 HomeTown Bankshares Corporation completed a $14,000,000 private placement of its convertible preferred stock. Pursuant to the terms of the Private Placement Memorandum, dated April 17, 2013, and amended thereafter, the Company sold 14,000 shares of its 6.0% Series C Non–Cumulative Perpetual Convertible Preferred Stock at a price of $1,000 per share. The convertible preferred stock pays quarterly dividends equivalent to six percent (6.0%) per annum, and is convertible into shares of common stock of the Company based on a conversion price of $6.25 per share, subject to adjustment. The Company paid $840 thousand and $389 thousand in dividends on Series C preferred stock in 2014 and 2013, respectively. | |
On September 24, 2013, the Company used the net proceeds from this offering to redeem the $10,374,000 of its Fixed Rate Cumulative Perpetual Preferred Stock, Series A and Series B. The remaining proceeds were used to support growth and for general corporate purposes. |
Note_20_Reclassifications_out_
Note 20 - Reclassifications out of Other Comprehensive Income | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Disclosure Text Block [Abstract] | ||||||||||
Comprehensive Income (Loss) Note [Text Block] | Note 20. Reclassifications Out of Other Comprehensive Income | |||||||||
Items not reclassified in their entirety to net income for the years ended December 31, 2014 and 2013 are as follows: | ||||||||||
Details about Other Comprehensive | Amounts Reclassified from | Affected Line Item in the Statement | ||||||||
Components | Other Comprehensive Income | Where Net Income is Presented | ||||||||
for the Years Ended | ||||||||||
December 31, | ||||||||||
(Dollars In Thousands) | 2014 | 2013 | ||||||||
Available for sale securities | ||||||||||
Realized gains on sales of securities held for sale during the period | $ | 128 | $ | 152 | Gains on sales of investment securities | |||||
Tax expense related to realized gains on securities sold | 44 | 52 | Income tax expense | |||||||
$ | 84 | $ | 100 | Net income | ||||||
Note_21_Condensed_Parent_Compa
Note 21 - Condensed Parent Company Financial Information | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |||||||||
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | Note 21. Condensed Parent Company Financial Information | ||||||||
Financial information pertaining only to HomeTown Bankshares Corporation follows. The parent company was formed on September 4, 2009. | |||||||||
CONDENSED BALANCE SHEETS | |||||||||
Dollars In Thousands | December 31, | December 31, | |||||||
2014 | 2013 | ||||||||
Assets | |||||||||
Cash and due from banks | $ | 408 | $ | 1,352 | |||||
Investment in bank subsidiary | 42,817 | 38,195 | |||||||
Total assets | $ | 43,225 | $ | 39,547 | |||||
Liabilities and Stockholders’ Equity | |||||||||
Total liabilities | $ | — | $ | 9 | |||||
Stockholders’ equity: | |||||||||
Total stockholders’ equity | 43,225 | 39,538 | |||||||
Total liabilities and stockholders’ equity | $ | 43,225 | $ | 39,547 | |||||
CONDENSED STATEMENTS OF INCOME | |||||||||
Dollars In Thousands | For the year ended | For the year ended | |||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Expenses | $ | (143 | ) | $ | (145 | ) | |||
Net loss before income taxes | (143 | ) | (145 | ) | |||||
Income tax benefit | 48 | 49 | |||||||
Net loss before equity in undistributed net income of subsidiary | (95 | ) | (96 | ) | |||||
Undistributed net income of subsidiary | 3,510 | 2,825 | |||||||
Net Income | $ | 3,415 | $ | 2,729 | |||||
CONDENSED STATEMENTS OF CASH FLOWS | |||||||||
Dollars In Thousands | For the year | For the year | |||||||
ended | ended | ||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Cash flows from operating activities: | |||||||||
Net income | $ | 3,415 | $ | 2,729 | |||||
Equity in undistributed net income of subsidiary bank | (3,510 | ) | (2,825 | ) | |||||
Decrease in other assets | — | 145 | |||||||
(Decrease) increase in other liabilities | (9 | ) | 9 | ||||||
Net cash flows provided by (used in) operating activities | (104 | ) | 58 | ||||||
Cash flows from investing activities: | |||||||||
Capital contribution to bank subsidiary | — | (1,500 | ) | ||||||
Net cash flows used in investing activities | — | (1,500 | ) | ||||||
Cash flows from financing activities: | |||||||||
Issuance of preferred stock net of issuance costs | — | 13,293 | |||||||
Preferred stock redeemed | — | (10,374 | ) | ||||||
Preferred dividend payment | (840 | ) | (846 | ) | |||||
Net cash flows provided by (used in) financing activities | (840 | ) | 2,073 | ||||||
Net increase (decrease) in cash and cash equivalents | (944 | ) | 631 | ||||||
Cash and cash equivalents, beginning | 1,352 | 721 | |||||||
Cash and cash equivalents, ending | $ | 408 | $ | 1,352 | |||||
Note_22_Subsequent_Events
Note 22 - Subsequent Events | 12 Months Ended |
Dec. 31, 2014 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Note 22. Subsequent Events |
On February 5, 2015, the Company’s Board of Directors declared a quarterly cash dividend in the amount of $15.00 per Series C convertible preferred share, payable on March 15, 2015 to preferred shareholders of record February 28, 2015. In preparing these financial statements, the Company has evaluated events and transactions for potential recognition or disclosure through the date of this filing. |
Accounting_Policies_by_Policy_
Accounting Policies, by Policy (Policies) | 12 Months Ended | |
Dec. 31, 2014 | ||
Accounting Policies [Abstract] | ||
Consolidation, Policy [Policy Text Block] | Principles of Consolidation | |
The consolidated financial statements include the accounts of HomeTown Bankshares Corporation and its wholly-owned subsidiary HomeTown Bank. All significant intercompany balances and transactions have been eliminated in consolidation. | ||
Use of Estimates, Policy [Policy Text Block] | Use of Estimates | |
In preparing financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated balance sheet and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation of other real estate owned, and the valuation of deferred tax assets. Substantially all of the Company’s loan portfolio consists of loans in its market area. Accordingly, the ultimate collectability of a substantial portion of the Company’s loan portfolio and the recovery of a substantial portion of the carrying amount of foreclosed real estate (as applicable) is susceptible to changes in local market conditions. | ||
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents | |
Cash and cash equivalents include cash on hand and amounts due from correspondent banks. For the purpose of presentation in the consolidated statements of cash flows, cash and cash equivalents are defined as those amounts included in the consolidated balance sheet caption “cash and due from banks”. | ||
Marketable Securities, Policy [Policy Text Block] | Securities | |
Investments in debt and equity securities with readily determinable fair values are classified as either held to maturity, available for sale, or trading, based on management’s intent. Currently, all of the Company’s investment securities are classified as available for sale. Available for sale securities are carried at estimated fair value with the corresponding unrealized gains and losses excluded from earnings and reported in other comprehensive income. Gains or losses are recognized in earnings on the trade date using the amortized cost of the specific security sold. Purchase premiums and discounts are recognized in interest income using the interest method over the terms of the securities. | ||
Impairment of securities occurs when the fair value of a security is less than its amortized cost. For debt securities, impairment is considered other-than-temporary and recognized in its entirety in net income if either (i) the Company intends to sell the security or (ii) it is more-likely-than-not that the Company will be required to sell the security before recovery of its amortized cost basis. If, however, the Company does not intend to sell the security and it is not likely that it will be required to sell the security before recovery, the Company must determine what portion of the impairment is attributable to a credit loss, which occurs when the amortized cost basis of the security exceeds the present value of the cash flows expected to be collected from the security. If there is no credit loss, there is no other-than-temporary impairment. If there is a credit loss, other-than-temporary impairment exists, and the credit loss must be recognized in net income and the remaining portion of impairment must be recognized in other comprehensive income. The Company regularly reviews each investment security for other-than-temporary impairment based on criteria that include the extent to which cost exceeds market price, the duration of that market decline, the financial health of and specific prospects for the issuer, the best estimate of the present value of cash flows expected to be collected from debt securities, the Company’s intention with regard to holding the security to maturity and the likelihood that the Company would be required to sell the security before recovery. | ||
Restricted Equity Securities [Policy Text Block] | Restricted Equity Securities | |
As members of the Federal Reserve Bank (FRB) and the Federal Home Loan Bank of Atlanta (FHLB), the Company is required to maintain certain minimum investments in the capital stock of the FRB and FHLB. The Company’s investment in these securities is recorded at cost, based on the redemption provisions of the FRB and FHLB. | ||
Finance, Loans and Leases Receivable, Policy [Policy Text Block] | Loans | |
Loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off are reported at their outstanding principal amount adjusted for any charge-offs, allowance for loan losses and deferred fees or costs on originated loans. Loan origination fees and certain direct origination costs are capitalized and recognized as an adjustment of the yield of the related loan. | ||
Interest is accrued and credited to income based on the principal amount outstanding. The accrual of interest on impaired loans for all classes is discontinued when, in management’s opinion, the borrower may be unable to meet payments as they become due. When interest accrual is discontinued, all unpaid accrued interest for the current year is reversed. Interest income is subsequently recognized only to the extent cash payments are received. When facts and circumstances indicate the borrower has regained the ability to meet the required payments, the loan is returned to accrual status. Past due status of loans is determined based on contractual terms. The loan portfolio is comprised of the following classes. | ||
● | Residential real estate construction loans carry risks that the home will not be finished according to schedule, will not be finished according to the budget and the value of the collateral may, at any point in time, be less than the principal amount of the loan. Construction loans also bear the risk that the general contractor may be unable to finish the construction project as planned because of financial pressure unrelated to the project. | |
● | Land acquisition and development loans and commercial construction loans carry risks that the project will not be finished according to schedule, will not be finished according to budget and the value of the collateral may, at any point in time, be less than the principal amount of the loan. Land acquisition and development loans and commercial construction loans also bear the risk that the developer in the case of land acquisition and development loans or the general contractor in the case of commercial construction loans, may be unable to finish the development or construction project as planned because of financial pressure unrelated to the project. | |
● | Residential real estate loans carry risks associated with the continued credit worthiness of the borrower and changes in the value of the collateral. | |
● | Commercial real estate loans carry risks associated with the successful operation of a business or a real estate project, in addition to other risks associated with the ownership of real estate, because the repayment of these loans may be dependent upon the profitability and cash flows of the business or project. | |
● | Commercial, industrial and agricultural loans carry risks associated with the successful operation of a business. In addition, there is risk associated with the value of the collateral which may depreciate over time and cannot be appraised with as much precision. | |
● | Equity lines of credit carry risks associated with the continued credit worthiness of the borrower and changes in the value of the collateral. | |
● | Consumer loans carry risks associated with the continued credit worthiness of the borrower and the value of the collateral (e.g., rapidly-depreciating assets such as automobiles), or lack thereof. Consumer loans are more likely than real estate loans to be immediately adversely affected by job loss, divorce, illness or personal bankruptcy. | |
A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan by loan basis for commercial and construction loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral, less cost to sell, if the loan is collateral dependent. | ||
TDRs (Troubled Debt Restructurings) occur when the Company agrees to significantly modify the original terms of a loan due to the deterioration in the financial condition of the borrower. TDRs are considered impaired loans. Upon designation as a TDR, the Company evaluates the borrower’s payment history, past due status and ability to make payments based on the revised terms of the loan. If a loan was accruing prior to being modified as a TDR and if the Company concludes that the borrower is able to make such payments, and there are no other factors or circumstances that would cause it to conclude otherwise, the loan will remain on an accruing status. If a loan was on nonaccrual status at the time of the TDR, the loan will remain on nonaccrual status following the modification and may be returned to accrual status based on a record of making payments as scheduled for a period of six consecutive months. | ||
Loans and Leases Receivable, Allowance for Loan Losses Policy [Policy Text Block] | Allowance for Loan Losses | |
The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is confirmed. Consumer loans are charged off when they become 120 days past due. Non-consumer loans are charged off when the loan becomes 180 days past due unless the loan is well secured and in the process of collection. Borrowers that are in bankruptcy are charged off unless the debt has been reaffirmed and is well secured and recovery is probable. Subsequent recoveries, if any, are credited to the allowance. The allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. | ||
The allowance consists of specific and general components. The specific component relates to loans that are classified as impaired, and is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. For collateral dependent loans, an updated appraisal will be ordered if a current one is not on file. Appraisals are performed by independent third-party appraisers with relevant industry experience. Adjustments to the appraised value may be made based on recent sales of like properties or general market conditions when appropriate. The general component covers non-classified, or performing, loans and those loans classified as substandard or special mention that are not impaired. The general component is based on historical loss experience adjusted for qualitative factors, such as current economic conditions, including current home sales and foreclosures, unemployment rates and retail sales. The characteristics of the loan ratings are as follows: | ||
● | Pass rated loans are to persons or business entities with an acceptable financial condition, appropriate collateral margins, appropriate cash flow to service the existing loan, and an appropriate leverage ratio. The borrower has paid all obligations as agreed and it is expected that this type of payment history will continue. When necessary, acceptable personal guarantors support the loan. | |
● | Special mention loans have a specific defined weakness in the borrower’s operations and the borrower’s ability to generate positive cash flow on a sustained basis. The borrower’s recent payment history may be characterized by late payments. The Company’s risk exposure is mitigated by collateral supporting the loan. The collateral is considered to be well-margined, well maintained, accessible and readily marketable. | |
● | Substandard loans are considered to have specific and well-defined weaknesses that jeopardize the viability of the Company’s credit extension. The payment history for the loan may have been inconsistent and the expected or projected primary repayment source may be inadequate to service the loan. The estimated net liquidation value of the collateral pledged and/or ability of the personal guarantor(s) to pay the loan may not adequately protect the Company. There is a distinct possibility that the Company will sustain some loss if the deficiencies associated with the loan are not corrected in the near term. A substandard loan would not automatically meet our definition of impaired unless the loan is significantly past due and the borrower’s performance and financial condition provide evidence that it is probable that the Company will be unable to collect all amounts due. | |
● | Substandard nonaccrual loans have the same characteristics as substandard loans; however, they have a non-accrual classification and are considered impaired. | |
● | Doubtful rated loans have all the weaknesses inherent in a loan that is classified substandard but with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The possibility of loss is extremely high. | |
● | Loss rated loans are not considered collectible under normal circumstances and there is no realistic expectation for any future payment on the loan. Loss rated loans are fully charged off. | |
Loans and Leases Receivable, Origination Fees, Discounts or Premiums, and Direct Costs to Acquire Loans Policy [Policy Text Block] | Loan Fees and Costs | |
Loan origination and commitment fees and certain direct loan origination costs charged by the Bank are deferred and the net amount amortized as an adjustment of the related loan’s yield. The Bank is amortizing these net amounts over the contractual life of the related loans or, in the case of demand loans, over the estimated life. Net fees related to standby letters of credit are recognized over the commitment period. | ||
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment | |
Land is carried at cost. Buildings, equipment, and leasehold improvements are carried at cost, less accumulated depreciation and amortization. Depreciation is provided over the estimated useful lives of the respective assets on the straight-line basis. Estimated useful lives range from ten to forty years for buildings and from three to ten years for equipment, furniture, and fixtures. Leasehold improvements are amortized over a term which includes the remaining lease term and probable renewal periods on a straight-line basis. Maintenance and repairs are charged to expense as incurred and major improvements are capitalized. | ||
Real Estate, Policy [Policy Text Block] | Foreclosed Properties | |
Real estate properties acquired through, or in lieu of, loan foreclosure are to be sold and are initially recorded at fair value less anticipated cost to sell at the date of foreclosure establishing a new cost basis. After foreclosure, valuations are periodically performed by management, and the real estate is carried at the lower of carrying amount or fair value less cost to sell. Changes in the valuation allowance are included in the income statement in the line “Gains, losses on sales and writedowns of other real estate owned, net.” | ||
Bank Owned Life Insurance [Policy Text Block] | Bank Owned Life Insurance | |
The Company purchased life insurance policies during 2013 on certain key executives. These policies are recorded at their cash surrender value. Increases in the cash surrender value of the life insurance contracts are included in noninterest income in the consolidated income statement caption “other income.” | ||
Transfers and Servicing of Financial Assets, Policy [Policy Text Block] | Transfers of Financial Assets | |
Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity, or the ability to unilaterally cause the transferee to return specific assets. | ||
Advertising Costs, Policy [Policy Text Block] | Advertising Expense | |
The Company expenses advertising and marketing costs as they are incurred. For the years ended December 31, 2014 and 2013, advertising and marketing expense was $598 thousand and $457 thousand, respectively. | ||
Income Tax, Policy [Policy Text Block] | Income Taxes | |
Deferred income tax assets and liabilities are determined using the liability method. Under this method, the net deferred tax asset or liability is determined based on the tax effects of the temporary differences between the book and tax basis of the various balance sheet assets and liabilities and gives current recognition to changes in tax rates and laws. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. | ||
When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the consolidated financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying consolidated balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Interest and penalties associated with unrecognized tax benefits are classified as additional income taxes in the consolidated statement of income. There are no unrecognized tax benefits as of December 31, 2014 and 2013. | ||
Earnings Per Share, Policy [Policy Text Block] | Earnings per Common Share | |
Basic earnings per common share is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding during the period, after giving retroactive effect to stock splits and dividends. Diluted earnings per common share is similar to the computation of basic earnings per common share except that the denominator is increased to include the number of additional common shares that would have been outstanding if dilutive potential common shares had been issued. The numerator is adjusted for any changes in income or loss that would result from the assumed conversion of those potential common shares. Potential common shares that may be issued by the Company relate to the convertible preferred stock outstanding and the outstanding stock options. The preferred stock is convertible into shares of common stock of the Company based on a conversion price of $6.25 per share, subject to adjustment. The potential dilutive effect of the outstanding stock options is determined using the treasury stock method. | ||
Comprehensive Income, Policy [Policy Text Block] | Comprehensive Income | |
Comprehensive income reflects the change in the Company’s equity during the year arising from transactions and events other than investment by and distributions to stockholders. It consists of net income plus certain other changes in assets and liabilities that are reported as separate components of stockholders’ equity rather than as income or expense. These changes for the Company relate solely to unrealized gains and losses on securities available for sale. | ||
Fair Value Measurement, Policy [Policy Text Block] | Fair Value Measurements | |
The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. The fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted prices for the Company’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. | ||
The fair value guidance provides a consistent definition of fair value, which focuses on exit price in an orderly transaction (that is, not a forced liquidation or distress sale) between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation techniques or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions. | ||
Fair Value of Financial Instruments, Policy [Policy Text Block] | Credit Related Financial Instruments | |
In the ordinary course of business, the Company has entered into commitments to extend credit, including commitments under lines of credit arrangements, commercial letters of credit and standby letters of credit. Such financial instruments are recorded when they are funded. | ||
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-Based Compensation Plan | |
The 2005 Stock Option Plan was approved by stockholders on April 20, 2006, which authorized 550,000 shares of common stock to be used in the granting of incentive options to employees and directors. This is the first stock incentive plan adopted by the Company. Under the plan, the option price cannot be less than the fair market value of the stock on the date granted. An option’s maximum term is ten years from the date of grant. Options granted under the plan may be subject to a vesting schedule. | ||
The Company accounts for the stock option plan in accordance with applicable accounting guidance. Under the fair value recognition provisions of this guidance, stock-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as expense on a straight-line basis over the requisite service period, which is the vesting period. | ||
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements | |
In January 2014, the FASB issued ASU 2014-01, “Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects (a consensus of the FASB Emerging Issues Task Force).” The amendments in this ASU permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense (benefit). The amendments in this ASU should be applied retrospectively to all periods presented. A reporting entity that uses the effective yield method to account for its investments in qualified affordable housing projects before the date of adoption may continue to apply the effective yield method for those preexisting investments. The amendments in this ASU are effective for public business entities for annual periods and interim reporting periods within those annual periods, beginning after December 15, 2014. Early adoption is permitted. The Company is currently assessing the impact that ASU 2014-01 will have on its consolidated financial statements. | ||
In January 2014, the FASB issued ASU 2014-04, “Receivables—Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure (a consensus of the FASB Emerging Issues Task Force).” The amendments in this ASU clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction. The amendments in this ASU are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. The Company is currently assessing the impact that ASU 2014-04 will have on its consolidated financial statements. | ||
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity.” The amendments in this ASU change the criteria for reporting discontinued operations while enhancing disclosures in this area. Under the new guidance, only disposals representing a strategic shift in operations should be presented as discontinued operations. Those strategic shifts should have a major effect on the organization’s operations and financial results and include disposals of a major geographic area, a major line of business, or a major equity method investment. The new guidance requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. Additionally, the new guidance requires disclosure of the pre-tax income attributable to a disposal of a significant part of an organization that does not qualify for discontinued operations reporting. The amendments in the ASU are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. Early adoption is permitted. The Company does not expect the adoption of ASU 2014-08 to have a material impact on its consolidated financial statements. | ||
In June 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers: Topic 606.” This ASU applies to any entity using U.S. GAAP that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets unless those contracts are within the scope of other standards. The guidance supersedes the revenue recognition requirements in Topic 605, “Revenue Recognition,, most industry-specific guidance, and some cost guidance included in Subtopic 605-35, “Revenue Recognition—Construction-Type and Production-Type Contracts.” The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised 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. To be in alignment with the core principle, an entity must apply a five step process including: identification of the contract(s) with a customer, identification of performance obligations in the contract(s), determination of the transaction price, allocation of the transaction price to the performance obligations, and recognition of revenue when (or as) the entity satisfies a performance obligation. Additionally, the existing requirements for the recognition of a gain or loss on the transfer of nonfinancial assets that are not in a contract with a customer have also been amended to be consistent with the guidance on recognition and measurement. The amendments in this ASU are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early adoption is not permitted. The Company is currently assessing the impact that ASU 2014-09 will have on its consolidated financial statements. | ||
In June 2014, the FASB issued ASU 2014-10, “Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation.” The amendments in this ASU remove all incremental financial reporting requirements from U.S. GAAP for development stage entities, including the removal of Topic 915, “Development Stage Entities,” from the FASB Accounting Standards Codification. In addition, this ASU adds an example disclosure and removes an exception provided to development stage entities in Topic 810, “Consolidation,” for determining whether an entity is a variable interest entity. The presentation and disclosure requirements in Topic 915 will no longer be required for the first annual period beginning after December 15, 2014. The revised consolidation standards are effective for annual periods beginning after December 15, 2015. Early adoption is permitted. The Company does not expect the adoption of ASU 2014-10 to have a material impact on its consolidated financial statements. | ||
In June 2014, the FASB issued ASU No. 2014-11, “Transfers and Servicing (Topic 860): Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures.” This ASU aligns the accounting for repurchase-to-maturity transactions and repurchase agreements executed as a repurchase financing with the accounting for other typical repurchase agreements. The new guidance eliminates sale accounting for repurchase-to-maturity transactions and supersedes the guidance under which a transfer of a financial asset and a contemporaneous repurchase financing could be accounted for on a combined basis as a forward agreement. The amendments in the ASU also require a new disclosure for transactions economically similar to repurchase agreements in which the transferor retains substantially all of the exposure to the economic return on the transferred financial assets throughout the term of the transaction. Additional disclosures will be required for the nature of collateral pledged in repurchase agreements and similar transactions accounted for as secured borrowings. The amendments in this ASU are effective for the first interim or annual period beginning after December 15, 2014; however, the disclosure for transactions accounted for as secured borrowings is required to be presented for annual periods beginning after December 15, 2014, and interim periods beginning after March 15, 2015. Early adoption is not permitted. The Company is currently assessing the impact that ASU 2014-11 will have on its consolidated financial statements. | ||
In June 2014, the FASB issued ASU No. 2014-12, “Compensation – Stock Compensation (Topic 718): Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period.” The new guidance applies to reporting entities that grant employees share-based payments in which the terms of the award allow a performance target to be achieved after the requisite service period. The amendments in the ASU require that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. Existing guidance in “Compensation – Stock Compensation (Topic 718),” should be applied to account for these types of awards. The amendments in this ASU are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Early adoption is permitted and reporting entities may choose to apply the amendments in the ASU either on a prospective or retrospective basis. The Company is currently assessing the impact that ASU 2014-12 will have on its consolidated financial statements. | ||
In August 2014, the FASB issued ASU No. 2014-14, “Receivables – Troubled Debt Restructurings by Creditors (Subtopic 310-40): Classification of Certain Government-Guaranteed Mortgage Loans upon Foreclosure.” The amendments in this ASU apply to creditors that hold government-guaranteed mortgage loans and are intended to eliminate the diversity in practice related to the classification of these guaranteed loans upon foreclosure. The new guidance stipulates that a mortgage loan be derecognized and a separate other receivable be recognized upon foreclosure if (1) the loan has a government guarantee that is not separable from the loan prior to foreclosure, (2) at the time of foreclosure, the creditor has the intent to convey the real estate property to the guarantor and make a claim on the guarantee, and the creditor has the ability to recover under that claim, and (3) at the time of foreclosure, any amount of the claim that is determined on the basis of the fair value of the real estate is fixed. Upon foreclosure, the other receivable should be measured on the amount of the loan balance (principal and interest) expected to be recovered from the guarantor. The amendments in this ASU are effective for annual periods and interim periods within those annual periods beginning after December 15, 2014. Entities may adopt the amendments on a prospective basis or modified retrospective basis as of the beginning of the annual period of adoption; however, the entity must apply the same method of transition as elected under ASU 2014-04. Early adoption is permitted provided the entity has already adopted ASU 2014-04. The Company is currently assessing the impact that ASU 2014-14 will have on its consolidated financial statements. | ||
In August 2014, the FASB issued ASU No. 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.” This update is intended to provide guidance about management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. Management is required under the new guidance to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date the financial statements are issued when preparing financial statements for each interim and annual reporting period. If conditions or events are identified, the ASU specifies the process that must be followed by management and also clarifies the timing and content of going concern footnote disclosures in order to reduce diversity in practice. The amendments in this ASU are effective for annual periods and interim periods within those annual periods beginning after December 15, 2016. Early adoption is permitted. The Company does not expect the adoption of ASU 2014-15 to have a material impact on its consolidated financial statements. | ||
In November 2014, the FASB issued ASU No. 2014-16, “Derivatives and Hedging (Topic 815): Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity.” The amendments in ASU do not change the current criteria in U.S. GAAP for determining when separation of certain embedded derivative features in a hybrid financial instrument is required. The amendments clarify how current U.S. GAAP should be interpreted in evaluating the economic characteristics and risks of a host contract in a hybrid financial instrument that is issued in the form of a share. Specifically, the amendments clarify that an entity should consider all relevant terms and features, including the embedded derivative feature being evaluated for bifurcation, in evaluating the nature of the host contract. Furthermore, the amendments clarify that no single term or feature would necessarily determine the economic characteristics and risks of the host contract. Rather, the nature of the host contract depends upon the economic characteristics and risks of the entire hybrid financial instrument. The amendments in this ASU also clarify that, in evaluating the nature of a host contract, an entity should assess the substance of the relevant terms and features (i.e., the relative strength of the debt-like or equity-like terms and features given the facts and circumstances) when considering how to weight those terms and features. The amendments in this ASU are effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption, including adoption in an interim period, is permitted. The Company does not expect the adoption of ASU 2014-16 to have a material impact on its consolidated financial statements. |
Note_2_Investment_Securities_T
Note 2 - Investment Securities (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | (Dollars In Thousands) | 31-Dec-14 | |||||||||||||||||||||||
Amortized | Gross | Gross | Fair Value | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
U.S. Government agency securities | $ | 26,812 | $ | 333 | $ | (180 | ) | $ | 26,965 | ||||||||||||||||
Mortgage-backed securities | 9,678 | 125 | (64 | ) | 9,739 | ||||||||||||||||||||
Municipal securities | 17,423 | 531 | (55 | ) | 17,899 | ||||||||||||||||||||
$ | 53,913 | $ | 989 | $ | (299 | ) | $ | 54,603 | |||||||||||||||||
(Dollars In Thousands) | 31-Dec-13 | ||||||||||||||||||||||||
Amortized | Gross | Gross | Fair Value | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||
U.S. Government agency securities | $ | 26,489 | $ | 235 | $ | (440 | ) | $ | 26,284 | ||||||||||||||||
Mortgage-backed securities | 15,328 | 193 | (160 | ) | 15,361 | ||||||||||||||||||||
Municipal securities | 17,012 | 68 | (803 | ) | 16,277 | ||||||||||||||||||||
$ | 58,829 | $ | 496 | $ | (1,403 | ) | $ | 57,922 | |||||||||||||||||
Schedule of Unrealized Loss on Investments [Table Text Block] | 31-Dec-14 | ||||||||||||||||||||||||
Less than 12 months | 12 months or more | Total | |||||||||||||||||||||||
(Dollars In Thousands) | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||
U.S. Government agency securities | $ | 5,568 | $ | (48 | ) | $ | 7,078 | $ | (132 | ) | $ | 12,646 | $ | (180 | ) | ||||||||||
Mortgage-backed securities | 742 | (6 | ) | 4,058 | (58 | ) | 4,800 | (64 | ) | ||||||||||||||||
Municipal securities | 1,625 | (20 | ) | 2,186 | (35 | ) | 3,811 | (55 | ) | ||||||||||||||||
$ | 7,935 | $ | (74 | ) | $ | 13,322 | $ | (225 | ) | $ | 21,257 | $ | (299 | ) | |||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Less than 12 months | 12 months or more | Total | |||||||||||||||||||||||
(Dollars In Thousands) | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||
U.S. Government agency securities | $ | 9,676 | $ | (341 | ) | $ | 1,897 | $ | (99 | ) | $ | 11,573 | $ | (440 | ) | ||||||||||
Mortgage-backed securities | 5,964 | (134 | ) | 1,042 | (26 | ) | 7,006 | (160 | ) | ||||||||||||||||
Municipal securities | 12,253 | (683 | ) | 1,185 | (120 | ) | 13,438 | (803 | ) | ||||||||||||||||
$ | 27,893 | $ | (1,158 | ) | $ | 4,124 | $ | (245 | ) | $ | 32,017 | $ | (1,403 | ) | |||||||||||
Investments Classified by Contractual Maturity Date [Table Text Block] | (Dollars In Thousands) | Amortized | Fair Value | ||||||||||||||||||||||
Cost | |||||||||||||||||||||||||
Less than one year | $ | 253 | $ | 253 | |||||||||||||||||||||
Over one through five years | 698 | 706 | |||||||||||||||||||||||
Over five through ten years | 8,458 | 8,458 | |||||||||||||||||||||||
Greater than 10 years | 44,504 | 45,186 | |||||||||||||||||||||||
$ | 53,913 | $ | 54,603 |
Note_3_Loans_Receivable_Tables
Note 3 - Loans Receivable (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||||||
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | (Dollars In Thousands) | December 31, | |||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | 10,019 | $ | 6,768 | |||||||||||||||||||||||||
Land acquisition, development & commercial | 23,686 | 20,904 | |||||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | 86,269 | 72,934 | |||||||||||||||||||||||||||
Commercial | 135,070 | 126,100 | |||||||||||||||||||||||||||
Commercial, industrial & agricultural | 44,807 | 42,155 | |||||||||||||||||||||||||||
Equity lines | 24,330 | 20,374 | |||||||||||||||||||||||||||
Consumer | 7,498 | 8,698 | |||||||||||||||||||||||||||
Total loans | $ | 331,679 | $ | 297,933 | |||||||||||||||||||||||||
Less allowance for loan losses | (3,332 | ) | (3,721 | ) | |||||||||||||||||||||||||
Loans, net | $ | 328,347 | $ | 294,212 | |||||||||||||||||||||||||
Past Due Financing Receivables [Table Text Block] | (Dollars In Thousands) | 30-59 Days | 60-89 Days | 90 Days or | Total Past | Current | Total | Nonaccrual | |||||||||||||||||||||
Past Due | Past Due | More Past | Due | Loans | Loans | ||||||||||||||||||||||||
Due | |||||||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | − | $ | − | $ | − | $ | − | $ | 10,019 | $ | 10,019 | $ | − | |||||||||||||||
Land acquisition, development & commercial | − | − | − | − | 23,686 | 23,686 | − | ||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | − | 381 | 261 | 642 | 85,627 | 86,269 | 475 | ||||||||||||||||||||||
Commercial | − | 85 | − | 85 | 134,985 | 135,070 | 758 | ||||||||||||||||||||||
Commercial, industrial & agricultural | 96 | − | − | 96 | 44,711 | 44,807 | − | ||||||||||||||||||||||
Equity lines | 105 | − | − | 105 | 24,225 | 24,330 | − | ||||||||||||||||||||||
Consumer | 10 | 36 | − | 46 | 7,452 | 7,498 | 21 | ||||||||||||||||||||||
Total | $ | 211 | $ | 502 | $ | 261 | $ | 974 | $ | 330,705 | $ | 331,679 | $ | 1,254 | |||||||||||||||
(Dollars In Thousands) | 30-59 Days | 60-89 Days | 90 Days or | Total Past | Current | Total | Nonaccrual | ||||||||||||||||||||||
Past Due | Past Due | More Past | Due | Loans | Loans | ||||||||||||||||||||||||
Due | |||||||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | – | $ | – | $ | – | $ | – | $ | 6,768 | $ | 6,768 | $ | – | |||||||||||||||
Land acquisition, development & commercial | – | – | – | – | 20,904 | 20,904 | – | ||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | – | – | 931 | 931 | 72,003 | 72,934 | 707 | ||||||||||||||||||||||
Commercial | – | – | – | – | 126,100 | 126,100 | – | ||||||||||||||||||||||
Commercial, industrial & agricultural | 270 | 44 | 36 | 350 | 41,805 | 42,155 | 193 | ||||||||||||||||||||||
Equity lines | 203 | – | 59 | 262 | 20,112 | 20,374 | 59 | ||||||||||||||||||||||
Consumer | 16 | – | 30 | 46 | 8,652 | 8,698 | 30 | ||||||||||||||||||||||
Total | $ | 489 | $ | 44 | $ | 1,056 | $ | 1,589 | $ | 296,344 | $ | 297,933 | $ | 989 | |||||||||||||||
Impaired Financing Receivables [Table Text Block] | 31-Dec-14 | Recorded | Unpaid | Related | Average | Interest | |||||||||||||||||||||||
With no related allowance: | Investment | Principal | Allowance | Balance | Income | ||||||||||||||||||||||||
(Dollars In Thousands) | in Loans | Balance | Total Loans | Recognized | |||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | − | $ | − | $ | – | $ | − | $ | − | |||||||||||||||||||
Land acquisition, development & commercial | − | − | – | − | − | ||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | 525 | 700 | – | 605 | 12 | ||||||||||||||||||||||||
Commercial | 7,507 | 7,507 | – | 8,563 | 289 | ||||||||||||||||||||||||
Commercial, industrial & agricultural | − | − | – | − | − | ||||||||||||||||||||||||
Equity lines | − | − | – | − | − | ||||||||||||||||||||||||
Consumer | − | − | – | − | − | ||||||||||||||||||||||||
Total loans with no allowance | $ | 8,032 | $ | 8,207 | $ | – | $ | 9,168 | $ | 301 | |||||||||||||||||||
31-Dec-14 | Recorded | Unpaid | Related | Average | Interest | ||||||||||||||||||||||||
With an allowance recorded: | Investment | Principal | Allowance | Balance | Income | ||||||||||||||||||||||||
(Dollars In Thousands) | in Loans | Balance | Total Loans | Recognized | |||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | − | $ | − | $ | − | $ | − | $ | − | |||||||||||||||||||
Land acquisition, development & commercial | − | − | − | − | − | ||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | − | − | − | − | − | ||||||||||||||||||||||||
Commercial | 141 | 141 | 141 | 153 | − | ||||||||||||||||||||||||
Commercial, industrial & agricultural | − | − | − | − | − | ||||||||||||||||||||||||
Equity lines | − | − | − | − | − | ||||||||||||||||||||||||
Consumer | − | − | − | − | − | ||||||||||||||||||||||||
Total loans with an allowance | $ | 141 | $ | 141 | $ | 141 | $ | 153 | $ | − | |||||||||||||||||||
31-Dec-13 | Recorded | Unpaid | Related | Average | Interest | ||||||||||||||||||||||||
With no related allowance: | Investment | Principal | Allowance | Balance | Income | ||||||||||||||||||||||||
(Dollars In Thousands) | in Loans | Balance | Total Loans | Recognized | |||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||||||
Land acquisition, development & commercial | 1,550 | 1,550 | – | 1,550 | 67 | ||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | 412 | 412 | – | 415 | 18 | ||||||||||||||||||||||||
Commercial | 9,266 | 9,266 | – | 9,365 | 442 | ||||||||||||||||||||||||
Commercial, industrial & agricultural | 283 | 283 | – | 733 | 46 | ||||||||||||||||||||||||
Equity lines | – | – | – | – | – | ||||||||||||||||||||||||
Consumer | – | – | – | – | – | ||||||||||||||||||||||||
Total loans with no allowance | $ | 11,511 | $ | 11,511 | $ | – | $ | 12,063 | $ | 573 | |||||||||||||||||||
31-Dec-13 | Recorded | Unpaid | Related | Average | Interest | ||||||||||||||||||||||||
With an allowance recorded: | Investment | Principal | Allowance | Balance | Income | ||||||||||||||||||||||||
(Dollars In Thousands) | in Loans | Balance | Total Loans | Recognized | |||||||||||||||||||||||||
Construction: | |||||||||||||||||||||||||||||
Residential | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||||||
Land acquisition, development & commercial | – | – | – | – | – | ||||||||||||||||||||||||
Real Estate: | |||||||||||||||||||||||||||||
Residential | 438 | 438 | 163 | 439 | 16 | ||||||||||||||||||||||||
Commercial | – | – | – | – | – | ||||||||||||||||||||||||
Commercial, industrial & agricultural | 41 | 41 | 10 | 34 | 1 | ||||||||||||||||||||||||
Equity lines | – | – | – | – | – | ||||||||||||||||||||||||
Consumer | – | – | – | – | – | ||||||||||||||||||||||||
Total loans with an allowance | $ | 479 | $ | 479 | $ | 173 | $ | 473 | $ | 17 | |||||||||||||||||||
Troubled Debt Restructurings on Financing Receivables [Table Text Block] | Loans modified as TDR's | ||||||||||||||||||||||||||||
For the year ended December 31, 2014 | |||||||||||||||||||||||||||||
Class of Loan | Number | Pre-Modification | Post-Modification | ||||||||||||||||||||||||||
of | Outstanding | Outstanding | |||||||||||||||||||||||||||
Contracts | Recorded | Recorded | |||||||||||||||||||||||||||
Investment | Investment | ||||||||||||||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||
Residential | — | $ | — | $ | — | ||||||||||||||||||||||||
Land acquisition, development & commercial | — | — | — | ||||||||||||||||||||||||||
Real estate loans: | — | — | — | ||||||||||||||||||||||||||
Residential | — | — | — | ||||||||||||||||||||||||||
Commercial | 1 | 1,932 | 632 | ||||||||||||||||||||||||||
Commercial, industrial, agricultural | — | — | — | ||||||||||||||||||||||||||
Equity lines | — | — | — | ||||||||||||||||||||||||||
Consumer | — | — | — | ||||||||||||||||||||||||||
Total Loans | 1 | $ | 1,932 | $ | 632 |
Note_4_Allowance_for_Loan_Loss1
Note 4 - Allowance for Loan Losses (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Disclosure Text Block Supplement [Abstract] | |||||||||||||||||||||||||||||||||||||||||
Allowance for Credit Losses on Financing Receivables [Table Text Block] | December 31, | Allowance for loan losses | Loans | ||||||||||||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||||||||||||||
Class of Loan | Beginning | Charge- | Recoveries | Provisions | Ending | Ending | Ending | Ending | Ending | Ending | |||||||||||||||||||||||||||||||
(Dollars in Thousands) | balance | offs | balance | balance: | balance: | balance | balance: | balance: | |||||||||||||||||||||||||||||||||
individually | collectively | individually | collectively | ||||||||||||||||||||||||||||||||||||||
evaluated | evaluated | evaluated | evaluated | ||||||||||||||||||||||||||||||||||||||
for | for | for | for | ||||||||||||||||||||||||||||||||||||||
impairment | impairment | impairment | impairment | ||||||||||||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 156 | $ | − | $ | − | $ | (113 | ) | $ | 43 | $ | − | $ | 43 | $ | 10,019 | $ | − | $ | 10,019 | ||||||||||||||||||||
Land acquisition, development & commercial | 872 | − | − | (419 | ) | 453 | − | 453 | 23,686 | − | 23,686 | ||||||||||||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||||||||||||||||||
Residential | 867 | (233 | ) | 34 | 165 | 833 | − | 833 | 86,269 | 525 | 85,744 | ||||||||||||||||||||||||||||||
Commercial | 1,008 | − | − | 4 | 1,012 | 141 | 871 | 135,070 | 7,648 | 127,422 | |||||||||||||||||||||||||||||||
Commercial, industrial & agricultural | 327 | (55 | ) | − | 47 | 319 | − | 319 | 44,807 | − | 44,807 | ||||||||||||||||||||||||||||||
Equity lines | 385 | (136 | ) | 37 | 137 | 423 | − | 423 | 24,330 | − | 24,330 | ||||||||||||||||||||||||||||||
Consumer | 63 | (40 | ) | 4 | 38 | 65 | − | 65 | 7,498 | − | 7,498 | ||||||||||||||||||||||||||||||
Unallocated | 43 | − | − | 141 | 184 | − | 184 | − | − | − | |||||||||||||||||||||||||||||||
Total | $ | 3,721 | $ | (464 | ) | $ | 75 | $ | − | $ | 3,332 | $ | 141 | $ | 3,191 | $ | 331,679 | $ | 8,173 | $ | 323,506 | ||||||||||||||||||||
December 31, | Allowance for loan losses | Loans | |||||||||||||||||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||||||||||||||
Class of Loan | Beginning | Charge- | Recoveries | Provisions | Ending | Ending | Ending | Ending | Ending | Ending | |||||||||||||||||||||||||||||||
(Dollars in Thousands) | balance | offs | balance | balance: | balance: | balance | balance: | balance: | |||||||||||||||||||||||||||||||||
individually | collectively | individually | collectively | ||||||||||||||||||||||||||||||||||||||
evaluated | evaluated | evaluated | evaluated | ||||||||||||||||||||||||||||||||||||||
for | for | for | for | ||||||||||||||||||||||||||||||||||||||
impairment | impairment | impairment | impairment | ||||||||||||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 117 | $ | - | $ | - | $ | 39 | $ | 156 | $ | - | $ | 156 | $ | 6,768 | $ | - | $ | 6,768 | |||||||||||||||||||||
Land acquisition, development & commercial | 811 | - | - | 61 | 872 | - | 872 | 20,904 | 1,550 | 19,354 | |||||||||||||||||||||||||||||||
Real estate: | |||||||||||||||||||||||||||||||||||||||||
Residential | 725 | (446 | ) | 81 | 507 | 867 | 163 | 704 | 72,934 | 850 | 72,084 | ||||||||||||||||||||||||||||||
Commercial | 1,054 | (88 | ) | 298 | (256 | ) | 1,008 | - | 1,008 | 126,100 | 9,266 | 116,834 | |||||||||||||||||||||||||||||
Commercial, industrial & agricultural | 459 | (27 | ) | - | (105 | ) | 327 | 10 | 317 | 42,155 | 324 | 41,831 | |||||||||||||||||||||||||||||
Equity lines | 386 | - | 2 | (3 | ) | 385 | - | 385 | 20,374 | - | 20,374 | ||||||||||||||||||||||||||||||
Consumer | 145 | (14 | ) | - | (68 | ) | 63 | - | 63 | 8,698 | - | 8,698 | |||||||||||||||||||||||||||||
Unallocated | 93 | - | - | (50 | ) | 43 | - | 43 | - | - | - | ||||||||||||||||||||||||||||||
Total | $ | 3,790 | $ | (575 | ) | $ | 381 | $ | 125 | $ | 3,721 | $ | 173 | $ | 3,548 | $ | 297,933 | $ | 11,990 | $ | 285,943 | ||||||||||||||||||||
Financing Receivable Credit Quality Indicators [Table Text Block] | (Dollars In Thousands) | Pass | Special | Substandard | Substandard Nonaccrual | Total | |||||||||||||||||||||||||||||||||||
Mention | Accruing | ||||||||||||||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 10,019 | $ | − | $ | − | $ | − | $ | 10,019 | |||||||||||||||||||||||||||||||
Land acquisition, development & commercial | 23,672 | − | 14 | − | 23,686 | ||||||||||||||||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | 81,409 | 4,335 | 50 | 475 | 86,269 | ||||||||||||||||||||||||||||||||||||
Commercial | 131,087 | 2,302 | 923 | 758 | 135,070 | ||||||||||||||||||||||||||||||||||||
Commercial, industrial, agricultural | 44,248 | 521 | 38 | − | 44,807 | ||||||||||||||||||||||||||||||||||||
Equity lines | 24,330 | − | − | − | 24,330 | ||||||||||||||||||||||||||||||||||||
Consumer | 7,475 | − | 2 | 21 | 7,498 | ||||||||||||||||||||||||||||||||||||
Total Loans | $ | 322,240 | $ | 7,158 | $ | 1,027 | $ | 1,254 | $ | 331,679 | |||||||||||||||||||||||||||||||
(Dollars In Thousands) | Pass | Special | Substandard | Substandard Nonaccrual | Total | ||||||||||||||||||||||||||||||||||||
Mention | Accruing | ||||||||||||||||||||||||||||||||||||||||
Construction loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | $ | 6,768 | $ | – | $ | – | $ | – | $ | 6,768 | |||||||||||||||||||||||||||||||
Land acquisition, development & commercial | 19,336 | – | 1,568 | – | 20,904 | ||||||||||||||||||||||||||||||||||||
Real estate loans: | |||||||||||||||||||||||||||||||||||||||||
Residential | 67,548 | 4,455 | 223 | 708 | 72,934 | ||||||||||||||||||||||||||||||||||||
Commercial | 121,970 | 510 | 3,620 | – | 126,100 | ||||||||||||||||||||||||||||||||||||
Commercial, industrial, agricultural | 41,051 | 96 | 815 | 193 | 42,155 | ||||||||||||||||||||||||||||||||||||
Equity lines | 20,316 | – | – | 58 | 20,374 | ||||||||||||||||||||||||||||||||||||
Consumer | 8,668 | – | – | 30 | 8,698 | ||||||||||||||||||||||||||||||||||||
Total Loans | $ | 285,657 | $ | 5,061 | $ | 6,226 | $ | 989 | $ | 297,933 |
Note_5_Foreclosed_Properties_T
Note 5 - Foreclosed Properties (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Disclosure Text Block [Abstract] | |||||||||||||
Forclosed Properties [Table Text Block] | (Dollars In Thousands) | Other Real | Valuation | Net | |||||||||
Estate Owned | Allowance | ||||||||||||
Balance at the beginning of the year | $ | 9,078 | $ | (935 | ) | $ | 8,143 | ||||||
Additions | 1,520 | — | 1,520 | ||||||||||
Writedowns | — | — | — | ||||||||||
Sales | (1,618 | ) | 422 | (1,196 | ) | ||||||||
Transfer to fixed assets | (1,572 | ) | 91 | (1,481 | ) | ||||||||
Balance at the end of the year | $ | 7,408 | $ | (422 | ) | $ | 6,986 | ||||||
(Dollars In Thousands) | Other Real | Valuation | Net | ||||||||||
Estate Owned | Allowance | ||||||||||||
Balance at the beginning of the year | $ | 9,513 | $ | (575 | ) | $ | 8,938 | ||||||
Additions | 1,613 | — | 1,613 | ||||||||||
Writedowns | — | (608 | ) | (608 | ) | ||||||||
Sales | (2,048 | ) | 248 | (1,800 | ) | ||||||||
Balance at the end of the year | $ | 9,078 | $ | (935 | ) | $ | 8,143 | ||||||
Schedule of Real Estate Properties [Table Text Block] | (Dollars In Thousands) | 2014 | 2013 | ||||||||||
Residential lots | $ | 3,023 | $ | 3,472 | |||||||||
Residential development | 423 | — | |||||||||||
Commercial lots | 1,076 | 1,076 | |||||||||||
Commercial buildings | 2,464 | 3,595 | |||||||||||
Total Other Real Estate Owned | $ | 6,986 | $ | 8,143 | |||||||||
(Dollars In Thousands) | 2014 | 2013 | |||||||||||
Net gain on sales | $ | (10 | ) | $ | (26 | ) | |||||||
Provision for unrealized losses | — | 608 | |||||||||||
Operating expenses | 224 | 250 | |||||||||||
Total Other Real Estate Owned | $ | 214 | $ | 832 |
Note_6_Property_and_Equipment_
Note 6 - Property and Equipment (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property, Plant and Equipment [Table Text Block] | (Dollars In Thousands) | 2014 | 2013 | ||||||
Land | $ | 4,656 | $ | 4,257 | |||||
Buildings and improvements | 8,720 | 6,061 | |||||||
Leasehold improvements | 2,149 | 2,129 | |||||||
Furniture and equipment | 3,074 | 2,731 | |||||||
Software | 487 | 458 | |||||||
Construction in process | 49 | 97 | |||||||
Property and equipment, total | 19,135 | 15,733 | |||||||
Less accumulated depreciation and amortization | 4,235 | 3,578 | |||||||
Property and equipment, net | $ | 14,900 | $ | 12,155 | |||||
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | (Dollars In Thousands) | 2014 | |||||||
2015 | $ | 268 | |||||||
2016 | 67 | ||||||||
2017 | 11 | ||||||||
2018 | 12 | ||||||||
2019 | 12 | ||||||||
Thereafter | 15 | ||||||||
Total | $ | 385 |
Note_7_Deposits_Tables
Note 7 - Deposits (Tables) | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Disclosure Text Block [Abstract] | |||||
Schedule of Maturities of Long-term Debt [Table Text Block] | (Dollars In Thousands) | 2014 | |||
2015 | $ | 59,892 | |||
2016 | 32,780 | ||||
2017 | 27,400 | ||||
2018 | 9,626 | ||||
2019 | 3,638 | ||||
Total | $ | 133,336 |
Note_8_Short_Term_Borrowings_T
Note 8 - Short Term Borrowings (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Disclosure Text Block [Abstract] | |||||||||
Schedule of Short-term Debt [Table Text Block] | (Dollars In Thousands) | 2014 | 2013 | ||||||
Securities sold under agreements to repurchase | $ | 185 | $ | 258 | |||||
Warehouse line of credit | 237 | — | |||||||
$ | 422 | $ | 258 | ||||||
Weighted average interest rate at December 31 | 1.93 | % | 0.51 | % |
Note_9_Federal_Home_Loan_Bank_1
Note 9 - Federal Home Loan Bank Borrowings (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Disclosure Text Block [Abstract] | |||||||||||||||||
Schedule of Federal Home Loan Bank, Advances, by Branch of FHLB Bank [Table Text Block] | (Dollars In Thousands) | ||||||||||||||||
Advance | Maturity | Conversion | Current Rate | 2014 | 2013 | ||||||||||||
Date | Date | Date | |||||||||||||||
7-Sep-07 | 7-Sep-17 | Quarterly | 3.69% | $ | 4,000 | $ | 4,000 | ||||||||||
27-Jul-11 | 28-Jul-14 | 2.19% | – | 3,000 | |||||||||||||
13-Apr-12 | 13-Apr-16 | 1.26% | 12,000 | 12,000 | |||||||||||||
11-Dec-13 | 11-Dec-14 | 0.36% | – | 3,000 | |||||||||||||
17-Jun-14 | 17-Jun-15 | 0.26% | 2,000 | – | |||||||||||||
17-Jun-14 | 17-Jun-16 | 0.67% | 2,000 | – | |||||||||||||
$ | 20,000 | $ | 22,000 |
Note_10_Fair_Value_Measurement1
Note 10 - Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | (Dollars In Thousands) | Carrying value at December 31, 2014 | |||||||||||||||||||
Description | Balance as of December 31, | Quoted Prices | Significant | Significant | |||||||||||||||||
2014 | in Active Markets for | Other | Unobservable | ||||||||||||||||||
Identical Assets | Observable | Inputs | |||||||||||||||||||
(Level 1) | Inputs | (Level 3) | |||||||||||||||||||
(Level 2) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
U.S. Government agency securities | $ | 26,965 | $ | – | $ | 26,965 | $ | – | |||||||||||||
Mortgaged-backed securities | 9,739 | – | 9,739 | – | |||||||||||||||||
Municipal securities | 17,899 | – | 17,899 | – | |||||||||||||||||
Bank owned life insurance | 3,622 | – | 3,622 | – | |||||||||||||||||
(Dollars In Thousands) | Carrying value at December 31, 2013 | ||||||||||||||||||||
Description | Balance as of December 31, | Quoted Prices | Significant | Significant | |||||||||||||||||
2013 | in Active Markets for | Other | Unobservable | ||||||||||||||||||
Identical Assets | Observable | Inputs | |||||||||||||||||||
(Level 1) | Inputs | (Level 3) | |||||||||||||||||||
(Level 2) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
U.S. Government agency securities | $ | 26,284 | $ | – | $ | 26,284 | $ | – | |||||||||||||
Mortgaged-backed securities | 15,361 | – | 15,361 | – | |||||||||||||||||
Municipal securities | 16,277 | – | 16,277 | – | |||||||||||||||||
Bank owned life insurance | 3,518 | – | 3,518 | – | |||||||||||||||||
Fair Value Measurements, Nonrecurring [Table Text Block] | (Dollars In Thousands) | Carrying value at December 31, 2014 | |||||||||||||||||||
Description | Balance as of | Quoted Prices | Significant | Significant | |||||||||||||||||
31-Dec-14 | in Active Markets | Other | Unobservable | ||||||||||||||||||
for Identical Assets | Observable | Inputs | |||||||||||||||||||
(Level 1) | Inputs | (Level 3) | |||||||||||||||||||
(Level 2) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Impaired loans, net of valuation allowance | $ | – | $ | – | $ | – | $ | – | |||||||||||||
Loans held for sale | 242 | – | 242 | – | |||||||||||||||||
Other real estate owned | 6,986 | – | 3,255 | 3,731 | |||||||||||||||||
(Dollars In Thousands) | Carrying value at December 31, 2013 | ||||||||||||||||||||
Description | Balance as of | Quoted Prices | Significant | Significant | |||||||||||||||||
31-Dec-13 | in Active Markets | Other | Unobservable | ||||||||||||||||||
for Identical Assets | Observable | Inputs | |||||||||||||||||||
(Level 1) | Inputs | (Level 3) | |||||||||||||||||||
(Level 2) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Impaired loans, net of valuation allowance | $ | 306 | $ | – | $ | – | $ | 306 | |||||||||||||
Other real estate owned | 8,143 | – | 3,745 | 4,398 | |||||||||||||||||
Fair Value Inputs, Assets, Quantitative Information [Table Text Block] | (Dollars In Thousands) | Quantitative information about Level 3 Fair Value Measurements for December 31, 2014 | |||||||||||||||||||
Assets | Fair | Valuation Technique(s) | Unobservable input | Range (Weighted | |||||||||||||||||
Value | Average) | ||||||||||||||||||||
Impaired loans | $ | – | Discounted appraised value | Selling cost | 6 | % | - | 6 | % | -6% | |||||||||||
Discount for lack of marketability and age of appraisal | 94 | % | - | 94 | % | -94% | |||||||||||||||
Other real estate owned | $ | 1,458 | Discounted appraised value | Selling cost | 6 | % | - | 6 | % | -6% | |||||||||||
Discount for lack of marketability and age | 4 | % | - | 4 | % | -4% | |||||||||||||||
$ | 2,273 | Internal evaluations | Internal evaluations | 0 | % | - | 33 | % | -11% | ||||||||||||
(Dollars In Thousands) | Quantitative information about Level 3 Fair Value Measurements for December 31, 2013 | ||||||||||||||||||||
Assets | Fair | Valuation Technique(s) | Unobservable input | Range (Weighted | |||||||||||||||||
Value | Average) | ||||||||||||||||||||
Impaired loans | $ | 306 | Discounted appraised value | Selling cost | 10 | % | - | 10 | % | -10% | |||||||||||
Discount for lack of marketability and age of appraisal | 32 | % | - | 32 | % | -32% | |||||||||||||||
Other real estate owned | $ | 1,458 | Discounted appraised value | Selling cost | 0 | % | - | 6 | % | -5% | |||||||||||
Discount for lack of marketability and age | 0 | % | - | 25 | % | -9% | |||||||||||||||
$ | 2,940 | Internal evaluations | Internal evaluations | 10 | % | - | 10 | % | -10% | ||||||||||||
Fair Value, by Balance Sheet Grouping [Table Text Block] | (Dollars In Thousands) | Fair value at December 31, 2014 | |||||||||||||||||||
Description | Carrying value as of | Quoted Prices | Significant | Significant | Approximate | ||||||||||||||||
December 31, | in Active | Other | Unobservable | Fair Values | |||||||||||||||||
2014 | Markets for | Observable | Inputs | ||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||
Assets | (Level 2) | ||||||||||||||||||||
(Level 1) | |||||||||||||||||||||
Financial assets | |||||||||||||||||||||
Cash and due from banks | $ | 13,795 | $ | 11,794 | $ | 2,012 | $ | – | $ | 13,806 | |||||||||||
Federal funds sold | 649 | 649 | – | – | 649 | ||||||||||||||||
Securities available-for-sale | 54,603 | – | 54,603 | – | 54,603 | ||||||||||||||||
Restricted equity securities | 2,476 | – | 2,476 | – | 2,476 | ||||||||||||||||
Loans held for sale | 242 | – | 242 | – | 242 | ||||||||||||||||
Loans, net | 328,347 | – | – | 332,167 | 332,167 | ||||||||||||||||
Bank owned life insurance | 3,622 | – | 3,622 | – | 3,622 | ||||||||||||||||
Accrued income | 1,924 | – | 1,924 | – | 1,924 | ||||||||||||||||
Financial liabilities | |||||||||||||||||||||
Total deposits | 362,595 | – | 350,418 | – | 350,418 | ||||||||||||||||
Short term borrowings | 422 | – | 422 | – | 422 | ||||||||||||||||
FHLB borrowings | 20,000 | – | 20,356 | – | 20,356 | ||||||||||||||||
Accrued interest payable | 272 | – | 272 | – | 272 | ||||||||||||||||
(Dollars In Thousands) | Fair value at December 31, 2013 | ||||||||||||||||||||
Description | Carrying value as of | Quoted Prices | Significant | Significant | Approximate | ||||||||||||||||
December 31, | in Active | Other | Unobservable | Fair Values | |||||||||||||||||
2013 | Markets for | Observable | Inputs | ||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||
Assets | (Level 2) | ||||||||||||||||||||
(Level 1) | |||||||||||||||||||||
Financial assets | |||||||||||||||||||||
Cash and due from banks | $ | 19,537 | $ | 17,537 | $ | 2,004 | $ | – | $ | 19,541 | |||||||||||
Federal funds sold | 738 | 738 | – | – | 738 | ||||||||||||||||
Securities available-for-sale | 57,922 | – | 57,922 | – | 57,922 | ||||||||||||||||
Restricted equity securities | 2,564 | – | 2,564 | – | 2,564 | ||||||||||||||||
Loans, net | 294,212 | – | – | 293,135 | 293,135 | ||||||||||||||||
Bank owned life insurance | 3,518 | – | 3,518 | – | 3,518 | ||||||||||||||||
Accrued income | 1,877 | – | 1,877 | – | 1,877 | ||||||||||||||||
Financial liabilities | |||||||||||||||||||||
Total deposits | 339,770 | – | 327,514 | – | 327,514 | ||||||||||||||||
Short term borrowings | 258 | – | 258 | – | 258 | ||||||||||||||||
FHLB borrowings | 22,000 | – | 22,560 | – | 22,560 | ||||||||||||||||
Accrued interest payable | 286 | – | 286 | – | 286 |
Note_11_Earnings_Per_Common_Sh1
Note 11 - Earnings Per Common Share (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | For the Years Ended | ||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Dollars In Thousands, except share and per share data | Weighted Average Common Shares Outstanding | Net Income Available to Common Shareholders | Per Share Amount | Weighted Average Common Shares Outstanding | Net Income Available to Common Shareholders | Per Share Amount | |||||||||||||||||||
Earnings per common share, basic | 3,284,870 | $ | 2,575 | $ | 0.78 | 3,269,063 | $ | 1,741 | $ | 0.53 | |||||||||||||||
Series C Preferred Stock Dividends | 840 | 390 | |||||||||||||||||||||||
Effect of dilutive securities: | |||||||||||||||||||||||||
Convertible preferred stock | 2,240,000 | − | (0.16 | ) | 1,147,616 | − | (0.05 | ) | |||||||||||||||||
Earnings per common share, diluted | 5,524,870 | $ | 3,415 | $ | 0.62 | 4,416,679 | $ | 2,131 | $ | 0.48 |
Note_12_Stock_Based_Compensati1
Note 12 - Stock Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Options | Weighted | Aggregate | Weighted | |||||||||||||
Outstanding | Average | Intrinsic | Average | ||||||||||||||
Exercise | Value(1) | Contractual | |||||||||||||||
Price | Term | ||||||||||||||||
(years) | |||||||||||||||||
Balance at December 31, 2013 | 391,710 | $ | 9.34 | ||||||||||||||
Granted | 165,000 | 6.9 | |||||||||||||||
Exercised | – | – | |||||||||||||||
Forfeited | (7,150 | ) | 9.09 | ||||||||||||||
Balance at December 31, 2014 | 549,560 | $ | 8.61 | $ | – | 4.08 | |||||||||||
Exercisable at December 31, 2014 | 549,560 | $ | 8.61 | $ | – | 4.08 | |||||||||||
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | 2014 | 2013 | |||||||||||||||
Shares | Weighted-Average | Shares | Weighted-Average | ||||||||||||||
Grant Date | Grant Date | ||||||||||||||||
Fair Value | Fair Value | ||||||||||||||||
Nonvested at beginning of year | 27,846 | $ | 5.05 | 25,896 | $ | 4.76 | |||||||||||
Granted | 17,268 | 6.25 | 7,781 | 5.98 | |||||||||||||
Vested | (7,387 | ) | 5.23 | (5,831 | ) | 5.03 | |||||||||||
Cancelled | – | – | – | – | |||||||||||||
Nonvested at end of year | 37,727 | $ | 5.56 | 27,846 | $ | 5.05 |
Note_15_Income_Taxes_Tables
Note 15 - Income Taxes (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Income Tax Disclosure [Abstract] | |||||||||
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | (Dollars In Thousands) | 2014 | 2013 | ||||||
Current | $ | 731 | $ | 68 | |||||
Deferred | 856 | 1,272 | |||||||
Income tax expense | $ | 1,587 | $ | 1,340 | |||||
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | (Dollars In Thousands) | 2014 | 2013 | ||||||
Tax at statutory federal rate | $ | 1,701 | $ | 1,384 | |||||
Tax-exempt interest income | (136 | ) | (96 | ) | |||||
Cash surrender value of life insurance | (35 | ) | 26 | ||||||
Qualified restricted stock awards | 19 | 26 | |||||||
Other | 38 | – | |||||||
Income tax expense | $ | 1,587 | $ | 1,340 | |||||
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | (Dollars In Thousands) | 2014 | 2013 | ||||||
Deferred tax assets | |||||||||
Net operating losses | $ | — | $ | 302 | |||||
Alternative minimum tax | — | 98 | |||||||
Pre-opening expenses | 94 | 110 | |||||||
Allowance for loan losses | 513 | 675 | |||||||
Stock-based compensation | 236 | 236 | |||||||
Deferred compensation | 44 | 8 | |||||||
Other real estate expenses | 175 | 290 | |||||||
Unrealized loss on securities available for sale | — | 308 | |||||||
Nonaccrual loan interest | 14 | 17 | |||||||
Deferred tax asset | 1,076 | 2,044 | |||||||
Deferred tax liabilities | |||||||||
Depreciation | 360 | 297 | |||||||
Unrealized gain on securities available for sale | 235 | — | |||||||
Accretion of bond discount | — | 1 | |||||||
Deferred loan fees | 721 | 587 | |||||||
Deferred tax liability | 1,316 | 885 | |||||||
Net deferred tax (liability) asset | $ | (240 | ) | $ | 1,159 |
Note_16_Commitments_and_Contin1
Note 16 - Commitments and Contingencies (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||
Schedule of Fair Value, Off-balance Sheet Risks [Table Text Block] | (Dollars In Thousands) | 2014 | 2013 | ||||||
Commitments to extend credit | $ | 21,137 | $ | 19,164 | |||||
Unfunded commitments under lines of credit | 55,280 | 41,056 | |||||||
Standby letters of credit | 5,563 | 4,040 |
Note_17_Regulatory_Restriction1
Note 17 - Regulatory Restrictions (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Disclosure Text Block [Abstract] | |||||||||||||||||||||||||
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations [Table Text Block] | 31-Dec-14 | Actual | Minimum Capital | Minimum To Be | |||||||||||||||||||||
Requirement | Well Capitalized | ||||||||||||||||||||||||
Under Prompt | |||||||||||||||||||||||||
Corrective Action | |||||||||||||||||||||||||
Provisions | |||||||||||||||||||||||||
(in thousands except for percentages) | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||
Total Capital (to Risk-Weighted Assets) | |||||||||||||||||||||||||
Consolidated | $ | 46,102 | 13.1 | % | $ | 28,125 | 8 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 45,695 | 13 | % | $ | 28,125 | 8 | % | $ | 35,157 | 10 | % | |||||||||||||
Tier I Capital (to Risk-Weighted Assets) | |||||||||||||||||||||||||
Consolidated | $ | 42,770 | 12.2 | % | $ | 14,063 | 4 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 42,363 | 12 | % | $ | 14,063 | 4 | % | $ | 21,094 | 6 | % | |||||||||||||
Tier I Capital (to Average Assets) | |||||||||||||||||||||||||
Consolidated | $ | 42,770 | 10.1 | % | $ | 16,952 | 4 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 42,363 | 10 | % | $ | 16952 | 4 | % | $ | 21,190 | 5 | % | |||||||||||||
31-Dec-13 | Actual | Minimum Capital | Minimum To Be | ||||||||||||||||||||||
Requirement | Well Capitalized | ||||||||||||||||||||||||
Under Prompt | |||||||||||||||||||||||||
Corrective Action | |||||||||||||||||||||||||
Provisions | |||||||||||||||||||||||||
(in thousands except for percentages) | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||
Total Capital (to Risk-Weighted Assets) | |||||||||||||||||||||||||
Consolidated | $ | 43,858 | 14 | % | $ | 25,077 | 8 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 42,516 | 13.6 | % | $ | 25,077 | 8 | % | $ | 31,346 | 10 | % | |||||||||||||
Tier I Capital (to Risk-Weighted Assets) | |||||||||||||||||||||||||
Consolidated | $ | 40,137 | 12.8 | % | $ | 12,538 | 4 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 38,795 | 12.4 | % | $ | 12,538 | 4 | % | $ | 18,808 | 6 | % | |||||||||||||
Tier I Capital (to Average Assets) | |||||||||||||||||||||||||
Consolidated | $ | 40,137 | 10.2 | % | $ | 15,719 | 4 | % | N/A | N/A | |||||||||||||||
HomeTown Bank | $ | 38,795 | 9.9 | % | $ | 15,719 | 4 | % | $ | 19,648 | 5 | % |
Note_18_Transactions_with_Rela1
Note 18 - Transactions with Related Parties (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Related Party Transactions [Abstract] | |||||||||
Schedule of Related Party Transactions [Table Text Block] | (Dollars In Thousands) | 2014 | 2013 | ||||||
Balance, beginning | $ | 8,280 | $ | 8,140 | |||||
New loans | 3,859 | 5,182 | |||||||
Repayments | (4,091 | ) | (5,042 | ) | |||||
Balance, ending | $ | 8,048 | $ | 8,280 |
Note_20_Reclassifications_out_1
Note 20 - Reclassifications out of Other Comprehensive Income (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Disclosure Text Block [Abstract] | ||||||||||
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | Details about Other Comprehensive | Amounts Reclassified from | Affected Line Item in the Statement | |||||||
Components | Other Comprehensive Income | Where Net Income is Presented | ||||||||
for the Years Ended | ||||||||||
December 31, | ||||||||||
(Dollars In Thousands) | 2014 | 2013 | ||||||||
Available for sale securities | ||||||||||
Realized gains on sales of securities held for sale during the period | $ | 128 | $ | 152 | Gains on sales of investment securities | |||||
Tax expense related to realized gains on securities sold | 44 | 52 | Income tax expense | |||||||
$ | 84 | $ | 100 | Net income |
Note_21_Condensed_Parent_Compa1
Note 21 - Condensed Parent Company Financial Information (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |||||||||
Condensed Balance Sheet [Table Text Block] | Dollars In Thousands | December 31, | December 31, | ||||||
2014 | 2013 | ||||||||
Assets | |||||||||
Cash and due from banks | $ | 408 | $ | 1,352 | |||||
Investment in bank subsidiary | 42,817 | 38,195 | |||||||
Total assets | $ | 43,225 | $ | 39,547 | |||||
Liabilities and Stockholders’ Equity | |||||||||
Total liabilities | $ | — | $ | 9 | |||||
Stockholders’ equity: | |||||||||
Total stockholders’ equity | 43,225 | 39,538 | |||||||
Total liabilities and stockholders’ equity | $ | 43,225 | $ | 39,547 | |||||
Condensed Income Statement [Table Text Block] | Dollars In Thousands | For the year ended | For the year ended | ||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Expenses | $ | (143 | ) | $ | (145 | ) | |||
Net loss before income taxes | (143 | ) | (145 | ) | |||||
Income tax benefit | 48 | 49 | |||||||
Net loss before equity in undistributed net income of subsidiary | (95 | ) | (96 | ) | |||||
Undistributed net income of subsidiary | 3,510 | 2,825 | |||||||
Net Income | $ | 3,415 | $ | 2,729 | |||||
Condensed Cash Flow Statement [Table Text Block] | Dollars In Thousands | For the year | For the year | ||||||
ended | ended | ||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Cash flows from operating activities: | |||||||||
Net income | $ | 3,415 | $ | 2,729 | |||||
Equity in undistributed net income of subsidiary bank | (3,510 | ) | (2,825 | ) | |||||
Decrease in other assets | — | 145 | |||||||
(Decrease) increase in other liabilities | (9 | ) | 9 | ||||||
Net cash flows provided by (used in) operating activities | (104 | ) | 58 | ||||||
Cash flows from investing activities: | |||||||||
Capital contribution to bank subsidiary | — | (1,500 | ) | ||||||
Net cash flows used in investing activities | — | (1,500 | ) | ||||||
Cash flows from financing activities: | |||||||||
Issuance of preferred stock net of issuance costs | — | 13,293 | |||||||
Preferred stock redeemed | — | (10,374 | ) | ||||||
Preferred dividend payment | (840 | ) | (846 | ) | |||||
Net cash flows provided by (used in) financing activities | (840 | ) | 2,073 | ||||||
Net increase (decrease) in cash and cash equivalents | (944 | ) | 631 | ||||||
Cash and cash equivalents, beginning | 1,352 | 721 | |||||||
Cash and cash equivalents, ending | $ | 408 | $ | 1,352 |
Note_1_Organization_and_Summar1
Note 1 - Organization and Summary of Significant Accounting Policies (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Note 1 - Organization and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Advertising Expense (in Dollars) | $598,000 | $457,000 |
Unrecognized Tax Benefits (in Dollars) | $0 | $0 |
Preferred Stock, Convertible, Conversion Price (in Dollars per share) | $6.25 | |
Building [Member] | Minimum [Member] | ||
Note 1 - Organization and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Building [Member] | Maximum [Member] | ||
Note 1 - Organization and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Property, Plant and Equipment, Useful Life | 40 years | |
Equipment, Furniture, and Fixtures [Member] | Minimum [Member] | ||
Note 1 - Organization and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Equipment, Furniture, and Fixtures [Member] | Maximum [Member] | ||
Note 1 - Organization and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Consumer Portfolio Segment [Member] | ||
Note 1 - Organization and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Threshold Period Past Due for Write-off of Financing Receivable | 120 days | |
Non-consumer Portfolio [Member] | ||
Note 1 - Organization and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Threshold Period Past Due for Write-off of Financing Receivable | 180 days | |
HomeTown Residential Mortgage, LLC [Member] | Corporate Joint Venture [Member] | ||
Note 1 - Organization and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Subsidiary or Equity Method Investee, Cumulative Percentage Ownership after All Transactions | 49.00% | |
2005 Stock Option Plan [Member] | ||
Note 1 - Organization and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in Shares) | 550,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years |
Note_2_Investment_Securities_D
Note 2 - Investment Securities (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Note 2 - Investment Securities (Details) [Line Items] | ||
Proceeds from Maturities, Prepayments and Calls of Available-for-sale Securities | $13,895,000 | $19,124,000 |
Available-for-sale Securities, Gross Realized Gain (Loss) | 128,000 | 152,000 |
Available-for-sale Securities, Number Sold | 12 | 25 |
Available-for-sale Securities, Gross Realized Gains | 163,000 | 261,000 |
Available-for-sale Securities, Gross Realized Losses | 35,000 | 109,000 |
Available-for-sale Securities Pledged as Collateral | 8,800,000 | 11,700,000 |
US Government Agencies Debt Securities [Member] | ||
Note 2 - Investment Securities (Details) [Line Items] | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 20 | |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Note 2 - Investment Securities (Details) [Line Items] | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 9 | |
US States and Political Subdivisions Debt Securities [Member] | ||
Note 2 - Investment Securities (Details) [Line Items] | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 12 | |
Public Deposits [Member] | ||
Note 2 - Investment Securities (Details) [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | 5,000,000 | |
Federal Home Loan Bank Borrowings [Member] | ||
Note 2 - Investment Securities (Details) [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | 1,900,000 | |
Other Purposes [Member] | ||
Note 2 - Investment Securities (Details) [Line Items] | ||
Available-for-sale Securities Pledged as Collateral | $1,900,000 |
Note_2_Investment_Securities_D1
Note 2 - Investment Securities (Details) - Available-for-sale Securities (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Note 2 - Investment Securities (Details) - Available-for-sale Securities [Line Items] | ||
Securities available-for-sale, amortized cost | $53,913 | $58,829 |
Securities available-for-sale, gross unrealized gains | 989 | 496 |
Securities available-for-sale, gross unrealized losses | -299 | -1,403 |
Securities available-for-sale | 54,603 | 57,922 |
US Government Agencies Debt Securities [Member] | ||
Note 2 - Investment Securities (Details) - Available-for-sale Securities [Line Items] | ||
Securities available-for-sale, amortized cost | 26,812 | 26,489 |
Securities available-for-sale, gross unrealized gains | 333 | 235 |
Securities available-for-sale, gross unrealized losses | -180 | -440 |
Securities available-for-sale | 26,965 | 26,284 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Note 2 - Investment Securities (Details) - Available-for-sale Securities [Line Items] | ||
Securities available-for-sale, amortized cost | 9,678 | 15,328 |
Securities available-for-sale, gross unrealized gains | 125 | 193 |
Securities available-for-sale, gross unrealized losses | -64 | -160 |
Securities available-for-sale | 9,739 | 15,361 |
US States and Political Subdivisions Debt Securities [Member] | ||
Note 2 - Investment Securities (Details) - Available-for-sale Securities [Line Items] | ||
Securities available-for-sale, amortized cost | 17,423 | 17,012 |
Securities available-for-sale, gross unrealized gains | 531 | 68 |
Securities available-for-sale, gross unrealized losses | -55 | -803 |
Securities available-for-sale | $17,899 | $16,277 |
Note_2_Investment_Securities_D2
Note 2 - Investment Securities (Details) - Unrealized Loss Positions of Available-for-sale Securities (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Note 2 - Investment Securities (Details) - Unrealized Loss Positions of Available-for-sale Securities [Line Items] | ||
Securities available-for-sale in a continuous unrealized loss position, less than 12 months, fair value | $7,935 | $27,893 |
Securities available-for-sale in a continuous unrealized loss position, less than 12 months, unrealized loss | -74 | -1,158 |
Securities available-for-sale in a continuous unrealized loss position, 12 months or more, fair value | 13,322 | 4,124 |
Securities available-for-sale in a continuous unrealized loss position, 12 months or more, unrealized loss | -225 | -245 |
Securities available-for-sale in a continuous unrealized loss position, fair value | 21,257 | 32,017 |
Securities available-for-sale in a continuous unrealized loss position, unrealized loss | -299 | -1,403 |
US Government Agencies Debt Securities [Member] | ||
Note 2 - Investment Securities (Details) - Unrealized Loss Positions of Available-for-sale Securities [Line Items] | ||
Securities available-for-sale in a continuous unrealized loss position, less than 12 months, fair value | 5,568 | 9,676 |
Securities available-for-sale in a continuous unrealized loss position, less than 12 months, unrealized loss | -48 | -341 |
Securities available-for-sale in a continuous unrealized loss position, 12 months or more, fair value | 7,078 | 1,897 |
Securities available-for-sale in a continuous unrealized loss position, 12 months or more, unrealized loss | -132 | -99 |
Securities available-for-sale in a continuous unrealized loss position, fair value | 12,646 | 11,573 |
Securities available-for-sale in a continuous unrealized loss position, unrealized loss | -180 | -440 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Note 2 - Investment Securities (Details) - Unrealized Loss Positions of Available-for-sale Securities [Line Items] | ||
Securities available-for-sale in a continuous unrealized loss position, less than 12 months, fair value | 742 | 5,964 |
Securities available-for-sale in a continuous unrealized loss position, less than 12 months, unrealized loss | -6 | -134 |
Securities available-for-sale in a continuous unrealized loss position, 12 months or more, fair value | 4,058 | 1,042 |
Securities available-for-sale in a continuous unrealized loss position, 12 months or more, unrealized loss | -58 | -26 |
Securities available-for-sale in a continuous unrealized loss position, fair value | 4,800 | 7,006 |
Securities available-for-sale in a continuous unrealized loss position, unrealized loss | -64 | -160 |
US States and Political Subdivisions Debt Securities [Member] | ||
Note 2 - Investment Securities (Details) - Unrealized Loss Positions of Available-for-sale Securities [Line Items] | ||
Securities available-for-sale in a continuous unrealized loss position, less than 12 months, fair value | 1,625 | 12,253 |
Securities available-for-sale in a continuous unrealized loss position, less than 12 months, unrealized loss | -20 | -683 |
Securities available-for-sale in a continuous unrealized loss position, 12 months or more, fair value | 2,186 | 1,185 |
Securities available-for-sale in a continuous unrealized loss position, 12 months or more, unrealized loss | -35 | -120 |
Securities available-for-sale in a continuous unrealized loss position, fair value | 3,811 | 13,438 |
Securities available-for-sale in a continuous unrealized loss position, unrealized loss | ($55) | ($803) |
Note_2_Investment_Securities_D3
Note 2 - Investment Securities (Details) - Available-for-sale Securities by Contractual Maturity (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Available-for-sale Securities by Contractual Maturity [Abstract] | ||
Less than one year | $253 | |
Less than one year | 253 | |
Over one through five years | 698 | |
Over one through five years | 706 | |
Over five through ten years | 8,458 | |
Over five through ten years | 8,458 | |
Greater than 10 years | 44,504 | |
Greater than 10 years | 45,186 | |
53,913 | 58,829 | |
$54,603 | $57,922 |
Note_3_Loans_Receivable_Detail
Note 3 - Loans Receivable (Details) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | 0 Months Ended | |
Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | |
Note 3 - Loans Receivable (Details) [Line Items] | |||||
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | $223,000 | $0 | $223,000 | 0 | |
Financing Receivable, Modifications, Recorded Investment | 6,300,000 | 6,700,000 | 6,300,000 | 6,700,000 | |
Financing Receivable, Modifications, Number of Contracts | 3 | 1,000,000 | 1 | 0 | |
Financing Receivable, Recorded Investment, Nonaccrual Status | 989,000 | 1,254,000 | 989,000 | 1,254,000 | |
Allowance for Credit Losses, Change in Method of Calculating Impairment | 0 | 0 | 0 | 0 | |
Troubled Debt Restructuring [Member] | Substandard [Member] | |||||
Note 3 - Loans Receivable (Details) [Line Items] | |||||
Financing Receivable, Recorded Investment, Nonaccrual Status | 30,000 | 22,000 | 30,000 | 22,000 | |
Troubled Debt Restructuring [Member] | |||||
Note 3 - Loans Receivable (Details) [Line Items] | |||||
Financing Receivable, Modifications, Number of Contracts | 4 | ||||
Performing Financing Receivable [Member] | |||||
Note 3 - Loans Receivable (Details) [Line Items] | |||||
Financing Receivable, Modifications, Recorded Investment | 6,300,000 | 6,100,000 | 6,300,000 | 6,100,000 | |
Financing Receivable, Modifications, Number of Contracts | 2 | 2 | |||
Nonperforming Financing Receivable [Member] | |||||
Note 3 - Loans Receivable (Details) [Line Items] | |||||
Financing Receivable, Modifications, Recorded Investment | $30,000 | $639,000 | $30,000 | 639,000 | |
Financing Receivable, Modifications, Number of Contracts | 2,000 |
Note_3_Loans_Receivable_Detail1
Note 3 - Loans Receivable (Details) - Classifications of Loans Receivable (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Construction: | |||
Loans | $331,679,000 | $297,933,000 | |
Less allowance for loan losses | -3,332,000 | -3,721,000 | -3,790,000 |
Loans, net | 328,347,000 | 294,212,000 | |
Construction Residential [Member] | |||
Construction: | |||
Loans | 10,019,000 | 6,768,000 | |
Less allowance for loan losses | -43,000 | -156,000 | -117,000 |
Land Acquisition, Development and Commercial [Member] | |||
Construction: | |||
Loans | 23,686,000 | 20,904,000 | |
Less allowance for loan losses | -453,000 | -872,000 | -811,000 |
Real Estate Residential [Member] | |||
Construction: | |||
Loans | 86,269,000 | 72,934,000 | |
Less allowance for loan losses | -833,000 | -867,000 | -725,000 |
Real Estate Commercial [Member] | |||
Construction: | |||
Loans | 135,070,000 | 126,100,000 | |
Less allowance for loan losses | -1,012,000 | -1,008,000 | -1,054,000 |
Commercial, Industrial and Agricultural [Member] | |||
Construction: | |||
Loans | 44,807,000 | 42,155,000 | |
Less allowance for loan losses | -319,000 | -327,000 | -459,000 |
Equity Lines [Member] | |||
Construction: | |||
Loans | 24,330,000 | 20,374,000 | |
Less allowance for loan losses | -423,000 | -385,000 | -386,000 |
Consumer [Member] | |||
Construction: | |||
Loans | 7,498,000 | 8,698,000 | |
Less allowance for loan losses | ($65,000) | ($63,000) | ($145,000) |
Note_3_Loans_Receivable_Detail2
Note 3 - Loans Receivable (Details) - Past Due and Non-accrual Status of Loans (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, 30-59 days past due | $211,000 | $489,000 |
Loans, 60-89 days past due | 502,000 | 44,000 |
Loans, 90 days or more past due | 261,000 | 1,056,000 |
Loans, past due | 974,000 | 1,589,000 |
Loans, current | 330,705,000 | 296,344,000 |
Loans | 331,679,000 | 297,933,000 |
Loans, nonaccrual | 1,254,000 | 989,000 |
Construction Residential [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, current | 10,019,000 | 6,768,000 |
Loans | 10,019,000 | 6,768,000 |
Land Acquisition, Development and Commercial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, current | 23,686,000 | 20,904,000 |
Loans | 23,686,000 | 20,904,000 |
Real Estate Residential [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, 60-89 days past due | 381,000 | |
Loans, 90 days or more past due | 261,000 | 931,000 |
Loans, past due | 642,000 | 931,000 |
Loans, current | 85,627,000 | 72,003,000 |
Loans | 86,269,000 | 72,934,000 |
Loans, nonaccrual | 475,000 | 707,000 |
Real Estate Commercial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, 60-89 days past due | 85,000 | |
Loans, past due | 85,000 | |
Loans, current | 134,985,000 | 126,100,000 |
Loans | 135,070,000 | 126,100,000 |
Loans, nonaccrual | 758,000 | |
Commercial, Industrial and Agricultural [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, 30-59 days past due | 96,000 | 270,000 |
Loans, 60-89 days past due | 44,000 | |
Loans, 90 days or more past due | 36,000 | |
Loans, past due | 96,000 | 350,000 |
Loans, current | 44,711,000 | 41,805,000 |
Loans | 44,807,000 | 42,155,000 |
Loans, nonaccrual | 193,000 | |
Equity Lines [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, 30-59 days past due | 105,000 | 203,000 |
Loans, 90 days or more past due | 59,000 | |
Loans, past due | 105,000 | 262,000 |
Loans, current | 24,225,000 | 20,112,000 |
Loans | 24,330,000 | 20,374,000 |
Loans, nonaccrual | 59,000 | |
Consumer [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans, 30-59 days past due | 10,000 | 16,000 |
Loans, 60-89 days past due | 36,000 | |
Loans, 90 days or more past due | 30,000 | |
Loans, past due | 46,000 | 46,000 |
Loans, current | 7,452,000 | 8,652,000 |
Loans | 7,498,000 | 8,698,000 |
Loans, nonaccrual | $21,000 | $30,000 |
Note_3_Loans_Receivable_Detail3
Note 3 - Loans Receivable (Details) - Impaired Loans (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Financing Receivable, Impaired [Line Items] | ||
Loans with no related allowance, recorded investment | $8,032 | $11,511 |
Loans with no related allowance, unpaid principal balance | 8,207 | 11,511 |
Loans with no related allowance, average balance total loans | 9,168 | 12,063 |
Loans with no related allowance, interest income recognized | 301 | 573 |
Loans with an related allowance, recorded investment | 141 | 479 |
Loans with an related allowance, unpaid principal balance | 141 | 479 |
Loans, related allowance | 141 | 173 |
Loans with an related allowance, average balance total loans | 153 | 473 |
Loans with an related allowance, interest income recognized | 17 | |
Land Acquisition, Development and Commercial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Loans with no related allowance, recorded investment | 1,550 | |
Loans with no related allowance, unpaid principal balance | 1,550 | |
Loans with no related allowance, average balance total loans | 1,550 | |
Loans with no related allowance, interest income recognized | 67 | |
Real Estate Residential [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Loans with no related allowance, recorded investment | 525 | 412 |
Loans with no related allowance, unpaid principal balance | 700 | 412 |
Loans with no related allowance, average balance total loans | 605 | 415 |
Loans with no related allowance, interest income recognized | 12 | 18 |
Loans with an related allowance, recorded investment | 438 | |
Loans with an related allowance, unpaid principal balance | 438 | |
Loans, related allowance | 163 | |
Loans with an related allowance, average balance total loans | 439 | |
Loans with an related allowance, interest income recognized | 16 | |
Real Estate Commercial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Loans with no related allowance, recorded investment | 7,507 | 9,266 |
Loans with no related allowance, unpaid principal balance | 7,507 | 9,266 |
Loans with no related allowance, average balance total loans | 8,563 | 9,365 |
Loans with no related allowance, interest income recognized | 289 | 442 |
Loans with an related allowance, recorded investment | 141 | |
Loans with an related allowance, unpaid principal balance | 141 | |
Loans, related allowance | 141 | |
Loans with an related allowance, average balance total loans | 153 | |
Commercial, Industrial and Agricultural [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Loans with no related allowance, recorded investment | 283 | |
Loans with no related allowance, unpaid principal balance | 283 | |
Loans with no related allowance, average balance total loans | 733 | |
Loans with no related allowance, interest income recognized | 46 | |
Loans with an related allowance, recorded investment | 41 | |
Loans with an related allowance, unpaid principal balance | 41 | |
Loans, related allowance | 10 | |
Loans with an related allowance, average balance total loans | 34 | |
Loans with an related allowance, interest income recognized | $1 |
Note_3_Loans_Receivable_Detail4
Note 3 - Loans Receivable (Details) - Loans Modified in TDR by Class of Loan (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 |
Construction loans: | ||||
Number of contracts | 3 | 1,000,000 | 1 | 0 |
Pre-modification outstanding recorded investment | $1,932 | |||
Post-modification outstanding recorded investment | 632 | |||
Commercial Real Estate Portfolio Segment [Member] | ||||
Construction loans: | ||||
Number of contracts | 1 | |||
Pre-modification outstanding recorded investment | 1,932 | |||
Post-modification outstanding recorded investment | $632 |
Note_4_Allowance_for_Loan_Loss2
Note 4 - Allowance for Loan Losses (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Note 4 - Allowance for Loan Losses (Details) [Line Items] | ||
Loans and Leases Receivable, Gross | $331,679,000 | $297,933,000 |
Unlikely to be Collected Financing Receivable [Member] | ||
Note 4 - Allowance for Loan Losses (Details) [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | ||
Note 4 - Allowance for Loan Losses (Details) [Line Items] | ||
Loans and Leases Receivable, Gross | $0 | $0 |
Note_4_Allowance_for_Loan_Loss3
Note 4 - Allowance for Loan Losses (Details) - Allowance for Loan Losses (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Construction loans: | ||
Allowance for loan losses, beginning balance | $3,721,000 | $3,790,000 |
Allowance for loan losses, charge-offs | -464,000 | -575,000 |
Allowance for loan losses, recoveries | 75,000 | 381,000 |
Allowance for loan losses, provisions | 125,000 | |
Allowance for loan losses, ending balance | 3,332,000 | 3,721,000 |
Allowance for loan losses, ending balance: individually evaluated for impairment | 141,000 | 173,000 |
Allowance for loan losses, ending balance: collectively evaluated for impairment | 3,191,000 | 3,548,000 |
Loans | 331,679,000 | 297,933,000 |
Loans,ending balance: individually evaluated for impairment | 8,173,000 | 11,990,000 |
Loans, ending balance: collectively evaluated for impairment | 323,506,000 | 285,943,000 |
Construction Residential [Member] | ||
Construction loans: | ||
Allowance for loan losses, beginning balance | 156,000 | 117,000 |
Allowance for loan losses, provisions | -113,000 | 39,000 |
Allowance for loan losses, ending balance | 43,000 | 156,000 |
Allowance for loan losses, ending balance: collectively evaluated for impairment | 43,000 | 156,000 |
Loans | 10,019,000 | 6,768,000 |
Loans, ending balance: collectively evaluated for impairment | 10,019,000 | 6,768,000 |
Land Acquisition, Development and Commercial [Member] | ||
Construction loans: | ||
Allowance for loan losses, beginning balance | 872,000 | 811,000 |
Allowance for loan losses, provisions | -419,000 | 61,000 |
Allowance for loan losses, ending balance | 453,000 | 872,000 |
Allowance for loan losses, ending balance: collectively evaluated for impairment | 453,000 | 872,000 |
Loans | 23,686,000 | 20,904,000 |
Loans,ending balance: individually evaluated for impairment | 1,550,000 | |
Loans, ending balance: collectively evaluated for impairment | 23,686,000 | 19,354,000 |
Real Estate Residential [Member] | ||
Construction loans: | ||
Allowance for loan losses, beginning balance | 867,000 | 725,000 |
Allowance for loan losses, charge-offs | -233,000 | -446,000 |
Allowance for loan losses, recoveries | 34,000 | 81,000 |
Allowance for loan losses, provisions | 165,000 | 507,000 |
Allowance for loan losses, ending balance | 833,000 | 867,000 |
Allowance for loan losses, ending balance: individually evaluated for impairment | 163,000 | |
Allowance for loan losses, ending balance: collectively evaluated for impairment | 833,000 | 704,000 |
Loans | 86,269,000 | 72,934,000 |
Loans,ending balance: individually evaluated for impairment | 525,000 | 850,000 |
Loans, ending balance: collectively evaluated for impairment | 85,744,000 | 72,084,000 |
Real Estate Commercial [Member] | ||
Construction loans: | ||
Allowance for loan losses, beginning balance | 1,008,000 | 1,054,000 |
Allowance for loan losses, charge-offs | -88,000 | |
Allowance for loan losses, recoveries | 298,000 | |
Allowance for loan losses, provisions | 4,000 | -256,000 |
Allowance for loan losses, ending balance | 1,012,000 | 1,008,000 |
Allowance for loan losses, ending balance: individually evaluated for impairment | 141,000 | |
Allowance for loan losses, ending balance: collectively evaluated for impairment | 871,000 | 1,008,000 |
Loans | 135,070,000 | 126,100,000 |
Loans,ending balance: individually evaluated for impairment | 7,648,000 | 9,266,000 |
Loans, ending balance: collectively evaluated for impairment | 127,422,000 | 116,834,000 |
Commercial, Industrial and Agricultural [Member] | ||
Construction loans: | ||
Allowance for loan losses, beginning balance | 327,000 | 459,000 |
Allowance for loan losses, charge-offs | -55,000 | -27,000 |
Allowance for loan losses, provisions | 47,000 | -105,000 |
Allowance for loan losses, ending balance | 319,000 | 327,000 |
Allowance for loan losses, ending balance: individually evaluated for impairment | 10,000 | |
Allowance for loan losses, ending balance: collectively evaluated for impairment | 319,000 | 317,000 |
Loans | 44,807,000 | 42,155,000 |
Loans,ending balance: individually evaluated for impairment | 324,000 | |
Loans, ending balance: collectively evaluated for impairment | 44,807,000 | 41,831,000 |
Equity Lines [Member] | ||
Construction loans: | ||
Allowance for loan losses, beginning balance | 385,000 | 386,000 |
Allowance for loan losses, charge-offs | -136,000 | |
Allowance for loan losses, recoveries | 37,000 | 2,000 |
Allowance for loan losses, provisions | 137,000 | -3,000 |
Allowance for loan losses, ending balance | 423,000 | 385,000 |
Allowance for loan losses, ending balance: collectively evaluated for impairment | 423,000 | 385,000 |
Loans | 24,330,000 | 20,374,000 |
Loans, ending balance: collectively evaluated for impairment | 24,330,000 | 20,374,000 |
Consumer [Member] | ||
Construction loans: | ||
Allowance for loan losses, beginning balance | 63,000 | 145,000 |
Allowance for loan losses, charge-offs | -40,000 | -14,000 |
Allowance for loan losses, recoveries | 4,000 | |
Allowance for loan losses, provisions | 38,000 | -68,000 |
Allowance for loan losses, ending balance | 65,000 | 63,000 |
Allowance for loan losses, ending balance: collectively evaluated for impairment | 65,000 | 63,000 |
Loans | 7,498,000 | 8,698,000 |
Loans, ending balance: collectively evaluated for impairment | 7,498,000 | 8,698,000 |
Unallocated [Member] | ||
Construction loans: | ||
Allowance for loan losses, beginning balance | 43,000 | 93,000 |
Allowance for loan losses, provisions | 141,000 | -50,000 |
Allowance for loan losses, ending balance | 184,000 | 43,000 |
Allowance for loan losses, ending balance: collectively evaluated for impairment | $184,000 | $43,000 |
Note_4_Allowance_for_Loan_Loss4
Note 4 - Allowance for Loan Losses (Details) - Loans by Credit Quality Indicators (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Construction loans: | ||
Loans | $331,679,000 | $297,933,000 |
Construction Residential [Member] | Pass [Member] | ||
Construction loans: | ||
Loans | 10,019,000 | 6,768,000 |
Construction Residential [Member] | ||
Construction loans: | ||
Loans | 10,019,000 | 6,768,000 |
Land Acquisition, Development and Commercial [Member] | Pass [Member] | ||
Construction loans: | ||
Loans | 23,672,000 | 19,336,000 |
Land Acquisition, Development and Commercial [Member] | Substandard [Member] | ||
Construction loans: | ||
Loans | 14,000 | 1,568,000 |
Land Acquisition, Development and Commercial [Member] | ||
Construction loans: | ||
Loans | 23,686,000 | 20,904,000 |
Real Estate Residential [Member] | Pass [Member] | ||
Construction loans: | ||
Loans | 81,409,000 | 67,548,000 |
Real Estate Residential [Member] | Special Mention [Member] | ||
Construction loans: | ||
Loans | 4,335,000 | 4,455,000 |
Real Estate Residential [Member] | Substandard [Member] | ||
Construction loans: | ||
Loans | 50,000 | 223,000 |
Real Estate Residential [Member] | Substandard Nonaccrual [Member] | ||
Construction loans: | ||
Loans | 475,000 | 708,000 |
Real Estate Residential [Member] | ||
Construction loans: | ||
Loans | 86,269,000 | 72,934,000 |
Real Estate Commercial [Member] | Pass [Member] | ||
Construction loans: | ||
Loans | 131,087,000 | 121,970,000 |
Real Estate Commercial [Member] | Special Mention [Member] | ||
Construction loans: | ||
Loans | 2,302,000 | 510,000 |
Real Estate Commercial [Member] | Substandard [Member] | ||
Construction loans: | ||
Loans | 923,000 | 3,620,000 |
Real Estate Commercial [Member] | Substandard Nonaccrual [Member] | ||
Construction loans: | ||
Loans | 758,000 | |
Real Estate Commercial [Member] | ||
Construction loans: | ||
Loans | 135,070,000 | 126,100,000 |
Commercial, Industrial and Agricultural [Member] | Pass [Member] | ||
Construction loans: | ||
Loans | 44,248,000 | 41,051,000 |
Commercial, Industrial and Agricultural [Member] | Special Mention [Member] | ||
Construction loans: | ||
Loans | 521,000 | 96,000 |
Commercial, Industrial and Agricultural [Member] | Substandard [Member] | ||
Construction loans: | ||
Loans | 38,000 | 815,000 |
Commercial, Industrial and Agricultural [Member] | Substandard Nonaccrual [Member] | ||
Construction loans: | ||
Loans | 193,000 | |
Commercial, Industrial and Agricultural [Member] | ||
Construction loans: | ||
Loans | 44,807,000 | 42,155,000 |
Equity Lines [Member] | Pass [Member] | ||
Construction loans: | ||
Loans | 24,330,000 | 20,316,000 |
Equity Lines [Member] | Substandard Nonaccrual [Member] | ||
Construction loans: | ||
Loans | 58,000 | |
Equity Lines [Member] | ||
Construction loans: | ||
Loans | 24,330,000 | 20,374,000 |
Consumer [Member] | Pass [Member] | ||
Construction loans: | ||
Loans | 7,475,000 | 8,668,000 |
Consumer [Member] | Substandard [Member] | ||
Construction loans: | ||
Loans | 2,000 | |
Consumer [Member] | Substandard Nonaccrual [Member] | ||
Construction loans: | ||
Loans | 21,000 | 30,000 |
Consumer [Member] | ||
Construction loans: | ||
Loans | 7,498,000 | 8,698,000 |
Pass [Member] | ||
Construction loans: | ||
Loans | 322,240,000 | 285,657,000 |
Special Mention [Member] | ||
Construction loans: | ||
Loans | 7,158,000 | 5,061,000 |
Substandard [Member] | ||
Construction loans: | ||
Loans | 1,027,000 | 6,226,000 |
Substandard Nonaccrual [Member] | ||
Construction loans: | ||
Loans | $1,254,000 | $989,000 |
Note_5_Foreclosed_Properties_D
Note 5 - Foreclosed Properties (Details) - Foreclosed Properties Valuation Allowance (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Foreclosed Properties Valuation Allowance [Abstract] | ||
Other real estate owned, beginning balance | $9,078 | $9,513 |
Other real estate owned, valuation allowance, beginning balance | -935 | -575 |
Other real estate owned, net, beginning balance | 8,143 | 8,938 |
Other real estate owned, ending balance | 7,408 | 9,078 |
Other real estate owned, valuation allowance, ending balance | -422 | -935 |
Other real estate owned, net, ending balance | 6,986 | 8,143 |
Other real estate owned, additions | 1,520 | 1,613 |
Other real estate owned, additions, net | 1,520 | 1,613 |
Other real estate owned, valuation allowance, writedowns | -608 | |
Other real estate owned, writedowns, net | -608 | |
Other real estate owned, sales | -1,618 | -2,048 |
Other real estate owned, valuation allowance, sales | 422 | 248 |
Other real estate owned, sales, net | -1,196 | -1,800 |
Transfer to fixed assets | -1,572 | |
Transfer to fixed assets | 91 | |
Transfer to fixed assets | ($1,481) |
Note_5_Foreclosed_Properties_D1
Note 5 - Foreclosed Properties (Details) - Classification of Other Real Estate Owned and Expenses (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Real Estate Properties [Line Items] | |||
Other Real Estate Owned | $6,986 | $8,143 | $8,938 |
Net gain on sales | -10 | -26 | |
Provision for unrealized losses | 608 | ||
Operating expenses | 224 | 250 | |
Total Other Real Estate Owned | 214 | 832 | |
Residential Lots [Member] | |||
Real Estate Properties [Line Items] | |||
Other Real Estate Owned | 3,023 | 3,472 | |
Residential Development [Member] | |||
Real Estate Properties [Line Items] | |||
Other Real Estate Owned | 423 | ||
Commercial Lots [Member] | |||
Real Estate Properties [Line Items] | |||
Other Real Estate Owned | 1,076 | 1,076 | |
Commercial Buildings [Member] | |||
Real Estate Properties [Line Items] | |||
Other Real Estate Owned | $2,464 | $3,595 |
Note_6_Property_and_Equipment_1
Note 6 - Property and Equipment (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Note 6 - Property and Equipment (Details) [Line Items] | ||
Depreciation, Depletion and Amortization | $657 | $539 |
Operating Leases, Rent Expense | $322 | $324 |
Main Office [Member] | ||
Note 6 - Property and Equipment (Details) [Line Items] | ||
Lessee Leasing Arrangements, Operating Leases, Renewal Term | 5 years | |
Maximum Rental Increase | 3.00% | |
Branch Location 1 [Member] | ||
Note 6 - Property and Equipment (Details) [Line Items] | ||
Lessee Leasing Arrangements, Operating Leases, Renewal Term | 5 years | |
Maximum Rental Increase | 3.00% | |
Automated Teller Machine [Member] | ||
Note 6 - Property and Equipment (Details) [Line Items] | ||
Lessee Leasing Arrangements, Operating Leases, Renewal Term | 5 years | |
Maximum Rental Increase | 3.00% |
Note_6_Property_and_Equipment_2
Note 6 - Property and Equipment (Details) - Components of Property and Equipment (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Components of Property and Equipment [Abstract] | ||
Land | $4,656 | $4,257 |
Buildings and improvements | 8,720 | 6,061 |
Leasehold improvements | 2,149 | 2,129 |
Furniture and equipment | 3,074 | 2,731 |
Software | 487 | 458 |
Construction in process | 49 | 97 |
Property and equipment, total | 19,135 | 15,733 |
Less accumulated depreciation and amortization | 4,235 | 3,578 |
Property and equipment, net | $14,900 | $12,155 |
Note_6_Property_and_Equipment_3
Note 6 - Property and Equipment (Details) - Minimum Annual Lease Payments (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Minimum Annual Lease Payments [Abstract] | |
2015 | $268 |
2016 | 67 |
2017 | 11 |
2018 | 12 |
2019 | 12 |
Thereafter | 15 |
Total | $385 |
Note_7_Deposits_Details
Note 7 - Deposits (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Disclosure Text Block [Abstract] | ||
Time Deposits, $250,000 or More | $9.40 | $7.60 |
Interest-bearing Domestic Deposit, Brokered | $40.20 | $37 |
Note_7_Deposits_Details_Schedu
Note 7 - Deposits (Details) - Scheduled Maturities of Time Deposits (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Scheduled Maturities of Time Deposits [Abstract] | |
2015 | $59,892 |
2016 | 32,780 |
2017 | 27,400 |
2018 | 9,626 |
2019 | 3,638 |
Total | $133,336 |
Note_8_Short_Term_Borrowings_D
Note 8 - Short Term Borrowings (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Note 8 - Short Term Borrowings (Details) [Line Items] | ||
Short-term Debt | 422,000 | $258,000 |
Line of Credit [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||
Note 8 - Short Term Borrowings (Details) [Line Items] | ||
Line of Credit Facility, Interest Rate at Period End | 1.00% | |
Line of Credit [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Note 8 - Short Term Borrowings (Details) [Line Items] | ||
Debt Instrument, Basis Spread on Variable Rate | 2.25% | |
Line of Credit [Member] | ||
Note 8 - Short Term Borrowings (Details) [Line Items] | ||
Short-term Debt | 237,000 | 0 |
Guidance Line of Credit [Member] | ||
Note 8 - Short Term Borrowings (Details) [Line Items] | ||
Short-term Debt | 0 | |
Line of Credit Facility, Maximum Borrowing Capacity | 8,000,000 | |
Line of Credit Facility, Limit Percentage | 15.00% | |
Federal Funds Line of Credit [Member] | ||
Note 8 - Short Term Borrowings (Details) [Line Items] | ||
Short-term Debt | 0 | |
Line of Credit Facility, Maximum Borrowing Capacity | 18,500,000 |
Note_8_Short_Term_Borrowings_D1
Note 8 - Short Term Borrowings (Details) - Short Term Borrowings (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Short-term Debt [Line Items] | ||
Short-term borrowings | $422,000 | $258,000 |
Weighted average interest rate at December 31 | 1.93% | 0.51% |
Securities Sold under Agreements to Repurchase [Member] | ||
Short-term Debt [Line Items] | ||
Short-term borrowings | 185,000 | 258,000 |
Line of Credit [Member] | ||
Short-term Debt [Line Items] | ||
Short-term borrowings | $237,000 | $0 |
Note_9_Federal_Home_Loan_Bank_2
Note 9 - Federal Home Loan Bank Borrowings (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Note 9 - Federal Home Loan Bank Borrowings (Details) [Line Items] | ||
Advances from Federal Home Loan Banks | $20,000,000 | $22,000,000 |
Real Estate Loans [Member] | ||
Note 9 - Federal Home Loan Bank Borrowings (Details) [Line Items] | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 34,100,000 | |
Investment Securities [Member] | ||
Note 9 - Federal Home Loan Bank Borrowings (Details) [Line Items] | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 1,900,000 | |
Federal Home Loan Bank Stock [Member] | ||
Note 9 - Federal Home Loan Bank Borrowings (Details) [Line Items] | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 1,300,000 | |
Federal Home Loan Bank of Atlanta [Member] | Convertible Debt [Member] | ||
Note 9 - Federal Home Loan Bank Borrowings (Details) [Line Items] | ||
Advances from Federal Home Loan Banks | 4,000,000 | |
Federal Home Loan Bank of Atlanta [Member] | Fixed Rate Advance [Member] | ||
Note 9 - Federal Home Loan Bank Borrowings (Details) [Line Items] | ||
Advances from Federal Home Loan Banks | 16,000,000 | |
Federal Home Loan Bank of Atlanta [Member] | ||
Note 9 - Federal Home Loan Bank Borrowings (Details) [Line Items] | ||
Advances from Federal Home Loan Banks | $20,000,000 | $22,000,000 |
Note_9_Federal_Home_Loan_Bank_3
Note 9 - Federal Home Loan Bank Borrowings (Details) - Federal Home Loan Bank of Atlanta Borrowings (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal Home Loan Bank borrowings | $20,356 | $22,560 |
Federal Home Loan Bank of Atlanta [Member] | Advance Date: September 7, 2007 [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Maturity date | 7-Sep-17 | |
Current rate | 3.69% | |
Federal Home Loan Bank borrowings | 4,000 | 4,000 |
Federal Home Loan Bank of Atlanta [Member] | Advance Date: July 27, 2011 [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Maturity date | 28-Jul-14 | |
Current rate | 2.19% | |
Federal Home Loan Bank borrowings | 3,000 | |
Federal Home Loan Bank of Atlanta [Member] | Advance Date: April 13, 2012 [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Maturity date | 13-Apr-16 | |
Current rate | 1.27% | |
Federal Home Loan Bank borrowings | 12,000 | 12,000 |
Federal Home Loan Bank of Atlanta [Member] | Advance Date: December 11, 2013 [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Maturity date | 11-Dec-14 | |
Current rate | 0.36% | |
Federal Home Loan Bank borrowings | 3,000 | |
Federal Home Loan Bank of Atlanta [Member] | Advance Date: June 17, 2014 A [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Maturity date | 17-Jun-15 | |
Current rate | 0.26% | |
Federal Home Loan Bank borrowings | 2,000 | |
Federal Home Loan Bank of Atlanta [Member] | Advance Date: June 17, 2014 B [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Maturity date | 17-Jun-16 | |
Current rate | 0.67% | |
Federal Home Loan Bank borrowings | 2,000 | |
Federal Home Loan Bank of Atlanta [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal Home Loan Bank borrowings | $20,000 | $22,000 |
Note_10_Fair_Value_Measurement2
Note 10 - Fair Value Measurements (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Note 10 - Fair Value Measurements (Details) [Line Items] | ||
Liabilities, Fair Value Disclosure, Nonrecurring | 0 | $0 |
Minimum [Member] | ||
Note 10 - Fair Value Measurements (Details) [Line Items] | ||
Federal Funds, Maturity | 1 day | |
Maximum [Member] | ||
Note 10 - Fair Value Measurements (Details) [Line Items] | ||
Federal Funds, Maturity | 3 days |
Note_10_Fair_Value_Measurement3
Note 10 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabililties Measure on Recurring Basis (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets: | ||
Available-for-sale securities | $54,603 | $57,922 |
Bank owned life insurance | 3,622 | 3,518 |
US Government Agencies Debt Securities [Member] | ||
Assets: | ||
Available-for-sale securities | 26,965 | 26,284 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Assets: | ||
Available-for-sale securities | 9,739 | 15,361 |
US States and Political Subdivisions Debt Securities [Member] | ||
Assets: | ||
Available-for-sale securities | 17,899 | 16,277 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets: | ||
Available-for-sale securities | 54,603 | 57,922 |
Bank owned life insurance | $3,622 | $3,518 |
Note_10_Fair_Value_Measurement4
Note 10 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabililties Measure on Non-Recurring Basis (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Assets: | |||
Impaired loans, net of valuation allowance | $306 | ||
Loans held for sale | 242 | 0 | |
Other real estate owned | 6,986 | 8,143 | 8,938 |
Fair Value, Inputs, Level 2 [Member] | |||
Assets: | |||
Loans held for sale | 242 | ||
Other real estate owned | 3,255 | 3,745 | |
Fair Value, Inputs, Level 3 [Member] | |||
Assets: | |||
Impaired loans, net of valuation allowance | 306 | ||
Other real estate owned | $3,731 | $4,398 |
Note_10_Fair_Value_Measurement5
Note 10 - Fair Value Measurements (Details) - Fair Value Quantitative Information (Fair Value, Inputs, Level 3 [Member], USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Discounted Appraised Value [Member] | Impaired Loans [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling cost | 6.00% | 10.00% |
Selling cost, weighted average | -6.00% | -10.00% |
Discount for lack of marketability and age of appraisal | 94.00% | 32.00% |
Discount for lack of marketability and age of appraisal, weighted average | -94.00% | -32.00% |
Discounted Appraised Value [Member] | Impaired Loans [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling cost | 6.00% | 10.00% |
Selling cost, weighted average | -6.00% | -10.00% |
Discount for lack of marketability and age of appraisal | 94.00% | 32.00% |
Discount for lack of marketability and age of appraisal, weighted average | -94.00% | -32.00% |
Discounted Appraised Value [Member] | Impaired Loans [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling cost | 6.00% | 10.00% |
Selling cost, weighted average | -6.00% | -10.00% |
Discount for lack of marketability and age of appraisal | 94.00% | 32.00% |
Discount for lack of marketability and age of appraisal, weighted average | -94.00% | -32.00% |
Discounted Appraised Value [Member] | Impaired Loans [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value (in Dollars) | 306 | |
Fair value (in Dollars) | 306 | |
Discounted Appraised Value [Member] | Other Real Estate Owned [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling cost | 6.00% | 0.00% |
Selling cost, weighted average | -6.00% | 0.00% |
Discount for lack of marketability and age of appraisal | 4.00% | 0.00% |
Discount for lack of marketability and age of appraisal, weighted average | -4.00% | 0.00% |
Discounted Appraised Value [Member] | Other Real Estate Owned [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling cost | 6.00% | 6.00% |
Selling cost, weighted average | -6.00% | -6.00% |
Discount for lack of marketability and age of appraisal | 4.00% | 25.00% |
Discount for lack of marketability and age of appraisal, weighted average | -4.00% | -25.00% |
Discounted Appraised Value [Member] | Other Real Estate Owned [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling cost | 6.00% | 5.00% |
Selling cost, weighted average | -6.00% | -5.00% |
Discount for lack of marketability and age of appraisal | 4.00% | 9.00% |
Discount for lack of marketability and age of appraisal, weighted average | -4.00% | -9.00% |
Discounted Appraised Value [Member] | Other Real Estate Owned [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value (in Dollars) | 1,458 | 1,458 |
Fair value (in Dollars) | 1,458 | 1,458 |
Internal Evaluations [Member] | Other Real Estate Owned [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Internal evaluations | 0.00% | 10.00% |
Internal evaluations, weighted average | 0.00% | -10.00% |
Internal Evaluations [Member] | Other Real Estate Owned [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Internal evaluations | 33.00% | 10.00% |
Internal evaluations, weighted average | -33.00% | -10.00% |
Internal Evaluations [Member] | Other Real Estate Owned [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Internal evaluations | 11.00% | 10.00% |
Internal evaluations, weighted average | -11.00% | -10.00% |
Internal Evaluations [Member] | Other Real Estate Owned [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value (in Dollars) | 2,273 | 2,940 |
Fair value (in Dollars) | 2,273 | 2,940 |
Note_10_Fair_Value_Measurement6
Note 10 - Fair Value Measurements (Details) - Fair Value of Financial Instruments (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Financial assets | ||
Cash and due from banks | $13,795,000 | $19,537,000 |
Cash and due from banks, fair value | 13,806,000 | 19,541,000 |
Federal funds sold | 649,000 | 738,000 |
Federal funds sold, fair value | 649,000 | 738,000 |
Securities available-for-sale | 54,603,000 | 57,922,000 |
Restricted equity securities | 2,476,000 | 2,564,000 |
Restricted equity securities, fair value | 2,476,000 | 2,564,000 |
Loans held for sale | 242,000 | 0 |
Loans held for sale | 242,000 | |
Loans, net | 328,347,000 | 294,212,000 |
Loans, net, fair value | 332,167,000 | 293,135,000 |
Bank owned life insurance | 3,622,000 | 3,518,000 |
Bank owned life insurance, fair value | 3,622,000 | 3,518,000 |
Accrued income | 1,924,000 | 1,877,000 |
Accrued income, fair value | 1,924,000 | 1,877,000 |
Financial liabilities | ||
Total deposits | 362,595,000 | 339,770,000 |
Total deposits, fair value | 350,418,000 | 327,514,000 |
Short term borrowings | 422,000 | 258,000 |
Short term borrowings, fair value | 422,000 | 258,000 |
FHLB borrowings | 20,000,000 | 22,000,000 |
FHLB borrowings, fair value | 20,356,000 | 22,560,000 |
Accrued interest payable | 272,000 | 286,000 |
Accrued interest payable, fair value | 272,000 | 286,000 |
Fair Value, Inputs, Level 1 [Member] | ||
Financial assets | ||
Cash and due from banks, fair value | 11,794,000 | 17,537,000 |
Federal funds sold | 649,000 | 738,000 |
Federal funds sold, fair value | 649,000 | 738,000 |
Fair Value, Inputs, Level 2 [Member] | ||
Financial assets | ||
Cash and due from banks, fair value | 2,012,000 | 2,004,000 |
Securities available-for-sale | 54,603,000 | 57,922,000 |
Restricted equity securities | 2,476,000 | 2,564,000 |
Restricted equity securities, fair value | 2,476,000 | 2,564,000 |
Loans held for sale | 242,000 | |
Loans held for sale | 242,000 | |
Bank owned life insurance | 3,622,000 | 3,518,000 |
Bank owned life insurance, fair value | 3,622,000 | 3,518,000 |
Accrued income | 1,924,000 | 1,877,000 |
Accrued income, fair value | 1,924,000 | 1,877,000 |
Financial liabilities | ||
Total deposits, fair value | 350,418,000 | 327,514,000 |
Short term borrowings, fair value | 422,000 | 258,000 |
FHLB borrowings, fair value | 20,356,000 | 22,560,000 |
Accrued interest payable, fair value | 272,000 | 286,000 |
Fair Value, Inputs, Level 3 [Member] | ||
Financial assets | ||
Loans, net, fair value | $332,167,000 | $293,135,000 |
Note_11_Earnings_Per_Common_Sh2
Note 11 - Earnings Per Common Share (Details) (Equity Option [Member]) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Equity Option [Member] | ||
Note 11 - Earnings Per Common Share (Details) [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 549,560 | 391,710 |
Note_11_Earnings_Per_Common_Sh3
Note 11 - Earnings Per Common Share (Details) - Earnings Per Common Share (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Note 11 - Earnings Per Common Share (Details) - Earnings Per Common Share [Line Items] | ||
Earnings per common share, basic | 3,284,870 | 3,269,063 |
Earnings per common share, basic | $2,575 | $1,741 |
Earnings per common share, basic | $0.78 | $0.53 |
Series C Preferred Stock Dividends | 840 | 846 |
Effect of dilutive securities: | ||
Convertible preferred stock | 2,240,000 | 1,147,616 |
Convertible preferred stock | ($0.16) | ($0.05) |
Earnings per common share, diluted | 5,524,870 | 4,416,679 |
Earnings per common share, diluted | 3,415 | 2,131 |
Earnings per common share, diluted | $0.62 | $0.48 |
Series C Preferred Stock [Member] | ||
Note 11 - Earnings Per Common Share (Details) - Earnings Per Common Share [Line Items] | ||
Series C Preferred Stock Dividends | $840 | $390 |
Note_12_Stock_Based_Compensati2
Note 12 - Stock Based Compensation (Details) (USD $) | 0 Months Ended | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 18, 2014 | Dec. 31, 2014 | Dec. 31, 2013 |
Note 12 - Stock Based Compensation (Details) [Line Items] | |||
Allocated Share-based Compensation Expense | $58 | $36 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in Shares) | 165,000 | 0 | |
Employee Stock Option [Member] | |||
Note 12 - Stock Based Compensation (Details) [Line Items] | |||
Allocated Share-based Compensation Expense | 2 | 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 2.01% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 7 years 6 months | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 26.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | 376 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 5 years | ||
Restricted Stock [Member] | |||
Note 12 - Stock Based Compensation (Details) [Line Items] | |||
Allocated Share-based Compensation Expense | 56 | 36 | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $215 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in Shares) | 132,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value (in Dollars per share) | $6.25 | $5.98 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in Shares) | 17,268 | 7,781 |
Note_12_Stock_Based_Compensati3
Note 12 - Stock Based Compensation (Details) - Stock Option Activity (USD $) | 0 Months Ended | 12 Months Ended | |||
Dec. 18, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 30, 2013 | ||
Note 12 - Stock Based Compensation (Details) - Stock Option Activity [Line Items] | |||||
Granted | 165,000 | 0 | |||
2005 Stock Option Plan [Member] | |||||
Note 12 - Stock Based Compensation (Details) - Stock Option Activity [Line Items] | |||||
Balance at December 31, 2013 | 391,710 | ||||
Balance at December 31, 2013 | $9.34 | ||||
Granted | 165,000 | ||||
Granted | $6.90 | ||||
Forfeited | -7,150 | ||||
Forfeited | $9.09 | ||||
Balance at December 31, 2014 | 549,560 | 391,710 | |||
Balance at December 31, 2014 | $8.61 | $9.34 | |||
Balance at December 31, 2014 | 4 years 29 days | ||||
Balance at December 31, 2014 | [1] | ||||
Exercisable at December 31, 2014 | 549,560 | ||||
Exercisable at December 31, 2014 | $8.61 | ||||
Exercisable at December 31, 2014 | 4 years 29 days | ||||
Exercisable at December 31, 2014 | [1] | ||||
[1] | The aggregate intrinsic value of a stock option in the table above represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on December 31, 2014. |
Note_12_Stock_Based_Compensati4
Note 12 - Stock Based Compensation (Details) - Restricted Stock Awards Activity (Restricted Stock [Member], USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Restricted Stock [Member] | ||
Note 12 - Stock Based Compensation (Details) - Restricted Stock Awards Activity [Line Items] | ||
Nonvested at beginning of year | 27,846 | 25,896 |
Nonvested at beginning of year | $5.05 | $4.76 |
Granted | 17,268 | 7,781 |
Granted | $6.25 | $5.98 |
Vested | -7,387 | -5,831 |
Vested | $5.23 | $5.03 |
Nonvested at end of year | 37,727 | 27,846 |
Nonvested at end of year | $5.56 | $5.05 |
Note_13_Salary_Continuation_Pl1
Note 13 - Salary Continuation Plan (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Note 13 - Salary Continuation Plan (Details) [Line Items] | ||
Salary Continuation Plan, Lifetime Payment Percentage | 20.00% | |
Salary Continuation Plan, Base Salary Period | 5 years | |
Salary Continuation Plan, Lifetime Payment Percentage, Additional Benefit | 20.00% | |
Salary Continuation Plan, Base Salary Period, Additional Benefit | 5 years | |
Supplemental Executive Retirement Plan [Member] | ||
Note 13 - Salary Continuation Plan (Details) [Line Items] | ||
Deferred Compensation Liability, Current and Noncurrent | 129 | $24 |
Note_14_Employee_Benefit_Plan_
Note 14 - Employee Benefit Plan (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Note 14 - Employee Benefit Plan (Details) [Line Items] | ||
Defined Contribution Plan, Employer Discretionary Contribution Amount (in Dollars) | $209 | $180 |
Employee First 3 Percent [Member] | ||
Note 14 - Employee Benefit Plan (Details) [Line Items] | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 100.00% | |
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent | 3.00% | |
Employee Next 3 Percent [Member] | ||
Note 14 - Employee Benefit Plan (Details) [Line Items] | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 50.00% | |
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent | 3.00% |
Note_15_Income_Taxes_Details
Note 15 - Income Taxes (Details) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | ||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 34.00% | 34.00% |
Note_15_Income_Taxes_Details_C
Note 15 - Income Taxes (Details) - Components of Income Tax Expense (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Components of Income Tax Expense [Abstract] | ||
Current | $731 | $68 |
Deferred | 856 | 1,272 |
Income tax expense | $1,587 | $1,340 |
Note_15_Income_Taxes_Details_I
Note 15 - Income Taxes (Details) - Income Tax Reconciliation (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Income Tax Reconciliation [Abstract] | ||
Tax at statutory federal rate | $1,701 | $1,384 |
Tax-exempt interest income | -136 | -96 |
Cash surrender value of life insurance | -35 | 26 |
Qualified restricted stock awards | 19 | 26 |
Other | 38 | |
Income tax expense | $1,587 | $1,340 |
Note_15_Income_Taxes_Details_C1
Note 15 - Income Taxes (Details) - Components of Deferred Tax Assets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deferred tax assets | ||
Net operating losses | $302 | |
Alternative minimum tax | 98 | |
Unrealized loss on securities available for sale | 308 | |
Nonaccrual loan interest | 14 | 17 |
Deferred tax asset | 1,076 | 2,044 |
Allowance for loan losses | 513 | 675 |
Stock-based compensation | 236 | 236 |
Deferred compensation | 44 | 8 |
Deferred tax liabilities | ||
Depreciation | 360 | 297 |
Unrealized gain on securities available for sale | 235 | |
Accretion of bond discount | 1 | |
Deferred loan fees | 721 | 587 |
Deferred tax liability | 1,316 | 885 |
Net deferred tax (liability) asset | -240 | |
Net deferred tax (liability) asset | 1,159 | |
Pre-Opening Expenses [Member] | ||
Deferred tax assets | ||
Other assets | 94 | 110 |
Other Real Estate Expenses [Member] | ||
Deferred tax assets | ||
Other assets | $175 | $290 |
Note_16_Commitments_and_Contin2
Note 16 - Commitments and Contingencies (Details) (USD $) | 0 Months Ended | |||
Nov. 01, 2014 | Aug. 19, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | |
Note 16 - Commitments and Contingencies (Details) [Line Items] | ||||
Restricted Cash and Cash Equivalents | $3,700,000 | $3,300,000 | ||
Cash, Uninsured Amount | 4,082,000 | 6,846,000 | ||
Marketing Agreement [Member] | ||||
Note 16 - Commitments and Contingencies (Details) [Line Items] | ||||
Marketing Expense | 9,500 | |||
Purchase Obligation, Term of Contract | 3 years | |||
Purchase Obligation, Renewal Term | 2 years | |||
Purchase Obligation, Due in Next Twelve Months | 47,800 | |||
Purchase Obligation, Due in Second Year | 52,800 | |||
Purchase Obligation, Due in Third Year | 47,900 | |||
HomeTown Bank Vs. HomeTrust Bank [Member] | ||||
Note 16 - Commitments and Contingencies (Details) [Line Items] | ||||
Litigation Settlement, Expense | 126,000 | |||
Marketing Expense | $31,000 |
Note_16_Commitments_and_Contin3
Note 16 - Commitments and Contingencies (Details) - Commitments (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unfunded commitments under lines of credit | $55,280 | $41,056 |
Commitments to Extend Credit [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Commitments to extend credit | 21,137 | 19,164 |
Standby Letters of Credit [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Standby letters of credit | $5,563 | $4,040 |
Note_17_Regulatory_Restriction2
Note 17 - Regulatory Restrictions (Details) (USD $) | Dec. 31, 2014 |
Disclosure Text Block [Abstract] | |
Retained Earnings, Unappropriated | $0 |
Note_17_Regulatory_Restriction3
Note 17 - Regulatory Restrictions (Details) - Capital Amounts and Ratios (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Consolidated Entities [Member] | ||
Total Capital (to Risk-Weighted Assets) | ||
Total Capital (to Risk-Weighted Assets) actual amount | $46,102 | $43,858 |
Total Capital (to Risk-Weighted Assets) actual ratio | 13.10% | 14.00% |
Total Capital (to Risk-Weighted Assets) amount of minimum capital requirement | 28,125 | 25,077 |
Total Capital (to Risk-Weighted Assets) ratio of minimum capital requirement | 8.00% | 8.00% |
Total Capital (to Risk-Weighted Assets) minimum amount to be well capitalized under prompt corrective action provisions | ||
Total Capital (to Risk-Weighted Assets) minimum ratio to be well capitalized under prompt corrective action provisions | ||
Tier I Capital (to Risk-Weighted Assets) | ||
Tier I Capital (to Risk-Weighted Assets) actual amount | 42,770 | 40,137 |
Tier I Capital (to Risk-Weighted Assets) actual ratio | 12.20% | 12.80% |
Tier I Capital (to Risk-Weighted Assets) amount of minimum capital requirement | 14,063 | 12,538 |
Tier I Capital (to Risk-Weighted Assets) ratio of minimum capital requirement | 4.00% | 4.00% |
Tier I Capital (to Risk-Weighted Assets) minimum amount to be well capitalized under prompt corrective action provisions | ||
Tier I Capital (to Risk-Weighted Assets) minimum ratio to be well capitalized under prompt corrective action provisions | ||
Tier I Capital (to Average Assets) | ||
Tier I Capital (to Average Assets) actual amount | 42,770 | 40,137 |
Tier I Capital (to Average Assets) actual ratio | 10.10% | 10.20% |
Tier I Capital (to Average Assets) amount of minimum capital requirement | 16,952 | 15,719 |
Tier I Capital (to Average Assets) ratio of minimum capital requirement | 4.00% | 4.00% |
Tier I Capital (to Average Assets) minimum amount to be well capitalized under prompt corrective action provisions | ||
Tier I Capital (to Average Assets) minimum ratio to be well capitalized under prompt corrective action provisions | ||
HomeTown Bank [Member] | ||
Total Capital (to Risk-Weighted Assets) | ||
Total Capital (to Risk-Weighted Assets) actual amount | 45,695 | 42,516 |
Total Capital (to Risk-Weighted Assets) actual ratio | 13.00% | 13.60% |
Total Capital (to Risk-Weighted Assets) amount of minimum capital requirement | 28,125 | 25,077 |
Total Capital (to Risk-Weighted Assets) ratio of minimum capital requirement | 8.00% | 8.00% |
Total Capital (to Risk-Weighted Assets) minimum amount to be well capitalized under prompt corrective action provisions | 35,157 | 31,346 |
Total Capital (to Risk-Weighted Assets) minimum ratio to be well capitalized under prompt corrective action provisions | 10.00% | 10.00% |
Tier I Capital (to Risk-Weighted Assets) | ||
Tier I Capital (to Risk-Weighted Assets) actual amount | 42,363 | 38,795 |
Tier I Capital (to Risk-Weighted Assets) actual ratio | 12.00% | 12.40% |
Tier I Capital (to Risk-Weighted Assets) amount of minimum capital requirement | 14,063 | 12,538 |
Tier I Capital (to Risk-Weighted Assets) ratio of minimum capital requirement | 4.00% | 4.00% |
Tier I Capital (to Risk-Weighted Assets) minimum amount to be well capitalized under prompt corrective action provisions | 21,094 | 18,808 |
Tier I Capital (to Risk-Weighted Assets) minimum ratio to be well capitalized under prompt corrective action provisions | 6.00% | 6.00% |
Tier I Capital (to Average Assets) | ||
Tier I Capital (to Average Assets) actual amount | 42,363 | 38,795 |
Tier I Capital (to Average Assets) actual ratio | 10.00% | 9.90% |
Tier I Capital (to Average Assets) amount of minimum capital requirement | 16,952 | 15,719 |
Tier I Capital (to Average Assets) ratio of minimum capital requirement | 4.00% | 4.00% |
Tier I Capital (to Average Assets) minimum amount to be well capitalized under prompt corrective action provisions | $21,190 | $19,648 |
Tier I Capital (to Average Assets) minimum ratio to be well capitalized under prompt corrective action provisions | 5.00% | 5.00% |
Note_18_Transactions_with_Rela2
Note 18 - Transactions with Related Parties (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Related Party Transactions [Abstract] | ||
Related Party Deposit Liabilities | $6,354,000 | $5,994,000 |
Note_18_Transactions_with_Rela3
Note 18 - Transactions with Related Parties (Details) - Loan Transactions with Related Parties (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Loan Transactions with Related Parties [Abstract] | ||
Balance, beginning | $8,280 | $8,140 |
Balance, ending | 8,048 | 8,280 |
New loans | 3,859 | 5,182 |
Repayments | ($4,091) | ($5,042) |
Note_19_Capital_Transactions_D
Note 19 - Capital Transactions (Details) (USD $) | 9 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | ||
Sep. 23, 2013 | Dec. 31, 2014 | Sep. 18, 2009 | Jun. 28, 2013 | Dec. 31, 2013 | Sep. 24, 2013 | |
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Preferred Stock, Dividend Rate, Percentage | 5.00% | |||||
Dividends, Preferred Stock, Paid-in-kind | $457,000 | |||||
Additional Preferred Stock [Member] | ||||||
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Preferred Stock, Dividend Rate, Percentage | 9.00% | |||||
Series A Preferred Stock [Member] | First Five Years [Member] | ||||||
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Preferred Stock, Dividend Rate, Percentage | 5.00% | |||||
Series A Preferred Stock [Member] | After First Five Years [Member] | ||||||
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Preferred Stock, Dividend Rate, Percentage | 9.00% | |||||
Series A Preferred Stock [Member] | ||||||
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Sale of Stock, Consideration Received on Transaction | 10,000,000 | |||||
Series B Preferred Stock [Member] | ||||||
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Preferred Stock, Dividend Rate, Percentage | 9.00% | |||||
Warrants and Rights Outstanding | 374,000 | |||||
Series C Preferred Stock [Member] | Private Placement [Member] | ||||||
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Preferred Stock, Dividend Rate, Percentage | 6.00% | |||||
Sale of Stock, Number of Shares Issued in Transaction (in Shares) | 14,000 | |||||
Sale of Stock, Price Per Share (in Dollars per share) | $1,000 | |||||
Debt Instrument, Convertible, Conversion Price (in Dollars per share) | $6.25 | |||||
Series C Preferred Stock [Member] | ||||||
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Dividends, Preferred Stock, Paid-in-kind | 840,000 | 389,000 | ||||
Series A and B Preferred Stock [Member] | ||||||
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Preferred Stock, Redemption Amount | 10,374,000 | |||||
Private Placement [Member] | ||||||
Note 19 - Capital Transactions (Details) [Line Items] | ||||||
Sale of Stock, Consideration Received on Transaction | $14,000,000 |
Note_20_Reclassifications_out_2
Note 20 - Reclassifications out of Other Comprehensive Income (Details) - Items not Reclassified in Their Entirety to Net Income (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Available for sale securities | ||
Tax expense related to realized gains on securities sold | $1,587 | $1,340 |
3,415 | 2,729 | |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Net Unrealized Investment Gain (Loss) [Member] | ||
Available for sale securities | ||
Realized gains on sales of securities held for sale during the period | 128 | 152 |
Tax expense related to realized gains on securities sold | 44 | 52 |
$84 | $100 |
Note_21_Condensed_Parent_Compa2
Note 21 - Condensed Parent Company Financial Information (Details) - Condensed Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Assets | |||
Cash and due from banks | $13,795 | $19,537 | |
Total assets | 428,209 | 402,437 | |
Liabilities and Stockholdersb Equity | |||
Total liabilities | 384,984 | 362,899 | |
Stockholdersb equity: | |||
Total stockholdersb equity | 43,225 | 39,538 | 36,719 |
Total liabilities and stockholdersb equity | 428,209 | 402,437 | |
Parent Company [Member] | |||
Assets | |||
Cash and due from banks | 408 | 1,352 | |
Investment in bank subsidiary | 42,817 | 38,195 | |
Total assets | 43,225 | 39,547 | |
Liabilities and Stockholdersb Equity | |||
Total liabilities | 9 | ||
Stockholdersb equity: | |||
Total stockholdersb equity | 43,225 | 39,538 | |
Total liabilities and stockholdersb equity | $43,225 | $39,547 |
Note_21_Condensed_Parent_Compa3
Note 21 - Condensed Parent Company Financial Information (Details) - Condensed Statements of Income (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Condensed Income Statements, Captions [Line Items] | ||
Net loss before income taxes | $5,002 | $4,069 |
Income tax benefit | -1,587 | -1,340 |
Net Income | 3,415 | 2,729 |
Parent Company [Member] | ||
Condensed Income Statements, Captions [Line Items] | ||
Expenses | -143 | -145 |
Net loss before income taxes | -143 | -145 |
Income tax benefit | 48 | 49 |
Net loss before equity in undistributed net income of subsidiary | -95 | -96 |
Undistributed net income of subsidiary | 3,510 | 2,825 |
Net Income | $3,415 | $2,729 |
Note_21_Condensed_Parent_Compa4
Note 21 - Condensed Parent Company Financial Information (Details) - Condensed Statements of Cash Flows (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Cash flows from operating activities: | ||
Net income | $3,415 | $2,729 |
Decrease in other assets | -53 | 945 |
(Decrease) increase in other liabilities | 870 | -602 |
Net cash flows provided by (used in) operating activities | 5,835 | 7,498 |
Cash flows from investing activities: | ||
Net cash flows used in investing activities | -31,726 | -29,661 |
Cash flows from financing activities: | ||
Issuance of preferred stock net of issuance costs | 13,293 | |
Preferred stock redeemed | -10,374 | |
Net cash flows provided by (used in) financing activities | 20,149 | 31,888 |
Net increase (decrease) in cash and cash equivalents | -5,742 | 9,725 |
Cash and cash equivalents, beginning | 19,537 | 9,812 |
Cash and cash equivalents, ending | 13,795 | 19,537 |
Parent Company [Member] | ||
Cash flows from operating activities: | ||
Net income | 3,415 | 2,729 |
Equity in undistributed net income of subsidiary bank | -3,510 | -2,825 |
Decrease in other assets | 145 | |
(Decrease) increase in other liabilities | -9 | 9 |
Net cash flows provided by (used in) operating activities | -104 | 58 |
Cash flows from investing activities: | ||
Capital contribution to bank subsidiary | -1,500 | |
Net cash flows used in investing activities | -1,500 | |
Cash flows from financing activities: | ||
Issuance of preferred stock net of issuance costs | 13,293 | |
Preferred stock redeemed | -10,374 | |
Preferred dividend payment | -840 | -846 |
Net cash flows provided by (used in) financing activities | -840 | 2,073 |
Net increase (decrease) in cash and cash equivalents | -944 | 631 |
Cash and cash equivalents, beginning | 1,352 | 721 |
Cash and cash equivalents, ending | $408 | $1,352 |
Note_22_Subsequent_Events_Deta
Note 22 - Subsequent Events (Details) (Series C Preferred Stock [Member], Subsequent Event [Member], USD $) | 0 Months Ended |
Feb. 05, 2015 | |
Series C Preferred Stock [Member] | Subsequent Event [Member] | |
Note 22 - Subsequent Events (Details) [Line Items] | |
Preferred Stock, Dividends Per Share, Declared | $15 |