ConnectOne Bancorp 10-Q 8 Nov 13 2013 Q3 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	9 Months Ended
	Sep. 30, 2013	Nov. 08, 2013
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'ConnectOne Bancorp, Inc.	'
Document Type	'10-Q	'
Current Fiscal Year End Date	'--12-31	'
Entity Common Stock, Shares Outstanding	'	5,089,392
Amendment Flag	'false	'
Entity Central Index Key	'0001462694	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Filer Category	'Non-accelerated Filer	'
Entity Well-known Seasoned Issuer	'No	'
Document Period End Date	30-Sep-13	'
Document Fiscal Year Focus	'2013	'
Document Fiscal Period Focus	'Q3	'

CONSOLIDATED_BALANCE_SHEETS

CONSOLIDATED BALANCE SHEETS (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Assets	'	'
Cash and due from banks	$3,383	$3,242
Interest-bearing deposits with banks	46,169	47,387
Cash and cash equivalents	49,552	50,629
Securities available for sale	23,450	19,252
Securities held to maturity, fair value of $1,274 at 2013 and $2,084 at 2012	1,218	1,985
Loans held for sale	'	405
Loans receivable	1,031,070	848,842
Less: Allowance for loan losses	-14,666	-13,246
Net loans receivable	1,016,404	835,596
Investment in restricted stock, at cost	5,834	4,744
Bank premises and equipment, net	7,808	7,904
Accrued interest receivable	3,704	3,361
Other real estate owned	1,303	433
Goodwill	260	260
Bank owned life insurance	15,044	'
Other assets	5,358	5,357
Total assets	1,129,935	929,926
Liabilities	'	'
Non interest-bearing	193,492	170,355
Interest-bearing	704,243	598,963
Total deposits	897,735	769,318
Long-term borrowings	97,816	79,568
Accrued interest payable	2,750	2,803
Capital lease obligation	3,129	3,185
Other liabilities	1,268	2,690
Total liabilities	1,002,698	857,564
Commitments and Contingencies	'	'
Stockholders’ Equity	'	'
Common stock, no par value; authorized 10,000,000 shares at September 30, 2013 and December 31, 2012; issued and outstanding 5,089,392 at September 30, 2013 and 3,166,217 at December 31, 2012	99,118	51,205
Retained earnings	28,081	20,661
Accumulated other comprehensive income	38	496
Total stockholders’ equity	127,237	72,362
Total liabilities and stockholders’ equity	$1,129,935	$929,926

CONSOLIDATED_BALANCE_SHEETS_Pa

CONSOLIDATED BALANCE SHEETS (Parentheticals) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, except Share data, unless otherwise specified
Securities held to maturity at fair value (in Dollars)	$1,274	$2,084
Common stock, par value (in Dollars per share)	'	'
Common stock, shares authorized	10,000,000	10,000,000
Common stock, shares issued	5,089,392	3,166,217
Common stock, shares outstanding	5,089,392	3,166,217

CONSOLIDATED_STATEMENTS_OF_INC

CONSOLIDATED STATEMENTS OF INCOME (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Interest income	'	'	'	'
Loans receivable, including fees	$11,923	$9,955	$33,758	$29,076
Securities	210	311	584	833
Other interest income	25	23	80	53
Total interest income	12,158	10,289	34,422	29,962
Interest expense	'	'	'	'
Deposits	1,215	1,214	3,510	3,579
Long-term borrowings	346	349	1,010	1,001
Capital lease	47	48	142	145
Total interest expense	1,608	1,611	4,662	4,725
Net interest income	10,550	8,678	29,760	25,237
Provision for loan losses	1,300	950	3,175	2,840
Net interest income after provision for loan losses	9,250	7,728	26,585	22,397
Non-interest income	'	'	'	'
Service fees	136	88	299	281
Gains on sales of loans	54	126	215	338
Income on bank owned life insurance	44	'	44	'
Other income	59	80	295	196
Total non-interest income	293	294	853	815
Non-interest expenses	'	'	'	'
Salaries and employee benefits	2,584	2,024	7,510	6,252
Occupancy and equipment	806	746	2,296	2,156
Professional fees	454	237	1,045	777
Advertising and promotion	106	168	375	352
Data processing	507	425	1,398	1,242
Other expenses	763	735	2,262	2,162
Total non-interest expenses	5,220	4,335	14,886	12,941
Income before income tax expense	4,323	3,687	12,552	10,271
Income tax expense	1,736	1,488	5,132	4,154
Net income	2,587	2,199	7,420	6,117
Dividends on preferred shares	'	2	'	354
Net income available to common stockholders	$2,587	$2,197	$7,420	$5,763
Earnings per common share:	'	'	'	'
Basic (in Dollars per share)	$0.52	$0.70	$1.58	$2.26
Diluted (in Dollars per share)	$0.50	$0.68	$1.54	$1.92
Weighted average common shares outsanding:	'	'	'	'
Basic (in Shares)	5,011,045	3,145,625	4,691,793	2,546,996
Diluted (in Shares)	5,158,704	3,256,092	4,828,408	3,184,927

CONSOLIDATED_STATEMENTS_OF_COM

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Net income	$2,587	$2,199	$7,420	$6,117
Net unrealized gains/(losses)	-642	50	-763	95
Tax effect	-257	20	-305	38
Other comprehensive income (loss)	-385	30	-458	57
Comprehensive income	$2,202	$2,229	$6,962	$6,174

CONSOLIDATED_STATEMENTS_OF_CHA

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (USD $)	Common Stock [Member]	Series A Preferred Stock [Member]	Series B Preferred Stock [Member]	Series C Preferred Stock [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Total
In Thousands
Balance at Dec. 31, 2011	$27,149	$2,500	$14,004	'	$12,594	$610	$56,857
Net income	'	'	'	'	8,421	'	8,421
Other comprehensive loss, net of taxes	'	'	'	'	'	-114	-114
Issuance of stock	'	'	'	7,500	'	'	7,500
Issuance of convertible preferred stock; Series A, Series B and Series C	24,004	-2,500	-14,004	-7,500	'	'	'
Cash dividends paid on preferred stock	'	'	'	'	-354	'	-354
Equity-based compensation	52	'	'	'	'	'	52
Balance at Dec. 31, 2012	51,205	'	'	'	20,661	496	72,362
Net income	'	'	'	'	7,420	'	7,420
Other comprehensive loss, net of taxes	'	'	'	'	'	-458	-458
Issuance of stock	47,715	'	'	'	'	'	47,715
Grant of 83,175 restricted stock and performance unit awards	'	'	'	'	'	'	'
Equity-based compensation	198	'	'	'	'	'	198
Balance at Sep. 30, 2013	$99,118	'	'	'	$28,081	$38	$127,237

CONSOLIDATED_STATEMENTS_OF_CHA1

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parentheticals)	9 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2012
Issuance of stock, shares	1,840,000	7,500
Grant of restricted stock and performance unit awards	83,175	'
Common Stock [Member]	'	'
Issuance of stock, shares	1,840,000	'
Series C Preferred Stock [Member]	'	'
Issuance of stock, shares	'	7,500

CONSOLIDATED_STATEMENTS_OF_CAS

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Cash flows from operating activities	'	'
Net income	$7,420	$6,117
Adjustments to reconcile net income to net cash provided by operating activities-	'	'
Provision for loan losses	3,175	2,840
Depreciation and amortization	958	876
Increase in bank owned life insurance	-44	'
Net amortization of securities discounts and premiums	50	44
Amortization of intangibles assets	'	5
Equity-based compensation	198	52
Proceeds from sale of loans	10,420	15,230
Originations of loans held for sale	-9,800	-15,205
Gain on sales of loans	-215	-338
(Increase) decrease in accrued interest receivable	-343	-566
Increase (decrease) in accrued interest payable	-53	655
Increase (decrease) in other liabilities	-1,422	998
Decrease in other assets	303	183
Net cash provided by operating activities	10,647	10,891
Cash flows from investing activities	'	'
Net Increase in loans	-184,853	-175,130
Purchases of securities available for sale	-9,903	'
Purchases of bank owned life insurance	-15,000	'
Maturities calls and prepayments	5,660	6,894
Net increase in investments in restricted stock, at cost	-1,090	-1,378
Purchases of bank premises and equipment	-862	-327
Net cash used in investing activities	-206,048	-169,941
Cash Flows From Financing Activities:	'	'
Net increase in deposits	128,417	114,860
Proceeds from long term borrowings	36,000	60,000
Repayment of long term borrowings	-17,752	-35,727
Net proceeds from initial public offering	47,715	'
Proceeds from sale of preferred stock	'	7,500
Decrease in capital lease obligation	-56	-53
Preferred stock dividends	'	-354
Net cash provided by financing activities	194,324	146,226
Net decrease in cash and cash equivalents	-1,077	-12,824
Cash and cash equivalents, beginning of year	50,629	59,176
Cash and cash equivalents, end of year	49,552	46,352
Supplementary cash flows information:	'	'
Interest paid	4,715	4,070
Income taxes paid	6,405	3,427
Supplementary information on noncash investing activities	'	'
Loans transferred to other real estate owned	$1,303	'

SUMMARY_OF_SIGNIFICANT_ACCOUNT

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2013
Accounting Policies [Abstract]	'
Significant Accounting Policies [Text Block]	'
	NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
	Nature of Operations and Principles of Consolidation: The consolidated financial statements include ConnectOne Bancorp, Inc. and its wholly owned subsidiary, ConnectOne Bank (“the Bank”), together referred to as “the Company.” Intercompany transactions and balances are eliminated in consolidation.
	On October 1, 2013, the Company formed, through a capital contribution, a real estate investment trust, ConnectOne Preferred Funding Corp (“Funding Corp.”), to own and manage a portfolio of real estate backed loans. Funding Corp. will consolidate with the Company in future reporting periods, with all intercompany transactions and balances eliminated in consolidation.
	The Company provides financial services through its offices in Bergen, Hudson, and Monmouth counties, New Jersey. Its primary deposit products are checking, savings, and term certificate accounts, and its primary lending products are residential mortgage, commercial, and installment loans. Substantially all loans are secured by specific items of collateral including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flow from business operations. There are no significant concentrations of loans to any one industry or customer. However, the customers’ ability to repay their loans is dependent on the cash flows, real estate and general economic conditions in the area.
	The consolidated financial information included herein as of and for the periods ended September 30, 2013 and 2012 is unaudited. The accompanying unaudited consolidated financial statements included herein have been prepared by the Company in accordance with U.S. generally accepted accounting principles and pursuant to the rules and regulations of the Securities and Exchange Commission and reflect all adjustments which, in the opinion of management, are considered necessary for a fair presentation of the financial condition and results of operations for the periods presented. All adjustments made were of a normal and recurring nature. Operating results for the three months and nine months ended September 30, 2013 are not necessarily indicative of the results that may be expected for the year ended December 31, 2013. These unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012.
	Bank Owned Life Insurance: The Company has purchased life insurance policies on certain key executives. Bank owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement.
	Adoption of New Accounting Guidance: In February 2013, the FASB amended existing guidance to require an entity to provide information about amounts reclassified out of other comprehensive income by component. In addition, an entity is required to present, either on the face of the income statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under United States generally accepted accounting principles to be reclassified to net income in its entirety in the same reporting period. For all other amounts, an entity is required to cross-reference to other disclosures that provide additional details about these amounts. The guidance is effective for all interim and annual reporting periods beginning after December 15, 2012. The adoption of the guidance did not have a material impact on the Company’s results of operation or financial position.

SECURITIES

SECURITIES	9 Months Ended
	Sep. 30, 2013
Investments, Debt and Equity Securities [Abstract]	'
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]	'
	NOTE 2 - SECURITIES
	The amortized cost, gross unrealized gains and losses and fair value of securities available for sale at September 30, 2013 and December 31, 2012, are as follows (dollars in thousands):
		Amortized		Gross			Gross			Fair
		Cost		Unrealized			Unrealized			Value
				Gains			Losses
	30-Sep-13
	Securities available for sale:
	U.S. Treasury securities	$	1,933	$	—		$	(80	)	$	1,853
	States and political subdivisions		2,920		—			(57	)		2,863
	Asset-backed securities:
	Residential mortgages		10,014		386			(89	)		10,311
	Student loans		2,515		—			(36	)		2,479
	Equity securities		6,000		—			(56	)		5,944
		$	23,382	$	386		$	(318	)	$	23,450
	31-Dec-12
	Securities available for sale:
	U.S. government sponsored agencies	$	1,000	$	5		$	—		$	1,005
	Asset-backed securities:
	Residential mortgages		11,421		608			—			12,029
	Equity security:		6,000		218			—			6,218
		$	18,421	$	831		$	—		$	19,252
	The amortized cost, gross unrecognized gains and losses and fair value of securities held to maturity at September 30, 2013 and December 31, 2012, are as follows (dollars in thousands):
		Amortized		Gross			Gross			Fair
		Cost		Unrealized			Unrealized			Value
				Gains			Losses
	30-Sep-13
	Securities held-to-maturity:
	Asset-backed securities – residential mortgages	$	1,218	$	56		$	—		$	1,274
	31-Dec-12
	Securities held-to-maturity:
	Asset-backed securities – residential mortgages	$	1,985	$	99		$	—		$	2,084
	The amortized cost and fair value of debt securities available for sale and held to maturity at September 30, 2013, by contractual maturity, are shown below (dollars in thousands). Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage-backed securities do not have a specific maturity and are shown separately.
		Available for Sale					Held to Maturity
		Amortized		Fair			Amortized			Fair
		Cost		Value			Cost			Value
	30-Sep-13
	Due in under one year or less	$	1,005	$	1,005		$	—		$	—
	Due after one year through five years		—		—			—			—
	Due after five years through ten years		3,848		3,711			—			—
	Due after ten years		2,515		2,479			—			—
	Asset-backed securities – residential mortgages		10,014		10,311			1,218			1,274
		$	17,382	$	17,506		$	1,218		$	1,274
	There were no sales of available for sale securities for the nine months ended September 30, 2013 and 2012.
	Securities with a carrying value of $231,000 and $322,000 at September 30, 2013 and December 31, 2012, respectively, were pledged to secure public deposits, securities sold under agreements to repurchase and for other purposes as required or permitted by law.
	The following table summarizes securities with unrealized losses at September 30, 2013, aggregated by major security type and length of time in a continuous unrealized loss position (dollars in thousands):
		Less than 12 Months					12 Months or Longer					Total
		Fair		Unrealized			Fair			Unrealized		Fair		Unrealized
		Value		Losses			Value			Losses		Value		Losses
	30-Sep-13
	Available for Sale
	U.S. Treasury securities	$	1,853	$	(80	)	$	—		$	—	$	1,853	$	(80	)
	States and political subdivisions		2,863		(57	)		—			—		2,863		(57	)
	Asset-backed securities –
	Residential mortgages		1,353		(89	)		—			—		1,353		(89	)
	Student loans		2,479		(36	)							2,479		(36	)
	Equity securities		5,944		(56	)		—			—		5,944		(56	)
		$	14,492	$	(318	)	$	—		$	—	$	14,492	$	(318	)
	Unrealized losses on available for sale securities have not been recognized into income because the securities are of high credit quality, management does not intend to sell and it is likely that management will not be required to sell the securities prior to their anticipated recovery, and the decline in fair value is largely due to changes in interest rates. The fair value is expected to recover as the securities approach maturity.
	There were no held to maturity securities in an unrealized loss position at September 30, 2013. There were no securities in an unrealized loss position at December 31, 2012.

LOANS_RECEIVABLE

LOANS RECEIVABLE	9 Months Ended
	Sep. 30, 2013
Receivables [Abstract]	'
Loans, Notes, Trade and Other Receivables Disclosure [Text Block]	'
	NOTE 3 – LOANS RECEIVABLE
	The composition of loans receivable (which excludes loans held for sale) at September 30, 2013 and December 31, 2012 are as follows (dollars in thousands):
			September 30,			December 31,
			2013			2012
	Commercial		$	186,172		$	147,455
	Commercial real estate			672,727			549,218
	Commercial construction			52,371			36,872
	Residential real estate			87,113			82,962
	Home equity			32,275			30,961
	Consumer			1,587			1,801
	Gross loans			1,032,245			849,269
	Unearned net origination fees and costs			(1,175	)		(427	)
	Loans receivable			1,031,070			848,842
	Less: Allowance for loan losses			(14,666	)		(13,246	)
	Nets loans receivable		$	1,016,404		$	835,596
	The portfolio classes in the above table have unique risk characteristics with respect to credit quality:
		Ÿ	The repayment of commercial loans is generally dependent on the creditworthiness and cash flow of borrowers, and if applicable, guarantors, which may be negatively impacted by adverse economic conditions. While the majority of these loans are secured, collateral type, marketing, coverage, valuation and monitoring is not as uniform as in other portfolio classes and recovery from liquidation of such collateral may be subject to greater variability.
		Ÿ	Payment on commercial real estate loans is driven principally by operating results of the managed properties or underlying business and secondarily by the sale or refinance of such properties. Both primary and secondary sources of repayment, and value of the properties in liquidation, may be affected to a greater extent by adverse conditions in the real estate market or the economy in general.
		Ÿ	Properties underlying commercial construction loans often do not generate sufficient cash flows to service debt and thus repayment is subject to the ability of the borrower and, if applicable, guarantors, to complete development or construction of the property and carry the project, often for extended periods of time until the property can be sold. As a result, the performance of these loans is contingent upon future events whose probability at the time of origination is uncertain.
		Ÿ	The ability of borrowers to service debt in the residential, home equity and consumer loan portfolios is generally subject to personal income which may be impacted by general economic conditions, such as increased unemployment levels. These loans are predominately collateralized by first and/or second liens on single family properties. If a borrower cannot maintain the loan, the Company’s ability to recover against the collateral in a sufficient amount and in a timely manner may be significantly influenced by market, legal and regulatory conditions.
	The following table represents the allocation of allowance for loan losses and the related loans by loan portfolio segment disaggregated based on the impairment methodology at September 30, 2013 and December 31, 2012 (dollars in thousands):
			Commercial			Commercial			Commercial			Residential			Home Equity			Consumer			Unallocated			Total
						Real Estate			Construction			Real Estate			Lines of Credit
	30-Sep-13
	Allowance for loan losses:
	Individually evaluated for impairment		$	1,059		$	128		$	—		$	—		$	—		$	—		$	—		$	1,187
	Collectively evaluated for impairment			2,769			7,921			629			1,342			641			36			141			13,479
	Total		$	3,828		$	8,049		$	629		$	1,342		$	641		$	36		$	141		$	14,666
	Loans receivable:
	Individually evaluated for impairment		$	5,893		$	6,163		$	—		$	3,128		$	231		$	—		$	—		$	15,415
	Collectively evaluated for impairment			180,279			666,564			52,371			83,985			32,044			1,587			—			1,016,830
	Total		$	186,172		$	672,727		$	52,371		$	87,113		$	32,275		$	1,587		$	—		$	1,032,245
	31-Dec-12
	Allowance for loan losses:
	Individually evaluated for impairment		$	165		$	1,006		$	27		$	—		$	—		$	—		$	—		$	1,198
	Collectively evaluated for impairment			2,237			6,712			633			1,542			617			41			266			12,048
	Total		$	2,402		$	7,718		$	660		$	1,542		$	617		$	41		$	266		$	13,246
	Loans receivable:
	Individually evaluated for impairment		$	3,124		$	4,697		$	395		$	2,995		$	119		$	—		$	—		$	11,330
	Collectively evaluated for impairment			144,331			544,521			36,477			79,967			30,842			1,801			—			837,939
	Total		$	147,455		$	549,218		$	36,872		$	82,962		$	30,961		$	1,801		$	—		$	849,269
	The following tables present information related to impaired loans by class (dollars in thousands):
			Unpaid			Recorded			Allowance for			Average			Interest			Cash Basis
			Principal			Investment(1)			Loan Losses			Recorded			Income			Interest
			Balance						Allocated			Investment(1)			Recognized			Recognized
	30-Sep-13
	With no related allowance recorded:
	Commercial		$	943		$	823		$	—		$	836		$	21		$	—
	Commercial real estate			4,720			4,385			—			4,511			74			—
	Commercial construction			—			—			—			—			—			—
	Residential real estate			3,646			3,166			—			3,624			43			—
	Home equity lines of credit			233			235			—			237			4			—
	Consumer			—			—			—			—			—			—
				9,542			8,609			—			9,208			142			—
	With an allowance recorded:
	Commercial		$	5,092		$	5,167		$	1,059		$	5,234		$	109		$	60
	Commercial real estate			1,965			2,054			128			2,063			97			—
	Commercial construction			—			—			—			—			—			—
	Residential real estate			—			—			—			—			—			—
	Home equity lines of credit			—			—			—			—			—			—
	Consumer			—			—			—			—			—			—
				7,057			7,221			1,187			7,297			206			60
	Total		$	16,599		$	15,830		$	1,187		$	16,505		$	348		$	60
31-Dec-12
With no related allowance recorded:
Commercial		$	273		$	291		$	—		$	285		$	—		$	—
Commercial real estate			1,705			1,738			—			1,354			46			—
Commercial construction			—			—			—			—			—			—
Residential real estate			2,995			3,196			—			3,047			119			—
Home equity lines of credit			119			125			—			121			7			—
Consumer			—			—			—			—			—			—
			5,092			5,350			—			4,807			172			—
With an allowance recorded:
Commercial		$	2,851		$	2,984		$	165		$	2,895		$	135		$	33
Commercial real estate			2,992			3,206			1,006			3,200			26			—
Commercial construction			395			424			27			414			29			—
Residential real estate			—			—			—			—			—			—
Home equity lines of credit			—			—			—			—			—			—
Consumer			—			—			—			—			—			—
			6,238			6,614			1,198			6,509			190			33
Total		$	11,330		$	11,964		$	1,198		$	11,316		$	362		$	33
	-1	The recorded investment in loans include accrued interest receivable and other capitalized costs such as real estate taxes paid on behalf of the borrower and loan origination fees, net.
The following table presents nonaccrual and loans past due 90 days or greater and still accruing by class of loans (dollars in thousands):
		Nonaccrual						Loans past Due 90 Days
								or Greater Still Accruing
		September 30,			December 31,			September 30,			December 31,
		2013			2012			2013			2012
Commercial		$	3,662		$	3,124		$	—		$	—
Commercial real estate			2,452			2,446			—			—
Commercial construction			—			—			—			—
Residential real estate			2,477			2,369			—			—
Home equity lines of credit			231			—			539			—
Consumer			—			—			—			—
Total		$	8,822		$	7,939		$	539		$	—
The following tables present past due and current loans by the loan portfolio class (dollars in thousands):
		30-59			60-89			90 Days			Total			Current			Total
		Days			Days			or Greater			Past Due						Gross
		Past Due			Past Due			Past Due									Loans
30-Sep-13
Commercial		$	—		$	—		$	817		$	817		$	185,355		$	186,172
Commercial real estate			—			—			2,452			2,452			670,275			672,727
Commercial construction			—			—			—			—			52,371			52,371
Residential real estate			—			638			2,477			3,115			83,998			87,113
Home equity lines of credit			—			—			770			770			31,505			32,275
Consumer			1			—			—			1			1,586			1,587
Total		$	1		$	638		$	6,516		$	7,155		$	1,025,090		$	1,032,245
31-Dec-12
Commercial		$	—		$	—		$	273		$	273		$	147,182		$	147,455
Commercial real estate			—			142			2,446			2,588			546,630			549,218
Commercial construction			—			—			—			—			36,872			36,872
Residential real estate			1,769			—			2,369			4,138			78,824			82,962
Home equity lines of credit			35			—			—			35			30,926			30,961
Consumer			—			—			—			—			1,801			1,801
Total		$	1,804		$	142		$	5,088		$	7,034		$	842,235		$	849,269
There were no troubled debt restructurings that occurred during the quarters ended and the nine months ended September 30, 2013 and 2012. There were no troubled debt restructurings for which there was a payment default within twelve months following the modification during the quarters ended and the nine months ended September 30, 2013 and 2012. A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms.
Credit Quality Indicators
The Bank categorizes loans into risk categories based on relevant information about the quality and realizable value of collateral, if any, and the ability of borrowers to service their debts such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Bank analyzes loans individually by classifying the loans as to credit risk. This analysis is performed whenever a credit is extended, renewed or modified, or when an observable event occurs indicating a potential decline in credit quality, and no less than annually for large balance loans. The Bank used the following definitions for risk ratings:
Special Mention: Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or the Bank’s credit position at some future date.
Substandard: Loans classified as substandard are inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the repayment and liquidation of the debt. They are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. Normal payment from the borrower is in jeopardy, although loss of principal, while still possible, is not imminent.
Doubtful: Loans classified as doubtful have all the weaknesses inherent in those classified as Substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently known facts, conditions, and values, highly questionable and improbable.
The following table presents the risk category of loans by class of loans based on the most recent analysis performed as of September 30, 2013 and December 31, 2012 (dollars in thousands):
					Special
		Pass			Mention			Substandard			Doubtful			Total
30-Sep-13
Commercial		$	165,086		$	14,439		$	6,647		$	—		$	186,172
Commercial real estate			658,854			3,487			10,386			—			672,727
Commercial construction			52,038			—			333			—			52,371
Total		$	875,978		$	17,926		$	17,366		$	—		$	911,270
					Special
		Pass			Mention			Substandard			Doubtful			Total
31-Dec-12
Commercial		$	131,887		$	11,733		$	3,835		$	—		$	147,455
Commercial real estate			529,453			6,602			13,163			—			549,218
Commercial construction			35,985			—			887			—			36,872
Total		$	697,325		$	18,335		$	17,885		$	—		$	733,545
Residential real estate, home equity lines of credit, and consumer loans are not rated. The Company evaluates credit quality of those loans by aging status of the loan and by payment activity, which was previously presented.
The following table presents the activity in the Company’s allowance for loan losses by class of loans (dollars in thousands):
		Commercial			Commercial			Commercial			Residential			Home Equity			Consumer			Unallocated			Total
					Real Estate			Construction			Real Estate			Lines of Credit
Nine Months Ended September 30, 2013:
Allowance for loan losses:
Beginning balance at 1/1/13		$	2,402		$	7,718		$	660		$	1,542		$	617		$	41		$	266		$	13,246
Charge-offs			—			(1,059	)		—			(506	)		(188	)		(3	)		—			(1,756	)
Recoveries			—			—			—			—			—			1			—			1
Provision for loan losses			1,426			1,390			(31	)		306			212			(3	)		(125	)		3,175
Total ending balance		$	3,828		$	8,049		$	629		$	1,342		$	641		$	36		$	141		$	14,666
Nine Months Ended September 30, 2012:
Allowance for loan losses:
Beginning balance at 1/1/12		$	653		$	5,658		$	447		$	2,517		$	339		$	3		$	—		$	9,617
Charge-offs			(224	)		—			(16	)		—			—			—			—			(240	)
Recoveries			—			1			—			—			—			30			—			31
Provision for loan losses			1,157			1,261			87			169			182			(16	)		—			2,840
Total ending balance		$	1,586		$	6,920		$	518		$	2,686		$	521		$	17		$	—		$	12,248
		Commercial			Commercial			Commercial			Residential			Home Equity			Consumer			Unallocated			Total
					Real Estate			Construction			Real Estate			Lines of Credit
Three Months Ended September 30, 2013:
Allowance for loan losses:
Beginning balance at 7/1/13		$	3,244		$	7,549		$	370		$	1,564		$	625		$	33		$	252		$	13,637
Charge-offs			—			—			—			(506	)		(109	)		—			—			(615	)
Recoveries			—			—			—			—			—			1			—			1
Provision for loan losses			584			500			259			284			125			2			(111	)		1,643
Total ending balance		$	3,828		$	8,049		$	629		$	1,342		$	641		$	36		$	141		$	14,666
Three Months Ended September 30, 2012:
Allowance for loan losses:
Beginning balance at 7/1/12		$	2,076		$	6,198		$	925		$	1,707		$	381		$	11		$	—		$	11,298
Charge-offs			—			—			—			—			—			—			—			—
Recoveries			—			—			—			—			—			—			—			—
Provision for loan losses			(490	)		722			(407	)		979			140			6			—			950
Total ending balance		$	1,586		$	6,920		$	518		$	2,686		$	521		$	17		$	—		$	12,248

STOCK_OPTION_PLANS_AND_EQUITY_

STOCK OPTION PLANS AND EQUITY COMPENSATION PLAN	9 Months Ended
	Sep. 30, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	'
	NOTE 4 - STOCK OPTION PLANS AND EQUITY COMPENSATION PLAN
	At September 30, 2013, there were 148,656 shares available for awards under the Company’s equity plans. Awards may be in the form of options, restricted stock or other equity awards. A summary of the stock option activity in the Company’s equity plans for the nine months ended September 30, 2013 are as follows:
		Shares			Weighted		Weighted		Aggregate
					Average		Average		Intrinsic
					Exercised		Remaining		Value
					Price		Contractural
							Term (Years)
	Oustanding at January 1, 2013		300,438		$	12.32
	Granted		—			—
	Exercised		—
	Forfeited		—			—
	Expired		—			—
	Oustanding at September 30, 2013		300,438		$	12.32	$	3.65	$	6,847,345
	Fully vested and expected to vest		300,438		$	12.32	$	3.65	$	6,847,345
	Exercisable at September 30, 2013		286,687		$	12.04	$	3.43	$	6,617,932
	As of September 30, 2013 and December 31, 2012, there was $13,000 and $4,200, respectively, of total unrecognized compensation cost related to nonvested stock options granted under the Company’s plan. The cost is expected to be recognized over a weighted-average period of three months. Aggregate intrinsic value is based on $35.11, which was the closing market price of our common stock at September 30, 2013.
	In conjunction with the Company’s equity plans , the Company granted restricted shares to certain executive officers. Compensation expense is recognized over the vesting period of the awards based on the fair value of the stock at issue date. The fair value of the stock was based on the book value of stock on the date of the award. Generally, grants of restricted shares vest one-third, each, on the first, second and third anniversaries of the grant date.
	A summary of changes in the Company’s nonvested restricted shares for the quarter ended September 30, 2013 is as follows:
		Shares			Weighted-
					Average
					Grant-date
					Fair Value
	Nonvested at December 31, 2012		10,075		$	18.26
	Granted		14,925
	Vested		(4,891	)
	Expired		—
	Nonvested at September 30, 2013		20,109		$	21.92
	As of September 30, 2013, there was $330,000 of total unrecognized compensation cost related to nonvested shares granted under the plans. The cost is expected to be recognized over a weighted average period of 14.5 months. The total fair value of shares vested was $0 and $98,000 for the quarter ended September 30, 2013 and for the first nine months of 2013, respectively.
	On August 7, 2013, the Company granted to various key employees performance unit awards, with each unit entitling the holder to one share of the Company’s common stock contingent upon the Company meeting or exceeding certain return on asset targets over the course of a three-year period commencing July 1, 2013. Under the agreement, and assuming the Company has met or exceeded the applicable targets, grants of performance unit awards will vest one-third, each, on the third, fourth and fifth anniversaries of the grant date. At September 30, 2013, the specific number of performance unit awards that were expected to vest was 68,250, determined by actual performance in consideration of the established range of the performance targets, which is consistent with the level of expense currently being recognized over the vesting period. Should this expectation change, additional compensation expense could be recorded in future periods or previously recognized expense could be reversed. The maximum amount of performance unit awards is 102,375.
	A summary of the status of unearned performance unit awards and the change during the period is presented in the table below:
		Shares			Weighted-
					Average
					Grant-date
					Fair Value
	Unearned at January 1, 2013		—		$	—
	Awarded		68,250			32.35
	Forfeited		—			—
	Expired		—			—
	Unearned at September 30, 2013		68,250		$	32.64
	The company recognized $96,000 in stock-based compensation expenses for services rendered for the nine months ended September 30, 2013. At September 30, 2013, compensation cost of $2,100,000 related to nonvested awards not yet recognized is expected to be recognized over a weighted-average period of 3.8 years.

FAIR_VALUE_MEASUREMENTS_AND_FA

FAIR VALUE MEASUREMENTS AND FAIR VALUE OF FINANCIAL INSTRUMENTS	9 Months Ended
	Sep. 30, 2013
Disclosure Text Block [Abstract]	'
Fair Value, Measurement Inputs, Disclosure [Text Block]	'
	NOTE 5 - FAIR VALUE MEASUREMENTS AND FAIR VALUE OF FINANCIAL INSTRUMENTS
	Management uses its best judgment in estimating the fair value of the Company’s financial instruments; however, there are inherent weaknesses in any estimation technique. The estimated fair value amounts have been measured as of September 30, 2013 and December 31, 2012, and have not been re-evaluated or updated for purposes of these consolidated financial statements subsequent to those respective dates. As such, the estimated fair values of these financial instruments subsequent to the respective reporting dates may be different than the amounts reported at each year end.
	Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values:
	Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.
	Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.
	Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.
	The Company used the following methods and significant assumptions to estimate fair value:
	An asset’s or liability’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement.
	Investment Securities: The fair values for investment securities are determined by quoted market prices, if available (Level 1). For securities where quoted prices are not available, fair values are calculated based on market prices of similar securities (Level 2). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3). Discounted cash flows are calculated using spread to swap and LIBOR curves that are updated to incorporate loss severities, volatility, credit spread and optionality. During times when trading is more liquid, broker quotes are used (if available) to validate the model. Rating agency and industry research reports as well as defaults and deferrals on individual securities are reviewed and incorporated into the calculations.
	Impaired Loans: The fair value of impaired loans with specific allocations of the allowance for loan losses is generally based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value.
	For financial assets measured at fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy used at September 30, 2013 and December 31, 2012 are as follows (dollars in thousands):
	Assets and Liabilities Measured on a Recurring Basis
		Fair Value Measurements Using
		Quoted Prices			Significant			Significant
		in Active			Other			Unobservable
		Markets for			Observable			Inputs
		Identical Assets			Inputs
		(Level 1)			(Level 2)			(Level 3)
	30-Sep-13
	Securities:
	U.S. Treasury securities	$	1,853		$	—		$	—
	States and political subdivisions		—			2,863			—
	Asset-backed securities:
	Residential mortgages		—			10,311			—
	Student loans		—			2,479			—
	Equity securities		—			5,944			—
	31-Dec-12
	Securities:
	U.S. government sponsored agencies	$	—		$	1,005		$	—
	Asset-backed securities:
	Residential mortgages		—			12,029			—
	Equity securities		—			6,218			—
	Assets and Liabilities Measured on a Non-recurring Basis
	Assets measured at fair value on a non-recurring basis are summarized below (dollars in thousands):
		Fair Value Measurements Using
		Quoted Prices			Significant			Significant
		in Active			Other			Unobservable
		Markets for			Observable			Inputs
		Identical Assets			Inputs
		(Level 1)			(Level 2)			(Level 3)
	30-Sep-13
	Impaired loans:
	Commercial real estate	$	—		$	—		$	1,837
	31-Dec-12
	Impaired loans:
	Commercial real estate	$	—		$	—		$	2,354
	As of September 30, 2013, impaired loans, which have a specific reserve and are measured for impairment using the fair value of the collateral, had an unpaid principal balance of $4,196,000 with a valuation allowance of $428,000, resulting in an additional provision for loan losses of $39,000 and $55,000 for the third quarter and first nine months of 2013, respectively.
	As of December 31, 2012, impaired loans, which are measured for impairment using the fair value of the collateral for collateral dependent loans, had an unpaid principal balance of $3,387,000, with a valuation allowance of $1,033,000, resulting in an additional provision for loan losses of $558,000 for the year ended December 31, 2012.
	The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at September 30, 2013 (dollars in thousands):
		Fair Value		Valuation		Unobservable Input(s)	Discount		Weighted
				Technique(s)			Range		Average
	Impaired loans:
	Commercial real estate	$	1,837	Sales comparison		Adjustments for differences between the comparable sales.	5% - 14%		8%
				Income approach		Adjustments for differences in net operating income expectations.	4%		4%
	The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at December 31, 2012 (dollars in thousands):
		Fair Value		Valuation		Unobservable Input(s)	Discount		Weighted
				Technique(s)			Range		Average
	Impaired loans:
	Commercial real estate	$	2,354	Sales comparison		Adjustments for differences between the comparable sales.	10% - 25%		20%
				Income approach		Adjustments for differences in net operating income expectations.	4%		4%
	The carrying value and estimated fair value of financial instruments as of September 30, 2013 and December 31, 2012 are summarized below (dollars in thousands):
					Fair Value Measurements at September 30, 2013 Using
					Quoted Prices			Significant		Significant
in Active					Other			Unobservable
Markets for					Observable			Inputs
Identical Assets					Inputs
	Carrying Value			(Level 1)			(Level 2)		(Level 3)
Financial assets:
Cash and due from banks	$	3,383		$	3,383		$	—	$	—
Interest bearing deposits		46,169			46,169			—		—
Securities available for sale		23,450			1,853			21,597		—
Securities held to maturity		1,218			—			1,274		—
Loans receivable, gross		1,031,070			—			—		1,039,918
Accrued interest receivable		3,704			—			86		3,618
Financial liabilities:
Deposits
Demand, NOW, money market and savings	$	534,786		$	534,786		$	—	$	—
Certificates of deposit		362,949			—			364,396		—
Long-term borrowings		97,816			—			101,911		—
Accrued interest payable		2,750			—			2,750		—
				Fair Value Measurements at December 31, 2012 Using
				Quoted Prices			Significant		Significant
				in Active			Other		Unobservable
				Markets for			Observable		Inputs
				Identical Assets			Inputs
	Carrying Value			(Level 1)			(Level 2)		(Level 3)
Financial assets:
Cash and due from banks	$	3,242		$	3,242		$	—	$	—
Interest bearing deposits		47,387			47,387			—		—
Securities available for sale		19,252			—			19,252		—
Securities held to maturity		1,985			—			2,084		—
Loans held for sale		405			—			414		—
Loans receivable, gross		846,269			—			—		874,438
Accrued interest receivable		3,361			—			68		3,293
Financial liabilities:
Deposits
Demand, NOW, money market and savings	$	505,264		$	505,264		$	—	$	—
Certificates of deposit		264,054			—			277,614		—
Long-term borrowings		79,568			—			81,703		—
Accrued interest payable		2,803			—			2,803		—
The methods and assumptions, not previously presented, used to estimate fair values for the periods ended September 30, 2013 and December 31, 2012, are described as follows:
Cash and due from banks: The carrying amounts of cash and short-term instruments approximate fair values and are classified as Level 1.
Loans: Fair value of loans, excluding loans held for sale, is estimated as follows: For variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values resulting in a Level 3 classification. Fair values for other loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality resulting in a Level 3 classification. Impaired loans are valued at the lower of cost or fair value as described previously.
The methods utilized to estimate the fair value of loans do not necessarily represent an exit price. The fair value of loans held for sale is estimated based upon binding contracts and quotes from third party investors resulting in a Level 2 classification.
Deposits: The fair values disclosed for demand deposits (e.g., interest and non-interest checking, passbook savings, and certain types of money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amount) resulting in a Level 1 classification. The carrying amounts of variable rate, fixed-term money market accounts and certificates of deposit approximate their fair values at the reporting date resulting in a Level 1 classification. Fair values for fixed rate certificates of deposit are estimated using a discounted cash flow calculation that applies interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities on time deposits resulting in a Level 2 classification.
Long-term borrowings: Long-term borrowings consist of Federal Home Loan Bank of New York borrowings which are estimated using a discounted cash flow calculation that applies interest rates currently being offered to a schedule of aggregated expected monthly Federal Home Loan borrowings maturities.
Accrued interest receivable/payable: The carrying amounts of accrued interest approximate the fair value resulting in a Level 1, Level 2 or Level 3 classification.

EARNINGS_PER_SHARE

EARNINGS PER SHARE	9 Months Ended
	Sep. 30, 2013
Earnings Per Share [Abstract]	'
Earnings Per Share [Text Block]	'
	NOTE 6 – EARNINGS PER SHARE
	The factors used in the earnings per share computation follow (in thousands, except per share data):
		Three Months Ended September 30,				Nine Months Ended September 30, 2013
		2013		2012		2013			2012
	Basic:
	Net income available to common stockholders	$	2,587	$	2,197	$	7,420		$	5,763
	Weighted average common shares outstanding		5,011		3,146		4,692			2,547
	Basic earnings per common share	$	0.52	$	0.7	$	1.58		$	2.26
	Diluted:
	Net income available to common stockholders	$	2,587	$	2,197	$	7,420		$	5,763
	Add: Preferred dividends		—		2		—			354
	Net Income	$	2,587	$	2,199	$	7,420		$	6,117
	Weighted average common shares outstanding for basic earnings per common share		5,011		3,146		4,692			2,547
	Add: Dilutive effects of assumed exercises of stock options		146		99		139			89
	Add(Less): Dilutive effects of assumed vesting of performance units		2		—		(2	)		—
	Add: Dilutive effects of assumed conversion of preferred stock		—		11		—			549
	Average shares and dilutive potential common shares		5,159		3,256		4,829			3,185
	Diluted earnings per common share	$	0.5	$	0.68	$	1.54		$	1.92
	There were no stock options that resulted in anti-dilution for the periods presented.

INITIAL_PUBLIC_OFFERING_OF_CON

INITIAL PUBLIC OFFERING OF CONNECTONE BANCORP, INC.	9 Months Ended
	Sep. 30, 2013
Stockholders' Equity Note [Abstract]	'
Stockholders' Equity Note Disclosure [Text Block]	'
	NOTE 7 – INITIAL PUBLIC OFFERING OF CONNECTONE BANCORP, INC.
	On February 11, 2013 , ConnectOne Bancorp, Inc. (“The Company”) priced 1,600,000 common shares in its IPO at $28.00 per share, and on February 12, 2013, ConnectOne Bancorp common shares began trading on the Nasdaq Stock Market (ticker symbol: CNOB). The Company issued a total of 1,840,000 common shares in its IPO, which included 240,000 common shares issued pursuant to the underwriters’ exercise of their option to purchase additional common shares, on February 21, 2013.
	The net proceeds from the IPO were approximately $47.8 million, after deducting the underwriting discount of approximately $3.4 million and approximately $457,000 of expenses.