Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | May 01, 2017 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | First Community Financial Partners, Inc. | |
Entity Central Index Key | 1,469,134 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2017 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 17,814,270 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Entity Current Reporting Status | Yes |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Assets | ||
Cash and due from banks | $ 12,740 | $ 16,225 |
Interest-bearing deposits in banks | 13,494 | 8,548 |
Securities available for sale | 200,758 | 202,198 |
Non-marketable equity securities | 3,067 | 3,297 |
Mortgage loans held for sale | 78 | 1,230 |
Loans held for sale | 0 | 1,085 |
Loans and leases, net of allowance for loan losses of $11,951 in 2017; $11,684 in 2016 | 1,051,881 | 979,934 |
Premises and equipment, net | 21,948 | 22,214 |
Foreclosed assets | 915 | 725 |
Cash surrender value of life insurance | 19,627 | 19,476 |
Deferred tax asset, net | 5,653 | 6,613 |
Accrued interest receivable and other assets | 6,608 | 6,665 |
Total assets | 1,336,769 | 1,268,210 |
Deposits | ||
Noninterest bearing | 261,532 | 247,856 |
Interest bearing | 846,714 | 835,300 |
Total deposits | 1,108,246 | 1,083,156 |
Other borrowed funds | 89,298 | 51,153 |
Subordinated debt | 15,300 | 15,300 |
Accrued interest payable and other liabilities | 3,161 | 4,886 |
Total liabilities | 1,216,005 | 1,154,495 |
Concentrations, Commitments and Contingencies (Note 10) | ||
First Community Financial Partners, Inc. Shareholders’ Equity | ||
Common stock, $1.00 par value; 60,000,000 shares authorized; 17,774,886 issued and outstanding at March 31, 2017 and 17,242,645 issued and outstanding at December 31, 2016 | 17,775 | 17,243 |
Additional paid-in capital | 85,867 | 83,777 |
Retained earnings | 17,313 | 13,907 |
Accumulated other comprehensive loss | (191) | (1,212) |
Total shareholders' equity | 120,764 | 113,715 |
Total liabilities and shareholders' equity | $ 1,336,769 | $ 1,268,210 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Allowance for loan losses | $ 11,951 | $ 11,684 |
Common stock, par or stated value per share (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 60,000,000 | 60,000,000 |
Common stock, shares, issued (in shares) | 17,774,886 | 17,242,645 |
Common stock, shares, outstanding (in shares) | 17,774,886 | 17,242,645 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Interest income: | ||
Loans, including fees | $ 11,032 | $ 8,508 |
Securities | 1,134 | 1,101 |
Federal funds sold and other | 39 | 19 |
Total interest income | 12,205 | 9,628 |
Interest expense: | ||
Deposits | 1,211 | 940 |
Federal funds purchased and other borrowed funds | 69 | 93 |
Subordinated debentures | 297 | 297 |
Total interest expense | 1,577 | 1,330 |
Net interest income | 10,628 | 8,298 |
Provision for loan losses | 375 | 0 |
Net interest income after provision for loan losses | 10,253 | 8,298 |
Noninterest income: | ||
Service charges on deposit accounts | 309 | 204 |
Mortgage fee income | 116 | 78 |
Other | 532 | 273 |
Noninterest income | 957 | 555 |
Noninterest expenses: | ||
Salaries and employee benefits | 4,222 | 3,256 |
Occupancy and equipment expense | 475 | 437 |
Data processing | 420 | 257 |
Professional fees | 734 | 392 |
Advertising and business development | 210 | 215 |
Losses on sale and writedowns of foreclosed assets, net | 0 | 16 |
Foreclosed assets expenses, net of rental income | 19 | 53 |
Other expense | 1,358 | 1,310 |
Noninterest expense | 7,438 | 5,936 |
Income before income taxes | 3,772 | 2,917 |
Income taxes | 366 | 889 |
Net income | $ 3,406 | $ 2,028 |
Common share data | ||
Basic earnings per common share (in dollars per share) | $ 0.19 | $ 0.12 |
Diluted earnings per common share (in dollars per share) | $ 0.19 | $ 0.12 |
Weighted average common shares outstanding for basic earnings per common share (in shares) | 17,533,867 | 17,125,928 |
Weighted average common shares outstanding for diluted earnings per common share (in shares) | 18,213,720 | 17,451,354 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 3,406 | $ 2,028 |
Unrealized holding gains on investment securities | 1,673 | 2,116 |
Tax effect of realized and unrealized gains and losses on investment securities | (652) | (824) |
Other comprehensive income, net of tax | 1,021 | 1,292 |
Comprehensive income | $ 4,427 | $ 3,320 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) |
Balance, beginning of period at Dec. 31, 2015 | $ 103,041 | $ 17,027 | $ 82,211 | $ 2,800 | $ 1,003 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 2,028 | 2,028 | |||
Other comprehensive income, net of tax | 1,292 | 1,292 | |||
Issuance of shares of common stock for restricted stock awards and amortization | (14) | 129 | (143) | ||
Issuance of shares of common stock for exercise of warrants | 8 | 4 | 4 | ||
Reclass of warrants upon redemption of preferred stock, net of amortization | 99 | 16 | 83 | ||
Tax windfall benefit | 88 | 88 | |||
Stock based compensation expense | 248 | 248 | |||
Balance, end of period at Mar. 31, 2016 | 106,790 | 17,176 | 82,491 | 4,828 | 2,295 |
Balance, beginning of period at Dec. 31, 2016 | 113,715 | 17,243 | 83,777 | 13,907 | (1,212) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 3,406 | 3,406 | |||
Other comprehensive income, net of tax | 1,021 | 1,021 | |||
Issuance of shares of common stock for restricted stock awards and amortization | (109) | 124 | (233) | ||
Issuance of shares of common stock for exercise of warrants | 1,892 | 69 | 1,823 | ||
Issuance of 338,901 shares of common stock for exercise of stock options | 511 | 339 | 172 | ||
Stock based compensation expense | 328 | 328 | |||
Balance, end of period at Mar. 31, 2017 | $ 120,764 | $ 17,775 | $ 85,867 | $ 17,313 | $ (191) |
Consolidated Statements of Cha7
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - shares | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Statement of Stockholders' Equity [Abstract] | ||
Issuance of shares of common stock for restricted stock (in shares) | 123,801 | 129,573 |
Issuance of shares of common stock for exercise of warrants (in shares) | 69,539 | 3,730 |
Issuance of shares of common stock for exercises of options (in shares) | 338,901 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest [Abstract] | ||
Net income | $ 3,406 | $ 2,028 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Net amortization of securities | 553 | 539 |
Provision for loan losses | 375 | 0 |
Losses on sales of foreclosed assets | 0 | 16 |
Net accretion of deferred loan fees | 27 | 87 |
Depreciation and amortization of premises and equipment | 297 | 336 |
Increase in cash surrender value of life insurance | (151) | (142) |
Amortization of core deposit intangible | 51 | 0 |
Deferred income taxes | 308 | 793 |
Decrease in mortgage loans held for sale | 1,152 | 267 |
Net decrease in loans held for sale | 1,085 | 0 |
Increase (decrease) in accrued interest receivable and other assets | 6 | (220) |
Increase (decrease) increase in accrued interest payable and other liabilities | 569 | (269) |
Restricted stock compensation expense | 221 | 203 |
Stock option compensation expense | 107 | 45 |
Net cash provided by operating activities | 8,006 | 3,683 |
Cash Flows From Investing Activities | ||
Net change in interest bearing deposits in banks | (4,946) | (23,152) |
Activity in available for sale securities: | ||
Purchases | (780) | 0 |
Maturities, prepayments and calls | 3,340 | 0 |
Sales | 0 | 3,307 |
Purchases of non-marketable equity securities | 230 | 0 |
Net increase in loans | (72,539) | (2,447) |
Purchases of premises and equipment | (31) | (109) |
Proceeds from sale of foreclosed assets | 0 | 240 |
Net cash used in investing activities | (74,726) | (22,161) |
Cash Flows From Financing Activities | ||
Net increase in deposits | 25,090 | 12,989 |
Net increase in other borrowings | 38,145 | 3,922 |
Net cash provided by financing activities | 63,235 | 16,911 |
Net change in cash and due from banks | (3,485) | (1,567) |
Cash and due from banks, beginning of period | 16,225 | 10,699 |
Cash and due from banks, end of period | $ 12,740 | $ 9,132 |
Consolidated Statements of Cas9
Consolidated Statements of Cash Flows (Supplemental Information) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Supplemental Disclosures of Cash Flow Information | ||
Cash payments for interest | $ 1,738 | $ 1,507 |
Supplemental Schedule of Noncash Investing and Financing Activities | ||
Transfer of loans to foreclosed assets | $ 190 | $ 0 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation These are the unaudited consolidated financial statements of First Community Financial Partners, Inc. (“we,” “us,” “our,” the “Company” or “First Community”) and its subsidiaries, including its wholly owned bank subsidiary, First Community Financial Bank (the “Bank”). In the opinion of management, all normal recurring adjustments necessary for a fair presentation of the financial position, results of operations and cash flows for the interim periods have been made. The results of operations for the three months ended March 31, 2017 are not necessarily indicative of the results to be expected for the entire fiscal year or for any other period. These unaudited interim financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) and industry practice. These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Form 10-K for the year ended December 31, 2016 . The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions which affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, as well as the reported amounts of income and expenses during the reported periods. Actual results could differ from those estimates. Certain prior period amounts have been reclassified to conform to current period presentation. These reclassifications did not result in any changes to previously reported net income or shareholders’ equity. Emerging Growth Company Critical Accounting Policy Disclosure The Company qualifies as an “emerging growth company” under the Jumpstart Our Business Startups Act (the “JOBS Act”). Section 107 of the JOBS Act provides that an emerging growth company can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act of 1933 for complying with new or revised accounting standards. As an emerging growth company, the Company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The Company elected to take advantage of the benefits of this extended transition period. Management anticipates that the Company will no longer be considered an emerging growth company, and thus will no longer be eligible to use this extended transition period, after the fiscal year ending December 31, 2018. Certain information in footnote disclosure normally included financial statements prepared in accordance with U.S. GAAP and industry practice has been condensed or omitted pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”). New Accounting Pronouncements In February 2016, the Federal Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842) . The ASU requires a lessee to recognize on the balance sheet assets and liabilities for leases with lease terms of more than 12 months. Consistent with current U.S. GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. Unlike U.S. GAAP, which requires that only capital leases be recognized on the balance sheet, the ASU requires that both types of leases by recognized on the balance sheet. For public companies, this update will be effective for interim and annual periods beginning after December 15, 2018. Early application is permitted. The adoption of this guidance is not expected to have a material impact on the Company’s consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-01, Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities . Among other items, the ASU requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes. For public companies, this update will be effective for interim and annual periods beginning after December 15, 2017. The effect of the adoption of this guidance is being evaluated by the Company. In March 2016, the FASB issued ASU No. 2016-09, which changes several aspects of the accounting for share-based payment award transactions, including: (1) accounting and cash flow classification for excess tax benefits and deficiencies, (2) forfeitures, and (3) tax withholding requirements and cash flow classification. The standard is effective for public business entities in annual and interim periods in fiscal years beginning after December 15, 2016. The Company adopted ASU 2016-09 during the three months ended March 31, 2017. As a result of the adoption, the Company recognized a $936,000 tax benefit in the Consolidated Statements of Operations for the three months ended March 31, 2017. The impact of the income tax benefit related to ASU No. 2016-09 is treated as a discrete item in the calculation of the year-to-date income tax expense. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . The ASU requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forwardlooking information to better inform their credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Additionally, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. For the Company, this update will be effective for interim and annual periods beginning after December 15, 2019. The Company has not yet determined the impact the adoption of ASU 2016-13 will have on its consolidated financial statements. |
Plan of Merger
Plan of Merger | 3 Months Ended |
Mar. 31, 2017 | |
Business Combinations [Abstract] | |
Plan of Merger | Plan of Merger On February 6, 2017, First Community entered into an Agreement and Plan of Merger with First Busey Corporation (“First Busey”), pursuant to which First Community will merge into First Busey, with First Busey as the surviving corporation (the “Merger”). It is anticipated that the Bank will be merged with and into First Busey’s bank subsidiary, Busey Bank, at a date following the completion of the Merger. At the time of the bank merger, the Bank’s banking offices will become branches of Busey Bank. The Merger is anticipated to be completed in mid-2017, and is subject to the satisfaction of customary closing conditions contained in the Agreement and Plan of Merger, including the approval of the appropriate regulatory authorities and the stockholders of First Community. First Busey has received approval of the Merger from the Board of Governors of the Federal Reserve System (the “Federal Reserve”), contingent on First Busey receiving all other regulatory approvals, including approval from the bank regulators of the bank merger. First Community’s special meeting of stockholders to approve the Merger is scheduled for June 7, 2017. More information about the Merger can be found in First Community’s proxy statement for the special meeting filed with the SEC on May 1, 2017, which will be sent to stockholders of First Community. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Earnings per common share is computed using the two-class method. Basic earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding during the applicable period. Diluted earnings per share is computed by dividing net income by the weighted-average number of common shares determined for the basic earnings per common share computation plus the dilutive effect of stock compensation using the treasury stock method. The following table presents a reconciliation of the number of shares used in the calculation of basic and diluted earnings per common share (dollars in thousands, except per share data). Three months ended March 31, 2017 2016 Net income $ 3,406 $ 2,028 Weighted average shares outstanding for basic earnings per common share 17,533,867 17,125,928 Dilutive effect of stock-based compensation and warrants 679,853 325,426 Weighted average shares outstanding for diluted earnings per common share 18,213,720 17,451,354 Basic income per common share $ 0.19 $ 0.12 Diluted income per common share 0.19 0.12 |
Securities Available for Sale
Securities Available for Sale | 3 Months Ended |
Mar. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities Available for Sale | Securities Available for Sale All securities are classified as “available for sale” as the Company intends to hold the securities for an indefinite period of time, but not necessarily to maturity. Securities available for sale are reported at fair value with unrealized gains or losses reported as a separate component of other comprehensive income, net of the related deferred tax effect. Purchase premiums and discounts are recognized in interest income using the interest method over the terms of the securities. The amortized cost and fair value of securities available for sale, with gross unrealized gains and losses, follows (in thousands): March 31, 2017 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Residential collateralized mortgage obligations $ 61,206 $ 116 $ 400 $ 60,922 Residential mortgage backed securities 32,751 73 413 32,411 State and political subdivisions 107,115 1,018 708 107,425 $ 201,072 $ 1,207 $ 1,521 $ 200,758 December 31, 2016 Residential collateralized mortgage obligations $ 62,081 $ 45 $ 709 $ 61,417 Residential mortgage backed securities 33,701 97 557 33,241 State and political subdivisions 108,403 515 1,378 107,540 $ 204,185 $ 657 $ 2,644 $ 202,198 Securities with a fair value of $115.3 million and $121.1 million were pledged as collateral on public funds, securities sold under agreements to repurchase or for other purposes as required or permitted by law as of March 31, 2017 and December 31, 2016 , respectively. The amortized cost and fair value of debt securities available for sale as of March 31, 2017 , by contractual maturity are shown below (in thousands). Maturities may differ from contractual maturities in residential collateralized mortgage obligations and residential mortgage backed securities because the mortgages underlying the securities may be called or repaid without any penalties. Therefore, these securities are segregated in the following maturity summary: Amortized Fair Cost Value Within 1 year $ 4,060 $ 4,082 Over 1 year through 5 years 33,166 33,290 Over 5 years through 10 years 25,012 25,097 Over 10 years 44,877 44,956 Residential collateralized mortgage obligations and mortgage backed securities 93,957 93,333 $ 201,072 $ 200,758 There were no realized gains on the sales of securities during the three months ended March 31, 2017 and 2016 , respectively. There were $89.2 million and $140.9 million in securities with unrealized losses at March 31, 2017 and December 31, 2016 , respectively, and no securities with unrealized losses which management believed were other-than-temporarily impaired. Unrealized losses and fair value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position are summarized as of March 31, 2017 and December 31, 2016 are as follows (in thousands): Less than 12 Months 12 Months or More Total March 31, 2017 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Residential collateralized mortgage obligations $ 33,242 $ 400 $ — $ — $ 33,242 $ 400 Residential mortgage backed securities 19,230 413 — — 19,230 413 State and political subdivisions 36,683 708 — — 36,683 708 $ 89,155 $ 1,521 $ — $ — $ 89,155 $ 1,521 Less than 12 Months 12 Months or More Total December 31, 2016 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Residential collateralized mortgage obligations $ 52,811 $ 709 $ — $ — $ 52,811 $ 709 Residential mortgage backed securities 16,217 557 — — 16,217 557 State and political subdivisions 71,904 1,378 — — 71,904 1,378 $ 140,932 $ 2,644 $ — $ — $ 140,932 $ 2,644 |
Loans and Leases
Loans and Leases | 3 Months Ended |
Mar. 31, 2017 | |
Receivables [Abstract] | |
Loans and Leases | Loans and Leases A summary of the balances of loans follows (in thousands): March 31, 2017 December 31, 2016 Construction and Land Development $ 51,085 $ 47,338 Farmland and Agricultural Production 11,892 12,628 Residential 1-4 Family 181,426 175,978 Multifamily 36,040 36,703 Commercial Real Estate 474,035 425,985 Commercial and Industrial 296,309 281,804 Leases, net 3,381 3,290 Consumer and other 9,852 7,967 1,064,020 991,693 Net deferred loan fees (188 ) (75 ) Allowance for loan losses (11,951 ) (11,684 ) $ 1,051,881 $ 979,934 The following table presents the contractual aging of the recorded investment in past due and non-accrual loans by class of loans as of March 31, 2017 and December 31, 2016 (in thousands): March 31, 2017 Current 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due and Still Accruing Total Accruing Loans Non-accrual Loans Total Loans Construction and Land Development $ 51,085 $ — $ — $ — $ 51,085 $ — $ 51,085 Farmland and Agricultural Production 11,892 — — — 11,892 — 11,892 Residential 1-4 Family 180,756 16 — — 180,772 654 181,426 Multifamily 36,040 — — — 36,040 — 36,040 Commercial Real Estate Retail 100,650 — — — 100,650 3,316 103,966 Office 63,101 — — — 63,101 183 63,284 Industrial and Warehouse 81,355 — — — 81,355 — 81,355 Health Care 29,322 — — — 29,322 — 29,322 Other 191,066 4,411 — — 195,477 631 196,108 Commercial and Industrial 295,298 349 5 — 295,652 657 296,309 Leases, net 3,381 — — — 3,381 — 3,381 Consumer and other 9,783 69 — — 9,852 — 9,852 Total $ 1,053,729 $ 4,845 $ 5 $ — $ 1,058,579 $ 5,441 $ 1,064,020 December 31, 2016 Current 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due and Still Accruing Total Accruing Loans Non-accrual Loans Total Loans Construction and Land Development $ 47,338 $ — $ — $ — $ 47,338 $ — $ 47,338 Farmland and Agricultural Production 12,628 — — — 12,628 — 12,628 Residential 1-4 Family 175,178 27 — — 175,205 773 175,978 Multifamily 36,703 — — — 36,703 — 36,703 Commercial Real Estate Retail 89,525 — — — 89,525 3,525 93,050 Office 62,876 — — — 62,876 — 62,876 Industrial and Warehouse 75,351 — — — 75,351 — 75,351 Health Care 30,232 — — — 30,232 — 30,232 Other 163,732 92 584 — 164,408 68 164,476 Commercial and Industrial 280,282 32 — — 280,314 1,490 281,804 Leases, net 3,290 — — — 3,290 — 3,290 Consumer and other 7,957 10 — — 7,967 — 7,967 Total $ 985,092 $ 161 $ 584 $ — $ 985,837 $ 5,856 $ 991,693 As part of the ongoing monitoring of the credit quality of the Company’s loan portfolio, management categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt and comply with various terms of their loan agreements. The Company considers current financial information, historical payment experience, credit documentation, public information and current economic trends. Generally, all sizable credits receive a financial review no less than annually to monitor and adjust, if necessary, the credit’s risk profile. Credits classified as watch generally receive a review more frequently than annually. For special mention, substandard, and doubtful credit classifications, the frequency of review is increased to no less than quarterly in order to determine potential impact on credit loss estimates. The Company categorizes loans into the following risk categories based on relevant information about the ability of borrowers to service their debt: Pass - A pass asset is well protected by the current worth and paying capacity of the borrower (or guarantors, if any) or by the fair value, less cost to acquire and sell, of any underlying collateral in a timely manner. Pass assets also include certain assets considered watch, which are still protected by the worth and paying capacity of the borrower but deserve closer attention and a higher level of credit monitoring. Special Mention - A special mention asset, or risk rating of 5, has potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the asset or in the Company’s credit position at some future date. Special mention assets are not adversely classified and do not expose the Company to sufficient risk to warrant adverse classification. Substandard - A substandard asset, or risk rating of 6 or 7, is an asset with a well-defined weakness that jeopardizes repayment, in whole or in part, of the debt. These credits are inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged. These assets are characterized by the distinct possibility that the Company will or has sustained some loss of principal and/or interest if the deficiencies are not corrected. Loans rated a 6 are still on accrual status, while loans rated at 7 are placed on nonaccrual. Doubtful - An asset that has all the weaknesses, or risk rating of 8, inherent in the substandard classification, 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. These credits have a high probability for loss, yet because certain important and reasonably specific pending factors may work toward the strengthening of the asset, its classification of loss is deferred until its more exact status can be determined. Loss - An asset, or portion thereof, classified as loss, or risk rated 9, is considered uncollectible and of such little value that its continuance as a bankable asset is not warranted. This classification does not necessarily mean that an asset has no recovery or salvage value but that it is not practical or desirable to defer writing off this basically worthless asset even though a partial recovery may occur in the future. There was no balance to report at March 31, 2017 and December 31, 2016 . Residential 1-4 family, consumer and other loans are assessed for credit quality based on the contractual aging status of the loan and payment activity. In certain cases, based upon payment performance, the loan being related with another commercial type loan or for other reasons, a loan may be categorized into one of the risk categories noted above. Such assessment is completed at the end of each reporting period. The following tables present the risk category of loans evaluated by internal asset classification based on the most recent analysis performed and the contractual aging as of March 31, 2017 and December 31, 2016 (in thousands): March 31, 2017 Pass Special Mention Substandard Doubtful Total Construction and Land Development $ 50,888 $ 197 $ — $ — $ 51,085 Farmland and Agricultural Production 11,892 — — — 11,892 Multifamily 35,400 640 — — 36,040 Commercial Real Estate Retail 92,998 — 9,142 1,826 103,966 Office 59,826 — 3,458 — 63,284 Industrial and Warehouse 80,685 670 — — 81,355 Health Care 29,322 — — — 29,322 Other 188,006 2,699 5,397 6 196,108 Commercial and Industrial 285,409 6,480 3,836 584 296,309 Leases, net 3,381 — — — 3,381 Total $ 837,807 $ 10,686 $ 21,833 $ 2,416 $ 872,742 March 31, 2017 Performing Non-performing (*) Total Residential 1-4 Family $ 180,772 $ 654 $ 181,426 Consumer and other 9,852 — 9,852 Total $ 190,624 $ 654 $ 191,278 December 31, 2016 Pass Special Mention Substandard Doubtful Total Construction and Land Development $ 44,862 $ 2,476 $ — $ — $ 47,338 Farmland and Agricultural Production 12,628 — — — 12,628 Multifamily 35,934 769 — — 36,703 Commercial Real Estate Retail 81,821 — 9,148 2,081 93,050 Office 59,384 — 3,492 — 62,876 Industrial and Warehouse 74,669 682 — — 75,351 Health Care 30,232 — — — 30,232 Other 157,618 2,898 3,953 7 164,476 Commercial and Industrial 274,578 2,321 3,503 1,402 281,804 Lease, net 3,290 — — — 3,290 Total $ 775,016 $ 9,146 $ 20,096 $ 3,490 $ 807,748 December 31, 2016 Performing Non-performing* Total Residential 1-4 Family $ 175,205 $ 773 $ 175,978 Consumer and other 7,967 — 7,967 Total $ 183,172 $ 773 $ 183,945 (*) Non-performing loans include those on non-accrual status and those that are 90 days or more past due and still on accrual. The following table provides additional detail of the activity in the allowance for loan losses, by portfolio segment, for the three months ended March 31, 2017 and 2016 (in thousands): March 31, 2017 Construction and Land Development Farmland and Agricultural Production Residential 1-4 Family Multifamily Commercial Real Estate Commercial and Industrial Leases Consumer and Other Total Allowance for loan losses: Beginning balance $ 1,549 $ 43 $ 948 $ 254 $ 4,496 $ 4,343 $ 17 $ 34 $ 11,684 Provision for loan losses (1,265 ) 7 126 157 1,118 221 1 10 375 Loans charged-off — — (26 ) — (177 ) — — (3 ) (206 ) Recoveries of loans previously charged-off 20 — 5 — 6 66 — 1 98 Ending balance $ 304 $ 50 $ 1,053 $ 411 $ 5,443 $ 4,630 $ 18 $ 42 $ 11,951 March 31, 2016 Allowance for loan losses: Beginning balance $ 813 $ 43 $ 1,370 $ 141 $ 4,892 $ 4,286 $ — $ 196 $ 11,741 Provision for loan losses (449 ) (6 ) (126 ) (15 ) (376 ) 1,054 — (82 ) — Loans charged-off — — (9 ) — — (496 ) — (1 ) (506 ) Recoveries of loans previously charged-off 17 — 27 — 8 48 — — 100 Ending balance $ 381 $ 37 $ 1,262 $ 126 $ 4,524 $ 4,892 $ — $ 113 $ 11,335 The following table presents the balance in the allowance for loan losses and the unpaid principal balance of loans by portfolio segment and based on impairment method as of March 31, 2017 and December 31, 2016 (in thousands): March 31, 2017 Construction and Land Development Farmland and Agricultural Production Residential 1-4 Family Multifamily Commercial Real Estate Commercial and Industrial Leases Consumer and other Total Period-ended amount allocated to: Individually evaluated for impairment $ — $ — $ 29 $ — $ — $ 38 $ — $ — $ 67 Collectively evaluated for impairment 304 50 1,024 411 5,443 4,592 18 42 11,884 Ending balance $ 304 $ 50 $ 1,053 $ 411 $ 5,443 $ 4,630 $ 18 $ 42 $ 11,951 Loans: Individually evaluated for impairment $ — $ — $ 1,161 $ — $ 7,788 $ 2,973 $ — $ — $ 11,922 Collectively evaluated for impairment 51,085 11,892 180,265 36,040 466,247 293,336 3,381 9,852 1,052,098 Ending balance $ 51,085 $ 11,892 $ 181,426 $ 36,040 $ 474,035 $ 296,309 $ 3,381 $ 9,852 $ 1,064,020 December 31, 2016 Period-ended amount allocated to: Individually evaluated for impairment $ — $ — $ 27 $ — $ — $ 417 $ — $ — $ 444 Collectively evaluated for impairment 1,549 43 921 254 4,496 3,926 17 34 11,240 Ending balance $ 1,549 $ 43 $ 948 $ 254 $ 4,496 $ 4,343 $ 17 $ 34 $ 11,684 Loans: Individually evaluated for impairment $ — $ — $ 1,285 $ — $ 7,267 $ 3,912 $ — $ — $ 12,464 Collectively evaluated for impairment 47,338 12,628 174,693 36,703 418,718 277,892 3,290 7,967 979,229 Ending balance $ 47,338 $ 12,628 $ 175,978 $ 36,703 $ 425,985 $ 281,804 $ 3,290 $ 7,967 $ 991,693 The following tables present additional detail regarding impaired loans, segregated by class, as of and for the three months ended March 31, 2017 and the year ended December 31, 2016 (dollars in thousands). The unpaid principal balance represents the recorded balance prior to any partial charge-offs. The recorded investment represents customer balances net of any partial charge-offs recognized on the loans. The interest income recognized column represents all interest income reported after the loan became impaired. March 31, 2017 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized With no related allowance recorded: Residential 1-4 Family $ 743 $ 704 $ — $ 766 $ 1 Commercial Real Estate Retail 3,963 3,316 — 3,420 — Office 183 183 — 92 — Other 4,354 4,289 — 4,016 26 Commercial and Industrial 3,364 2,935 — 2,995 32 With an allowance recorded: Residential 1-4 Family 457 457 29 458 5 Commercial and Industrial 38 38 38 448 — Total $ 13,102 $ 11,922 $ 67 $ 12,195 $ 64 December 31, 2016 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized With no related allowance recorded: Construction and Land Development $ — $ — $ — $ 217 $ — Residential 1-4 Family 865 826 — 1,278 61 Commercial Real Estate Retail 3,995 3,524 — 1,362 — Other 3,808 3,743 — 3,808 127 Commercial and Industrial 4,504 3,054 — 3,532 130 With an allowance recorded: Residential 1-4 Family 459 459 27 463 23 Commercial Real Estate Commercial and Industrial 1,058 858 417 1,319 — Total $ 14,689 $ 12,464 $ 444 $ 11,979 $ 341 During the three months ended March 31, 2017 and 2016, there were no troubled debt restructurings added. Troubled debt restructurings that were accruing were $2.2 million as of March 31, 2017 and December 31, 2016 . Troubled debt restructurings that were non-accruing were $1.9 million and $2.2 million as of March 31, 2017 and December 31, 2016 , respectively. The following presents a rollfoward activity of troubled debt restructurings (in thousands, except number of loans): Three months ended March 31, 2017 Recorded Investment Number of Loans Balance, beginning $ 4,377 7 Additions to troubled debt restructurings — — Removal of troubled debt restructurings — — Charge-off related to troubled debt restructurings (119 ) — Transfers to other real estate owned — — Repayments and other reductions (154 ) — Balance, ending $ 4,104 7 Restructured loans are evaluated for impairment at each reporting date as part of the Company’s determination of the allowance for loan losses. |
Deposits
Deposits | 3 Months Ended |
Mar. 31, 2017 | |
Deposits [Abstract] | |
Deposits | Deposits The composition of interest-bearing deposits was as follows (in thousands): March 31, 2017 December 31, 2016 NOW and money market accounts $ 459,695 $ 443,727 Savings 69,295 64,695 Time deposit certificates of $250,000 or more 82,169 96,421 Time deposit certificates of $100,000 to $250,000 130,491 125,807 Other time deposit certificates 105,064 104,650 $ 846,714 $ 835,300 The composition of brokered deposits included in deposits was as follows (in thousands): March 31, 2017 December 31, 2016 NOW and money market accounts $ 65,048 $ 54,971 Time deposit certificates 31,720 41,169 $ 96,768 $ 96,140 |
Other Borrowed Funds
Other Borrowed Funds | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Other Borrowed Funds | Other Borrowed Funds The composition of other borrowed funds was as follows (in thousands): March 31, 2017 December 31, 2016 Securities sold under agreements to repurchase $ 22,298 $ 24,153 Federal Home Loan Bank Advances Maturity dates, fixed interest rate Matures January 20, 2017, 0.70% — 17,000 Matures January 23, 2017, 0.70% — 10,000 Matures April 3, 2017, 0.75% 12,000 — Matures April 17, 2017, 0.72% 10,000 — Matures April 27, 2017, 0.95% 5,500 — Matures May 11, 2017, 0.96% 3,000 — Matures May 24, 2017, 0.72% 5,000 — Matures May 30, 2017, 0.95% 10,500 — Matures June 7, 2017, 0.96% 15,200 — Matures June 23, 2017, 0.97% 5,800 — Total Federal Home Loan Bank Advances 67,000 27,000 $ 89,298 $ 51,153 Securities sold under agreements to repurchase are agreements in which the Bank acquires funds by selling securities to another party under a simultaneous agreement to repurchase the same securities at a specified price and date. These agreements represent a demand deposit account product to clients that sweep their balances in excess of an agreed upon target amount into overnight repurchase agreements. A collateral pledge agreement exists whereby at all times, the Bank must keep on hand, free of all other pledges, liens, and encumbrances, commercial real estate loans, first mortgage loans, and home equity loans with unpaid principal balances aggregating no less than 133% for first mortgage loans and 200% for home equity loans of the outstanding secured advances from the Federal Home Loan Bank of Chicago (“FHLB”). The Bank had $420.2 million and $409.4 million of loans pledged as collateral for FHLB advances as of March 31, 2017 and December 31, 2016 , respectively. There were $67.0 million and $27.0 million in advances outstanding at March 31, 2017 and December 31, 2016 , respectively. All FHLB borrowings which have matured were repaid on their maturity dates. The Bank has entered into collateral pledge agreements whereby the Bank pledges commercial, commercial real estate, agricultural and consumer loans to the Federal Reserve Bank of Chicago Discount Window which allows the Bank to borrow on a short term basis, typically overnight. The Bank had $212.6 million and $203.7 million of loans pledged as collateral under these agreements as of March 31, 2017 and December 31, 2016 , respectively. There were no borrowings outstanding at March 31, 2017 and December 31, 2016 . |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income tax expense recognized is as follows (in thousands): Three months ended March 31, 2017 2016 Current $ 58 $ 96 Deferred 308 793 $ 366 $ 889 The table below presents a reconciliation of the amount of income taxes determined by applying the U.S. federal income tax rate to pretax income (in thousands): Three months ended March 31, 2017 2016 Federal income tax at statutory rate $ 1,320 $ 1,021 Increase (decrease) due to: Federal tax exempt (215 ) (189 ) State income tax, net of federal benefit 193 149 Benefit of income taxed at lower rate (38 ) (29 ) Tax exempt income (2 ) (6 ) Cash surrender value of life insurance (51 ) (48 ) Excess tax benefit - stock based compensation (936 ) — Other 95 (9 ) $ 366 $ 889 Deferred tax assets and liabilities consist of (in thousands): March 31, 2017 December 31, 2016 Deferred tax assets: Allowance for loan losses $ 4,675 $ 4,570 Merger expenses 178 182 Organization expenses 190 198 Net operating losses 5 5 Contribution carryforward 5 5 Restricted stock 122 362 Non-qualified stock options 525 726 Foreclosed assets 282 282 Other 990 945 6,972 7,275 Deferred tax liabilities: Depreciation (1,156 ) (1,140 ) Core deposit intangible (286 ) (297 ) Unrealized gains on securities available for sale 123 775 (1,319 ) (662 ) Net deferred tax asset $ 5,653 $ 6,613 Under U.S. GAAP, a valuation allowance against a net deferred tax asset is required to be recognized if it is more-likely-than-not that a deferred tax asset will not be realized. The determination of the realizability of the deferred tax asset is highly subjective and dependent upon judgment concerning management’s evaluation of both positive and negative evidence, forecasts of future income, applicable tax planning strategies and assessments of current and future economic and business conditions. As of March 31, 2017 , the Company did not have a valuation allowance against the net deferred tax assets. |
Stock Compensation Plans
Stock Compensation Plans | 3 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Compensation Plans | Stock Compensation Plans The Company maintains the First Community Financial Partners, Inc. Amended and Restated 2008 Equity Incentive Plan (the “2008 Equity Incentive Plan”), which assumed and incorporated all outstanding awards under previously adopted Company equity incentive plans. The 2008 Equity Incentive Plan allowed for the granting of awards including stock options, restricted stock, restricted stock units, stock appreciation rights, stock awards and cash incentive awards. This plan was amended in December 2011 to increase the number of shares authorized for delivery by 1,000,000 shares. As a result, under the 2008 Equity Incentive Plan, 2,430,000 shares of Company common stock were reserved for the granting of awards. On August 15, 2013, the Company adopted the First Community Financial Partners, Inc. 2013 Equity Incentive Plan (the “2013 Equity Incentive Plan”). The 2013 Equity Incentive Plan allowed for the granting of awards including nonqualified stock options, restricted stock, restricted stock units, stock appreciation rights, stock awards and cash incentive awards. This plan was amended in December 2014 to increase the number of shares authorized for delivery by 900,000 shares. As a result, under this plan, 1,000,000 shares of Company common stock were reserved for the granting of awards. On May 19, 2016, the Company adopted the First Community Financial Partners, Inc. 2016 Equity Incentive Plan (the “2016 Equity Incentive Plan”). The 2016 Equity Incentive Plan allows for the grant of awards including nonqualified stock options, incentive stock options, stock appreciation rights, stock awards, and cash incentive awards. This plan allows for a maximum of 2,000,000 shares of the Company common stock have been reserved for the granting of awards. The 2016 Equity Incentive Plan replaced the 2008 Equity Incentive Plan and the 2013 Equity Incentive Plan, and the Company will not make any new award grants under the prior plans. The following table summarizes data concerning stock options (aggregate intrinsic value in thousands): Three months ended, Year ended, March 31, 2017 December 31, 2016 Shares Weighted Average Exercise Price Aggregate Intrinsic Value Shares Weighted Average Exercise Price Aggregate Intrinsic Value Outstanding at beginning of year 1,796,934 $ 7.28 $ 7,942 1,305,504 $ 6.69 $ 1,308 Granted 217,500 11.70 250 539,950 8.68 1,629 Exercised (355,755 ) 6.71 2,159 (48,520 ) 7.12 222 Canceled — — — — — — Expired — — — — — — Forfeited (1,500 ) 10.35 — — — — Outstanding at end of period 1,657,179 $ 7.98 $ 7,992 1,796,934 $ 7.28 $ 7,942 Exercisable at end of period 1,027,679 $ 7.05 $ 7,063 1,238,434 $ 7.05 $ 5,764 The aggregate intrinsic value of a stock option in the table above represents the total pre-tax amount by which the current market value of the underlying stock exceeds the price of the option that would have been received by the option holders had all option holders exercised their options on March 31, 2017 . There was $8.0 million and $7.9 million in intrinsic value of the stock options outstanding at March 31, 2017 and December 31, 2016 . The intrinsic value will change when the market value of the Company’s stock changes. The fair value (present value of the estimated future benefit to the option holder) of each option grant is estimated on the date of grant using the Black-Scholes option pricing model. The Company recognized $107,000 and $45,000 , respectively, of compensation expense related to the stock options for the three months ended March 31, 2017 and 2016. At March 31, 2017 , there was $820,000 in compensation expense to be recognized related to outstanding stock options. Information pertaining to options outstanding at March 31, 2017 is as follows: Exercise Prices Number Outstanding Weighted Average Remaining Life (yrs) Number Exercisable $5.00 229,376 2.29 229,376 $5.20 197,500 7.76 125,000 $5.53 6,000 3.09 6,000 $6.25 25,000 3.53 25,000 $7.24 207,500 8.76 62,500 $7.50 300,300 0.37 300,300 $8.00 4,000 2.46 4,000 $8.58 46,839 9.26 46,839 $9.25 228,664 1.14 228,664 $10.35 194,500 9.63 — $11.70 217,500 9.76 — 1,657,179 1,027,679 217,500 of options vested during the three months ended March 31, 2017 . The Company grants restricted stock units to select officers and directors within the organization under its equity incentive plans, which entitle the holder to receive shares of Company common stock in the future, subject to certain terms, conditions and restrictions. Holders of restricted stock units are also entitled to receive additional units equal in value to any dividends paid with respect to the restricted stock units during the vesting period. Compensation expense for the restricted stock units equals the market price of the related stock at the date of grant and is amortized on a straight-line basis over the vesting period. In January 2015 and 2017, restricted stock units were issued to directors and participants of a long term incentive plan, with certain performance conditions for a minimum of 52,301 shares, and up to a maximum of 131,948 shares. These performance conditions were expected to be met by the end of 2017 and the expense related to these awards was recognized over the year. The Company recognized compensation expense of $221,000 and $203,000 , respectively, for the three months ended March 31, 2017 and 2016 , related to the restricted stock units. Total unrecognized compensation expense related to restricted stock grants was approximately $700,000 as of March 31, 2017 . The following is a summary of nonvested restricted stock units: March 31, 2017 Number of Shares Weighted Average Grant Date Fair Value Nonvested shares, at beginning of year 13,334 $ 5.50 Granted — — Vested — — Canceled — — Forfeited — — Nonvested shares, end of period 13,334 $ 5.50 |
Concentrations, Commitments and
Concentrations, Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Concentrations, Commitments and Contingencies | Concentrations, Commitments and Contingencies Concentrations of credit risk : In addition to financial instruments with off-balance-sheet risk, the Company, to a certain extent, is exposed to varying risks associated with concentrations of credit. Concentrations of credit risk generally exist if a number of borrowers are engaged in similar activities and have similar economic characteristics that would cause their ability to meet contractual obligations to be similarly affected by economic or other conditions. The Company conducts substantially all of its lending activities in Will, Grundy, DuPage, Cook and Kane counties in Illinois and their surrounding communities. Loans granted to businesses are primarily secured by business assets, investment real estate, owner-occupied real estate or personal assets of commercial borrowers. Loans to individuals are primarily secured by personal residences or other personal assets. Since the Company’s borrowers and its loan collateral have geographic concentration in its primary market area, the Company could have exposure to declines in the local economy and real estate market. However, management believes that the diversity of its customer base and local economy, its knowledge of the local market, and its proximity to customers limits the risk of exposure to adverse economic conditions. Credit related financial instruments : 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. Such commitments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the consolidated balance sheets. The Company’s exposure to credit loss is represented by the contractual amount of these commitments. The Company follows the same credit policies in making commitments as it does for on-balance-sheet instruments. A summary of the Company’s commitments is as follows (in thousands): March 31, 2017 December 31, 2016 Commitments to extend credit $ 301,169 $ 262,408 Standby letters of credit 11,556 12,164 Performance letters of credit 2,253 2,253 $ 314,978 $ 276,825 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. Because 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, is based on management’s credit evaluation of the party. 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 and, generally, have terms of one year or less. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Company holds collateral, which may include accounts receivable, inventory, property and equipment or, income producing properties, supporting those commitments if deemed necessary. In the event the customer does not perform in accordance with the terms of the agreement with the third party, the Company would be required to fund the commitment. The maximum potential amount of future payments the Company could be required to make is represented by the contractual amount shown in the summary above. If the commitment were funded, the Company would be entitled to seek recovery from the customer. Contingencies : In the normal course of business, the Company is involved in various legal proceedings. In the opinion of management, any liability resulting from such pending proceedings would not be expected to have a material adverse effect on the Company’s consolidated financial statements. |
Capital and Regulatory Matters
Capital and Regulatory Matters | 3 Months Ended |
Mar. 31, 2017 | |
Regulatory Capital Requirements [Abstract] | |
Capital and Regulatory Matters | Capital and Regulatory Matters The Company and Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s and Bank’s financial results and condition. 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 assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classifications 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. As of March 31, 2017 , the Bank was well capitalized under the regulatory framework for prompt corrective action. Currently, to be categorized as well capitalized, the Bank must maintain minimum total risk-based, Tier I risk-based, common equity tier 1 capital, and Tier 1 leverage ratios as set forth in the following table. Bank regulators can modify capital requirements as part of their examination process. In July 2013, the U.S. federal banking authorities approved the implementation of the Basel III regulatory capital reforms and issued rules effecting certain changes required by the Dodd-Frank Act (the “Basel III Rules”). The Basel III Rules are applicable to all U.S. banks that are subject to minimum capital requirements, as well as to bank and savings and loan holding companies other than “small bank holding companies” (generally non-public bank holding companies with consolidated assets of less than $1 billion ). The Basel III Rules not only increased most of the required minimum regulatory capital ratios, but they introduced a new common equity Tier 1 capital ratio and the concept of a capital conservation buffer. The Basel III Rules also expanded the definition of capital by establishing criteria that instruments must meet to be considered additional Tier 1 capital (Tier 1 capital in addition to common equity) and Tier 2 capital. A number of instruments that generally qualified as Tier 1 capital will not qualify, or their qualifications will change when the Basel III rules are fully implemented. The Basel III Rules also permitted banking organizations with less than $15.0 billion in assets to retain, through a one-time election, the existing treatment for accumulated other comprehensive income, which currently does not affect regulatory capital. The Company made this one time election in the first quarter of 2015. The Basel III Rules have maintained the general structure of the current prompt corrective action framework, while incorporating the increased requirements. The prompt corrective action guidelines were also revised to add the common equity Tier 1 capital ratio. In order to be a “well-capitalized” depository institution under the new regime, a bank and holding company must maintain a common equity Tier 1 capital ratio of 6.5% or more; a Tier 1 capital ratio of 8% or more; a total capital ratio of 10% or more; and a leverage ratio of 5% or more. The Company and Bank became subject to the new Basel III Rules on January 1, 2015, with phase-in periods for many of the changes. Management believes, as of March 31, 2017 and December 31, 2016 , the Company and the Bank met all capital adequacy requirements to which they were subject. As of March 31, 2017 March 31, 2017 December 31, 2016 For Capital Adequacy Purposes With Capital Conservation buffer Regulatory Minimum To Be Well Capitalized under Prompt Corrective Action Provisions Ratio Amount Ratio Amount Ratio Amount Ratio Amount Bank capital ratios: Total capital to risk-weighted assets 12.21 % 140,967 12.77 % 138,772 9.25 % 106,815 10.00 % 115,476 Tier 1 capital to risk weighted assets 11.17 % 129,016 11.69 % 127,088 7.25 % 83,720 8.00 % 92,381 Tier 1 common equity to risk-weighted assets 11.17 % 129,016 11.69 % 127,088 5.75 % 66,399 6.50 % 75,060 Tier 1 leverage to average assets 10.00 % 129,016 10.10 % 127,088 4.00 % 51,582 5.00 % 64,478 Company capital ratios: Total capital to risk-weighted assets 12.68 % 146,738 12.99 % 141,451 9.25 % 94,821 N/A N/A Tier 1 capital to risk weighted assets 10.33 % 119,487 10.51 % 98,276 7.25 % 74,319 N/A N/A Tier 1 common equity to risk-weighted assets 10.33 % 119,487 10.51 % 98,276 5.75 % 58,943 N/A N/A Tier 1 leverage to average assets 9.26 % 119,487 9.10 % 98,276 4.00 % 48,593 N/A N/A Under the Illinois Banking Act, Illinois-chartered banks generally may not pay dividends in excess of their net profits, after first deducting their losses (including any accumulated deficit) and provision for loan losses. The payment of dividends by any bank is affected by the requirement to maintain adequate capital pursuant to applicable capital adequacy guidelines and regulations, and a financial institution generally is prohibited from paying any dividends if, following payment thereof, the institution would be undercapitalized. Moreover, the Federal Deposit Insurance Corporation (“FDIC”) prohibits the payment of any dividends by a bank if the FDIC determines such payment would constitute an unsafe or unsound practice. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements ASC Topic 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability shall not be adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are (i) independent, (ii) knowledgeable, (iii) able to transact and (iv) willing to transact. ASC Topic 820 requires the use of valuation techniques that are consistent with the market approach, the income approach and/or the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets and liabilities. The income approach uses valuation techniques to convert expected future amounts, such as cash flows or earnings, to a single present value amount on a discounted basis. The cost approach is based on the amount that currently would be required to replace the service capacity of an asset (replacement cost). Valuation techniques should be consistently applied. Inputs to valuation techniques refer to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable, meaning those that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources, or unobservable, meaning those that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. In that regard, ASC Topic 820 establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: 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. In general, fair value is based upon quoted market prices, where available. If such quoted market prices are not available, fair value is based upon internally developed models that primarily use, as inputs, observable market-based parameters. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. These adjustments may include amounts to reflect counterparty credit quality, the Company’s creditworthiness, among other things, as well as unobservable parameters. Any such valuation adjustments are applied consistently over time. Our valuation methodologies may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. While management believes the Company’s valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Transfers between levels of the fair value hierarchy are recognized on the actual date of the event or circumstances that caused the transfer, which generally coincides with the Company’s monthly and/or quarterly valuation process. Financial Instruments Recorded at Fair Value on a Recurring Basis Securities Available for Sale: The fair value of the Company’s securities available for sale is determined using Level 2 inputs from independent pricing services. Level 2 inputs consider observable data that may include dealer quotes, market spread, cash flows, treasury yield curve, trading levels, credit information and terms, among other factors. Certain state and political subdivision securities are not valued based on observable transactions and are, therefore, classified as Level 3. Derivatives: The Bank provides clients with interest rate swap transactions and offset the transactions with interest rate swap transactions with another financial institution as a means of providing loan terms agreeable to both parties. The valuation of these instruments is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of each derivative and classified as Level 2. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including LIBOR rate curves. The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis as of March 31, 2017 and December 31, 2016 , segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value (in thousands): March 31, 2017 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets Securities Available for Sale: Residential collateralized mortgage obligations $ 60,922 $ — $ 60,922 $ — Residential mortgage backed securities 32,411 — 32,411 — State and political subdivisions 107,425 — 105,923 1,502 Derivative financial instruments 143 — 143 — Financial Liabilities Derivative financial instruments 143 — 143 — December 31, 2016 Financial Assets Securities Available for Sale: Residential collateralized mortgage obligations $ 61,417 $ — $ 61,417 $ — Residential mortgage backed securities 33,241 — 33,241 — State and political subdivisions 107,540 — 106,036 1,504 Derivative financial instruments 62 — 62 — Financial Liabilities Derivative financial instruments 62 — 62 — The significant unobservable inputs used in the Level 3 fair value measurements of the Company’s state and political subdivisions in the table above primarily relate to the discounted cash flows including the bond’s coupon, yield and expected maturity date. The Company did not have any transfers between Level 1 and Level 2 of the fair value hierarchy during the three months ended March 31, 2017 . The Company’s policy for determining transfers between levels occurs at the end of the reporting period when circumstances in the underlying valuation criteria change and result in transfer between levels. The following tables present additional information about assets and liabilities measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value (in thousands): Fair Value Measurements Using Significant Unobservable Inputs (Level 3) State and political subdivisions Beginning balance, December 31, 2016 $ 1,504 Total gains or losses (realized/unrealized) included in other comprehensive income (2 ) Included in earnings — Purchases — Paydowns and maturities — Transfers in and/or out of Level 3 — Ending balance, March 31, 2017 $ 1,502 Beginning balance, December 31, 2015 $ 1,504 Total gains or losses (realized/unrealized) included in other comprehensive income — Included in earnings — Purchases — Paydowns and maturities — Transfers in and/or out of Level 3 — Ending balance, March 31, 2016 $ 1,504 Financial Instruments Recorded at Fair Value on a Nonrecurring Basis The Company may be required, from time to time, to measure certain assets and liabilities at fair value on a nonrecurring basis in accordance with generally accepted accounting principles. These include assets that are measured at the lower of cost or market that were recognized at fair value below cost at the end of the period. Assets measured at fair value on a nonrecurring basis are set forth below: March 31, 2017 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets Mortgage loans held for sale $ 78 $ — $ — $ 78 Impaired loans 11,855 — — 11,855 Foreclosed assets 915 — — 915 December 31, 2016 Financial Assets Mortgage loans held for sale $ 1,230 $ — $ — $ 1,230 Impaired loans 12,020 — — 12,020 Loans held for sale 1,085 — — 1,085 Foreclosed assets 725 — — 725 The following table presents additional quantitative information about assets measured at fair value on a non-recurring basis for which the Company has utilized Level 3 inputs to determine fair value: Quantitative Information about Level 3 Fair Value Measurements Fair Value Estimate Valuation Techniques Unobservable Input Discount Range Assets March 31, 2017 Mortgage loans held for sale $ 78 Secondary market pricing Selling costs — Impaired loans 11,855 Appraisal of Collateral Appraisal adjustments Selling costs 10% to 25% Foreclosed assets 915 Appraisal of Collateral Selling costs 10.00% December 31, 2016 Mortgage loans held for sale 1,230 Secondary market pricing Selling costs — Impaired loans 12,020 Appraisal of Collateral Appraisal adjustments Selling costs 10% to 25% Loans held for sale 1,085 Appraisal of Collateral Selling costs 10% to 25% Foreclosed assets 725 Appraisal of Collateral Selling costs 10.00% Impaired loans : Impaired loans are evaluated and valued at the time the loan is identified as impaired, at the lower of cost or fair value. Fair value is measured based on the value of the collateral securing these loans and is classified at a Level 3 in the fair value hierarchy. The fair value for an impaired loan is generally determined utilizing appraisals for real estate loans and value guides or consultants for commercial and industrial loans and other loans secured by items such as equipment, inventory, accounts receivable or vehicles. In substantially all instances, a 10% discount is utilized for selling costs which includes broker fees and closing costs. It is our general practice to obtain updated values on impaired loans every twelve to eighteen months. In instances where the appraisal is greater than one year old, an additional discount is considered ranging from 5% to 15% . Any adjustment is based on either comparisons from other recent appraisals obtained by the Company on like properties or using third party resources such as real estate brokers or Reis, Inc., a nationally recognized provider of commercial real estate information including real estate values. As of March 31, 2017 and December 31, 2016 , approximately $4.6 million , or 38% , and $3.1 million , or 32% , of impaired loans were evaluated for impairment using appraisals performed within twelve months of these dates, respectively. Loans Held for Sale: The fair value of loans held for sale is determined using quoted secondary market prices and classified as Level 2. Foreclosed assets : Foreclosed assets upon initial recognition are measured and reported at fair value through a charge-off to the allowance for loan losses based upon the fair value of the foreclosed asset. Fair values are generally based on third party appraisals of the property resulting in Level 3 classification. The appraised value is discounted by 10% for estimated selling costs which includes broker fees and closing costs and appraisals are obtained annually. Disclosures about Fair Value of Financial Instruments, requires disclosure of fair value information about financial instruments, whether or not recognized in the balance sheet. Fair value is determined under the framework established by Fair Value Measurements , based upon criteria noted above. Certain financial instruments and all non-financial instruments are excluded from the disclosure requirements. Accordingly, the aggregate fair value amounts presented may not necessarily represent the underlying fair value at the Company. The methodologies for measuring fair value of financial assets and financial liabilities that are measured at fair value on a recurring or nonrecurring basis are discussed above. The methodologies for other financial assets and financial liabilities are discussed below. The following methods and assumptions were used by the Company in estimating the fair value disclosures of its other financial instruments: Cash and due from banks : The carrying amounts reported in the consolidated balance sheets for cash and due from banks and approximate their fair values. Interest-bearing deposits in banks : The carrying amounts of interest-bearing deposits maturing within one year approximate their fair values. Nonmarketable equity securities : These securities are either redeemable at par or current redemption values; therefore, market value equals cost. Loans : For those variable-rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. The fair values for fixed rate and all other loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers with similar credit quality. Deposits : The fair values disclosed for deposits with no defined maturities are equal to their carrying amounts, which represent the amount payable on demand. The carrying amounts for variable-rate certificates of deposit approximate their fair value at the reporting date. 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. Subordinated debt : The fair values of the Company’s subordinated debt are estimated using discounted cash flows based on the Company’s current incremental borrowing rates for similar types of borrowing arrangements. Other borrowed funds : The carrying amounts of securities sold under repurchase agreements, term notes, revolving lines of credit and mortgage notes payable approximate their fair values. Accrued interest receivable and payable : The carrying amounts of accrued interest approximate their fair values. Off-balance-sheet instruments : Fair values for the Company’s off-balance-sheet lending commitments (standby letters of credit and commitments to extend credit) are based on fees currently charged to enter into similar agreements taking into account the remaining term of the agreements and the counterparties’ credit standing. The fair value of these commitments is not material. The estimated fair values of the Company’s financial instruments are as follows as of March 31, 2017 (in thousands): Carrying Amount Estimated Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial assets: Cash and due from banks $ 12,740 $ 12,740 $ 12,740 $ — $ — Interest-bearing deposits in banks 13,494 13,494 13,494 — — Securities available for sale 200,758 200,758 — 199,256 1,502 Nonmarketable equity securities 3,067 3,067 — — 3,067 Mortgage loans held for sale 78 78 — — 78 Loans, net 1,051,881 1,049,702 — — 1,049,702 Accrued interest receivable 3,543 3,543 3,543 — — Derivative financial instruments 143 143 — 143 — Financial liabilities: Non-interest bearing deposits 261,532 261,532 261,532 — — Interest-bearing deposits 846,714 847,449 528,990 — 318,459 Other borrowed funds 89,298 89,133 89,133 — — Subordinated debt 15,300 16,185 — — 16,185 Accrued interest payable 405 405 405 — — Derivative financial instruments 143 143 — 143 — The estimated fair values of the Company’s financial instruments are as follows as of December 31, 2016 (in thousands): Carrying Amount Estimated Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial assets: Cash and due from banks $ 16,255 $ 16,255 $ 16,255 $ — $ — Interest-bearing deposits in banks 8,548 8,548 8,548 — — Securities available for sale 202,198 202,198 — 200,694 1,504 Nonmarketable equity securities 3,297 3,297 — — 3,297 Mortgage loans held for sale 1,230 1,230 — — 1,230 Loans held for sale 1,085 1,085 — — 1,085 Loans, net 979,934 980,290 — — 980,290 Accrued interest receivable 3,521 3,521 3,521 — — Derivative financial instruments 62 62 — 62 — Financial liabilities: Non-interest bearing deposits 247,856 247,856 247,856 — — Interest-bearing deposits 835,300 836,103 508,422 — 327,681 Other borrowed funds 51,153 51,110 — — 51,110 Subordinated debt 15,300 16,182 — — 16,182 Accrued interest payable 566 566 566 — — Derivative financial instruments 62 62 — 62 — |
Derivatives and Hedging Activit
Derivatives and Hedging Activities | 3 Months Ended |
Mar. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging Activities | Derivatives and Hedging Activities Derivative contracts entered into by the Bank are limited to those that do not qualify for hedge accounting treatment. The Bank provides clients with interest rate swap transactions and offsets the transactions with interest rate swap transactions with another financial institution as a means of providing loan terms agreeable to both parties. As of March 31, 2017 and December 31, 2016 , there were $26.8 million and $1.2 million , respectively, outstanding notional values of swaps where the Bank receives a variable rate of interest and the client receives a fixed rate of interest. This is offset with counterparty contracts where the Bank pays a floating rate of interest and receives a fixed rate of interest. The estimated fair value of interest rate swaps was $143,000 and $62,000 as of March 31, 2017 and December 31, 2016 , respectively, and was recorded gross as an asset and a liability. Swaps with clients and third-party financial institutions are carried at fair value with adjustments recorded in other income. The gross amount of the adjustments to the income statement were $81,000 and $0 during the three months ended March 31, 2017 and March 31, 2016 , respectively. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Emerging Growth Company Critical Accounting Policy Disclosure | Emerging Growth Company Critical Accounting Policy Disclosure The Company qualifies as an “emerging growth company” under the Jumpstart Our Business Startups Act (the “JOBS Act”). Section 107 of the JOBS Act provides that an emerging growth company can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act of 1933 for complying with new or revised accounting standards. As an emerging growth company, the Company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The Company elected to take advantage of the benefits of this extended transition period. Management anticipates that the Company will no longer be considered an emerging growth company, and thus will no longer be eligible to use this extended transition period, after the fiscal year ending December 31, 2018. |
New Accounting Pronouncements | New Accounting Pronouncements In February 2016, the Federal Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842) . The ASU requires a lessee to recognize on the balance sheet assets and liabilities for leases with lease terms of more than 12 months. Consistent with current U.S. GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. Unlike U.S. GAAP, which requires that only capital leases be recognized on the balance sheet, the ASU requires that both types of leases by recognized on the balance sheet. For public companies, this update will be effective for interim and annual periods beginning after December 15, 2018. Early application is permitted. The adoption of this guidance is not expected to have a material impact on the Company’s consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-01, Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities . Among other items, the ASU requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes. For public companies, this update will be effective for interim and annual periods beginning after December 15, 2017. The effect of the adoption of this guidance is being evaluated by the Company. In March 2016, the FASB issued ASU No. 2016-09, which changes several aspects of the accounting for share-based payment award transactions, including: (1) accounting and cash flow classification for excess tax benefits and deficiencies, (2) forfeitures, and (3) tax withholding requirements and cash flow classification. The standard is effective for public business entities in annual and interim periods in fiscal years beginning after December 15, 2016. The Company adopted ASU 2016-09 during the three months ended March 31, 2017. As a result of the adoption, the Company recognized a $936,000 tax benefit in the Consolidated Statements of Operations for the three months ended March 31, 2017. The impact of the income tax benefit related to ASU No. 2016-09 is treated as a discrete item in the calculation of the year-to-date income tax expense. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . The ASU requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forwardlooking information to better inform their credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Additionally, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. For the Company, this update will be effective for interim and annual periods beginning after December 15, 2019. The Company has not yet determined the impact the adoption of ASU 2016-13 will have on its consolidated financial statements. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Reconciliation of the Number of Shares Used in the Calculation of Basic and Diluted Earnings per Common Share | The following table presents a reconciliation of the number of shares used in the calculation of basic and diluted earnings per common share (dollars in thousands, except per share data). Three months ended March 31, 2017 2016 Net income $ 3,406 $ 2,028 Weighted average shares outstanding for basic earnings per common share 17,533,867 17,125,928 Dilutive effect of stock-based compensation and warrants 679,853 325,426 Weighted average shares outstanding for diluted earnings per common share 18,213,720 17,451,354 Basic income per common share $ 0.19 $ 0.12 Diluted income per common share 0.19 0.12 |
Securities Available for Sale (
Securities Available for Sale (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Amortized Cost and Fair Value of Securities Available for Sale | The amortized cost and fair value of securities available for sale, with gross unrealized gains and losses, follows (in thousands): March 31, 2017 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Residential collateralized mortgage obligations $ 61,206 $ 116 $ 400 $ 60,922 Residential mortgage backed securities 32,751 73 413 32,411 State and political subdivisions 107,115 1,018 708 107,425 $ 201,072 $ 1,207 $ 1,521 $ 200,758 December 31, 2016 Residential collateralized mortgage obligations $ 62,081 $ 45 $ 709 $ 61,417 Residential mortgage backed securities 33,701 97 557 33,241 State and political subdivisions 108,403 515 1,378 107,540 $ 204,185 $ 657 $ 2,644 $ 202,198 |
Securities Segregated by Maturity | Therefore, these securities are segregated in the following maturity summary: Amortized Fair Cost Value Within 1 year $ 4,060 $ 4,082 Over 1 year through 5 years 33,166 33,290 Over 5 years through 10 years 25,012 25,097 Over 10 years 44,877 44,956 Residential collateralized mortgage obligations and mortgage backed securities 93,957 93,333 $ 201,072 $ 200,758 |
Unrealized Losses and Fair Value Aggregated by Investment Category | Unrealized losses and fair value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position are summarized as of March 31, 2017 and December 31, 2016 are as follows (in thousands): Less than 12 Months 12 Months or More Total March 31, 2017 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Residential collateralized mortgage obligations $ 33,242 $ 400 $ — $ — $ 33,242 $ 400 Residential mortgage backed securities 19,230 413 — — 19,230 413 State and political subdivisions 36,683 708 — — 36,683 708 $ 89,155 $ 1,521 $ — $ — $ 89,155 $ 1,521 Less than 12 Months 12 Months or More Total December 31, 2016 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Residential collateralized mortgage obligations $ 52,811 $ 709 $ — $ — $ 52,811 $ 709 Residential mortgage backed securities 16,217 557 — — 16,217 557 State and political subdivisions 71,904 1,378 — — 71,904 1,378 $ 140,932 $ 2,644 $ — $ — $ 140,932 $ 2,644 |
Loans and Leases (Tables)
Loans and Leases (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Receivables [Abstract] | |
Summary of the Balances of Loans | A summary of the balances of loans follows (in thousands): March 31, 2017 December 31, 2016 Construction and Land Development $ 51,085 $ 47,338 Farmland and Agricultural Production 11,892 12,628 Residential 1-4 Family 181,426 175,978 Multifamily 36,040 36,703 Commercial Real Estate 474,035 425,985 Commercial and Industrial 296,309 281,804 Leases, net 3,381 3,290 Consumer and other 9,852 7,967 1,064,020 991,693 Net deferred loan fees (188 ) (75 ) Allowance for loan losses (11,951 ) (11,684 ) $ 1,051,881 $ 979,934 |
Past Due Financing Receivables | The following tables present the risk category of loans evaluated by internal asset classification based on the most recent analysis performed and the contractual aging as of March 31, 2017 and December 31, 2016 (in thousands): March 31, 2017 Pass Special Mention Substandard Doubtful Total Construction and Land Development $ 50,888 $ 197 $ — $ — $ 51,085 Farmland and Agricultural Production 11,892 — — — 11,892 Multifamily 35,400 640 — — 36,040 Commercial Real Estate Retail 92,998 — 9,142 1,826 103,966 Office 59,826 — 3,458 — 63,284 Industrial and Warehouse 80,685 670 — — 81,355 Health Care 29,322 — — — 29,322 Other 188,006 2,699 5,397 6 196,108 Commercial and Industrial 285,409 6,480 3,836 584 296,309 Leases, net 3,381 — — — 3,381 Total $ 837,807 $ 10,686 $ 21,833 $ 2,416 $ 872,742 March 31, 2017 Performing Non-performing (*) Total Residential 1-4 Family $ 180,772 $ 654 $ 181,426 Consumer and other 9,852 — 9,852 Total $ 190,624 $ 654 $ 191,278 December 31, 2016 Pass Special Mention Substandard Doubtful Total Construction and Land Development $ 44,862 $ 2,476 $ — $ — $ 47,338 Farmland and Agricultural Production 12,628 — — — 12,628 Multifamily 35,934 769 — — 36,703 Commercial Real Estate Retail 81,821 — 9,148 2,081 93,050 Office 59,384 — 3,492 — 62,876 Industrial and Warehouse 74,669 682 — — 75,351 Health Care 30,232 — — — 30,232 Other 157,618 2,898 3,953 7 164,476 Commercial and Industrial 274,578 2,321 3,503 1,402 281,804 Lease, net 3,290 — — — 3,290 Total $ 775,016 $ 9,146 $ 20,096 $ 3,490 $ 807,748 December 31, 2016 Performing Non-performing* Total Residential 1-4 Family $ 175,205 $ 773 $ 175,978 Consumer and other 7,967 — 7,967 Total $ 183,172 $ 773 $ 183,945 (*) Non-performing loans include those on non-accrual status and those that are 90 days or more past due and still on accrual. The following table presents the contractual aging of the recorded investment in past due and non-accrual loans by class of loans as of March 31, 2017 and December 31, 2016 (in thousands): March 31, 2017 Current 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due and Still Accruing Total Accruing Loans Non-accrual Loans Total Loans Construction and Land Development $ 51,085 $ — $ — $ — $ 51,085 $ — $ 51,085 Farmland and Agricultural Production 11,892 — — — 11,892 — 11,892 Residential 1-4 Family 180,756 16 — — 180,772 654 181,426 Multifamily 36,040 — — — 36,040 — 36,040 Commercial Real Estate Retail 100,650 — — — 100,650 3,316 103,966 Office 63,101 — — — 63,101 183 63,284 Industrial and Warehouse 81,355 — — — 81,355 — 81,355 Health Care 29,322 — — — 29,322 — 29,322 Other 191,066 4,411 — — 195,477 631 196,108 Commercial and Industrial 295,298 349 5 — 295,652 657 296,309 Leases, net 3,381 — — — 3,381 — 3,381 Consumer and other 9,783 69 — — 9,852 — 9,852 Total $ 1,053,729 $ 4,845 $ 5 $ — $ 1,058,579 $ 5,441 $ 1,064,020 December 31, 2016 Current 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due and Still Accruing Total Accruing Loans Non-accrual Loans Total Loans Construction and Land Development $ 47,338 $ — $ — $ — $ 47,338 $ — $ 47,338 Farmland and Agricultural Production 12,628 — — — 12,628 — 12,628 Residential 1-4 Family 175,178 27 — — 175,205 773 175,978 Multifamily 36,703 — — — 36,703 — 36,703 Commercial Real Estate Retail 89,525 — — — 89,525 3,525 93,050 Office 62,876 — — — 62,876 — 62,876 Industrial and Warehouse 75,351 — — — 75,351 — 75,351 Health Care 30,232 — — — 30,232 — 30,232 Other 163,732 92 584 — 164,408 68 164,476 Commercial and Industrial 280,282 32 — — 280,314 1,490 281,804 Leases, net 3,290 — — — 3,290 — 3,290 Consumer and other 7,957 10 — — 7,967 — 7,967 Total $ 985,092 $ 161 $ 584 $ — $ 985,837 $ 5,856 $ 991,693 |
Allowance for Loan Losses by Portfolio Segment | The following table presents the balance in the allowance for loan losses and the unpaid principal balance of loans by portfolio segment and based on impairment method as of March 31, 2017 and December 31, 2016 (in thousands): March 31, 2017 Construction and Land Development Farmland and Agricultural Production Residential 1-4 Family Multifamily Commercial Real Estate Commercial and Industrial Leases Consumer and other Total Period-ended amount allocated to: Individually evaluated for impairment $ — $ — $ 29 $ — $ — $ 38 $ — $ — $ 67 Collectively evaluated for impairment 304 50 1,024 411 5,443 4,592 18 42 11,884 Ending balance $ 304 $ 50 $ 1,053 $ 411 $ 5,443 $ 4,630 $ 18 $ 42 $ 11,951 Loans: Individually evaluated for impairment $ — $ — $ 1,161 $ — $ 7,788 $ 2,973 $ — $ — $ 11,922 Collectively evaluated for impairment 51,085 11,892 180,265 36,040 466,247 293,336 3,381 9,852 1,052,098 Ending balance $ 51,085 $ 11,892 $ 181,426 $ 36,040 $ 474,035 $ 296,309 $ 3,381 $ 9,852 $ 1,064,020 December 31, 2016 Period-ended amount allocated to: Individually evaluated for impairment $ — $ — $ 27 $ — $ — $ 417 $ — $ — $ 444 Collectively evaluated for impairment 1,549 43 921 254 4,496 3,926 17 34 11,240 Ending balance $ 1,549 $ 43 $ 948 $ 254 $ 4,496 $ 4,343 $ 17 $ 34 $ 11,684 Loans: Individually evaluated for impairment $ — $ — $ 1,285 $ — $ 7,267 $ 3,912 $ — $ — $ 12,464 Collectively evaluated for impairment 47,338 12,628 174,693 36,703 418,718 277,892 3,290 7,967 979,229 Ending balance $ 47,338 $ 12,628 $ 175,978 $ 36,703 $ 425,985 $ 281,804 $ 3,290 $ 7,967 $ 991,693 The following table provides additional detail of the activity in the allowance for loan losses, by portfolio segment, for the three months ended March 31, 2017 and 2016 (in thousands): March 31, 2017 Construction and Land Development Farmland and Agricultural Production Residential 1-4 Family Multifamily Commercial Real Estate Commercial and Industrial Leases Consumer and Other Total Allowance for loan losses: Beginning balance $ 1,549 $ 43 $ 948 $ 254 $ 4,496 $ 4,343 $ 17 $ 34 $ 11,684 Provision for loan losses (1,265 ) 7 126 157 1,118 221 1 10 375 Loans charged-off — — (26 ) — (177 ) — — (3 ) (206 ) Recoveries of loans previously charged-off 20 — 5 — 6 66 — 1 98 Ending balance $ 304 $ 50 $ 1,053 $ 411 $ 5,443 $ 4,630 $ 18 $ 42 $ 11,951 March 31, 2016 Allowance for loan losses: Beginning balance $ 813 $ 43 $ 1,370 $ 141 $ 4,892 $ 4,286 $ — $ 196 $ 11,741 Provision for loan losses (449 ) (6 ) (126 ) (15 ) (376 ) 1,054 — (82 ) — Loans charged-off — — (9 ) — — (496 ) — (1 ) (506 ) Recoveries of loans previously charged-off 17 — 27 — 8 48 — — 100 Ending balance $ 381 $ 37 $ 1,262 $ 126 $ 4,524 $ 4,892 $ — $ 113 $ 11,335 |
Impaired Financing Receivables | The following tables present additional detail regarding impaired loans, segregated by class, as of and for the three months ended March 31, 2017 and the year ended December 31, 2016 (dollars in thousands). The unpaid principal balance represents the recorded balance prior to any partial charge-offs. The recorded investment represents customer balances net of any partial charge-offs recognized on the loans. The interest income recognized column represents all interest income reported after the loan became impaired. March 31, 2017 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized With no related allowance recorded: Residential 1-4 Family $ 743 $ 704 $ — $ 766 $ 1 Commercial Real Estate Retail 3,963 3,316 — 3,420 — Office 183 183 — 92 — Other 4,354 4,289 — 4,016 26 Commercial and Industrial 3,364 2,935 — 2,995 32 With an allowance recorded: Residential 1-4 Family 457 457 29 458 5 Commercial and Industrial 38 38 38 448 — Total $ 13,102 $ 11,922 $ 67 $ 12,195 $ 64 December 31, 2016 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized With no related allowance recorded: Construction and Land Development $ — $ — $ — $ 217 $ — Residential 1-4 Family 865 826 — 1,278 61 Commercial Real Estate Retail 3,995 3,524 — 1,362 — Other 3,808 3,743 — 3,808 127 Commercial and Industrial 4,504 3,054 — 3,532 130 With an allowance recorded: Residential 1-4 Family 459 459 27 463 23 Commercial Real Estate Commercial and Industrial 1,058 858 417 1,319 — Total $ 14,689 $ 12,464 $ 444 $ 11,979 $ 341 |
Roll Forward Activity of Troubled Debt Restructuring Loans | The following presents a rollfoward activity of troubled debt restructurings (in thousands, except number of loans): Three months ended March 31, 2017 Recorded Investment Number of Loans Balance, beginning $ 4,377 7 Additions to troubled debt restructurings — — Removal of troubled debt restructurings — — Charge-off related to troubled debt restructurings (119 ) — Transfers to other real estate owned — — Repayments and other reductions (154 ) — Balance, ending $ 4,104 7 |
Deposits (Tables)
Deposits (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Deposits [Abstract] | |
Composition of Interest-bearing Deposits | The composition of interest-bearing deposits was as follows (in thousands): March 31, 2017 December 31, 2016 NOW and money market accounts $ 459,695 $ 443,727 Savings 69,295 64,695 Time deposit certificates of $250,000 or more 82,169 96,421 Time deposit certificates of $100,000 to $250,000 130,491 125,807 Other time deposit certificates 105,064 104,650 $ 846,714 $ 835,300 |
Composition of Brokered Deposits | The composition of brokered deposits included in deposits was as follows (in thousands): March 31, 2017 December 31, 2016 NOW and money market accounts $ 65,048 $ 54,971 Time deposit certificates 31,720 41,169 $ 96,768 $ 96,140 |
Other Borrowed Funds (Tables)
Other Borrowed Funds (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Other Borrowed Funds | The composition of other borrowed funds was as follows (in thousands): March 31, 2017 December 31, 2016 Securities sold under agreements to repurchase $ 22,298 $ 24,153 Federal Home Loan Bank Advances Maturity dates, fixed interest rate Matures January 20, 2017, 0.70% — 17,000 Matures January 23, 2017, 0.70% — 10,000 Matures April 3, 2017, 0.75% 12,000 — Matures April 17, 2017, 0.72% 10,000 — Matures April 27, 2017, 0.95% 5,500 — Matures May 11, 2017, 0.96% 3,000 — Matures May 24, 2017, 0.72% 5,000 — Matures May 30, 2017, 0.95% 10,500 — Matures June 7, 2017, 0.96% 15,200 — Matures June 23, 2017, 0.97% 5,800 — Total Federal Home Loan Bank Advances 67,000 27,000 $ 89,298 $ 51,153 |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense Recognized | Income tax expense recognized is as follows (in thousands): Three months ended March 31, 2017 2016 Current $ 58 $ 96 Deferred 308 793 $ 366 $ 889 |
Schedule of Effective Income Tax Rate Reconciliation | The table below presents a reconciliation of the amount of income taxes determined by applying the U.S. federal income tax rate to pretax income (in thousands): Three months ended March 31, 2017 2016 Federal income tax at statutory rate $ 1,320 $ 1,021 Increase (decrease) due to: Federal tax exempt (215 ) (189 ) State income tax, net of federal benefit 193 149 Benefit of income taxed at lower rate (38 ) (29 ) Tax exempt income (2 ) (6 ) Cash surrender value of life insurance (51 ) (48 ) Excess tax benefit - stock based compensation (936 ) — Other 95 (9 ) $ 366 $ 889 |
Schedule of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities consist of (in thousands): March 31, 2017 December 31, 2016 Deferred tax assets: Allowance for loan losses $ 4,675 $ 4,570 Merger expenses 178 182 Organization expenses 190 198 Net operating losses 5 5 Contribution carryforward 5 5 Restricted stock 122 362 Non-qualified stock options 525 726 Foreclosed assets 282 282 Other 990 945 6,972 7,275 Deferred tax liabilities: Depreciation (1,156 ) (1,140 ) Core deposit intangible (286 ) (297 ) Unrealized gains on securities available for sale 123 775 (1,319 ) (662 ) Net deferred tax asset $ 5,653 $ 6,613 |
Stock Compensation Plans (Table
Stock Compensation Plans (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summarized Data Concerning Stock Options | The following table summarizes data concerning stock options (aggregate intrinsic value in thousands): Three months ended, Year ended, March 31, 2017 December 31, 2016 Shares Weighted Average Exercise Price Aggregate Intrinsic Value Shares Weighted Average Exercise Price Aggregate Intrinsic Value Outstanding at beginning of year 1,796,934 $ 7.28 $ 7,942 1,305,504 $ 6.69 $ 1,308 Granted 217,500 11.70 250 539,950 8.68 1,629 Exercised (355,755 ) 6.71 2,159 (48,520 ) 7.12 222 Canceled — — — — — — Expired — — — — — — Forfeited (1,500 ) 10.35 — — — — Outstanding at end of period 1,657,179 $ 7.98 $ 7,992 1,796,934 $ 7.28 $ 7,942 Exercisable at end of period 1,027,679 $ 7.05 $ 7,063 1,238,434 $ 7.05 $ 5,764 |
Information Pertaining to Options Outstanding | Information pertaining to options outstanding at March 31, 2017 is as follows: Exercise Prices Number Outstanding Weighted Average Remaining Life (yrs) Number Exercisable $5.00 229,376 2.29 229,376 $5.20 197,500 7.76 125,000 $5.53 6,000 3.09 6,000 $6.25 25,000 3.53 25,000 $7.24 207,500 8.76 62,500 $7.50 300,300 0.37 300,300 $8.00 4,000 2.46 4,000 $8.58 46,839 9.26 46,839 $9.25 228,664 1.14 228,664 $10.35 194,500 9.63 — $11.70 217,500 9.76 — 1,657,179 1,027,679 |
Schedule of Nonvested Restricted Stock Units Activity | The following is a summary of nonvested restricted stock units: March 31, 2017 Number of Shares Weighted Average Grant Date Fair Value Nonvested shares, at beginning of year 13,334 $ 5.50 Granted — — Vested — — Canceled — — Forfeited — — Nonvested shares, end of period 13,334 $ 5.50 |
Concentrations, Commitments a31
Concentrations, Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Commitments | A summary of the Company’s commitments is as follows (in thousands): March 31, 2017 December 31, 2016 Commitments to extend credit $ 301,169 $ 262,408 Standby letters of credit 11,556 12,164 Performance letters of credit 2,253 2,253 $ 314,978 $ 276,825 |
Capital and Regulatory Matters
Capital and Regulatory Matters (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Regulatory Capital Requirements [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | Management believes, as of March 31, 2017 and December 31, 2016 , the Company and the Bank met all capital adequacy requirements to which they were subject. As of March 31, 2017 March 31, 2017 December 31, 2016 For Capital Adequacy Purposes With Capital Conservation buffer Regulatory Minimum To Be Well Capitalized under Prompt Corrective Action Provisions Ratio Amount Ratio Amount Ratio Amount Ratio Amount Bank capital ratios: Total capital to risk-weighted assets 12.21 % 140,967 12.77 % 138,772 9.25 % 106,815 10.00 % 115,476 Tier 1 capital to risk weighted assets 11.17 % 129,016 11.69 % 127,088 7.25 % 83,720 8.00 % 92,381 Tier 1 common equity to risk-weighted assets 11.17 % 129,016 11.69 % 127,088 5.75 % 66,399 6.50 % 75,060 Tier 1 leverage to average assets 10.00 % 129,016 10.10 % 127,088 4.00 % 51,582 5.00 % 64,478 Company capital ratios: Total capital to risk-weighted assets 12.68 % 146,738 12.99 % 141,451 9.25 % 94,821 N/A N/A Tier 1 capital to risk weighted assets 10.33 % 119,487 10.51 % 98,276 7.25 % 74,319 N/A N/A Tier 1 common equity to risk-weighted assets 10.33 % 119,487 10.51 % 98,276 5.75 % 58,943 N/A N/A Tier 1 leverage to average assets 9.26 % 119,487 9.10 % 98,276 4.00 % 48,593 N/A N/A |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis as of March 31, 2017 and December 31, 2016 , segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value (in thousands): March 31, 2017 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets Securities Available for Sale: Residential collateralized mortgage obligations $ 60,922 $ — $ 60,922 $ — Residential mortgage backed securities 32,411 — 32,411 — State and political subdivisions 107,425 — 105,923 1,502 Derivative financial instruments 143 — 143 — Financial Liabilities Derivative financial instruments 143 — 143 — December 31, 2016 Financial Assets Securities Available for Sale: Residential collateralized mortgage obligations $ 61,417 $ — $ 61,417 $ — Residential mortgage backed securities 33,241 — 33,241 — State and political subdivisions 107,540 — 106,036 1,504 Derivative financial instruments 62 — 62 — Financial Liabilities Derivative financial instruments 62 — 62 — |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The following tables present additional information about assets and liabilities measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value (in thousands): Fair Value Measurements Using Significant Unobservable Inputs (Level 3) State and political subdivisions Beginning balance, December 31, 2016 $ 1,504 Total gains or losses (realized/unrealized) included in other comprehensive income (2 ) Included in earnings — Purchases — Paydowns and maturities — Transfers in and/or out of Level 3 — Ending balance, March 31, 2017 $ 1,502 Beginning balance, December 31, 2015 $ 1,504 Total gains or losses (realized/unrealized) included in other comprehensive income — Included in earnings — Purchases — Paydowns and maturities — Transfers in and/or out of Level 3 — Ending balance, March 31, 2016 $ 1,504 |
Fair Value Measurements, Nonrecurring | Assets measured at fair value on a nonrecurring basis are set forth below: March 31, 2017 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets Mortgage loans held for sale $ 78 $ — $ — $ 78 Impaired loans 11,855 — — 11,855 Foreclosed assets 915 — — 915 December 31, 2016 Financial Assets Mortgage loans held for sale $ 1,230 $ — $ — $ 1,230 Impaired loans 12,020 — — 12,020 Loans held for sale 1,085 — — 1,085 Foreclosed assets 725 — — 725 The following table presents additional quantitative information about assets measured at fair value on a non-recurring basis for which the Company has utilized Level 3 inputs to determine fair value: Quantitative Information about Level 3 Fair Value Measurements Fair Value Estimate Valuation Techniques Unobservable Input Discount Range Assets March 31, 2017 Mortgage loans held for sale $ 78 Secondary market pricing Selling costs — Impaired loans 11,855 Appraisal of Collateral Appraisal adjustments Selling costs 10% to 25% Foreclosed assets 915 Appraisal of Collateral Selling costs 10.00% December 31, 2016 Mortgage loans held for sale 1,230 Secondary market pricing Selling costs — Impaired loans 12,020 Appraisal of Collateral Appraisal adjustments Selling costs 10% to 25% Loans held for sale 1,085 Appraisal of Collateral Selling costs 10% to 25% Foreclosed assets 725 Appraisal of Collateral Selling costs 10.00% |
Fair Value, by Balance Sheet Grouping | The estimated fair values of the Company’s financial instruments are as follows as of March 31, 2017 (in thousands): Carrying Amount Estimated Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial assets: Cash and due from banks $ 12,740 $ 12,740 $ 12,740 $ — $ — Interest-bearing deposits in banks 13,494 13,494 13,494 — — Securities available for sale 200,758 200,758 — 199,256 1,502 Nonmarketable equity securities 3,067 3,067 — — 3,067 Mortgage loans held for sale 78 78 — — 78 Loans, net 1,051,881 1,049,702 — — 1,049,702 Accrued interest receivable 3,543 3,543 3,543 — — Derivative financial instruments 143 143 — 143 — Financial liabilities: Non-interest bearing deposits 261,532 261,532 261,532 — — Interest-bearing deposits 846,714 847,449 528,990 — 318,459 Other borrowed funds 89,298 89,133 89,133 — — Subordinated debt 15,300 16,185 — — 16,185 Accrued interest payable 405 405 405 — — Derivative financial instruments 143 143 — 143 — The estimated fair values of the Company’s financial instruments are as follows as of December 31, 2016 (in thousands): Carrying Amount Estimated Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial assets: Cash and due from banks $ 16,255 $ 16,255 $ 16,255 $ — $ — Interest-bearing deposits in banks 8,548 8,548 8,548 — — Securities available for sale 202,198 202,198 — 200,694 1,504 Nonmarketable equity securities 3,297 3,297 — — 3,297 Mortgage loans held for sale 1,230 1,230 — — 1,230 Loans held for sale 1,085 1,085 — — 1,085 Loans, net 979,934 980,290 — — 980,290 Accrued interest receivable 3,521 3,521 3,521 — — Derivative financial instruments 62 62 — 62 — Financial liabilities: Non-interest bearing deposits 247,856 247,856 247,856 — — Interest-bearing deposits 835,300 836,103 508,422 — 327,681 Other borrowed funds 51,153 51,110 — — 51,110 Subordinated debt 15,300 16,182 — — 16,182 Accrued interest payable 566 566 566 — — Derivative financial instruments 62 62 — 62 — |
Basis of Presentation (Details)
Basis of Presentation (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Accounting Policies [Abstract] | |
Tax benefit | $ 936 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Earnings Per Share [Abstract] | ||
Net income | $ 3,406 | $ 2,028 |
Weighted average common shares outstanding for basic earnings per common share (in shares) | 17,533,867 | 17,125,928 |
Dilutive effect of stock-based compensation and warrants (in shares) | 679,853 | 325,426 |
Weighted average shares outstanding for diluted earnings per common share (in shares) | 18,213,720 | 17,451,354 |
Basic income per common share (in dollars per share) | $ 0.19 | $ 0.12 |
Diluted income per common share (in dollars per share) | $ 0.19 | $ 0.12 |
Securities Available for Sale36
Securities Available for Sale (Schedule of Amortized Cost and Fair Value of Securities Available for Sale) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Available-for-sale Securities, Amortized Cost Basis [Abstract] | ||
Amortized Cost | $ 201,072 | $ 204,185 |
Gross Unrealized Gains | 1,207 | 657 |
Gross Unrealized Losses | 1,521 | 2,644 |
Fair Value | 200,758 | 202,198 |
Residential collateralized mortgage obligations | ||
Available-for-sale Securities, Amortized Cost Basis [Abstract] | ||
Amortized Cost | 61,206 | 62,081 |
Gross Unrealized Gains | 116 | 45 |
Gross Unrealized Losses | 400 | 709 |
Fair Value | 60,922 | 61,417 |
Residential mortgage backed securities | ||
Available-for-sale Securities, Amortized Cost Basis [Abstract] | ||
Amortized Cost | 32,751 | 33,701 |
Gross Unrealized Gains | 73 | 97 |
Gross Unrealized Losses | 413 | 557 |
Fair Value | 32,411 | 33,241 |
State and political subdivisions | ||
Available-for-sale Securities, Amortized Cost Basis [Abstract] | ||
Amortized Cost | 107,115 | 108,403 |
Gross Unrealized Gains | 1,018 | 515 |
Gross Unrealized Losses | 708 | 1,378 |
Fair Value | $ 107,425 | $ 107,540 |
Securities Available for Sale37
Securities Available for Sale (Narrative) (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |||
Securities pledged as collateral | $ 115,300,000 | $ 121,100,000 | |
Gain on sale of securities | 0 | $ 0 | |
Unrealized losses | $ 89,155,000 | $ 140,932,000 |
Securities Available for Sale38
Securities Available for Sale (Securities Segregated by Maturity Dates) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Amortized Cost | ||
Within 1 year | $ 4,060 | |
Over 1 year through 5 years | 33,166 | |
Over 5 years through 10 years | 25,012 | |
Over 10 years | 44,877 | |
Residential collateralized mortgage obligations and mortgage backed securities | 93,957 | |
Amortized Cost | 201,072 | $ 204,185 |
Fair Value | ||
Within 1 year | 4,082 | |
Over 1 year through 5 years | 33,290 | |
Over 5 years through 10 years | 25,097 | |
Over 10 years | 44,956 | |
Residential collateralized mortgage obligations and mortgage backed securities | 93,333 | |
Fair Value | $ 200,758 | $ 202,198 |
Securities Available for Sale39
Securities Available for Sale (Unrealized Losses and Fair Value Aggregated by Investment Category) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | $ 89,155 | $ 140,932 |
Unrealized losses, less than 12 months | 1,521 | 2,644 |
Fair value, 12 months or more | 0 | 0 |
Unrealized losses, 12 months or more | 0 | 0 |
Fair value, total | 89,155 | 140,932 |
Unrealized losses, total | 1,521 | 2,644 |
Residential collateralized mortgage obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 33,242 | 52,811 |
Unrealized losses, less than 12 months | 400 | 709 |
Fair value, 12 months or more | 0 | 0 |
Unrealized losses, 12 months or more | 0 | 0 |
Fair value, total | 33,242 | 52,811 |
Unrealized losses, total | 400 | 709 |
Residential mortgage backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 19,230 | 16,217 |
Unrealized losses, less than 12 months | 413 | 557 |
Fair value, 12 months or more | 0 | 0 |
Unrealized losses, 12 months or more | 0 | 0 |
Fair value, total | 19,230 | 16,217 |
Unrealized losses, total | 413 | 557 |
State and political subdivisions | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 36,683 | 71,904 |
Unrealized losses, less than 12 months | 708 | 1,378 |
Fair value, 12 months or more | 0 | 0 |
Unrealized losses, 12 months or more | 0 | 0 |
Fair value, total | 36,683 | 71,904 |
Unrealized losses, total | $ 708 | $ 1,378 |
Loans and Leases (Balances) (De
Loans and Leases (Balances) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 1,064,020 | $ 991,693 |
Net deferred loan fees | (188) | (75) |
Allowance for loan losses | (11,951) | (11,684) |
Loans, net | 1,051,881 | 979,934 |
Construction and Land Development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 51,085 | 47,338 |
Farmland and Agricultural Production | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 11,892 | 12,628 |
Residential 1-4 Family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 181,426 | 175,978 |
Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 36,040 | 36,703 |
Commercial Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 474,035 | 425,985 |
Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 296,309 | 281,804 |
Leases, net | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 3,381 | 3,290 |
Consumer and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 9,852 | $ 7,967 |
Loans and Leases (Contractual A
Loans and Leases (Contractual Aging of the Recorded Investment in Past Due and Nonaccrual Loans) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | $ 1,058,579 | $ 985,837 |
Non-accrual Loans | 5,441 | 5,856 |
Total Loans | 1,064,020 | 991,693 |
Construction and Land Development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 51,085 | 47,338 |
Non-accrual Loans | 0 | 0 |
Total Loans | 51,085 | 47,338 |
Farmland and Agricultural Production | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 11,892 | 12,628 |
Non-accrual Loans | 0 | 0 |
Total Loans | 11,892 | 12,628 |
Residential 1-4 Family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 180,772 | 175,205 |
Non-accrual Loans | 654 | 773 |
Total Loans | 181,426 | 175,978 |
Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 36,040 | 36,703 |
Non-accrual Loans | 0 | 0 |
Total Loans | 36,040 | 36,703 |
Commercial Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Loans | 474,035 | 425,985 |
Commercial Real Estate | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 100,650 | 89,525 |
Non-accrual Loans | 3,316 | 3,525 |
Total Loans | 103,966 | 93,050 |
Commercial Real Estate | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 63,101 | 62,876 |
Non-accrual Loans | 183 | 0 |
Total Loans | 63,284 | 62,876 |
Commercial Real Estate | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 81,355 | 75,351 |
Non-accrual Loans | 0 | 0 |
Total Loans | 81,355 | 75,351 |
Commercial Real Estate | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 29,322 | 30,232 |
Non-accrual Loans | 0 | 0 |
Total Loans | 29,322 | 30,232 |
Commercial Real Estate | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 195,477 | 164,408 |
Non-accrual Loans | 631 | 68 |
Total Loans | 196,108 | 164,476 |
Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 295,652 | 280,314 |
Non-accrual Loans | 657 | 1,490 |
Total Loans | 296,309 | 281,804 |
Leases, net | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 3,381 | 3,290 |
Non-accrual Loans | 0 | 0 |
Total Loans | 3,381 | 3,290 |
Consumer and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 9,852 | 7,967 |
Non-accrual Loans | 0 | 0 |
Total Loans | 9,852 | 7,967 |
Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 1,053,729 | 985,092 |
Current | Construction and Land Development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 51,085 | 47,338 |
Current | Farmland and Agricultural Production | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 11,892 | 12,628 |
Current | Residential 1-4 Family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 180,756 | 175,178 |
Current | Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 36,040 | 36,703 |
Current | Commercial Real Estate | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 100,650 | 89,525 |
Current | Commercial Real Estate | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 63,101 | 62,876 |
Current | Commercial Real Estate | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 81,355 | 75,351 |
Current | Commercial Real Estate | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 29,322 | 30,232 |
Current | Commercial Real Estate | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 191,066 | 163,732 |
Current | Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 295,298 | 280,282 |
Current | Leases, net | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 3,381 | 3,290 |
Current | Consumer and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 9,783 | 7,957 |
30-59 Days Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 4,845 | 161 |
30-59 Days Past Due | Construction and Land Development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
30-59 Days Past Due | Farmland and Agricultural Production | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
30-59 Days Past Due | Residential 1-4 Family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 16 | 27 |
30-59 Days Past Due | Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
30-59 Days Past Due | Commercial Real Estate | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
30-59 Days Past Due | Commercial Real Estate | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
30-59 Days Past Due | Commercial Real Estate | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
30-59 Days Past Due | Commercial Real Estate | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
30-59 Days Past Due | Commercial Real Estate | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 4,411 | 92 |
30-59 Days Past Due | Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 349 | 32 |
30-59 Days Past Due | Leases, net | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
30-59 Days Past Due | Consumer and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 69 | 10 |
60-89 Days Past Due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 5 | 584 |
60-89 Days Past Due | Construction and Land Development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
60-89 Days Past Due | Farmland and Agricultural Production | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
60-89 Days Past Due | Residential 1-4 Family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
60-89 Days Past Due | Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
60-89 Days Past Due | Commercial Real Estate | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
60-89 Days Past Due | Commercial Real Estate | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
60-89 Days Past Due | Commercial Real Estate | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
60-89 Days Past Due | Commercial Real Estate | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
60-89 Days Past Due | Commercial Real Estate | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 584 |
60-89 Days Past Due | Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 5 | 0 |
60-89 Days Past Due | Leases, net | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
60-89 Days Past Due | Consumer and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Construction and Land Development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Farmland and Agricultural Production | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Residential 1-4 Family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Commercial Real Estate | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Commercial Real Estate | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Commercial Real Estate | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Commercial Real Estate | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Commercial Real Estate | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Leases, net | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | 0 | 0 |
90 Days Past Due and Still Accruing | Consumer and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Accruing Loans | $ 0 | $ 0 |
Loans and Leases (Risk Category
Loans and Leases (Risk Category of Loans Evaluated by Internal Asset Classification) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | $ 872,742 | $ 807,748 |
Financing receivable residential, consumer and other | 191,278 | 183,945 |
Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 837,807 | 775,016 |
Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 10,686 | 9,146 |
Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 21,833 | 20,096 |
Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 2,416 | 3,490 |
Performing | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable residential, consumer and other | 190,624 | 183,172 |
Non-performing() | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable residential, consumer and other | 654 | 773 |
Construction and Land Development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 51,085 | 47,338 |
Construction and Land Development | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 50,888 | 44,862 |
Construction and Land Development | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 197 | 2,476 |
Construction and Land Development | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Construction and Land Development | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Farmland and Agricultural Production | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 11,892 | 12,628 |
Farmland and Agricultural Production | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 11,892 | 12,628 |
Farmland and Agricultural Production | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Farmland and Agricultural Production | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Farmland and Agricultural Production | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 36,040 | 36,703 |
Multifamily | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 35,400 | 35,934 |
Multifamily | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 640 | 769 |
Multifamily | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Multifamily | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Commercial Real Estate | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 103,966 | 93,050 |
Commercial Real Estate | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 63,284 | 62,876 |
Commercial Real Estate | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 81,355 | 75,351 |
Commercial Real Estate | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 29,322 | 30,232 |
Commercial Real Estate | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 196,108 | 164,476 |
Commercial Real Estate | Pass | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 92,998 | 81,821 |
Commercial Real Estate | Pass | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 59,826 | 59,384 |
Commercial Real Estate | Pass | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 80,685 | 74,669 |
Commercial Real Estate | Pass | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 29,322 | 30,232 |
Commercial Real Estate | Pass | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 188,006 | 157,618 |
Commercial Real Estate | Special Mention | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Commercial Real Estate | Special Mention | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Commercial Real Estate | Special Mention | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 670 | 682 |
Commercial Real Estate | Special Mention | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Commercial Real Estate | Special Mention | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 2,699 | 2,898 |
Commercial Real Estate | Substandard | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 9,142 | 9,148 |
Commercial Real Estate | Substandard | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 3,458 | 3,492 |
Commercial Real Estate | Substandard | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Commercial Real Estate | Substandard | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Commercial Real Estate | Substandard | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 5,397 | 3,953 |
Commercial Real Estate | Doubtful | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 1,826 | 2,081 |
Commercial Real Estate | Doubtful | Office | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Commercial Real Estate | Doubtful | Industrial and Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Commercial Real Estate | Doubtful | Health Care | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Commercial Real Estate | Doubtful | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 6 | 7 |
Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 296,309 | 281,804 |
Commercial and Industrial | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 285,409 | 274,578 |
Commercial and Industrial | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 6,480 | 2,321 |
Commercial and Industrial | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 3,836 | 3,503 |
Commercial and Industrial | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 584 | 1,402 |
Residential 1-4 Family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 181,426 | 175,978 |
Residential 1-4 Family | Performing | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 180,772 | 175,205 |
Residential 1-4 Family | Non-performing() | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 654 | 773 |
Leases, net | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 3,381 | 3,290 |
Leases, net | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 3,381 | 3,290 |
Leases, net | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Leases, net | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Leases, net | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 0 | 0 |
Consumer and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 9,852 | 7,967 |
Consumer and other | Performing | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | 9,852 | 7,967 |
Consumer and other | Non-performing() | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable | $ 0 | $ 0 |
Loans and Leases (Activity in t
Loans and Leases (Activity in the Allowance for Loan Losses, by Portfolio Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | $ 11,684 | $ 11,741 |
Provision for loan losses | 375 | 0 |
Loans charged-off | (206) | (506) |
Recoveries of loans previously charged-off | 98 | 100 |
Ending balance | 11,951 | 11,335 |
Leases, net | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | 17 | 0 |
Provision for loan losses | 1 | 0 |
Loans charged-off | 0 | 0 |
Recoveries of loans previously charged-off | 0 | 0 |
Ending balance | 18 | 0 |
Consumer and other | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | 34 | 196 |
Provision for loan losses | 10 | (82) |
Loans charged-off | (3) | (1) |
Recoveries of loans previously charged-off | 1 | 0 |
Ending balance | 42 | 113 |
Construction and Land Development | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | 1,549 | 813 |
Provision for loan losses | (1,265) | (449) |
Loans charged-off | 0 | 0 |
Recoveries of loans previously charged-off | 20 | 17 |
Ending balance | 304 | 381 |
Farmland and Agricultural Production | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | 43 | 43 |
Provision for loan losses | 7 | (6) |
Loans charged-off | 0 | 0 |
Recoveries of loans previously charged-off | 0 | 0 |
Ending balance | 50 | 37 |
Residential 1-4 Family | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | 948 | 1,370 |
Provision for loan losses | 126 | (126) |
Loans charged-off | (26) | (9) |
Recoveries of loans previously charged-off | 5 | 27 |
Ending balance | 1,053 | 1,262 |
Multifamily | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | 254 | 141 |
Provision for loan losses | 157 | (15) |
Loans charged-off | 0 | 0 |
Recoveries of loans previously charged-off | 0 | 0 |
Ending balance | 411 | 126 |
Commercial Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | 4,496 | 4,892 |
Provision for loan losses | 1,118 | (376) |
Loans charged-off | (177) | 0 |
Recoveries of loans previously charged-off | 6 | 8 |
Ending balance | 5,443 | 4,524 |
Commercial and Industrial | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | 4,343 | 4,286 |
Provision for loan losses | 221 | 1,054 |
Loans charged-off | 0 | (496) |
Recoveries of loans previously charged-off | 66 | 48 |
Ending balance | $ 4,630 | $ 4,892 |
Loans and Leases (Balance in th
Loans and Leases (Balance in the Allowance for Loan Losses and the Unpaid Principal Balance of Loans by Portfolio Segment) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Individually evaluated for impairment | $ 67 | $ 444 | ||
Collectively evaluated for impairment | 11,884 | 11,240 | ||
Ending balance | 11,951 | 11,684 | $ 11,335 | $ 11,741 |
Individually evaluated for impairment | 11,922 | 12,464 | ||
Collectively evaluated for impairment | 1,052,098 | 979,229 | ||
Total Loans | 1,064,020 | 991,693 | ||
Construction and Land Development | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 304 | 1,549 | ||
Ending balance | 304 | 1,549 | 381 | 813 |
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 51,085 | 47,338 | ||
Total Loans | 51,085 | 47,338 | ||
Farmland and Agricultural Production | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 50 | 43 | ||
Ending balance | 50 | 43 | 37 | 43 |
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 11,892 | 12,628 | ||
Total Loans | 11,892 | 12,628 | ||
Residential 1-4 Family | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Individually evaluated for impairment | 29 | 27 | ||
Collectively evaluated for impairment | 1,024 | 921 | ||
Ending balance | 1,053 | 948 | 1,262 | 1,370 |
Individually evaluated for impairment | 1,161 | 1,285 | ||
Collectively evaluated for impairment | 180,265 | 174,693 | ||
Total Loans | 181,426 | 175,978 | ||
Multifamily | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 411 | 254 | ||
Ending balance | 411 | 254 | 126 | 141 |
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 36,040 | 36,703 | ||
Total Loans | 36,040 | 36,703 | ||
Commercial Real Estate | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 5,443 | 4,496 | ||
Ending balance | 5,443 | 4,496 | 4,524 | 4,892 |
Individually evaluated for impairment | 7,788 | 7,267 | ||
Collectively evaluated for impairment | 466,247 | 418,718 | ||
Total Loans | 474,035 | 425,985 | ||
Commercial and Industrial | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Individually evaluated for impairment | 38 | 417 | ||
Collectively evaluated for impairment | 4,592 | 3,926 | ||
Ending balance | 4,630 | 4,343 | $ 4,892 | $ 4,286 |
Individually evaluated for impairment | 2,973 | 3,912 | ||
Collectively evaluated for impairment | 293,336 | 277,892 | ||
Total Loans | 296,309 | 281,804 | ||
Leases, net | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 18 | 17 | ||
Ending balance | 18 | 17 | ||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 3,381 | 3,290 | ||
Total Loans | 3,381 | 3,290 | ||
Consumer and other | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 42 | 34 | ||
Ending balance | 42 | 34 | ||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 9,852 | 7,967 | ||
Total Loans | $ 9,852 | $ 7,967 |
Loans and Leases (Additional De
Loans and Leases (Additional Detail of Impaired loans, Segregated by Class) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Unpaid Principal Balance | ||
Total | $ 13,102 | $ 14,689 |
Recorded Investment | ||
Total | 11,922 | 12,464 |
Allowance for Loan Losses Allocated | ||
Total | 67 | 444 |
Average Recorded Investment | ||
Total | 12,195 | 11,979 |
Interest Income Recognized | ||
Total | 64 | 341 |
Commercial and Industrial | ||
Unpaid Principal Balance | ||
With no related allowance recorded: | 3,364 | 4,504 |
With an allowance recorded: | 38 | 1,058 |
Recorded Investment | ||
With no related allowance recorded: | 2,935 | 3,054 |
With an allowance recorded: | 38 | 858 |
Allowance for Loan Losses Allocated | ||
With no related allowance recorded: | 0 | 0 |
With an allowance recorded: | 38 | 417 |
Average Recorded Investment | ||
With no related allowance recorded: | 2,995 | 3,532 |
With an allowance recorded: | 448 | 1,319 |
Interest Income Recognized | ||
With no related allowance recorded: | 32 | 130 |
With an allowance recorded: | 0 | 0 |
Construction and Land Development | ||
Unpaid Principal Balance | ||
With no related allowance recorded: | 0 | |
Recorded Investment | ||
With no related allowance recorded: | 0 | |
Allowance for Loan Losses Allocated | ||
With no related allowance recorded: | 0 | |
Average Recorded Investment | ||
With no related allowance recorded: | 217 | |
Interest Income Recognized | ||
With no related allowance recorded: | 0 | |
Residential 1-4 Family | ||
Unpaid Principal Balance | ||
With no related allowance recorded: | 743 | 865 |
With an allowance recorded: | 457 | 459 |
Recorded Investment | ||
With no related allowance recorded: | 704 | 826 |
With an allowance recorded: | 457 | 459 |
Allowance for Loan Losses Allocated | ||
With no related allowance recorded: | 0 | 0 |
With an allowance recorded: | 29 | 27 |
Average Recorded Investment | ||
With no related allowance recorded: | 766 | 1,278 |
With an allowance recorded: | 458 | 463 |
Interest Income Recognized | ||
With no related allowance recorded: | 1 | 61 |
With an allowance recorded: | 5 | 23 |
Commercial Real Estate | Retail | ||
Unpaid Principal Balance | ||
With no related allowance recorded: | 3,963 | 3,995 |
Recorded Investment | ||
With no related allowance recorded: | 3,316 | 3,524 |
Allowance for Loan Losses Allocated | ||
With no related allowance recorded: | 0 | 0 |
Average Recorded Investment | ||
With no related allowance recorded: | 3,420 | 1,362 |
Interest Income Recognized | ||
With no related allowance recorded: | 0 | 0 |
Commercial Real Estate | Office | ||
Unpaid Principal Balance | ||
With no related allowance recorded: | 183 | |
Recorded Investment | ||
With no related allowance recorded: | 183 | |
Allowance for Loan Losses Allocated | ||
With no related allowance recorded: | 0 | |
Average Recorded Investment | ||
With no related allowance recorded: | 92 | |
Interest Income Recognized | ||
With no related allowance recorded: | 0 | |
Commercial Real Estate | Consumer and other | ||
Unpaid Principal Balance | ||
With no related allowance recorded: | 4,354 | 3,808 |
Recorded Investment | ||
With no related allowance recorded: | 4,289 | 3,743 |
Allowance for Loan Losses Allocated | ||
With no related allowance recorded: | 0 | 0 |
Average Recorded Investment | ||
With no related allowance recorded: | 4,016 | 3,808 |
Interest Income Recognized | ||
With no related allowance recorded: | $ 26 | $ 127 |
Loans and Leases (Unpaid Princi
Loans and Leases (Unpaid Principal Balance of Loans Modified in a Troubled Debt Restructuring) (Details) $ in Millions | 3 Months Ended | |||
Mar. 31, 2017USD ($)loan | Mar. 31, 2017USD ($)contract | Mar. 31, 2016contract | Dec. 31, 2016USD ($) | |
Receivables [Abstract] | ||||
Additions to troubled debt restructurings (in loans) | 0 | 0 | 0 | |
Troubled debt restructuring, accruing | $ 2.2 | $ 2.2 | $ 2.2 | |
Troubled debt restructuring, non-accruing | $ 1.9 | $ 1.9 | $ 2.2 |
Loans and Leases (Rollforward A
Loans and Leases (Rollforward Activity of Troubled Debt Restructurings) (Details) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017USD ($) | Mar. 31, 2017loan | Mar. 31, 2017contract | Mar. 31, 2016contract | |
Financing Receivables Troubled Debt Restructuring, Recorded Investment [Roll Forward] | ||||
Balance, beginning | $ 4,377 | |||
Additions to troubled debt restructurings | 0 | |||
Removal of troubled debt restructurings | 0 | |||
Charge-off related to troubled debt restructurings | (119) | |||
Transfers to other real estate owned | 0 | |||
Repayments and other reductions | (154) | |||
Balance, ending | $ 4,104 | |||
Financing Receivables Troubled Debt Restructuring, Number of Loans [Roll Forward] | ||||
Balance, beginning (in loans) | loan | 7 | |||
Additions to troubled debt restructurings (in loans) | 0 | 0 | 0 | |
Removal of troubled debt restructurings (in loans) | loan | 0 | |||
Charge-off related to troubled debt restructurings (in loans) | loan | 0 | |||
Transfers to other real estate owned (in loans) | loan | 0 | |||
Repayments and other reductions (in loans) | loan | 0 | |||
Balance, ending (in loans) | loan | 7 |
Deposits (Composition of Intere
Deposits (Composition of Interest-Bearing Deposits) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Deposits [Abstract] | ||
NOW and money market accounts | $ 459,695 | $ 443,727 |
Savings | 69,295 | 64,695 |
Time deposit certificates of $250,000 or more | 82,169 | 96,421 |
Time deposit certificates of $100,000 to $250,000 | 130,491 | 125,807 |
Other time deposit certificates | 105,064 | 104,650 |
Interest-bearing deposit liabilities | $ 846,714 | $ 835,300 |
Deposits (Composition of Broker
Deposits (Composition of Brokered Deposits) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Deposits [Abstract] | ||
NOW and money market accounts | $ 65,048 | $ 54,971 |
Time deposit certificates | 31,720 | 41,169 |
Noninterest-bearing deposit liabilities | $ 96,768 | $ 96,140 |
Other Borrowed Funds (Compositi
Other Borrowed Funds (Composition of Other Borrowed Funds) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Short-term Debt [Line Items] | ||
Securities sold under agreements to repurchase | $ 22,298 | $ 24,153 |
Federal Home Loan Bank Advances | 67,000 | 27,000 |
Other borrowed funds | 89,298 | 51,153 |
Matures January 20, 2017, 0.70% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 0 | $ 17,000 |
Debt instrument, fixed interest rate (percent) | 0.70% | 0.70% |
Matures January 23, 2017, 0.70% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 0 | $ 10,000 |
Debt instrument, fixed interest rate (percent) | 0.70% | 0.70% |
Matures April 3, 2017, 0.75% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 12,000 | $ 0 |
Debt instrument, fixed interest rate (percent) | 0.75% | 0.75% |
Matures April 17, 2017, 0.72% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 10,000 | $ 0 |
Debt instrument, fixed interest rate (percent) | 0.72% | 0.72% |
Matures April 27, 2017, 0.95% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 5,500 | $ 0 |
Debt instrument, fixed interest rate (percent) | 0.95% | 0.95% |
Matures May 11, 2017, 0.96% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 3,000 | $ 0 |
Debt instrument, fixed interest rate (percent) | 0.96% | 0.96% |
Matures May 24, 2017, 0.72% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 5,000 | $ 0 |
Debt instrument, fixed interest rate (percent) | 0.72% | 0.72% |
Matures May 30, 2017, 0.95% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 10,500 | $ 0 |
Debt instrument, fixed interest rate (percent) | 0.95% | 0.95% |
Matures June 7, 2017, 0.96% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 15,200 | $ 0 |
Debt instrument, fixed interest rate (percent) | 0.96% | 0.96% |
Matures June 23, 2017, 0.97% | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank Advances | $ 5,800 | $ 0 |
Debt instrument, fixed interest rate (percent) | 0.97% | 0.97% |
Other Borrowed Funds (Narrative
Other Borrowed Funds (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | ||
Advances from federal home loan banks | $ 67,000 | $ 27,000 |
First Mortgage | ||
Debt Instrument [Line Items] | ||
Cash on hand (as a percent) | 133.00% | |
Home Equity Line of Credit | ||
Debt Instrument [Line Items] | ||
Cash on hand (as a percent) | 200.00% | |
First Mortgage and Equity Loans | ||
Debt Instrument [Line Items] | ||
Loans pledged as collateral | $ 420,200 | 409,400 |
Commercial, Agricultural and Consumer Loans | ||
Debt Instrument [Line Items] | ||
Loans pledged as collateral | $ 212,600 | $ 203,700 |
Income Taxes (Income Tax Expens
Income Taxes (Income Tax Expense Recognized) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||
Current | $ 58 | $ 96 |
Deferred | 308 | 793 |
Total income tax (benefit) expense | $ 366 | $ 889 |
Income Taxes (Reconciliation) (
Income Taxes (Reconciliation) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||
Federal income tax at statutory rate | $ 1,320 | $ 1,021 |
Increase (decrease) due to: | ||
Federal tax exempt | (215) | (189) |
State income tax, net of federal benefit | 193 | 149 |
Benefit of income taxed at lower rate | (38) | (29) |
Tax exempt income | (2) | (6) |
Cash surrender value of life insurance | (51) | (48) |
Excess tax benefit - stock based compensation | (936) | 0 |
Other | 95 | (9) |
Total income tax (benefit) expense | $ 366 | $ 889 |
Income Taxes (Deferred Tax Asse
Income Taxes (Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets: | ||
Allowance for loan losses | $ 4,675 | $ 4,570 |
Merger expenses | 178 | 182 |
Organization expenses | 190 | 198 |
Net operating losses | 5 | 5 |
Contribution carryforward | 5 | 5 |
Restricted stock | 122 | 362 |
Non-qualified stock options | 525 | 726 |
Foreclosed assets | 282 | 282 |
Other | 990 | 945 |
Total deferred tax assets | 6,972 | 7,275 |
Deferred tax liabilities: | ||
Depreciation | (1,156) | (1,140) |
Core deposit intangible | (286) | (297) |
Unrealized gains on securities available for sale | 123 | 775 |
Total deferred tax liabilities | (1,319) | (662) |
Net deferred tax asset | $ 5,653 | $ 6,613 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) | Mar. 31, 2017USD ($) |
Income Tax Disclosure [Abstract] | |
Valuation allowance | $ 0 |
Stock Compensation Plans (Narra
Stock Compensation Plans (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |||||||
Jan. 31, 2017 | Jan. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2011 | Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | May 19, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Restricted stock compensation expense | $ 221 | $ 203 | |||||||
Options vested (shares) | 217,500 | ||||||||
Restricted Stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Restricted stock compensation expense | $ 221 | 203 | |||||||
Unrecognized compensation expense | 700 | ||||||||
Restricted Stock | Minimum | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares issued with performance conditions | 52,301 | 52,301 | |||||||
Restricted Stock | Maximum | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares issued with performance conditions | 131,948 | 131,948 | |||||||
Equity Incentive Plan | Stock Options | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Increase in number of shares authorized (in shares) | 1,000,000 | ||||||||
Number of shares authorized (in shares) | 2,430,000 | ||||||||
2013 Equity Incentive Plan | Stock Options | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Increase in number of shares authorized (in shares) | 900,000 | ||||||||
Number of shares authorized (in shares) | 1,000,000 | ||||||||
2016 Equity Incentive Plan | Stock Options | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares authorized (in shares) | 2,000,000 | ||||||||
Stock Incentive Plan and Equity Incentive Plan | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Intrinsic value of stock options | 7,992 | $ 7,942 | $ 1,308 | ||||||
Restricted stock compensation expense | 107 | $ 45 | |||||||
Unrecognized compensation expense | $ 820 |
Stock Compensation Plans (Summa
Stock Compensation Plans (Summarized Data Concerning Stock Options) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Shares | ||
Exercised (in shares) | (338,901) | |
Stock Incentive Plan and Equity Incentive Plan | ||
Shares | ||
Outstanding at beginning of year (in shares) | 1,796,934 | 1,305,504 |
Granted (in shares) | 217,500 | 539,950 |
Exercised (in shares) | (355,755) | (48,520) |
Canceled (in shares) | 0 | 0 |
Expired (in shares) | 0 | 0 |
Forfeited (in shares) | (1,500) | 0 |
Outstanding at end of period (in shares) | 1,657,179 | 1,796,934 |
Exercisable at end of period (in shares) | 1,027,679 | 1,238,434 |
Weighted Average Exercise Price (in dollars per share) | ||
Outstanding at beginning of year (in dollars per share) | $ 7.28 | $ 6.69 |
Granted (in dollars per share) | 11.70 | 8.68 |
Exercised (in dollars per share) | 6.71 | 7.12 |
Canceled (in dollars per share) | 0 | 0 |
Expired (in dollars per share) | 0 | 0 |
Forfeited (in dollars per share) | 10.35 | 0 |
Outstanding at end of period (in dollars per share) | 7.98 | 7.28 |
Exercisable at end of period (in dollars per share) | $ 7.05 | $ 7.05 |
Aggregate Intrinsic Value | ||
Outstanding at beginning of year | $ 7,942 | $ 1,308 |
Granted | 250 | 1,629 |
Exercised | 2,159 | 222 |
Outstanding at end of period | 7,992 | 7,942 |
Exercisable at end of period | $ 7,063 | $ 5,764 |
Stock Compensation Plans (Infor
Stock Compensation Plans (Information Pertaining to Options Outstanding) (Details) - Stock Incentive Plan and Equity Incentive Plan - $ / shares | 3 Months Ended | ||
Mar. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number outstanding (in shares) | 1,657,179 | 1,796,934 | 1,305,504 |
Options number exercisable (in shares) | 1,027,679 | 1,238,434 | |
$ 5 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 5 | ||
Number outstanding (in shares) | 229,376 | ||
Weighted average remaining life (in years) | 2 years 3 months 14 days | ||
Options number exercisable (in shares) | 229,376 | ||
$ 5.20 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 5.20 | ||
Number outstanding (in shares) | 197,500 | ||
Weighted average remaining life (in years) | 7 years 9 months 2 days | ||
Options number exercisable (in shares) | 125,000 | ||
$ 5.53 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 5.53 | ||
Number outstanding (in shares) | 6,000 | ||
Weighted average remaining life (in years) | 3 years 1 month 1 day | ||
Options number exercisable (in shares) | 6,000 | ||
$ 6.25 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 6.25 | ||
Number outstanding (in shares) | 25,000 | ||
Weighted average remaining life (in years) | 3 years 6 months 10 days | ||
Options number exercisable (in shares) | 25,000 | ||
$ 7.24 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 7.24 | ||
Number outstanding (in shares) | 207,500 | ||
Weighted average remaining life (in years) | 8 years 9 months 2 days | ||
Options number exercisable (in shares) | 62,500 | ||
$ 7.50 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 7.50 | ||
Number outstanding (in shares) | 300,300 | ||
Weighted average remaining life (in years) | 4 months 15 days | ||
Options number exercisable (in shares) | 300,300 | ||
$ 8 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 8 | ||
Number outstanding (in shares) | 4,000 | ||
Weighted average remaining life (in years) | 2 years 5 months 15 days | ||
Options number exercisable (in shares) | 4,000 | ||
$ 8.58 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 8.58 | ||
Number outstanding (in shares) | 46,839 | ||
Weighted average remaining life (in years) | 9 years 3 months 2 days | ||
Options number exercisable (in shares) | 46,839 | ||
$ 9.25 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 9.25 | ||
Number outstanding (in shares) | 228,664 | ||
Weighted average remaining life (in years) | 1 year 1 month 20 days | ||
Options number exercisable (in shares) | 228,664 | ||
$ 10.35 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 10.35 | ||
Number outstanding (in shares) | 194,500 | ||
Weighted average remaining life (in years) | 9 years 7 months 18 days | ||
Options number exercisable (in shares) | 0 | ||
$ 11.70 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices (in dollars per share) | $ 11.70 | ||
Number outstanding (in shares) | 217,500 | ||
Weighted average remaining life (in years) | 9 years 9 months 2 days | ||
Options number exercisable (in shares) | 0 |
Stock Compensation Plans (Sched
Stock Compensation Plans (Schedule of Nonvested Restricted Stock Units Activity) (Details) - Restricted Stock | 3 Months Ended |
Mar. 31, 2017$ / sharesshares | |
Number of Shares | |
Outstanding at beginning of year (in shares) | shares | 13,334 |
Granted (in shares) | shares | 0 |
Vested (in shares) | shares | 0 |
Canceled (in shares) | shares | 0 |
Forfeited (in shares) | shares | 0 |
Non-vested shares, end of period (in shares) | shares | 13,334 |
Weighted Average Grant Date Fair Value (in dollars per share) | |
Outstanding at beginning of year (in dollars per share) | $ / shares | $ 5.50 |
Granted (in dollars per share) | $ / shares | 0 |
Vested (in dollars per share) | $ / shares | 0 |
Canceled (in dollars per share) | $ / shares | 0 |
Forfeited (in dollars per share) | $ / shares | 0 |
Nonvested shares, end of period (in dollars per share) | $ / shares | $ 5.50 |
Concentrations, Commitments a60
Concentrations, Commitments and Contingencies (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Commitments and Contingencies Disclosure [Abstract] | ||
Commitments to extend credit | $ 301,169 | $ 262,408 |
Standby letters of credit | 11,556 | 12,164 |
Performance letters of credit | 2,253 | 2,253 |
Total | $ 314,978 | $ 276,825 |
Capital and Regulatory Matter61
Capital and Regulatory Matters (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Capital [Abstract] | ||
Capital to risk weighted assets (as a percent) | 12.68% | 12.99% |
Capital to risk weighted assets | $ 146,738 | $ 141,451 |
Capital required for capital adequacy to risk weighted assets (as a percent) | 9.25% | |
Capital Required for Capital Adequacy | $ 94,821 | |
Capital required to be well capitalized to risk weighted assets (as a percent) | 10.00% | |
Tier One Risk Based Capital [Abstract] | ||
Tier one risk based capital to risk weighted assets (as a percent) | 10.33% | 10.51% |
Tier one risk based capital | $ 119,487 | $ 98,276 |
Tier one risk based capital required for capital adequacy to risk weighted assets (as a percent) | 7.25% | |
Tier One Risk Based Capital Required for Capital Adequacy | $ 74,319 | |
Tier one common equity to risk weighted assets percent (as a percent) | 10.33% | 10.51% |
Tier one common equity to risk weighted assets amount | $ 119,487 | $ 98,276 |
Tier one common equity capital required for capital adequacy to risk weighted assets (as a percent) | 5.75% | |
Tier One Common Equity Capital Required for Capital Adequacy | $ 58,943 | |
Tier one common equity capital required to be well capitalized (as a percent) | 6.50% | |
Tier one leverage capital to average assets (as a percent) | 9.26% | 9.10% |
Tier one leverage to average assets | $ 119,487 | $ 98,276 |
Tier one leverage capital required for capital adequacy to average assets (as a percent) | 4.00% | |
Tier One Leverage Capital Required for Capital Adequacy | $ 48,593 | |
Tier one leverage capital required to be well capitalized to average assets (as a percent) | 5.00% | |
First Community Financial Bank | ||
Capital [Abstract] | ||
Capital to risk weighted assets (as a percent) | 12.21% | 12.77% |
Capital to risk weighted assets | $ 140,967 | $ 138,772 |
Capital required for capital adequacy to risk weighted assets (as a percent) | 9.25% | |
Capital Required for Capital Adequacy | $ 106,815 | |
Capital required to be well capitalized to risk weighted assets (as a percent) | 10.00% | |
Capital required to be well capitalized | $ 115,476 | |
Tier One Risk Based Capital [Abstract] | ||
Tier one risk based capital to risk weighted assets (as a percent) | 11.17% | 11.69% |
Tier one risk based capital | $ 129,016 | $ 127,088 |
Tier one risk based capital required for capital adequacy to risk weighted assets (as a percent) | 7.25% | |
Tier One Risk Based Capital Required for Capital Adequacy | $ 83,720 | |
Tier one risk based capital required to be well capitalized to risk weighted assets (as a percent) | 8.00% | |
Tier one risk based capital required to be well capitalized | $ 92,381 | |
Tier one common equity to risk weighted assets percent (as a percent) | 11.17% | 11.69% |
Tier one common equity to risk weighted assets amount | $ 129,016 | $ 127,088 |
Tier one common equity capital required for capital adequacy to risk weighted assets (as a percent) | 5.75% | |
Tier One Common Equity Capital Required for Capital Adequacy | $ 66,399 | |
Tier one common equity capital required to be well capitalized (as a percent) | 6.50% | |
Tier one common equity capital required to be well capitalized | $ 75,060 | |
Tier one leverage capital to average assets (as a percent) | 10.00% | 10.10% |
Tier one leverage to average assets | $ 129,016 | $ 127,088 |
Tier one leverage capital required for capital adequacy to average assets (as a percent) | 4.00% | |
Tier One Leverage Capital Required for Capital Adequacy | $ 51,582 | |
Tier one leverage capital required to be well capitalized to average assets (as a percent) | 5.00% | |
Tier one leverage capital required to be well capitalized | $ 64,478 | |
Minimum | ||
Capital [Abstract] | ||
Capital required for capital adequacy to risk weighted assets (as a percent) | 8.00% |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | $ 200,758 | $ 202,198 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Derivative financial instruments | 0 | 0 |
Derivative financial instruments | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 199,256 | 200,694 |
Derivative financial instruments | 143 | 62 |
Derivative financial instruments | 143 | 62 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 1,502 | 1,504 |
Derivative financial instruments | 0 | 0 |
Derivative financial instruments | 0 | 0 |
Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments | 143 | 62 |
Derivative financial instruments | 143 | 62 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments | 0 | 0 |
Derivative financial instruments | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments | 143 | 62 |
Derivative financial instruments | 143 | 62 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments | 0 | 0 |
Derivative financial instruments | 0 | 0 |
Residential collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 60,922 | 61,417 |
Residential collateralized mortgage obligations | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Residential collateralized mortgage obligations | Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 60,922 | 61,417 |
Residential collateralized mortgage obligations | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Residential mortgage backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 32,411 | 33,241 |
Residential mortgage backed securities | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 32,411 | 33,241 |
Residential mortgage backed securities | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Residential mortgage backed securities | Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 32,411 | 33,241 |
Residential mortgage backed securities | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
State and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 107,425 | 107,540 |
State and political subdivisions | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 107,425 | 107,540 |
State and political subdivisions | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
State and political subdivisions | Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 105,923 | 106,036 |
State and political subdivisions | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | $ 1,502 | $ 1,504 |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | $ 1,504 | $ 1,504 |
Total gains or losses (realized/unrealized) included in other comprehensive income | (2) | 0 |
Included in earnings | 0 | 0 |
Purchases | 0 | 0 |
Paydowns and maturities | 0 | 0 |
Transfers in and/or out of Level 3 | 0 | 0 |
Ending balance | $ 1,502 | $ 1,504 |
Fair Value Measurements (Fair64
Fair Value Measurements (Fair Value Measurements, Nonrecurring) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale | $ 78 | $ 1,230 |
Impaired loans | 11,922 | 12,464 |
Loans held for sale | 0 | 1,085 |
Foreclosed assets | 915 | 725 |
Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale | 78 | 1,230 |
Impaired loans | 11,855 | 12,020 |
Loans held for sale | 1,085 | |
Foreclosed assets | 915 | 725 |
Fair Value, Measurements, Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale | 0 | 0 |
Impaired loans | 0 | 0 |
Loans held for sale | 0 | |
Foreclosed assets | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale | 0 | 0 |
Impaired loans | 0 | 0 |
Loans held for sale | 0 | |
Foreclosed assets | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale | 78 | 1,230 |
Impaired loans | 11,855 | 12,020 |
Loans held for sale | 1,085 | |
Foreclosed assets | $ 915 | $ 725 |
Fair Value Measurements (Additi
Fair Value Measurements (Additional Quantitative Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Impaired loans | $ 11,922 | $ 12,464 |
Foreclosed assets | $ 915 | $ 725 |
Mortgage loans held for sale | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling costs discount rate (as a percent) | 0.00% | 0.00% |
Mortgage loans held for sale | Appraisal of Collateral | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Loans held for sale | $ 1,085 | |
Mortgage loans held for sale | Secondary market pricing | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Impaired loans | $ 78 | $ 1,230 |
Mortgage loans held for sale | Minimum | Secondary market pricing | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling costs discount rate (as a percent) | 10.00% | |
Mortgage loans held for sale | Maximum | Secondary market pricing | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling costs discount rate (as a percent) | 25.00% | |
Impaired loans | Appraisal of Collateral | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Impaired loans | $ 11,855 | $ 12,020 |
Impaired loans | Minimum | Appraisal of Collateral | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Appraisal adjustment discount rate (as a percent) | 10.00% | 10.00% |
Impaired loans | Maximum | Appraisal of Collateral | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Appraisal adjustment discount rate (as a percent) | 25.00% | 25.00% |
Foreclosed assets | Appraisal of Collateral | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Foreclosed assets | $ 915 | $ 725 |
Selling costs discount rate (as a percent) | 10.00% | 10.00% |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Collectively evaluated for impairment | $ 4.6 | $ 3.1 |
Collectively evaluated for impairment (as a percent) | 38.00% | 32.00% |
Impaired loans | Appraisal of Collateral | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Appraisal age (greater than, in years) | 1 year | |
Impaired loans | Minimum | Appraisal of Collateral | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Appraisal adjustment discount rate (as a percent) | 10.00% | 10.00% |
Frequency of valuations (in months) | 12 months | |
Additional discount used for selling costs (as a percent) | 5.00% | |
Impaired loans | Maximum | Appraisal of Collateral | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Appraisal adjustment discount rate (as a percent) | 25.00% | 25.00% |
Frequency of valuations (in months) | 18 months | |
Additional discount used for selling costs (as a percent) | 15.00% | |
Foreclosed assets | Appraisal of Collateral | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Selling costs discount rate (as a percent) | 10.00% | 10.00% |
Fair Value Measurements (Fair67
Fair Value Measurements (Fair Value, by Balance Sheet Grouping) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 |
Financial assets: | ||||
Cash and due from banks | $ 12,740 | $ 16,225 | $ 9,132 | $ 10,699 |
Interest-bearing deposits in banks | 13,494 | 8,548 | ||
Securities available for sale | 200,758 | 202,198 | ||
Non-marketable equity securities | 3,067 | 3,297 | ||
Mortgage loans held for sale | 78 | 1,230 | ||
Loans held for sale | 0 | 1,085 | ||
Loans, net | 1,051,881 | 979,934 | ||
Financial liabilities: | ||||
Noninterest bearing | 261,532 | 247,856 | ||
Interest bearing | 846,714 | 835,300 | ||
Other borrowed funds | 89,298 | 51,153 | ||
Subordinated debt | 15,300 | 15,300 | ||
Carrying Amount, Fair Value Disclosure | ||||
Financial assets: | ||||
Cash and due from banks | 12,740 | 16,255 | ||
Interest-bearing deposits in banks | 13,494 | 8,548 | ||
Securities available for sale | 200,758 | 202,198 | ||
Non-marketable equity securities | 3,067 | 3,297 | ||
Mortgage loans held for sale | 78 | 1,230 | ||
Loans held for sale | 1,085 | |||
Loans, net | 1,051,881 | 979,934 | ||
Accrued interest receivable | 3,543 | 3,521 | ||
Derivative financial instruments | 143 | 62 | ||
Financial liabilities: | ||||
Noninterest bearing | 261,532 | 247,856 | ||
Interest bearing | 846,714 | 835,300 | ||
Other borrowed funds | 51,153 | |||
Subordinated debt | 15,300 | 15,300 | ||
Accrued interest payable | 405 | 566 | ||
Derivative financial instruments | 143 | 62 | ||
Estimate of Fair Value, Fair Value Disclosure | ||||
Financial assets: | ||||
Cash and due from banks, estimated fair value | 12,740 | 16,255 | ||
Interest-bearing deposits in banks, estimated fair value | 13,494 | 8,548 | ||
Securities available for sale | 200,758 | 202,198 | ||
Nonmarketable equity securities, estimated fair value | 3,067 | 3,297 | ||
Mortgages loans held for sale, estimated fair value | 78 | 1,230 | ||
Loans held for sale, estimated fair value | 1,085 | |||
Loans, net, estimated fair value | 1,049,702 | 980,290 | ||
Accrued interest receivable, estimated fair value | 3,543 | 3,521 | ||
Derivative financial instruments | 143 | 62 | ||
Financial liabilities: | ||||
Non-interest bearing deposits, estimated fair value | 261,532 | 247,856 | ||
Interest-bearing deposits, estimated fair value | 847,449 | 836,103 | ||
Other borrowed funds, estimated fair value | 89,133 | 51,110 | ||
Subordinated debt, estimated fair value | 16,185 | 16,182 | ||
Accrued interest payable, estimated fair value | 405 | 566 | ||
Derivative financial instruments | 143 | 62 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Financial assets: | ||||
Cash and due from banks, estimated fair value | 12,740 | 16,255 | ||
Interest-bearing deposits in banks, estimated fair value | 13,494 | 8,548 | ||
Securities available for sale | 0 | 0 | ||
Nonmarketable equity securities, estimated fair value | 0 | 0 | ||
Mortgages loans held for sale, estimated fair value | 0 | 0 | ||
Loans held for sale, estimated fair value | 0 | |||
Loans, net, estimated fair value | 0 | 0 | ||
Accrued interest receivable, estimated fair value | 3,543 | 3,521 | ||
Derivative financial instruments | 0 | 0 | ||
Financial liabilities: | ||||
Non-interest bearing deposits, estimated fair value | 261,532 | 247,856 | ||
Interest-bearing deposits, estimated fair value | 528,990 | 508,422 | ||
Other borrowed funds, estimated fair value | 89,133 | 0 | ||
Subordinated debt, estimated fair value | 0 | 0 | ||
Accrued interest payable, estimated fair value | 405 | 566 | ||
Derivative financial instruments | 0 | 0 | ||
Significant Other Observable Inputs (Level 2) | ||||
Financial assets: | ||||
Cash and due from banks, estimated fair value | 0 | 0 | ||
Interest-bearing deposits in banks, estimated fair value | 0 | 0 | ||
Securities available for sale | 199,256 | 200,694 | ||
Nonmarketable equity securities, estimated fair value | 0 | 0 | ||
Mortgages loans held for sale, estimated fair value | 0 | 0 | ||
Loans held for sale, estimated fair value | 0 | |||
Loans, net, estimated fair value | 0 | 0 | ||
Accrued interest receivable, estimated fair value | 0 | 0 | ||
Derivative financial instruments | 143 | 62 | ||
Financial liabilities: | ||||
Non-interest bearing deposits, estimated fair value | 0 | 0 | ||
Interest-bearing deposits, estimated fair value | 0 | 0 | ||
Other borrowed funds, estimated fair value | 0 | 0 | ||
Subordinated debt, estimated fair value | 0 | 0 | ||
Accrued interest payable, estimated fair value | 0 | 0 | ||
Derivative financial instruments | 143 | 62 | ||
Significant Unobservable Inputs (Level 3) | ||||
Financial assets: | ||||
Cash and due from banks, estimated fair value | 0 | 0 | ||
Interest-bearing deposits in banks, estimated fair value | 0 | 0 | ||
Securities available for sale | 1,502 | 1,504 | ||
Nonmarketable equity securities, estimated fair value | 3,067 | 3,297 | ||
Mortgages loans held for sale, estimated fair value | 78 | 1,230 | ||
Loans held for sale, estimated fair value | 1,085 | |||
Loans, net, estimated fair value | 1,049,702 | 980,290 | ||
Accrued interest receivable, estimated fair value | 0 | 0 | ||
Derivative financial instruments | 0 | 0 | ||
Financial liabilities: | ||||
Non-interest bearing deposits, estimated fair value | 0 | 0 | ||
Interest-bearing deposits, estimated fair value | 318,459 | 327,681 | ||
Other borrowed funds, estimated fair value | 0 | 51,110 | ||
Subordinated debt, estimated fair value | 16,185 | 16,182 | ||
Accrued interest payable, estimated fair value | 0 | 0 | ||
Derivative financial instruments | $ 0 | $ 0 |
Derivatives and Hedging Activ68
Derivatives and Hedging Activities (Details) - Not Designated as Hedging Instrument - Interest Rate Swap - USD ($) | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Derivative [Line Items] | |||
Derivative notional value | $ 26,800,000 | $ 1,200,000 | |
Derivative financial instruments | 143,000 | $ 62,000 | |
Derivative, gain (loss) on derivative, net | $ 81,000 | $ 0 |