Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Feb. 28, 2014 | Jun. 30, 2013 |
Document and Entity Information | ' | ' | ' |
Entity Registrant Name | 'Fox Chase Bancorp Inc | ' | ' |
Entity Central Index Key | '0001485176 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 12,147,803 | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Public Float | ' | ' | $191.40 |
Consolidated_Statements_of_Con
Consolidated Statements of Condition (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and due from banks | $149 | $162 |
Interest-earning demand deposits in other banks | 11,798 | 24,928 |
Total cash and cash equivalents | 11,947 | 25,090 |
Investment securities available-for-sale | 10,489 | 12,491 |
Mortgage related securities available-for-sale | 246,068 | 283,616 |
Mortgage related securities held-to-maturity (fair value of $67,491 at December 31, 2013 and $29,451 at December 31, 2012) | 68,397 | 28,369 |
Loans, net of allowance for loan losses of $11,529 at December 31, 2013 and $11,170 at December 31, 2012 | 720,490 | 683,865 |
Federal Home Loan Bank stock, at cost | 9,813 | 8,097 |
Bank-owned life insurance | 14,547 | 14,077 |
Premises and equipment, net | 9,814 | 10,443 |
Assets acquired through foreclosure | 6,252 | 8,524 |
Real estate held for investment | 1,620 | 1,620 |
Accrued interest receivable | 3,308 | 3,223 |
Mortgage servicing rights, net | 152 | 170 |
Deferred tax asset, net | 8,906 | 2,953 |
Other assets | 4,819 | 5,803 |
Total Assets | 1,116,622 | 1,088,341 |
LIABILITIES | ' | ' |
Deposits | 673,715 | 687,409 |
Short-term borrowings | 80,500 | 70,500 |
Federal Home Loan Bank advances | 150,000 | 110,000 |
Other borrowed funds | 30,000 | 30,000 |
Advances from borrowers for taxes and insurance | 1,525 | 1,699 |
Accrued interest payable | 314 | 330 |
Accrued expenses and other liabilities | 7,101 | 6,938 |
Total Liabilities | 943,155 | 906,876 |
COMMITMENTS AND CONTINGENCIES (Note 12) | ' | ' |
STOCKHOLDERS’ EQUITY | ' | ' |
Preferred stock ($.01 par value; 1,000,000 shares authorized, none issued and outstanding at December 31, 2013 and December 31, 2012) | 0 | 0 |
Common stock ($.01 par value; 60,000,000 shares authorized, 12,147,803 shares outstanding at December 31, 2013 and 12,356,564 shares outstanding at December 31, 2012) | 146 | 146 |
Additional paid-in capital | 137,593 | 136,132 |
Treasury stock, at cost (2,468,172 shares at December 31, 2013 and 2,249,600 shares at December 31, 2012) | -33,436 | -29,733 |
Common stock acquired by benefit plans | -9,272 | -10,228 |
Retained earnings | 82,885 | 80,608 |
Accumulated other comprehensive (loss) income, net | -4,449 | 4,540 |
Total Stockholders’ Equity | 173,467 | 181,465 |
Total Liabilities and Stockholders’ Equity | $1,116,622 | $1,088,341 |
Consolidated_Statements_of_Con1
Consolidated Statements of Condition (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ' | ' |
Mortgage related securities held to maturity, fair value | $67,491 | $29,451 |
Loans, allowance for loan losses (in dollars) | $11,529 | $11,170 |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 60,000,000 | 60,000,000 |
Common stock, shares issued | 12,147,803 | 12,356,564 |
Common stock, shares outstanding | 12,147,803 | 12,356,564 |
Treasury stock, shares | 2,468,172 | 2,249,600 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
INTEREST INCOME | ' | ' | ' |
Interest and fees on loans | $32,650 | $33,878 | $35,428 |
Interest on mortgage related securities | 7,159 | 7,606 | 9,775 |
Interest on investment securities available-for-sale | ' | ' | ' |
Taxable | 318 | 308 | 488 |
Nontaxable | 0 | 34 | 184 |
Other interest income | 2 | 8 | 71 |
Total Interest Income | 40,129 | 41,834 | 45,946 |
INTEREST EXPENSE | ' | ' | ' |
Deposits | 4,344 | 6,347 | 8,672 |
Short-term borrowings | 130 | 38 | 5 |
Federal Home Loan Bank advances | 2,188 | 2,383 | 4,085 |
Other borrowed funds | 1,007 | 1,349 | 1,733 |
Total Interest Expense | 7,669 | 10,117 | 14,495 |
Net Interest Income | 32,460 | 31,717 | 31,451 |
Provision for loan losses | 982 | 3,478 | 5,734 |
Net Interest Income after Provision for Loan Losses | 31,478 | 28,239 | 25,717 |
NONINTEREST INCOME | ' | ' | ' |
Service charges and other fee income | 1,694 | 1,597 | 1,630 |
Net gain on sale of assets acquired through foreclosure | 484 | 135 | 250 |
Impairment loss on real estate held for investment | 0 | 0 | -110 |
Income on bank-owned life insurance | 470 | 471 | 468 |
Equity in earnings of affiliate | 445 | 690 | 245 |
Other | 165 | 130 | 130 |
Total other-than-temporary impairment loss | 0 | 0 | 407 |
Less: Portion of loss recognized in other comprehensive income (before taxes) | 0 | 0 | 46 |
Net other-than-temporary impairment loss | 0 | 0 | -361 |
Net gains on sale of investment securities (includes $532, $3,292 and $1,091 for the years ended December 31, 2013, 2012 and 2011, respectively, accumulated other comprehensive income reclassification for unrealized holdings gains) | 532 | 3,292 | 1,091 |
Net investment securities gains | 532 | 3,292 | 730 |
Total Noninterest Income | 3,790 | 6,315 | 3,343 |
NONINTEREST EXPENSE | ' | ' | ' |
Salaries, benefits and other compensation | 14,338 | 13,540 | 12,761 |
Occupancy expense | 1,689 | 1,702 | 1,845 |
Furniture and equipment expense | 469 | 537 | 442 |
Data processing costs | 1,537 | 1,797 | 1,719 |
Professional fees | 1,691 | 1,706 | 1,720 |
Marketing expense | 248 | 270 | 356 |
FDIC premiums | 709 | 773 | 870 |
Assets acquired through foreclosure expense | 5,201 | 2,143 | 762 |
Loss on extinguishment of debt | 0 | 3,018 | 0 |
Other | 1,589 | 1,688 | 1,594 |
Total Noninterest Expense | 27,471 | 27,174 | 22,069 |
Income Before Income Taxes | 7,797 | 7,380 | 6,991 |
Income tax provision (includes $186, $1,174 and $371 for the years ended December 31, 2013, 2012 and 2011, respectively, income tax expense from reclassification items) | 2,263 | 2,318 | 2,212 |
Net Income | $5,534 | $5,062 | $4,779 |
Earnings per share: | ' | ' | ' |
Basic (in dollars per share) | $0.49 | $0.44 | $0.36 |
Diluted (in dollars per share) | $0.48 | $0.43 | $0.36 |
Consolidated_Statements_of_Ope1
Consolidated Statements of Operations (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Statement [Abstract] | ' | ' | ' |
Accumulated other comprehensive income reclassification for unrealized holdings gains | $532 | $3,292 | $1,091 |
Income tax expense from reclassification items | $186 | $1,174 | $371 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' |
Net income | $5,534 | $5,062 | $4,779 |
Other comprehensive (loss) income: | ' | ' | ' |
Unrealized holding (losses) gains on securities available-for-sale | -13,343 | 98 | 1,203 |
Tax Effect | 4,700 | -7 | -424 |
Net of Tax Amount | -8,643 | 91 | 779 |
Non-credit related unrealized loss on other-than-temporary impaired securities | 0 | 0 | -46 |
Tax Effect | 0 | 0 | 16 |
Net of Tax Amount | 0 | 0 | -30 |
Reclassification adjustments for net investment securities gains included in net income | -532 | -3,379 | -1,091 |
Tax Effect | 186 | 1,208 | 371 |
Net of Tax Amount | -346 | -2,171 | -720 |
Reclassification adjustment for loss included in net income for other-than-temporary impaired investments sold, net | 0 | 87 | 0 |
Tax Effect | 0 | -34 | 0 |
Net of Tax Amount | 0 | 53 | 0 |
Other comprehensive (loss) income | -8,989 | -2,027 | 29 |
Comprehensive (loss) income | ($3,455) | $3,035 | $4,808 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Equity (USD $) | Total | Common Stock | Additional Paid in Capital | Treasury Stock | Common Stock Acquired by Benefit Plans | Retained Earnings | Accumulated Other Comprehensive Income, net |
In Thousands, unless otherwise specified | |||||||
BALANCE - beginning of period at Dec. 31, 2010 | $205,704 | $145 | $133,997 | $0 | ($9,283) | $74,307 | $6,538 |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Purchase of treasury stock | -19,822 | 0 | 0 | -19,822 | 0 | 0 | 0 |
Purchase of Common Stock for Equity Incentive Plan | -3,474 | 0 | 0 | 0 | -3,474 | 0 | 0 |
Stock based compensation expense | 1,041 | 0 | 1,041 | 0 | 0 | 0 | 0 |
Unallocated ESOP shares committed to employees | 840 | 0 | 216 | 0 | 624 | 0 | 0 |
Issuance of stock for vested equity awards | 0 | 0 | -544 | 0 | 592 | -48 | 0 |
Common stock issued for exercise of vested stock options | 162 | 1 | 161 | 0 | 0 | 0 | 0 |
Tax benefit from exercise of stock options and vesting of restricted stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Dividends paid | -1,067 | 0 | 0 | 0 | 0 | -1,067 | 0 |
Net income | 4,779 | 0 | 0 | 0 | 0 | 4,779 | 0 |
Other comprehensive income (loss) | 29 | 0 | 0 | 0 | 0 | 0 | 29 |
BALANCE - end of period at Dec. 31, 2011 | 188,192 | 146 | 134,871 | -19,822 | -11,541 | 77,971 | 6,567 |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Purchase of treasury stock | -9,911 | 0 | 0 | -9,911 | 0 | 0 | 0 |
Stock based compensation expense | 1,042 | 0 | 1,042 | 0 | 0 | 0 | 0 |
Unallocated ESOP shares committed to employees | 921 | 0 | 297 | 0 | 624 | 0 | 0 |
Issuance of stock for vested equity awards | 0 | 0 | -646 | 0 | 689 | -43 | 0 |
Common stock issued for exercise of vested stock options | 480 | 0 | 480 | 0 | 0 | 0 | 0 |
Tax benefit from exercise of stock options and vesting of restricted stock | 88 | 0 | 88 | 0 | 0 | 0 | 0 |
Dividends paid | -2,382 | 0 | 0 | 0 | 0 | -2,382 | 0 |
Net income | 5,062 | 0 | 0 | 0 | 0 | 5,062 | 0 |
Other comprehensive income (loss) | -2,027 | 0 | 0 | 0 | 0 | 0 | -2,027 |
BALANCE - end of period at Dec. 31, 2012 | 181,465 | 146 | 136,132 | -29,733 | -10,228 | 80,608 | 4,540 |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Purchase of treasury stock | -3,703 | 0 | 0 | -3,703 | 0 | 0 | 0 |
Stock based compensation expense | 1,124 | 0 | 1,124 | 0 | 0 | 0 | 0 |
Unallocated ESOP shares committed to employees | 1,114 | 0 | 490 | 0 | 624 | 0 | 0 |
Issuance of stock for vested equity awards | 0 | 0 | -318 | 0 | 332 | -14 | 0 |
Common stock issued for exercise of vested stock options | 106 | 0 | 106 | 0 | 0 | 0 | 0 |
Tax benefit from exercise of stock options and vesting of restricted stock | 59 | 0 | 59 | 0 | 0 | 0 | 0 |
Dividends paid | -3,243 | 0 | 0 | 0 | 0 | -3,243 | 0 |
Net income | 5,534 | 0 | 0 | 0 | 0 | 5,534 | 0 |
Other comprehensive income (loss) | -8,989 | 0 | 0 | 0 | 0 | 0 | -8,989 |
BALANCE - end of period at Dec. 31, 2013 | $173,467 | $146 | $137,593 | ($33,436) | ($9,272) | $82,885 | ($4,449) |
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Equity (Parenthetical) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Statement of Stockholders' Equity [Abstract] | ' | ' | ' |
Dividends paid (in dollars per share) | $0.28 | $0.20 | $0.08 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash Flows From Operating Activities | ' | ' | ' |
Net income | $5,534 | $5,062 | $4,779 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Provision for loan losses | 982 | 3,478 | 5,734 |
Valuation adjustment for assets acquired through foreclosure | 5,017 | 1,911 | 657 |
Impairment loss on real estate held for investment | 0 | 0 | 110 |
Depreciation | 783 | 822 | 709 |
Net amortization of securities premiums and discounts | 2,596 | 2,898 | 3,289 |
Proceeds from the sale of loans held for sale | 3,157 | 0 | 0 |
Benefit for deferred income taxes | -1,067 | -90 | -343 |
Stock compensation from benefit plans | 2,238 | 1,963 | 1,881 |
Net gain on sale of assets acquired through foreclosure | -484 | -135 | -250 |
Net gain on sale of investment securities | -532 | -3,292 | -1,091 |
Net other-than-temporary impairment loss | 0 | 0 | 361 |
Income on bank-owned life insurance | -470 | -471 | -468 |
Tax benefit from exercise of stock options and vesting of restricted stock | -59 | -88 | 0 |
Decrease in mortgage servicing rights, net | 18 | 146 | 132 |
(Decrease) increase in accrued interest receivable and other assets | -381 | 598 | 746 |
Increase (decrease) in accrued interest payable, accrued expenses and other liabilities | 147 | 4,793 | -777 |
Net Cash Provided by Operating Activities | 17,479 | 17,595 | 15,469 |
Cash Flows from Investing Activities | ' | ' | ' |
Payments to Acquire Interest in Subsidiaries and Affiliates | 360 | 180 | 45 |
Investment securities available-for-sale: | ' | ' | ' |
Purchases | 0 | -5,269 | 0 |
Proceeds from sales | 0 | 6,157 | 0 |
Proceeds from maturities, calls and principal repayments | 2,000 | 9,866 | 9,094 |
Mortgage related securities available-for-sale: | ' | ' | ' |
Purchases | -49,821 | -217,894 | -35,031 |
Proceeds from sales | 9,517 | 85,686 | 13,976 |
Proceeds from maturities, calls and principal repayments | 62,467 | 71,739 | 73,187 |
Mortgage related securities held-to-maturity: | ' | ' | ' |
Purchases | -51,420 | 0 | 0 |
Proceeds from maturities, calls and principal repayments | 10,992 | 12,189 | 10,040 |
Net increase in loans | -4,217 | -3,507 | -2,581 |
Purchases of loans and loan participations | -40,877 | -22,350 | -32,655 |
Net (increase) decrease in Federal Home Loan Bank stock | -1,716 | -23 | 1,839 |
Purchases of premises and equipment | -171 | -833 | -447 |
Additions to assets acquired through foreclosure | -1,180 | -470 | 0 |
Proceeds from sales and payments on assets acquired through foreclosure | 4,093 | 1,663 | 1,888 |
Net Cash (Used in) Provided by Investing Activities | -59,973 | -62,866 | 39,355 |
Cash Flows from Financing Activities | ' | ' | ' |
Net (decrease) increase in deposits | -13,694 | 10,815 | -35,169 |
Decrease in advances from borrowers for taxes and insurance | -174 | -37 | -160 |
Principal payments on other borrowed funds | 0 | -20,000 | 0 |
Proceeds from Federal Home Loan Bank advances | 40,000 | 60,000 | 0 |
Principal payments on Federal Home Loan Bank advances | 0 | -38,278 | -34,522 |
Net increase in short-term borrowings | 10,000 | 62,000 | 8,500 |
Tax benefit from exercise of stock options and vesting of restricted stock | 59 | 88 | 0 |
Common stock issued for exercise of stock options | 106 | 480 | 162 |
Acquisition of common stock for equity incentive plan | 0 | 0 | -3,474 |
Purchase of treasury stock | -3,703 | -9,911 | -19,822 |
Cash dividends paid | -3,243 | -2,382 | -1,067 |
Net Cash Provided by (Used in) Financing Activities | 29,351 | 62,775 | -85,552 |
Net (Decrease) Increase in Cash and Cash Equivalents | -13,143 | 17,504 | -30,728 |
Cash and Cash Equivalents – Beginning | 25,090 | 7,586 | 38,314 |
Cash and Cash Equivalents – Ending | 11,947 | 25,090 | 7,586 |
Supplemental Disclosure of Cash Flow Information | ' | ' | ' |
Interest paid | 7,685 | 10,205 | 14,657 |
Income taxes paid | 2,900 | 2,438 | 2,500 |
Transfers of loans to assets acquired through foreclosure | 5,174 | 9,070 | 1,479 |
Transfers of loans to loans held for sale | 3,157 | 0 | 0 |
Net charge-offs | $623 | $4,383 | $6,102 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||||||
Business | ||||||||||||||
Fox Chase Bancorp, Inc. (the “Bancorp”) is a Maryland corporation. The Bancorp’s primary business is holding the common stock of the Bank and making two loans to the Fox Chase Bank Employee Stock Ownership Plan ("ESOP"). The Bancorp is authorized to pursue other business activities permissible by laws and regulations for bank holding companies. | ||||||||||||||
The Bancorp and Fox Chase Bank (the "Bank") (collectively referred to as the “Company” or the "Corporation") provide a wide variety of financial products and services to individuals and businesses through the Bank’s eleven branches in Philadelphia, Richboro, Willow Grove, Warminster, Lahaska, Hatboro, Media and West Chester, Pennsylvania, and Ocean City, Marmora and Egg Harbor Township, New Jersey. The operations of the Company are managed as a single business segment. The Bank also owns approximately 45% of Philadelphia Mortgage Advisors (“PMA”), a mortgage banker located in Plymouth Meeting, Pennsylvania and Ocean City, New Jersey. | ||||||||||||||
The Company is subject to the regulations of certain federal banking agencies. These regulations can and do change significantly from period to period. The Company also undergoes periodic examinations by regulatory agencies which may subject it to further changes with respect to asset valuations, amounts of required loan loss allowances and operating restrictions resulting from the regulators’ judgments based on information available to them at the time of their examinations. | ||||||||||||||
The Bank converted from a federally chartered savings bank to a Pennsylvania state-chartered savings bank during the fourth quarter of 2013, at which time, the Bank became regulated by the Pennsylvania Department of Banking and Securities and the Federal Deposit Insurance Corporation (the "FDIC). Concurrent with the Bank’s charter conversion, the Bancorp converted to a bank holding company and will continue to be regulated by the Board of Governors of the Federal Reserve System. | ||||||||||||||
Principles of Consolidation and Presentation | ||||||||||||||
The consolidated financial statements include the accounts of the Bancorp and the Bank. The Bank’s operations include the accounts of its wholly owned subsidiaries, Fox Chase Financial, Inc., Fox Chase Service Corporation, 104 S. Oakland Ave., LLC and Davisville Associates, LLC. Fox Chase Financial, Inc. is a Delaware-chartered investment holding company and its sole purpose is to manage and hold investment securities. Fox Chase Service Corporation is a Pennsylvania-chartered company and its purposes are to facilitate the Bank’s investment in PMA and, for regulatory purposes, to hold commercial loans. At December 31, 2013, Fox Chase Service Corporation held $20.0 million in commercial loans. 104 S. Oakland Ave., LLC is a New Jersey-chartered limited liability company formed to secure, manage and hold foreclosed real estate. Davisville Associates, LLC is a Pennsylvania-chartered limited liability company formed to secure, manage and hold foreclosed real estate. All material inter-company transactions and balances have been eliminated in consolidation. Prior period amounts are reclassified, when necessary, to conform with the current year’s presentation. | ||||||||||||||
The Company follows accounting principles and reporting practices that are in compliance with U.S. generally accepted accounting principles (“GAAP”). The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclose contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation and realizability of deferred tax assets, the evaluation of other-than-temporary impairment and the valuation of investment securities and assets acquired through foreclosure. | ||||||||||||||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||||||||||||||
Risk and Uncertainties | ||||||||||||||
In the normal course of its business, the Company encounters two significant types of risk: economic risk and regulatory risk. There are three main components of economic risk: interest rate risk, credit risk and market risk. The Company is subject to interest rate risk to the degree that its interest-bearing liabilities mature or reprice at different speeds, or on a different basis, from its interest-earning assets. The Company's primary credit risk is the risk of defaults in the Company's loan portfolio that result from borrowers' inability or unwillingness to make contractually required payments. The Company's lending activities are concentrated in Southeastern Pennsylvania and Southern New Jersey. The ability of the Company's borrowers to repay amounts owed is dependent on several factors, including the economic conditions in the borrowers' geographic regions and the borrowers' financial conditions. The Company also has credit risk related to the risk of defaults in its investment securities portfolio. The ability of the Company to realize the full value of its investment securities upon sale or maturity depends on several factors, including the cash flows, credit enhancements and underlying structures of the individual investment securities. Market risk reflects changes in the value of the collateral underlying loans, the valuation of assets acquired through foreclosure, and the valuation of securities, mortgage servicing assets and other investments. | ||||||||||||||
The Company is subject to the regulations of various government agencies. These regulations may change significantly from period to period. The Company also undergoes periodic examinations by regulatory agencies that may subject them to further changes with respect to asset valuations and classifications, amounts required for the allowance for loan losses and operating restrictions resulting from the regulators' judgment based on information available to them at the time of their examination. | ||||||||||||||
Cash and Cash Equivalents | ||||||||||||||
For purposes of reporting cash flows, cash and cash equivalents include cash and due from banks, interest-earning demand deposits in other banks and money market funds. At times, such balances exceed the FDIC limits for insurance coverage. | ||||||||||||||
The Company accounts for cash accounts that are in a net overdraft position as a liability and reports changes in book overdraft positions in operating cash flows. | ||||||||||||||
Investment and Mortgage Related Securities | ||||||||||||||
The Company accounts for its investment securities in accordance with standards that require, among other things, that debt and equity securities are classified into three categories and accounted for as follows: | ||||||||||||||
• | Debt securities with the positive intention to hold to maturity are classified as "held-to-maturity" and reported at amortized cost. | |||||||||||||
• | Debt and equity securities purchased with the intention of selling them in the near future are classified as "trading securities" and are reported at fair value, with unrealized gains and losses included in earnings. As of the balance sheet dates, the Company did not have any trading securities. | |||||||||||||
• | Debt and equity securities not classified in either of the above categories are classified as "available-for-sale securities" and reported at fair value, with unrealized gains and losses excluded from earnings and reported, net of tax, as increases or decreases in accumulated other comprehensive (loss) income, a separate component of stockholders' equity. Securities classified as available-for-sale are those securities that the Company intends to hold for an indefinite period of time but not necessarily to maturity. Any decision to sell a security classified as available-for-sale would be based on various factors, including movement in interest rates, changes in the maturity or mix of the Company's assets and liabilities, liquidity needs, regulatory capital considerations and other factors. | |||||||||||||
Management determines the appropriate classification of debt securities at the time of purchase and re-evaluates such designation as of each balance sheet date. | ||||||||||||||
The Company records other-than-temporary impairment charges, through earnings, if they have the intent to sell, or will more likely than not be required to sell, an impaired debt security before a recovery of its amortized cost basis. In addition, the Company records other-than-temporary impairment charges through earnings for the amount of credit losses, regardless of the intent or requirement to sell. Credit loss is measured as the difference between the present value of an impaired debt security's cash flows and its amortized cost basis. Non-credit related write-downs to fair value are recorded as decreases to accumulated other comprehensive income as long as the Company has no intent or requirement to sell an impaired security before a recovery of amortized cost basis. | ||||||||||||||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||||||||||||||
Purchase premiums and discounts are recognized in interest income using the interest method over the expected life for mortgage related securities and the contractual life for all other securities. Because of volatility of the financial markets in which securities are traded, there is the risk that any future fair value could be significantly less than that recorded or disclosed in the accompanying financial statements. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific identification method. | ||||||||||||||
Loans, Loan Origination Fees and Uncollected Interest | ||||||||||||||
Loans are recorded at cost, net of unearned discounts, deferred fees and allowances. Discounts or premiums on purchased loans are amortized using the interest method over the remaining contractual life of the purchased loans, adjusted for actual prepayments. Loan origination fees and certain direct origination costs are deferred and amortized using the interest method over the contractual life as an adjustment to yield on the loans. Interest income is accrued on the unpaid principal balance. From time-to-time, the Company sells certain loans for liquidity purposes or to manage interest rate risk. | ||||||||||||||
The accrual of interest is generally discontinued when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about further collectability of principal or interest, even though the loan is currently performing. A loan that is more than 90 days past due may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. When a loan is placed on nonaccrual status, unpaid interest income is reversed and the amortization of net deferred loan fees is suspended. Interest received on nonaccrual loans generally is either applied against principal or reported as interest income, according to management's judgment as to the ultimate collectability of principal. Generally, loans are restored to accrual status when the obligation is brought current, has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectability of the total contractual principal and interest is no longer in doubt. | ||||||||||||||
Allowance for Loan Losses | ||||||||||||||
The allowance for loan losses is adjusted through provisions for loan losses charged against or credited to income. Loans deemed to be uncollectible are charged against the allowance for loan losses, and subsequent recoveries, if any, are credited to the allowance. | ||||||||||||||
The allowance for loan losses is maintained at a level representing management's best estimate of known risks and inherent losses in the portfolio, based upon management's evaluation of the portfolio's collectability. Our methodology for assessing the appropriateness of the allowance for loan losses consists of an allowance on impaired loans and a general valuation allowance on the remainder of the portfolio. Although we determine the amount of each element of the allowance separately, the entire allowance for loan losses is available for losses on the entire portfolio. | ||||||||||||||
Loans are deemed impaired when, based on current information and events, it is probable that the Company will be unable to collect all proceeds due according to the contractual terms of the loan agreement or when a loan is classified as a troubled debt restructuring. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Impairment is measured on a loan by loan basis for commercial loans by either the present value of expected future cash flows discounted at the loan's original effective interest rate, the loan's obtainable market price or the fair value of the collateral less costs to sell if the loan is collateral dependent. The Company establishes an allowance for loan loss in the amount of the difference between fair value of the impaired loan and the loan's carrying amount. | ||||||||||||||
We establish a general allowance for loans that are not considered impaired to recognize the inherent losses associated with lending activities. This general valuation allowance is determined by segmenting the loan portfolio by loan segments (described below) and assigning percentages, known as loss factors, to each category. The percentages are adjusted for significant factors that, in management's judgment, affect the collectability of the portfolio as of the evaluation date. These significant factors include the size and composition of the loan portfolio, the Company's loss experience by particular segment, trends and absolute levels of nonperforming loans, trends and absolute levels of classified and criticized loans, trends and absolute levels in delinquent loans, trends in risk ratings, trends in industry charge-offs and changes in existing general economic and business conditions affecting our lending areas and the national economy. These loss factors are subject to ongoing evaluation to ensure their relevance in the current economic environment. We perform this systematic analysis of the allowance on a quarterly basis. These criteria are analyzed and the allowance is developed and maintained at the segment level. | ||||||||||||||
Additional risk is associated with the analysis of the allowance for loan losses as such evaluations are highly subjective, and future adjustments to the allowance may be necessary if conditions differ substantially from the assumptions used in making the evaluations. In addition, various regulatory agencies periodically review the Company's allowance for loan losses. Such agencies may require the Company to recognize adjustments to the allowance, based on their judgments at the time of their examination. | ||||||||||||||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||||||||||||||
The loan segments utilized by management to develop the allowance for loan losses are (1) one- to four-family real estate, (2) multi-family and commercial real estate, (3) construction, (4) consumer and (5) commercial and industrial loans. | ||||||||||||||
One- to four-family real estate lending risks generally include the borrower's ability to make repayment from his or her employment or other income, and if the borrower defaults, the ability to obtain repayment from sale of the underlying collateral securing the loan. Risk associated with one- to four-family lending would be higher during a period of increased unemployment or reduced real estate value. | ||||||||||||||
Multi-family and commercial real estate lending risks generally relate to the borrower's creditworthiness and the feasibility and cash flow potential of the underlying project. Payments on loans secured by income properties often depend on successful operation and management of the properties. As a result, repayment of such loans may be subject to adverse conditions in the real estate market or the economy. | ||||||||||||||
Construction lending is generally considered to have a higher degree of lending risk than long-term financing on improved, occupied real estate. Risk of loss on a construction loan depends largely upon the accuracy of the initial estimate of the property's value at completion of construction, the estimated cost (including interest) of construction and the ability of the project to be sold or refinanced upon completion. | ||||||||||||||
Commercial and industrial loans are typically made on the basis of the borrower's ability to make repayment from the cash flows of the borrower's underlying business. As a result, the availability of funds for the repayment of commercial loans may depend substantially on the success of the business itself. Further, any collateral securing such loans may depreciate over time, may be difficult to appraise and may fluctuate in value. | ||||||||||||||
Consumer lending includes unsecured lending or loans secured by assets that depreciate rapidly. In such cases, repossessed collateral for a defaulted consumer loan may not provide an adequate source of repayment for the outstanding loan and the remaining deficiency often does not warrant further substantial collection efforts against the borrower. Consumer loan collections depend on the borrower's continuing financial stability. Furthermore, the application of various federal and state laws, including bankruptcy and insolvency laws, may limit the amount that can be recovered on such loans. | ||||||||||||||
Troubled Debt Restructurings | ||||||||||||||
Loans are classified as troubled debt restructurings if the Company grants such borrowers concessions and it is deemed that those borrowers are experiencing financial difficulty. Concessions granted under a troubled debt restructuring generally involve a reduction in interest rate, extension of a loan's stated maturity date, temporary deferral of payments or granting credit to a borrower who is unable to obtain credit from another financial institution. Accrual of interest continues upon modification if the borrower has demonstrated a history of making payment as contractually due and has provided evidence which supports the borrower's ability to make payments. The accrual of interest income on accruing troubled debt restructurings is generally discontinued when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about continued collectability of principal or interest, even though the loan is currently performing. Troubled debt restructurings which are subsequently reported as non-accrual remain as such until they demonstrate consistent payment performance for a minimum period of six months. All loans classified as troubled debt restructurings are considered impaired. | ||||||||||||||
Bank-Owned Life Insurance | ||||||||||||||
The Company has invested in bank-owned life insurance ("BOLI"). BOLI involves the purchasing of life insurance by the Company on a chosen group of employees and directors. The Company is the owner and beneficiary of the policies. This life insurance investment is carried at the cash surrender value of the underlying policies. Income from the increase in cash surrender value of the policies is included in noninterest income in the consolidated statements of operations. | ||||||||||||||
Premises and Equipment | ||||||||||||||
Premises and equipment are carried at cost less accumulated depreciation. Depreciation is computed on the straight-line method over the assets' estimated useful lives or, for leasehold improvements, over the life of the related lease if less than the estimated useful life of the asset. The estimated useful life is generally 10-39 years for buildings and 1-7 years for furniture and equipment. When assets are retired, or otherwise disposed of, the cost and related accumulated depreciation are removed from the accounts. The cost of maintenance and repairs is charged to expense when incurred and renewals and improvements are capitalized. Rental concessions on leased properties are recognized over the life of the lease. | ||||||||||||||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||||||||||||||
Assets Acquired through Foreclosure | ||||||||||||||
Assets acquired through foreclosure consists of other real estate owned and financial assets acquired from debtors. These assets are obtained through foreclosure, by a deed-in-lieu of foreclosure, in-substance foreclosure or in exchange for satisfaction of debt. | ||||||||||||||
Other real estate owned is initially recorded at fair value less costs to sell. In periods subsequent to acquisition, each real estate asset is carried at the lower of the fair value of the asset, less estimated selling costs, or the amount at which the asset was initially recorded. Costs related to the development or improvement of an acquired property are capitalized. Holding costs and declines in carrying value after acquisition are recorded as assets acquired through foreclosure expense in the consolidated statements of operations. | ||||||||||||||
Financial assets acquired from debtors are carried at fair value under the fair value option in accordance with FASB ASC 825 "Financial Instruments." Increases or decreases in fair value after acquisition are recorded as assets acquired through foreclosure expense in the consolidated statements of operations. | ||||||||||||||
Real Estate Held for Investment | ||||||||||||||
Real estate held for investment is carried at cost and is tested for recoverability whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. As of December 31, 2013 and December 31, 2012, real estate held for investment represented undeveloped land located in Absecon, New Jersey. The property was acquired by the Company in 2003 to expand the Company's retail branch network in southern New Jersey. At December 31, 2011, the property was carried at $1.6 million based on an appraisal obtained during 2011, which resulted in an impairment loss of $110,000 during the year ended December 31, 2011. As of December 31, 2013 and 2012, the property continued to be carried at $1.6 million. | ||||||||||||||
In accordance with regulatory guidelines, because this real estate held for investment was not sold or placed in service by June 2011 (eight years from acquisition); for regulatory reporting purposes, the full amount of this asset is recorded as a reduction of regulatory capital at December 31, 2013 and 2012. | ||||||||||||||
Mortgage Servicing Rights | ||||||||||||||
Upon the sale of a residential mortgage loan where the Company retains servicing rights, a mortgage servicing right is recorded. GAAP requires that mortgage servicing rights on these loans be amortized into income over the estimated life of the loans sold using the interest method. At each reporting period, such assets are subject to an impairment test. The impairment test stratifies servicing assets based on predominant risk characteristics of the underlying financial assets. The Company has stratified its mortgage servicing assets by date of sale, which approximates date of origination. | ||||||||||||||
In conjunction with the impairment test, the Company records a valuation allowance when the fair value of the stratified servicing asset is less than amortized cost. Subsequent changes in the valuation of the assets are recorded as either an increase or a reduction of the valuation allowance, however, if the fair value exceeds amortized cost, such excess will not be recognized. | ||||||||||||||
Transfers of Financial Assets | ||||||||||||||
Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before maturity. | ||||||||||||||
Income Taxes | ||||||||||||||
The Company accounts for income taxes under the asset/liability method. Deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. The Company files a consolidated federal income tax return and its subsidiaries file individual state income tax returns. | ||||||||||||||
The Company recognizes a tax position if it is more likely than not that the tax position will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. If the tax position | ||||||||||||||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||||||||||||||
meets the more-likely-than-not recognition threshold, the position is measured to determine the amount of the benefit to recognize and is measured at the largest amount of benefit that is greater than 50% likely of being realized upon settlement. The Company has no material tax exposure matters that were accrued as of December 31, 2013 and 2012. The Company's policy is to account for interest and penalties as components of income tax expense. | ||||||||||||||
Equity Method Investments | ||||||||||||||
Under the equity method, the Company recognizes its portion of net income of unconsolidated affiliates, net of eliminations, in equity in earnings of affiliate on the consolidated statements of operations. Equity method investments are included in other assets on the consolidated statements of condition. | ||||||||||||||
Marketing and Advertising | ||||||||||||||
The Company expenses marketing and advertising costs as incurred. | ||||||||||||||
Off-Balance Sheet Financial Instruments | ||||||||||||||
In the ordinary course of business, the Company has entered into off-balance sheet financial instruments consisting of commitments to extend credit. Such financial instruments are recorded in the balance sheet when they are funded. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet financial instruments. | ||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||
Certain of the Company's financial instruments are carried at fair value. Generally, fair value is the price that a willing buyer and a willing seller would agree upon in an other than a distressed sale situation. Because of the uncertainties inherent in determining fair value, fair value estimates may not be precise. Many of the fair value estimates are based on highly subjective judgments and assumptions made about market information and economic conditions. See Note 14 for a detailed discussion of fair value measurements and methodology used to determine fair value. | ||||||||||||||
Employee Stock Ownership Plan | ||||||||||||||
The ESOP borrowed funds from the Bancorp to purchase shares of common stock of the Bancorp. The funds borrowed by the ESOP from Bancorp to purchase shares of common stock in 2006 are being repaid from the Bank's contributions over a period of 15 years from 2006 to 2020. The funds borrowed by the ESOP from the Bancorp to purchase shares of common stock in 2010 are being repaid from the Bank's contributions over a period of 14.5 years from 2010 to 2024. The Bancorp's common stock not yet allocated to participants is recorded as a reduction of stockholders' equity at cost. The Bancorp's loans to the ESOP and the ESOP's note payables are not reflected in the consolidated statements of condition. Compensation expense for the ESOP is based on the average market price of the Company's stock and is recognized as shares are committed to be released to participants. The notes receivable and related interest income are included in the parent company financial statements presented in Note 17. | ||||||||||||||
For purposes of computing basic and diluted earnings per share, ESOP shares that have been committed to be released are considered outstanding. ESOP shares that have not been committed to be released are not considered outstanding. | ||||||||||||||
Stock Based Compensation | ||||||||||||||
The Company grants equity awards to employees, consisting of stock options, performance awards and restricted stock, under its Long-Term Incentive Plan, its 2007 Equity Incentive Plan and its 2011 Equity Incentive Plan. The Company classifies share-based compensation for employees and outside directors within "Salaries, benefits and other compensation" in the consolidated statements of operations to correspond with the same line item as compensation paid. Additionally, the Company reports (1) the expense associated with the grants as an adjustment to operating cash flows and (2) any benefits of realized tax deductions in excess of previously recognized tax benefits on compensation expense as a financing cash flow. Excess tax benefits totaled $59,000 and $88,000 in 2013 and 2012, respectively. There were no such excess tax benefits in 2011. | ||||||||||||||
Stock options vest over a five-year service period and expire ten years after grant date. The Company recognizes compensation expense for the fair values of stock options using the straight-line method over the requisite service period for the entire award. | ||||||||||||||
Non-performance based restricted shares vest over a five-year service period. The Company recognizes compensation expense for the fair value of restricted shares on a straight-line basis over the requisite service period for the entire award. | ||||||||||||||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||||||||||||||
Performance-based restricted shares vest over a five-year period based on service and achievement of performance metrics. The performance metrics to be evaluated during the performance period are (1) return on assets compared to peer group and (2) earnings per share growth rate compared to peer group. On the third anniversary of the grant date, the Company's level of performance relative to the performance metrics are evaluated and, if such performance metrics have been achieved, an amount of shares that will vest at that time and over the following two years will be determined. Of the shares that will vest, 50% of the shares vest on the third anniversary of the date of grant and 25% vest on each of the fourth and fifth anniversaries of the date of grant. | ||||||||||||||
Per Share Information | ||||||||||||||
Basic earnings per share excludes dilution and is computed by dividing income available to common stockholders by the weighted-average common shares outstanding during the period. Diluted earnings per share takes into account the potential dilution that could occur if securities or other contracts to issue common stock were exercised and converted into common stock. Proceeds assumed to have been received on such exercises are assumed to be used to purchase shares of the Company's common stock at the average market price during the periods, as required by the treasury stock method of accounting. Unallocated shares in the ESOP and shares purchased to fund the Bancorp’s equity incentive plans are not included in either basic or diluted earnings per share. | ||||||||||||||
Earnings per share ("EPS"), basic and diluted, were $0.49 and $0.48, respectively for the year ended December 31, 2013. EPS, basic and diluted, were $0.44 and $0.43, respectively for the year ended December 31, 2012. EPS, both basic and diluted, were $0.36 for the year ended December 31, 2011. | ||||||||||||||
The following table presents the reconciliation of the numerators and denominators of the basic and diluted EPS computations. | ||||||||||||||
Years Ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Net income | $ | 5,534,000 | $ | 5,062,000 | $ | 4,779,000 | ||||||||
Weighted-average common shares outstanding (1) | 12,199,774 | 12,624,068 | 14,112,359 | |||||||||||
Average common stock acquired by stock benefit plans: | ||||||||||||||
ESOP shares unallocated | (586,424 | ) | (651,538 | ) | (716,530 | ) | ||||||||
Shares purchased by trust | (324,207 | ) | (372,653 | ) | (249,670 | ) | ||||||||
Weighted-average common shares used to calculate basic earnings per share | 11,289,143 | 11,599,877 | 13,146,159 | |||||||||||
Dilutive effect of: | ||||||||||||||
Restricted stock awards | 42,582 | 29,653 | 33,089 | |||||||||||
Stock option awards | 198,429 | 117,731 | 52,582 | |||||||||||
Weighted-average common shares used to calculate diluted earnings per share | 11,530,154 | 11,747,261 | 13,231,830 | |||||||||||
Earnings per share-basic | $ | 0.49 | $ | 0.44 | $ | 0.36 | ||||||||
Earnings per share-diluted | $ | 0.48 | $ | 0.43 | $ | 0.36 | ||||||||
Outstanding common stock equivalents having no dilutive effect | 1,108,329 | 860,842 | 822,461 | |||||||||||
(1) Excludes treasury stock. |
INVESTMENT_AND_MORTGAGE_RELATE
INVESTMENT AND MORTGAGE RELATED SECURITIES | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | |||||||||||||||||||||||
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | |||||||||||||||||||||||
INVESTMENT AND MORTGAGE RELATED SECURITIES | ||||||||||||||||||||||||
The amortized cost and fair value of securities available-for-sale and held-to-maturity as of December 31, 2013 and 2012 are summarized as follows: | ||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||
Amortized | Gross | Gross | OTTI | Fair | ||||||||||||||||||||
Cost | Unrealized | Unrealized | in AOCI | Value | ||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 300 | $ | 8 | $ | — | $ | — | $ | 308 | ||||||||||||||
Corporate securities | 10,145 | 54 | (18 | ) | — | 10,181 | ||||||||||||||||||
10,445 | 62 | (18 | ) | — | 10,489 | |||||||||||||||||||
Private label commercial mortgage related securities | 2,118 | 2 | — | — | 2,120 | |||||||||||||||||||
Agency residential mortgage related securities | 250,851 | 2,655 | (9,558 | ) | — | 243,948 | ||||||||||||||||||
Total mortgage related securities | 252,969 | 2,657 | (9,558 | ) | — | 246,068 | ||||||||||||||||||
Total available-for-sale securities | $ | 263,414 | $ | 2,719 | $ | (9,576 | ) | $ | — | $ | 256,557 | |||||||||||||
Held-to-Maturity Securities: | ||||||||||||||||||||||||
Agency residential mortgage related securities | $ | 68,397 | $ | 514 | $ | (1,420 | ) | $ | — | $ | 67,491 | |||||||||||||
Total mortgage related securities | 68,397 | 514 | (1,420 | ) | — | 67,491 | ||||||||||||||||||
Total held-to-maturity securities | $ | 68,397 | $ | 514 | $ | (1,420 | ) | $ | — | $ | 67,491 | |||||||||||||
31-Dec-12 | ||||||||||||||||||||||||
Amortized | Gross | Gross | OTTI | Fair | ||||||||||||||||||||
Cost | Unrealized | Unrealized | in AOCI | Value | ||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 300 | $ | 14 | $ | — | $ | — | $ | 314 | ||||||||||||||
Corporate securities | 12,207 | 91 | (121 | ) | — | 12,177 | ||||||||||||||||||
12,507 | 105 | (121 | ) | — | 12,491 | |||||||||||||||||||
Private label commercial mortgage related securities | 6,119 | 78 | — | — | 6,197 | |||||||||||||||||||
Agency residential mortgage related securities | 270,461 | 7,023 | (65 | ) | — | 277,419 | ||||||||||||||||||
Total mortgage related securities | 276,580 | 7,101 | (65 | ) | — | 283,616 | ||||||||||||||||||
Total available-for-sale securities | $ | 289,087 | $ | 7,206 | $ | (186 | ) | $ | — | $ | 296,107 | |||||||||||||
Held-to-Maturity Securities: | ||||||||||||||||||||||||
Agency residential mortgage related securities | $ | 28,369 | $ | 1,082 | $ | — | $ | — | $ | 29,451 | ||||||||||||||
Total mortgage related securities | 28,369 | 1,082 | — | — | 29,451 | |||||||||||||||||||
Total held-to-maturity securities | $ | 28,369 | $ | 1,082 | $ | — | $ | — | $ | 29,451 | ||||||||||||||
Obligations of U.S. government agencies represents debt issued by the Federal Home Loan Bank (the "FHLB") and are not backed by the full faith and credit of the United States government. | ||||||||||||||||||||||||
NOTE 2 - INVESTMENT AND MORTGAGE RELATED SECURITIES (Continued) | ||||||||||||||||||||||||
The following tables show gross unrealized losses and fair value of securities, aggregated by security category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2013 and 2012. | ||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | ||||||||||||||||||||||
Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Corporate securities | — | — | 2,982 | (18 | ) | 2,982 | (18 | ) | ||||||||||||||||
— | — | 2,982 | (18 | ) | 2,982 | (18 | ) | |||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | — | ||||||||||||||||||
Agency residential mortgage related securities | 180,448 | (7,251 | ) | 24,841 | (2,307 | ) | 205,289 | (9,558 | ) | |||||||||||||||
Total mortgage related securities | 180,448 | (7,251 | ) | 24,841 | (2,307 | ) | 205,289 | (9,558 | ) | |||||||||||||||
Total available-for-sale securities | $ | 180,448 | $ | (7,251 | ) | $ | 27,823 | $ | (2,325 | ) | $ | 208,271 | $ | (9,576 | ) | |||||||||
Held-to-Maturity Securities: | ||||||||||||||||||||||||
Agency residential mortgage related securities | $ | 40,615 | $ | (1,420 | ) | $ | — | $ | — | $ | 40,615 | $ | (1,420 | ) | ||||||||||
Total mortgage related securities | 40,615 | (1,420 | ) | — | — | 40,615 | (1,420 | ) | ||||||||||||||||
Total held-to-maturity securities | $ | 40,615 | $ | (1,420 | ) | $ | — | $ | — | $ | 40,615 | $ | (1,420 | ) | ||||||||||
Total Temporarily Impaired Securities | $ | 221,063 | $ | (8,671 | ) | $ | 27,823 | $ | (2,325 | ) | $ | 248,886 | $ | (10,996 | ) | |||||||||
December 31, 2012 | ||||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | ||||||||||||||||||||||
Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Corporate securities | — | — | 2,879 | (121 | ) | 2,879 | (121 | ) | ||||||||||||||||
— | — | 2,879 | (121 | ) | 2,879 | (121 | ) | |||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | — | ||||||||||||||||||
Agency residential mortgage related securities | 29,092 | (65 | ) | — | — | 29,092 | (65 | ) | ||||||||||||||||
Total mortgage related securities | 29,092 | (65 | ) | — | — | 29,092 | (65 | ) | ||||||||||||||||
Total available-for-sale securities | $ | 29,092 | $ | (65 | ) | $ | 2,879 | $ | (121 | ) | $ | 31,971 | $ | (186 | ) | |||||||||
Held-to-Maturity Securities: | ||||||||||||||||||||||||
Agency residential mortgage related securities | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Total mortgage related securities | — | — | — | — | — | — | ||||||||||||||||||
Total held-to-maturity securities | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Total Temporarily Impaired Securities | $ | 29,092 | $ | (65 | ) | $ | 2,879 | $ | (121 | ) | $ | 31,971 | $ | (186 | ) | |||||||||
NOTE 2 - INVESTMENT AND MORTGAGE RELATED SECURITIES (Continued) | ||||||||||||||||||||||||
During the year ended December 31, 2013, the Company sold seven mortgage related securities with an amortized cost of $9.0 million and recognized gross gains of $532,000. | ||||||||||||||||||||||||
The Company evaluates a variety of factors when concluding whether a security is other-than-temporarily impaired. These factors include, but are not limited to, the type and purpose of the security, the underlying rating of the issuer, and the presence of credit enhancements. | ||||||||||||||||||||||||
At December 31, 2013, gross unrealized losses totaled $11.0 million. One corporate security with a fair value of $3.0 million and an unrealized loss position of $18,000 and six agency residential mortgage related securities with a fair value of $24.8 million and an unrealized loss position of $2.3 million, had unrealized loss positions for twelve months or longer as of December 31, 2013. The corporate security has a rating of "Baa2." The remaining securities in an unrealized loss position at December 31, 2013 have been in an unrealized loss position for less than twelve months. These securities consist of 94 agency residential mortgage related securities whose fair value primarily fluctuates with changes in market conditions for the underlying securities and changes in the interest rate environment. The fair value of these agency residential mortgage related securities totaled $221.1 million and the unrealized loss totaled $8.7 million. The Company does not intend to sell the securities in an unrealized loss position and it is not more likely than not that it will be required to sell these securities before a recovery of fair value, which may be maturity. Upon review of the attributes of the individual securities, the Company concluded these securities were not other-than-temporarily impaired. | ||||||||||||||||||||||||
As of December 31, 2013, the Company held two private label commercial mortgage related securities ("CMBS") with an amortized cost of $2.1 million. These securities had a net unrealized gain of $2,000 at December 31, 2013 and both individual securities were held at an unrealized gain. As of December 31, 2012, the Company held three private label CMBS with an amortized cost of $6.1 million. These securities had a net unrealized gain of $78,000 at December 31, 2012 and all individual securities were held at an unrealized gain. | ||||||||||||||||||||||||
The Company evaluates current characteristics of each of these private label securities such as delinquency and foreclosure levels, credit enhancement, projected losses, coverage and actual and projected cash flows, on a quarterly basis. It is possible that the underlying collateral of these securities will perform worse than current expectations, which may lead to adverse changes in cash flows on these securities and potential future other-than-temporary impairment losses. Events that may trigger material declines in fair values for these securities in the future would include but are not limited to deterioration of credit metrics, significantly higher levels of default and severity of loss on the underlying collateral, deteriorating credit enhancement and loss coverage ratios, or further illiquidity. | ||||||||||||||||||||||||
NOTE 2 - INVESTMENT AND MORTGAGE RELATED SECURITIES (Continued) | ||||||||||||||||||||||||
The following schedules provide a summary of the components of net investment securities gains (losses) in the Company’s consolidated statements of operations for the years ended December 31, 2013, 2012 and 2011. | ||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||
Gross | Gross | Other-than- | Portion of | Net Gains | ||||||||||||||||||||
Realized | Realized | Temporary | OTTI | (Losses) | ||||||||||||||||||||
Gains | Losses | Impairment | in OCI | |||||||||||||||||||||
Losses | ||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
Corporate securities | — | — | — | — | — | |||||||||||||||||||
— | — | — | — | — | ||||||||||||||||||||
Private label residential mortgage related security | — | — | — | — | — | |||||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | |||||||||||||||||||
Agency residential mortgage related securities | 532 | — | — | — | 532 | |||||||||||||||||||
Total mortgage related securities | 532 | — | — | — | 532 | |||||||||||||||||||
Total securities available-for-sale | $ | 532 | $ | — | $ | — | $ | — | $ | 532 | ||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||||||
Gross | Gross | Other-than- | Portion of | Net Gains | ||||||||||||||||||||
Realized | Realized | Temporary | OTTI | (Losses) | ||||||||||||||||||||
Gains | Losses | Impairment | in OCI | |||||||||||||||||||||
Losses | ||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 64 | $ | — | $ | — | $ | — | $ | 64 | ||||||||||||||
Corporate securities | — | — | — | — | — | |||||||||||||||||||
64 | — | — | — | 64 | ||||||||||||||||||||
Private label residential mortgage related security | — | (87 | ) | — | — | (87 | ) | |||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | |||||||||||||||||||
Agency residential mortgage related securities | 3,315 | — | — | — | 3,315 | |||||||||||||||||||
Total mortgage related securities | 3,315 | (87 | ) | — | — | 3,228 | ||||||||||||||||||
Total securities available-for-sale | $ | 3,379 | $ | (87 | ) | $ | — | $ | — | $ | 3,292 | |||||||||||||
Year Ended December 31, 2011 | ||||||||||||||||||||||||
Gross | Gross | Other-than- | Portion of | Net Gains | ||||||||||||||||||||
Realized | Realized | Temporary | OTTI | (Losses) | ||||||||||||||||||||
Gains | Losses | Impairment | in OCI | |||||||||||||||||||||
Losses | ||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
Corporate securities | — | — | — | — | — | |||||||||||||||||||
— | — | — | — | — | ||||||||||||||||||||
Private label residential mortgage related security | — | — | (407 | ) | 46 | (361 | ) | |||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | |||||||||||||||||||
Agency residential mortgage related securities | 1,091 | — | — | — | 1,091 | |||||||||||||||||||
Total mortgage related securities | 1,091 | — | (407 | ) | 46 | 730 | ||||||||||||||||||
Total securities available-for-sale | $ | 1,091 | $ | — | $ | (407 | ) | $ | 46 | $ | 730 | |||||||||||||
NOTE 2 - INVESTMENT AND MORTGAGE RELATED SECURITIES (Continued) | ||||||||||||||||||||||||
The amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity at December 31, 2013 and 2012 by contractual maturity are as follows: | ||||||||||||||||||||||||
Available-for-Sale | Held-to-Maturity | |||||||||||||||||||||||
Amortized Cost | Fair Value | Amortized Cost | Fair Value | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||
Due in one year or less | $ | 1,999 | $ | 2,000 | $ | — | $ | — | ||||||||||||||||
Due after one year through five years | 8,446 | 8,489 | — | — | ||||||||||||||||||||
Due after five years through ten years | — | — | — | — | ||||||||||||||||||||
Due after ten years | — | — | — | — | ||||||||||||||||||||
Total mortgage related securities | 252,969 | 246,068 | 68,397 | 67,491 | ||||||||||||||||||||
$ | 263,414 | $ | 256,557 | $ | 68,397 | $ | 67,491 | |||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||
Due in one year or less | $ | 2,019 | $ | 2,032 | $ | — | $ | — | ||||||||||||||||
Due after one year through five years | 10,488 | 10,459 | — | — | ||||||||||||||||||||
Due after five years through ten years | — | — | — | — | ||||||||||||||||||||
Due after ten years | — | — | — | — | ||||||||||||||||||||
Total mortgage related securities | 276,580 | 283,616 | 28,369 | 29,451 | ||||||||||||||||||||
$ | 289,087 | $ | 296,107 | $ | 28,369 | $ | 29,451 | |||||||||||||||||
Securities with a fair value of $9.7 million and $8.3 million at December 31, 2013 and 2012, respectively, were pledged to secure public deposits and for other purposes as required or permitted by law. | ||||||||||||||||||||||||
Securities with a fair value of $197.6 million and $115.1 million at December 31, 2013 and 2012, respectively, were used to secure FHLB advances, short-term borrowings, other borrowed funds and related unused borrowing capacities. See Note 8. | ||||||||||||||||||||||||
Securities with a fair value of $702,000 and $892,000 at December 31, 2013 and 2012, respectively, were used to secure derivative transactions. |
LOANS
LOANS | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||||
Receivables [Abstract] | ' | |||||||||||||||||||||||||||
LOANS | ' | |||||||||||||||||||||||||||
LOANS | ||||||||||||||||||||||||||||
The composition of net loans at December 31, 2013 and 2012 is provided below: | ||||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 127,501 | $ | 158,828 | ||||||||||||||||||||||||
Multi-family and commercial | 408,365 | 368,948 | ||||||||||||||||||||||||||
Construction | 5,904 | 22,591 | ||||||||||||||||||||||||||
541,770 | 550,367 | |||||||||||||||||||||||||||
Consumer loans | 22,478 | 30,585 | ||||||||||||||||||||||||||
Commercial and industrial loans | 168,013 | 113,820 | ||||||||||||||||||||||||||
Total loans | 732,261 | 694,772 | ||||||||||||||||||||||||||
Deferred loan origination (fees) cost, net | (242 | ) | 263 | |||||||||||||||||||||||||
Allowance for loan losses | (11,529 | ) | (11,170 | ) | ||||||||||||||||||||||||
Net loans | $ | 720,490 | $ | 683,865 | ||||||||||||||||||||||||
NOTE 3 - LOANS (Continued) | ||||||||||||||||||||||||||||
The Company had approximately $188.6 million and $197.9 million of loans in New Jersey at December 31, 2013 and 2012, respectively. Other than the loans in New Jersey, the majority of the Company's loans are in the geographic areas near the Company's branches in Southeastern Pennsylvania. | ||||||||||||||||||||||||||||
The Company reclassified $48,000 and $8,000 of deposit accounts that were overdrawn to loans as of December 31, 2013 and 2012, respectively. | ||||||||||||||||||||||||||||
The following table presents changes in the allowance for loan losses: | ||||||||||||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Balance, beginning | $ | 11,170 | $ | 12,075 | $ | 12,443 | ||||||||||||||||||||||
Provision for loan losses | 982 | 3,478 | 5,734 | |||||||||||||||||||||||||
Loans charged off | (713 | ) | (4,527 | ) | (6,331 | ) | ||||||||||||||||||||||
Recoveries | 90 | 144 | 229 | |||||||||||||||||||||||||
Balance, ending | $ | 11,529 | $ | 11,170 | $ | 12,075 | ||||||||||||||||||||||
The following tables present changes in the allowance for loan losses by loan segment for the years ended December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||||||
One- to | Multi-family | Construction | Consumer | Commercial | Unallocated | Total | ||||||||||||||||||||||
Four-Family | and | and | ||||||||||||||||||||||||||
Commercial | Industrial | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Balance, beginning | $ | 642 | $ | 6,327 | $ | 873 | $ | 232 | $ | 2,630 | $ | 466 | $ | 11,170 | ||||||||||||||
(Credit) provision for loan losses | (95 | ) | 1,252 | (549 | ) | (38 | ) | 421 | (9 | ) | 982 | |||||||||||||||||
Loans charged off | (179 | ) | (463 | ) | — | (71 | ) | — | — | (713 | ) | |||||||||||||||||
Recoveries | 35 | 25 | — | 30 | — | — | 90 | |||||||||||||||||||||
Balance, ending | $ | 403 | $ | 7,141 | $ | 324 | $ | 153 | $ | 3,051 | $ | 457 | $ | 11,529 | ||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||||||||||
One- to | Multi-family | Construction | Consumer | Commercial | Unallocated | Total | ||||||||||||||||||||||
Four-Family | and | and | ||||||||||||||||||||||||||
Commercial | Industrial | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Balance, beginning | $ | 1,760 | $ | 6,112 | $ | 869 | $ | 455 | $ | 2,657 | $ | 222 | $ | 12,075 | ||||||||||||||
Provision (credit) for loan losses | 286 | 1,064 | 252 | 1,659 | (27 | ) | 244 | 3,478 | ||||||||||||||||||||
Loans charged off | (1,408 | ) | (887 | ) | (340 | ) | (1,892 | ) | — | — | (4,527 | ) | ||||||||||||||||
Recoveries | 4 | 38 | 92 | 10 | — | — | 144 | |||||||||||||||||||||
Balance, ending | $ | 642 | $ | 6,327 | $ | 873 | $ | 232 | $ | 2,630 | $ | 466 | $ | 11,170 | ||||||||||||||
NOTE 3 - LOANS (Continued) | ||||||||||||||||||||||||||||
The following tables set forth the breakdown of impaired loans by loan segment as of December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||||
Nonaccrual | Accruing | Other | Total | Impaired | Impaired | |||||||||||||||||||||||
Loans | TDRs | Impaired | Impaired | Loans | Loans | |||||||||||||||||||||||
Loans | Loans | with | without | |||||||||||||||||||||||||
Allowance | Allowance | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 2,390 | $ | 582 | $ | — | $ | 2,972 | $ | 2,972 | $ | — | ||||||||||||||||
Multi-family and commercial | 3,031 | 6,191 | — | 9,222 | 8,866 | 356 | ||||||||||||||||||||||
Construction | 3,231 | — | — | 3,231 | 3,231 | — | ||||||||||||||||||||||
Consumer loans | 128 | 13 | — | 141 | 141 | — | ||||||||||||||||||||||
Commercial and industrial | — | — | — | — | — | — | ||||||||||||||||||||||
Total | $ | 8,780 | $ | 6,786 | $ | — | $ | 15,566 | $ | 15,210 | $ | 356 | ||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||
Nonaccrual | Accruing | Other | Total | Impaired | Impaired | |||||||||||||||||||||||
Loans | TDRs | Impaired | Impaired | Loans | Loans | |||||||||||||||||||||||
Loans | Loans | with | without | |||||||||||||||||||||||||
Allowance | Allowance | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 3,355 | $ | 507 | $ | — | $ | 3,862 | $ | 3,862 | $ | — | ||||||||||||||||
Multi-family and commercial | 5,284 | 6,867 | — | 12,151 | 11,770 | 381 | ||||||||||||||||||||||
Construction | 6,434 | — | — | 6,434 | 6,434 | — | ||||||||||||||||||||||
Consumer loans | 2,051 | 14 | — | 2,065 | 203 | 1,862 | ||||||||||||||||||||||
Commercial and industrial | — | — | — | — | — | — | ||||||||||||||||||||||
Total | $ | 17,124 | $ | 7,388 | $ | — | $ | 24,512 | $ | 22,269 | $ | 2,243 | ||||||||||||||||
For the years ended December 31, 2013, 2012 and 2011, the average recorded investment in the impaired loans was $15.9 million, $28.7 million, and $32.0 million respectively. The interest income recognized on these impaired loans was $359,000, $502,000 and $825,000 for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||||||||||
Loans on which the accrual of interest has been discontinued amounted to $8.8 million at December 31, 2013 and $17.1 million at December 31, 2012. If interest on such loans had been recorded in accordance with contractual terms, interest income would have increased by $616,000, $1.5 million and $1.1 million for the years ended December 31, 2013, 2012 and 2011, respectively. There were $0, $0 and $3.9 million of loans past due 90 days or more and still accruing interest at December 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||||||||||
At December 31, 2013, four troubled debt restructurings (“TDRs”), totaling $3.5 million, are excluded from the accruing TDR column above as they are included in the nonaccrual loans column. Of this amount, $3.2 million relates to one construction loans. The Bank has commitments of $618,000 to lend additional funds related to this construction loan. Additionally, the Bank had three residential loan TDRs totaling $256,000 which are included in the nonaccrual loans and total impaired loans columns. At December 31, 2012, seven TDRs totaling $6.9 million are excluded from the accruing TDR column as they are included in nonaccrual loans and total impaired loans columns. | ||||||||||||||||||||||||||||
NOTE 3 - LOANS (Continued) | ||||||||||||||||||||||||||||
The following tables set forth the allowance for loan loss for impaired loans and general allowance by loan segment as of December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
31-Dec-13 | Allowance for Loan Losses | |||||||||||||||||||||||||||
Impaired Loans | ||||||||||||||||||||||||||||
Nonaccrual Loans | Accruing TDRs | Other Impaired Loans | Total Impaired Loans | |||||||||||||||||||||||||
General | Total | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 163 | $ | 1 | $ | — | $ | 164 | $ | 239 | $ | 403 | ||||||||||||||||
Multi-family and commercial | 600 | 687 | — | 1,287 | 5,854 | 7,141 | ||||||||||||||||||||||
Construction | 263 | — | — | 263 | 61 | 324 | ||||||||||||||||||||||
Consumer loans | 6 | — | — | 6 | 147 | 153 | ||||||||||||||||||||||
Commercial and industrial | — | — | — | — | 3,051 | 3,051 | ||||||||||||||||||||||
Unallocated | — | — | — | — | 457 | 457 | ||||||||||||||||||||||
Total allowance for loan losses | $ | 1,032 | $ | 688 | $ | — | $ | 1,720 | $ | 9,809 | $ | 11,529 | ||||||||||||||||
31-Dec-12 | Allowance for Loan Losses | |||||||||||||||||||||||||||
Impaired Loans | ||||||||||||||||||||||||||||
Nonaccrual Loans | Accruing TDRs | Other Impaired Loans | Total Impaired Loans | |||||||||||||||||||||||||
General | Total | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 337 | $ | 5 | $ | — | $ | 342 | $ | 300 | $ | 642 | ||||||||||||||||
Multi-family and commercial | 530 | 948 | — | 1,478 | 4,849 | 6,327 | ||||||||||||||||||||||
Construction | 449 | — | — | 449 | 424 | 873 | ||||||||||||||||||||||
Consumer loans | 10 | 1 | — | 11 | 221 | 232 | ||||||||||||||||||||||
Commercial and industrial | — | — | — | — | 2,630 | 2,630 | ||||||||||||||||||||||
Unallocated | — | — | — | — | 466 | 466 | ||||||||||||||||||||||
Total allowance for loan losses | $ | 1,326 | $ | 954 | $ | — | $ | 2,280 | $ | 8,890 | $ | 11,170 | ||||||||||||||||
The Company may, under certain circumstances, restructure loans as a concession to borrowers who have experienced financial difficulty, which results in a TDR. TDRs are impaired loans. TDRs typically result from the Company’s loss mitigation activities, which, among other activities, could include extension of maturity, rate reductions, payment extension, and/or principal forgiveness. | ||||||||||||||||||||||||||||
At December 31, 2012, the Bank had fourteen TDRs, totaling $14.3 million. At December 31, 2013, seven of these TDRs, totaling $9.7 million, remained. These TDRs consisted of: | ||||||||||||||||||||||||||||
•one construction loans totaling $3.2 million; | ||||||||||||||||||||||||||||
•two multi-family and commercial real estate loans totaling $6.2 million; | ||||||||||||||||||||||||||||
•three residential loans totaling $236,000; and | ||||||||||||||||||||||||||||
•one consumer loan totaling $13,000. | ||||||||||||||||||||||||||||
In addition, there were two new residential loan TDRs added during the year ended December 31, 2013, which totaled $602,000 at December 31, 2013. The Bank agreed to modified terms with the borrowers, which included delayed repayment of principal and interest and reductions in interest rate. The Bank had nine TDRs totaling $10.3 million at December 31, 2013. | ||||||||||||||||||||||||||||
NOTE 3 - LOANS (Continued) | ||||||||||||||||||||||||||||
The following tables set forth a summary of the TDR activity for the years ended December 31, 2013, 2012, and 2011. | ||||||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||||||
TDRs that Defaulted in Current Period that were Restructured in the Prior Twelve Months | ||||||||||||||||||||||||||||
Restructured Current Period | ||||||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Number | Post-Modification | ||||||||||||||||||||||||
of Loans | Outstanding | Outstanding | of Loans | Outstanding | ||||||||||||||||||||||||
Recorded | Recorded | Recorded | ||||||||||||||||||||||||||
Investment | Investment | Investment | ||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | 2 | $ | 622 | $ | 622 | — | $ | — | ||||||||||||||||||||
Multi-family and commercial | — | — | — | 1 | 1,640 | |||||||||||||||||||||||
Construction | — | — | — | — | — | |||||||||||||||||||||||
Consumer loans | — | — | — | — | — | |||||||||||||||||||||||
Commercial and industrial | — | — | — | — | — | |||||||||||||||||||||||
Total | 2 | $ | 622 | $ | 622 | 1 | $ | 1,640 | ||||||||||||||||||||
The one loan disclosed above as a defaulted TDR was current as to monetary payments, but past maturity. Subsequent to the default, the loan was extended and as of December 31, 2013 the loan was performing in accordance with the modified terms. | ||||||||||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||||||||||
TDRs that Defaulted in Current Period that were Restructured in the Prior Twelve Months | ||||||||||||||||||||||||||||
Restructured Current Period | ||||||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Number | Post-Modification | ||||||||||||||||||||||||
of Loans | Outstanding | Outstanding | of Loans | Outstanding | ||||||||||||||||||||||||
Recorded | Recorded | Recorded | ||||||||||||||||||||||||||
Investment | Investment | Investment | ||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | 4 | $ | 582 | $ | 582 | 3 | $ | 254 | ||||||||||||||||||||
Multi-family and commercial | 2 | 604 | 604 | — | — | |||||||||||||||||||||||
Construction | — | — | — | — | — | |||||||||||||||||||||||
Consumer loans | 1 | 14 | 14 | 1 | 8 | |||||||||||||||||||||||
Commercial and industrial | — | — | — | — | — | |||||||||||||||||||||||
Total | 7 | $ | 1,200 | $ | 1,200 | 4 | $ | 262 | ||||||||||||||||||||
Year Ended December 31, 2011 | ||||||||||||||||||||||||||||
TDRs that Defaulted in Current Period that were Restructured in the Prior Twelve Months | ||||||||||||||||||||||||||||
Restructured Current Period | ||||||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Number | Post-Modification | ||||||||||||||||||||||||
of Loans | Outstanding | Outstanding | of Loans | Outstanding | ||||||||||||||||||||||||
Recorded | Recorded | Recorded | ||||||||||||||||||||||||||
Investment | Investment | Investment | ||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | 2 | $ | 307 | $ | 307 | — | $ | — | ||||||||||||||||||||
Multi-family and commercial | 1 | 4,673 | 4,673 | — | — | |||||||||||||||||||||||
Construction | — | — | — | 1 | 3,115 | |||||||||||||||||||||||
Consumer loans | 2 | 64 | 64 | — | — | |||||||||||||||||||||||
Commercial and industrial | — | — | — | 1 | 600 | |||||||||||||||||||||||
Total | 5 | $ | 5,044 | $ | 5,044 | 2 | $ | 3,715 | ||||||||||||||||||||
NOTE 3 - LOANS (Continued) | ||||||||||||||||||||||||||||
The following table sets forth past due loans by segment as of December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||||
30-59 | 60-89 | 30-59 | 60-89 | |||||||||||||||||||||||||
Days | Days | Days | Days | |||||||||||||||||||||||||
Past Due | Past Due | Past Due | Past Due | |||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
One- to four-family real estate | $ | 172 | $ | — | $ | 18 | $ | 284 | ||||||||||||||||||||
Multi-family and commercial real estate | — | — | — | 1,691 | ||||||||||||||||||||||||
Construction | — | — | — | — | ||||||||||||||||||||||||
Consumer | 241 | 5 | 23 | 51 | ||||||||||||||||||||||||
Commercial and industrial | — | — | — | — | ||||||||||||||||||||||||
Total | $ | 413 | $ | 5 | $ | 41 | $ | 2,026 | ||||||||||||||||||||
We use six primary classifications for loans: pass, pass watch, special mention, substandard, doubtful and loss, of which three classifications are for problem loans: substandard, doubtful and loss. “Substandard loans” must have one or more well defined weaknesses and are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. “Doubtful loans” have the weaknesses of substandard loans with the additional characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions and values questionable, and there is a high possibility of loss. A loan classified “loss” is considered uncollectible and of such little value that continuance as a loan of the institution is not warranted. We also maintain a “special mention” category, described as loans which do not currently expose us to a sufficient degree of risk to warrant classification but do possess credit deficiencies or potential weaknesses deserving our close attention. If we classify an asset as loss, it is recorded as a loan charged off in the current period. | ||||||||||||||||||||||||||||
The following tables set forth criticized and classified loans by segment as of December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||||
One- to | Multi-family | Construction | Consumer | Commercial | Total | |||||||||||||||||||||||
Four-Family | and | and | ||||||||||||||||||||||||||
Commercial | Industrial | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Pass and Pass watch | $ | 125,111 | $ | 390,908 | $ | 2,672 | $ | 22,350 | $ | 165,336 | $ | 706,377 | ||||||||||||||||
Special mention | — | 12,414 | — | — | 2,677 | 15,091 | ||||||||||||||||||||||
Substandard | 2,390 | 5,043 | 3,232 | 128 | — | 10,793 | ||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | ||||||||||||||||||||||
Total loans | $ | 127,501 | $ | 408,365 | $ | 5,904 | $ | 22,478 | $ | 168,013 | $ | 732,261 | ||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||||||||
One- to | Multi-family | Construction | Consumer | Commercial | Total | |||||||||||||||||||||||
Four-Family | and | and | ||||||||||||||||||||||||||
Commercial | Industrial | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Pass and Pass watch | $ | 155,473 | $ | 347,150 | $ | 16,157 | $ | 28,534 | $ | 110,032 | $ | 657,346 | ||||||||||||||||
Special mention | — | 6,733 | — | — | 3,633 | 10,366 | ||||||||||||||||||||||
Substandard | 3,355 | 15,065 | 6,434 | 2,051 | 155 | 27,060 | ||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | ||||||||||||||||||||||
Total loans | $ | 158,828 | $ | 368,948 | $ | 22,591 | $ | 30,585 | $ | 113,820 | $ | 694,772 | ||||||||||||||||
DERIVATIVES_AND_HEDGING
DERIVATIVES AND HEDGING | 12 Months Ended |
Dec. 31, 2013 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' |
DERIVATIVES AND HEDGING | ' |
DERIVATIVES AND HEDGING | |
Interest Rate Swaps | |
On November 3, 2006, the Company entered an interest rate swap with a current notional amount of $877,000, which is used to hedge a 15-year fixed rate loan that is earning interest at 7.43%. The Company is receiving variable rate payments of one-month LIBOR plus 224 basis points and is paying fixed rate payments of 7.43%. The swap matures in April 2022 and had a fair value loss position of $132,000 and $203,000 at December 31, 2013 and 2012, respectively. The interest rate swap is carried at fair value in accordance with FASB ASC 815 “Derivatives and Hedging.” The loan is carried at fair value under the fair value option as permitted by FASB ASC 825 “Financial Instruments.” | |
On October 12, 2011, the Company entered an interest rate swap with a current notional amount of $1.5 million, which is used to hedge a 10-year fixed rate loan that is earning interest at 5.83%. The Company is receiving variable rate payments of one-month LIBOR plus 350 basis points and is paying fixed rate payments of 5.83%. The Company designated this relationship as a fair value hedge. The swap matures in October 2021 and had a fair value gain position of $12,000 and loss position of $105,000 at December 31, 2013 and 2012, respectively. The difference between changes in the fair values of the interest rate swap agreement and the hedged loan represents hedge ineffectiveness and is recorded in other non-interest income in the consolidated statements of operations. Hedge ineffectiveness resulted in income of $20,000 and expense of $4,000 for the years ended December 31, 2013 and 2012, respectively. | |
Credit Derivatives | |
We have entered into agreements with a third-party financial institution whereby the financial institution enters into interest rate derivative contracts and foreign currency swap contracts with customers referred to them by us. Under the agreements, the financial institution has recourse to the Company for any exposure created under each swap contract in the event the customer defaults on the swap agreement and the agreement is in a paying position to the third-party financial institution. These transactions represent credit derivatives and are a customary arrangement that allows financial institutions like us to provide access to interest rate and foreign currency swap transactions for our customers without creating the swap ourselves. The Company records the fair value of credit derivatives in other liabilities on the consolidated statement of condition. The Company recognizes changes in the fair value of credit derivatives, net of any fees received, as service charges and other fee income in the consolidated statements of operations. | |
At December 31, 2013, there were five variable-rate to fixed-rate interest rate swap transactions between the third-party financial institution and our customers with a notional amount of $19.5 million, and remaining maturities ranging from 6 to 9 years. At December 31, 2012, there were four variable-rate to fixed-rate interest swap transactions between the third-party financial institution and our customers with a notional amount of $13.3 million, and remaining maturities ranging from 7 to 10 years. The fair value of the swaps to the customers was an asset of $969,000 and a liability of $213,000 as of December 31, 2013 and 2012, respectively, and all swaps were in receiving positions from the third-party financial institution at December 31, 2013. As of December 31, 2013 and 2012, the fair value of the Company’s interest rate swap credit derivatives was a liability of $3,000 and $12,000, respectively. During the years ended December 31, 2013 and 2012, the Company recognized income of $10,000 and $67,000 respectively, from interest rate swap credit derivatives. | |
At December 31, 2013, there were seven foreign currency swap transactions between the third-party financial institution and our customers with a notional amount of $517,000, and remaining maturities ranging from one to eleven months. The aggregate fair value of these swaps to the customers was $0 as of December 31, 2013. At December 31, 2013, the fair value of the Company’s credit derivatives was $1,000. At December 31, 2012, there were no foreign currency swap transactions between the third-party financial institution and our customers. During the years ended December 31, 2013 and 2012, the Company recognized income of $3,000 and $35,000, respectively, from foreign currency swap credit derivatives. | |
The maximum potential payments by the Company to the financial institution under these credit derivatives are not estimable as they are contingent on future interest rates and exchange rates, and the agreement does not provide for a limitation of the maximum potential payment amount. |
MORTGAGE_SERVICING_ACTIVITY
MORTGAGE SERVICING ACTIVITY | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
MORTGAGE SERVICING ACTIVITY | ' | ||||||||||||
MORTGAGE SERVICING ACTIVITY | ' | ||||||||||||
MORTGAGE SERVICING ACTIVITY | |||||||||||||
Loans serviced for others are not included in the accompanying consolidated statements of condition. The unpaid principal balances of these loans were $27.7 million, $36.6 million and $50.0 million at December 31, 2013, 2012 and 2011, respectively. The Company received fees, net of amortization, from the servicing of loans of $7,000, $(16,000) and $25,000 during the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||
The following table summarizes mortgage servicing rights activity for the years ended December 31, 2013, 2012 and 2011. | |||||||||||||
Servicing | Valuation | Net | |||||||||||
Rights | Allowance | Carrying | |||||||||||
Value | |||||||||||||
(In thousands) | |||||||||||||
Balance at | 31-Dec-10 | $ | 579 | $ | (131 | ) | $ | 448 | |||||
Additions | — | (8 | ) | (8 | ) | ||||||||
Amortization | (124 | ) | — | (124 | ) | ||||||||
Balance at | 31-Dec-11 | $ | 455 | $ | (139 | ) | $ | 316 | |||||
Additions | — | (16 | ) | (16 | ) | ||||||||
Amortization | (130 | ) | — | (130 | ) | ||||||||
Balance at | 31-Dec-12 | $ | 325 | $ | (155 | ) | $ | 170 | |||||
Reductions | — | 52 | 52 | ||||||||||
Amortization | (70 | ) | — | (70 | ) | ||||||||
Balance at | 31-Dec-13 | $ | 255 | $ | (103 | ) | $ | 152 | |||||
The estimated amortization expense of amortizing mortgage servicing rights for each of the five succeeding fiscal years after December 31, 2013 is as follows: | |||||||||||||
Year | Amount | ||||||||||||
(In thousands) | |||||||||||||
2014 | $ | 57 | |||||||||||
2015 | 45 | ||||||||||||
2016 | 35 | ||||||||||||
2017 | 28 | ||||||||||||
2018 | 21 | ||||||||||||
Thereafter | 69 | ||||||||||||
Total | $ | 255 | |||||||||||
At December 31, 2013 and 2012, the fair value of the mortgage servicing rights (“MSRs”) was $152,000 and $170,000, respectively. The fair value at these dates was determined using a third-party valuation model that calculates the present value of estimated future servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds and discount rates. Mortgage loan prepayment speed is the annual rate at which borrowers are forecasted to repay their mortgage loan principal and is based on historical experience and current interest rates. The discount rate used to determine the present value of future net servicing income is the required rate of return the market would expect for an asset with similar risk. Both assumptions can, and generally will, change quarterly valuations as market conditions and interest rates change. | |||||||||||||
The valuation allowance was decreased by $52,000 during the year ended December 31, 2013. The decrease occurred due to slowing prepayment speeds as mortgage interest rates increased during the year. The valuation allowance was increased by $16,000 and $8,000 during the years ended December 31, 2012 and 2011, respectively. The amount of the valuation adjustment is recorded as an adjustment to service charges and other fee income in the Company's consolidated statement of operations. |
PREMISES_AND_EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||||||
PREMISES AND EQUIPMENT | ' | ||||||||||||
PREMISES AND EQUIPMENT | |||||||||||||
The components of premises and equipment at December 31, 2013 and 2012 were as follows: | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||
Land | $ | 3,207 | $ | 3,207 | |||||||||
Buildings | 13,759 | 13,661 | |||||||||||
Leasehold improvements | 202 | 201 | |||||||||||
Furniture, fixtures and equipment | 4,739 | 4,827 | |||||||||||
21,907 | 21,896 | ||||||||||||
Less: accumulated depreciation | (12,093 | ) | (11,453 | ) | |||||||||
Premises and equipment, net | $ | 9,814 | $ | 10,443 | |||||||||
As of December 31, 2013, the Company leased space for an operations center in Blue Bell, Pennsylvania, a branch location in Media, Pennsylvania and certain office equipment. The leases are accounted for as operating leases. The Blue Bell lease expires in January 2016 and, upon expiration, the Company has the option to extend the lease for an additional five-year period at the then prevailing market rate. The following rental expenses were included in the Company's financial statements. | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Office rent | $ | 407 | $ | 449 | $ | 486 | |||||||
Equipment lease | 2 | 2 | 2 | ||||||||||
$ | 409 | $ | 451 | $ | 488 | ||||||||
The following table shows the minimum future rental payments under non-cancelable leases for premises and equipment as of December 31, 2013. | |||||||||||||
Year | Amount | ||||||||||||
(In thousands) | |||||||||||||
2014 | $ | 443 | |||||||||||
2015 | 428 | ||||||||||||
2016 | 36 | ||||||||||||
2017 | — | ||||||||||||
2018 | — | ||||||||||||
DEPOSITS
DEPOSITS | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Banking and Thrift [Abstract] | ' | |||||||||||||
DEPOSITS | ' | |||||||||||||
DEPOSITS | ||||||||||||||
Deposits and their respective weighted average interest rate at December 31, 2013 and December 31, 2012 consist of the following: | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Weighted | Amount | Weighted | Amount | |||||||||||
Average | Average | |||||||||||||
Interest Rate | Interest Rate | |||||||||||||
(Dollars in thousands) | ||||||||||||||
Noninterest-bearing demand accounts | — | % | $ | 100,748 | — | % | $ | 108,176 | ||||||
NOW accounts | 0.21 | 84,569 | 0.22 | 70,199 | ||||||||||
Money market accounts | 0.2 | 85,017 | 0.19 | 97,318 | ||||||||||
Savings and club accounts | 0.22 | 108,183 | 0.14 | 99,046 | ||||||||||
Brokered deposits | 0.56 | 71,334 | 0.51 | 50,637 | ||||||||||
Certificates of deposit | 1.26 | 223,864 | 1.59 | 262,033 | ||||||||||
0.56 | % | $ | 673,715 | 0.71 | % | $ | 687,409 | |||||||
The scheduled maturities of certificates of deposit and brokered deposits for periods subsequent to December 31, 2013 are as follows: | ||||||||||||||
December 31, | ||||||||||||||
Year | Certificates of | Brokered | Total | |||||||||||
Deposit | Deposits | |||||||||||||
(In thousands) | ||||||||||||||
2014 | $ | 141,653 | $ | 37,196 | $ | 178,849 | ||||||||
2015 | 46,545 | 14,643 | 61,188 | |||||||||||
2016 | 18,075 | 7,095 | 25,170 | |||||||||||
2017 | 4,978 | 6,219 | 11,197 | |||||||||||
2018 | 5,768 | 6,181 | 11,949 | |||||||||||
Thereafter | 6,845 | — | 6,845 | |||||||||||
$ | 223,864 | $ | 71,334 | $ | 295,198 | |||||||||
A summary of interest expense on deposits for the years ended December 31, 2013, 2012 and 2011 is as follows: | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
(In thousands) | ||||||||||||||
NOW accounts | $ | 172 | $ | 234 | $ | 143 | ||||||||
Money market accounts | 172 | 339 | 596 | |||||||||||
Savings and club accounts | 141 | 253 | 148 | |||||||||||
Brokered deposits | 391 | 194 | 13 | |||||||||||
Certificates of deposit | 3,468 | 5,327 | 7,772 | |||||||||||
$ | 4,344 | $ | 6,347 | $ | 8,672 | |||||||||
The aggregate amount of certificates of deposit with a minimum denomination of $100,000 was $51.1 million and $62.5 million at December 31, 2013 and 2012, respectively. Deposits in excess of $250,000 are not insured by the FDIC. |
BORROWINGS
BORROWINGS | 12 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
BORROWINGS | ' | |||||||||||||||||
BORROWINGS | ' | |||||||||||||||||
BORROWINGS | ||||||||||||||||||
The following is a summary of borrowed funds by type: | ||||||||||||||||||
Balance at End of Year | Weighted | Maximum | Average | Weighted | ||||||||||||||
Average | Amount | Amount | Average | |||||||||||||||
Coupon Rate | Outstanding at | Outstanding | Interest Rate | |||||||||||||||
Month End | During the Year | During the Year | ||||||||||||||||
During the Year | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
2013 | ||||||||||||||||||
FHLB advances | $ | 150,000 | 1.52 | % | $ | 150,000 | $ | 135,807 | 1.61 | % | ||||||||
Other borrowed funds | 30,000 | 3.3 | 30,000 | 30,000 | 3.36 | |||||||||||||
Short-term borrowings | 80,500 | 0.32 | 80,500 | 47,368 | 0.28 | |||||||||||||
2012 | ||||||||||||||||||
FHLB advances | $ | 110,000 | 1.8 | % | $ | 110,000 | $ | 82,039 | 2.9 | % | ||||||||
Other borrowed funds | 30,000 | 3.3 | 50,000 | 39,389 | 3.42 | |||||||||||||
Short-term borrowings | 70,500 | 0.3 | 70,500 | 15,851 | 0.24 | |||||||||||||
FHLB Advances | ||||||||||||||||||
Pursuant to collateral agreements with the FHLB of Pittsburgh, advances are secured by qualifying first mortgage loans, qualifying fixed-income securities, FHLB stock and an interest-bearing demand deposit account with the FHLB. | ||||||||||||||||||
Maturity Date | Amount | Coupon Rate | Call Date | Rate if Called | ||||||||||||||
(In thousands) | ||||||||||||||||||
Aug-14 | $ | 10,000 | 0.52 | % | Not Applicable | Not Applicable | ||||||||||||
Sep-14 | 15,000 | 0.41 | Not Applicable | Not Applicable | ||||||||||||||
Dec-14 | 15,000 | 0.43 | Not Applicable | Not Applicable | ||||||||||||||
Mar-15 | 10,000 | 0.49 | Not Applicable | Not Applicable | ||||||||||||||
Apr-15 | 10,000 | 0.45 | Not Applicable | Not Applicable | ||||||||||||||
Aug-15 | 10,000 | 0.68 | Not Applicable | Not Applicable | ||||||||||||||
Mar-16 | 10,000 | 0.62 | Not Applicable | Not Applicable | ||||||||||||||
Sep-16 | 5,000 | 0.75 | Not Applicable | Not Applicable | ||||||||||||||
Sep-16 | 10,000 | 1.04 | Not Applicable | Not Applicable | ||||||||||||||
Jun-17 | 5,000 | 0.94 | Not Applicable | Not Applicable | ||||||||||||||
Nov-17 | 15,000 | 3.62 | Feb-14 | LIBOR + 0.10% | ||||||||||||||
Nov-17 | 15,000 | 3.87 | Feb-14 | LIBOR + 0.10% | ||||||||||||||
Dec-17 | 20,000 | 2.83 | March 2014 | LIBOR + 0.11% | ||||||||||||||
$ | 150,000 | 1.52 | % | |||||||||||||||
NOTE 8 - BORROWINGS (Continued) | ||||||||||||||||||
Advances from the FHLB of Pittsburgh with coupon rates ranging from 0.41% to 3.87% are due as follows. | ||||||||||||||||||
Maturity | Amount | Weighted | ||||||||||||||||
Average | ||||||||||||||||||
Coupon Rate | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
2014 | $ | 40,000 | 0.45 | % | ||||||||||||||
2015 | 30,000 | 0.54 | ||||||||||||||||
2016 | 25,000 | 0.81 | ||||||||||||||||
2017 | 55,000 | 3.16 | ||||||||||||||||
$ | 150,000 | 1.52 | % | |||||||||||||||
For the borrowings which have a “Call Date” disclosed in the above table, if the borrowing is called, the Bank has the option to either pay off the borrowing without penalty or the borrowing’s fixed rate resets to a variable LIBOR based rate, as noted in the above table. Subsequent to the call date, the borrowings are callable by the FHLB quarterly. Accordingly, the contractual maturities above may differ from actual maturities. | ||||||||||||||||||
The Bank had a maximum borrowing capacity with the FHLB of Pittsburgh of approximately $413.8 million at December 31, 2013. As of December 31, 2013, the Bank had qualifying collateral pledged against its advances consisting of loans in the amount of $458.9 million and securities in the amount of $82.9 million. Additionally, as of December 31, 2013, the Bank had a maximum borrowing capacity of $76.7 million with the Federal Reserve Bank of Philadelphia through the Discount Window. This borrowing capacity was generated by pledged securities with a fair value of $77.0 million. | ||||||||||||||||||
As a member of the FHLB of Pittsburgh, the Bank is required to acquire and hold shares of capital stock in the FHLB of Pittsburgh in an amount equal to at least 4.00% of its advances plus 0.35% of the Bank’s “eligible assets,” as such term is defined by the FHLB; and a maximum amount of 6.00% of its advances plus 1.00% of the Bank’s “eligible assets.” As of December 31, 2013, the Company’s minimum stock obligation was $8.5 million and a maximum stock obligation was $15.8 million. The Company held $9.8 million in FHLB stock at that date. | ||||||||||||||||||
During the three months ended June 30, 2012, the Company terminated $36.3 million of FHLB borrowings at a pre-tax cost of $1.5 million, which was recorded in loss on extinguishment of debt in the consolidated statement of operations. | ||||||||||||||||||
Other Borrowed Funds | ||||||||||||||||||
Other borrowed funds obtained from large commercial banks under security repurchase agreements totaled $30.0 million at December 31, 2013. These borrowings contractually mature with dates ranging from September 2018 through November 2018. As disclosed in the table below, one of the borrowings may be called by the lender based on the underlying agreements. Accordingly, the contractual maturities below may differ from actual maturities. | ||||||||||||||||||
Next Call Date | Subsequent Call Frequency | |||||||||||||||||
Maturity Date | Amount | Coupon Rate | ||||||||||||||||
(In thousands) | ||||||||||||||||||
September 2018 | $ | 10,000 | 3.4 | % | Not Applicable | Not Applicable | ||||||||||||
September 2018 | 5,000 | 3.2 | Not Applicable | Not Applicable | ||||||||||||||
October 2018 | 5,000 | 3.15 | January 2014 | Quarterly | ||||||||||||||
October 2018 | 5,000 | 3.27 | Not Applicable | Not Applicable | ||||||||||||||
November 2018 | 5,000 | 3.37 | Not Applicable | Not Applicable | ||||||||||||||
$ | 30,000 | 3.3 | % | |||||||||||||||
Mortgage backed securities with a fair value of $37.7 million at December 31, 2013 were used to secure these other borrowed funds. | ||||||||||||||||||
NOTE 8 - BORROWINGS (Continued) | ||||||||||||||||||
During 2012, the Company terminated $20.0 million of other long-term borrowings at a pre-tax cost of $1.5 million, which was recorded in loss on extinguishment of debt in the consolidated statement of operations. | ||||||||||||||||||
Short Term Borrowings | ||||||||||||||||||
As of December 31, 2013 and 2012, the Company had $80.5 million and $70.5 million, respectively, of short-term borrowings. The short-term borrowings had blended weighted average rates of 0.32% and 0.30% at December 31, 2013 and 2012, respectively. Short-term borrowings consist of overnight and term borrowings with an original maturity less than one year. Short-term borrowings are obtained from commercial banks, participants in the Federal Funds market and the FHLB. |
EMPLOYEE_BENEFITS
EMPLOYEE BENEFITS | 12 Months Ended |
Dec. 31, 2013 | |
Compensation and Retirement Disclosure [Abstract] | ' |
EMPLOYEE BENEFITS | ' |
EMPLOYEE BENEFITS | |
401(k) Plan | |
The Bank has a 401(k) retirement plan covering all employees meeting certain eligibility requirements. Employees may contribute a percentage of their salary to the Plan each year, subject to limitations set by law. The Bank matches a portion of each employee contribution and also may make discretionary contributions, based on the Bank's performance. The Bank provides a matching contribution equivalent to 33% of the first 6% of the contribution made by an employee. The Bank's contributions to the plan on behalf of its employees resulted in an expenditure of $146,000, $131,000 and $121,000 for the years ended December 31, 2013, 2012 and 2011, respectively. | |
Employee Stock Ownership Plan | |
The ESOP is a tax-qualified plan designed to invest in the Bancorp's common stock that provides employees meeting certain eligibility requirements with the opportunity to receive a funded retirement benefit, based on the value of the Bancorp's common stock. The ESOP has purchased 963,767 shares of common stock and has total loans outstanding of $6.1 million as of December 31, 2013. The ESOP purchased shares in two separate transactions as described below. | |
The ESOP initially purchased 615,267 shares of common stock in 2006 in conjunction with the Bancorp's initial public offering at a price of $9.35 per share with the proceeds of a loan from Bancorp to the ESOP. The outstanding loan principal balance on the initial ESOP transaction at December 31, 2013 and 2012 was $3.3 million and $3.7 million, respectively. ESOP shares from this transaction that were unallocated at December 31, 2013 totaled 287,124 and had a fair market value of $5.0 million. | |
The ESOP purchased an additional 348,500 shares of common stock in conjunction with the Bancorp's mutual-to-stock conversion completed on June 29, 2010 at a price of $10.00 per share with the proceeds of a second loan from the Bancorp to the ESOP. The outstanding loan principal balance at December 31, 2013 and 2012 was $2.8 million and $3.0 million, respectively. ESOP shares from this transaction that were unallocated at December 31, 2013 totaled 264,380 and had a fair market value of $4.6 million. | |
Shares of the Bancorp's common stock pledged as collateral for the loan are released from the pledge for allocation to Plan participants as loan payments are made. The Bank releases 65,053 shares annually based upon the ratio that the current principal and interest payment bears to the current and remaining scheduled future principal and interest payments. Dividends declared on common stock held by the ESOP and not allocated to the account of a participant are used to repay the loan. Dividends declared on common stock held by the ESOP that are allocated to the account of a participant are paid to the participant each year. | |
As of December 31, 2013, there were no shares committed to employees, 412,263 shares allocated to employees and 551,504 unallocated shares to be released in future periods. | |
Total ESOP compensation expense for the years ended December 31, 2013, 2012 and 2011 was $1.1 million, $921,000 and $840,000, respectively, representing the average fair market value of shares allocated during the year. | |
Long-Term Incentive Plan | |
The Bank maintains the Fox Chase Bank Executive Long-Term Incentive Plan (the "Incentive Plan"). All plan assets are invested in Bancorp common stock. The Incentive Plan became effective January 1, 2006. All shares in the plan were fully vested on January 1, 2011. |
STOCK_BASED_COMPENSATION
STOCK BASED COMPENSATION | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||||||||
STOCK BASED COMPENSATION | ' | |||||||||||||||||||
STOCK BASED COMPENSATION | ||||||||||||||||||||
In 2007, stockholders approved the Fox Chase Bancorp, Inc. 2007 Equity Incentive Plan (the "2007 Plan"). The Plan provides that 769,083 shares of common stock may be issued in connection with the exercise of stock options and 307,633 shares of common stock may be issued as restricted stock. The Plan allows for the granting of non-statutory stock options ("NSOs"), incentive stock options and restricted stock. Options are granted at no less than the fair value of the Bancorp's common stock on the date of the grant. In 2007, Old Fox Chase Bancorp's Board of Directors approved the funding of a trust that purchased 307,395 shares of Bancorp's common stock to fund restricted stock awards under the Plan. The 307,395 shares were purchased by the trust at a weighted average cost of $12.18 per share. | ||||||||||||||||||||
In August 2011, stockholders approved the Fox Chase Bancorp, Inc. 2011 Equity Incentive Plan (the "2011 Plan"). The 2011 Plan provides that 685,978 shares of common stock may be issued in connection with the exercise of stock options and 274,391 shares of common stock may be issued as restricted stock, including performance based restricted stock. In August 2011, the Board of Directors approved the funding of a trust that purchased 274,391 shares of Bancorp's common stock to fund restricted stock awards under the 2011 Plan. During the year ended December 31, 2011, 274,391 shares were purchased by the trust at a weighted average cost of $12.66 per share. | ||||||||||||||||||||
The Company granted 39,250, 22,500 and 10,668 shares of performance based restricted stock to certain executive officers of the Company during 2013, 2012 and 2011, respectively. | ||||||||||||||||||||
During the years ended December 31, 2013, 2012 and 2011, the Company recorded $1.1 million, $1.0 million and $1.0 million of stock based compensation expense, respectively, comprised of stock option expense of $431,000, $420,000 and $436,000, respectively and restricted stock expense of $693,000, $621,000 and $606,000, respectively. | ||||||||||||||||||||
The following is a summary of the Bancorp’s stock option activity and related information for the years ended December 31, 2013, 2012 and 2011. | ||||||||||||||||||||
Number of | Weighted | Weighted | Aggregate | |||||||||||||||||
Stock | Average | Average | Intrinsic | |||||||||||||||||
Options | Exercise | Remaining | Value | |||||||||||||||||
Price | Contractual | |||||||||||||||||||
Life | ||||||||||||||||||||
Outstanding at | 31-Dec-10 | 692,178 | $ | 10.97 | 7.1 years | $ | 608,000 | |||||||||||||
Granted | 135,494 | 12.49 | ||||||||||||||||||
Exercised | (15,037 | ) | 10.69 | |||||||||||||||||
Forfeited/Cancelled | (24,493 | ) | 11.24 | |||||||||||||||||
Outstanding at | 31-Dec-11 | 788,142 | $ | 11.23 | 6.6 years | $ | 1,111,000 | |||||||||||||
Granted | 146,550 | 13.15 | ||||||||||||||||||
Exercised | (43,954 | ) | 10.94 | |||||||||||||||||
Forfeited/Cancelled | (13,069 | ) | 11.1 | |||||||||||||||||
Outstanding at | 31-Dec-12 | 877,669 | $ | 11.57 | 6.3 years | $ | 4,461,000 | |||||||||||||
Granted | 255,650 | 17 | ||||||||||||||||||
Exercised | (9,811 | ) | 10.82 | |||||||||||||||||
Forfeited/Cancelled | (100 | ) | 12.94 | |||||||||||||||||
Outstanding at | December 31, 2013 | 1,123,408 | $ | 12.81 | 6.2 years | $ | 5,013,000 | |||||||||||||
Exercisable at | December 31, 2013 | 647,884 | $ | 11.3 | 4.5 years | $ | 3,867,000 | |||||||||||||
Management estimated the fair values of all option grants using the Black-Scholes option-pricing model. Through June 30, 2011, as limited historical information on the volatility of the Company's stock existed, management considered the average volatilities of comparable public companies over a period equal to the expected life of the options in determining the expected volatility rate. Beginning in the quarter ended September 30, 2011, management began to utilize the Company's actual volatility in determining the expected volatility rate. Management estimated the expected life of the options using the simplified method allowed under certain accounting standards. The risk-free rate was determined utilizing the Treasury yield for the expected life of the option contract. | ||||||||||||||||||||
NOTE 10 - STOCK BASED COMPENSATION (Continued) | ||||||||||||||||||||
The fair value of the options granted in 2013 was estimated to be $4.20 to $4.45. The fair value was based on the following assumptions: | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Expected Dividend Yield | 2.22% | 1.82% | 1.9 | % | - | 2 | % | |||||||||||||
Expected Volatility | 31.11 | % | - | 31.12 | % | 32 | % | - | 32.5 | % | 33 | % | - | 40 | % | |||||
Risk-Free Interest Rate | 1.19 | % | - | 1.74 | % | 0.86 | % | - | 1.1 | % | 1.21 | % | - | 2.51 | % | |||||
Expected Option Life in Years | 6.5 | 6.5 | 6.5 | |||||||||||||||||
The following is a summary of the Bancorp’s unvested options as of December 31, 2013, 2012 and 2011 and the changes therein during the years then ended. | ||||||||||||||||||||
Number of | Weighted | |||||||||||||||||||
Stock | Average | |||||||||||||||||||
Options | Grant Date | |||||||||||||||||||
Fair Value | ||||||||||||||||||||
Unvested at | 31-Dec-10 | 343,997 | $ | 2.9 | ||||||||||||||||
Granted | 135,494 | 3.6 | ||||||||||||||||||
Vested | (135,464 | ) | 2.98 | |||||||||||||||||
Forfeited / Cancelled | (21,497 | ) | 3.06 | |||||||||||||||||
Unvested at | 31-Dec-11 | 322,530 | $ | 3.15 | ||||||||||||||||
Granted | 146,550 | 3.57 | ||||||||||||||||||
Vested | (145,350 | ) | 3.1 | |||||||||||||||||
Forfeited / Cancelled | (13,069 | ) | 3.17 | |||||||||||||||||
Unvested at | 31-Dec-12 | 310,661 | $ | 3.36 | ||||||||||||||||
Granted | 255,650 | 4.2 | ||||||||||||||||||
Vested | (90,787 | ) | 3.16 | |||||||||||||||||
Forfeited / Cancelled | — | — | ||||||||||||||||||
Unvested at | 31-Dec-13 | 475,524 | $ | 3.85 | ||||||||||||||||
Expected future expense relating to the 475,524 non-vested options outstanding as of December 31, 2013 is $1.5 million over a weighted average period of 3.7 years. | ||||||||||||||||||||
NOTE 10 - STOCK BASED COMPENSATION (Continued) | ||||||||||||||||||||
The following is a summary of the status of the Bancorp’s restricted stock as of December 31, 2013, 2012 and 2011 and changes therein during the years then ended. | ||||||||||||||||||||
Number of | Weighted | |||||||||||||||||||
Restricted | Average | |||||||||||||||||||
Shares | Grant Date | |||||||||||||||||||
Fair Value | ||||||||||||||||||||
Unvested at | 31-Dec-10 | 117,431 | $ | 10.91 | ||||||||||||||||
Granted | 57,036 | 12.54 | ||||||||||||||||||
Vested | (48,620 | ) | 11.19 | |||||||||||||||||
Forfeited / Cancelled | (5,857 | ) | 11.72 | |||||||||||||||||
Unvested at | 31-Dec-11 | 119,990 | $ | 11.54 | ||||||||||||||||
Granted | 69,950 | 13.14 | ||||||||||||||||||
Vested | (56,358 | ) | 11.46 | |||||||||||||||||
Forfeited / Cancelled | (3,025 | ) | 12.08 | |||||||||||||||||
Unvested at | 31-Dec-12 | 130,557 | $ | 12.41 | ||||||||||||||||
Granted | 122,450 | 17 | ||||||||||||||||||
Vested | (27,075 | ) | 11.77 | |||||||||||||||||
Forfeited / Cancelled | — | — | ||||||||||||||||||
Unvested at | 31-Dec-13 | 225,932 | $ | 14.98 | ||||||||||||||||
Expected future compensation expense relating to the 225,932 restricted shares at December 31, 2013 is $2.8 million over a weighted average period of 3.7 years. |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
INCOME TAXES | ' | ||||||||||||
INCOME TAXES | |||||||||||||
The components of income tax expense (benefit) for the years ended December 31, 2013, 2012 and 2011 are as follows: | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Federal: | |||||||||||||
Current | $ | 3,330 | $ | 2,408 | $ | 2,555 | |||||||
Deferred | (1,083 | ) | (140 | ) | (359 | ) | |||||||
2,247 | 2,268 | 2,196 | |||||||||||
State: | |||||||||||||
Current | — | — | — | ||||||||||
Deferred | 16 | 50 | 16 | ||||||||||
16 | 50 | 16 | |||||||||||
$ | 2,263 | $ | 2,318 | $ | 2,212 | ||||||||
NOTE 11 - INCOME TAXES (Continued) | |||||||||||||
The provision for income taxes differs from the statutory rate of 34% due to the following: | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Federal income tax at statutory rate of 34% | $ | 2,651 | $ | 2,509 | $ | 2,377 | |||||||
Tax exempt interest, net | (233 | ) | (62 | ) | (62 | ) | |||||||
Bank-owned life insurance | (160 | ) | (160 | ) | (159 | ) | |||||||
ESOP compensation expense | 167 | 101 | 73 | ||||||||||
Equity incentive plans | — | — | 1 | ||||||||||
Other, net | 14 | 13 | 13 | ||||||||||
Dividends received from equity method investments | (98 | ) | (49 | ) | (13 | ) | |||||||
Dividends paid on benefit plans | (89 | ) | (67 | ) | (26 | ) | |||||||
State taxes, net | (20 | ) | 304 | 126 | |||||||||
Increase (Decrease) in valuation allowance | 31 | (271 | ) | (118 | ) | ||||||||
Total Provision | $ | 2,263 | $ | 2,318 | $ | 2,212 | |||||||
Effective tax rate | 29.03 | % | 31.41 | % | 31.64 | % | |||||||
The net deferred tax asset consisted of the following components as of December 31, 2013 and 2012: | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||
Deferred tax assets: | |||||||||||||
Allowance for loan losses, net | $ | 3,920 | $ | 3,798 | |||||||||
Provision for loss on assets acquired through foreclosure | 1,826 | 966 | |||||||||||
Nonaccrual interest | 274 | 569 | |||||||||||
Equity incentive plans | 1,187 | 885 | |||||||||||
Accrued expenses | 455 | 370 | |||||||||||
Deferred lease liability | 46 | 51 | |||||||||||
State net operating loss carryforward | 96 | 73 | |||||||||||
Unrealized losses on securities available-for-sale | 2,408 | — | |||||||||||
10,212 | 6,712 | ||||||||||||
Valuation allowance | (67 | ) | (36 | ) | |||||||||
10,145 | 6,676 | ||||||||||||
Deferred tax liabilities: | |||||||||||||
Prepaid expense deduction | 255 | 238 | |||||||||||
Mortgage servicing rights | 52 | 58 | |||||||||||
Loan origination costs | 28 | 39 | |||||||||||
Deferrable earnings on investments | 504 | 439 | |||||||||||
Depreciation of premises and equipment | 400 | 471 | |||||||||||
Unrealized gains on securities available-for-sale | — | 2,478 | |||||||||||
1,239 | 3,723 | ||||||||||||
Net Deferred Tax Asset | $ | 8,906 | $ | 2,953 | |||||||||
NOTE 11 - INCOME TAXES (Continued) | |||||||||||||
Based on the Company's history of earnings and its expectation of future taxable income, management anticipates that it is more likely than not that the above deferred tax assets will be realized, except for the $67,000 gross deferred tax assets related to Fox Chase Bank's state net operating loss carryforward. | |||||||||||||
Retained earnings include $6.0 million at December 31, 2013, 2012 and 2011 for which no provision for federal income tax has been made. This amount represents deductions for bad debt reserves for tax purposes, which were only allowed to savings institutions that met certain criteria prescribed by the Internal Revenue Code of 1986, as amended. The Small Business Job Protection Act of 1996 (the "Act") eliminated the special bad debt deduction granted solely to thrifts. Under the terms of the Act, there would be no recapture of the pre-1988 (base year) reserves. However, these pre-1988 reserves would be subject to recapture under the rules of the Internal Revenue Code if the Company pays a cash dividend in excess of earnings and profits, or liquidates. | |||||||||||||
Approximately $96,000 of gross deferred tax assets were related to state tax net operating losses at December 31, 2013. Of this amount, $67,000 is related to the Bank and has a full valuation allowance of $67,000 on this deferred tax asset due to an expectation of such net operating losses expiring before being utilized. The remaining $29,000 of gross deferred tax assets were related to state tax net operating losses on Fox Chase Service Corporation and have no valuation allowance as it is more likely than not that it will be fully utilized before it expires. The Company has $953,000 of state net operating losses remaining as of December 31, 2013 for the Bank, which will begin to expire December 31, 2014. The Company has $292,000 of state net operating losses remaining as of December 31, 2013 for Fox Chase Service Corporation, which will begin to expire December 31, 2029. | |||||||||||||
As of December 31, 2013 and prior periods, the Company had no material unrecognized tax benefits or accrued interest and penalties. The Company's policy is to account for interest and penalties as a component of income tax expense. Federal and state tax years 2010 through 2012 were open for examination as of December 31, 2013. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||||||
COMMITMENTS AND CONTINGENCIES | ' | ||||||||
COMMITMENTS AND CONTINGENCIES | |||||||||
Lending Operations | |||||||||
The Company is a party to 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. Those instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized on the statements of financial condition. | |||||||||
The Company's exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. | |||||||||
A summary of the Company's financial instrument commitments at December 31, 2013 and 2012 is as follows: | |||||||||
December 31, | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Commitments to grant loans | $ | 31,401 | $ | 23,644 | |||||
Unfunded commitments under lines of credit | 115,229 | 98,537 | |||||||
Standby letters of credit | 11,508 | 14,348 | |||||||
Commercial letters of credit | 411 | 848 | |||||||
$ | 158,549 | $ | 137,377 | ||||||
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. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The Company evaluates each customer's credit worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management's credit evaluation. Collateral held varies, but includes principally residential or commercial real estate, accounts receivable or inventory. Fixed rate commitments to grant loans were $4.0 million and $2.6 million as of December 31, 2013 and December 31, 2012, respectively. The interest rates on these fixed rate loans ranged from 4.50% to 6.00% as of December 31, 2013 and 4.75% to 6.00% as of December 31, 2012. | |||||||||
NOTE 12 - COMMITMENTS AND CONTINGENCIES (Continued) | |||||||||
Legal Proceedings | |||||||||
The Company is periodically subject to various pending and threatened legal actions, which involve claims for monetary relief. Based upon information presently available to the Company, it is the Company's opinion that any legal and financial responsibility arising from such claims will not have a material adverse effect on the Company's results of operations. | |||||||||
Service Contracts | |||||||||
The Company has entered into contracts with third-party providers to manage the Company's network operations, data processing and other related services. The projected amount of the Company's future minimum payments contractually due after December 31, 2013 is as follows (in thousands): | |||||||||
Year | Amount | ||||||||
2014 | $ | 1,656 | |||||||
2015 | 1,507 | ||||||||
2016 | — | ||||||||
2017 | — | ||||||||
2018 | — | ||||||||
STOCKHOLDERS_EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||||||||
STOCKHOLDERS' EQUITY | ' | |||||||||||||||||||||
STOCKHOLDERS' EQUITY | ||||||||||||||||||||||
As of December 31, 2013, the Bancorp, as a bank holding company, is subject to various regulatory capital requirements. At December 31, 2012, the Bancorp was a savings and loan holding company and was not subject to capital requirements. The Bank is subject to separate regulatory capital requirements. 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 consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bancorp and Bank must meet specific capital guidelines that involve quantitative measures of the assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The Bancorp and Bank's capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. | ||||||||||||||||||||||
Quantitative measures established by regulation to ensure capital adequacy require the Bancorp and Bank to maintain minimum amounts and ratios (set forth below) of Total and Tier 1 capital (as defined in the regulations) to risk-weighted assets, and of Tier 1 capital to total assets, as defined. Management believes, as of December 31, 2013, that the Bancorp and Bank meet all capital adequacy requirements to which they were subject. | ||||||||||||||||||||||
As of December 31, 2013, the Bancorp and Bank were categorized as well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes have changed the Bancorp or Bank's category. | ||||||||||||||||||||||
NOTE 13 - STOCKHOLDERS' EQUITY (Continued) | ||||||||||||||||||||||
The Bancorp and Bank's actual capital amounts and ratios at December 31, 2013 and 2012 and the minimum amounts and ratios required for capital adequacy purposes and to be well capitalized under the prompt corrective action provisions are as follows: | ||||||||||||||||||||||
Actual | For Capital Adequacy Purposes | To be Well | ||||||||||||||||||||
Capitalized under | ||||||||||||||||||||||
Prompt Corrective | ||||||||||||||||||||||
Action Provisions | ||||||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||
Total risk-based capital (to risk-weighted assets) | ||||||||||||||||||||||
Bancorp | $ | 186,147 | 23.67 | % | $ | 62,905 | 8 | % | $ | 78,631 | 10 | % | ||||||||||
Bank | 153,206 | 19.48 | 62,903 | 8 | 78,629 | 10 | ||||||||||||||||
Tier 1 capital (to risk-weighted assets) | ||||||||||||||||||||||
Bancorp | 177,916 | 22.63 | 31,452 | 4 | 47,178 | 6 | ||||||||||||||||
Bank | 144,977 | 18.44 | 31,452 | 4 | 47,177 | 6 | ||||||||||||||||
Tier 1 capital (to adjusted assets) | ||||||||||||||||||||||
Bancorp | 177,916 | 16.18 | 43,971 | 4 | 54,964 | 5 | ||||||||||||||||
Bank | 144,977 | 13.12 | 44,194 | 4 | 55,242 | 5 | ||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||
Total risk-based capital (to risk-weighted assets) | ||||||||||||||||||||||
Bank | $ | 147,659 | 20.48 | % | $ | 57,682 | 8 | % | $ | 72,103 | 10 | % | ||||||||||
Tier 1 capital (to risk-weighted assets) | ||||||||||||||||||||||
Bank | 140,240 | 19.45 | 28,841 | 4 | 43,262 | 6 | ||||||||||||||||
Tier 1 capital (to adjusted assets) | ||||||||||||||||||||||
Bank | 140,240 | 12.9 | 43,475 | 4 | 54,344 | 5 | ||||||||||||||||
The Bancorp's ability to pay dividends is limited by statutory and regulatory requirements. The Bancorp may not declare nor pay dividends on its stock if such declaration or payment would violate statutory or regulatory requirements. The Bancorp paid a cash dividend of $0.06 per common share during each of the first two quarters of 2013 and $0.08 per common share during each of the last two quarters of 2013. Additionally, the Bancorp paid a cash dividend of $0.26 per common share on February 27, 2014. | ||||||||||||||||||||||
During the second quarter of 2012, the Bancorp received a $7.9 million dividend from the Bank, equaling the amount of the Bank's 2010 and 2011 net income. During the third quarter of 2012, the Bancorp received a $1.9 million dividend from the Bank, equaling the amount of the Bank's net income for the six months ended June 30, 2012. During the fourth quarter of 2012, the Bancorp received a dividend of $11.5 million from the Bank, which was comprised of $1.5 million representing the Bank's net income for the three months ended September 2012 plus a special dividend of $10.0 million. Bancorp did not receive any dividends from the Bank during 2013. | ||||||||||||||||||||||
The Bancorp repurchased 218,752 shares of common stock during the year ended December 31, 2013 in conjunction with stock repurchase programs. There were 724,700 shares repurchased during the year ended December 31, 2012. As of December 31, 2013, the aggregate purchases recorded as treasury stock, at cost, on the Bancorp's statement of condition is $33.4 million. |
FAIR_VALUE
FAIR VALUE | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||||
FAIR VALUE | ' | ||||||||||||||||||||||||
FAIR VALUE | |||||||||||||||||||||||||
Management uses its best judgment in estimating the fair value of the Company’s financial instruments; however, there are inherent weaknesses in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates herein are not necessarily indicative of the amounts the Company could have realized in a sales transaction on the dates indicated. The estimated fair value amounts have been measured as of the respective year ends, and have not been reevaluated or updated for purposes of these consolidated financial statements subsequent to those respective dates. As such, the estimated fair values of these financial instruments subsequent to the respective reporting dates may be different than the amounts reported at each year end. | |||||||||||||||||||||||||
The Company determines the fair value of financial instruments using three levels of input: | |||||||||||||||||||||||||
Level 1—Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that are accessible at the measurement date. | |||||||||||||||||||||||||
Level 2—Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, 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 for substantially the full term of the assets or liabilities. | |||||||||||||||||||||||||
Level 3—Valuations are observed from unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. | |||||||||||||||||||||||||
The following information should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is only provided for a limited portion of the Company’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Company’s disclosures and those of other companies may not be meaningful. The following methods and assumptions were used to estimate the fair values of the Company’s financial instruments at December 31, 2013 and 2012: | |||||||||||||||||||||||||
Cash and Cash Equivalents | |||||||||||||||||||||||||
The carrying amounts of cash and cash equivalents approximate their fair value. | |||||||||||||||||||||||||
Investment and Mortgage Related Securities—Available-for-Sale and Held-to-Maturity | |||||||||||||||||||||||||
Fair values for investment securities and mortgage related securities are obtained from one external pricing service (“primary pricing service”) as the provider of pricing on the investment portfolio on a quarterly basis. We generally obtain one quote per investment security. If quoted market prices are not available, fair values are based on quoted market prices of comparable securities. If quoted market prices are not available for comparable securities, fair value is based on quoted bids for the security or comparable securities. We review the estimates of fair value provided by the primary pricing service to determine if they are representative of fair value based upon our general knowledge of market conditions and relative changes in interest rates and the credit environment. The Company made no adjustments to the values obtained from the primary pricing service. | |||||||||||||||||||||||||
Loans Receivable, Net | |||||||||||||||||||||||||
To determine the fair values of loans that are not impaired, we employ discounted cash flow analyses that use interest rates and terms similar to those currently being offered to borrowers. We do not record loans at fair value on a recurring basis. We record fair value adjustments to loans on a nonrecurring basis to reflect full and partial charge-offs due to impairment. For impaired loans, we use a variety of techniques to measure fair value, such as using the current appraised value of the collateral, agreements of sale, discounting the contractual cash flows, and analyzing market data that we may adjust due to specific characteristics of the loan or collateral. | |||||||||||||||||||||||||
FHLB Stock | |||||||||||||||||||||||||
The fair value of the FHLB stock is assumed to equal its cost, since the stock is nonmarketable but redeemable at its par value. | |||||||||||||||||||||||||
NOTE 14 - FAIR VALUE (Continued) | |||||||||||||||||||||||||
Mortgage Servicing Rights | |||||||||||||||||||||||||
The fair value of the MSRs for these periods was determined using a third-party valuation model that calculates the present value of estimated future servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds and discount rates. | |||||||||||||||||||||||||
Financial Assets Acquired from Debtors | |||||||||||||||||||||||||
The fair value of financial assets acquired from debtors are determined using sale prices from executed sale agreements or valuations obtained from a third-party valuation firm who utilizes a discounted cash flow model to calculate the fair value of the assets. The significant assumptions used in the discounted cash flow valuation are the life expectancies of the insured parties, future premium payments and discount rates. | |||||||||||||||||||||||||
Accrued Interest Receivable and Accrued Interest Payable | |||||||||||||||||||||||||
The carrying amount of accrued interest receivable and accrued interest payable approximates fair value. | |||||||||||||||||||||||||
Deposit Liabilities | |||||||||||||||||||||||||
Fair values for demand deposits (including NOW accounts), savings and club accounts and money market deposits are, by definition, equal to the amount payable on demand at the reporting date. Fair values of fixed-maturity certificates of deposit, including brokered deposits, are estimated using a discounted cash flow calculation that applies interest rates currently being offered on similar instruments with similar maturities. | |||||||||||||||||||||||||
Short-term Borrowings, FHLB Advances and Other Borrowed Funds | |||||||||||||||||||||||||
Fair value of short-term borrowings, FHLB advances and other borrowed funds are estimated using discounted cash flow analyses, based on rates currently available to the Bank for advances with similar terms and remaining maturities. | |||||||||||||||||||||||||
Derivative Contracts | |||||||||||||||||||||||||
The fair values of derivative contracts are based upon the estimated amount the Company would receive or pay to terminate the contracts or agreements, taking into account underlying interest rates, creditworthiness of underlying customers for credit derivatives and, when appropriate, the creditworthiness of the counterparties. | |||||||||||||||||||||||||
NOTE 14 - FAIR VALUE (Continued) | |||||||||||||||||||||||||
The estimated fair values of the Company’s financial instruments at December 31, 2013 and 2012 were as follows: | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Fair Value | Carrying | Estimated | Carrying | Estimated | |||||||||||||||||||||
Hierarchy | Amount | Fair | Amount | Fair | |||||||||||||||||||||
Level | Value | Value | |||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Cash and cash equivalents | Level 1 | $ | 11,947 | $ | 11,947 | $ | 25,090 | $ | 25,090 | ||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||||||
Investment securities available-for-sale | Level 2 | 10,489 | 10,489 | 12,491 | 12,491 | ||||||||||||||||||||
Private label commercial mortgage related securities | Level 3 | 2,120 | 2,120 | 6,197 | 6,197 | ||||||||||||||||||||
Agency residential mortgage related securities | Level 2 | 243,948 | 243,948 | 277,419 | 277,419 | ||||||||||||||||||||
Held-to-maturity securities: | |||||||||||||||||||||||||
Agency mortgage related securities | Level 2 | 68,397 | 67,491 | 28,369 | 29,451 | ||||||||||||||||||||
Loans receivable, net | Level 3 | 720,490 | 721,417 | 683,865 | 686,867 | ||||||||||||||||||||
FHLB stock | Level 3 | 9,813 | 9,813 | 8,097 | 8,097 | ||||||||||||||||||||
Accrued interest receivable | Level 3 | 3,308 | 3,308 | 3,223 | 3,223 | ||||||||||||||||||||
Mortgage servicing rights | Level 2 | 152 | 152 | 170 | 170 | ||||||||||||||||||||
Financial assets acquired from debtors | Level 3 | 1,938 | 1,938 | 3,714 | 3,714 | ||||||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Savings and club accounts | Level 2 | 108,183 | 108,183 | 99,046 | 99,046 | ||||||||||||||||||||
Demand, NOW and money market deposits | Level 2 | 270,334 | 270,334 | 275,693 | 275,693 | ||||||||||||||||||||
Brokered deposits | Level 2 | 71,334 | 71,020 | 50,637 | 50,715 | ||||||||||||||||||||
Certificates of deposit | Level 2 | 223,864 | 225,357 | 262,033 | 264,694 | ||||||||||||||||||||
Short-term borrowings | Level 2 | 80,500 | 80,500 | 70,500 | 70,500 | ||||||||||||||||||||
FHLB advances | Level 2 | 150,000 | 154,069 | 110,000 | 115,767 | ||||||||||||||||||||
Other borrowed funds | Level 2 | 30,000 | 32,178 | 30,000 | 33,651 | ||||||||||||||||||||
Accrued interest payable | Level 2 | 314 | 314 | 330 | 330 | ||||||||||||||||||||
Derivative contracts | Level 2, 3 | 124 | 124 | 320 | 320 | ||||||||||||||||||||
The following financial instruments were classified as Level 3 and carried at fair value as of December 31, 2013 and 2012: | |||||||||||||||||||||||||
• | Private label CMBS, the fair value of which are difficult to determine because they are not actively traded in securities markets. The net unrealized gain in the private label CMBS portfolio was $2,000 and $78,000 at December 31, 2013 and December 31, 2012, respectively. | ||||||||||||||||||||||||
• | Two commercial loans, since lending credit risk is not an observable input for these loans (see Note 4). The unrealized gain on the two loans was $125,000 at December 31, 2013 compared to $293,000 at December 31, 2012. | ||||||||||||||||||||||||
• | Financial assets acquired from debtors were valued using executed sales agreements at December 31, 2013 and a discounted cash flow model at December 31, 2012. Losses resulting from changes in fair value were $4.8 million and $692,000 for the years ended December 31, 2013 and 2012, respectively. These losses were recorded in assets acquired through foreclosure expense in the consolidated statements of operations. | ||||||||||||||||||||||||
• | Credit derivatives are valued based on creditworthiness of the underlying borrower which is a significant unobservable input. The liability resulting from credit derivatives was $4,000 at December 31, 2013 and $12,000 at December 31, 2012. | ||||||||||||||||||||||||
NOTE 14 - FAIR VALUE (Continued) | |||||||||||||||||||||||||
The following measures were made on a recurring basis as of December 31, 2013 and 2012. | |||||||||||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Quoted Prices in Active Markets | Significant Other | Significant Other | |||||||||||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||||||||||
Description | 31-Dec-13 | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 308 | $ | — | $ | 308 | $ | — | |||||||||||||||||
Corporate securities | 10,181 | — | 10,181 | — | |||||||||||||||||||||
Private label commercial mortgage related securities | 2,120 | — | — | 2,120 | |||||||||||||||||||||
Agency residential mortgage related securities | 243,948 | — | 243,948 | — | |||||||||||||||||||||
Loans (1) | 2,535 | — | — | 2,535 | |||||||||||||||||||||
Financial assets acquired from debtors | 1,938 | — | — | 1,938 | |||||||||||||||||||||
Derivative contracts (1) | (124 | ) | — | (120 | ) | (4 | ) | ||||||||||||||||||
Total | $ | 260,906 | $ | — | $ | 254,317 | $ | 6,589 | |||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Quoted Prices in Active Markets | Significant Other | Significant Other | |||||||||||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||||||||||
Description | 31-Dec-12 | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 314 | $ | — | $ | 314 | $ | — | |||||||||||||||||
Corporate securities | 12,177 | — | 12,177 | — | |||||||||||||||||||||
Private label commercial mortgage related securities | 6,197 | — | — | 6,197 | |||||||||||||||||||||
Agency residential mortgage related securities | 277,419 | — | 277,419 | — | |||||||||||||||||||||
Loans (1) | 2,806 | — | — | 2,806 | |||||||||||||||||||||
Financial assets acquired from debtors | 3,714 | — | — | 3,714 | |||||||||||||||||||||
Derivative contracts (1) | (320 | ) | — | (308 | ) | (12 | ) | ||||||||||||||||||
Total | $ | 302,307 | $ | — | $ | 289,602 | $ | 12,705 | |||||||||||||||||
(1) Such financial instruments are recorded at fair value as further described in Note 4. | |||||||||||||||||||||||||
The following measures were made on a non-recurring basis as of December 31, 2013 and 2012: | |||||||||||||||||||||||||
Loans, which were partially charged off at December 31, 2013 and 2012. The loans’ fair values are based on Level 3 inputs, which are either an appraised value or a sales agreement, less costs to sell. These amounts do not include fully charged-off loans, because we carry fully charged-off loans at zero on our balance sheet. | |||||||||||||||||||||||||
MSRs, the fair value of which was determined using a third-party valuation model that calculates the present value of estimated future servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds and discount rates. | |||||||||||||||||||||||||
Other real estate owned, for which we used Level 3 inputs, which consist of appraisals or agreements of sale. | |||||||||||||||||||||||||
NOTE 14 - FAIR VALUE (Continued) | |||||||||||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Quoted Prices in Active Markets | Significant Other | Significant Other | |||||||||||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||||||||||
Balance | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||||||||
31-Dec-13 | (In thousands) | ||||||||||||||||||||||||
Loans | $ | 912 | $ | — | $ | — | $ | 912 | |||||||||||||||||
Mortgage servicing rights | 152 | — | 152 | — | |||||||||||||||||||||
Other real estate owned | 4,314 | — | — | 4,314 | |||||||||||||||||||||
Total | $ | 5,378 | $ | — | $ | 152 | $ | 5,226 | |||||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||
Loans | $ | 2,951 | $ | — | $ | — | $ | 2,951 | |||||||||||||||||
Mortgage servicing rights | 170 | — | 170 | — | |||||||||||||||||||||
Other real estate owned | 4,810 | — | — | 4,810 | |||||||||||||||||||||
Total | $ | 7,931 | $ | — | $ | 170 | $ | 7,761 | |||||||||||||||||
The following tables include a roll forward of the financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3), on a recurring basis, for the periods of December 31, 2011 to December 31, 2013. | |||||||||||||||||||||||||
Private Label | Private Label | Derivative | Financial | Loans | Total | ||||||||||||||||||||
Residential | Commercial | Contracts | Assets | ||||||||||||||||||||||
Mortgage | Mortgage | Acquired | |||||||||||||||||||||||
Related | Related | from Debtors | |||||||||||||||||||||||
Security | Securities | ||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Beginning balance, December 31, 2011 | $ | 122 | $ | 8,906 | $ | — | $ | — | $ | 2,877 | $ | 11,905 | |||||||||||||
Purchases/additions | — | — | (39 | ) | 4,013 | — | 3,974 | ||||||||||||||||||
Sales | (70 | ) | — | — | — | — | (70 | ) | |||||||||||||||||
Payments (received) made | (7 | ) | (2,668 | ) | — | 393 | (97 | ) | (2,379 | ) | |||||||||||||||
Premium amortization, net | — | (12 | ) | — | — | — | (12 | ) | |||||||||||||||||
(Decrease)/increase in value | (45 | ) | (29 | ) | 27 | (692 | ) | 26 | (713 | ) | |||||||||||||||
Ending balance, December 31, 2012 | $ | — | $ | 6,197 | $ | (12 | ) | $ | 3,714 | $ | 2,806 | $ | 12,705 | ||||||||||||
Purchases/additions | — | — | (5 | ) | 1,994 | — | 1,989 | ||||||||||||||||||
Sales | — | — | — | (120 | ) | — | (120 | ) | |||||||||||||||||
Payments (received) made | — | (3,998 | ) | — | 1,143 | (104 | ) | (2,959 | ) | ||||||||||||||||
Premium amortization, net | — | (3 | ) | — | — | — | (3 | ) | |||||||||||||||||
(Decrease)/increase in value | — | (76 | ) | 13 | (4,793 | ) | (167 | ) | (5,023 | ) | |||||||||||||||
Ending balance, December 31, 2013 | $ | — | $ | 2,120 | $ | (4 | ) | $ | 1,938 | $ | 2,535 | $ | 6,589 | ||||||||||||
There were no transfers made between levels during the years ended December 31, 2013 or 2012. |
RELATED_PARTY_TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2013 | |
Related Party Transactions [Abstract] | ' |
RELATED PARTY TRANSACTIONS | ' |
RELATED PARTY TRANSACTIONS | |
Transactions with Directors, Officers and Employees | |
The Company may from time to time enter into transactions with its directors, officers and employees. Such transactions are made in the ordinary course of business on substantially the same terms and conditions, including interest rates and collateral, as those prevailing at the same time for comparable transactions with others unrelated to the Bank, and do not, in the opinion of management, involve more than the normal credit risk or present other unfavorable features. | |
There were no loans to directors and executive officers as of December 31, 2013 and 2012. | |
Equity Method Investments | |
As of December 31, 2013, 2012 and 2011, Fox Chase Bank owned approximately 45% of Philadelphia Mortgage Advisors, Inc. ("PMA"). During 2013, 2012 and 2011, the Company engaged in certain business activities with PMA. These activities included providing a warehouse line of credit to PMA, as well as acquiring residential mortgage loans from PMA. The Company recorded interest income from PMA on the warehouse line of $307,000, $460,000, and $220,000 for the years ended December 31, 2013, 2012 and 2011, respectively, as well as loan satisfaction fees, which are recorded in service charges and other fee income, of $47,000, $66,000 and $50,000 for the years ended December 31, 2013, 2012 and 2011, respectively. The balance outstanding on the warehouse line was $4.4 million and $15.2 million at December 31, 2013 and 2012, respectively. In addition, the Company acquired total loans from PMA of $892,000, $14.4 million and $10.6 million for the years ended December 31, 2013, 2012 and 2011, respectively, which includes the cost of the loans. | |
During 2011, the Company provided PMA a term loan in the amount of $1.2 million, which was secured by a residential property owned by PMA. The Company recorded interest income from PMA on this term loan of $25,000 for the year ended December 31, 2011. The loan was paid off during the second quarter of 2011. | |
The Company's investment in PMA was $2.1 million and $2.0 million at December 31, 2013 and 2012, respectively, and was included in other assets on the consolidated statements of condition. | |
PMA had total assets of $12.9 million and $32.5 million as of December 31, 2013 and 2012, respectively. PMA had total liabilities of $8.7 million and $28.5 million as of December 31, 2013 and 2012, respectively. PMA had net revenues of $7.0 million, $7.8 million and $5.0 million for the years ended December 31, 2013, 2012 and 2011, respectively. PMA had expenses (including income taxes) of $6.0 million, $6.3 million and $4.4 million for the years ended December 31, 2013, 2012 and 2011, respectively. PMA had net income of $949,000, $1.5 million and $557,000 for the years ended December 31, 2013, 2012 and 2011, respectively. |
ACCOUNTING_PRONOUNCEMENTS
ACCOUNTING PRONOUNCEMENTS | 12 Months Ended |
Dec. 31, 2013 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | ' |
ACCOUNTING PRONOUNCEMENTS | ' |
ACCOUNTING PRONOUNCEMENTS | |
Accounting Standards Update (ASU) No. 2013-01-Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities. This update clarifies that the scope of ASU No. 2011-11 applies to derivatives accounted for in accordance with Topic 815, Derivatives and Hedging, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are either offset in accordance with Section 210-20-45 or Section 815-10-45 or subject to an enforceable master netting arrangement or similar agreement. An entity is required to apply the amendments for fiscal years beginning on or after January 1, 2013, and interim periods within those annual periods. An entity should provide the required disclosures retrospectively for all comparative periods presented. The Company has adopted this update and has determined it does not have an impact on the Company's consolidated financial statements or disclosures as the Company does not have any enforceable master netting arrangements or instruments that are offset in accordance with Section 210-20-45 or Section 815-10-45. | |
ASU No. 2013-02-Comprehensive Income (Topic 220)-Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This update requires an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items in net income if the amount being reclassified is required under U.S. GAAP to be reclassified in its entirety to net income. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety to net income in the same reporting period, an entity is required to cross reference other disclosures required under U.S. GAAP that provide additional detail about those amounts. This would be the case when a portion of the amount reclassified out of accumulated other comprehensive income is reclassified to a balance sheet account instead of directly to income or expense in the same reporting period. For the Company, the update is effective prospectively for reporting periods beginning on or after January 1, 2013, and interim periods within those annual periods. This guidance did not have a material impact on the Company's financial statements, but did result in revised presentation on the consolidated statements of operations of the items reclassified out of accumulated other comprehensive income. | |
NOTE 16 - ACCOUNTING PRONOUNCEMENTS (Continued) | |
ASU No. 2013-10-Derivatives and Hedging (Topic 815)-Inclusion of the Fed Funds Effective Swap Rate (or Overnight Index Swap Rate) as a Benchmark Interest Rate for Hedge Accounting Purposes. This ASU permits the Fed funds effective swap rate (OIS) to be used as a U.S. benchmark interest rate, in addition to the U.S. Treasury rate and LIBOR, for hedge accounting purposes. The ASU also permits using different benchmark rates for similar hedges. This ASU is effective immediately and may only be applied on a prospective basis for qualifying new or redesignated hedging relationships entered into on or after July 17, 2013. The impact of adopting this ASU was not material to the Company. | |
ASU No. 2013-11-Income Taxes (Topic 740)-Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (a consensus of the FASB Emerging Issues Task Force). As a result of applying this ASU, an unrecognized tax benefit should be presented as a reduction of a deferred tax asset for a net operating loss (NOL) or other tax credit carryforward when settlement in this manner is available under the tax law. The assessment of whether settlement is available under the tax law would be based on facts and circumstances as of the balance sheet reporting date and would not consider future events (e.g., upcoming expiration of related NOL carryforwards). This classification should not affect an entity's analysis of the realization of its deferred tax assets. Gross presentation in the rollforward of unrecognized tax positions in the notes to the financial statements would still be required. For the Company, the update is effective prospectively for annual reporting periods beginning on or after January 1, 2014, and interim periods within those annual periods. Retrospective application is permitted. Adoption of this ASU is not expected to have a material impact on the Company's consolidated financial statements. | |
ASU No. 2013-12-Definition of a Public Business Entity (an addition to the master glossary) - This update provides a definition of a Public Business Entity to minimize the inconsistency and complexity of having multiple definitions of, or a diversity in practice as to what constitutes, a nonpublic entity and public entity within U.S. generally accepted accounting principles. This definition clarifies whether an entity is within the scope of the Private Company Decision-Making Framework: A Guide for Evaluating Financial Accounting and Reporting for Private Companies and future updates issued by the Private Company Council and Emerging Issues Task Force for nonpublic entities. As a registrant with the U.S. Securities and Exchange Commission, the Company qualifies as a Public Business Entity. Therefore, current and future nonpublic entity guidance is not applicable to the Company. | |
ASU 2014-04 - Troubled Debt Restructuring by Creditors (Subtopic 310-40) - Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure (a consensus of the FASB Emerging Issues Task Force). The amendments in this update apply to all creditors who obtain physical possession (resulting from an in substance repossession or foreclosure) of residential real estate property collateralizing a consumer mortgage loan in satisfaction of a receivable. The objective of the amendments in this update is to reduce diversity by clarifying when an in substance repossession or foreclosure occurs, that is, when a creditor should be considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan such that the loan receivable should be derecognized and the real estate property recognized. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to requirements of the applicable jurisdiction. The amendments in this update are effective for the Company for annual reporting periods beginning on or after January 1, 2015, and interim periods within those annual periods. Adoption of this ASU is not expected to have a material impact on the Company's consolidated financial statements. |
PARENT_COMPANY_ONLY_FINANCIAL_
PARENT COMPANY ONLY FINANCIAL STATEMENTS | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | ||||||||||||
PARENT COMPANY ONLY FINANCIAL STATEMENTS | ' | ||||||||||||
PARENT COMPANY ONLY FINANCIAL STATEMENTS | |||||||||||||
The following condensed financial statements for Fox Chase Bancorp, Inc. (parent company only) reflect the investment in its wholly owned subsidiary, Fox Chase Bank, using the equity method of accounting. | |||||||||||||
CONDENSED BALANCE SHEET | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||
ASSETS | |||||||||||||
Cash and due from banks | $ | 99 | $ | 94 | |||||||||
Interest-earning deposits with banks | 25,934 | 29,513 | |||||||||||
Total cash and cash equivalents | 26,033 | 29,607 | |||||||||||
Investment in subsidiary | 140,527 | 144,781 | |||||||||||
ESOP loans | 6,109 | 6,659 | |||||||||||
Other assets | 908 | 549 | |||||||||||
Total Assets | 173,577 | 181,596 | |||||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||||||||
Due to subsidiary, net | — | 19 | |||||||||||
Other liabilities | 110 | 112 | |||||||||||
Total Liabilities | 110 | 131 | |||||||||||
Stockholders' Equity | 173,467 | 181,465 | |||||||||||
Total Liabilities and Stockholders' Equity | $ | 173,577 | $ | 181,596 | |||||||||
CONDENSED STATEMENTS OF OPERATIONS | |||||||||||||
Years Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
INCOME | |||||||||||||
Interest on deposits with banks | $ | 37 | $ | 66 | $ | 219 | |||||||
Interest on ESOP loans | 400 | 432 | 463 | ||||||||||
Total Income | 437 | 498 | 682 | ||||||||||
EXPENSES | |||||||||||||
Other expenses | 996 | 1,000 | 970 | ||||||||||
Total Expenses | 996 | 1,000 | 970 | ||||||||||
Loss before income tax benefit and equity in undistributed net earnings of subsidiary | (559 | ) | (502 | ) | (288 | ) | |||||||
Income tax benefit | (280 | ) | (171 | ) | (98 | ) | |||||||
Loss before equity in undistributed net earnings of subsidiary | (279 | ) | (331 | ) | (190 | ) | |||||||
Equity in undistributed net earnings of subsidiary | 5,813 | 5,393 | 4,969 | ||||||||||
Net Income | $ | 5,534 | $ | 5,062 | $ | 4,779 | |||||||
NOTE 17 - PARENT COMPANY ONLY FINANCIAL STATEMENTS (Continued) | |||||||||||||
CONDENSED STATEMENTS OF CASH FLOWS | |||||||||||||
Years Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Cash Flows From Operating Activities | |||||||||||||
Net income | $ | 5,534 | $ | 5,062 | $ | 4,779 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||
Equity in undistributed loss of subsidiary | (5,813 | ) | (5,393 | ) | (4,969 | ) | |||||||
(Decrease) increase in due to subsidiary, net | (19 | ) | 259 | 84 | |||||||||
Excess tax benefit from exercise of stock options and vesting of restricted stock | (59 | ) | (88 | ) | — | ||||||||
Increase in other assets | (300 | ) | (308 | ) | (100 | ) | |||||||
Increase in other liabilities | (2 | ) | 130 | 1 | |||||||||
Net Cash Used in Operating Activities | (659 | ) | (338 | ) | (205 | ) | |||||||
Cash Flows from Investing Activities | |||||||||||||
Loan payment received on ESOP loans | 550 | 516 | 487 | ||||||||||
Cash dividends received from subsidiary | — | 21,281 | — | ||||||||||
Net Cash Provided by Investing Activities | 550 | 21,797 | 487 | ||||||||||
Cash Flows from Financing Activities | |||||||||||||
Purchase of treasury stock | (3,703 | ) | (9,911 | ) | (19,822 | ) | |||||||
Acquisition of common stock for equity incentive plan | — | — | (3,474 | ) | |||||||||
Excess tax benefit from exercise of stock options and vesting of restricted stock | 59 | 88 | — | ||||||||||
Receipts from subsidiary related to equity compensation activity | 3,316 | 646 | 544 | ||||||||||
Common stock issued for exercise of stock options | 106 | 480 | 162 | ||||||||||
Cash dividends paid | (3,243 | ) | (2,382 | ) | (1,067 | ) | |||||||
Net Cash Used in Financing Activities | (3,465 | ) | (11,079 | ) | (23,657 | ) | |||||||
Net (Decrease) Increase in Cash and Cash Equivalents | (3,574 | ) | 10,380 | (23,375 | ) | ||||||||
Cash and Cash Equivalents—Beginning | 29,607 | 19,227 | 42,602 | ||||||||||
Cash and Cash Equivalents—Ending | $ | 26,033 | $ | 29,607 | $ | 19,227 | |||||||
QUARTERLY_FINANCIAL_DATA_UNAUD
QUARTERLY FINANCIAL DATA (UNAUDITED) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||
QUARTERLY FINANCIAL DATA (UNAUDITED) | ' | ||||||||||||||||||||||||||||||||
QUARTERLY FINANCIAL DATA (UNAUDITED) | |||||||||||||||||||||||||||||||||
The following represents summarized quarterly financial data of Fox Chase Bancorp, Inc. and subsidiary, which, in the opinion of management, reflects all adjustments (comprising only normal recurring accruals) necessary for a fair presentation. The Company reported net income of $1.5 million for the quarter ended December 31, 2013 and net income of $1.9 million for the quarter ended December 31, 2012. | |||||||||||||||||||||||||||||||||
The net income for the quarter ended December 31, 2013 included a provision for loan losses of $450,000 and a valuation adjustments of assets acquired through foreclosure of $713,000. | |||||||||||||||||||||||||||||||||
The net income for the quarter ended December 31, 2012 included a provision for loan losses of $442,000, valuation adjustments of assets acquired through foreclosure of $979,000, and a gain of $952,000 on the sale of $15.7 million of mortgage related securities. | |||||||||||||||||||||||||||||||||
Three Months Ended | 12/31/13 | 9/30/13 | 6/30/13 | 3/31/13 | 12/31/12 | 9/30/12 | 6/30/12 | 3/31/12 | |||||||||||||||||||||||||
Interest income | $ | 10,291 | $ | 10,141 | $ | 9,825 | $ | 9,872 | $ | 9,950 | $ | 10,531 | $ | 10,411 | $ | 10,942 | |||||||||||||||||
Interest expense | 1,843 | 1,909 | 1,958 | 1,959 | 2,117 | 2,298 | 2,740 | 2,962 | |||||||||||||||||||||||||
Net interest income | 8,448 | 8,232 | 7,867 | 7,913 | 7,833 | 8,233 | 7,671 | 7,980 | |||||||||||||||||||||||||
Provision (Credit) for loan losses | 450 | 675 | (783 | ) | 640 | 442 | 470 | 1,291 | 1,275 | ||||||||||||||||||||||||
Net interest income after | |||||||||||||||||||||||||||||||||
provision for loan losses | 7,998 | 7,557 | 8,650 | 7,273 | 7,391 | 7,763 | 6,380 | 6,705 | |||||||||||||||||||||||||
Noninterest income | 568 | 1,029 | 1,139 | 1,054 | 1,804 | 737 | 3,080 | 694 | |||||||||||||||||||||||||
Noninterest expense | 6,487 | 7,002 | 8,307 | 5,675 | 6,437 | 6,398 | 8,699 | 5,640 | |||||||||||||||||||||||||
Income before taxes | 2,079 | 1,584 | 1,482 | 2,652 | 2,758 | 2,102 | 761 | 1,759 | |||||||||||||||||||||||||
Income tax provision | 589 | 411 | 438 | 825 | 858 | 666 | 222 | 572 | |||||||||||||||||||||||||
Net Income | $ | 1,490 | $ | 1,173 | $ | 1,044 | $ | 1,827 | $ | 1,900 | $ | 1,436 | $ | 539 | $ | 1,187 | |||||||||||||||||
Per Common Share Data | |||||||||||||||||||||||||||||||||
Weighted average common shares—basic | 11,272,233 | 11,247,741 | 11,262,144 | 11,376,054 | 11,431,957 | 11,535,146 | 11,624,120 | 11,808,632 | |||||||||||||||||||||||||
Weighted average common shares—diluted | 11,535,589 | 11,494,520 | 11,489,566 | 11,602,633 | 11,622,035 | 11,718,308 | 11,750,623 | 11,901,737 | |||||||||||||||||||||||||
Net income per share—basic | $ | 0.13 | $ | 0.1 | $ | 0.09 | $ | 0.16 | $ | 0.17 | $ | 0.12 | $ | 0.05 | $ | 0.1 | |||||||||||||||||
Net income per share—diluted | $ | 0.13 | $ | 0.1 | $ | 0.09 | $ | 0.16 | $ | 0.16 | $ | 0.12 | $ | 0.05 | $ | 0.1 | |||||||||||||||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | |
Dec. 31, 2013 | ||
Accounting Policies [Abstract] | ' | |
Principles of Consolidation and Presentation | ' | |
Principles of Consolidation and Presentation | ||
The consolidated financial statements include the accounts of the Bancorp and the Bank. The Bank’s operations include the accounts of its wholly owned subsidiaries, Fox Chase Financial, Inc., Fox Chase Service Corporation, 104 S. Oakland Ave., LLC and Davisville Associates, LLC. Fox Chase Financial, Inc. is a Delaware-chartered investment holding company and its sole purpose is to manage and hold investment securities. Fox Chase Service Corporation is a Pennsylvania-chartered company and its purposes are to facilitate the Bank’s investment in PMA and, for regulatory purposes, to hold commercial loans. At December 31, 2013, Fox Chase Service Corporation held $20.0 million in commercial loans. 104 S. Oakland Ave., LLC is a New Jersey-chartered limited liability company formed to secure, manage and hold foreclosed real estate. Davisville Associates, LLC is a Pennsylvania-chartered limited liability company formed to secure, manage and hold foreclosed real estate. All material inter-company transactions and balances have been eliminated in consolidation. Prior period amounts are reclassified, when necessary, to conform with the current year’s presentation. | ||
The Company follows accounting principles and reporting practices that are in compliance with U.S. generally accepted accounting principles (“GAAP”). The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclose contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the valuation and realizability of deferred tax assets, the evaluation of other-than-temporary impairment and the valuation of investment securities and assets acquired through foreclosure. | ||
Risk and Uncertainties | ' | |
Risk and Uncertainties | ||
In the normal course of its business, the Company encounters two significant types of risk: economic risk and regulatory risk. There are three main components of economic risk: interest rate risk, credit risk and market risk. The Company is subject to interest rate risk to the degree that its interest-bearing liabilities mature or reprice at different speeds, or on a different basis, from its interest-earning assets. The Company's primary credit risk is the risk of defaults in the Company's loan portfolio that result from borrowers' inability or unwillingness to make contractually required payments. The Company's lending activities are concentrated in Southeastern Pennsylvania and Southern New Jersey. The ability of the Company's borrowers to repay amounts owed is dependent on several factors, including the economic conditions in the borrowers' geographic regions and the borrowers' financial conditions. The Company also has credit risk related to the risk of defaults in its investment securities portfolio. The ability of the Company to realize the full value of its investment securities upon sale or maturity depends on several factors, including the cash flows, credit enhancements and underlying structures of the individual investment securities. Market risk reflects changes in the value of the collateral underlying loans, the valuation of assets acquired through foreclosure, and the valuation of securities, mortgage servicing assets and other investments. | ||
The Company is subject to the regulations of various government agencies. These regulations may change significantly from period to period. The Company also undergoes periodic examinations by regulatory agencies that may subject them to further changes with respect to asset valuations and classifications, amounts required for the allowance for loan losses and operating restrictions resulting from the regulators' judgment based on information available to them at the time of their examination. | ||
Cash and Cash Equivalents | ' | |
Cash and Cash Equivalents | ||
For purposes of reporting cash flows, cash and cash equivalents include cash and due from banks, interest-earning demand deposits in other banks and money market funds. At times, such balances exceed the FDIC limits for insurance coverage. | ||
The Company accounts for cash accounts that are in a net overdraft position as a liability and reports changes in book overdraft positions in operating cash flows. | ||
Investment and Mortgage Related Securities | ' | |
Investment and Mortgage Related Securities | ||
The Company accounts for its investment securities in accordance with standards that require, among other things, that debt and equity securities are classified into three categories and accounted for as follows: | ||
• | Debt securities with the positive intention to hold to maturity are classified as "held-to-maturity" and reported at amortized cost. | |
• | Debt and equity securities purchased with the intention of selling them in the near future are classified as "trading securities" and are reported at fair value, with unrealized gains and losses included in earnings. As of the balance sheet dates, the Company did not have any trading securities. | |
• | Debt and equity securities not classified in either of the above categories are classified as "available-for-sale securities" and reported at fair value, with unrealized gains and losses excluded from earnings and reported, net of tax, as increases or decreases in accumulated other comprehensive (loss) income, a separate component of stockholders' equity. Securities classified as available-for-sale are those securities that the Company intends to hold for an indefinite period of time but not necessarily to maturity. Any decision to sell a security classified as available-for-sale would be based on various factors, including movement in interest rates, changes in the maturity or mix of the Company's assets and liabilities, liquidity needs, regulatory capital considerations and other factors. | |
Management determines the appropriate classification of debt securities at the time of purchase and re-evaluates such designation as of each balance sheet date. | ||
The Company records other-than-temporary impairment charges, through earnings, if they have the intent to sell, or will more likely than not be required to sell, an impaired debt security before a recovery of its amortized cost basis. In addition, the Company records other-than-temporary impairment charges through earnings for the amount of credit losses, regardless of the intent or requirement to sell. Credit loss is measured as the difference between the present value of an impaired debt security's cash flows and its amortized cost basis. Non-credit related write-downs to fair value are recorded as decreases to accumulated other comprehensive income as long as the Company has no intent or requirement to sell an impaired security before a recovery of amortized cost basis. | ||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||
Purchase premiums and discounts are recognized in interest income using the interest method over the expected life for mortgage related securities and the contractual life for all other securities. Because of volatility of the financial markets in which securities are traded, there is the risk that any future fair value could be significantly less than that recorded or disclosed in the accompanying financial statements. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific identification method. | ||
Loans, Loan Origination Fees and Uncollected Interest | ' | |
Loans, Loan Origination Fees and Uncollected Interest | ||
Loans are recorded at cost, net of unearned discounts, deferred fees and allowances. Discounts or premiums on purchased loans are amortized using the interest method over the remaining contractual life of the purchased loans, adjusted for actual prepayments. Loan origination fees and certain direct origination costs are deferred and amortized using the interest method over the contractual life as an adjustment to yield on the loans. Interest income is accrued on the unpaid principal balance. From time-to-time, the Company sells certain loans for liquidity purposes or to manage interest rate risk. | ||
The accrual of interest is generally discontinued when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about further collectability of principal or interest, even though the loan is currently performing. A loan that is more than 90 days past due may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. When a loan is placed on nonaccrual status, unpaid interest income is reversed and the amortization of net deferred loan fees is suspended. Interest received on nonaccrual loans generally is either applied against principal or reported as interest income, according to management's judgment as to the ultimate collectability of principal. Generally, loans are restored to accrual status when the obligation is brought current, has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectability of the total contractual principal and interest is no longer in doubt. | ||
Allowance for Loan Losses | ' | |
Allowance for Loan Losses | ||
The allowance for loan losses is adjusted through provisions for loan losses charged against or credited to income. Loans deemed to be uncollectible are charged against the allowance for loan losses, and subsequent recoveries, if any, are credited to the allowance. | ||
The allowance for loan losses is maintained at a level representing management's best estimate of known risks and inherent losses in the portfolio, based upon management's evaluation of the portfolio's collectability. Our methodology for assessing the appropriateness of the allowance for loan losses consists of an allowance on impaired loans and a general valuation allowance on the remainder of the portfolio. Although we determine the amount of each element of the allowance separately, the entire allowance for loan losses is available for losses on the entire portfolio. | ||
Loans are deemed impaired when, based on current information and events, it is probable that the Company will be unable to collect all proceeds due according to the contractual terms of the loan agreement or when a loan is classified as a troubled debt restructuring. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Impairment is measured on a loan by loan basis for commercial loans by either the present value of expected future cash flows discounted at the loan's original effective interest rate, the loan's obtainable market price or the fair value of the collateral less costs to sell if the loan is collateral dependent. The Company establishes an allowance for loan loss in the amount of the difference between fair value of the impaired loan and the loan's carrying amount. | ||
We establish a general allowance for loans that are not considered impaired to recognize the inherent losses associated with lending activities. This general valuation allowance is determined by segmenting the loan portfolio by loan segments (described below) and assigning percentages, known as loss factors, to each category. The percentages are adjusted for significant factors that, in management's judgment, affect the collectability of the portfolio as of the evaluation date. These significant factors include the size and composition of the loan portfolio, the Company's loss experience by particular segment, trends and absolute levels of nonperforming loans, trends and absolute levels of classified and criticized loans, trends and absolute levels in delinquent loans, trends in risk ratings, trends in industry charge-offs and changes in existing general economic and business conditions affecting our lending areas and the national economy. These loss factors are subject to ongoing evaluation to ensure their relevance in the current economic environment. We perform this systematic analysis of the allowance on a quarterly basis. These criteria are analyzed and the allowance is developed and maintained at the segment level. | ||
Additional risk is associated with the analysis of the allowance for loan losses as such evaluations are highly subjective, and future adjustments to the allowance may be necessary if conditions differ substantially from the assumptions used in making the evaluations. In addition, various regulatory agencies periodically review the Company's allowance for loan losses. Such agencies may require the Company to recognize adjustments to the allowance, based on their judgments at the time of their examination. | ||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||
The loan segments utilized by management to develop the allowance for loan losses are (1) one- to four-family real estate, (2) multi-family and commercial real estate, (3) construction, (4) consumer and (5) commercial and industrial loans. | ||
One- to four-family real estate lending risks generally include the borrower's ability to make repayment from his or her employment or other income, and if the borrower defaults, the ability to obtain repayment from sale of the underlying collateral securing the loan. Risk associated with one- to four-family lending would be higher during a period of increased unemployment or reduced real estate value. | ||
Multi-family and commercial real estate lending risks generally relate to the borrower's creditworthiness and the feasibility and cash flow potential of the underlying project. Payments on loans secured by income properties often depend on successful operation and management of the properties. As a result, repayment of such loans may be subject to adverse conditions in the real estate market or the economy. | ||
Construction lending is generally considered to have a higher degree of lending risk than long-term financing on improved, occupied real estate. Risk of loss on a construction loan depends largely upon the accuracy of the initial estimate of the property's value at completion of construction, the estimated cost (including interest) of construction and the ability of the project to be sold or refinanced upon completion. | ||
Commercial and industrial loans are typically made on the basis of the borrower's ability to make repayment from the cash flows of the borrower's underlying business. As a result, the availability of funds for the repayment of commercial loans may depend substantially on the success of the business itself. Further, any collateral securing such loans may depreciate over time, may be difficult to appraise and may fluctuate in value. | ||
Consumer lending includes unsecured lending or loans secured by assets that depreciate rapidly. In such cases, repossessed collateral for a defaulted consumer loan may not provide an adequate source of repayment for the outstanding loan and the remaining deficiency often does not warrant further substantial collection efforts against the borrower. Consumer loan collections depend on the borrower's continuing financial stability. Furthermore, the application of various federal and state laws, including bankruptcy and insolvency laws, may limit the amount that can be recovered on such loans. | ||
Troubled Debt Restructurings | ' | |
Troubled Debt Restructurings | ||
Loans are classified as troubled debt restructurings if the Company grants such borrowers concessions and it is deemed that those borrowers are experiencing financial difficulty. Concessions granted under a troubled debt restructuring generally involve a reduction in interest rate, extension of a loan's stated maturity date, temporary deferral of payments or granting credit to a borrower who is unable to obtain credit from another financial institution. Accrual of interest continues upon modification if the borrower has demonstrated a history of making payment as contractually due and has provided evidence which supports the borrower's ability to make payments. The accrual of interest income on accruing troubled debt restructurings is generally discontinued when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about continued collectability of principal or interest, even though the loan is currently performing. Troubled debt restructurings which are subsequently reported as non-accrual remain as such until they demonstrate consistent payment performance for a minimum period of six months. All loans classified as troubled debt restructurings are considered impaired. | ||
Bank-Owned Life Insurance | ' | |
Bank-Owned Life Insurance | ||
The Company has invested in bank-owned life insurance ("BOLI"). BOLI involves the purchasing of life insurance by the Company on a chosen group of employees and directors. The Company is the owner and beneficiary of the policies. This life insurance investment is carried at the cash surrender value of the underlying policies. Income from the increase in cash surrender value of the policies is included in noninterest income in the consolidated statements of operations. | ||
Premises and Equipment | ' | |
Premises and Equipment | ||
Premises and equipment are carried at cost less accumulated depreciation. Depreciation is computed on the straight-line method over the assets' estimated useful lives or, for leasehold improvements, over the life of the related lease if less than the estimated useful life of the asset. The estimated useful life is generally 10-39 years for buildings and 1-7 years for furniture and equipment. When assets are retired, or otherwise disposed of, the cost and related accumulated depreciation are removed from the accounts. The cost of maintenance and repairs is charged to expense when incurred and renewals and improvements are capitalized. Rental concessions on leased properties are recognized over the life of the lease. | ||
Assets Acquired through Foreclosure | ' | |
Assets Acquired through Foreclosure | ||
Assets acquired through foreclosure consists of other real estate owned and financial assets acquired from debtors. These assets are obtained through foreclosure, by a deed-in-lieu of foreclosure, in-substance foreclosure or in exchange for satisfaction of debt. | ||
Other real estate owned is initially recorded at fair value less costs to sell. In periods subsequent to acquisition, each real estate asset is carried at the lower of the fair value of the asset, less estimated selling costs, or the amount at which the asset was initially recorded. Costs related to the development or improvement of an acquired property are capitalized. Holding costs and declines in carrying value after acquisition are recorded as assets acquired through foreclosure expense in the consolidated statements of operations. | ||
Financial assets acquired from debtors are carried at fair value under the fair value option in accordance with FASB ASC 825 "Financial Instruments." Increases or decreases in fair value after acquisition are recorded as assets acquired through foreclosure expense in the consolidated statements of operations. | ||
Real Estate Held for Investment | ' | |
Real Estate Held for Investment | ||
Real estate held for investment is carried at cost and is tested for recoverability whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. As of December 31, 2013 and December 31, 2012, real estate held for investment represented undeveloped land located in Absecon, New Jersey. The property was acquired by the Company in 2003 to expand the Company's retail branch network in southern New Jersey. At December 31, 2011, the property was carried at $1.6 million based on an appraisal obtained during 2011, which resulted in an impairment loss of $110,000 during the year ended December 31, 2011. As of December 31, 2013 and 2012, the property continued to be carried at $1.6 million. | ||
In accordance with regulatory guidelines, because this real estate held for investment was not sold or placed in service by June 2011 (eight years from acquisition); for regulatory reporting purposes, the full amount of this asset is recorded as a reduction of regulatory capital at December 31, 2013 and 2012. | ||
Mortgage Servicing Rights | ' | |
Mortgage Servicing Rights | ||
Upon the sale of a residential mortgage loan where the Company retains servicing rights, a mortgage servicing right is recorded. GAAP requires that mortgage servicing rights on these loans be amortized into income over the estimated life of the loans sold using the interest method. At each reporting period, such assets are subject to an impairment test. The impairment test stratifies servicing assets based on predominant risk characteristics of the underlying financial assets. The Company has stratified its mortgage servicing assets by date of sale, which approximates date of origination. | ||
In conjunction with the impairment test, the Company records a valuation allowance when the fair value of the stratified servicing asset is less than amortized cost. Subsequent changes in the valuation of the assets are recorded as either an increase or a reduction of the valuation allowance, however, if the fair value exceeds amortized cost, such excess will not be recognized. | ||
Transfers of Financial Assets | ' | |
Transfers of Financial Assets | ||
Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before maturity. | ||
Income Taxes | ' | |
Income Taxes | ||
The Company accounts for income taxes under the asset/liability method. Deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. The Company files a consolidated federal income tax return and its subsidiaries file individual state income tax returns. | ||
The Company recognizes a tax position if it is more likely than not that the tax position will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. If the tax position | ||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||
meets the more-likely-than-not recognition threshold, the position is measured to determine the amount of the benefit to recognize and is measured at the largest amount of benefit that is greater than 50% likely of being realized upon settlement. The Company has no material tax exposure matters that were accrued as of December 31, 2013 and 2012. The Company's policy is to account for interest and penalties as components of income tax expense. | ||
Equity Method Investments | ' | |
Equity Method Investments | ||
Under the equity method, the Company recognizes its portion of net income of unconsolidated affiliates, net of eliminations, in equity in earnings of affiliate on the consolidated statements of operations. Equity method investments are included in other assets on the consolidated statements of condition. | ||
Marketing and Advertising | ' | |
Marketing and Advertising | ||
The Company expenses marketing and advertising costs as incurred. | ||
Off-Balance Sheet Financial Instruments | ' | |
Off-Balance Sheet Financial Instruments | ||
In the ordinary course of business, the Company has entered into off-balance sheet financial instruments consisting of commitments to extend credit. Such financial instruments are recorded in the balance sheet when they are funded. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet financial instruments. | ||
Fair Value of Financial Instruments | ' | |
Fair Value of Financial Instruments | ||
Certain of the Company's financial instruments are carried at fair value. Generally, fair value is the price that a willing buyer and a willing seller would agree upon in an other than a distressed sale situation. Because of the uncertainties inherent in determining fair value, fair value estimates may not be precise. Many of the fair value estimates are based on highly subjective judgments and assumptions made about market information and economic conditions. See Note 14 for a detailed discussion of fair value measurements and methodology used to determine fair value. | ||
Employee Stock Ownership Plan | ' | |
Employee Stock Ownership Plan | ||
The ESOP borrowed funds from the Bancorp to purchase shares of common stock of the Bancorp. The funds borrowed by the ESOP from Bancorp to purchase shares of common stock in 2006 are being repaid from the Bank's contributions over a period of 15 years from 2006 to 2020. The funds borrowed by the ESOP from the Bancorp to purchase shares of common stock in 2010 are being repaid from the Bank's contributions over a period of 14.5 years from 2010 to 2024. The Bancorp's common stock not yet allocated to participants is recorded as a reduction of stockholders' equity at cost. The Bancorp's loans to the ESOP and the ESOP's note payables are not reflected in the consolidated statements of condition. Compensation expense for the ESOP is based on the average market price of the Company's stock and is recognized as shares are committed to be released to participants. The notes receivable and related interest income are included in the parent company financial statements presented in Note 17. | ||
For purposes of computing basic and diluted earnings per share, ESOP shares that have been committed to be released are considered outstanding. ESOP shares that have not been committed to be released are not considered outstanding. | ||
Stock Based Compensation | ' | |
Stock Based Compensation | ||
The Company grants equity awards to employees, consisting of stock options, performance awards and restricted stock, under its Long-Term Incentive Plan, its 2007 Equity Incentive Plan and its 2011 Equity Incentive Plan. The Company classifies share-based compensation for employees and outside directors within "Salaries, benefits and other compensation" in the consolidated statements of operations to correspond with the same line item as compensation paid. Additionally, the Company reports (1) the expense associated with the grants as an adjustment to operating cash flows and (2) any benefits of realized tax deductions in excess of previously recognized tax benefits on compensation expense as a financing cash flow. Excess tax benefits totaled $59,000 and $88,000 in 2013 and 2012, respectively. There were no such excess tax benefits in 2011. | ||
Stock options vest over a five-year service period and expire ten years after grant date. The Company recognizes compensation expense for the fair values of stock options using the straight-line method over the requisite service period for the entire award. | ||
Non-performance based restricted shares vest over a five-year service period. The Company recognizes compensation expense for the fair value of restricted shares on a straight-line basis over the requisite service period for the entire award. | ||
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) | ||
Performance-based restricted shares vest over a five-year period based on service and achievement of performance metrics. The performance metrics to be evaluated during the performance period are (1) return on assets compared to peer group and (2) earnings per share growth rate compared to peer group. On the third anniversary of the grant date, the Company's level of performance relative to the performance metrics are evaluated and, if such performance metrics have been achieved, an amount of shares that will vest at that time and over the following two years will be determined. Of the shares that will vest, 50% of the shares vest on the third anniversary of the date of grant and 25% vest on each of the fourth and fifth anniversaries of the date of grant. | ||
Per Share Information | ' | |
Per Share Information | ||
Basic earnings per share excludes dilution and is computed by dividing income available to common stockholders by the weighted-average common shares outstanding during the period. Diluted earnings per share takes into account the potential dilution that could occur if securities or other contracts to issue common stock were exercised and converted into common stock. Proceeds assumed to have been received on such exercises are assumed to be used to purchase shares of the Company's common stock at the average market price during the periods, as required by the treasury stock method of accounting. Unallocated shares in the ESOP and shares purchased to fund the Bancorp’s equity incentive plans are not included in either basic or diluted earnings per share. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||||
Schedule of the reconciliation of the numerators and denominators of the basic and diluted earnings per share computations | ' | |||||||||||||
The following table presents the reconciliation of the numerators and denominators of the basic and diluted EPS computations. | ||||||||||||||
Years Ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Net income | $ | 5,534,000 | $ | 5,062,000 | $ | 4,779,000 | ||||||||
Weighted-average common shares outstanding (1) | 12,199,774 | 12,624,068 | 14,112,359 | |||||||||||
Average common stock acquired by stock benefit plans: | ||||||||||||||
ESOP shares unallocated | (586,424 | ) | (651,538 | ) | (716,530 | ) | ||||||||
Shares purchased by trust | (324,207 | ) | (372,653 | ) | (249,670 | ) | ||||||||
Weighted-average common shares used to calculate basic earnings per share | 11,289,143 | 11,599,877 | 13,146,159 | |||||||||||
Dilutive effect of: | ||||||||||||||
Restricted stock awards | 42,582 | 29,653 | 33,089 | |||||||||||
Stock option awards | 198,429 | 117,731 | 52,582 | |||||||||||
Weighted-average common shares used to calculate diluted earnings per share | 11,530,154 | 11,747,261 | 13,231,830 | |||||||||||
Earnings per share-basic | $ | 0.49 | $ | 0.44 | $ | 0.36 | ||||||||
Earnings per share-diluted | $ | 0.48 | $ | 0.43 | $ | 0.36 | ||||||||
Outstanding common stock equivalents having no dilutive effect | 1,108,329 | 860,842 | 822,461 | |||||||||||
(1) Excludes treasury stock. |
INVESTMENT_AND_MORTGAGE_RELATE1
INVESTMENT AND MORTGAGE RELATED SECURITIES (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | |||||||||||||||||||||||
Schedule of amortized cost and fair value of securities available-for-sale and held-to-maturity | ' | |||||||||||||||||||||||
The amortized cost and fair value of securities available-for-sale and held-to-maturity as of December 31, 2013 and 2012 are summarized as follows: | ||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||
Amortized | Gross | Gross | OTTI | Fair | ||||||||||||||||||||
Cost | Unrealized | Unrealized | in AOCI | Value | ||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 300 | $ | 8 | $ | — | $ | — | $ | 308 | ||||||||||||||
Corporate securities | 10,145 | 54 | (18 | ) | — | 10,181 | ||||||||||||||||||
10,445 | 62 | (18 | ) | — | 10,489 | |||||||||||||||||||
Private label commercial mortgage related securities | 2,118 | 2 | — | — | 2,120 | |||||||||||||||||||
Agency residential mortgage related securities | 250,851 | 2,655 | (9,558 | ) | — | 243,948 | ||||||||||||||||||
Total mortgage related securities | 252,969 | 2,657 | (9,558 | ) | — | 246,068 | ||||||||||||||||||
Total available-for-sale securities | $ | 263,414 | $ | 2,719 | $ | (9,576 | ) | $ | — | $ | 256,557 | |||||||||||||
Held-to-Maturity Securities: | ||||||||||||||||||||||||
Agency residential mortgage related securities | $ | 68,397 | $ | 514 | $ | (1,420 | ) | $ | — | $ | 67,491 | |||||||||||||
Total mortgage related securities | 68,397 | 514 | (1,420 | ) | — | 67,491 | ||||||||||||||||||
Total held-to-maturity securities | $ | 68,397 | $ | 514 | $ | (1,420 | ) | $ | — | $ | 67,491 | |||||||||||||
31-Dec-12 | ||||||||||||||||||||||||
Amortized | Gross | Gross | OTTI | Fair | ||||||||||||||||||||
Cost | Unrealized | Unrealized | in AOCI | Value | ||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 300 | $ | 14 | $ | — | $ | — | $ | 314 | ||||||||||||||
Corporate securities | 12,207 | 91 | (121 | ) | — | 12,177 | ||||||||||||||||||
12,507 | 105 | (121 | ) | — | 12,491 | |||||||||||||||||||
Private label commercial mortgage related securities | 6,119 | 78 | — | — | 6,197 | |||||||||||||||||||
Agency residential mortgage related securities | 270,461 | 7,023 | (65 | ) | — | 277,419 | ||||||||||||||||||
Total mortgage related securities | 276,580 | 7,101 | (65 | ) | — | 283,616 | ||||||||||||||||||
Total available-for-sale securities | $ | 289,087 | $ | 7,206 | $ | (186 | ) | $ | — | $ | 296,107 | |||||||||||||
Held-to-Maturity Securities: | ||||||||||||||||||||||||
Agency residential mortgage related securities | $ | 28,369 | $ | 1,082 | $ | — | $ | — | $ | 29,451 | ||||||||||||||
Total mortgage related securities | 28,369 | 1,082 | — | — | 29,451 | |||||||||||||||||||
Total held-to-maturity securities | $ | 28,369 | $ | 1,082 | $ | — | $ | — | $ | 29,451 | ||||||||||||||
Schedule of gross unrealized losses and fair value of securities, aggregated by security category and length of time that individual securities have been in a continuous unrealized loss position | ' | |||||||||||||||||||||||
The following tables show gross unrealized losses and fair value of securities, aggregated by security category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2013 and 2012. | ||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | ||||||||||||||||||||||
Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Corporate securities | — | — | 2,982 | (18 | ) | 2,982 | (18 | ) | ||||||||||||||||
— | — | 2,982 | (18 | ) | 2,982 | (18 | ) | |||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | — | ||||||||||||||||||
Agency residential mortgage related securities | 180,448 | (7,251 | ) | 24,841 | (2,307 | ) | 205,289 | (9,558 | ) | |||||||||||||||
Total mortgage related securities | 180,448 | (7,251 | ) | 24,841 | (2,307 | ) | 205,289 | (9,558 | ) | |||||||||||||||
Total available-for-sale securities | $ | 180,448 | $ | (7,251 | ) | $ | 27,823 | $ | (2,325 | ) | $ | 208,271 | $ | (9,576 | ) | |||||||||
Held-to-Maturity Securities: | ||||||||||||||||||||||||
Agency residential mortgage related securities | $ | 40,615 | $ | (1,420 | ) | $ | — | $ | — | $ | 40,615 | $ | (1,420 | ) | ||||||||||
Total mortgage related securities | 40,615 | (1,420 | ) | — | — | 40,615 | (1,420 | ) | ||||||||||||||||
Total held-to-maturity securities | $ | 40,615 | $ | (1,420 | ) | $ | — | $ | — | $ | 40,615 | $ | (1,420 | ) | ||||||||||
Total Temporarily Impaired Securities | $ | 221,063 | $ | (8,671 | ) | $ | 27,823 | $ | (2,325 | ) | $ | 248,886 | $ | (10,996 | ) | |||||||||
December 31, 2012 | ||||||||||||||||||||||||
Less than 12 Months | 12 Months or More | Total | ||||||||||||||||||||||
Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Corporate securities | — | — | 2,879 | (121 | ) | 2,879 | (121 | ) | ||||||||||||||||
— | — | 2,879 | (121 | ) | 2,879 | (121 | ) | |||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | — | ||||||||||||||||||
Agency residential mortgage related securities | 29,092 | (65 | ) | — | — | 29,092 | (65 | ) | ||||||||||||||||
Total mortgage related securities | 29,092 | (65 | ) | — | — | 29,092 | (65 | ) | ||||||||||||||||
Total available-for-sale securities | $ | 29,092 | $ | (65 | ) | $ | 2,879 | $ | (121 | ) | $ | 31,971 | $ | (186 | ) | |||||||||
Held-to-Maturity Securities: | ||||||||||||||||||||||||
Agency residential mortgage related securities | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Total mortgage related securities | — | — | — | — | — | — | ||||||||||||||||||
Total held-to-maturity securities | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Total Temporarily Impaired Securities | $ | 29,092 | $ | (65 | ) | $ | 2,879 | $ | (121 | ) | $ | 31,971 | $ | (186 | ) | |||||||||
Schedules of components of net gains on sale of investment securities | ' | |||||||||||||||||||||||
The following schedules provide a summary of the components of net investment securities gains (losses) in the Company’s consolidated statements of operations for the years ended December 31, 2013, 2012 and 2011. | ||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||
Gross | Gross | Other-than- | Portion of | Net Gains | ||||||||||||||||||||
Realized | Realized | Temporary | OTTI | (Losses) | ||||||||||||||||||||
Gains | Losses | Impairment | in OCI | |||||||||||||||||||||
Losses | ||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
Corporate securities | — | — | — | — | — | |||||||||||||||||||
— | — | — | — | — | ||||||||||||||||||||
Private label residential mortgage related security | — | — | — | — | — | |||||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | |||||||||||||||||||
Agency residential mortgage related securities | 532 | — | — | — | 532 | |||||||||||||||||||
Total mortgage related securities | 532 | — | — | — | 532 | |||||||||||||||||||
Total securities available-for-sale | $ | 532 | $ | — | $ | — | $ | — | $ | 532 | ||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||||||
Gross | Gross | Other-than- | Portion of | Net Gains | ||||||||||||||||||||
Realized | Realized | Temporary | OTTI | (Losses) | ||||||||||||||||||||
Gains | Losses | Impairment | in OCI | |||||||||||||||||||||
Losses | ||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 64 | $ | — | $ | — | $ | — | $ | 64 | ||||||||||||||
Corporate securities | — | — | — | — | — | |||||||||||||||||||
64 | — | — | — | 64 | ||||||||||||||||||||
Private label residential mortgage related security | — | (87 | ) | — | — | (87 | ) | |||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | |||||||||||||||||||
Agency residential mortgage related securities | 3,315 | — | — | — | 3,315 | |||||||||||||||||||
Total mortgage related securities | 3,315 | (87 | ) | — | — | 3,228 | ||||||||||||||||||
Total securities available-for-sale | $ | 3,379 | $ | (87 | ) | $ | — | $ | — | $ | 3,292 | |||||||||||||
Year Ended December 31, 2011 | ||||||||||||||||||||||||
Gross | Gross | Other-than- | Portion of | Net Gains | ||||||||||||||||||||
Realized | Realized | Temporary | OTTI | (Losses) | ||||||||||||||||||||
Gains | Losses | Impairment | in OCI | |||||||||||||||||||||
Losses | ||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
Corporate securities | — | — | — | — | — | |||||||||||||||||||
— | — | — | — | — | ||||||||||||||||||||
Private label residential mortgage related security | — | — | (407 | ) | 46 | (361 | ) | |||||||||||||||||
Private label commercial mortgage related securities | — | — | — | — | — | |||||||||||||||||||
Agency residential mortgage related securities | 1,091 | — | — | — | 1,091 | |||||||||||||||||||
Total mortgage related securities | 1,091 | — | (407 | ) | 46 | 730 | ||||||||||||||||||
Total securities available-for-sale | $ | 1,091 | $ | — | $ | (407 | ) | $ | 46 | $ | 730 | |||||||||||||
Schedule of amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity by contractual maturity | ' | |||||||||||||||||||||||
The amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity at December 31, 2013 and 2012 by contractual maturity are as follows: | ||||||||||||||||||||||||
Available-for-Sale | Held-to-Maturity | |||||||||||||||||||||||
Amortized Cost | Fair Value | Amortized Cost | Fair Value | |||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||
Due in one year or less | $ | 1,999 | $ | 2,000 | $ | — | $ | — | ||||||||||||||||
Due after one year through five years | 8,446 | 8,489 | — | — | ||||||||||||||||||||
Due after five years through ten years | — | — | — | — | ||||||||||||||||||||
Due after ten years | — | — | — | — | ||||||||||||||||||||
Total mortgage related securities | 252,969 | 246,068 | 68,397 | 67,491 | ||||||||||||||||||||
$ | 263,414 | $ | 256,557 | $ | 68,397 | $ | 67,491 | |||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||
Due in one year or less | $ | 2,019 | $ | 2,032 | $ | — | $ | — | ||||||||||||||||
Due after one year through five years | 10,488 | 10,459 | — | — | ||||||||||||||||||||
Due after five years through ten years | — | — | — | — | ||||||||||||||||||||
Due after ten years | — | — | — | — | ||||||||||||||||||||
Total mortgage related securities | 276,580 | 283,616 | 28,369 | 29,451 | ||||||||||||||||||||
$ | 289,087 | $ | 296,107 | $ | 28,369 | $ | 29,451 | |||||||||||||||||
LOANS_Tables
LOANS (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||||
Receivables [Abstract] | ' | |||||||||||||||||||||||||||
Schedule of composition of net loans | ' | |||||||||||||||||||||||||||
The composition of net loans at December 31, 2013 and 2012 is provided below: | ||||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 127,501 | $ | 158,828 | ||||||||||||||||||||||||
Multi-family and commercial | 408,365 | 368,948 | ||||||||||||||||||||||||||
Construction | 5,904 | 22,591 | ||||||||||||||||||||||||||
541,770 | 550,367 | |||||||||||||||||||||||||||
Consumer loans | 22,478 | 30,585 | ||||||||||||||||||||||||||
Commercial and industrial loans | 168,013 | 113,820 | ||||||||||||||||||||||||||
Total loans | 732,261 | 694,772 | ||||||||||||||||||||||||||
Deferred loan origination (fees) cost, net | (242 | ) | 263 | |||||||||||||||||||||||||
Allowance for loan losses | (11,529 | ) | (11,170 | ) | ||||||||||||||||||||||||
Net loans | $ | 720,490 | $ | 683,865 | ||||||||||||||||||||||||
Schedule of changes in allowance for loan losses | ' | |||||||||||||||||||||||||||
The following table presents changes in the allowance for loan losses: | ||||||||||||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Balance, beginning | $ | 11,170 | $ | 12,075 | $ | 12,443 | ||||||||||||||||||||||
Provision for loan losses | 982 | 3,478 | 5,734 | |||||||||||||||||||||||||
Loans charged off | (713 | ) | (4,527 | ) | (6,331 | ) | ||||||||||||||||||||||
Recoveries | 90 | 144 | 229 | |||||||||||||||||||||||||
Balance, ending | $ | 11,529 | $ | 11,170 | $ | 12,075 | ||||||||||||||||||||||
Schedule of changes in allowance for loan losses by loan segment | ' | |||||||||||||||||||||||||||
The following tables present changes in the allowance for loan losses by loan segment for the years ended December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||||||
One- to | Multi-family | Construction | Consumer | Commercial | Unallocated | Total | ||||||||||||||||||||||
Four-Family | and | and | ||||||||||||||||||||||||||
Commercial | Industrial | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Balance, beginning | $ | 642 | $ | 6,327 | $ | 873 | $ | 232 | $ | 2,630 | $ | 466 | $ | 11,170 | ||||||||||||||
(Credit) provision for loan losses | (95 | ) | 1,252 | (549 | ) | (38 | ) | 421 | (9 | ) | 982 | |||||||||||||||||
Loans charged off | (179 | ) | (463 | ) | — | (71 | ) | — | — | (713 | ) | |||||||||||||||||
Recoveries | 35 | 25 | — | 30 | — | — | 90 | |||||||||||||||||||||
Balance, ending | $ | 403 | $ | 7,141 | $ | 324 | $ | 153 | $ | 3,051 | $ | 457 | $ | 11,529 | ||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||||||||||
One- to | Multi-family | Construction | Consumer | Commercial | Unallocated | Total | ||||||||||||||||||||||
Four-Family | and | and | ||||||||||||||||||||||||||
Commercial | Industrial | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Balance, beginning | $ | 1,760 | $ | 6,112 | $ | 869 | $ | 455 | $ | 2,657 | $ | 222 | $ | 12,075 | ||||||||||||||
Provision (credit) for loan losses | 286 | 1,064 | 252 | 1,659 | (27 | ) | 244 | 3,478 | ||||||||||||||||||||
Loans charged off | (1,408 | ) | (887 | ) | (340 | ) | (1,892 | ) | — | — | (4,527 | ) | ||||||||||||||||
Recoveries | 4 | 38 | 92 | 10 | — | — | 144 | |||||||||||||||||||||
Balance, ending | $ | 642 | $ | 6,327 | $ | 873 | $ | 232 | $ | 2,630 | $ | 466 | $ | 11,170 | ||||||||||||||
Schedule of breakdown of impaired loans by loan segment | ' | |||||||||||||||||||||||||||
The following tables set forth the breakdown of impaired loans by loan segment as of December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||||
Nonaccrual | Accruing | Other | Total | Impaired | Impaired | |||||||||||||||||||||||
Loans | TDRs | Impaired | Impaired | Loans | Loans | |||||||||||||||||||||||
Loans | Loans | with | without | |||||||||||||||||||||||||
Allowance | Allowance | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 2,390 | $ | 582 | $ | — | $ | 2,972 | $ | 2,972 | $ | — | ||||||||||||||||
Multi-family and commercial | 3,031 | 6,191 | — | 9,222 | 8,866 | 356 | ||||||||||||||||||||||
Construction | 3,231 | — | — | 3,231 | 3,231 | — | ||||||||||||||||||||||
Consumer loans | 128 | 13 | — | 141 | 141 | — | ||||||||||||||||||||||
Commercial and industrial | — | — | — | — | — | — | ||||||||||||||||||||||
Total | $ | 8,780 | $ | 6,786 | $ | — | $ | 15,566 | $ | 15,210 | $ | 356 | ||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||
Nonaccrual | Accruing | Other | Total | Impaired | Impaired | |||||||||||||||||||||||
Loans | TDRs | Impaired | Impaired | Loans | Loans | |||||||||||||||||||||||
Loans | Loans | with | without | |||||||||||||||||||||||||
Allowance | Allowance | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 3,355 | $ | 507 | $ | — | $ | 3,862 | $ | 3,862 | $ | — | ||||||||||||||||
Multi-family and commercial | 5,284 | 6,867 | — | 12,151 | 11,770 | 381 | ||||||||||||||||||||||
Construction | 6,434 | — | — | 6,434 | 6,434 | — | ||||||||||||||||||||||
Consumer loans | 2,051 | 14 | — | 2,065 | 203 | 1,862 | ||||||||||||||||||||||
Commercial and industrial | — | — | — | — | — | — | ||||||||||||||||||||||
Total | $ | 17,124 | $ | 7,388 | $ | — | $ | 24,512 | $ | 22,269 | $ | 2,243 | ||||||||||||||||
Schedule of allowance for loan loss for impaired loans and general allowance by loan segment | ' | |||||||||||||||||||||||||||
The following tables set forth the allowance for loan loss for impaired loans and general allowance by loan segment as of December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
31-Dec-13 | Allowance for Loan Losses | |||||||||||||||||||||||||||
Impaired Loans | ||||||||||||||||||||||||||||
Nonaccrual Loans | Accruing TDRs | Other Impaired Loans | Total Impaired Loans | |||||||||||||||||||||||||
General | Total | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 163 | $ | 1 | $ | — | $ | 164 | $ | 239 | $ | 403 | ||||||||||||||||
Multi-family and commercial | 600 | 687 | — | 1,287 | 5,854 | 7,141 | ||||||||||||||||||||||
Construction | 263 | — | — | 263 | 61 | 324 | ||||||||||||||||||||||
Consumer loans | 6 | — | — | 6 | 147 | 153 | ||||||||||||||||||||||
Commercial and industrial | — | — | — | — | 3,051 | 3,051 | ||||||||||||||||||||||
Unallocated | — | — | — | — | 457 | 457 | ||||||||||||||||||||||
Total allowance for loan losses | $ | 1,032 | $ | 688 | $ | — | $ | 1,720 | $ | 9,809 | $ | 11,529 | ||||||||||||||||
31-Dec-12 | Allowance for Loan Losses | |||||||||||||||||||||||||||
Impaired Loans | ||||||||||||||||||||||||||||
Nonaccrual Loans | Accruing TDRs | Other Impaired Loans | Total Impaired Loans | |||||||||||||||||||||||||
General | Total | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | $ | 337 | $ | 5 | $ | — | $ | 342 | $ | 300 | $ | 642 | ||||||||||||||||
Multi-family and commercial | 530 | 948 | — | 1,478 | 4,849 | 6,327 | ||||||||||||||||||||||
Construction | 449 | — | — | 449 | 424 | 873 | ||||||||||||||||||||||
Consumer loans | 10 | 1 | — | 11 | 221 | 232 | ||||||||||||||||||||||
Commercial and industrial | — | — | — | — | 2,630 | 2,630 | ||||||||||||||||||||||
Unallocated | — | — | — | — | 466 | 466 | ||||||||||||||||||||||
Total allowance for loan losses | $ | 1,326 | $ | 954 | $ | — | $ | 2,280 | $ | 8,890 | $ | 11,170 | ||||||||||||||||
Summary of TDR activity for the periods | ' | |||||||||||||||||||||||||||
The following tables set forth a summary of the TDR activity for the years ended December 31, 2013, 2012, and 2011. | ||||||||||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||||||
TDRs that Defaulted in Current Period that were Restructured in the Prior Twelve Months | ||||||||||||||||||||||||||||
Restructured Current Period | ||||||||||||||||||||||||||||
Number | Pre-Modification | Post-Modification | Number | Post-Modification | ||||||||||||||||||||||||
of Loans | Outstanding | Outstanding | of Loans | Outstanding | ||||||||||||||||||||||||
Recorded | Recorded | Recorded | ||||||||||||||||||||||||||
Investment | Investment | Investment | ||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||
Real estate loans: | ||||||||||||||||||||||||||||
One- to four-family | 2 | $ | 622 | $ | 622 | — | $ | — | ||||||||||||||||||||
Multi-family and commercial | — | — | — | 1 | 1,640 | |||||||||||||||||||||||
Construction | — | — | — | — | — | |||||||||||||||||||||||
Consumer loans | — | — | — | — | — | |||||||||||||||||||||||
Commercial and industrial | — | — | — | — | — | |||||||||||||||||||||||
Total | 2 | $ | 622 | $ | 622 | 1 | $ | 1,640 | ||||||||||||||||||||
Schedule of past due loans by segment | ' | |||||||||||||||||||||||||||
The following table sets forth past due loans by segment as of December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||||
30-59 | 60-89 | 30-59 | 60-89 | |||||||||||||||||||||||||
Days | Days | Days | Days | |||||||||||||||||||||||||
Past Due | Past Due | Past Due | Past Due | |||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
One- to four-family real estate | $ | 172 | $ | — | $ | 18 | $ | 284 | ||||||||||||||||||||
Multi-family and commercial real estate | — | — | — | 1,691 | ||||||||||||||||||||||||
Construction | — | — | — | — | ||||||||||||||||||||||||
Consumer | 241 | 5 | 23 | 51 | ||||||||||||||||||||||||
Commercial and industrial | — | — | — | — | ||||||||||||||||||||||||
Total | $ | 413 | $ | 5 | $ | 41 | $ | 2,026 | ||||||||||||||||||||
Schedule of criticized and classified loans by segment | ' | |||||||||||||||||||||||||||
The following tables set forth criticized and classified loans by segment as of December 31, 2013 and 2012. | ||||||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||||
One- to | Multi-family | Construction | Consumer | Commercial | Total | |||||||||||||||||||||||
Four-Family | and | and | ||||||||||||||||||||||||||
Commercial | Industrial | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Pass and Pass watch | $ | 125,111 | $ | 390,908 | $ | 2,672 | $ | 22,350 | $ | 165,336 | $ | 706,377 | ||||||||||||||||
Special mention | — | 12,414 | — | — | 2,677 | 15,091 | ||||||||||||||||||||||
Substandard | 2,390 | 5,043 | 3,232 | 128 | — | 10,793 | ||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | ||||||||||||||||||||||
Total loans | $ | 127,501 | $ | 408,365 | $ | 5,904 | $ | 22,478 | $ | 168,013 | $ | 732,261 | ||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||||||||
One- to | Multi-family | Construction | Consumer | Commercial | Total | |||||||||||||||||||||||
Four-Family | and | and | ||||||||||||||||||||||||||
Commercial | Industrial | |||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Pass and Pass watch | $ | 155,473 | $ | 347,150 | $ | 16,157 | $ | 28,534 | $ | 110,032 | $ | 657,346 | ||||||||||||||||
Special mention | — | 6,733 | — | — | 3,633 | 10,366 | ||||||||||||||||||||||
Substandard | 3,355 | 15,065 | 6,434 | 2,051 | 155 | 27,060 | ||||||||||||||||||||||
Doubtful | — | — | — | — | — | — | ||||||||||||||||||||||
Total loans | $ | 158,828 | $ | 368,948 | $ | 22,591 | $ | 30,585 | $ | 113,820 | $ | 694,772 | ||||||||||||||||
MORTGAGE_SERVICING_ACTIVITY_Ta
MORTGAGE SERVICING ACTIVITY (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
MORTGAGE SERVICING ACTIVITY | ' | ||||||||||||
Summary of activity of mortgage-servicing rights for the period ended | ' | ||||||||||||
The following table summarizes mortgage servicing rights activity for the years ended December 31, 2013, 2012 and 2011. | |||||||||||||
Servicing | Valuation | Net | |||||||||||
Rights | Allowance | Carrying | |||||||||||
Value | |||||||||||||
(In thousands) | |||||||||||||
Balance at | 31-Dec-10 | $ | 579 | $ | (131 | ) | $ | 448 | |||||
Additions | — | (8 | ) | (8 | ) | ||||||||
Amortization | (124 | ) | — | (124 | ) | ||||||||
Balance at | 31-Dec-11 | $ | 455 | $ | (139 | ) | $ | 316 | |||||
Additions | — | (16 | ) | (16 | ) | ||||||||
Amortization | (130 | ) | — | (130 | ) | ||||||||
Balance at | 31-Dec-12 | $ | 325 | $ | (155 | ) | $ | 170 | |||||
Reductions | — | 52 | 52 | ||||||||||
Amortization | (70 | ) | — | (70 | ) | ||||||||
Balance at | 31-Dec-13 | $ | 255 | $ | (103 | ) | $ | 152 | |||||
Schedule of estimated amortization expense of amortizing mortgage servicing rights | ' | ||||||||||||
The estimated amortization expense of amortizing mortgage servicing rights for each of the five succeeding fiscal years after December 31, 2013 is as follows: | |||||||||||||
Year | Amount | ||||||||||||
(In thousands) | |||||||||||||
2014 | $ | 57 | |||||||||||
2015 | 45 | ||||||||||||
2016 | 35 | ||||||||||||
2017 | 28 | ||||||||||||
2018 | 21 | ||||||||||||
Thereafter | 69 | ||||||||||||
Total | $ | 255 | |||||||||||
PREMISES_AND_EQUIPMENT_Tables
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||||||
Schedule of components of premises and equipment | ' | ||||||||||||
The components of premises and equipment at December 31, 2013 and 2012 were as follows: | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||
Land | $ | 3,207 | $ | 3,207 | |||||||||
Buildings | 13,759 | 13,661 | |||||||||||
Leasehold improvements | 202 | 201 | |||||||||||
Furniture, fixtures and equipment | 4,739 | 4,827 | |||||||||||
21,907 | 21,896 | ||||||||||||
Less: accumulated depreciation | (12,093 | ) | (11,453 | ) | |||||||||
Premises and equipment, net | $ | 9,814 | $ | 10,443 | |||||||||
Schedule of rental expenses | ' | ||||||||||||
The following rental expenses were included in the Company's financial statements. | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Office rent | $ | 407 | $ | 449 | $ | 486 | |||||||
Equipment lease | 2 | 2 | 2 | ||||||||||
$ | 409 | $ | 451 | $ | 488 | ||||||||
Schedule of minimum future rental payments under non-cancelable leases for premises and equipment | ' | ||||||||||||
The following table shows the minimum future rental payments under non-cancelable leases for premises and equipment as of December 31, 2013. | |||||||||||||
Year | Amount | ||||||||||||
(In thousands) | |||||||||||||
2014 | $ | 443 | |||||||||||
2015 | 428 | ||||||||||||
2016 | 36 | ||||||||||||
2017 | — | ||||||||||||
2018 | — | ||||||||||||
DEPOSITS_Tables
DEPOSITS (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Banking and Thrift [Abstract] | ' | |||||||||||||
Schedule of components of weighted average interest rate and balance of deposits | ' | |||||||||||||
Deposits and their respective weighted average interest rate at December 31, 2013 and December 31, 2012 consist of the following: | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Weighted | Amount | Weighted | Amount | |||||||||||
Average | Average | |||||||||||||
Interest Rate | Interest Rate | |||||||||||||
(Dollars in thousands) | ||||||||||||||
Noninterest-bearing demand accounts | — | % | $ | 100,748 | — | % | $ | 108,176 | ||||||
NOW accounts | 0.21 | 84,569 | 0.22 | 70,199 | ||||||||||
Money market accounts | 0.2 | 85,017 | 0.19 | 97,318 | ||||||||||
Savings and club accounts | 0.22 | 108,183 | 0.14 | 99,046 | ||||||||||
Brokered deposits | 0.56 | 71,334 | 0.51 | 50,637 | ||||||||||
Certificates of deposit | 1.26 | 223,864 | 1.59 | 262,033 | ||||||||||
0.56 | % | $ | 673,715 | 0.71 | % | $ | 687,409 | |||||||
Schedule of maturities of certificates of deposit and brokered deposits | ' | |||||||||||||
The scheduled maturities of certificates of deposit and brokered deposits for periods subsequent to December 31, 2013 are as follows: | ||||||||||||||
December 31, | ||||||||||||||
Year | Certificates of | Brokered | Total | |||||||||||
Deposit | Deposits | |||||||||||||
(In thousands) | ||||||||||||||
2014 | $ | 141,653 | $ | 37,196 | $ | 178,849 | ||||||||
2015 | 46,545 | 14,643 | 61,188 | |||||||||||
2016 | 18,075 | 7,095 | 25,170 | |||||||||||
2017 | 4,978 | 6,219 | 11,197 | |||||||||||
2018 | 5,768 | 6,181 | 11,949 | |||||||||||
Thereafter | 6,845 | — | 6,845 | |||||||||||
$ | 223,864 | $ | 71,334 | $ | 295,198 | |||||||||
Summary of interest expense on deposits | ' | |||||||||||||
A summary of interest expense on deposits for the years ended December 31, 2013, 2012 and 2011 is as follows: | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
(In thousands) | ||||||||||||||
NOW accounts | $ | 172 | $ | 234 | $ | 143 | ||||||||
Money market accounts | 172 | 339 | 596 | |||||||||||
Savings and club accounts | 141 | 253 | 148 | |||||||||||
Brokered deposits | 391 | 194 | 13 | |||||||||||
Certificates of deposit | 3,468 | 5,327 | 7,772 | |||||||||||
$ | 4,344 | $ | 6,347 | $ | 8,672 | |||||||||
BORROWINGS_Tables
BORROWINGS (Tables) | 12 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
BORROWINGS | ' | |||||||||||||||||
Summary of borrowed funds by type | ' | |||||||||||||||||
The following is a summary of borrowed funds by type: | ||||||||||||||||||
Balance at End of Year | Weighted | Maximum | Average | Weighted | ||||||||||||||
Average | Amount | Amount | Average | |||||||||||||||
Coupon Rate | Outstanding at | Outstanding | Interest Rate | |||||||||||||||
Month End | During the Year | During the Year | ||||||||||||||||
During the Year | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
2013 | ||||||||||||||||||
FHLB advances | $ | 150,000 | 1.52 | % | $ | 150,000 | $ | 135,807 | 1.61 | % | ||||||||
Other borrowed funds | 30,000 | 3.3 | 30,000 | 30,000 | 3.36 | |||||||||||||
Short-term borrowings | 80,500 | 0.32 | 80,500 | 47,368 | 0.28 | |||||||||||||
2012 | ||||||||||||||||||
FHLB advances | $ | 110,000 | 1.8 | % | $ | 110,000 | $ | 82,039 | 2.9 | % | ||||||||
Other borrowed funds | 30,000 | 3.3 | 50,000 | 39,389 | 3.42 | |||||||||||||
Short-term borrowings | 70,500 | 0.3 | 70,500 | 15,851 | 0.24 | |||||||||||||
Schedule of FHLB advances | ' | |||||||||||||||||
Maturity Date | Amount | Coupon Rate | Call Date | Rate if Called | ||||||||||||||
(In thousands) | ||||||||||||||||||
Aug-14 | $ | 10,000 | 0.52 | % | Not Applicable | Not Applicable | ||||||||||||
Sep-14 | 15,000 | 0.41 | Not Applicable | Not Applicable | ||||||||||||||
Dec-14 | 15,000 | 0.43 | Not Applicable | Not Applicable | ||||||||||||||
Mar-15 | 10,000 | 0.49 | Not Applicable | Not Applicable | ||||||||||||||
Apr-15 | 10,000 | 0.45 | Not Applicable | Not Applicable | ||||||||||||||
Aug-15 | 10,000 | 0.68 | Not Applicable | Not Applicable | ||||||||||||||
Mar-16 | 10,000 | 0.62 | Not Applicable | Not Applicable | ||||||||||||||
Sep-16 | 5,000 | 0.75 | Not Applicable | Not Applicable | ||||||||||||||
Sep-16 | 10,000 | 1.04 | Not Applicable | Not Applicable | ||||||||||||||
Jun-17 | 5,000 | 0.94 | Not Applicable | Not Applicable | ||||||||||||||
Nov-17 | 15,000 | 3.62 | Feb-14 | LIBOR + 0.10% | ||||||||||||||
Nov-17 | 15,000 | 3.87 | Feb-14 | LIBOR + 0.10% | ||||||||||||||
Dec-17 | 20,000 | 2.83 | March 2014 | LIBOR + 0.11% | ||||||||||||||
$ | 150,000 | 1.52 | % | |||||||||||||||
Schedule of maturity of FHLB advances with weighted average coupon by year | ' | |||||||||||||||||
Advances from the FHLB of Pittsburgh with coupon rates ranging from 0.41% to 3.87% are due as follows. | ||||||||||||||||||
Maturity | Amount | Weighted | ||||||||||||||||
Average | ||||||||||||||||||
Coupon Rate | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
2014 | $ | 40,000 | 0.45 | % | ||||||||||||||
2015 | 30,000 | 0.54 | ||||||||||||||||
2016 | 25,000 | 0.81 | ||||||||||||||||
2017 | 55,000 | 3.16 | ||||||||||||||||
$ | 150,000 | 1.52 | % | |||||||||||||||
Schedule of other long-term borrowings | ' | |||||||||||||||||
Next Call Date | Subsequent Call Frequency | |||||||||||||||||
Maturity Date | Amount | Coupon Rate | ||||||||||||||||
(In thousands) | ||||||||||||||||||
September 2018 | $ | 10,000 | 3.4 | % | Not Applicable | Not Applicable | ||||||||||||
September 2018 | 5,000 | 3.2 | Not Applicable | Not Applicable | ||||||||||||||
October 2018 | 5,000 | 3.15 | January 2014 | Quarterly | ||||||||||||||
October 2018 | 5,000 | 3.27 | Not Applicable | Not Applicable | ||||||||||||||
November 2018 | 5,000 | 3.37 | Not Applicable | Not Applicable | ||||||||||||||
$ | 30,000 | 3.3 | % | |||||||||||||||
STOCK_BASED_COMPENSATION_Table
STOCK BASED COMPENSATION (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||||||||
Summary of stock option activity and related information | ' | |||||||||||||||||||
The following is a summary of the Bancorp’s stock option activity and related information for the years ended December 31, 2013, 2012 and 2011. | ||||||||||||||||||||
Number of | Weighted | Weighted | Aggregate | |||||||||||||||||
Stock | Average | Average | Intrinsic | |||||||||||||||||
Options | Exercise | Remaining | Value | |||||||||||||||||
Price | Contractual | |||||||||||||||||||
Life | ||||||||||||||||||||
Outstanding at | 31-Dec-10 | 692,178 | $ | 10.97 | 7.1 years | $ | 608,000 | |||||||||||||
Granted | 135,494 | 12.49 | ||||||||||||||||||
Exercised | (15,037 | ) | 10.69 | |||||||||||||||||
Forfeited/Cancelled | (24,493 | ) | 11.24 | |||||||||||||||||
Outstanding at | 31-Dec-11 | 788,142 | $ | 11.23 | 6.6 years | $ | 1,111,000 | |||||||||||||
Granted | 146,550 | 13.15 | ||||||||||||||||||
Exercised | (43,954 | ) | 10.94 | |||||||||||||||||
Forfeited/Cancelled | (13,069 | ) | 11.1 | |||||||||||||||||
Outstanding at | 31-Dec-12 | 877,669 | $ | 11.57 | 6.3 years | $ | 4,461,000 | |||||||||||||
Granted | 255,650 | 17 | ||||||||||||||||||
Exercised | (9,811 | ) | 10.82 | |||||||||||||||||
Forfeited/Cancelled | (100 | ) | 12.94 | |||||||||||||||||
Outstanding at | December 31, 2013 | 1,123,408 | $ | 12.81 | 6.2 years | $ | 5,013,000 | |||||||||||||
Exercisable at | December 31, 2013 | 647,884 | $ | 11.3 | 4.5 years | $ | 3,867,000 | |||||||||||||
Schedule of assumptions to determine the fair value of the options | ' | |||||||||||||||||||
The fair value was based on the following assumptions: | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Expected Dividend Yield | 2.22% | 1.82% | 1.9 | % | - | 2 | % | |||||||||||||
Expected Volatility | 31.11 | % | - | 31.12 | % | 32 | % | - | 32.5 | % | 33 | % | - | 40 | % | |||||
Risk-Free Interest Rate | 1.19 | % | - | 1.74 | % | 0.86 | % | - | 1.1 | % | 1.21 | % | - | 2.51 | % | |||||
Expected Option Life in Years | 6.5 | 6.5 | 6.5 | |||||||||||||||||
Summary of unvested options and changes during the period | ' | |||||||||||||||||||
The following is a summary of the Bancorp’s unvested options as of December 31, 2013, 2012 and 2011 and the changes therein during the years then ended. | ||||||||||||||||||||
Number of | Weighted | |||||||||||||||||||
Stock | Average | |||||||||||||||||||
Options | Grant Date | |||||||||||||||||||
Fair Value | ||||||||||||||||||||
Unvested at | 31-Dec-10 | 343,997 | $ | 2.9 | ||||||||||||||||
Granted | 135,494 | 3.6 | ||||||||||||||||||
Vested | (135,464 | ) | 2.98 | |||||||||||||||||
Forfeited / Cancelled | (21,497 | ) | 3.06 | |||||||||||||||||
Unvested at | 31-Dec-11 | 322,530 | $ | 3.15 | ||||||||||||||||
Granted | 146,550 | 3.57 | ||||||||||||||||||
Vested | (145,350 | ) | 3.1 | |||||||||||||||||
Forfeited / Cancelled | (13,069 | ) | 3.17 | |||||||||||||||||
Unvested at | 31-Dec-12 | 310,661 | $ | 3.36 | ||||||||||||||||
Granted | 255,650 | 4.2 | ||||||||||||||||||
Vested | (90,787 | ) | 3.16 | |||||||||||||||||
Forfeited / Cancelled | — | — | ||||||||||||||||||
Unvested at | 31-Dec-13 | 475,524 | $ | 3.85 | ||||||||||||||||
Summary of the status of the Company's restricted stock activity and balances | ' | |||||||||||||||||||
The following is a summary of the status of the Bancorp’s restricted stock as of December 31, 2013, 2012 and 2011 and changes therein during the years then ended. | ||||||||||||||||||||
Number of | Weighted | |||||||||||||||||||
Restricted | Average | |||||||||||||||||||
Shares | Grant Date | |||||||||||||||||||
Fair Value | ||||||||||||||||||||
Unvested at | 31-Dec-10 | 117,431 | $ | 10.91 | ||||||||||||||||
Granted | 57,036 | 12.54 | ||||||||||||||||||
Vested | (48,620 | ) | 11.19 | |||||||||||||||||
Forfeited / Cancelled | (5,857 | ) | 11.72 | |||||||||||||||||
Unvested at | 31-Dec-11 | 119,990 | $ | 11.54 | ||||||||||||||||
Granted | 69,950 | 13.14 | ||||||||||||||||||
Vested | (56,358 | ) | 11.46 | |||||||||||||||||
Forfeited / Cancelled | (3,025 | ) | 12.08 | |||||||||||||||||
Unvested at | 31-Dec-12 | 130,557 | $ | 12.41 | ||||||||||||||||
Granted | 122,450 | 17 | ||||||||||||||||||
Vested | (27,075 | ) | 11.77 | |||||||||||||||||
Forfeited / Cancelled | — | — | ||||||||||||||||||
Unvested at | 31-Dec-13 | 225,932 | $ | 14.98 | ||||||||||||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
Schedule of components of income tax expense (benefit) | ' | ||||||||||||
The components of income tax expense (benefit) for the years ended December 31, 2013, 2012 and 2011 are as follows: | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Federal: | |||||||||||||
Current | $ | 3,330 | $ | 2,408 | $ | 2,555 | |||||||
Deferred | (1,083 | ) | (140 | ) | (359 | ) | |||||||
2,247 | 2,268 | 2,196 | |||||||||||
State: | |||||||||||||
Current | — | — | — | ||||||||||
Deferred | 16 | 50 | 16 | ||||||||||
16 | 50 | 16 | |||||||||||
$ | 2,263 | $ | 2,318 | $ | 2,212 | ||||||||
Schedule of differences between income tax expense and statutory rate | ' | ||||||||||||
The provision for income taxes differs from the statutory rate of 34% due to the following: | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Federal income tax at statutory rate of 34% | $ | 2,651 | $ | 2,509 | $ | 2,377 | |||||||
Tax exempt interest, net | (233 | ) | (62 | ) | (62 | ) | |||||||
Bank-owned life insurance | (160 | ) | (160 | ) | (159 | ) | |||||||
ESOP compensation expense | 167 | 101 | 73 | ||||||||||
Equity incentive plans | — | — | 1 | ||||||||||
Other, net | 14 | 13 | 13 | ||||||||||
Dividends received from equity method investments | (98 | ) | (49 | ) | (13 | ) | |||||||
Dividends paid on benefit plans | (89 | ) | (67 | ) | (26 | ) | |||||||
State taxes, net | (20 | ) | 304 | 126 | |||||||||
Increase (Decrease) in valuation allowance | 31 | (271 | ) | (118 | ) | ||||||||
Total Provision | $ | 2,263 | $ | 2,318 | $ | 2,212 | |||||||
Effective tax rate | 29.03 | % | 31.41 | % | 31.64 | % | |||||||
Schedule of components of net deferred tax asset | ' | ||||||||||||
The net deferred tax asset consisted of the following components as of December 31, 2013 and 2012: | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||
Deferred tax assets: | |||||||||||||
Allowance for loan losses, net | $ | 3,920 | $ | 3,798 | |||||||||
Provision for loss on assets acquired through foreclosure | 1,826 | 966 | |||||||||||
Nonaccrual interest | 274 | 569 | |||||||||||
Equity incentive plans | 1,187 | 885 | |||||||||||
Accrued expenses | 455 | 370 | |||||||||||
Deferred lease liability | 46 | 51 | |||||||||||
State net operating loss carryforward | 96 | 73 | |||||||||||
Unrealized losses on securities available-for-sale | 2,408 | — | |||||||||||
10,212 | 6,712 | ||||||||||||
Valuation allowance | (67 | ) | (36 | ) | |||||||||
10,145 | 6,676 | ||||||||||||
Deferred tax liabilities: | |||||||||||||
Prepaid expense deduction | 255 | 238 | |||||||||||
Mortgage servicing rights | 52 | 58 | |||||||||||
Loan origination costs | 28 | 39 | |||||||||||
Deferrable earnings on investments | 504 | 439 | |||||||||||
Depreciation of premises and equipment | 400 | 471 | |||||||||||
Unrealized gains on securities available-for-sale | — | 2,478 | |||||||||||
1,239 | 3,723 | ||||||||||||
Net Deferred Tax Asset | $ | 8,906 | $ | 2,953 | |||||||||
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||||||
Summary of the Company's financial instrument commitments | ' | ||||||||
A summary of the Company's financial instrument commitments at December 31, 2013 and 2012 is as follows: | |||||||||
December 31, | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Commitments to grant loans | $ | 31,401 | $ | 23,644 | |||||
Unfunded commitments under lines of credit | 115,229 | 98,537 | |||||||
Standby letters of credit | 11,508 | 14,348 | |||||||
Commercial letters of credit | 411 | 848 | |||||||
$ | 158,549 | $ | 137,377 | ||||||
Schedule of projected amount of the Company's future minimum payments contractually due | ' | ||||||||
The projected amount of the Company's future minimum payments contractually due after December 31, 2013 is as follows (in thousands): | |||||||||
Year | Amount | ||||||||
2014 | $ | 1,656 | |||||||
2015 | 1,507 | ||||||||
2016 | — | ||||||||
2017 | — | ||||||||
2018 | — | ||||||||
STOCKHOLDERS_EQUITY_Tables
STOCKHOLDERS' EQUITY (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||||||||
Schedule of capital amounts and ratios | ' | |||||||||||||||||||||
Actual | For Capital Adequacy Purposes | To be Well | ||||||||||||||||||||
Capitalized under | ||||||||||||||||||||||
Prompt Corrective | ||||||||||||||||||||||
Action Provisions | ||||||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||
Total risk-based capital (to risk-weighted assets) | ||||||||||||||||||||||
Bancorp | $ | 186,147 | 23.67 | % | $ | 62,905 | 8 | % | $ | 78,631 | 10 | % | ||||||||||
Bank | 153,206 | 19.48 | 62,903 | 8 | 78,629 | 10 | ||||||||||||||||
Tier 1 capital (to risk-weighted assets) | ||||||||||||||||||||||
Bancorp | 177,916 | 22.63 | 31,452 | 4 | 47,178 | 6 | ||||||||||||||||
Bank | 144,977 | 18.44 | 31,452 | 4 | 47,177 | 6 | ||||||||||||||||
Tier 1 capital (to adjusted assets) | ||||||||||||||||||||||
Bancorp | 177,916 | 16.18 | 43,971 | 4 | 54,964 | 5 | ||||||||||||||||
Bank | 144,977 | 13.12 | 44,194 | 4 | 55,242 | 5 | ||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||
Total risk-based capital (to risk-weighted assets) | ||||||||||||||||||||||
Bank | $ | 147,659 | 20.48 | % | $ | 57,682 | 8 | % | $ | 72,103 | 10 | % | ||||||||||
Tier 1 capital (to risk-weighted assets) | ||||||||||||||||||||||
Bank | 140,240 | 19.45 | 28,841 | 4 | 43,262 | 6 | ||||||||||||||||
Tier 1 capital (to adjusted assets) | ||||||||||||||||||||||
Bank | 140,240 | 12.9 | 43,475 | 4 | 54,344 | 5 | ||||||||||||||||
FAIR_VALUE_Tables
FAIR VALUE (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||||
Fair value of financial instruments | ' | ||||||||||||||||||||||||
The estimated fair values of the Company’s financial instruments at December 31, 2013 and 2012 were as follows: | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Fair Value | Carrying | Estimated | Carrying | Estimated | |||||||||||||||||||||
Hierarchy | Amount | Fair | Amount | Fair | |||||||||||||||||||||
Level | Value | Value | |||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Cash and cash equivalents | Level 1 | $ | 11,947 | $ | 11,947 | $ | 25,090 | $ | 25,090 | ||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||||||
Investment securities available-for-sale | Level 2 | 10,489 | 10,489 | 12,491 | 12,491 | ||||||||||||||||||||
Private label commercial mortgage related securities | Level 3 | 2,120 | 2,120 | 6,197 | 6,197 | ||||||||||||||||||||
Agency residential mortgage related securities | Level 2 | 243,948 | 243,948 | 277,419 | 277,419 | ||||||||||||||||||||
Held-to-maturity securities: | |||||||||||||||||||||||||
Agency mortgage related securities | Level 2 | 68,397 | 67,491 | 28,369 | 29,451 | ||||||||||||||||||||
Loans receivable, net | Level 3 | 720,490 | 721,417 | 683,865 | 686,867 | ||||||||||||||||||||
FHLB stock | Level 3 | 9,813 | 9,813 | 8,097 | 8,097 | ||||||||||||||||||||
Accrued interest receivable | Level 3 | 3,308 | 3,308 | 3,223 | 3,223 | ||||||||||||||||||||
Mortgage servicing rights | Level 2 | 152 | 152 | 170 | 170 | ||||||||||||||||||||
Financial assets acquired from debtors | Level 3 | 1,938 | 1,938 | 3,714 | 3,714 | ||||||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Savings and club accounts | Level 2 | 108,183 | 108,183 | 99,046 | 99,046 | ||||||||||||||||||||
Demand, NOW and money market deposits | Level 2 | 270,334 | 270,334 | 275,693 | 275,693 | ||||||||||||||||||||
Brokered deposits | Level 2 | 71,334 | 71,020 | 50,637 | 50,715 | ||||||||||||||||||||
Certificates of deposit | Level 2 | 223,864 | 225,357 | 262,033 | 264,694 | ||||||||||||||||||||
Short-term borrowings | Level 2 | 80,500 | 80,500 | 70,500 | 70,500 | ||||||||||||||||||||
FHLB advances | Level 2 | 150,000 | 154,069 | 110,000 | 115,767 | ||||||||||||||||||||
Other borrowed funds | Level 2 | 30,000 | 32,178 | 30,000 | 33,651 | ||||||||||||||||||||
Accrued interest payable | Level 2 | 314 | 314 | 330 | 330 | ||||||||||||||||||||
Derivative contracts | Level 2, 3 | 124 | 124 | 320 | 320 | ||||||||||||||||||||
Schedule of fair value measurements on a recurring basis | ' | ||||||||||||||||||||||||
The following measures were made on a recurring basis as of December 31, 2013 and 2012. | |||||||||||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Quoted Prices in Active Markets | Significant Other | Significant Other | |||||||||||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||||||||||
Description | 31-Dec-13 | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 308 | $ | — | $ | 308 | $ | — | |||||||||||||||||
Corporate securities | 10,181 | — | 10,181 | — | |||||||||||||||||||||
Private label commercial mortgage related securities | 2,120 | — | — | 2,120 | |||||||||||||||||||||
Agency residential mortgage related securities | 243,948 | — | 243,948 | — | |||||||||||||||||||||
Loans (1) | 2,535 | — | — | 2,535 | |||||||||||||||||||||
Financial assets acquired from debtors | 1,938 | — | — | 1,938 | |||||||||||||||||||||
Derivative contracts (1) | (124 | ) | — | (120 | ) | (4 | ) | ||||||||||||||||||
Total | $ | 260,906 | $ | — | $ | 254,317 | $ | 6,589 | |||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Quoted Prices in Active Markets | Significant Other | Significant Other | |||||||||||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||||||||||
Description | 31-Dec-12 | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||||||||||
Obligations of U.S. government agencies | $ | 314 | $ | — | $ | 314 | $ | — | |||||||||||||||||
Corporate securities | 12,177 | — | 12,177 | — | |||||||||||||||||||||
Private label commercial mortgage related securities | 6,197 | — | — | 6,197 | |||||||||||||||||||||
Agency residential mortgage related securities | 277,419 | — | 277,419 | — | |||||||||||||||||||||
Loans (1) | 2,806 | — | — | 2,806 | |||||||||||||||||||||
Financial assets acquired from debtors | 3,714 | — | — | 3,714 | |||||||||||||||||||||
Derivative contracts (1) | (320 | ) | — | (308 | ) | (12 | ) | ||||||||||||||||||
Total | $ | 302,307 | $ | — | $ | 289,602 | $ | 12,705 | |||||||||||||||||
(1) Such financial instruments are recorded at fair value as further described in Note 4. | |||||||||||||||||||||||||
Schedule of fair value measurements on a non-recurring basis | ' | ||||||||||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Quoted Prices in Active Markets | Significant Other | Significant Other | |||||||||||||||||||||||
for Identical | Observable | Unobservable | |||||||||||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||||||||||
Balance | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||||||||
31-Dec-13 | (In thousands) | ||||||||||||||||||||||||
Loans | $ | 912 | $ | — | $ | — | $ | 912 | |||||||||||||||||
Mortgage servicing rights | 152 | — | 152 | — | |||||||||||||||||||||
Other real estate owned | 4,314 | — | — | 4,314 | |||||||||||||||||||||
Total | $ | 5,378 | $ | — | $ | 152 | $ | 5,226 | |||||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||
Loans | $ | 2,951 | $ | — | $ | — | $ | 2,951 | |||||||||||||||||
Mortgage servicing rights | 170 | — | 170 | — | |||||||||||||||||||||
Other real estate owned | 4,810 | — | — | 4,810 | |||||||||||||||||||||
Total | $ | 7,931 | $ | — | $ | 170 | $ | 7,761 | |||||||||||||||||
Rollforward of Level 3 Fair Value Financial Instruments | ' | ||||||||||||||||||||||||
The following tables include a roll forward of the financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3), on a recurring basis, for the periods of December 31, 2011 to December 31, 2013. | |||||||||||||||||||||||||
Private Label | Private Label | Derivative | Financial | Loans | Total | ||||||||||||||||||||
Residential | Commercial | Contracts | Assets | ||||||||||||||||||||||
Mortgage | Mortgage | Acquired | |||||||||||||||||||||||
Related | Related | from Debtors | |||||||||||||||||||||||
Security | Securities | ||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Beginning balance, December 31, 2011 | $ | 122 | $ | 8,906 | $ | — | $ | — | $ | 2,877 | $ | 11,905 | |||||||||||||
Purchases/additions | — | — | (39 | ) | 4,013 | — | 3,974 | ||||||||||||||||||
Sales | (70 | ) | — | — | — | — | (70 | ) | |||||||||||||||||
Payments (received) made | (7 | ) | (2,668 | ) | — | 393 | (97 | ) | (2,379 | ) | |||||||||||||||
Premium amortization, net | — | (12 | ) | — | — | — | (12 | ) | |||||||||||||||||
(Decrease)/increase in value | (45 | ) | (29 | ) | 27 | (692 | ) | 26 | (713 | ) | |||||||||||||||
Ending balance, December 31, 2012 | $ | — | $ | 6,197 | $ | (12 | ) | $ | 3,714 | $ | 2,806 | $ | 12,705 | ||||||||||||
Purchases/additions | — | — | (5 | ) | 1,994 | — | 1,989 | ||||||||||||||||||
Sales | — | — | — | (120 | ) | — | (120 | ) | |||||||||||||||||
Payments (received) made | — | (3,998 | ) | — | 1,143 | (104 | ) | (2,959 | ) | ||||||||||||||||
Premium amortization, net | — | (3 | ) | — | — | — | (3 | ) | |||||||||||||||||
(Decrease)/increase in value | — | (76 | ) | 13 | (4,793 | ) | (167 | ) | (5,023 | ) | |||||||||||||||
Ending balance, December 31, 2013 | $ | — | $ | 2,120 | $ | (4 | ) | $ | 1,938 | $ | 2,535 | $ | 6,589 | ||||||||||||
PARENT_COMPANY_ONLY_FINANCIAL_1
PARENT COMPANY ONLY FINANCIAL STATEMENTS (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | ||||||||||||
Condensed balance sheet | ' | ||||||||||||
CONDENSED BALANCE SHEET | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||
ASSETS | |||||||||||||
Cash and due from banks | $ | 99 | $ | 94 | |||||||||
Interest-earning deposits with banks | 25,934 | 29,513 | |||||||||||
Total cash and cash equivalents | 26,033 | 29,607 | |||||||||||
Investment in subsidiary | 140,527 | 144,781 | |||||||||||
ESOP loans | 6,109 | 6,659 | |||||||||||
Other assets | 908 | 549 | |||||||||||
Total Assets | 173,577 | 181,596 | |||||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||||||||
Due to subsidiary, net | — | 19 | |||||||||||
Other liabilities | 110 | 112 | |||||||||||
Total Liabilities | 110 | 131 | |||||||||||
Stockholders' Equity | 173,467 | 181,465 | |||||||||||
Total Liabilities and Stockholders' Equity | $ | 173,577 | $ | 181,596 | |||||||||
Condensed statements of operations | ' | ||||||||||||
CONDENSED STATEMENTS OF OPERATIONS | |||||||||||||
Years Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
INCOME | |||||||||||||
Interest on deposits with banks | $ | 37 | $ | 66 | $ | 219 | |||||||
Interest on ESOP loans | 400 | 432 | 463 | ||||||||||
Total Income | 437 | 498 | 682 | ||||||||||
EXPENSES | |||||||||||||
Other expenses | 996 | 1,000 | 970 | ||||||||||
Total Expenses | 996 | 1,000 | 970 | ||||||||||
Loss before income tax benefit and equity in undistributed net earnings of subsidiary | (559 | ) | (502 | ) | (288 | ) | |||||||
Income tax benefit | (280 | ) | (171 | ) | (98 | ) | |||||||
Loss before equity in undistributed net earnings of subsidiary | (279 | ) | (331 | ) | (190 | ) | |||||||
Equity in undistributed net earnings of subsidiary | 5,813 | 5,393 | 4,969 | ||||||||||
Net Income | $ | 5,534 | $ | 5,062 | $ | 4,779 | |||||||
Condensed statements of cash flows | ' | ||||||||||||
CONDENSED STATEMENTS OF CASH FLOWS | |||||||||||||
Years Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Cash Flows From Operating Activities | |||||||||||||
Net income | $ | 5,534 | $ | 5,062 | $ | 4,779 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||
Equity in undistributed loss of subsidiary | (5,813 | ) | (5,393 | ) | (4,969 | ) | |||||||
(Decrease) increase in due to subsidiary, net | (19 | ) | 259 | 84 | |||||||||
Excess tax benefit from exercise of stock options and vesting of restricted stock | (59 | ) | (88 | ) | — | ||||||||
Increase in other assets | (300 | ) | (308 | ) | (100 | ) | |||||||
Increase in other liabilities | (2 | ) | 130 | 1 | |||||||||
Net Cash Used in Operating Activities | (659 | ) | (338 | ) | (205 | ) | |||||||
Cash Flows from Investing Activities | |||||||||||||
Loan payment received on ESOP loans | 550 | 516 | 487 | ||||||||||
Cash dividends received from subsidiary | — | 21,281 | — | ||||||||||
Net Cash Provided by Investing Activities | 550 | 21,797 | 487 | ||||||||||
Cash Flows from Financing Activities | |||||||||||||
Purchase of treasury stock | (3,703 | ) | (9,911 | ) | (19,822 | ) | |||||||
Acquisition of common stock for equity incentive plan | — | — | (3,474 | ) | |||||||||
Excess tax benefit from exercise of stock options and vesting of restricted stock | 59 | 88 | — | ||||||||||
Receipts from subsidiary related to equity compensation activity | 3,316 | 646 | 544 | ||||||||||
Common stock issued for exercise of stock options | 106 | 480 | 162 | ||||||||||
Cash dividends paid | (3,243 | ) | (2,382 | ) | (1,067 | ) | |||||||
Net Cash Used in Financing Activities | (3,465 | ) | (11,079 | ) | (23,657 | ) | |||||||
Net (Decrease) Increase in Cash and Cash Equivalents | (3,574 | ) | 10,380 | (23,375 | ) | ||||||||
Cash and Cash Equivalents—Beginning | 29,607 | 19,227 | 42,602 | ||||||||||
Cash and Cash Equivalents—Ending | $ | 26,033 | $ | 29,607 | $ | 19,227 | |||||||
QUARTERLY_FINANCIAL_DATA_UNAUD1
QUARTERLY FINANCIAL DATA (UNAUDITED) (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||
Schedule of quarterly financial data (unaudited) | ' | ||||||||||||||||||||||||||||||||
Three Months Ended | 12/31/13 | 9/30/13 | 6/30/13 | 3/31/13 | 12/31/12 | 9/30/12 | 6/30/12 | 3/31/12 | |||||||||||||||||||||||||
Interest income | $ | 10,291 | $ | 10,141 | $ | 9,825 | $ | 9,872 | $ | 9,950 | $ | 10,531 | $ | 10,411 | $ | 10,942 | |||||||||||||||||
Interest expense | 1,843 | 1,909 | 1,958 | 1,959 | 2,117 | 2,298 | 2,740 | 2,962 | |||||||||||||||||||||||||
Net interest income | 8,448 | 8,232 | 7,867 | 7,913 | 7,833 | 8,233 | 7,671 | 7,980 | |||||||||||||||||||||||||
Provision (Credit) for loan losses | 450 | 675 | (783 | ) | 640 | 442 | 470 | 1,291 | 1,275 | ||||||||||||||||||||||||
Net interest income after | |||||||||||||||||||||||||||||||||
provision for loan losses | 7,998 | 7,557 | 8,650 | 7,273 | 7,391 | 7,763 | 6,380 | 6,705 | |||||||||||||||||||||||||
Noninterest income | 568 | 1,029 | 1,139 | 1,054 | 1,804 | 737 | 3,080 | 694 | |||||||||||||||||||||||||
Noninterest expense | 6,487 | 7,002 | 8,307 | 5,675 | 6,437 | 6,398 | 8,699 | 5,640 | |||||||||||||||||||||||||
Income before taxes | 2,079 | 1,584 | 1,482 | 2,652 | 2,758 | 2,102 | 761 | 1,759 | |||||||||||||||||||||||||
Income tax provision | 589 | 411 | 438 | 825 | 858 | 666 | 222 | 572 | |||||||||||||||||||||||||
Net Income | $ | 1,490 | $ | 1,173 | $ | 1,044 | $ | 1,827 | $ | 1,900 | $ | 1,436 | $ | 539 | $ | 1,187 | |||||||||||||||||
Per Common Share Data | |||||||||||||||||||||||||||||||||
Weighted average common shares—basic | 11,272,233 | 11,247,741 | 11,262,144 | 11,376,054 | 11,431,957 | 11,535,146 | 11,624,120 | 11,808,632 | |||||||||||||||||||||||||
Weighted average common shares—diluted | 11,535,589 | 11,494,520 | 11,489,566 | 11,602,633 | 11,622,035 | 11,718,308 | 11,750,623 | 11,901,737 | |||||||||||||||||||||||||
Net income per share—basic | $ | 0.13 | $ | 0.1 | $ | 0.09 | $ | 0.16 | $ | 0.17 | $ | 0.12 | $ | 0.05 | $ | 0.1 | |||||||||||||||||
Net income per share—diluted | $ | 0.13 | $ | 0.1 | $ | 0.09 | $ | 0.16 | $ | 0.16 | $ | 0.12 | $ | 0.05 | $ | 0.1 | |||||||||||||||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
loan | |||
branch | |||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ' | ' |
Number of Loans to ESOP | 2 | ' | ' |
Number of branches | 11 | ' | ' |
Ownership (as a percent) | ' | 45.00% | 45.00% |
Fox Chase Service Corporation | Loans Receivable | Loans | ' | ' | ' |
Principles of Consolidation and Presentation | ' | ' | ' |
Commercial loans held | 20 | ' | ' |
PMA | ' | ' | ' |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ' | ' |
Ownership (as a percent) | 45.00% | ' | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2) | 12 Months Ended |
Dec. 31, 2013 | |
Buildings | Minimum | ' |
PREMISES AND EQUIPMENT | ' |
Useful life | '10 years |
Buildings | Maximum | ' |
PREMISES AND EQUIPMENT | ' |
Useful life | '39 years |
Furniture and equipment | Minimum | ' |
PREMISES AND EQUIPMENT | ' |
Useful life | '1 year |
Furniture and equipment | Maximum | ' |
PREMISES AND EQUIPMENT | ' |
Useful life | '7 years |
SUMMARY_OF_SIGNIFICANT_ACCOUNT5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Real Estate Held for Investment | ' | ' | ' |
Carrying value of property | $1,620 | $1,620 | $1,620 |
Impairment loss on real estate held for investment | $0 | $0 | $110 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 4) | 12 Months Ended |
Dec. 31, 2013 | |
Initial 2006 stock offering | ' |
Employee Stock Ownership Plan | ' |
Period over which borrowed funds will be repaid | '15 years |
Mutual-to-stock conversion | ' |
Employee Stock Ownership Plan | ' |
Period over which borrowed funds will be repaid | '14 years 6 months |
SUMMARY_OF_SIGNIFICANT_ACCOUNT7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 5) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
STOCK BASED COMPENSATION | ' | ' | ' |
Excess tax benefits | $59 | $88 | $0 |
Stock options | ' | ' | ' |
STOCK BASED COMPENSATION | ' | ' | ' |
Vesting period | '5 years | ' | ' |
Expiration period | '10 years | ' | ' |
Non-performance based restricted stock | ' | ' | ' |
STOCK BASED COMPENSATION | ' | ' | ' |
Vesting period | '5 years | ' | ' |
Performance based restricted stock | ' | ' | ' |
STOCK BASED COMPENSATION | ' | ' | ' |
Vesting period | '5 years | ' | ' |
Performance based restricted stock | 50% vest on Third Anniversary | ' | ' | ' |
STOCK BASED COMPENSATION | ' | ' | ' |
Awarded performance based stock that vest on fourth anniversary (as a percent) | 50.00% | ' | ' |
Performance based restricted stock | 25% vest on Fourth Anniversary | ' | ' | ' |
STOCK BASED COMPENSATION | ' | ' | ' |
Awarded performance based stock that vest on fourth anniversary (as a percent) | 25.00% | ' | ' |
Performance based restricted stock | 25% vest on Fifth Anniversary | ' | ' | ' |
STOCK BASED COMPENSATION | ' | ' | ' |
Awarded performance based stock that vest on fourth anniversary (as a percent) | 25.00% | ' | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 6) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Earnings per share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Net income | $1,490 | $1,173 | $1,044 | $1,827 | $1,900 | $1,436 | $539 | $1,187 | $5,534 | $5,062 | $4,779 | |||
Weighted-average common shares outstanding (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 12,199,774 | [1] | 12,624,068 | [1] | 14,112,359 | [1] |
Average common stock acquired by stock benefit plans: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
ESOP shares unallocated | ' | ' | ' | ' | ' | ' | ' | ' | -586,424 | -651,538 | -716,530 | |||
Shares purchased by trust | ' | ' | ' | ' | ' | ' | ' | ' | -324,207 | -372,653 | -249,670 | |||
Weighted-average common shares used to calculate basic earnings per share (in shares) | 11,272,233 | 11,247,741 | 11,262,144 | 11,376,054 | 11,431,957 | 11,535,146 | 11,624,120 | 11,808,632 | 11,289,143 | 11,599,877 | 13,146,159 | |||
Dilutive effect of: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Restricted stock awards | ' | ' | ' | ' | ' | ' | ' | ' | 42,582 | 29,653 | 33,089 | |||
Stock option awards | ' | ' | ' | ' | ' | ' | ' | ' | 198,429 | 117,731 | 52,582 | |||
Weighted average common share-diluted (in shares) | 11,535,589 | 11,494,520 | 11,489,566 | 11,602,633 | 11,622,035 | 11,718,308 | 11,750,623 | 11,901,737 | 11,530,154 | 11,747,261 | 13,231,830 | |||
Earnings per share-basic (in dollars per share) | $0.13 | $0.10 | $0.09 | $0.16 | $0.17 | $0.12 | $0.05 | $0.10 | $0.49 | $0.44 | $0.36 | |||
Earnings per share-diluted (in dollars per share) | $0.13 | $0.10 | $0.09 | $0.16 | $0.16 | $0.12 | $0.05 | $0.10 | $0.48 | $0.43 | $0.36 | |||
Outstanding common stock equivalents having no dilutive effect (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 1,108,329 | 860,842 | 822,461 | |||
[1] | Excludes treasury stock. |
INVESTMENT_AND_MORTGAGE_RELATE2
INVESTMENT AND MORTGAGE RELATED SECURITIES (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Available-for-Sale Securities: | ' | ' |
Amortized Cost | $263,414 | $289,087 |
Gross Unrealized Gains | 2,719 | 7,206 |
Gross Unrealized Losses | -9,576 | -186 |
OTTI in AOCI | 0 | 0 |
Fair Value | 256,557 | 296,107 |
Held-to-maturity Securities: | ' | ' |
Amortized Cost | 68,397 | 28,369 |
Gross Unrealized Gains | 514 | 1,082 |
Gross Unrealized Losses | -1,420 | 0 |
OTTI in AOCI | 0 | 0 |
Fair Value | 67,491 | 29,451 |
Available-for-sale securities: | ' | ' |
Fair Value, Less than 12 Months | 180,448 | 29,092 |
Unrealized Losses, Less than 12 Months | -7,251 | -65 |
Fair Value, 12 Months or More | 27,823 | 2,879 |
Unrealized Losses, 12 Months or More | -2,325 | -121 |
Fair Value, Total | 208,271 | 31,971 |
Unrealized Losses, Total | -9,576 | -186 |
Held-to-maturity Securities: | ' | ' |
Fair Value, Less than 12 Months | 40,615 | 0 |
Unrealized Losses, Less than 12 Months | -1,420 | 0 |
Fair Value, 12 Months or More | 0 | 0 |
Unrealized Losses Plus OTTI in AOCI, 12 Months or More | 0 | 0 |
Fair Value, Total | 40,615 | 0 |
Unrealized Losses, Total | -1,420 | 0 |
Temporarily Impaired Securities | ' | ' |
Fair Value, Less than 12 Months | 221,063 | 29,092 |
Unrealized Losses, Less than 12 Months | -8,671 | -65 |
Fair Value, 12 Months or More | 27,823 | 2,879 |
Unrealized Losses Plus OTTI in AOCI, 12 Months or More | -2,325 | -121 |
Fair Value, Total | 248,886 | 31,971 |
Unrealized Losses, Total | -10,996 | -186 |
Debt securities excluding mortgage related securities | ' | ' |
Available-for-Sale Securities: | ' | ' |
Amortized Cost | 10,445 | 12,507 |
Gross Unrealized Gains | 62 | 105 |
Gross Unrealized Losses | -18 | -121 |
OTTI in AOCI | 0 | 0 |
Fair Value | 10,489 | 12,491 |
Available-for-sale securities: | ' | ' |
Fair Value, Less than 12 Months | 0 | 0 |
Unrealized Losses, Less than 12 Months | 0 | 0 |
Fair Value, 12 Months or More | 2,982 | 2,879 |
Unrealized Losses, 12 Months or More | -18 | -121 |
Fair Value, Total | 2,982 | 2,879 |
Unrealized Losses, Total | -18 | -121 |
Obligations of U.S. government agencies | ' | ' |
Available-for-Sale Securities: | ' | ' |
Amortized Cost | 300 | 300 |
Gross Unrealized Gains | 8 | 14 |
Gross Unrealized Losses | 0 | 0 |
OTTI in AOCI | 0 | 0 |
Fair Value | 308 | 314 |
Available-for-sale securities: | ' | ' |
Fair Value, Less than 12 Months | 0 | 0 |
Unrealized Losses, Less than 12 Months | 0 | 0 |
Fair Value, 12 Months or More | 0 | 0 |
Unrealized Losses, 12 Months or More | 0 | 0 |
Fair Value, Total | 0 | 0 |
Unrealized Losses, Total | 0 | 0 |
Corporate securities | ' | ' |
Available-for-Sale Securities: | ' | ' |
Amortized Cost | 10,145 | 12,207 |
Gross Unrealized Gains | 54 | 91 |
Gross Unrealized Losses | -18 | -121 |
OTTI in AOCI | 0 | 0 |
Fair Value | 10,181 | 12,177 |
Available-for-sale securities: | ' | ' |
Fair Value, Less than 12 Months | 0 | 0 |
Unrealized Losses, Less than 12 Months | 0 | 0 |
Fair Value, 12 Months or More | 2,982 | 2,879 |
Unrealized Losses, 12 Months or More | -18 | -121 |
Fair Value, Total | 2,982 | 2,879 |
Unrealized Losses, Total | -18 | -121 |
Mortgage related securities | ' | ' |
Available-for-Sale Securities: | ' | ' |
Amortized Cost | 252,969 | 276,580 |
Gross Unrealized Gains | 2,657 | 7,101 |
Gross Unrealized Losses | -9,558 | -65 |
OTTI in AOCI | 0 | 0 |
Fair Value | 246,068 | 283,616 |
Held-to-maturity Securities: | ' | ' |
Amortized Cost | 68,397 | 28,369 |
Gross Unrealized Gains | 514 | 1,082 |
Gross Unrealized Losses | -1,420 | 0 |
OTTI in AOCI | 0 | 0 |
Fair Value | 67,491 | 29,451 |
Available-for-sale securities: | ' | ' |
Fair Value, Less than 12 Months | 180,448 | 29,092 |
Unrealized Losses, Less than 12 Months | -7,251 | -65 |
Fair Value, 12 Months or More | 24,841 | 0 |
Unrealized Losses, 12 Months or More | -2,307 | 0 |
Fair Value, Total | 205,289 | 29,092 |
Unrealized Losses, Total | -9,558 | -65 |
Held-to-maturity Securities: | ' | ' |
Fair Value, Less than 12 Months | 40,615 | 0 |
Unrealized Losses, Less than 12 Months | -1,420 | 0 |
Fair Value, 12 Months or More | 0 | 0 |
Unrealized Losses Plus OTTI in AOCI, 12 Months or More | 0 | 0 |
Fair Value, Total | 40,615 | 0 |
Unrealized Losses, Total | -1,420 | 0 |
Private label commercial mortgage related securities | ' | ' |
Available-for-Sale Securities: | ' | ' |
Amortized Cost | 2,118 | 6,119 |
Gross Unrealized Gains | 2 | 78 |
Gross Unrealized Losses | 0 | 0 |
OTTI in AOCI | 0 | 0 |
Fair Value | 2,120 | 6,197 |
Available-for-sale securities: | ' | ' |
Fair Value, Less than 12 Months | 0 | 0 |
Unrealized Losses, Less than 12 Months | 0 | 0 |
Fair Value, 12 Months or More | 0 | 0 |
Unrealized Losses, 12 Months or More | 0 | 0 |
Fair Value, Total | 0 | 0 |
Unrealized Losses, Total | 0 | 0 |
Agency residential mortgage related securities | ' | ' |
Available-for-Sale Securities: | ' | ' |
Amortized Cost | 250,851 | 270,461 |
Gross Unrealized Gains | 2,655 | 7,023 |
Gross Unrealized Losses | -9,558 | -65 |
OTTI in AOCI | 0 | 0 |
Fair Value | 243,948 | 277,419 |
Held-to-maturity Securities: | ' | ' |
Amortized Cost | 68,397 | 28,369 |
Gross Unrealized Gains | 514 | 1,082 |
Gross Unrealized Losses | -1,420 | 0 |
OTTI in AOCI | 0 | 0 |
Fair Value | 67,491 | 29,451 |
Available-for-sale securities: | ' | ' |
Fair Value, Less than 12 Months | 180,448 | 29,092 |
Unrealized Losses, Less than 12 Months | -7,251 | -65 |
Fair Value, 12 Months or More | 24,841 | 0 |
Unrealized Losses, 12 Months or More | -2,307 | 0 |
Fair Value, Total | 205,289 | 29,092 |
Unrealized Losses, Total | -9,558 | -65 |
Held-to-maturity Securities: | ' | ' |
Fair Value, Less than 12 Months | 40,615 | 0 |
Unrealized Losses, Less than 12 Months | -1,420 | 0 |
Fair Value, 12 Months or More | 0 | 0 |
Unrealized Losses Plus OTTI in AOCI, 12 Months or More | 0 | 0 |
Fair Value, Total | 40,615 | 0 |
Unrealized Losses, Total | ($1,420) | $0 |
INVESTMENT_AND_MORTGAGE_RELATE3
INVESTMENT AND MORTGAGE RELATED SECURITIES (Details 2) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
security | security | |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' |
Temporarily Impaired Investments Continuous Unrealized Loss Position Aggregate Losses 1 | $10,996,000 | $186,000 |
Number of Agency Residential Mortgage Related Securities | 94 | ' |
Amortized Cost | 263,414,000 | 289,087,000 |
Fair Value of securities impaired greater than twelve months | 27,823,000 | 2,879,000 |
Mortgage related securities | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' |
Number of securities sold | 7 | ' |
Amortized cost of securities sold | 9,000,000 | ' |
Recognized gains (losses) | 532,000 | ' |
Amortized Cost | 252,969,000 | 276,580,000 |
Fair Value of securities impaired greater than twelve months | 24,841,000 | 0 |
Corporate securities | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' |
Amortized Cost | 10,145,000 | 12,207,000 |
Fair Value of securities impaired greater than twelve months | 2,982,000 | 2,879,000 |
Corporate securities | Baa2 | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' |
Net unrealized loss | 18,000 | ' |
Number of Corporate Debt Securities | 1 | ' |
Fair Value of securities impaired greater than twelve months | 2,982,000 | ' |
Agency residential mortgage related securities | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' |
Net unrealized loss | 2,300,000 | ' |
Number of Mortgage Related Securities, Continuous Unrealized Loss Position, Twelve Months or Longer | 6 | ' |
Mortgage Related Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 221,063,000 | ' |
Mortgage Related Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Gross Unrealized Loss | 8,700,000 | ' |
Amortized Cost | 250,851,000 | 270,461,000 |
Fair Value of securities impaired greater than twelve months | 24,841,000 | 0 |
Private label commercial mortgage related securities | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' |
Amortized Cost | 2,118,000 | 6,119,000 |
Number of securities held | 2 | 3 |
Net unrealized gain | 2,000 | 78,000 |
Fair Value of securities impaired greater than twelve months | $0 | $0 |
INVESTMENT_AND_MORTGAGE_RELATE4
INVESTMENT AND MORTGAGE RELATED SECURITIES (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' | ' |
Gross Realized Gains | $532 | $3,379 | $1,091 |
Gross Realized Losses | 0 | -87 | 0 |
Total other-than-temporary impairment loss | 0 | 0 | -407 |
Less: Portion of loss recognized in other comprehensive income (before taxes) | 0 | 0 | 46 |
Net investment securities gains | 532 | 3,292 | 730 |
Mortgage related securities | ' | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' | ' |
Gross Realized Gains | 532 | 3,315 | 1,091 |
Gross Realized Losses | 0 | -87 | 0 |
Total other-than-temporary impairment loss | ' | ' | -407 |
Less: Portion of loss recognized in other comprehensive income (before taxes) | ' | ' | 46 |
Net investment securities gains | 532 | 3,228 | 730 |
Agency residential mortgage related securities | ' | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' | ' |
Gross Realized Gains | 532 | 3,315 | 1,091 |
Net investment securities gains | 532 | 3,315 | 1,091 |
Private label residential mortgage related security | ' | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' | ' |
Gross Realized Losses | 0 | -87 | 0 |
Total other-than-temporary impairment loss | ' | ' | -407 |
Less: Portion of loss recognized in other comprehensive income (before taxes) | ' | ' | 46 |
Net investment securities gains | 0 | -87 | -361 |
Debt securities excluding mortgage related securities | ' | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' | ' |
Gross Realized Gains | 0 | 64 | ' |
Net investment securities gains | 0 | 64 | ' |
Obligations of U.S. government agencies | ' | ' | ' |
INVESTMENT AND MORTGAGE RELATED SECURITIES | ' | ' | ' |
Gross Realized Gains | 0 | 64 | 0 |
Total other-than-temporary impairment loss | ' | ' | 0 |
Net investment securities gains | $0 | $64 | $0 |
INVESTMENT_AND_MORTGAGE_RELATE5
INVESTMENT AND MORTGAGE RELATED SECURITIES (Details 4) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Available for Sale, Amortized Cost | ' | ' |
Due in one year or less | $1,999,000 | $2,019,000 |
Due after one year through five years | 8,446,000 | 10,488,000 |
Due after five years through ten years | 0 | 0 |
Due after ten years | 0 | 0 |
Total mortgage related securities | 252,969,000 | 276,580,000 |
Total Amortized Cost | 263,414,000 | 289,087,000 |
Available for Sale, Fair Value | ' | ' |
Due in one year or less | 2,000,000 | 2,032,000 |
Due after one year through five years | 8,489,000 | 10,459,000 |
Due after five years through ten years | 0 | 0 |
Due after ten years | 0 | 0 |
Total mortgage related securities | 246,068,000 | 283,616,000 |
Total Fair Value | 256,557,000 | 296,107,000 |
Held to Maturity, Amortized Cost | ' | ' |
Total mortgage related securities | 68,397,000 | 28,369,000 |
Total Amortized Cost | 68,397,000 | 28,369,000 |
Held to Maturity, Fair Value | ' | ' |
Total mortgage related securities | 67,491,000 | 29,451,000 |
Total Fair Value | 67,491,000 | 29,451,000 |
Carrying value of securities pledged to secure public deposits and for other purposes as required or permitted by law | 9,700,000 | 8,300,000 |
Securities pledged as collateral for other borrowed funds | 197,600,000 | 115,100,000 |
Carrying value of investment securities used to secure derivative transactions | $702,000 | $892,000 |
LOANS_Details
LOANS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | ||||
LOANS | ' | ' | ' | ' |
Total loans | $732,261 | $694,772 | ' | ' |
Deferred loan origination cost, net | -242 | 263 | ' | ' |
Allowance for loan losses | -11,529 | -11,170 | -12,075 | -12,443 |
Net loans | 720,490 | 683,865 | ' | ' |
Loans and Leases Receivable, Gross | 720,490 | 683,865 | ' | ' |
Deposit Liabilities Reclassified as Loans Receivable | 48 | 8 | ' | ' |
New Jersey | ' | ' | ' | ' |
LOANS | ' | ' | ' | ' |
Loans and Leases Receivable, Gross | 188,600 | 197,900 | ' | ' |
Real estate loans: | ' | ' | ' | ' |
LOANS | ' | ' | ' | ' |
Total loans | 541,770 | 550,367 | ' | ' |
One- to four-family | ' | ' | ' | ' |
LOANS | ' | ' | ' | ' |
Total loans | 127,501 | 158,828 | ' | ' |
Allowance for loan losses | -403 | -642 | -1,760 | ' |
Multi-family and commercial | ' | ' | ' | ' |
LOANS | ' | ' | ' | ' |
Total loans | 408,365 | 368,948 | ' | ' |
Allowance for loan losses | -7,141 | -6,327 | -6,112 | ' |
Construction | ' | ' | ' | ' |
LOANS | ' | ' | ' | ' |
Total loans | 5,904 | 22,591 | ' | ' |
Allowance for loan losses | -324 | -873 | -869 | ' |
Consumer | ' | ' | ' | ' |
LOANS | ' | ' | ' | ' |
Total loans | 22,478 | 30,585 | ' | ' |
Allowance for loan losses | -153 | -232 | -455 | ' |
Commercial and industrial | ' | ' | ' | ' |
LOANS | ' | ' | ' | ' |
Total loans | 168,013 | 113,820 | ' | ' |
Allowance for loan losses | ($3,051) | ($2,630) | ($2,657) | ' |
LOANS_Details_2
LOANS (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Changes in allowance for loan losses | ' | ' | ' |
Balance, beginning | $11,170 | $12,075 | $12,443 |
Provision for loan losses | 982 | 3,478 | 5,734 |
Loans charged off | -713 | -4,527 | -6,331 |
Recoveries | 90 | 144 | 229 |
Balance, ending | $11,529 | $11,170 | $12,075 |
LOANS_Details_3
LOANS (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Changes in allowance for loan losses | ' | ' | ' |
Balance, beginning | $11,170 | $12,075 | $12,443 |
Provision for loan losses | 982 | 3,478 | 5,734 |
Loans charged off | -713 | -4,527 | -6,331 |
Recoveries | 90 | 144 | 229 |
Balance, ending | 11,529 | 11,170 | 12,075 |
One- to four-family | ' | ' | ' |
Changes in allowance for loan losses | ' | ' | ' |
Balance, beginning | 642 | 1,760 | ' |
Provision for loan losses | -95 | 286 | ' |
Loans charged off | -179 | -1,408 | ' |
Recoveries | 35 | 4 | ' |
Balance, ending | 403 | 642 | ' |
Multi-family and commercial | ' | ' | ' |
Changes in allowance for loan losses | ' | ' | ' |
Balance, beginning | 6,327 | 6,112 | ' |
Provision for loan losses | 1,252 | 1,064 | ' |
Loans charged off | -463 | -887 | ' |
Recoveries | 25 | 38 | ' |
Balance, ending | 7,141 | 6,327 | ' |
Construction | ' | ' | ' |
Changes in allowance for loan losses | ' | ' | ' |
Balance, beginning | 873 | 869 | ' |
Provision for loan losses | -549 | 252 | ' |
Loans charged off | 0 | -340 | ' |
Recoveries | 0 | 92 | ' |
Balance, ending | 324 | 873 | ' |
Consumer | ' | ' | ' |
Changes in allowance for loan losses | ' | ' | ' |
Balance, beginning | 232 | 455 | ' |
Provision for loan losses | -38 | 1,659 | ' |
Loans charged off | -71 | -1,892 | ' |
Recoveries | 30 | 10 | ' |
Balance, ending | 153 | 232 | ' |
Commercial and industrial | ' | ' | ' |
Changes in allowance for loan losses | ' | ' | ' |
Balance, beginning | 2,630 | 2,657 | ' |
Provision for loan losses | 421 | -27 | ' |
Loans charged off | 0 | 0 | ' |
Recoveries | 0 | 0 | ' |
Balance, ending | 3,051 | 2,630 | ' |
Unallocated | ' | ' | ' |
Changes in allowance for loan losses | ' | ' | ' |
Balance, beginning | 466 | 222 | ' |
Provision for loan losses | -9 | 244 | ' |
Loans charged off | 0 | 0 | ' |
Recoveries | 0 | 0 | ' |
Balance, ending | $457 | $466 | ' |
LOANS_Details_4
LOANS (Details 4) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Impaired loans by loan segment | ' | ' | ' |
Nonaccrual Loans | $8,780,000 | $17,124,000 | ' |
Accruing TDRs | 6,786,000 | 7,388,000 | ' |
Other Impaired Loans | 0 | 0 | ' |
Total Impaired Loans | 15,566,000 | 24,512,000 | ' |
Impaired Loans with Allowance | 15,210,000 | 22,269,000 | ' |
Impaired Loans without Allowance | 356,000 | 2,243,000 | ' |
Average recorded investment in impaired loans | 15,900,000 | 28,700,000 | 32,000,000 |
Interest income recognized on impaired loans | 359,000 | 502,000 | 825,000 |
One- to four-family | ' | ' | ' |
Impaired loans by loan segment | ' | ' | ' |
Nonaccrual Loans | 2,390,000 | 3,355,000 | ' |
Accruing TDRs | 582,000 | 507,000 | ' |
Other Impaired Loans | 0 | 0 | ' |
Total Impaired Loans | 2,972,000 | 3,862,000 | ' |
Impaired Loans with Allowance | 2,972,000 | 3,862,000 | ' |
Impaired Loans without Allowance | 0 | 0 | ' |
Multi-family and commercial | ' | ' | ' |
Impaired loans by loan segment | ' | ' | ' |
Nonaccrual Loans | 3,031,000 | 5,284,000 | ' |
Accruing TDRs | 6,191,000 | 6,867,000 | ' |
Other Impaired Loans | 0 | 0 | ' |
Total Impaired Loans | 9,222,000 | 12,151,000 | ' |
Impaired Loans with Allowance | 8,866,000 | 11,770,000 | ' |
Impaired Loans without Allowance | 356,000 | 381,000 | ' |
Construction | ' | ' | ' |
Impaired loans by loan segment | ' | ' | ' |
Nonaccrual Loans | 3,231,000 | 6,434,000 | ' |
Accruing TDRs | 0 | 0 | ' |
Other Impaired Loans | 0 | 0 | ' |
Total Impaired Loans | 3,231,000 | 6,434,000 | ' |
Impaired Loans with Allowance | 3,231,000 | 6,434,000 | ' |
Impaired Loans without Allowance | 0 | 0 | ' |
Consumer | ' | ' | ' |
Impaired loans by loan segment | ' | ' | ' |
Nonaccrual Loans | 128,000 | 2,051,000 | ' |
Accruing TDRs | 13,000 | 14,000 | ' |
Other Impaired Loans | 0 | 0 | ' |
Total Impaired Loans | 141,000 | 2,065,000 | ' |
Impaired Loans with Allowance | 141,000 | 203,000 | ' |
Impaired Loans without Allowance | 0 | 1,862,000 | ' |
Commercial and industrial | ' | ' | ' |
Impaired loans by loan segment | ' | ' | ' |
Nonaccrual Loans | 0 | 0 | ' |
Accruing TDRs | 0 | 0 | ' |
Other Impaired Loans | 0 | 0 | ' |
Total Impaired Loans | 0 | 0 | ' |
Impaired Loans with Allowance | 0 | 0 | ' |
Impaired Loans without Allowance | $0 | $0 | ' |
LOANS_Details_5
LOANS (Details 5) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
loan | loan | loan | |
Principle and Interest on loans | ' | ' | ' |
Loans on which accrual of interest has been discontinued | $8,780,000 | $17,124,000 | ' |
Increase in interest income, if recognized | 616,000 | 1,500,000 | 1,100,000 |
Loans past due 90 days or more and still accruing interest | 0 | 0 | 3,900,000 |
TDRs additional disclosure | ' | ' | ' |
Number of troubled debt restructurings, nonaccrual status | 4 | ' | ' |
Number of troubled debt restructurings, included in nonaccrual status and total impaired loans | ' | 7 | ' |
Troubled debt restructurings excluded from accruing TDR | 3,500,000 | 6,900,000 | ' |
Total TDRs | 10,300,000 | 14,300,000 | ' |
Number of loans classified as TDRs | 9 | 14 | ' |
Number of Loans | 2 | 7 | 5 |
Pre-Modification Outstanding Recorded Investment | 622,000 | 1,200,000 | 5,044,000 |
Post-Modification Outstanding Recorded Investment | 622,000 | 1,200,000 | 5,044,000 |
Number of Loans | 1 | 4 | 2 |
Post-Modification Outstanding Recorded Investment | 1,640,000 | 262,000 | 3,715,000 |
Remaining TDRs | ' | ' | ' |
TDRs additional disclosure | ' | ' | ' |
Total TDRs | 9,700,000 | ' | ' |
Number of loans classified as TDRs remaining outstanding from 2012 | 7 | ' | ' |
One- to four-family | ' | ' | ' |
Principle and Interest on loans | ' | ' | ' |
Loans on which accrual of interest has been discontinued | 2,390,000 | 3,355,000 | ' |
TDRs additional disclosure | ' | ' | ' |
Number of Loans | 2 | 4 | 2 |
Pre-Modification Outstanding Recorded Investment | 622,000 | 582,000 | 307,000 |
Post-Modification Outstanding Recorded Investment | 622,000 | 582,000 | 307,000 |
Number of Loans | 0 | 3 | 0 |
Post-Modification Outstanding Recorded Investment | 0 | 254,000 | 0 |
Multi-family and commercial | ' | ' | ' |
Principle and Interest on loans | ' | ' | ' |
Loans on which accrual of interest has been discontinued | 3,031,000 | 5,284,000 | ' |
TDRs additional disclosure | ' | ' | ' |
Total TDRs | 6,200,000 | ' | ' |
Number of loans classified as TDRs | 2 | ' | ' |
Number of Loans | 0 | 2 | 1 |
Pre-Modification Outstanding Recorded Investment | 0 | 604,000 | 4,673,000 |
Post-Modification Outstanding Recorded Investment | 0 | 604,000 | 4,673,000 |
Number of Loans | 1 | 0 | 0 |
Post-Modification Outstanding Recorded Investment | 1,640,000 | 0 | 0 |
Construction | ' | ' | ' |
Principle and Interest on loans | ' | ' | ' |
Loans on which accrual of interest has been discontinued | 3,231,000 | 6,434,000 | ' |
TDRs additional disclosure | ' | ' | ' |
Total TDRs | 3,200,000 | ' | ' |
Number of loans classified as TDRs | 1 | ' | ' |
Number of Loans | 0 | 0 | 0 |
Pre-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Post-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Number of Loans | 0 | 0 | 1 |
Post-Modification Outstanding Recorded Investment | 0 | 0 | 3,115,000 |
Two construction loans | ' | ' | ' |
TDRs additional disclosure | ' | ' | ' |
Number of troubled debt restructurings, nonaccrual status | 1 | ' | ' |
Troubled debt restructurings excluded from accruing TDR | 3,200,000 | ' | ' |
Commitments to lend additional funds | 618,000 | ' | ' |
Consumer | ' | ' | ' |
Principle and Interest on loans | ' | ' | ' |
Loans on which accrual of interest has been discontinued | 128,000 | 2,051,000 | ' |
TDRs additional disclosure | ' | ' | ' |
Total TDRs | 13,000 | ' | ' |
Number of loans classified as TDRs | 1 | ' | ' |
Number of Loans | 0 | 1 | 2 |
Pre-Modification Outstanding Recorded Investment | 0 | 14,000 | 64,000 |
Post-Modification Outstanding Recorded Investment | 0 | 14,000 | 64,000 |
Number of Loans | 0 | 1 | 0 |
Post-Modification Outstanding Recorded Investment | 0 | 8,000 | 0 |
Commercial and industrial | ' | ' | ' |
Principle and Interest on loans | ' | ' | ' |
Loans on which accrual of interest has been discontinued | 0 | 0 | ' |
TDRs additional disclosure | ' | ' | ' |
Number of Loans | 0 | 0 | 0 |
Pre-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Post-Modification Outstanding Recorded Investment | 0 | 0 | 0 |
Number of Loans | 0 | 0 | 1 |
Post-Modification Outstanding Recorded Investment | 0 | 0 | 600,000 |
Residential loans | ' | ' | ' |
TDRs additional disclosure | ' | ' | ' |
Total TDRs | 236,000 | ' | ' |
Number of loans classified as TDRs | 3 | ' | ' |
Four residential loans | ' | ' | ' |
TDRs additional disclosure | ' | ' | ' |
Number of troubled debt restructurings, nonaccrual status | 3 | ' | ' |
Troubled debt restructurings excluded from accruing TDR | 256,000 | ' | ' |
One new residential loan | ' | ' | ' |
TDRs additional disclosure | ' | ' | ' |
Total TDRs | $602,000 | ' | ' |
Number of Loans | 2 | ' | ' |
LOANS_Details_6
LOANS (Details 6) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | ||||
Allowance for loan loss for impaired loans and general allowance by loan segment | ' | ' | ' | ' |
Nonaccrual Loans, Allowance for Loan Losses | $1,032 | $1,326 | ' | ' |
Accruing TDRs, Allowance for Loan Losses | 688 | 954 | ' | ' |
Other Impaired Loans, Allowance for Loan Loss | 0 | 0 | ' | ' |
Total Impaired Loans, Allowance for Loan Losses | 1,720 | 2,280 | ' | ' |
General Allowance for Loan Losses | 9,809 | 8,890 | ' | ' |
Total | 11,529 | 11,170 | 12,075 | 12,443 |
One- to four-family | ' | ' | ' | ' |
Allowance for loan loss for impaired loans and general allowance by loan segment | ' | ' | ' | ' |
Nonaccrual Loans, Allowance for Loan Losses | 163 | 337 | ' | ' |
Accruing TDRs, Allowance for Loan Losses | 1 | 5 | ' | ' |
Other Impaired Loans, Allowance for Loan Loss | 0 | 0 | ' | ' |
Total Impaired Loans, Allowance for Loan Losses | 164 | 342 | ' | ' |
General Allowance for Loan Losses | 239 | 300 | ' | ' |
Total | 403 | 642 | 1,760 | ' |
Multi-family and commercial | ' | ' | ' | ' |
Allowance for loan loss for impaired loans and general allowance by loan segment | ' | ' | ' | ' |
Nonaccrual Loans, Allowance for Loan Losses | 600 | 530 | ' | ' |
Accruing TDRs, Allowance for Loan Losses | 687 | 948 | ' | ' |
Other Impaired Loans, Allowance for Loan Loss | 0 | 0 | ' | ' |
Total Impaired Loans, Allowance for Loan Losses | 1,287 | 1,478 | ' | ' |
General Allowance for Loan Losses | 5,854 | 4,849 | ' | ' |
Total | 7,141 | 6,327 | 6,112 | ' |
Construction | ' | ' | ' | ' |
Allowance for loan loss for impaired loans and general allowance by loan segment | ' | ' | ' | ' |
Nonaccrual Loans, Allowance for Loan Losses | 263 | 449 | ' | ' |
Accruing TDRs, Allowance for Loan Losses | 0 | 0 | ' | ' |
Other Impaired Loans, Allowance for Loan Loss | 0 | 0 | ' | ' |
Total Impaired Loans, Allowance for Loan Losses | 263 | 449 | ' | ' |
General Allowance for Loan Losses | 61 | 424 | ' | ' |
Total | 324 | 873 | 869 | ' |
Consumer | ' | ' | ' | ' |
Allowance for loan loss for impaired loans and general allowance by loan segment | ' | ' | ' | ' |
Nonaccrual Loans, Allowance for Loan Losses | 6 | 10 | ' | ' |
Accruing TDRs, Allowance for Loan Losses | 0 | 1 | ' | ' |
Other Impaired Loans, Allowance for Loan Loss | 0 | 0 | ' | ' |
Total Impaired Loans, Allowance for Loan Losses | 6 | 11 | ' | ' |
General Allowance for Loan Losses | 147 | 221 | ' | ' |
Total | 153 | 232 | 455 | ' |
Commercial and industrial | ' | ' | ' | ' |
Allowance for loan loss for impaired loans and general allowance by loan segment | ' | ' | ' | ' |
Nonaccrual Loans, Allowance for Loan Losses | 0 | 0 | ' | ' |
Accruing TDRs, Allowance for Loan Losses | 0 | 0 | ' | ' |
Other Impaired Loans, Allowance for Loan Loss | 0 | 0 | ' | ' |
Total Impaired Loans, Allowance for Loan Losses | 0 | 0 | ' | ' |
General Allowance for Loan Losses | 3,051 | 2,630 | ' | ' |
Total | 3,051 | 2,630 | 2,657 | ' |
Unallocated | ' | ' | ' | ' |
Allowance for loan loss for impaired loans and general allowance by loan segment | ' | ' | ' | ' |
Nonaccrual Loans, Allowance for Loan Losses | 0 | 0 | ' | ' |
Accruing TDRs, Allowance for Loan Losses | 0 | 0 | ' | ' |
Other Impaired Loans, Allowance for Loan Loss | 0 | 0 | ' | ' |
Total Impaired Loans, Allowance for Loan Losses | 0 | 0 | ' | ' |
General Allowance for Loan Losses | 457 | 466 | ' | ' |
Total | $457 | $466 | $222 | ' |
LOANS_Details_7
LOANS (Details 7) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Past due loans | ' | ' |
30 - 59 Days Past Due | $413 | $41 |
60 - 89 Days Past Due | 5 | 2,026 |
One- to four-family | ' | ' |
Past due loans | ' | ' |
30 - 59 Days Past Due | 172 | 18 |
60 - 89 Days Past Due | 0 | 284 |
Multi-family and commercial | ' | ' |
Past due loans | ' | ' |
30 - 59 Days Past Due | 0 | 0 |
60 - 89 Days Past Due | 0 | 1,691 |
Construction | ' | ' |
Past due loans | ' | ' |
30 - 59 Days Past Due | 0 | 0 |
60 - 89 Days Past Due | 0 | 0 |
Consumer | ' | ' |
Past due loans | ' | ' |
30 - 59 Days Past Due | 241 | 23 |
60 - 89 Days Past Due | 5 | 51 |
Commercial and industrial | ' | ' |
Past due loans | ' | ' |
30 - 59 Days Past Due | 0 | 0 |
60 - 89 Days Past Due | $0 | $0 |
LOANS_Details_8
LOANS (Details 8) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
weakness | ||
classification | ||
Criticized and classified loans by segment | ' | ' |
Number of primary classification for loans | 6 | ' |
Number of classifications for problem loans | 3 | ' |
Minimum number of defined weaknesses for substandard loans | 1 | ' |
Total criticized and classified loans | $732,261 | $694,772 |
One- to four-family | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 127,501 | 158,828 |
Multi-family and commercial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 408,365 | 368,948 |
Construction | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 5,904 | 22,591 |
Consumer | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 22,478 | 30,585 |
Commercial and industrial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 168,013 | 113,820 |
Pass and Pass watch | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 706,377 | 657,346 |
Pass and Pass watch | One- to four-family | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 125,111 | 155,473 |
Pass and Pass watch | Multi-family and commercial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 390,908 | 347,150 |
Pass and Pass watch | Construction | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 2,672 | 16,157 |
Pass and Pass watch | Consumer | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 22,350 | 28,534 |
Pass and Pass watch | Commercial and industrial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 165,336 | 110,032 |
Special mention loans | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 15,091 | 10,366 |
Special mention loans | One- to four-family | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 0 | 0 |
Special mention loans | Multi-family and commercial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 12,414 | 6,733 |
Special mention loans | Construction | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 0 | 0 |
Special mention loans | Consumer | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 0 | 0 |
Special mention loans | Commercial and industrial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 2,677 | 3,633 |
Substandard loans | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 10,793 | 27,060 |
Substandard loans | One- to four-family | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 2,390 | 3,355 |
Substandard loans | Multi-family and commercial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 5,043 | 15,065 |
Substandard loans | Construction | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 3,232 | 6,434 |
Substandard loans | Consumer | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 128 | 2,051 |
Substandard loans | Commercial and industrial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 0 | 155 |
Doubtful loans | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 0 | 0 |
Doubtful loans | One- to four-family | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 0 | 0 |
Doubtful loans | Multi-family and commercial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 0 | 0 |
Doubtful loans | Construction | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 0 | 0 |
Doubtful loans | Consumer | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | 0 | 0 |
Doubtful loans | Commercial and industrial | ' | ' |
Criticized and classified loans by segment | ' | ' |
Total criticized and classified loans | $0 | $0 |
DERIVATIVES_AND_HEDGING_Detail
DERIVATIVES AND HEDGING (Details) (USD $) | 0 Months Ended | 0 Months Ended | 12 Months Ended | |||||||
Nov. 03, 2006 | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 12, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Interest rate swap maturing in April 2022 | Interest rate swap maturing in April 2022 | Interest rate swap maturing in April 2022 | Interest rate swap maturing in October 2021 | Interest rate swap maturing in October 2021 | Interest rate swap maturing in October 2021 | Credit Derivatives (Interest Rate Swap Underlyings) | Credit Derivatives (Interest Rate Swap Underlyings) | Credit Derivatives (Foreign Currency Swap Underlyings) | Credit Derivatives (Foreign Currency Swap Underlyings) | |
transaction | transaction | transaction | transaction | |||||||
Derivative | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Notional amount, interest rate swap | ' | $877,000 | ' | ' | $1,500,000 | ' | ' | ' | ' | ' |
Fixed rate loan term | '15 years | ' | ' | '10 years | ' | ' | ' | ' | ' | ' |
Interest rate on loans receivable | 7.43% | ' | ' | 5.83% | ' | ' | ' | ' | ' | ' |
Fixed interest rate to be paid under hedge (as a percent) | 7.43% | ' | ' | 5.83% | ' | ' | ' | ' | ' | ' |
Fair value gain position on interest rate swap derivative | ' | ' | ' | ' | 12,000 | ' | ' | ' | ' | ' |
Variable interest rate basis | 'one-month LIBOR | ' | ' | 'one-month LIBOR | ' | ' | ' | ' | ' | ' |
Margin added to derivative interest rate (as a percent) | 2.24% | ' | ' | 3.50% | ' | ' | ' | ' | ' | ' |
Fair value loss position on interest rate swap derivative | ' | 132,000 | 203,000 | ' | ' | 105,000 | ' | ' | ' | ' |
Hedge ineffectiveness, income | ' | ' | ' | ' | 20,000 | ' | ' | ' | ' | ' |
Hedge ineffectiveness, expense | ' | ' | ' | ' | ' | 4,000 | ' | ' | ' | ' |
Number of derivative transactions | ' | ' | ' | ' | ' | ' | 5 | 4 | 7 | 0 |
Notional amount of credit swap derivative (protection sold) | ' | ' | ' | ' | ' | ' | 19,500,000 | 13,300,000 | 517,000 | ' |
Remaining maturity period, minimum | ' | ' | ' | ' | ' | ' | '6 years | '7 years | '1 month | ' |
Remaining maturity period, maximum | ' | ' | ' | ' | ' | ' | '9 years | '10 years | '11 months | ' |
Fair value of swap asset (liability) | ' | ' | ' | ' | ' | ' | 969,000 | -213,000 | 0 | 1,000 |
Recognized income | ' | ' | ' | ' | ' | ' | 10,000 | 67,000 | 3,000 | 35,000 |
Derivative liability | ' | ' | ' | ' | ' | ' | $3,000 | $12,000 | ' | ' |
MORTGAGE_SERVICING_ACTIVITY_De
MORTGAGE SERVICING ACTIVITY (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Mortgage servicing activity | ' | ' | ' |
Unpaid principal balances of loans serviced for others | $27,700,000 | $36,600,000 | $50,000,000 |
Fees, net of amortization, from the servicing of loans | 7,000 | -16,000 | 25,000 |
Net Carrying Value | ' | ' | ' |
Balance at the beginning of the period | 170,000 | ' | ' |
Balance at the end of the period | 152,000 | 170,000 | ' |
Mortgage servicing rights | ' | ' | ' |
Servicing Rights | ' | ' | ' |
Balance at the beginning of the period | 325,000 | 455,000 | 579,000 |
Amortization | -70,000 | -130,000 | -124,000 |
Balance at the end of the period | 255,000 | 325,000 | 455,000 |
Valuation Allowance | ' | ' | ' |
Balance at the beginning of the period | -155,000 | -139,000 | -131,000 |
Additions | ' | -16,000 | -8,000 |
Reductions | 52,000 | ' | ' |
Balance at the end of the period | -103,000 | -155,000 | -139,000 |
Net Carrying Value | ' | ' | ' |
Balance at the beginning of the period | 170,000 | 316,000 | 448,000 |
Additions | ' | -16,000 | -8,000 |
Reductions | -52,000 | ' | ' |
Amortization | -70,000 | -130,000 | -124,000 |
Balance at the end of the period | 152,000 | 170,000 | 316,000 |
Estimated amortization expense | ' | ' | ' |
2014 | 57,000 | ' | ' |
2015 | 45,000 | ' | ' |
2016 | 35,000 | ' | ' |
2017 | 28,000 | ' | ' |
2018 | 21,000 | ' | ' |
Thereafter | 69,000 | ' | ' |
Total | 255,000 | ' | ' |
Fair value of MSRs | 152,000 | 170,000 | ' |
Increase (decrease) in valuation allowance | $52,000 | $16,000 | $8,000 |
PREMISES_AND_EQUIPMENT_Details
PREMISES AND EQUIPMENT (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
PREMISES AND EQUIPMENT | ' | ' |
Premises and equipment, gross | $21,907 | $21,896 |
Less: accumulated depreciation | -12,093 | -11,453 |
Premises and equipment, net | 9,814 | 10,443 |
Land | ' | ' |
PREMISES AND EQUIPMENT | ' | ' |
Premises and equipment, gross | 3,207 | 3,207 |
Buildings | ' | ' |
PREMISES AND EQUIPMENT | ' | ' |
Premises and equipment, gross | 13,759 | 13,661 |
Leasehold improvements | ' | ' |
PREMISES AND EQUIPMENT | ' | ' |
Premises and equipment, gross | 202 | 201 |
Furniture, fixtures and equipment | ' | ' |
PREMISES AND EQUIPMENT | ' | ' |
Premises and equipment, gross | $4,739 | $4,827 |
PREMISES_AND_EQUIPMENT_Details1
PREMISES AND EQUIPMENT (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Property, Plant and Equipment [Abstract] | ' | ' | ' |
Optional extension period of operating lease | '5 years | ' | ' |
Operating leases | ' | ' | ' |
Rental expenses | $409 | $451 | $488 |
Minimum future rental payments under non-cancelable leases | ' | ' | ' |
2014 | 443 | ' | ' |
2015 | 428 | ' | ' |
2016 | 36 | ' | ' |
2017 | 0 | ' | ' |
2018 | 0 | ' | ' |
Office rent | ' | ' | ' |
Operating leases | ' | ' | ' |
Rental expenses | 407 | 449 | 486 |
Equipment lease | ' | ' | ' |
Operating leases | ' | ' | ' |
Rental expenses | $2 | $2 | $2 |
DEPOSITS_Details
DEPOSITS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Weighted Average Interest Rate | ' | ' |
NOW accounts | 0.21% | 0.22% |
Money market accounts | 0.20% | 0.19% |
Savings and club accounts | 0.22% | 0.14% |
Brokered deposits | 0.56% | 0.51% |
Certificates of deposit | 1.26% | 1.59% |
Deposits | 0.56% | 0.71% |
Deposits | ' | ' |
Noninterest-bearing demand accounts | $100,748 | $108,176 |
NOW accounts | 84,569 | 70,199 |
Money market accounts | 85,017 | 97,318 |
Savings and club accounts | 108,183 | 99,046 |
Brokered deposits | 71,334 | 50,637 |
Certificates of deposit | 223,864 | 262,033 |
Total deposits amount | $673,715 | $687,409 |
DEPOSITS_Details_2
DEPOSITS (Details 2) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Maturity of deposits | ' |
2014 | $178,849 |
2015 | 61,188 |
2016 | 25,170 |
2017 | 11,197 |
2018 | 11,949 |
Thereafter | 6,845 |
Total | 295,198 |
Certificates of deposit | ' |
Maturity of deposits | ' |
2014 | 141,653 |
2015 | 46,545 |
2016 | 18,075 |
2017 | 4,978 |
2018 | 5,768 |
Thereafter | 6,845 |
Total | 223,864 |
Brokered deposits | ' |
Maturity of deposits | ' |
2014 | 37,196 |
2015 | 14,643 |
2016 | 7,095 |
2017 | 6,219 |
2018 | 6,181 |
Thereafter | 0 |
Total | $71,334 |
DEPOSITS_Details_3
DEPOSITS (Details 3) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Interest expense on deposits | ' | ' | ' |
NOW accounts | $172,000 | $234,000 | $143,000 |
Money market accounts | 172,000 | 339,000 | 596,000 |
Savings and club accounts | 141,000 | 253,000 | 148,000 |
Brokered deposits | 391,000 | 194,000 | 13,000 |
Certificates of deposit | 3,468,000 | 5,327,000 | 7,772,000 |
Interest expense on deposits, total | 4,344,000 | 6,347,000 | 8,672,000 |
Certificates of deposit with a minimum denomination of $100,000 | ' | ' | ' |
Amount of certificates of deposit with a minimum denomination of $100,000 | $51,100,000 | $62,500,000 | ' |
BORROWINGS_Details
BORROWINGS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
0.52% borrowing, due August 2014 | 0.41% borrowing, due September 2014 | 0.43% borrowing, due December 2014 | 0.49% borrowing, due March 2015 | 0.45% borrowing, due April 2015 | 0.68% borrowing, due August 2015 | 0.62% borrowing, due March 2016 | 0.75% borrowing, due September 2016 | 1.04% borrowing, due September 2016 | 0.94% borrowing, due June 2017 | 3.62% borrowing, due November 2017 | 3.87% borrowing, due November 2017 | 2.83% borrowing, due on December 2017 | FHLB of Pittsburgh | FHLB of Pittsburgh | FHLB of Pittsburgh | Federal Reserve Bank of Philadelphia | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | FHLB advances | Other borrowed funds | Other borrowed funds | Short-term borrowings | Short-term borrowings | |||
Minimum | Maximum | 0.52% borrowing, due August 2014 | 0.41% borrowing, due September 2014 | 0.43% borrowing, due December 2014 | 0.49% borrowing, due March 2015 | 0.45% borrowing, due April 2015 | 0.68% borrowing, due August 2015 | 0.62% borrowing, due March 2016 | 0.75% borrowing, due September 2016 | 1.04% borrowing, due September 2016 | 0.94% borrowing, due June 2017 | 3.62% borrowing, due November 2017 | 3.87% borrowing, due November 2017 | 2.83% borrowing, due on December 2017 | FHLB of Pittsburgh | ||||||||||||||||||||||||
Borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at End of Year | $150,000,000 | $110,000,000 | $10,000,000 | $15,000,000 | $15,000,000 | $10,000,000 | $10,000,000 | $10,000,000 | $10,000,000 | $5,000,000 | $10,000,000 | $5,000,000 | $15,000,000 | $15,000,000 | $20,000,000 | $150,000,000 | ' | ' | ' | $150,000,000 | $110,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at End of Year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30,000,000 | 30,000,000 | ' | ' |
Balance at End of Year | 80,500,000 | 70,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 80,500,000 | 70,500,000 |
Weighted Average Coupon Rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.52% | 1.80% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.30% | 3.30% | 0.32% | 0.30% |
Maximum Amount Outstanding during the period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150,000,000 | 110,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30,000,000 | 50,000,000 | 80,500,000 | 70,500,000 |
Average Amount Outstanding during the period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 135,807,000 | 82,039,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30,000,000 | 39,389,000 | 47,368,000 | 15,851,000 |
Interest rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.61% | 2.90% | 0.52% | 0.41% | 0.43% | 0.49% | 0.45% | 0.68% | 0.62% | 0.75% | 1.04% | 0.94% | 3.62% | 3.87% | 2.83% | 1.52% | 3.36% | 3.42% | 0.28% | 0.24% |
Reference rate, description | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'LIBOR | 'LIBOR | 'LIBOR | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate added to reference rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.10% | 0.10% | 0.11% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
FHLB lower coupon rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.41% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
FHLB higher coupon rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.87% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 413,800,000 | ' | ' | 76,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loans pledged as collateral | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 458,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Available-for-sale Securities Pledged as Collateral | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 77,000,000 | 82,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital stock to be held as percentage of advances | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.00% | 6.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital stock to be held as percentage of eligible assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.35% | 1.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock obligation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,500,000 | 15,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
FHLB stock | 9,813,000 | 8,097,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maturity of FHLB advances | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 55,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $150,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
FHLB advances by interest rate type, by maturity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.45% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.54% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.81% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.16% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.52% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
BORROWINGS_Details_2
BORROWINGS (Details 2) (USD $) | 12 Months Ended | 12 Months Ended | 3 Months Ended | ||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | |
3.40% other borrowings, due September 2018 | 3.20% other borrowings, due September 2018 | 3.15% other borrowings, due October 2018 | 3.27% other borrowings, due October 2018 | 3.37% other borrowings, due November 2018 | Other long-term borrowings | Other Long Term Debt | FHLB of Pittsburgh | ||||
Other Borrowed Funds | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of other borrowings | $30,000,000 | $30,000,000 | ' | $10,000,000 | $5,000,000 | $5,000,000 | $5,000,000 | $5,000,000 | ' | ' | ' |
Interest rate (as a percent) | 3.30% | ' | ' | 3.40% | 3.20% | 3.15% | 3.27% | 3.37% | ' | ' | ' |
Mortgage backed securities pledged as collateral for other borrowed funds | ' | ' | ' | ' | ' | ' | ' | ' | 37,700,000 | ' | ' |
Termination of debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20,000,000 | 36,300,000 |
Loss on extinguishment of debt | 0 | 3,018,000 | 0 | ' | ' | ' | ' | ' | ' | 1,500,000 | 1,500,000 |
Short-term borrowings | $80,500,000 | $70,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Blended weighted average interest rate (as a percent) | 0.32% | 0.30% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
EMPLOYEE_BENEFITS_Details
EMPLOYEE BENEFITS (Details) (USD $) | 12 Months Ended | 0 Months Ended | ||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2006 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 29, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | |
ESOP | ESOP | ESOP | ESOP | ESOP | ESOP | ESOP | ESOP | ESOP | ||||
transaction | Initial 2006 stock offering | Initial 2006 stock offering | Initial 2006 stock offering | Mutual-to-stock conversion | Mutual-to-stock conversion | Mutual-to-stock conversion | ||||||
401(k) Plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employer's matching contribution on the first 6% of employee contribution (as a percent) | 33.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of employee's discretionary contribution matched by 33% of employer contribution | 6.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contribution by employer | $146,000 | $131,000 | $121,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee Stock Ownership Plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares purchased | ' | ' | ' | 963,767 | ' | ' | 615,267 | ' | ' | 348,500 | ' | ' |
Loans outstanding | ' | ' | ' | 6,100,000 | ' | ' | ' | 3,300,000 | 3,700,000 | ' | 2,800,000 | 3,000,000 |
Number of stock purchase transactions | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price (in dollars per share) | ' | ' | ' | ' | ' | ' | $9.35 | ' | ' | $10 | ' | ' |
Committed-to-be-Released Shares | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' |
Shares allocated | ' | ' | ' | 412,263 | ' | ' | ' | ' | ' | ' | ' | ' |
Unallocated shares | ' | ' | ' | 551,504 | ' | ' | ' | 287,124 | ' | ' | 264,380 | ' |
Shares annually released based upon the ratio that the current principal and interest payment bears to the current and remaining scheduled future principal and interest payments | ' | ' | ' | 65,053 | ' | ' | ' | ' | ' | ' | ' | ' |
Fair market value of unallocated shares | ' | ' | ' | ' | ' | ' | ' | 5,000,000 | ' | ' | 4,600,000 | ' |
Compensation expense | ' | ' | ' | $1,100,000 | $921,000 | $840,000 | ' | ' | ' | ' | ' | ' |
STOCK_BASED_COMPENSATION_Detai
STOCK BASED COMPENSATION (Details) (USD $) | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2007 | Dec. 31, 2007 | Aug. 31, 2011 | Aug. 31, 2011 | Dec. 31, 2011 | |
Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Restricted stock | Restricted stock | Restricted stock | Performance based restricted stock | Performance based restricted stock | Performance based restricted stock | 2007 Plan | 2007 Plan | 2011 Plan | 2011 Plan | 2011 Plan | ||||
Minimum | Minimum | Minimum | Maximum | Maximum | Maximum | Executive Officer | Executive Officer | Executive Officer | Stock options | Restricted stock | Stock options | Restricted stock | Restricted stock | |||||||||||
STOCK BASED COMPENSATION | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares reserved for issuance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 769,083 | 307,633 | 685,978 | 274,391 | ' |
Shares Purchased | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 307,395 | ' | 274,391 | 274,391 |
Weighted average cost per share of shares purchased (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $12.18 | ' | ' | $12.66 |
Stock based compensation expense | $1,100,000 | $1,000,000 | $1,000,000 | $431,000 | $420,000 | $436,000 | ' | ' | ' | ' | ' | ' | ' | $693,000 | $621,000 | $606,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Stock Options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in shares) | ' | ' | ' | 877,669 | 788,142 | 692,178 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | 255,650 | 146,550 | 135,494 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised (in shares) | ' | ' | ' | -9,811 | -43,954 | -15,037 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited / Cancelled (in shares) | ' | ' | ' | -100 | -13,069 | -24,493 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period (in shares) | ' | ' | ' | 1,123,408 | 877,669 | 788,142 | 692,178 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period (in shares) | ' | ' | ' | 647,884 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in dollars per share) | ' | ' | ' | $11.57 | $11.23 | $10.97 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in dollars per share) | ' | ' | ' | $17 | $13.15 | $12.49 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised (in dollars per share) | ' | ' | ' | $10.82 | $10.94 | $10.69 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited / Cancelled (in dollars per share) | ' | ' | ' | $12.94 | $11.10 | $11.24 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period (in dollars per share) | ' | ' | ' | $12.81 | $11.57 | $11.23 | $10.97 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period (in dollars per share) | ' | ' | ' | $11.30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Remaining Contractual Life | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period | ' | ' | ' | '6 years 2 months 12 days | '6 years 3 months 18 days | '6 years 7 months 6 days | '7 years 1 month 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period | ' | ' | ' | '6 years 2 months 12 days | '6 years 3 months 18 days | '6 years 7 months 6 days | '7 years 1 month 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period | ' | ' | ' | '4 years 6 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period | ' | ' | ' | 4,461,000 | 1,111,000 | 608,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period | ' | ' | ' | 5,013,000 | 4,461,000 | 1,111,000 | 608,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period | ' | ' | ' | 3,867,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Assumptions used to determine fair value of options granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected dividend yield (as a percent) | ' | ' | ' | 2.22% | 1.82% | ' | ' | ' | ' | 1.90% | ' | ' | 2.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected volatility (as a percent) | ' | ' | ' | ' | ' | ' | ' | 31.11% | 32.00% | 33.00% | 31.12% | 32.50% | 40.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | 1.19% | 0.86% | 1.21% | 1.74% | 1.10% | 2.51% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected option life | ' | ' | ' | '6 years 6 months | '6 years 6 months | '6 years 6 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Stock Options, Unvested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unvested at the beginning of the period (in shares) | ' | ' | ' | 310,661 | 322,530 | 343,997 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | 255,650 | 146,550 | 135,494 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested (in shares) | ' | ' | ' | -90,787 | -145,350 | -135,464 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited / Cancelled (in shares) | ' | ' | ' | 0 | -13,069 | -21,497 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unvested at the end of the period (in shares) | ' | ' | ' | 475,524 | 310,661 | 322,530 | 343,997 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Grant Date Fair Value, Unvested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unvested at the beginning of the period (in dollars per share) | ' | ' | ' | $3.36 | $3.15 | $2.90 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in dollars per share) | ' | ' | ' | $4.20 | $3.57 | $3.60 | ' | $4.20 | ' | ' | $4.45 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested (in dollars per share) | ' | ' | ' | $3.16 | $3.10 | $2.98 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited / Cancelled (in dollars per share) | ' | ' | ' | $0 | $3.17 | $3.06 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unvested at the end of the period (in dollars per share) | ' | ' | ' | $3.85 | $3.36 | $3.15 | $2.90 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation cost not yet recognized, nonvested awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected future compensation expense, non-vested options | ' | ' | ' | 1,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average period | ' | ' | ' | '3 years 8 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years 8 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Restricted Shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unvested at the beginning of the period (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 130,557 | 119,990 | 117,431 | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 122,450 | 69,950 | 57,036 | 39,250 | 22,500 | 10,668 | ' | ' | ' | ' | ' |
Vested (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -27,075 | -56,358 | -48,620 | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited / Cancelled (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | -3,025 | -5,857 | ' | ' | ' | ' | ' | ' | ' | ' |
Unvested at the end of the period (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 225,932 | 130,557 | 119,990 | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Grant Date Fair Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unvested at the beginning of the period (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $12.41 | $11.54 | $10.91 | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $17 | $13.14 | $12.54 | ' | ' | ' | ' | ' | ' | ' | ' |
Vested (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $11.77 | $11.46 | $11.19 | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited / Cancelled (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $12.08 | $11.72 | ' | ' | ' | ' | ' | ' | ' | ' |
Unvested at the end of the period (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $14.98 | $12.41 | $11.54 | ' | ' | ' | ' | ' | ' | ' | ' |
Expected future compensation expense, restricted shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Components of income tax expense (benefits) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current | ' | ' | ' | ' | ' | ' | ' | ' | $3,330,000 | $2,408,000 | $2,555,000 |
Deferred | ' | ' | ' | ' | ' | ' | ' | ' | -1,083,000 | -140,000 | -359,000 |
Federal income tax expense (benefit) | ' | ' | ' | ' | ' | ' | ' | ' | 2,247,000 | 2,268,000 | 2,196,000 |
Current | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Deferred | ' | ' | ' | ' | ' | ' | ' | ' | 16,000 | 50,000 | 16,000 |
State income tax expense (benefit) | ' | ' | ' | ' | ' | ' | ' | ' | 16,000 | 50,000 | 16,000 |
Income tax expense (benefit) | 589,000 | 411,000 | 438,000 | 825,000 | 858,000 | 666,000 | 222,000 | 572,000 | 2,263,000 | 2,318,000 | 2,212,000 |
Statutory rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | 34.00% | 34.00% | 34.00% |
Income tax rate reconciliation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Federal income tax at statutory rate | ' | ' | ' | ' | ' | ' | ' | ' | 2,651,000 | 2,509,000 | 2,377,000 |
Tax exempt interest, net | ' | ' | ' | ' | ' | ' | ' | ' | -233,000 | -62,000 | -62,000 |
Bank-owned life insurance | ' | ' | ' | ' | ' | ' | ' | ' | -160,000 | -160,000 | -159,000 |
ESOP compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 167,000 | 101,000 | 73,000 |
Equity incentive plans | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 1,000 |
Other, net | ' | ' | ' | ' | ' | ' | ' | ' | 14,000 | 13,000 | 13,000 |
Dividends received from equity method investments | ' | ' | ' | ' | ' | ' | ' | ' | -98,000 | -49,000 | -13,000 |
Dividends paid on benefit plans | ' | ' | ' | ' | ' | ' | ' | ' | -89,000 | -67,000 | -26,000 |
State taxes, net | ' | ' | ' | ' | ' | ' | ' | ' | -20,000 | 304,000 | 126,000 |
Decrease in valuation allowance | ' | ' | ' | ' | ' | ' | ' | ' | 31,000 | -271,000 | -118,000 |
Income tax expense (benefit) | 589,000 | 411,000 | 438,000 | 825,000 | 858,000 | 666,000 | 222,000 | 572,000 | 2,263,000 | 2,318,000 | 2,212,000 |
Effective tax rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | 29.03% | 31.41% | 31.64% |
Deferred tax assets: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for loan losses, net | 3,920,000 | ' | ' | ' | 3,798,000 | ' | ' | ' | 3,920,000 | 3,798,000 | ' |
Provision for loss on assets acquired through foreclosure | 1,826,000 | ' | ' | ' | 966,000 | ' | ' | ' | 1,826,000 | 966,000 | ' |
Nonaccrual interest | 274,000 | ' | ' | ' | 569,000 | ' | ' | ' | 274,000 | 569,000 | ' |
Equity incentive plans | 1,187,000 | ' | ' | ' | 885,000 | ' | ' | ' | 1,187,000 | 885,000 | ' |
Accrued expenses | 455,000 | ' | ' | ' | 370,000 | ' | ' | ' | 455,000 | 370,000 | ' |
Deferred lease liability | 46,000 | ' | ' | ' | 51,000 | ' | ' | ' | 46,000 | 51,000 | ' |
State net operating loss carryforward | 96,000 | ' | ' | ' | 73,000 | ' | ' | ' | 96,000 | 73,000 | ' |
Deferred Tax Assets, Unrealized Losses on Available-for-Sale Securities, Gross | 2,408,000 | ' | ' | ' | 0 | ' | ' | ' | 2,408,000 | 0 | ' |
Total | 10,212,000 | ' | ' | ' | 6,712,000 | ' | ' | ' | 10,212,000 | 6,712,000 | ' |
Valuation allowance | -67,000 | ' | ' | ' | -36,000 | ' | ' | ' | -67,000 | -36,000 | ' |
Net | 10,145,000 | ' | ' | ' | 6,676,000 | ' | ' | ' | 10,145,000 | 6,676,000 | ' |
Deferred tax liability | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Prepaid expense deduction | 255,000 | ' | ' | ' | 238,000 | ' | ' | ' | 255,000 | 238,000 | ' |
Mortgage servicing rights | 52,000 | ' | ' | ' | 58,000 | ' | ' | ' | 52,000 | 58,000 | ' |
Loan origination costs | 28,000 | ' | ' | ' | 39,000 | ' | ' | ' | 28,000 | 39,000 | ' |
Deferrable earnings on investments | 504,000 | ' | ' | ' | 439,000 | ' | ' | ' | 504,000 | 439,000 | ' |
Depreciation of premises and equipment | 400,000 | ' | ' | ' | 471,000 | ' | ' | ' | 400,000 | 471,000 | ' |
Unrealized gains on securities available-for-sale | 0 | ' | ' | ' | 2,478,000 | ' | ' | ' | 0 | 2,478,000 | ' |
Deferred tax liability | 1,239,000 | ' | ' | ' | 3,723,000 | ' | ' | ' | 1,239,000 | 3,723,000 | ' |
Net Deferred Tax Asset | 8,906,000 | ' | ' | ' | 2,953,000 | ' | ' | ' | 8,906,000 | 2,953,000 | ' |
Other income tax disclosures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
State net operating loss carryforward not likely to be realized | -67,000 | ' | ' | ' | ' | ' | ' | ' | -67,000 | ' | ' |
Amount for which no federal income tax provision has been made | 6,000,000 | ' | ' | ' | 6,000,000 | ' | ' | ' | 6,000,000 | 6,000,000 | 6,000,000 |
State operating loss not likely to be recognized | -67,000 | ' | ' | ' | ' | ' | ' | ' | -67,000 | ' | ' |
State net operating loss | 953,000 | ' | ' | ' | ' | ' | ' | ' | 953,000 | ' | ' |
Fox Chase Service Corporation | State | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred tax assets: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
State net operating loss carryforward | 29,000 | ' | ' | ' | ' | ' | ' | ' | 29,000 | ' | ' |
Other income tax disclosures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
State net operating loss | $292,000 | ' | ' | ' | ' | ' | ' | ' | $292,000 | ' | ' |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Financial instrument commitments | ' | ' |
Financial instrument commitment | $158,549,000 | $137,377,000 |
Commitments to grant loans | ' | ' |
Financial instrument commitments | ' | ' |
Financial instrument commitment | 31,401,000 | 23,644,000 |
Fixed rate commitments to grant loans | 4,000,000 | 2,600,000 |
Interest rate on fixed rate loans, minimum (as a percent) | 4.50% | 4.75% |
Interest rate on fixed rate loans, maximum (as a percent) | 6.00% | 6.00% |
Unfunded commitments under lines of credit | ' | ' |
Financial instrument commitments | ' | ' |
Financial instrument commitment | 115,229,000 | 98,537,000 |
Standby letters of credit | ' | ' |
Financial instrument commitments | ' | ' |
Financial instrument commitment | 11,508,000 | 14,348,000 |
Commercial letters of credit | ' | ' |
Financial instrument commitments | ' | ' |
Financial instrument commitment | $411,000 | $848,000 |
COMMITMENTS_AND_CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details 2) (Third-party providers, USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Third-party providers | ' |
Future minimum payments contractually due | ' |
2014 | $1,656 |
2015 | 1,507 |
2016 | 0 |
2017 | 0 |
2018 | $0 |
STOCKHOLDERS_EQUITY_Details
STOCKHOLDERS' EQUITY (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fox Chase Bancorp, Inc. | ' | ' |
Total risk-based capital (to risk-weighted assets) | ' | ' |
Actual, Amount | $186,147 | ' |
Actual, Ratio (as a percent) | 23.67% | ' |
For Capital Adequacy Purposes, Amount | 62,905 | ' |
For Capital Adequacy Purposes, Ratio (as a percent) | 8.00% | ' |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | 78,631 | ' |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent) | 10.00% | ' |
Tier 1 capital (to risk-weighted assets) | ' | ' |
Actual, Amount | 177,916 | ' |
Actual, Ratio (as a percent) | 22.63% | ' |
For Capital Adequacy Purposes, Amount | 31,452 | ' |
For Capital Adequacy Purposes, Ratio (as a percent) | 4.00% | ' |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | 47,178 | ' |
To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio (as a percent) | 6.00% | ' |
Tier 1 capital (to adjusted assets) | ' | ' |
Actual, Amount | 177,916 | ' |
Actual, Ratio (as a percent) | 16.18% | ' |
For Capital Adequacy Purposes, Amount | 43,971 | ' |
For Capital Adequacy Purposes, Ratio (as a percent) | 4.00% | ' |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | 54,964 | ' |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent) | 5.00% | ' |
Fox Chase Bank | ' | ' |
Total risk-based capital (to risk-weighted assets) | ' | ' |
Actual, Amount | 153,206 | 147,659 |
Actual, Ratio (as a percent) | 19.48% | 20.48% |
For Capital Adequacy Purposes, Amount | 62,903 | 57,682 |
For Capital Adequacy Purposes, Ratio (as a percent) | 8.00% | 8.00% |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | 78,629 | 72,103 |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent) | 10.00% | 10.00% |
Tier 1 capital (to risk-weighted assets) | ' | ' |
Actual, Amount | 144,977 | 140,240 |
Actual, Ratio (as a percent) | 18.44% | 19.45% |
For Capital Adequacy Purposes, Amount | 31,452 | 28,841 |
For Capital Adequacy Purposes, Ratio (as a percent) | 4.00% | 4.00% |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | 47,177 | 43,262 |
To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio (as a percent) | 6.00% | 6.00% |
Tier 1 capital (to adjusted assets) | ' | ' |
Actual, Amount | 144,977 | 140,240 |
Actual, Ratio (as a percent) | 13.12% | 12.90% |
For Capital Adequacy Purposes, Amount | 44,194 | 43,475 |
For Capital Adequacy Purposes, Ratio (as a percent) | 4.00% | 4.00% |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $55,242 | $54,344 |
To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent) | 5.00% | 5.00% |
STOCKHOLDERS_EQUITY_Details_2
STOCKHOLDERS' EQUITY (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 0 Months Ended | |||||||||
Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Feb. 28, 2014 | |
Common Stock | Common Stock | Common Stock | Common Stock | Common Stock | Common Stock | Common Stock | ||||||||
Subsequent Event | ||||||||||||||
STOCKHOLDERS' EQUITY | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash dividend on common share (in dollars per share) | ' | ' | ' | ' | $0.28 | $0.20 | $0.08 | $0.08 | $0.08 | $0.06 | $0.06 | ' | ' | $0.26 |
Dividend received from subsidiary | $1,900,000 | $7,900,000 | $11,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income of subsidiary | 1,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Special dividend received from subsidiary | ' | ' | ' | 10,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock repurchased (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 218,752 | 724,700 | ' |
Common stock repurchased | ' | ' | ' | ' | $3,703,000 | $9,911,000 | $19,822,000 | ' | ' | ' | ' | $33,400,000 | ' | ' |
FAIR_VALUE_Details
FAIR VALUE (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
adjustment | ||
quote | ||
external_pricing_service | ||
Fair Value Disclosures [Abstract] | ' | ' |
Number of external pricing service providers | 1 | ' |
Number of quotes per investment security obtained | 1 | ' |
Adjustments to the values obtained from the primary pricing service | 0 | ' |
Financial assets: | ' | ' |
Investment securities available-for-sale | $256,557 | $296,107 |
Mortgage related securities | 246,068 | 283,616 |
Held to maturity securities | 67,491 | 29,451 |
Federal Home Loan Bank stock | 9,813 | 8,097 |
Accrued interest receivable | 3,308 | 3,223 |
Mortgage servicing rights | 152 | 170 |
Financial liabilities: | ' | ' |
Savings and club accounts | 108,183 | 99,046 |
Private label commercial mortgage related securities | ' | ' |
Financial assets: | ' | ' |
Investment securities available-for-sale | 2,120 | 6,197 |
Agency residential mortgage related securities | ' | ' |
Financial assets: | ' | ' |
Investment securities available-for-sale | 243,948 | 277,419 |
Held to maturity securities | 67,491 | 29,451 |
Carrying Amount | Level 1 | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 11,947 | 25,090 |
Carrying Amount | Level 2 | ' | ' |
Financial assets: | ' | ' |
Investment securities available-for-sale | 10,489 | 12,491 |
Mortgage servicing rights | 152 | 170 |
Financial liabilities: | ' | ' |
Savings and club accounts | 108,183 | 99,046 |
Demand, NOW and money market deposits | 270,334 | 275,693 |
Brokered deposits | 71,334 | 50,637 |
Certificates of deposit | 223,864 | 262,033 |
Short-term borrowings | 80,500 | 70,500 |
Federal Home Loan Bank advances | 150,000 | 110,000 |
Other borrowed funds | 30,000 | 30,000 |
Accrued interest payable | 314 | 330 |
Carrying Amount | Level 3 | ' | ' |
Financial assets: | ' | ' |
Loans receivable, net | 720,490 | 683,865 |
Federal Home Loan Bank stock | 9,813 | 8,097 |
Accrued interest receivable | 3,308 | 3,223 |
Financial assets acquired from debtors - CV | 1,938 | 3,714 |
Carrying Amount | Level 2, 3 | ' | ' |
Financial liabilities: | ' | ' |
Derivative contracts | 124 | 320 |
Carrying Amount | Private label commercial mortgage related securities | Level 3 | ' | ' |
Financial assets: | ' | ' |
Mortgage related securities | 2,120 | 6,197 |
Carrying Amount | Agency residential mortgage related securities | Level 2 | ' | ' |
Financial assets: | ' | ' |
Mortgage related securities | 243,948 | 277,419 |
Held to maturity securities | 68,397 | 28,369 |
Estimated Fair Value | Level 1 | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 11,947 | 25,090 |
Estimated Fair Value | Level 2 | ' | ' |
Financial assets: | ' | ' |
Investment securities available-for-sale | 10,489 | 12,491 |
Mortgage servicing rights | 152 | 170 |
Financial liabilities: | ' | ' |
Savings and club accounts | 108,183 | 99,046 |
Demand, NOW and money market deposits | 270,334 | 275,693 |
Brokered deposits | 71,020 | 50,715 |
Certificates of deposit | 225,357 | 264,694 |
Short-term borrowings | 80,500 | 70,500 |
Federal Home Loan Bank advances | 154,069 | 115,767 |
Other borrowed funds | 32,178 | 33,651 |
Accrued interest payable | 314 | 330 |
Estimated Fair Value | Level 3 | ' | ' |
Financial assets: | ' | ' |
Loans receivable, net | 721,417 | 686,867 |
Federal Home Loan Bank stock | 9,813 | 8,097 |
Accrued interest receivable | 3,308 | 3,223 |
Financial assets acquired from debtors - CV | 1,938 | 3,714 |
Estimated Fair Value | Level 2, 3 | ' | ' |
Financial liabilities: | ' | ' |
Derivative contracts | 124 | 320 |
Estimated Fair Value | Private label commercial mortgage related securities | Level 3 | ' | ' |
Financial assets: | ' | ' |
Mortgage related securities | 2,120 | 6,197 |
Estimated Fair Value | Agency residential mortgage related securities | Level 2 | ' | ' |
Financial assets: | ' | ' |
Mortgage related securities | 243,948 | 277,419 |
Held to maturity securities | $67,491 | $29,451 |
FAIR_VALUE_Details_2
FAIR VALUE (Details 2) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | |||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | $256,557,000 | $296,107,000 | ||
Mortgage servicing rights | 152,000 | 170,000 | ||
Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Number of loans | 2 | ' | ||
Significant Other Unobservable Inputs (Level 3) | ' | ' | ||
Fair value measurement | ' | ' | ||
Losses resulting from changes in fair value | 5,023,000 | 713,000 | ||
Significant Other Unobservable Inputs (Level 3) | Private label commercial mortgage related securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Net unrealized gain | 2,000 | 78,000 | ||
Losses resulting from changes in fair value | 76,000 | 29,000 | ||
Significant Other Unobservable Inputs (Level 3) | Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Unrealized gain on loans | 125,000 | 293,000 | ||
Losses resulting from changes in fair value | 167,000 | -26,000 | ||
Significant Other Unobservable Inputs (Level 3) | Losses on financial assets acquired from debtors | ' | ' | ||
Fair value measurement | ' | ' | ||
Losses resulting from changes in fair value | 4,800,000 | 692,000 | ||
Significant Other Unobservable Inputs (Level 3) | Derivatives contracts | ' | ' | ||
Fair value measurement | ' | ' | ||
Losses resulting from changes in fair value | -13,000 | -27,000 | ||
Recurring basis | Balance | ' | ' | ||
Fair value measurement | ' | ' | ||
Financial assets acquired from debtors - CV | 1,938,000 | 3,714,000 | ||
Assets | 260,906,000 | 302,307,000 | ||
Recurring basis | Balance | Obligations of U.S. government agencies | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 308,000 | 314,000 | ||
Recurring basis | Balance | Corporate securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 10,181,000 | 12,177,000 | ||
Recurring basis | Balance | Private label commercial mortgage related securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 2,120,000 | 6,197,000 | ||
Recurring basis | Balance | Agency residential mortgage related securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 243,948,000 | 277,419,000 | ||
Recurring basis | Balance | Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 2,535,000 | [1] | 2,806,000 | [1] |
Recurring basis | Balance | Derivatives contracts | ' | ' | ||
Fair value measurement | ' | ' | ||
Liabilities | -124,000 | [1] | -320,000 | [1] |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' | ||
Fair value measurement | ' | ' | ||
Financial assets acquired from debtors - CV | 0 | 0 | ||
Assets | 0 | 0 | ||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Obligations of U.S. government agencies | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 0 | 0 | ||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 0 | 0 | ||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Private label commercial mortgage related securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 0 | 0 | ||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency residential mortgage related securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 0 | 0 | ||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 0 | [1] | 0 | [1] |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivatives contracts | ' | ' | ||
Fair value measurement | ' | ' | ||
Liabilities | 0 | [1] | 0 | [1] |
Recurring basis | Significant Other Observable Inputs (Level 2) | ' | ' | ||
Fair value measurement | ' | ' | ||
Financial assets acquired from debtors - CV | 0 | 0 | ||
Assets | 254,317,000 | 289,602,000 | ||
Recurring basis | Significant Other Observable Inputs (Level 2) | Obligations of U.S. government agencies | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 308,000 | 314,000 | ||
Recurring basis | Significant Other Observable Inputs (Level 2) | Corporate securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 10,181,000 | 12,177,000 | ||
Recurring basis | Significant Other Observable Inputs (Level 2) | Private label commercial mortgage related securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 0 | 0 | ||
Recurring basis | Significant Other Observable Inputs (Level 2) | Agency residential mortgage related securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 243,948,000 | 277,419,000 | ||
Recurring basis | Significant Other Observable Inputs (Level 2) | Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 0 | [1] | 0 | [1] |
Recurring basis | Significant Other Observable Inputs (Level 2) | Derivatives contracts | ' | ' | ||
Fair value measurement | ' | ' | ||
Liabilities | -120,000 | [1] | -308,000 | [1] |
Recurring basis | Significant Other Unobservable Inputs (Level 3) | ' | ' | ||
Fair value measurement | ' | ' | ||
Financial assets acquired from debtors - CV | 1,938,000 | 3,714,000 | ||
Assets | 6,589,000 | 12,705,000 | ||
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Obligations of U.S. government agencies | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 0 | 0 | ||
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Corporate securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 0 | 0 | ||
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Private label commercial mortgage related securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 2,120,000 | 6,197,000 | ||
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Agency residential mortgage related securities | ' | ' | ||
Fair value measurement | ' | ' | ||
Investment securities available-for-sale | 0 | 0 | ||
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 2,535,000 | [1] | 2,806,000 | [1] |
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Derivatives contracts | ' | ' | ||
Fair value measurement | ' | ' | ||
Liabilities | -4,000 | [1] | -12,000 | [1] |
Non-recurring basis | Balance | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 5,378,000 | 7,931,000 | ||
Mortgage servicing rights | 152,000 | 170,000 | ||
Non-recurring basis | Balance | Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 912,000 | 2,951,000 | ||
Non-recurring basis | Balance | Other real estate owned | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 4,314,000 | 4,810,000 | ||
Non-recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 0 | 0 | ||
Mortgage servicing rights | 0 | 0 | ||
Non-recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 0 | 0 | ||
Non-recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other real estate owned | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 0 | 0 | ||
Non-recurring basis | Significant Other Observable Inputs (Level 2) | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 152,000 | 170,000 | ||
Mortgage servicing rights | 152,000 | 170,000 | ||
Non-recurring basis | Significant Other Observable Inputs (Level 2) | Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 0 | 0 | ||
Non-recurring basis | Significant Other Observable Inputs (Level 2) | Other real estate owned | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 0 | 0 | ||
Non-recurring basis | Significant Other Unobservable Inputs (Level 3) | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 5,226,000 | 7,761,000 | ||
Mortgage servicing rights | 0 | 0 | ||
Non-recurring basis | Significant Other Unobservable Inputs (Level 3) | Loans | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | 912,000 | 2,951,000 | ||
Fully charged off loans balance sheet value | 0 | ' | ||
Non-recurring basis | Significant Other Unobservable Inputs (Level 3) | Other real estate owned | ' | ' | ||
Fair value measurement | ' | ' | ||
Assets | $4,314,000 | $4,810,000 | ||
[1] | Such financial instruments are recorded at fair value as further described in Note 4. |
FAIR_VALUE_Details_3
FAIR VALUE (Details 3) (Unobservable Inputs (Level 3), USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ' | ' |
Beginning balance | $12,705 | $11,905 |
Purchases/ additions | 1,989 | 3,974 |
Sales | -120 | -70 |
Payments (received) made | -2,959 | -2,379 |
Premium amortization, net | -3 | -12 |
(Decrease)/increase in value | -5,023 | -713 |
Ending balance | 6,589 | 12,705 |
Private label residential mortgage related security | ' | ' |
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ' | ' |
Beginning balance | 0 | 122 |
Purchases/ additions | 0 | 0 |
Sales | 0 | -70 |
Payments (received) made | 0 | -7 |
Premium amortization, net | 0 | 0 |
(Decrease)/increase in value | 0 | -45 |
Ending balance | 0 | 0 |
Private label commercial mortgage related securities | ' | ' |
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ' | ' |
Beginning balance | 6,197 | 8,906 |
Purchases/ additions | 0 | 0 |
Sales | 0 | 0 |
Payments (received) made | -3,998 | -2,668 |
Premium amortization, net | -3 | -12 |
(Decrease)/increase in value | -76 | -29 |
Ending balance | 2,120 | 6,197 |
Derivatives contracts | ' | ' |
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ' | ' |
Beginning balance | -12 | 0 |
Purchases/ additions | -5 | -39 |
Sales | 0 | 0 |
Payments (received) made | 0 | 0 |
Premium amortization, net | 0 | 0 |
(Decrease)/increase in value | 13 | 27 |
Ending balance | -4 | -12 |
Financial Assets Acquired from Debtors | ' | ' |
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ' | ' |
Beginning balance | 3,714 | 0 |
Purchases/ additions | 1,994 | 4,013 |
Sales | -120 | 0 |
Payments (received) made | 1,143 | 393 |
Premium amortization, net | 0 | 0 |
(Decrease)/increase in value | -4,793 | -692 |
Ending balance | 1,938 | 3,714 |
Loans | ' | ' |
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ' | ' |
Beginning balance | 2,806 | 2,877 |
Purchases/ additions | 0 | 0 |
Sales | 0 | 0 |
Payments (received) made | -104 | -97 |
Premium amortization, net | 0 | 0 |
(Decrease)/increase in value | -167 | 26 |
Ending balance | $2,535 | $2,806 |
RELATED_PARTY_TRANSACTIONS_Det
RELATED PARTY TRANSACTIONS (Details) (USD $) | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2010 |
Officers and Directors | Officers and Directors | PMA | PMA | PMA | PMA | PMA | PMA | PMA | PMA | |||
Warehouse line of credit facility | Warehouse line of credit facility | Warehouse line of credit facility | Term loan | Term loan | ||||||||
RELATED PARTY TRANSACTIONS | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Receivables from directors and officers | ' | ' | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership percentage | 45.00% | 45.00% | ' | ' | 45.00% | ' | ' | ' | ' | ' | ' | ' |
Interest income | ' | ' | ' | ' | ' | ' | ' | 307,000 | 460,000 | 220,000 | 25,000 | ' |
Loan satisfaction fees | ' | ' | ' | ' | ' | ' | ' | 47,000 | 66,000 | 50,000 | ' | ' |
Balance outstanding | ' | ' | ' | ' | ' | ' | ' | 4,400,000 | 15,200,000 | ' | ' | ' |
Loans acquired | ' | ' | ' | ' | 892,000 | 14,400,000 | 10,600,000 | ' | ' | ' | ' | ' |
Loans issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,200,000 |
Value of investments | ' | ' | ' | ' | 2,100,000 | 2,000,000 | ' | ' | ' | ' | ' | ' |
Value of assets | ' | ' | ' | ' | 12,900,000 | 32,500,000 | ' | ' | ' | ' | ' | ' |
Value of liabilities | ' | ' | ' | ' | 8,700,000 | 28,500,000 | ' | ' | ' | ' | ' | ' |
Net revenues | ' | ' | ' | ' | 7,000,000 | 7,800,000 | 5,000,000 | ' | ' | ' | ' | ' |
Expenses (including income taxes) | ' | ' | ' | ' | 6,000,000 | 6,300,000 | 4,400,000 | ' | ' | ' | ' | ' |
Net income | ' | ' | ' | ' | $949,000 | $1,500,000 | $557,000 | ' | ' | ' | ' | ' |
PARENT_COMPANY_ONLY_FINANCIAL_2
PARENT COMPANY ONLY FINANCIAL STATEMENTS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | ||||
ASSETS | ' | ' | ' | ' |
Cash and due from banks | $149 | $162 | ' | ' |
Interest-earning deposits with banks | 11,798 | 24,928 | ' | ' |
Total cash and cash equivalents | 11,947 | 25,090 | 7,586 | 38,314 |
Other assets | 4,819 | 5,803 | ' | ' |
Total Assets | 1,116,622 | 1,088,341 | ' | ' |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ' | ' | ' | ' |
Total Liabilities | 943,155 | 906,876 | ' | ' |
Stockholders' Equity | 173,467 | 181,465 | 188,192 | 205,704 |
Total Liabilities and Stockholders’ Equity | 1,116,622 | 1,088,341 | ' | ' |
Parent company | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Cash and due from banks | 99 | 94 | ' | ' |
Interest-earning deposits with banks | 25,934 | 29,513 | ' | ' |
Total cash and cash equivalents | 26,033 | 29,607 | 19,227 | 42,602 |
Investment in subsidiary | 140,527 | 144,781 | ' | ' |
ESOP loans | 6,109 | 6,659 | ' | ' |
Other assets | 908 | 549 | ' | ' |
Total Assets | 173,577 | 181,596 | ' | ' |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ' | ' | ' | ' |
Due to subsidiary, net | 0 | 19 | ' | ' |
Other liabilities | 110 | 112 | ' | ' |
Total Liabilities | 110 | 131 | ' | ' |
Stockholders' Equity | 173,467 | 181,465 | ' | ' |
Total Liabilities and Stockholders’ Equity | $173,577 | $181,596 | ' | ' |
PARENT_COMPANY_ONLY_FINANCIAL_3
PARENT COMPANY ONLY FINANCIAL STATEMENTS (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
INCOME | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total Interest Income | $10,291 | $10,141 | $9,825 | $9,872 | $9,950 | $10,531 | $10,411 | $10,942 | $40,129 | $41,834 | $45,946 |
EXPENSES | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income Before Income Taxes | 2,079 | 1,584 | 1,482 | 2,652 | 2,758 | 2,102 | 761 | 1,759 | 7,797 | 7,380 | 6,991 |
Income tax benefit | 589 | 411 | 438 | 825 | 858 | 666 | 222 | 572 | 2,263 | 2,318 | 2,212 |
Net Income | 1,490 | 1,173 | 1,044 | 1,827 | 1,900 | 1,436 | 539 | 1,187 | 5,534 | 5,062 | 4,779 |
Parent company | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
INCOME | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest on deposits with banks | ' | ' | ' | ' | ' | ' | ' | ' | 37 | 66 | 219 |
Interest on ESOP loans | ' | ' | ' | ' | ' | ' | ' | ' | 400 | 432 | 463 |
Total Interest Income | ' | ' | ' | ' | ' | ' | ' | ' | 437 | 498 | 682 |
EXPENSES | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other expenses | ' | ' | ' | ' | ' | ' | ' | ' | 996 | 1,000 | 970 |
Total Expenses | ' | ' | ' | ' | ' | ' | ' | ' | 996 | 1,000 | 970 |
Income Before Income Taxes | ' | ' | ' | ' | ' | ' | ' | ' | -559 | -502 | -288 |
Income tax benefit | ' | ' | ' | ' | ' | ' | ' | ' | -280 | -171 | -98 |
Loss before equity in undistributed net earnings of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | -279 | -331 | -190 |
Equity in undistributed net earnings of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | 5,813 | 5,393 | 4,969 |
Net Income | ' | ' | ' | ' | ' | ' | ' | ' | $5,534 | $5,062 | $4,779 |
PARENT_COMPANY_ONLY_FINANCIAL_4
PARENT COMPANY ONLY FINANCIAL STATEMENTS (Details 3) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash Flows From Operating Activities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | $1,490 | $1,173 | $1,044 | $1,827 | $1,900 | $1,436 | $539 | $1,187 | $5,534 | $5,062 | $4,779 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Tax benefit from exercise of stock options and vesting of restricted stock | ' | ' | ' | ' | ' | ' | ' | ' | -59 | -88 | 0 |
Net Cash Provided by Operating Activities | ' | ' | ' | ' | ' | ' | ' | ' | 17,479 | 17,595 | 15,469 |
Cash Flows from Investing Activities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net Cash (Used in) Provided by Investing Activities | ' | ' | ' | ' | ' | ' | ' | ' | -59,973 | -62,866 | 39,355 |
Cash Flows from Financing Activities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | -3,703 | -9,911 | -19,822 |
Acquisition of common stock for equity incentive plan | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | -3,474 |
Tax benefit from exercise of stock options and vesting of restricted stock | ' | ' | ' | ' | ' | ' | ' | ' | 59 | 88 | 0 |
Common stock issued for exercise of stock options | ' | ' | ' | ' | ' | ' | ' | ' | 106 | 480 | 162 |
Cash dividends paid | ' | ' | ' | ' | ' | ' | ' | ' | -3,243 | -2,382 | -1,067 |
Net Cash Provided by (Used in) Financing Activities | ' | ' | ' | ' | ' | ' | ' | ' | 29,351 | 62,775 | -85,552 |
Net (Decrease) Increase in Cash and Cash Equivalents | ' | ' | ' | ' | ' | ' | ' | ' | -13,143 | 17,504 | -30,728 |
Cash and Cash Equivalents – Beginning | ' | ' | ' | 25,090 | ' | ' | ' | 7,586 | 25,090 | 7,586 | 38,314 |
Cash and Cash Equivalents – Ending | 11,947 | ' | ' | ' | 25,090 | ' | ' | ' | 11,947 | 25,090 | 7,586 |
Parent company | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash Flows From Operating Activities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 5,534 | 5,062 | 4,779 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity in undistributed loss of subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | -5,813 | -5,393 | -4,969 |
(Decrease) increase in due to subsidiary, net | ' | ' | ' | ' | ' | ' | ' | ' | -19 | 259 | 84 |
Tax benefit from exercise of stock options and vesting of restricted stock | ' | ' | ' | ' | ' | ' | ' | ' | -59 | -88 | 0 |
Increase in other assets | ' | ' | ' | ' | ' | ' | ' | ' | -300 | -308 | -100 |
Increase in other liabilities | ' | ' | ' | ' | ' | ' | ' | ' | -2 | 130 | 1 |
Net Cash Provided by Operating Activities | ' | ' | ' | ' | ' | ' | ' | ' | -659 | -338 | -205 |
Cash Flows from Investing Activities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan payment received on ESOP loans | ' | ' | ' | ' | ' | ' | ' | ' | 550 | 516 | 487 |
Cash dividends received from subsidiary | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 21,281 | 0 |
Net Cash (Used in) Provided by Investing Activities | ' | ' | ' | ' | ' | ' | ' | ' | 550 | 21,797 | 487 |
Cash Flows from Financing Activities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | -3,703 | -9,911 | -19,822 |
Acquisition of common stock for equity incentive plan | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | -3,474 |
Tax benefit from exercise of stock options and vesting of restricted stock | ' | ' | ' | ' | ' | ' | ' | ' | 59 | 88 | 0 |
Receipts from subsidiary related to equity compensation activity | ' | ' | ' | ' | ' | ' | ' | ' | 3,316 | 646 | 544 |
Common stock issued for exercise of stock options | ' | ' | ' | ' | ' | ' | ' | ' | 106 | 480 | 162 |
Cash dividends paid | ' | ' | ' | ' | ' | ' | ' | ' | -3,243 | -2,382 | -1,067 |
Net Cash Provided by (Used in) Financing Activities | ' | ' | ' | ' | ' | ' | ' | ' | -3,465 | -11,079 | -23,657 |
Net (Decrease) Increase in Cash and Cash Equivalents | ' | ' | ' | ' | ' | ' | ' | ' | -3,574 | 10,380 | -23,375 |
Cash and Cash Equivalents – Beginning | ' | ' | ' | 29,607 | ' | ' | ' | 19,227 | 29,607 | 19,227 | 42,602 |
Cash and Cash Equivalents – Ending | $26,033 | ' | ' | ' | $29,607 | ' | ' | ' | $26,033 | $29,607 | $19,227 |
QUARTERLY_FINANCIAL_DATA_UNAUD2
QUARTERLY FINANCIAL DATA (UNAUDITED) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Valuation adjustment for assets acquired through foreclosure | $713,000 | ' | ' | ' | $979,000 | ' | ' | ' | $5,017,000 | $1,911,000 | $657,000 |
Gain on sale of mortgage related securities | ' | ' | ' | ' | 952,000 | ' | ' | ' | ' | ' | ' |
Mortgage related securities sold | ' | ' | ' | ' | 15,700,000 | ' | ' | ' | ' | ' | ' |
Interest income | 10,291,000 | 10,141,000 | 9,825,000 | 9,872,000 | 9,950,000 | 10,531,000 | 10,411,000 | 10,942,000 | 40,129,000 | 41,834,000 | 45,946,000 |
Interest expense | 1,843,000 | 1,909,000 | 1,958,000 | 1,959,000 | 2,117,000 | 2,298,000 | 2,740,000 | 2,962,000 | 7,669,000 | 10,117,000 | 14,495,000 |
Net Interest Income | 8,448,000 | 8,232,000 | 7,867,000 | 7,913,000 | 7,833,000 | 8,233,000 | 7,671,000 | 7,980,000 | 32,460,000 | 31,717,000 | 31,451,000 |
Provision for loan losses | 450,000 | 675,000 | -783,000 | 640,000 | 442,000 | 470,000 | 1,291,000 | 1,275,000 | 982,000 | 3,478,000 | 5,734,000 |
Net Interest Income after Provision for Loan Losses | 7,998,000 | 7,557,000 | 8,650,000 | 7,273,000 | 7,391,000 | 7,763,000 | 6,380,000 | 6,705,000 | 31,478,000 | 28,239,000 | 25,717,000 |
Noninterest income | 568,000 | 1,029,000 | 1,139,000 | 1,054,000 | 1,804,000 | 737,000 | 3,080,000 | 694,000 | 3,790,000 | 6,315,000 | 3,343,000 |
Noninterest expense | 6,487,000 | 7,002,000 | 8,307,000 | 5,675,000 | 6,437,000 | 6,398,000 | 8,699,000 | 5,640,000 | 27,471,000 | 27,174,000 | 22,069,000 |
Income Before Income Taxes | 2,079,000 | 1,584,000 | 1,482,000 | 2,652,000 | 2,758,000 | 2,102,000 | 761,000 | 1,759,000 | 7,797,000 | 7,380,000 | 6,991,000 |
Income tax provision | 589,000 | 411,000 | 438,000 | 825,000 | 858,000 | 666,000 | 222,000 | 572,000 | 2,263,000 | 2,318,000 | 2,212,000 |
Net Income | $1,490,000 | $1,173,000 | $1,044,000 | $1,827,000 | $1,900,000 | $1,436,000 | $539,000 | $1,187,000 | $5,534,000 | $5,062,000 | $4,779,000 |
Per Common Share Data | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average common shares—basic | 11,272,233 | 11,247,741 | 11,262,144 | 11,376,054 | 11,431,957 | 11,535,146 | 11,624,120 | 11,808,632 | 11,289,143 | 11,599,877 | 13,146,159 |
Weighted average common shares—diluted | 11,535,589 | 11,494,520 | 11,489,566 | 11,602,633 | 11,622,035 | 11,718,308 | 11,750,623 | 11,901,737 | 11,530,154 | 11,747,261 | 13,231,830 |
Net income per share—basic | $0.13 | $0.10 | $0.09 | $0.16 | $0.17 | $0.12 | $0.05 | $0.10 | $0.49 | $0.44 | $0.36 |
Net income per share—diluted | $0.13 | $0.10 | $0.09 | $0.16 | $0.16 | $0.12 | $0.05 | $0.10 | $0.48 | $0.43 | $0.36 |