Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Oct. 31, 2015 | |
Document and Entity Information | ||
Entity Registrant Name | Fox Chase Bancorp Inc | |
Entity Central Index Key | 1,485,176 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2015 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Entity Common Stock, Shares Outstanding | 11,591,401 |
Consolidated Statements of Cond
Consolidated Statements of Condition - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
ASSETS | ||
Cash and due from banks | $ 322 | $ 2,763 |
Interest-earning demand deposits in other banks | 6,889 | 14,450 |
Total cash and cash equivalents | 7,211 | 17,213 |
Investment securities available-for-sale | 138,756 | 134,037 |
Investment securities held-to-maturity (fair value of $157,665 at September 30, 2015 and $170,854 at December 31, 2014) | 156,099 | 170,172 |
Loans, net of allowance for loan losses of $10,623 at September 30, 2015 and $10,730 at December 31, 2014 | 739,489 | 724,326 |
Federal Home Loan Bank stock, at cost | 4,986 | 6,015 |
Bank-owned life insurance | 25,471 | 15,027 |
Premises and equipment, net | 9,157 | 9,418 |
Assets acquired through foreclosure | 2,815 | 2,814 |
Real estate held for investment | 1,620 | 1,620 |
Accrued interest receivable | 3,174 | 3,147 |
Mortgage servicing rights, net | 98 | 111 |
Deferred tax asset, net | 4,451 | 4,561 |
Other assets | 5,470 | 6,155 |
Total Assets | 1,098,797 | 1,094,616 |
LIABILITIES | ||
Deposits | 717,702 | 711,909 |
Short-term borrowings | 60,000 | 50,000 |
Federal Home Loan Bank advances | 110,000 | 120,000 |
Other borrowed funds | 30,000 | 30,000 |
Advances from borrowers for taxes and insurance | 1,025 | 1,447 |
Accrued interest payable | 310 | 311 |
Accrued expenses and other liabilities | 3,758 | 5,038 |
Total Liabilities | 922,795 | 918,705 |
STOCKHOLDERS’ EQUITY | ||
Preferred stock ($.01 par value; 1,000,000 shares authorized, none issued and outstanding at September 30, 2015 and December 31, 2014) | 0 | 0 |
Common stock ($.01 par value; 60,000,000 shares authorized, 11,591,401 shares outstanding at September 30, 2015 and 11,802,791 shares outstanding at December 31, 2014) | 147 | 147 |
Additional paid-in capital | 140,805 | 139,177 |
Treasury stock, at cost (3,141,201 shares at September 30, 2015 and 2,852,572 shares at December 31, 2014) | (44,468) | (39,698) |
Common stock acquired by benefit plans | (6,878) | (8,056) |
Retained earnings | 86,012 | 84,225 |
Accumulated other comprehensive income, net | 384 | 116 |
Total Stockholders’ Equity | 176,002 | 175,911 |
Total Liabilities and Stockholders’ Equity | $ 1,098,797 | $ 1,094,616 |
Consolidated Statements of Con3
Consolidated Statements of Condition (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Investment securities held to maturity, fair value | $ 157,665 | $ 170,854 |
Loans, allowance for loan losses | $ 10,623 | $ 10,730 |
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 | 11,591,401 | 11,802,791 |
Common stock, shares outstanding | 11,591,401 | 11,802,791 |
Treasury stock, shares | 3,141,201 | 2,852,572 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
INTEREST INCOME | ||||
Interest and fees on loans | $ 8,243 | $ 8,375 | $ 24,773 | $ 24,615 |
Interest and dividends on investment securities | 1,659 | 1,777 | 5,337 | 5,672 |
Other interest income | 4 | 1 | 10 | 2 |
Total Interest Income | 9,906 | 10,153 | 30,120 | 30,289 |
INTEREST EXPENSE | ||||
Deposits | 745 | 760 | 2,188 | 2,455 |
Short-term borrowings | 25 | 45 | 79 | 100 |
Federal Home Loan Bank advances | 568 | 577 | 1,630 | 1,723 |
Other borrowed funds | 167 | 253 | 497 | 751 |
Total Interest Expense | 1,505 | 1,635 | 4,394 | 5,029 |
Net Interest Income | 8,401 | 8,518 | 25,726 | 25,260 |
(Credit) provision for loan losses | (300) | 1,493 | (1,095) | 1,593 |
Net Interest Income after (Credit) Provision for Loan Losses | 8,701 | 7,025 | 26,821 | 23,667 |
NONINTEREST INCOME | ||||
Service charges and other fee income | 377 | 416 | 1,200 | 1,192 |
Net gain (loss) on sale of assets acquired through foreclosure | 1 | (15) | (14) | (136) |
Income on bank-owned life insurance | 202 | 121 | 444 | 358 |
Equity in earnings of affiliate | 74 | 91 | 225 | 125 |
Other | 67 | 29 | 133 | 76 |
Total Noninterest Income | 721 | 642 | 1,988 | 1,615 |
NONINTEREST EXPENSE | ||||
Salaries, benefits and other compensation | 3,836 | 3,510 | 11,498 | 10,670 |
Occupancy expense | 391 | 407 | 1,288 | 1,321 |
Furniture and equipment expense | 81 | 93 | 263 | 300 |
Data processing costs | 676 | 384 | 1,751 | 1,146 |
Professional fees | 370 | 271 | 1,147 | 1,086 |
Marketing expense | 35 | 54 | 133 | 156 |
FDIC premiums | 124 | 136 | 384 | 451 |
Assets acquired through foreclosure expense | 131 | 10 | 223 | 403 |
Other | 414 | 333 | 1,159 | 1,077 |
Total Noninterest Expense | 6,058 | 5,198 | 17,846 | 16,610 |
Income Before Income Taxes | 3,364 | 2,469 | 10,963 | 8,672 |
Income tax provision | 1,036 | 653 | 3,200 | 2,585 |
Net Income | $ 2,328 | $ 1,816 | $ 7,763 | $ 6,087 |
Earnings per share: | ||||
Basic (in dollars per share) | $ 0.21 | $ 0.16 | $ 0.71 | $ 0.54 |
Diluted (in dollars per share) | $ 0.21 | $ 0.16 | $ 0.69 | $ 0.53 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 2,328 | $ 1,816 | $ 7,763 | $ 6,087 |
Other comprehensive income (loss): | ||||
Unrealized holding gains (losses) on investment securities | 675 | (320) | 253 | 6,160 |
Tax effect | (230) | 109 | (81) | (2,174) |
Net of tax amount | 445 | (211) | 172 | 3,986 |
Accretion of unrealized loss on securities reclassified to held-to-maturity | 59 | 16 | 151 | 16 |
Tax effect | (21) | (6) | (55) | (6) |
Net of tax amount | 38 | 10 | 96 | 10 |
Other comprehensive income (loss) | 483 | (201) | 268 | 3,996 |
Comprehensive income | $ 2,811 | $ 1,615 | $ 8,031 | $ 10,083 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Treasury Stock | Common Stock Acquired by Benefit Plans | Retained Earnings | Accumulated Other Comprehensive (Loss) Income, net |
BALANCE at Dec. 31, 2013 | $ 173,467 | $ 146 | $ 137,593 | $ (33,436) | $ (9,272) | $ 82,885 | $ (4,449) |
Increase (Decrease) in Stockholders' Equity | |||||||
Purchase of treasury stock | (1,902) | (1,902) | |||||
Stock based compensation expense | 894 | 894 | |||||
ESOP shares allocated to employees | 821 | 353 | 468 | ||||
Issuance of stock for vested equity awards | 0 | (651) | 589 | 62 | |||
Common stock issued for exercise of vested stock options | 392 | 1 | 391 | ||||
Excess tax benefit from exercise of stock options and vesting of restricted stock | 83 | 83 | |||||
Dividends paid | (5,553) | (5,553) | |||||
Net income | 6,087 | 6,087 | |||||
Other comprehensive income (loss) | 3,996 | 3,996 | |||||
BALANCE at Sep. 30, 2014 | 178,285 | 147 | 138,663 | (35,338) | (8,215) | 83,481 | (453) |
BALANCE at Dec. 31, 2014 | 175,911 | 147 | 139,177 | (39,698) | (8,056) | 84,225 | 116 |
Increase (Decrease) in Stockholders' Equity | |||||||
Purchase of treasury stock | (4,770) | (4,770) | |||||
Stock based compensation expense | 1,042 | 1,042 | |||||
ESOP shares allocated to employees | 818 | 350 | 468 | ||||
Issuance of stock for vested equity awards | 0 | (784) | 710 | 74 | |||
Common stock issued for exercise of vested stock options | 932 | 932 | |||||
Excess tax benefit from exercise of stock options and vesting of restricted stock | 88 | 88 | |||||
Dividends paid | (6,050) | (6,050) | |||||
Net income | 7,763 | 7,763 | |||||
Other comprehensive income (loss) | 268 | 268 | |||||
BALANCE at Sep. 30, 2015 | $ 176,002 | $ 147 | $ 140,805 | $ (44,468) | $ (6,878) | $ 86,012 | $ 384 |
Consolidated Statements of Cha7
Consolidated Statements of Changes in Equity (Parenthetical) - $ / shares | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Statement of Stockholders' Equity [Abstract] | ||
Treasury stock, shares | 288,629 | 116,600 |
Dividends paid (in dollars per share) | $ 0.54 | $ 0.48 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Statement of Cash Flows [Abstract] | ||
Net income | $ 7,763 | $ 6,087 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
(Credit) provision for loan losses | (1,095) | 1,593 |
Valuation adjustment for assets acquired through foreclosure | 137 | 282 |
Depreciation | 479 | 533 |
Net amortization of securities premiums and discounts | 1,295 | 1,430 |
Deferred income tax (benefit) expense | (25) | 1,992 |
Stock compensation from benefit plans | 1,860 | 1,715 |
Net loss on sale of assets acquired through foreclosure | 14 | 136 |
Income on bank-owned life insurance | (444) | (358) |
Excess tax benefit from exercise of stock options and vesting of restricted stock | (88) | (83) |
Decrease in mortgage servicing rights, net | 13 | 26 |
Decrease in accrued interest receivable and other assets | 1,105 | 303 |
Decrease in accrued interest payable, accrued expenses and other liabilities | (1,227) | (737) |
Net Cash Provided by Operating Activities | 9,787 | 12,919 |
Cash Flows from Investing Activities | ||
Equity investment in unconsolidated entity | 90 | 90 |
Investment securities - available-for-sale: | ||
Purchases | (28,455) | (2,830) |
Proceeds from maturities, calls and principal repayments | 23,397 | 28,303 |
Investment securities - held-to-maturity: | ||
Purchases | (5,823) | (9,767) |
Proceeds from maturities, calls and principal repayments | 19,375 | 9,665 |
Net decrease in loans | 14,165 | 16,876 |
Purchases of loans and loan participations | (29,083) | (9,371) |
Net decrease (increase) in Federal Home Loan Bank stock | 1,029 | (1,339) |
Purchase of bank-owned life insurance | (10,000) | 0 |
Purchases of premises and equipment | (218) | (261) |
Additions to assets acquired through foreclosure | (83) | (17) |
Proceeds from sales and payments on assets acquired through foreclosure | 246 | 4,504 |
Net Cash (Used in) Provided by Investing Activities | (15,360) | 35,853 |
Cash Flows from Financing Activities | ||
Net increase (decrease) in deposits | 5,793 | (9,987) |
Decrease in advances from borrowers for taxes and insurance | (422) | (525) |
Proceeds from Federal Home Loan Bank advances | 20,000 | 0 |
Principal payments on Federal Home Loan Bank advances | (30,000) | (15,000) |
Net increase (decrease) in short-term borrowings | 10,000 | (20,500) |
Excess tax benefit from exercise of stock options and vesting of restricted stock | 88 | 83 |
Proceeds from exercise of stock options | 932 | 392 |
Purchase of treasury stock | (4,770) | (1,902) |
Cash dividends paid | (6,050) | (5,553) |
Net Cash Used in Financing Activities | (4,429) | (52,992) |
Net Decrease in Cash and Cash Equivalents | (10,002) | (4,220) |
Cash and Cash Equivalents – Beginning | 17,213 | 11,947 |
Cash and Cash Equivalents – Ending | 7,211 | 7,727 |
Supplemental Disclosure of Cash Flow Information | ||
Interest paid | 4,395 | 5,029 |
Income taxes paid | 3,035 | 1,460 |
Transfers of loans to assets acquired through foreclosure | 315 | 542 |
Net (recoveries) charge-offs | $ (988) | $ 2,023 |
PRINCIPLES OF CONSOLIDATION AND
PRINCIPLES OF CONSOLIDATION AND PRESENTATION | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
PRINCIPLES OF CONSOLIDATION AND PRESENTATION | PRINCIPLES OF CONSOLIDATION AND PRESENTATION Fox Chase Bancorp, Inc. (the "Bancorp") is a Maryland corporation. The Bancorp’s primary business is holding all of the common stock of Fox Chase Bank (the "Bank") and making two loans to the Fox Chase Bank Employee Stock Ownership Plan (the "ESOP"). The Bancorp is authorized to pursue other business activities permissible by laws and regulations for bank holding companies. The Bancorp is a bank holding company and is regulated by the Board of Governors of the Federal Reserve System. The Bank is a Pennsylvania state - chartered savings bank and is regulated by the Pennsylvania Department of Banking and Securities and the Federal Deposit Insurance Corporation (the "FDIC"). The Bancorp and the Bank (collectively referred to as the "Company") provide a wide variety of financial products and services to individuals and businesses through the Bank’s ten branches in Philadelphia, Richboro, Willow Grove, Warminster, Lahaska, Hatboro, 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 46.15% 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 and state 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 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 sole purpose is to facilitate the Bank’s investment in PMA. 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. These interim financial statements do not contain all necessary disclosures required by GAAP for complete financial statements and therefore should be read in conjunction with the audited financial statements and the notes thereto included in Fox Chase Bancorp, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2014 , as filed with the Securities and Exchange Commission on March 6, 2015 . These financial statements include all normal and recurring adjustments which management believes were necessary in order to conform to GAAP. The results for the nine months ended September 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015 or any other period. NOTE 1 - PRINCIPLES OF CONSOLIDATION AND PRESENTATION (CONTINUED) 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. Average 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. The following table presents the reconciliation of the numerators and denominators of the basic and diluted earnings per share computations. Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Dollars in thousands except per share data, Unaudited) Net income $ 2,328 $ 1,816 $ 7,763 $ 6,087 Weighted-average common shares outstanding (1) 11,581,257 12,075,448 11,661,023 12,110,185 Average common stock acquired by stock benefit plans: ESOP shares unallocated (448,395 ) (513,441 ) (464,495 ) (529,544 ) Shares purchased by trust (213,953 ) (274,123 ) (235,200 ) (289,261 ) Weighted-average common shares used to calculate basic earnings per share 10,918,909 11,287,884 10,961,328 11,291,380 Dilutive effect of: Restricted stock awards 32,370 42,294 40,489 50,477 Stock option awards 196,981 193,739 197,179 199,215 Weighted-average common shares used to calculate diluted earnings per share 11,148,260 11,523,917 11,198,996 11,541,072 Earnings per share - basic $ 0.21 $ 0.16 $ 0.71 $ 0.54 Earnings per share - diluted $ 0.21 $ 0.16 $ 0.69 $ 0.53 Outstanding common stock equivalents which are anti-dilutive 485,060 293,500 485,960 293,500 (1) Excludes treasury stock. |
INVESTMENT AND MORTGAGE RELATED
INVESTMENT AND MORTGAGE RELATED SECURITIES | 9 Months Ended |
Sep. 30, 2015 | |
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 September 30, 2015 and December 31, 2014 are summarized as follows: September 30, 2015 Amortized Gross Gross Fair (In thousands, Unaudited) Available-for-Sale Securities: Obligations of U.S. government agencies $ 301 $ 3 $ — $ 304 Corporate securities 17,641 35 (30 ) 17,646 Agency residential mortgage related securities 118,807 2,147 (148 ) 120,806 Total available-for-sale securities $ 136,749 $ 2,185 $ (178 ) $ 138,756 Held-to-Maturity Securities: Corporate securities $ 1,776 $ — $ (5 ) $ 1,771 Private label residential mortgage related securities 2,652 1 — 2,653 Agency residential mortgage related securities 151,671 1,766 (196 ) 153,241 Total held-to-maturity securities $ 156,099 $ 1,767 $ (201 ) $ 157,665 December 31, 2014 Amortized Gross Gross Fair (In thousands) Available-for-Sale Securities: Obligations of U.S. government agencies $ 300 $ 2 $ — $ 302 Corporate securities 8,053 33 — 8,086 Agency residential mortgage related securities 123,929 2,392 (672 ) 125,649 Total available-for-sale securities $ 132,282 $ 2,427 $ (672 ) $ 134,037 Held-to-Maturity Securities: Private label residential mortgage related securities $ 2,979 $ 6 $ — $ 2,985 Agency residential mortgage related securities 167,193 1,239 (563 ) 167,869 Total held-to-maturity securities $ 170,172 $ 1,245 $ (563 ) $ 170,854 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 September 30, 2015 and December 31, 2014 . September 30, 2015 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands, Unaudited) Available-for-Sale Securities: Corporate securities 12,062 (30 ) — — 12,062 (30 ) Agency residential mortgage related securities $ 23,424 $ (75 ) $ 8,306 $ (73 ) $ 31,730 $ (148 ) Total available-for-sale securities $ 35,486 $ (105 ) $ 8,306 $ (73 ) $ 43,792 $ (178 ) Held-to-Maturity Securities: Corporate securities 1,771 (5 ) — — 1,771 (5 ) Agency residential mortgage related securities $ 7,726 $ (34 ) $ 10,258 $ (162 ) $ 17,984 $ (196 ) Total held-to-maturity securities $ 9,497 $ (39 ) $ 10,258 $ (162 ) $ 19,755 $ (201 ) Total temporarily impaired securities $ 44,983 $ (144 ) $ 18,564 $ (235 ) $ 63,547 $ (379 ) December 31, 2014 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Available-for-Sale Securities: Agency residential mortgage related securities $ 8,229 $ (15 ) $ 64,502 $ (657 ) $ 72,731 $ (672 ) Total available-for-sale securities $ 8,229 $ (15 ) $ 64,502 $ (657 ) $ 72,731 $ (672 ) Held-to-Maturity Securities: Agency residential mortgage related securities $ 25,660 $ (110 ) $ 27,182 $ (453 ) $ 52,842 $ (563 ) Total held-to-maturity securities $ 25,660 $ (110 ) $ 27,182 $ (453 ) $ 52,842 $ (563 ) Total temporarily impaired securities $ 33,889 $ (125 ) $ 91,684 $ (1,110 ) $ 125,573 $ (1,235 ) During the three and nine month periods ended September 30, 2015 and 2014 , no securities were sold. There were no net investment securities gains or losses in the consolidated statement of operations for the three and nine month periods ended September 30, 2015 or 2014 . 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, the presence of credit enhancements, the length of time a security has been in a loss position and the severity of the loss. At September 30, 2015 , gross unrealized losses totaled $379,000 . Ten agency residential mortgage related securities, with a fair value of $18.6 million , had an unrealized loss position of $235,000 for twelve months or longer as of September 30, 2015 . Additionally, 18 agency residential mortgage related securities, with a fair value of $31.2 million and an unrealized loss position of $109,000 and six corporate securities, with a fair value of $13.8 million and unrealized loss position of $35,000 , had unrealized loss positions for less than twelve months as of September 30, 2015 . The fair value of these 34 securities primarily fluctuates with changes in market conditions for the underlying securities and changes in the interest rate environment. 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. NOTE 2 - INVESTMENT AND MORTGAGE RELATED SECURITIES (CONTINUED) At September 30, 2015 , the amortized cost of held-to-maturity investments consisted of the following (in thousands): Original Cost Unrealized Loss at Transfer Post-transfer Accretion Amortized Cost Securities transferred from available-for-sale $ 85,784 $ (1,625 ) $ (211 ) $ 83,948 Other held-to-maturity securities 72,151 — — 72,151 Total $ 157,935 $ (1,625 ) $ (211 ) $ 156,099 As of September 30, 2015 , the Company held one private label residential mortgage related security ("PLMBS") with an amortized cost of $2.7 million . This security had an unrealized gain of $1,000 at September 30, 2015 . As of December 31, 2014 , the Company held this same PLMBS at an amortized cost of $3.0 million and this security had an unrealized gain of $6,000 at December 31, 2014 . The amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity at September 30, 2015 and December 31, 2014 by contractual maturity are as follows: Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair (In thousands) September 30, 2015 (Unaudited) Due in one year or less $ 2,525 $ 2,542 $ — $ — Due after one year through five years 15,417 15,408 1,776 1,771 Due after five years through ten years — — — — Due after ten years — — — — Total mortgage related securities 118,807 120,806 154,323 155,894 $ 136,749 $ 138,756 $ 156,099 $ 157,665 December 31, 2014 Due in one year or less $ 5,803 $ 5,818 $ — $ — Due after one year through five years 2,550 2,570 — — Due after five years through ten years — — — — Due after ten years — — — — Total mortgage related securities 123,929 125,649 170,172 170,854 $ 132,282 $ 134,037 $ 170,172 $ 170,854 Securities with a fair value of $40.6 million and $37.0 million at September 30, 2015 and December 31, 2014 , respectively, were pledged to secure public deposits. Securities with a fair value of $165.8 million and $169.7 million at September 30, 2015 and December 31, 2014 , respectively, were used to secure FHLB advances, short-term borrowings, other borrowed funds and related unused borrowing capacities. See Note 6 . Securities with a fair value of $931,000 and $1.1 million at September 30, 2015 and December 31, 2014 , respectively, were used to secure derivative transactions. See Note 4 . |
LOANS
LOANS | 9 Months Ended |
Sep. 30, 2015 | |
Receivables [Abstract] | |
LOANS | LOANS The composition of net loans at September 30, 2015 and December 31, 2014 is provided below: September 30, December 31, (In thousands) (Unaudited) Real estate loans: One- to four-family $ 95,682 $ 108,208 Multi-family and commercial 404,007 388,821 Construction 39,693 39,541 539,382 536,570 Consumer loans 15,550 19,599 Commercial and industrial loans 195,427 179,181 Total loans 750,359 735,350 Deferred loan origination fees, net (247 ) (294 ) Allowance for loan losses (10,623 ) (10,730 ) Net loans $ 739,489 $ 724,326 The following tables present changes in the allowance for loan losses by loan segment for the nine months ended September 30, 2015 and the nine months ended September 30, 2014 . Nine Months Ended September 30, 2015 One- to Multi-family Construction Consumer Commercial Unallocated Total (In thousands, Unaudited) Balance, beginning $ 405 $ 5,990 $ 1,038 $ 184 $ 2,753 $ 360 $ 10,730 Provision (credit) for loan losses 144 107 (664 ) (825 ) 37 106 (1,095 ) Loans charged off (174 ) (16 ) — — — — (190 ) Recoveries — 63 295 815 5 — 1,178 Balance, ending $ 375 $ 6,144 $ 669 $ 174 $ 2,795 $ 466 $ 10,623 Nine Months Ended September 30, 2014 One- to Multi-family Construction Consumer Commercial Unallocated Total (In thousands, Unaudited) Balance, beginning $ 403 $ 7,141 $ 324 $ 153 $ 3,051 $ 457 $ 11,529 (Credit) provision for loan losses (209 ) (76 ) 284 (21 ) 1,590 25 1,593 Loans charged off (3 ) (102 ) — (6 ) (1,986 ) — (2,097 ) Recoveries 29 12 — 33 — — 74 Balance, ending $ 220 $ 6,975 $ 608 $ 159 $ 2,655 $ 482 $ 11,099 NOTE 3 - LOANS (CONTINUED) The following tables provide details of loans, and associated allowance for loan losses, which are individually or collectively evaluated for impairment as of September 30, 2015 and December 31, 2014 . As of September 30, 2015 One- to Multi-family Construction Consumer Commercial Unallocated Total (In thousands, Unaudited) Allowance for Loan Losses: Balance, ending: individually evaluated for impairment $ 3 $ 537 $ 126 $ 38 $ 54 $ — $ 758 Balance, ending: collectively evaluated for impairment 372 5,607 543 136 2,741 466 9,865 Total $ 375 $ 6,144 $ 669 $ 174 $ 2,795 $ 466 $ 10,623 Total Loans: Balance, ending: individually evaluated for impairment $ 2,411 $ 7,139 $ 3,393 $ 122 $ 730 $ — $ 13,795 Balance, ending: collectively evaluated for impairment 93,271 396,868 36,300 15,428 194,697 — 736,564 Total $ 95,682 $ 404,007 $ 39,693 $ 15,550 $ 195,427 $ — $ 750,359 As of December 31, 2014 One- to Multi-family Construction Consumer Commercial Unallocated Total (In thousands) Allowance for Loan Losses: Balance, ending: individually evaluated for impairment $ 11 $ 401 $ 114 $ 26 $ — $ — $ 552 Balance, ending: collectively evaluated for impairment 394 5,589 924 158 2,753 360 10,178 Total $ 405 $ 5,990 $ 1,038 $ 184 $ 2,753 $ 360 $ 10,730 Total Loans: Balance, ending: individually evaluated for impairment $ 2,629 $ 5,849 $ 2,723 $ 256 $ 75 $ — $ 11,532 Balance, ending: collectively evaluated for impairment 105,579 382,972 36,818 19,343 179,106 — 723,818 Total $ 108,208 $ 388,821 $ 39,541 $ 19,599 $ 179,181 $ — $ 735,350 NOTE 3 - LOANS (CONTINUED) The following tables set forth the breakdown of impaired loans by loan segment as of September 30, 2015 and December 31, 2014 . September 30, 2015 Nonaccrual Accruing Other Total Impaired Loans Impaired Loans (In thousands, Unaudited) Real estate loans: One- to four-family $ 1,530 $ 881 $ — $ 2,411 $ 210 $ 2,201 Multi-family and commercial 1,076 1,685 4,378 7,139 6,368 771 Construction — 3,393 — 3,393 3,393 — Consumer loans 110 12 — 122 46 76 Commercial and industrial 730 — — 730 730 — Total $ 3,446 $ 5,971 $ 4,378 $ 13,795 $ 10,747 $ 3,048 December 31, 2014 Nonaccrual Accruing Other Total Impaired Loans Impaired Loans (In thousands) Real estate loans: One- to four-family $ 1,741 $ 888 $ — $ 2,629 $ 137 $ 2,492 Multi-family and commercial 1,395 — 4,454 5,849 4,502 1,347 Construction — 2,723 — 2,723 2,723 — Consumer loans 243 13 — 256 82 174 Commercial and industrial 75 — — 75 — 75 Total $ 3,454 $ 3,624 $ 4,454 $ 11,532 $ 7,444 $ 4,088 There were no loans past due 90 days or more and still accruing interest at September 30, 2015 or December 31, 2014 . For the nine months ended September 30, 2015 and 2014 , the average recorded investment in impaired loans was $13.9 million and $13.5 million , respectively. The interest income recognized on these impaired loans was $631,000 and $384,000 for the nine months ended September 30, 2015 and 2014 , respectively. At September 30, 2015 , two troubled debt restructurings ("TDRs") totaling $1.1 million are excluded from the accruing TDR column above as they are included in nonaccrual loans. Of this amount, $1.0 million relates to one multi-family and commercial real estate loan and $93,000 relates to one residential loan. At December 31, 2014 , four TDRs totaling $1.4 million are excluded from the accruing TDR column as they are included in nonaccrual loans. Of this amount, $1.1 million relates to one multi-family and commercial real estate loan and $336,000 relates to three residential loans. 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 September 30, 2015 and December 31, 2014 . September 30, 2015 Allowance for Loan Losses Impaired Loans Nonaccrual Accruing Other Total General Total (In thousands, Unaudited) Real estate loans: One- to four-family $ 3 $ — $ — $ 3 $ 372 $ 375 Multi-family and commercial 113 45 379 537 5,607 6,144 Construction — 126 — 126 543 669 Consumer loans 38 — — 38 136 174 Commercial and industrial 54 — — 54 2,741 2,795 Unallocated — — — — 466 466 Total allowance for loan losses $ 208 $ 171 $ 379 $ 758 $ 9,865 $ 10,623 December 31, 2014 Allowance for Loan Losses Impaired Loans Nonaccrual Accruing Other Total General Total (In thousands) Real estate loans: One- to four-family $ 11 $ — $ — $ 11 $ 394 $ 405 Multi-family and commercial 10 — 391 401 5,589 5,990 Construction — 114 — 114 924 1,038 Consumer loans 26 — — 26 158 184 Commercial and industrial — — — — 2,753 2,753 Unallocated — — — — 360 360 Total allowance for loan losses $ 47 $ 114 $ 391 $ 552 $ 10,178 $ 10,730 NOTE 3 - LOANS (CONTINUED) 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, delayed repayment or extension, and/or principal forgiveness. The following table sets forth a summary of the TDR activity for the three and nine month periods ended September 30, 2015 and 2014 . Three Months Ended September 30, 2015 Nine Months Ended September 30, 2015 Restructured Current Period Restructured Current Period Number Pre-Modification Post-Modification Type of Modification Number Pre-Modification Post-Modification Type of Modification (Dollars in thousands, Unaudited) (Dollars in thousands, Unaudited) Real estate loans: One- to four-family — $ — $ — — $ — $ — Multi-family and commercial — — — 1 914 914 Delayed Repayment Construction — — — — — — Consumer loans — — — — — — Commercial and industrial — — — 1 771 771 Delayed Repayment Total — $ — $ — 2 $ 1,685 $ 1,685 Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 Restructured Current Period Restructured Current Period Number Pre-Modification Post-Modification Type of Modification Number Pre-Modification Post-Modification Type of Modification (Dollars in thousands, Unaudited) (Dollars in thousands, Unaudited) Real estate loans: One- to four-family — $ — $ — 1 $ 245 $ 245 Principal reduction Multi-family and commercial — — — 1 1,640 1,540 Principal reduction Construction — — — — — — Consumer loans — — — — — — Commercial and industrial — — — — — — Total — $ — $ — 2 $ 1,885 $ 1,785 During the three and nine months ended September 30, 2015 and 2014 , no TDRs defaulted that were restructured in the prior twelve months. At September 30, 2015 , the recorded investment of residential and consumer mortgage loans secured by residential real estate properties, for which formal foreclosure proceedings are in process, totaled $365,000 . At September 30, 2015 , there were five foreclosed residential real estate properties, which were carried at $315,000 . NOTE 3 - LOANS (CONTINUED) The following table sets forth past due loans by segment as of September 30, 2015 and December 31, 2014 . September 30, 2015 December 31, 2014 30-59 60-89 30-59 60-89 (In thousands) (Unaudited) One- to four-family real estate $ 122 $ 15 $ — $ 145 Multi-family and commercial real estate 350 92 — — Construction — — — — Consumer 69 72 113 — Commercial and industrial — — — — Total $ 541 $ 179 $ 113 $ 145 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 September 30, 2015 and December 31, 2014 . September 30, 2015 One- to Multi-family Construction Consumer Commercial Total (In thousands, Unaudited) Pass and Pass watch $ 94,152 $ 388,682 $ 36,276 $ 15,440 $ 191,080 $ 725,630 Special mention — 13,898 — — 2,498 16,396 Substandard 1,530 1,427 3,417 110 1,849 8,333 Doubtful — — — — — — Total loans $ 95,682 $ 404,007 $ 39,693 $ 15,550 $ 195,427 $ 750,359 December 31, 2014 One- to Multi-family Construction Consumer Commercial Total (In thousands) Pass and Pass watch $ 106,467 $ 376,134 $ 36,229 $ 19,357 $ 174,143 $ 712,330 Special mention — 8,406 2,723 — 3,012 14,141 Substandard 1,741 4,281 589 242 2,026 8,879 Doubtful — — — — — — Total loans $ 108,208 $ 388,821 $ 39,541 $ 19,599 $ 179,181 $ 735,350 |
DERIVATIVES AND HEDGING
DERIVATIVES AND HEDGING | 9 Months Ended |
Sep. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES AND HEDGING | DERIVATIVES AND HEDGING Interest Rate Swaps On November 3, 2006, the Company entered into an interest rate swap with a current notional amount of $735,000 , 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 1-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 $107,000 and $116,000 at September 30, 2015 and December 31, 2014 , 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 into 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 1-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 loss position of $77,000 and $46,000 at September 30, 2015 and December 31, 2014 , 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 expense of $3,000 and $2,000 for the three months ended September 30, 2015 and September 30, 2014 , respectively. Hedge ineffectiveness resulted in expense of $2,000 and $12,000 for the nine months ended September 30, 2015 and September 30, 2014 , 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. By the terms of 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 ours 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 September 30, 2015 , there were four variable-rate to fixed-rate interest rate swap transactions between the third-party financial institution and our customers with a notional amount of $12.3 million , and remaining maturities ranging from four to seven years. At December 31, 2014 , 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 $12.6 million , and remaining maturities ranging from five to eight years. The fair value of the swaps to the customers was a (liability) asset of ($195,000) and $91,000 as of September 30, 2015 and December 31, 2014 , respectively, and all swaps were in paying positions to the third-party financial institution at September 30, 2015 . As of September 30, 2015 and December 31, 2014 , the fair value of the Company’s interest rate swap credit derivatives was a liability of $8,000 and $10,000 , respectively. During the three months ended September 30, 2015 and 2014 , the Company recognized expense of $3,000 and $1,000 , respectively, from interest rate swap credit derivatives. During the nine months ended September 30, 2015 and 2014 , the Company recognized income (expense) of $3,000 and ($2,000) , respectively, from interest rate swap credit derivatives. At September 30, 2015 , there were four foreign currency swap transactions between the third-party financial institution and our customers with a notional amount of $1.2 million , and remaining maturities ranging from one to three months. At December 31, 2014 , there were six foreign currency swap transactions between the third-party financial institution and our customers with a notional amount of $366,000 and remaining maturities ranging from one to four months. The aggregate fair value of these swaps to the customers was a liability of $4,000 and $44,000 as of September 30, 2015 and December 31, 2014 , respectively. At September 30, 2015 and December 31, 2014 , the fair value of the Company’s credit derivatives was a liability of $2,000 . During the three months ended September 30, 2015 and 2014 , the Company recognized income of $1,000 and $2,000 , respectively, from foreign currency swap credit derivatives. During the nine months ended September 30, 2015 and 2014 , the Company recognized income of $3,000 and $4,000 , 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. |
DEPOSITS
DEPOSITS | 9 Months Ended |
Sep. 30, 2015 | |
Banking and Thrift [Abstract] | |
DEPOSITS | DEPOSITS Deposits and their respective weighted average interest rate at September 30, 2015 and December 31, 2014 consist of the following: September 30, 2015 December 31, 2014 Weighted Amount Weighted Amount (Dollars in thousands) (Unaudited) Noninterest-bearing demand accounts — % $ 137,382 — % $ 168,791 NOW accounts 0.21 89,018 0.21 82,417 Money market accounts 0.22 79,057 0.22 73,802 Savings and club accounts 0.38 128,973 0.37 129,893 Brokered deposits 0.76 78,460 0.73 70,817 Certificates of deposit 0.83 204,812 0.87 186,189 0.44 % $ 717,702 0.42 % $ 711,909 |
BORROWINGS
BORROWINGS | 9 Months Ended |
Sep. 30, 2015 | |
BORROWINGS | |
BORROWINGS | BORROWINGS 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, Unaudited) March 2016 10,000 0.60 % Not Applicable Not Applicable March 2016 10,000 0.62 Not Applicable Not Applicable September 2016 5,000 0.75 Not Applicable Not Applicable September 2016 10,000 1.04 Not Applicable Not Applicable June 2017 5,000 0.94 Not Applicable Not Applicable July 2017 10,000 0.92 Not Applicable Not Applicable November 2017 15,000 3.62 November 2015 3-month LIBOR + 0.10% November 2017 15,000 3.87 November 2015 3-month LIBOR + 0.10% December 2017 20,000 2.83 December 2015 3-month LIBOR + 0.11% July 2018 10,000 1.32 Not Applicable Not Applicable $ 110,000 2.02 % 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 borrowings' fixed rate resets to a variable 3-month 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 $470.4 million at September 30, 2015 . As of September 30, 2015 , the Bank had qualifying collateral pledged against its advances consisting of loans in the amount of $587.4 million and securities in the amount of $68.8 million . Additionally, as of September 30, 2015 , the Bank had a maximum borrowing capacity of $61.4 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 $62.3 million . As a member of the FHLB of Pittsburgh, the Bank is required to acquire and hold shares of FHLB of Pittsburgh capital stock. The FHLB stock holding requirement is based on a percentage of the Bank's borrowings and a percentage of the Bank's "eligible assets" as defined by the FHLB. Percentages of borrowings and "eligible assets" used to determine the stock holding requirement are set by the FHLB from a defined range. Maximum percentages are 6.00% of its advances plus 1.00% of the Bank’s "eligible assets." Minimum percentages are 2.00% of its advances plus 0.05% of "eligible assets." Current percentages are 4.00% of advances plus 0.10% of "eligible assets." As of September 30, 2015 , the Company had a minimum stock obligation of $2.5 million and a maximum stock obligation of $12.5 million . The Company held $5.0 million in FHLB stock at that date. NOTE 6 - BORROWINGS (CONTINUED) Other Borrowed Funds Other borrowed funds obtained from other commercial banks under security repurchase agreements totaled $30.0 million at September 30, 2015 . These borrowings contractually mature with dates ranging from October 2018 through November 2020. As disclosed in the table below, one of the borrowings may be called by the lender based on the underlying agreement. Accordingly, the contractual maturity below may differ from actual maturity. Next Call Date Subsequent Call Frequency Maturity Date Amount Coupon Rate (In thousands, Unaudited) October 2018 $ 5,000 3.15% October 2015 Quarterly December 2018 5,000 1-month LIBOR + 2.03% Not Applicable Not Applicable September 2019 10,000 1-month LIBOR + 1.89% Not Applicable Not Applicable September 2020 5,000 1-month LIBOR + 1.56% Not Applicable Not Applicable November 2020 5,000 1-month LIBOR + 1.58% Not Applicable Not Applicable $ 30,000 Mortgage backed securities with a fair value of $34.7 million at September 30, 2015 were used to secure these other borrowed funds. Changes in the fair value of pledged collateral may require the Company to pledge additional securities. Short-term Borrowings Short-term borrowings consist of overnight borrowings plus term borrowings with an original maturity of less than one year. Short-term borrowings are obtained from commercial banks, participants in the Federal Funds market and the FHLB. As of September 30, 2015 , the Company had $60.0 million of short-term overnight borrowings with a weighted average rate of 0.36% . As of December 31, 2014 , the Company had $50.0 million of short-term borrowings consisting of $35.0 million of overnight borrowings and $15.0 million of short-term borrowings with weighted average rates of 0.31% and 0.33% , respectively. |
STOCK BASED COMPENSATION
STOCK BASED COMPENSATION | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCK BASED COMPENSATION | STOCK BASED COMPENSATION During the nine months ended September 30, 2015 , the Company recorded $1.0 million of stock based compensation expense comprised of stock option expense of $348,000 and restricted stock expense of $694,000 . This compares to $894,000 of stock based compensation expense for the nine months ended September 30, 2014 comprised of stock option expense of $328,000 and restricted stock expense of $566,000 . The following is a summary of the Bancorp’s stock option activity and related information for the nine months ended September 30, 2015 . Number of Weighted Average Weighted Average Aggregate (Unaudited) Outstanding at December 31, 2014 1,100,520 $ 12.96 5.3 years $ 4,172,000 Granted 130,500 16.99 Exercised (77,239 ) 12.08 Forfeited/Cancelled (19,800 ) 15.35 Outstanding at September 30, 2015 1,133,981 $ 13.44 5.2 years $ 4,441,000 Exercisable at September 30, 2015 765,479 $ 12.13 3.8 years $ 4,006,000 NOTE 7 - STOCK BASED COMPENSATION (CONTINUED) The fair value of the options granted during the nine months ended September 30, 2015 was estimated to be $2.24 - $3.24 . The fair value was based on the following assumptions: Expected Dividend Yield 4.00 % Expected Volatility 22.45 % - 29.86 % Risk-Free Interest Rate 1.65 % - 1.74 % Expected Option Life in Years 6.5 The following is a summary of the Bancorp’s unvested options as of September 30, 2015 and the changes therein during the nine months then ended. Number of Weighted Average (Unaudited) Unvested at December 31, 2014 369,503 $ 3.90 Granted 130,500 3.21 Vested (111,701 ) 3.82 Forfeited / Cancelled (19,800 ) 3.84 Unvested at September 30, 2015 368,502 $ 3.68 Expected future expense relating to the 368,502 non-vested options outstanding as of September 30, 2015 is $1.1 million over a weighted average period of 3.0 years . The following is a summary of the status of the Bancorp’s restricted stock as of September 30, 2015 and changes therein during the nine months then ended. Number of Weighted Average (Unaudited) Unvested at December 31, 2014 188,622 $ 15.36 Granted 51,755 16.31 Vested (55,724 ) 14.07 Forfeited / Cancelled (7,150 ) 15.51 Unvested at September 30, 2015 177,503 $ 16.03 Expected future compensation expense relating to the 177,503 restricted shares at September 30, 2015 is $2.2 million over a weighted average period of 2.9 years . Performance-based restricted shares granted in 2012 and 2013, as discussed in the following paragraph, 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, actual and growth rate, compared to peer group and (2) earnings per share growth rate compared to peer group ("performance criteria"). Each performance metric has a 50% weight. On the third anniversary of the grant date ("measurement 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. The number of shares eligible to vest is variable and can range from 0% to 150% of the shares identified on grant date (the "target shares"). 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. NOTE 7 - STOCK BASED COMPENSATION (CONTINUED) During May 2012, the Company granted performance-based restricted stock to certain executive officers of the Company, of which 21,500 remained outstanding at the measurement date. During May 2015, the Company awarded an additional 9,055 shares of performance-based restricted stock, which represented additional shares owed to participants under the May 2012 grant as the Company exceeded the performance targets under the 2012 award. This represented a total grant of 142% of the "target shares." The 30,555 shares had a grant date fair value of $13.11 . During 2013, the Company granted 39,250 shares of performance-based restricted stock to certain executive officers of the Company. For the purposes of the above table, the Company is assuming 100% of the "target shares" will be awarded. More or less shares may actually be awarded based on the performance of the Company at the applicable measurement date, which is March 7, 2016. During 2015, the Company granted 8,840 shares of performance-based restricted stock to certain executive officers of the Company. Performance-based restricted shares granted in 2015 utilize similar performance criteria and measurement date as outlined above for the 2012 and 2013 performance based grants. However, the 2015 awards vest 50% at measurement date and 50% on the fourth anniversary of the date of the grant. For the purposes of the above table, the Company is assuming 100% of the "target shares" will be awarded. More or less shares may actually be awarded based on the performance of the Company at the applicable measurement date, which is March 18, 2018. |
FAIR VALUE
FAIR VALUE | 9 Months Ended |
Sep. 30, 2015 | |
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 quarter 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 reporting date. 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 derived 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 September 30, 2015 and December 31, 2014 : Cash and Cash Equivalents The carrying amounts of cash and cash equivalents approximate their fair value. Investment Securities—Available-for-Sale and Held-to-Maturity Fair values for investment 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. The Company made no adjustments to the values obtained from the primary pricing service. NOTE 8 - FAIR VALUE (CONTINUED) 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 record fair value adjustments to impaired 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. The methods utilized to estimate the fair value of loans do not necessarily represent an exit price. FHLB Stock It is not practical to determine the fair value of FHLB stock due to restriction placed on its transferability. Mortgage Servicing Rights The fair value of the mortgage servicing rights ("MSRs") was determined using a 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. 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 values 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 8 - FAIR VALUE (CONTINUED) The estimated fair values of the Company’s financial instruments at September 30, 2015 and December 31, 2014 were as follows: September 30, 2015 December 31, 2014 Fair Value Carrying Estimated Carrying Estimated (In thousands) Financial assets: (Unaudited) Cash and cash equivalents Level 1 $ 7,211 $ 7,211 $ 17,213 $ 17,213 Investment securities available-for-sale Level 2 138,756 138,756 134,037 134,037 Investment securities held-to-maturity Level 2 156,099 157,665 170,172 170,854 Loans receivable, net Level 3 739,489 744,058 724,326 732,142 FHLB stock NA 4,986 NA 6,015 NA Accrued interest receivable Level 2, 3 3,174 3,174 3,147 3,147 Mortgage servicing rights Level 3 98 98 111 111 Financial liabilities: Savings and club accounts Level 2 128,973 128,973 129,893 129,893 Demand, NOW and money market deposits Level 2 305,457 305,457 325,010 325,010 Brokered deposits Level 2 78,460 78,497 70,817 70,600 Certificates of deposit Level 2 204,812 204,955 186,189 186,154 Short-term borrowings Level 2 60,000 60,000 50,000 50,000 FHLB advances Level 2 110,000 112,794 120,000 123,189 Other borrowed funds Level 2 30,000 31,918 30,000 32,017 Accrued interest payable Level 2 310 310 311 311 Derivative contracts Level 2, 3 193 193 174 174 The following financial instruments were classified as Level 3 and carried at fair value on a recurring basis as of September 30, 2015 : • Two commercial loans, since lending credit risk is not an observable input for these loans (see interest rate swap discussion in Note 4 ). The unrealized gain on the two loans was $172,000 at September 30, 2015 compared to $152,000 at December 31, 2014 . • Credit derivatives are valued based on creditworthiness of the underlying borrower which is a significant unobservable input. The liability resulting from credit derivatives was $10,000 and $12,000 at September 30, 2015 and December 31, 2014 , respectively. NOTE 8 - FAIR VALUE (CONTINUED) The following measures were made on a recurring basis as of September 30, 2015 and December 31, 2014 . Fair Value Measurements at Reporting Date Using Quoted Prices in Active Markets Significant Other Significant Other As of Description September 30, 2015 (Level 1) (Level 2) (Level 3) (In thousands, Unaudited) Available-for-Sale Securities: Obligations of U.S. government agencies $ 304 $ — $ 304 $ — Corporate securities 17,646 — 17,646 — Agency residential mortgage related securities 120,806 — 120,806 — Loans (1) 2,381 — — 2,381 Derivative contracts (1) (193 ) — (183 ) (10 ) Fair Value Measurements at Reporting Date Using Quoted Prices in Active Markets Significant Other Significant Other As of Description December 31, 2014 (Level 1) (Level 2) (Level 3) (In thousands) Available-for-Sale Securities: Obligations of U.S. government agencies $ 302 $ — $ 302 $ — Corporate securities 8,086 — 8,086 — Agency residential mortgage related securities 125,649 — 125,649 — Loans (1) 2,451 — — 2,451 Derivative contracts (1) (174 ) — (162 ) (12 ) (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 September 30, 2015 and December 31, 2014 : Loans, which were partially charged off at September 30, 2015 and December 31, 2014 . 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 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, agreements of sale or letters of intent. NOTE 8 - FAIR VALUE (CONTINUED) Fair Value Measurements at Reporting Date Using Quoted Prices in Active Markets Significant Other Significant Other Balance (Level 1) (Level 2) (Level 3) September 30, 2015 (Unaudited) (In thousands) Loans $ 1,240 $ — $ — $ 1,240 Mortgage servicing rights 98 — — 98 Other real estate owned 2,815 — — 2,815 Total $ 4,153 $ — $ — $ 4,153 December 31, 2014 Loans $ 1,654 $ — $ — $ 1,654 Mortgage servicing rights 111 — — 111 Other real estate owned 2,814 — — 2,814 Total $ 4,579 $ — $ — $ 4,579 The following tables include a roll forward of the financial instruments which fair value is determined on a recurring basis using Significant Other Unobservable Inputs (Level 3) for the periods from December 31, 2014 to September 30, 2015 and December 31, 2013 to September 30, 2014 . Nine Months Ended September 30, 2015 Private Label Derivative Financial Assets Loans Total (In thousands, Unaudited) Beginning balance, December 31, 2014 $ — $ (12 ) $ — $ 2,451 $ 2,439 Purchases/additions — (2 ) — — (2 ) Sales — — — — — Payments received — — — (89 ) (89 ) Premium amortization, net — — — — — Increase (decrease) in value — 4 — 19 23 Ending balance, September 30, 2015 $ — $ (10 ) $ — $ 2,381 $ 2,371 Nine Months Ended September 30, 2014 Private Label Derivative Financial Assets Loans Total (In thousands, Unaudited) Beginning balance, December 31, 2013 $ 2,120 $ (4 ) $ 1,938 $ 2,535 $ 6,589 Purchases/additions — (12 ) — — (12 ) Sales — — (1,938 ) — (1,938 ) Payments received (2,118 ) — — (82 ) (2,200 ) Premium amortization, net — — — — — (Decrease) increase in value (2 ) 2 — 6 6 Ending balance, September 30, 2014 $ — $ (14 ) $ — $ 2,459 $ 2,445 There were no transfers made between levels during the nine months ended September 30, 2015 or 2014 . |
NEW ACCOUNTING PRONOUNCEMENTS
NEW ACCOUNTING PRONOUNCEMENTS | 9 Months Ended |
Sep. 30, 2015 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
NEW ACCOUNTING PRONOUNCEMENTS | NEW ACCOUNTING PRONOUNCEMENTS Accounting Standards Update (ASU) No. 2015-01 - Income Statement—Extraordinary and Unusual Items (Subtopic 225-20) - Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items. T he objective of this update is to simplify the income statement presentation requirements in Subtopic 225-20 by eliminating the concept of extraordinary items. Extraordinary items are events and transactions that are distinguished by their unusual nature and by the infrequency of their occurrence. Eliminating the extraordinary classification simplifies income statement presentation by altogether removing the concept of extraordinary items from consideration. The amendments in this update are effective for the Company for annual and interim periods beginning on or after January 1, 2016. The Company has not yet concluded whether this update will have an impact on the Company’s consolidated financial statements. ASU No. 2015-02 - Consolidation (Topic 810) - Amendments to the Consolidation Analysis. The amendments in this update affect reporting entities that are required to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under the revised consolidation model. Specifically, the amendments: (1) Modify the evaluation of whether limited partnerships and similar legal entities are variable interest entities (VIEs) or voting interest entities, (2) Eliminate the presumption that a general partner should consolidate a limited partnership, (3) Affect the consolidation analysis of reporting entities that are involved with VIEs, particularly those that have fee arrangements and related party relationships, (4) Provide a scope exception from consolidation guidance for reporting entities with interests in legal entities that are required to comply with or operate in accordance with requirements that are similar to those in Rule 2a-7 of the Investment Company Act of 1940 for registered money market funds. The amendments in this update are effective for the Company for annual and interim periods beginning on or after January 1, 2016. The Company has not yet concluded whether this update will have an impact on the Company’s consolidated financial statements. ASU No. 2015-05 - Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40) - Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement. The amendments in this Update provide guidance to software customers about whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. The guidance does not change generally accepted accounting principles for a customer’s accounting for service contracts. The amendments in this update are effective for the Company for annual and interim periods beginning on or after January 1, 2016, however early adoption is permitted. The Company adopted this update effective with its issuance. Pursuant to the this guidance, agreements related to the change in our outsourced data processing systems during October 2015 are accounted for as service contracts. |
PRINCIPLES OF CONSOLIDATION A18
PRINCIPLES OF CONSOLIDATION AND PRESENTATION (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [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 earnings per share computations. Three Months Ended Nine Months Ended 2015 2014 2015 2014 (Dollars in thousands except per share data, Unaudited) Net income $ 2,328 $ 1,816 $ 7,763 $ 6,087 Weighted-average common shares outstanding (1) 11,581,257 12,075,448 11,661,023 12,110,185 Average common stock acquired by stock benefit plans: ESOP shares unallocated (448,395 ) (513,441 ) (464,495 ) (529,544 ) Shares purchased by trust (213,953 ) (274,123 ) (235,200 ) (289,261 ) Weighted-average common shares used to calculate basic earnings per share 10,918,909 11,287,884 10,961,328 11,291,380 Dilutive effect of: Restricted stock awards 32,370 42,294 40,489 50,477 Stock option awards 196,981 193,739 197,179 199,215 Weighted-average common shares used to calculate diluted earnings per share 11,148,260 11,523,917 11,198,996 11,541,072 Earnings per share - basic $ 0.21 $ 0.16 $ 0.71 $ 0.54 Earnings per share - diluted $ 0.21 $ 0.16 $ 0.69 $ 0.53 Outstanding common stock equivalents which are anti-dilutive 485,060 293,500 485,960 293,500 (1) Excludes treasury stock. |
INVESTMENT AND MORTGAGE RELAT19
INVESTMENT AND MORTGAGE RELATED SECURITIES (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
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 September 30, 2015 and December 31, 2014 are summarized as follows: September 30, 2015 Amortized Gross Gross Fair (In thousands, Unaudited) Available-for-Sale Securities: Obligations of U.S. government agencies $ 301 $ 3 $ — $ 304 Corporate securities 17,641 35 (30 ) 17,646 Agency residential mortgage related securities 118,807 2,147 (148 ) 120,806 Total available-for-sale securities $ 136,749 $ 2,185 $ (178 ) $ 138,756 Held-to-Maturity Securities: Corporate securities $ 1,776 $ — $ (5 ) $ 1,771 Private label residential mortgage related securities 2,652 1 — 2,653 Agency residential mortgage related securities 151,671 1,766 (196 ) 153,241 Total held-to-maturity securities $ 156,099 $ 1,767 $ (201 ) $ 157,665 December 31, 2014 Amortized Gross Gross Fair (In thousands) Available-for-Sale Securities: Obligations of U.S. government agencies $ 300 $ 2 $ — $ 302 Corporate securities 8,053 33 — 8,086 Agency residential mortgage related securities 123,929 2,392 (672 ) 125,649 Total available-for-sale securities $ 132,282 $ 2,427 $ (672 ) $ 134,037 Held-to-Maturity Securities: Private label residential mortgage related securities $ 2,979 $ 6 $ — $ 2,985 Agency residential mortgage related securities 167,193 1,239 (563 ) 167,869 Total held-to-maturity securities $ 170,172 $ 1,245 $ (563 ) $ 170,854 |
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 September 30, 2015 and December 31, 2014 . September 30, 2015 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands, Unaudited) Available-for-Sale Securities: Corporate securities 12,062 (30 ) — — 12,062 (30 ) Agency residential mortgage related securities $ 23,424 $ (75 ) $ 8,306 $ (73 ) $ 31,730 $ (148 ) Total available-for-sale securities $ 35,486 $ (105 ) $ 8,306 $ (73 ) $ 43,792 $ (178 ) Held-to-Maturity Securities: Corporate securities 1,771 (5 ) — — 1,771 (5 ) Agency residential mortgage related securities $ 7,726 $ (34 ) $ 10,258 $ (162 ) $ 17,984 $ (196 ) Total held-to-maturity securities $ 9,497 $ (39 ) $ 10,258 $ (162 ) $ 19,755 $ (201 ) Total temporarily impaired securities $ 44,983 $ (144 ) $ 18,564 $ (235 ) $ 63,547 $ (379 ) December 31, 2014 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Available-for-Sale Securities: Agency residential mortgage related securities $ 8,229 $ (15 ) $ 64,502 $ (657 ) $ 72,731 $ (672 ) Total available-for-sale securities $ 8,229 $ (15 ) $ 64,502 $ (657 ) $ 72,731 $ (672 ) Held-to-Maturity Securities: Agency residential mortgage related securities $ 25,660 $ (110 ) $ 27,182 $ (453 ) $ 52,842 $ (563 ) Total held-to-maturity securities $ 25,660 $ (110 ) $ 27,182 $ (453 ) $ 52,842 $ (563 ) Total temporarily impaired securities $ 33,889 $ (125 ) $ 91,684 $ (1,110 ) $ 125,573 $ (1,235 ) |
Schedule of amortized cost of held-to-maturity investments | At September 30, 2015 , the amortized cost of held-to-maturity investments consisted of the following (in thousands): Original Cost Unrealized Loss at Transfer Post-transfer Accretion Amortized Cost Securities transferred from available-for-sale $ 85,784 $ (1,625 ) $ (211 ) $ 83,948 Other held-to-maturity securities 72,151 — — 72,151 Total $ 157,935 $ (1,625 ) $ (211 ) $ 156,099 |
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 September 30, 2015 and December 31, 2014 by contractual maturity are as follows: Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair (In thousands) September 30, 2015 (Unaudited) Due in one year or less $ 2,525 $ 2,542 $ — $ — Due after one year through five years 15,417 15,408 1,776 1,771 Due after five years through ten years — — — — Due after ten years — — — — Total mortgage related securities 118,807 120,806 154,323 155,894 $ 136,749 $ 138,756 $ 156,099 $ 157,665 December 31, 2014 Due in one year or less $ 5,803 $ 5,818 $ — $ — Due after one year through five years 2,550 2,570 — — Due after five years through ten years — — — — Due after ten years — — — — Total mortgage related securities 123,929 125,649 170,172 170,854 $ 132,282 $ 134,037 $ 170,172 $ 170,854 |
LOANS (Tables)
LOANS (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Receivables [Abstract] | |
Schedule of composition of net loans | The composition of net loans at September 30, 2015 and December 31, 2014 is provided below: September 30, December 31, (In thousands) (Unaudited) Real estate loans: One- to four-family $ 95,682 $ 108,208 Multi-family and commercial 404,007 388,821 Construction 39,693 39,541 539,382 536,570 Consumer loans 15,550 19,599 Commercial and industrial loans 195,427 179,181 Total loans 750,359 735,350 Deferred loan origination fees, net (247 ) (294 ) Allowance for loan losses (10,623 ) (10,730 ) Net loans $ 739,489 $ 724,326 |
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 nine months ended September 30, 2015 and the nine months ended September 30, 2014 . Nine Months Ended September 30, 2015 One- to Multi-family Construction Consumer Commercial Unallocated Total (In thousands, Unaudited) Balance, beginning $ 405 $ 5,990 $ 1,038 $ 184 $ 2,753 $ 360 $ 10,730 Provision (credit) for loan losses 144 107 (664 ) (825 ) 37 106 (1,095 ) Loans charged off (174 ) (16 ) — — — — (190 ) Recoveries — 63 295 815 5 — 1,178 Balance, ending $ 375 $ 6,144 $ 669 $ 174 $ 2,795 $ 466 $ 10,623 Nine Months Ended September 30, 2014 One- to Multi-family Construction Consumer Commercial Unallocated Total (In thousands, Unaudited) Balance, beginning $ 403 $ 7,141 $ 324 $ 153 $ 3,051 $ 457 $ 11,529 (Credit) provision for loan losses (209 ) (76 ) 284 (21 ) 1,590 25 1,593 Loans charged off (3 ) (102 ) — (6 ) (1,986 ) — (2,097 ) Recoveries 29 12 — 33 — — 74 Balance, ending $ 220 $ 6,975 $ 608 $ 159 $ 2,655 $ 482 $ 11,099 |
Loans and allowance for loan losses individually or collectively evaluated for impairment | The following tables provide details of loans, and associated allowance for loan losses, which are individually or collectively evaluated for impairment as of September 30, 2015 and December 31, 2014 . As of September 30, 2015 One- to Multi-family Construction Consumer Commercial Unallocated Total (In thousands, Unaudited) Allowance for Loan Losses: Balance, ending: individually evaluated for impairment $ 3 $ 537 $ 126 $ 38 $ 54 $ — $ 758 Balance, ending: collectively evaluated for impairment 372 5,607 543 136 2,741 466 9,865 Total $ 375 $ 6,144 $ 669 $ 174 $ 2,795 $ 466 $ 10,623 Total Loans: Balance, ending: individually evaluated for impairment $ 2,411 $ 7,139 $ 3,393 $ 122 $ 730 $ — $ 13,795 Balance, ending: collectively evaluated for impairment 93,271 396,868 36,300 15,428 194,697 — 736,564 Total $ 95,682 $ 404,007 $ 39,693 $ 15,550 $ 195,427 $ — $ 750,359 As of December 31, 2014 One- to Multi-family Construction Consumer Commercial Unallocated Total (In thousands) Allowance for Loan Losses: Balance, ending: individually evaluated for impairment $ 11 $ 401 $ 114 $ 26 $ — $ — $ 552 Balance, ending: collectively evaluated for impairment 394 5,589 924 158 2,753 360 10,178 Total $ 405 $ 5,990 $ 1,038 $ 184 $ 2,753 $ 360 $ 10,730 Total Loans: Balance, ending: individually evaluated for impairment $ 2,629 $ 5,849 $ 2,723 $ 256 $ 75 $ — $ 11,532 Balance, ending: collectively evaluated for impairment 105,579 382,972 36,818 19,343 179,106 — 723,818 Total $ 108,208 $ 388,821 $ 39,541 $ 19,599 $ 179,181 $ — $ 735,350 |
Schedule of breakdown of impaired loans by loan segment | The following tables set forth the breakdown of impaired loans by loan segment as of September 30, 2015 and December 31, 2014 . September 30, 2015 Nonaccrual Accruing Other Total Impaired Loans Impaired Loans (In thousands, Unaudited) Real estate loans: One- to four-family $ 1,530 $ 881 $ — $ 2,411 $ 210 $ 2,201 Multi-family and commercial 1,076 1,685 4,378 7,139 6,368 771 Construction — 3,393 — 3,393 3,393 — Consumer loans 110 12 — 122 46 76 Commercial and industrial 730 — — 730 730 — Total $ 3,446 $ 5,971 $ 4,378 $ 13,795 $ 10,747 $ 3,048 December 31, 2014 Nonaccrual Accruing Other Total Impaired Loans Impaired Loans (In thousands) Real estate loans: One- to four-family $ 1,741 $ 888 $ — $ 2,629 $ 137 $ 2,492 Multi-family and commercial 1,395 — 4,454 5,849 4,502 1,347 Construction — 2,723 — 2,723 2,723 — Consumer loans 243 13 — 256 82 174 Commercial and industrial 75 — — 75 — 75 Total $ 3,454 $ 3,624 $ 4,454 $ 11,532 $ 7,444 $ 4,088 |
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 September 30, 2015 and December 31, 2014 . September 30, 2015 Allowance for Loan Losses Impaired Loans Nonaccrual Accruing Other Total General Total (In thousands, Unaudited) Real estate loans: One- to four-family $ 3 $ — $ — $ 3 $ 372 $ 375 Multi-family and commercial 113 45 379 537 5,607 6,144 Construction — 126 — 126 543 669 Consumer loans 38 — — 38 136 174 Commercial and industrial 54 — — 54 2,741 2,795 Unallocated — — — — 466 466 Total allowance for loan losses $ 208 $ 171 $ 379 $ 758 $ 9,865 $ 10,623 December 31, 2014 Allowance for Loan Losses Impaired Loans Nonaccrual Accruing Other Total General Total (In thousands) Real estate loans: One- to four-family $ 11 $ — $ — $ 11 $ 394 $ 405 Multi-family and commercial 10 — 391 401 5,589 5,990 Construction — 114 — 114 924 1,038 Consumer loans 26 — — 26 158 184 Commercial and industrial — — — — 2,753 2,753 Unallocated — — — — 360 360 Total allowance for loan losses $ 47 $ 114 $ 391 $ 552 $ 10,178 $ 10,730 |
Summary of TDR activity for the periods | The following table sets forth a summary of the TDR activity for the three and nine month periods ended September 30, 2015 and 2014 . Three Months Ended September 30, 2015 Nine Months Ended September 30, 2015 Restructured Current Period Restructured Current Period Number Pre-Modification Post-Modification Type of Modification Number Pre-Modification Post-Modification Type of Modification (Dollars in thousands, Unaudited) (Dollars in thousands, Unaudited) Real estate loans: One- to four-family — $ — $ — — $ — $ — Multi-family and commercial — — — 1 914 914 Delayed Repayment Construction — — — — — — Consumer loans — — — — — — Commercial and industrial — — — 1 771 771 Delayed Repayment Total — $ — $ — 2 $ 1,685 $ 1,685 Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 Restructured Current Period Restructured Current Period Number Pre-Modification Post-Modification Type of Modification Number Pre-Modification Post-Modification Type of Modification (Dollars in thousands, Unaudited) (Dollars in thousands, Unaudited) Real estate loans: One- to four-family — $ — $ — 1 $ 245 $ 245 Principal reduction Multi-family and commercial — — — 1 1,640 1,540 Principal reduction Construction — — — — — — Consumer loans — — — — — — Commercial and industrial — — — — — — Total — $ — $ — 2 $ 1,885 $ 1,785 |
Schedule of past due loans by segment | The following table sets forth past due loans by segment as of September 30, 2015 and December 31, 2014 . September 30, 2015 December 31, 2014 30-59 60-89 30-59 60-89 (In thousands) (Unaudited) One- to four-family real estate $ 122 $ 15 $ — $ 145 Multi-family and commercial real estate 350 92 — — Construction — — — — Consumer 69 72 113 — Commercial and industrial — — — — Total $ 541 $ 179 $ 113 $ 145 |
Schedule of criticized and classified loans by segment | The following tables set forth criticized and classified loans by segment as of September 30, 2015 and December 31, 2014 . September 30, 2015 One- to Multi-family Construction Consumer Commercial Total (In thousands, Unaudited) Pass and Pass watch $ 94,152 $ 388,682 $ 36,276 $ 15,440 $ 191,080 $ 725,630 Special mention — 13,898 — — 2,498 16,396 Substandard 1,530 1,427 3,417 110 1,849 8,333 Doubtful — — — — — — Total loans $ 95,682 $ 404,007 $ 39,693 $ 15,550 $ 195,427 $ 750,359 December 31, 2014 One- to Multi-family Construction Consumer Commercial Total (In thousands) Pass and Pass watch $ 106,467 $ 376,134 $ 36,229 $ 19,357 $ 174,143 $ 712,330 Special mention — 8,406 2,723 — 3,012 14,141 Substandard 1,741 4,281 589 242 2,026 8,879 Doubtful — — — — — — Total loans $ 108,208 $ 388,821 $ 39,541 $ 19,599 $ 179,181 $ 735,350 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
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 September 30, 2015 and December 31, 2014 consist of the following: September 30, 2015 December 31, 2014 Weighted Amount Weighted Amount (Dollars in thousands) (Unaudited) Noninterest-bearing demand accounts — % $ 137,382 — % $ 168,791 NOW accounts 0.21 89,018 0.21 82,417 Money market accounts 0.22 79,057 0.22 73,802 Savings and club accounts 0.38 128,973 0.37 129,893 Brokered deposits 0.76 78,460 0.73 70,817 Certificates of deposit 0.83 204,812 0.87 186,189 0.44 % $ 717,702 0.42 % $ 711,909 |
BORROWINGS (Tables)
BORROWINGS (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
BORROWINGS | |
Schedule of FHLB advances | Maturity Date Amount Coupon Rate Call Date Rate if Called (In thousands, Unaudited) March 2016 10,000 0.60 % Not Applicable Not Applicable March 2016 10,000 0.62 Not Applicable Not Applicable September 2016 5,000 0.75 Not Applicable Not Applicable September 2016 10,000 1.04 Not Applicable Not Applicable June 2017 5,000 0.94 Not Applicable Not Applicable July 2017 10,000 0.92 Not Applicable Not Applicable November 2017 15,000 3.62 November 2015 3-month LIBOR + 0.10% November 2017 15,000 3.87 November 2015 3-month LIBOR + 0.10% December 2017 20,000 2.83 December 2015 3-month LIBOR + 0.11% July 2018 10,000 1.32 Not Applicable Not Applicable $ 110,000 2.02 % |
Schedule of other long-term borrowings | Next Call Date Subsequent Call Frequency Maturity Date Amount Coupon Rate (In thousands, Unaudited) October 2018 $ 5,000 3.15% October 2015 Quarterly December 2018 5,000 1-month LIBOR + 2.03% Not Applicable Not Applicable September 2019 10,000 1-month LIBOR + 1.89% Not Applicable Not Applicable September 2020 5,000 1-month LIBOR + 1.56% Not Applicable Not Applicable November 2020 5,000 1-month LIBOR + 1.58% Not Applicable Not Applicable $ 30,000 |
STOCK BASED COMPENSATION (Table
STOCK BASED COMPENSATION (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
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 nine months ended September 30, 2015 . Number of Weighted Average Weighted Average Aggregate (Unaudited) Outstanding at December 31, 2014 1,100,520 $ 12.96 5.3 years $ 4,172,000 Granted 130,500 16.99 Exercised (77,239 ) 12.08 Forfeited/Cancelled (19,800 ) 15.35 Outstanding at September 30, 2015 1,133,981 $ 13.44 5.2 years $ 4,441,000 Exercisable at September 30, 2015 765,479 $ 12.13 3.8 years $ 4,006,000 |
Schedule of assumptions to determine the fair value of the options | The fair value of the options granted during the nine months ended September 30, 2015 was estimated to be $2.24 - $3.24 . The fair value was based on the following assumptions: Expected Dividend Yield 4.00 % Expected Volatility 22.45 % - 29.86 % Risk-Free Interest Rate 1.65 % - 1.74 % Expected Option Life in Years 6.5 |
Summary of unvested options and changes during the period | The following is a summary of the Bancorp’s unvested options as of September 30, 2015 and the changes therein during the nine months then ended. Number of Weighted Average (Unaudited) Unvested at December 31, 2014 369,503 $ 3.90 Granted 130,500 3.21 Vested (111,701 ) 3.82 Forfeited / Cancelled (19,800 ) 3.84 Unvested at September 30, 2015 368,502 $ 3.68 |
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 September 30, 2015 and changes therein during the nine months then ended. Number of Weighted Average (Unaudited) Unvested at December 31, 2014 188,622 $ 15.36 Granted 51,755 16.31 Vested (55,724 ) 14.07 Forfeited / Cancelled (7,150 ) 15.51 Unvested at September 30, 2015 177,503 $ 16.03 |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair value of financial instruments | The estimated fair values of the Company’s financial instruments at September 30, 2015 and December 31, 2014 were as follows: September 30, 2015 December 31, 2014 Fair Value Carrying Estimated Carrying Estimated (In thousands) Financial assets: (Unaudited) Cash and cash equivalents Level 1 $ 7,211 $ 7,211 $ 17,213 $ 17,213 Investment securities available-for-sale Level 2 138,756 138,756 134,037 134,037 Investment securities held-to-maturity Level 2 156,099 157,665 170,172 170,854 Loans receivable, net Level 3 739,489 744,058 724,326 732,142 FHLB stock NA 4,986 NA 6,015 NA Accrued interest receivable Level 2, 3 3,174 3,174 3,147 3,147 Mortgage servicing rights Level 3 98 98 111 111 Financial liabilities: Savings and club accounts Level 2 128,973 128,973 129,893 129,893 Demand, NOW and money market deposits Level 2 305,457 305,457 325,010 325,010 Brokered deposits Level 2 78,460 78,497 70,817 70,600 Certificates of deposit Level 2 204,812 204,955 186,189 186,154 Short-term borrowings Level 2 60,000 60,000 50,000 50,000 FHLB advances Level 2 110,000 112,794 120,000 123,189 Other borrowed funds Level 2 30,000 31,918 30,000 32,017 Accrued interest payable Level 2 310 310 311 311 Derivative contracts Level 2, 3 193 193 174 174 |
Schedule of fair value measurements on a recurring basis | The following measures were made on a recurring basis as of September 30, 2015 and December 31, 2014 . Fair Value Measurements at Reporting Date Using Quoted Prices in Active Markets Significant Other Significant Other As of Description September 30, 2015 (Level 1) (Level 2) (Level 3) (In thousands, Unaudited) Available-for-Sale Securities: Obligations of U.S. government agencies $ 304 $ — $ 304 $ — Corporate securities 17,646 — 17,646 — Agency residential mortgage related securities 120,806 — 120,806 — Loans (1) 2,381 — — 2,381 Derivative contracts (1) (193 ) — (183 ) (10 ) Fair Value Measurements at Reporting Date Using Quoted Prices in Active Markets Significant Other Significant Other As of Description December 31, 2014 (Level 1) (Level 2) (Level 3) (In thousands) Available-for-Sale Securities: Obligations of U.S. government agencies $ 302 $ — $ 302 $ — Corporate securities 8,086 — 8,086 — Agency residential mortgage related securities 125,649 — 125,649 — Loans (1) 2,451 — — 2,451 Derivative contracts (1) (174 ) — (162 ) (12 ) (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 Balance (Level 1) (Level 2) (Level 3) September 30, 2015 (Unaudited) (In thousands) Loans $ 1,240 $ — $ — $ 1,240 Mortgage servicing rights 98 — — 98 Other real estate owned 2,815 — — 2,815 Total $ 4,153 $ — $ — $ 4,153 December 31, 2014 Loans $ 1,654 $ — $ — $ 1,654 Mortgage servicing rights 111 — — 111 Other real estate owned 2,814 — — 2,814 Total $ 4,579 $ — $ — $ 4,579 |
Rollforward of Level 3 Fair Value Financial Instruments | The following tables include a roll forward of the financial instruments which fair value is determined on a recurring basis using Significant Other Unobservable Inputs (Level 3) for the periods from December 31, 2014 to September 30, 2015 and December 31, 2013 to September 30, 2014 . Nine Months Ended September 30, 2015 Private Label Derivative Financial Assets Loans Total (In thousands, Unaudited) Beginning balance, December 31, 2014 $ — $ (12 ) $ — $ 2,451 $ 2,439 Purchases/additions — (2 ) — — (2 ) Sales — — — — — Payments received — — — (89 ) (89 ) Premium amortization, net — — — — — Increase (decrease) in value — 4 — 19 23 Ending balance, September 30, 2015 $ — $ (10 ) $ — $ 2,381 $ 2,371 Nine Months Ended September 30, 2014 Private Label Derivative Financial Assets Loans Total (In thousands, Unaudited) Beginning balance, December 31, 2013 $ 2,120 $ (4 ) $ 1,938 $ 2,535 $ 6,589 Purchases/additions — (12 ) — — (12 ) Sales — — (1,938 ) — (1,938 ) Payments received (2,118 ) — — (82 ) (2,200 ) Premium amortization, net — — — — — (Decrease) increase in value (2 ) 2 — 6 6 Ending balance, September 30, 2014 $ — $ (14 ) $ — $ 2,459 $ 2,445 |
PRINCIPLES OF CONSOLIDATION A25
PRINCIPLES OF CONSOLIDATION AND PRESENTATION (Details) | 9 Months Ended |
Sep. 30, 2015branchloan | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of loans to the ESOP by Bancorp | loan | 2 |
Number of branches | 10 |
PMA | |
LOANS | |
Ownership (as a percent) | 46.15% |
PRINCIPLES OF CONSOLIDATION A26
PRINCIPLES OF CONSOLIDATION AND PRESENTATION (Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Earnings per share: | ||||
Net income | $ 2,328 | $ 1,816 | $ 7,763 | $ 6,087 |
Weighted-average common shares outstanding (in shares) | 11,581,257 | 12,075,448 | 11,661,023 | 12,110,185 |
Average common stock acquired by stock benefit plans: | ||||
ESOP shares unallocated (shares) | (448,395) | (513,441) | (464,495) | (529,544) |
Shares purchased by trust (shares) | (213,953) | (274,123) | (235,200) | (289,261) |
Weighted-average common shares used to calculate basic earnings per share (in shares) | 10,918,909 | 11,287,884 | 10,961,328 | 11,291,380 |
Dilutive effect of: | ||||
Restricted stock awards (shares) | 32,370 | 42,294 | 40,489 | 50,477 |
Stock option awards (shares) | 196,981 | 193,739 | 197,179 | 199,215 |
Weighted-average common shares used to calculate diluted earnings per share (in shares) | 11,148,260 | 11,523,917 | 11,198,996 | 11,541,072 |
Earnings per share-basic (in dollars per share) | $ 0.21 | $ 0.16 | $ 0.71 | $ 0.54 |
Earnings per share-diluted (in dollars per share) | $ 0.21 | $ 0.16 | $ 0.69 | $ 0.53 |
Outstanding common stock equivalents which are anti-dilutive (in shares) | 485,060 | 293,500 | 485,960 | 293,500 |
INVESTMENT AND MORTGAGE RELAT27
INVESTMENT AND MORTGAGE RELATED SECURITIES (Amortized Cost and Fair Value of Securities) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Available-for-Sale Securities: | ||
Amortized Cost | $ 136,749 | $ 132,282 |
Gross Unrealized Gains | 2,185 | 2,427 |
Gross Unrealized Losses | (178) | (672) |
Fair Value | 138,756 | 134,037 |
Held-to-Maturity Securities: | ||
Amortized Cost | 156,099 | 170,172 |
Gross Unrealized Gains | 1,767 | 1,245 |
Gross Unrealized Losses | (201) | (563) |
Investment securities held to maturity, fair value | 157,665 | 170,854 |
Obligations of U.S. government agencies | ||
Available-for-Sale Securities: | ||
Amortized Cost | 301 | 300 |
Gross Unrealized Gains | 3 | 2 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 304 | 302 |
Corporate securities | ||
Available-for-Sale Securities: | ||
Amortized Cost | 17,641 | 8,053 |
Gross Unrealized Gains | 35 | 33 |
Gross Unrealized Losses | (30) | 0 |
Fair Value | 17,646 | 8,086 |
Held-to-Maturity Securities: | ||
Amortized Cost | 1,776 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | (5) | |
Investment securities held to maturity, fair value | 1,771 | |
Private label residential mortgage related securities | ||
Available-for-Sale Securities: | ||
Amortized Cost | 2,700 | 3,000 |
Held-to-Maturity Securities: | ||
Amortized Cost | 2,652 | 2,979 |
Gross Unrealized Gains | 1 | 6 |
Gross Unrealized Losses | 0 | 0 |
Investment securities held to maturity, fair value | 2,653 | 2,985 |
Agency residential mortgage related securities | ||
Available-for-Sale Securities: | ||
Amortized Cost | 118,807 | 123,929 |
Gross Unrealized Gains | 2,147 | 2,392 |
Gross Unrealized Losses | (148) | (672) |
Fair Value | 120,806 | 125,649 |
Held-to-Maturity Securities: | ||
Amortized Cost | 151,671 | 167,193 |
Gross Unrealized Gains | 1,766 | 1,239 |
Gross Unrealized Losses | (196) | (563) |
Investment securities held to maturity, fair value | $ 153,241 | $ 167,869 |
INVESTMENT AND MORTGAGE RELAT28
INVESTMENT AND MORTGAGE RELATED SECURITIES (Gross Unrealized Losses and Fair Value of Securities) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Available-for-sale securities: | ||
Fair Value, Less than 12 Months | $ 35,486 | $ 8,229 |
Unrealized Losses, Less than 12 Months | (105) | (15) |
Fair Value, 12 Months or More | 8,306 | 64,502 |
Unrealized Losses, 12 Months or More | (73) | (657) |
Fair Value, Total | 43,792 | 72,731 |
Unrealized Losses, Total | (178) | (672) |
Held-to-maturity Securities: | ||
Fair Value, Less than 12 Months | 9,497 | 25,660 |
Unrealized Losses, Less than 12 Months | (39) | (110) |
Fair Value, 12 Months or More | 10,258 | 27,182 |
Unrealized Losses, 12 Months or more | (162) | (453) |
Unrealized Losses, Total | (201) | (563) |
Fair Value, Total | 19,755 | 52,842 |
Temporarily Impaired Securities | ||
Fair Value, Less than 12 Months | 44,983 | 33,889 |
Unrealized Losses, Less than 12 Months | (144) | (125) |
Fair Value, 12 Months or More | 18,564 | 91,684 |
Unrealized Losses Plus OTTI in AOCI, 12 Months or More | (235) | (1,110) |
Fair Value, Total | 63,547 | 125,573 |
Unrealized Losses, Total | (379) | (1,235) |
Corporate securities | ||
Available-for-sale securities: | ||
Fair Value, Less than 12 Months | 12,062 | |
Unrealized Losses, Less than 12 Months | (30) | |
Fair Value, 12 Months or More | 0 | |
Unrealized Losses, 12 Months or More | 0 | |
Fair Value, Total | 12,062 | |
Unrealized Losses, Total | (30) | |
Held-to-maturity Securities: | ||
Fair Value, Less than 12 Months | 1,771 | |
Unrealized Losses, Less than 12 Months | (5) | |
Fair Value, 12 Months or More | 0 | |
Unrealized Losses, 12 Months or more | 0 | |
Unrealized Losses, Total | (5) | |
Fair Value, Total | 1,771 | |
Agency residential mortgage related securities | ||
Available-for-sale securities: | ||
Fair Value, Less than 12 Months | 23,424 | 8,229 |
Unrealized Losses, Less than 12 Months | (75) | (15) |
Fair Value, 12 Months or More | 8,306 | 64,502 |
Unrealized Losses, 12 Months or More | (73) | (657) |
Fair Value, Total | 31,730 | 72,731 |
Unrealized Losses, Total | (148) | (672) |
Held-to-maturity Securities: | ||
Fair Value, Less than 12 Months | 7,726 | 25,660 |
Unrealized Losses, Less than 12 Months | (34) | (110) |
Fair Value, 12 Months or More | 10,258 | 27,182 |
Unrealized Losses, 12 Months or more | (162) | (453) |
Unrealized Losses, Total | (196) | (563) |
Fair Value, Total | 17,984 | $ 52,842 |
Temporarily Impaired Securities | ||
Fair Value, 12 Months or More | 18,600 | |
Unrealized Losses Plus OTTI in AOCI, 12 Months or More | $ (235) |
INVESTMENT AND MORTGAGE RELAT29
INVESTMENT AND MORTGAGE RELATED SECURITIES (Narrative) (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015USD ($)security | Sep. 30, 2014USD ($)security | Sep. 30, 2015USD ($)security | Sep. 30, 2014USD ($)security | Dec. 31, 2014USD ($) | |
Investment Holdings [Line Items] | |||||
Number of securities sold | security | 0 | 0 | 0 | 0 | |
Net investment gains (losses) | $ 0 | $ 0 | $ 0 | $ 0 | |
Gross unrealized losses | 379,000 | 379,000 | $ 1,235,000 | ||
Unrealized loss, fair value | 18,564,000 | 18,564,000 | 91,684,000 | ||
Unrealized loss position | $ 235,000 | $ 235,000 | 1,110,000 | ||
Number of agency residential mortgage related securities | security | 34 | 34 | |||
Amortized cost | $ 136,749,000 | $ 136,749,000 | 132,282,000 | ||
Carrying value of securities pledged to secure public deposits and for other purposes as required or permitted by law | 40,600,000 | 40,600,000 | 37,000,000 | ||
Mortgage backed securities pledged as collateral for other borrowed funds | 165,800,000 | 165,800,000 | 169,700,000 | ||
Carrying value of investment securities used to secure derivative transactions | $ 931,000 | $ 931,000 | 1,100,000 | ||
Agency residential mortgage related securities | |||||
Investment Holdings [Line Items] | |||||
Number of mortgage related securities | security | 10 | 10 | |||
Unrealized loss, fair value | $ 18,600,000 | $ 18,600,000 | |||
Unrealized loss position | $ 235,000 | $ 235,000 | |||
Number of mortgage related securities in a continuous unrealized loss position | security | 18 | 18 | |||
Continuous unrealized loss position | $ 31,200,000 | $ 31,200,000 | |||
Unrealized loss position for less than twelve months | 109,000 | 109,000 | |||
Amortized cost | $ 118,807,000 | $ 118,807,000 | 123,929,000 | ||
Corporate securities | |||||
Investment Holdings [Line Items] | |||||
Number of mortgage related securities in a continuous unrealized loss position | security | 6 | 6 | |||
Continuous unrealized loss position | $ 13,800,000 | $ 13,800,000 | |||
Unrealized loss position for less than twelve months | 35,000 | 35,000 | |||
Amortized cost | $ 17,641,000 | $ 17,641,000 | 8,053,000 | ||
Private label residential mortgage related securities | |||||
Investment Holdings [Line Items] | |||||
Number of debt securities held | security | 1 | 1 | |||
Amortized cost | $ 2,700,000 | $ 2,700,000 | 3,000,000 | ||
Gross unrealized gain (loss) | 1,000 | 1,000 | 6,000 | ||
Agency debenture | |||||
Investment Holdings [Line Items] | |||||
Amortized cost | $ 301,000 | $ 301,000 | $ 300,000 |
INVESTMENT AND MORTGAGE RELAT30
INVESTMENT AND MORTGAGE RELATED SECURITIES (Held-to-Maturity Investments) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Investment Holdings [Line Items] | ||
Held-to-maturity securities, amortized cost before other than temporary impairment | $ 156,099 | $ 170,172 |
Held-to-maturity securities, amortized cost excluding transfer loss | 157,935 | |
Unrealized Loss at Transfer | (1,625) | |
Post-transfer Accretion | (211) | |
Transferred Securities from Available-for-Sale | ||
Investment Holdings [Line Items] | ||
Held-to-maturity securities, amortized cost before other than temporary impairment, transferred securities | 85,784 | |
Held-to-maturity securities, amortized cost before other than temporary impairment | 83,948 | |
Unrealized Loss at Transfer | (1,625) | |
Post-transfer Accretion | (211) | |
Held-to-Maturity, Excluding Transferred Securities | ||
Investment Holdings [Line Items] | ||
Held-to-maturity securities, amortized cost before other than temporary impairment | $ 72,151 |
INVESTMENT AND MORTGAGE RELAT31
INVESTMENT AND MORTGAGE RELATED SECURITIES (Amortized Cost and Estimated Fair Value of Investment Securities) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Available for Sale, Amortized Cost | ||
Due in one year or less | $ 2,525 | $ 5,803 |
Due after one year through five years | 15,417 | 2,550 |
Due after five years through ten years | 0 | 0 |
Due after ten years | 0 | 0 |
Total mortgage related securities | 118,807 | 123,929 |
Amortized Cost | 136,749 | 132,282 |
Available for Sale, Fair Value | ||
Due in one year or less | 2,542 | 5,818 |
Due after one year through five years | 15,408 | 2,570 |
Due after five years through ten years | 0 | 0 |
Due after ten years | 0 | 0 |
Total mortgage related securities | 120,806 | 125,649 |
Total Fair Value | 138,756 | 134,037 |
Held to Maturity, Amortized Cost | ||
Due in one year or less | 0 | 0 |
Due after one year through five years | 1,776 | 0 |
Due after five years through ten years | 0 | 0 |
Due after ten years | 0 | 0 |
Total mortgage related securities | 154,323 | 170,172 |
Total Amortized Cost | 156,099 | 170,172 |
Held to Maturity, Fair Value | ||
Due in one year or less | 0 | 0 |
Due after one year through five years | 1,771 | 0 |
Due after five years through ten years | 0 | 0 |
Due after ten years | 0 | 0 |
Total mortgage related securities | 155,894 | 170,854 |
Total Fair Value | $ 157,665 | $ 170,854 |
LOANS (Composition of Net Loans
LOANS (Composition of Net Loans) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2013 |
LOANS | ||||
Total loans | $ 750,359 | $ 735,350 | ||
Deferred loan origination cost, net | (247) | (294) | ||
Allowance for loan losses | (10,623) | (10,730) | $ (11,099) | $ (11,529) |
Net loans | 739,489 | 724,326 | ||
Real estate loans: | ||||
LOANS | ||||
Total loans | 539,382 | 536,570 | ||
One- to four-family | ||||
LOANS | ||||
Total loans | 95,682 | 108,208 | ||
Allowance for loan losses | (375) | (405) | (220) | (403) |
Multi-family and commercial | ||||
LOANS | ||||
Total loans | 404,007 | 388,821 | ||
Allowance for loan losses | (6,144) | (5,990) | (6,975) | (7,141) |
Construction | ||||
LOANS | ||||
Total loans | 39,693 | 39,541 | ||
Allowance for loan losses | (669) | (1,038) | (608) | (324) |
Consumer loans | ||||
LOANS | ||||
Total loans | 15,550 | 19,599 | ||
Allowance for loan losses | (174) | (184) | (159) | (153) |
Commercial and industrial loans | ||||
LOANS | ||||
Total loans | 195,427 | 179,181 | ||
Allowance for loan losses | $ (2,795) | $ (2,753) | $ (2,655) | $ (3,051) |
LOANS (Allowance for Loan Losse
LOANS (Allowance for Loan Losses by Loan Segment) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Changes in allowance for loan losses | ||
Balance, beginning | $ 10,730 | $ 11,529 |
Provision (credit) for loan losses | (1,095) | 1,593 |
Loans charged off | (190) | (2,097) |
Recoveries | 1,178 | 74 |
Balance, ending | 10,623 | 11,099 |
One- to four-family | ||
Changes in allowance for loan losses | ||
Balance, beginning | 405 | 403 |
Provision (credit) for loan losses | 144 | (209) |
Loans charged off | (174) | (3) |
Recoveries | 0 | 29 |
Balance, ending | 375 | 220 |
Multi-family and commercial | ||
Changes in allowance for loan losses | ||
Balance, beginning | 5,990 | 7,141 |
Provision (credit) for loan losses | 107 | (76) |
Loans charged off | (16) | (102) |
Recoveries | 63 | 12 |
Balance, ending | 6,144 | 6,975 |
Construction | ||
Changes in allowance for loan losses | ||
Balance, beginning | 1,038 | 324 |
Provision (credit) for loan losses | (664) | 284 |
Loans charged off | 0 | 0 |
Recoveries | 295 | 0 |
Balance, ending | 669 | 608 |
Consumer | ||
Changes in allowance for loan losses | ||
Balance, beginning | 184 | 153 |
Provision (credit) for loan losses | (825) | (21) |
Loans charged off | 0 | (6) |
Recoveries | 815 | 33 |
Balance, ending | 174 | 159 |
Commercial and industrial | ||
Changes in allowance for loan losses | ||
Balance, beginning | 2,753 | 3,051 |
Provision (credit) for loan losses | 37 | 1,590 |
Loans charged off | 0 | (1,986) |
Recoveries | 5 | 0 |
Balance, ending | 2,795 | 2,655 |
Unallocated | ||
Changes in allowance for loan losses | ||
Balance, beginning | 360 | 457 |
Provision (credit) for loan losses | 106 | 25 |
Loans charged off | 0 | 0 |
Recoveries | 0 | 0 |
Balance, ending | $ 466 | $ 482 |
LOANS (Loans and Allowance for
LOANS (Loans and Allowance for Loan Losses, Individually or Collectively Evaluated for Impairment) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2013 |
Allowance for Loan Losses: | ||||
Balance, ending: individually evaluated for impairment | $ 758 | $ 552 | ||
Balance, ending: collectively evaluated for impairment | 9,865 | 10,178 | ||
Total | 10,623 | 10,730 | $ 11,099 | $ 11,529 |
Total Loans: | ||||
Balance, ending: individually evaluated for impairment | 13,795 | 11,532 | ||
Balance, ending: collectively evaluated for impairment | 736,564 | 723,818 | ||
Total | 750,359 | 735,350 | ||
One- to four-family | ||||
Allowance for Loan Losses: | ||||
Balance, ending: individually evaluated for impairment | 3 | 11 | ||
Balance, ending: collectively evaluated for impairment | 372 | 394 | ||
Total | 375 | 405 | 220 | 403 |
Total Loans: | ||||
Balance, ending: individually evaluated for impairment | 2,411 | 2,629 | ||
Balance, ending: collectively evaluated for impairment | 93,271 | 105,579 | ||
Total | 95,682 | 108,208 | ||
Multi-family and commercial | ||||
Allowance for Loan Losses: | ||||
Balance, ending: individually evaluated for impairment | 537 | 401 | ||
Balance, ending: collectively evaluated for impairment | 5,607 | 5,589 | ||
Total | 6,144 | 5,990 | 6,975 | 7,141 |
Total Loans: | ||||
Balance, ending: individually evaluated for impairment | 7,139 | 5,849 | ||
Balance, ending: collectively evaluated for impairment | 396,868 | 382,972 | ||
Total | 404,007 | 388,821 | ||
Construction | ||||
Allowance for Loan Losses: | ||||
Balance, ending: individually evaluated for impairment | 126 | 114 | ||
Balance, ending: collectively evaluated for impairment | 543 | 924 | ||
Total | 669 | 1,038 | 608 | 324 |
Total Loans: | ||||
Balance, ending: individually evaluated for impairment | 3,393 | 2,723 | ||
Balance, ending: collectively evaluated for impairment | 36,300 | 36,818 | ||
Total | 39,693 | 39,541 | ||
Consumer | ||||
Allowance for Loan Losses: | ||||
Balance, ending: individually evaluated for impairment | 38 | 26 | ||
Balance, ending: collectively evaluated for impairment | 136 | 158 | ||
Total | 174 | 184 | 159 | 153 |
Total Loans: | ||||
Balance, ending: individually evaluated for impairment | 122 | 256 | ||
Balance, ending: collectively evaluated for impairment | 15,428 | 19,343 | ||
Total | 15,550 | 19,599 | ||
Commercial and industrial | ||||
Allowance for Loan Losses: | ||||
Balance, ending: individually evaluated for impairment | 54 | 0 | ||
Balance, ending: collectively evaluated for impairment | 2,741 | 2,753 | ||
Total | 2,795 | 2,753 | 2,655 | 3,051 |
Total Loans: | ||||
Balance, ending: individually evaluated for impairment | 730 | 75 | ||
Balance, ending: collectively evaluated for impairment | 194,697 | 179,106 | ||
Total | 195,427 | 179,181 | ||
Unallocated | ||||
Allowance for Loan Losses: | ||||
Balance, ending: individually evaluated for impairment | 0 | 0 | ||
Balance, ending: collectively evaluated for impairment | 466 | 360 | ||
Total | 466 | 360 | $ 482 | $ 457 |
Total Loans: | ||||
Balance, ending: individually evaluated for impairment | 0 | 0 | ||
Balance, ending: collectively evaluated for impairment | 0 | 0 | ||
Total | $ 0 | $ 0 |
LOANS (Impaired Loans by Loan S
LOANS (Impaired Loans by Loan Segment) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual Loans | $ 3,446 | $ 3,454 |
Accruing TDRs | 5,971 | 3,624 |
Other Impaired Loans | 4,378 | 4,454 |
Total Impaired Loans | 13,795 | 11,532 |
Impaired Loans with Allowance | 10,747 | 7,444 |
Impaired Loans without Allowance | 3,048 | 4,088 |
One- to four-family | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual Loans | 1,530 | 1,741 |
Accruing TDRs | 881 | 888 |
Other Impaired Loans | 0 | 0 |
Total Impaired Loans | 2,411 | 2,629 |
Impaired Loans with Allowance | 210 | 137 |
Impaired Loans without Allowance | 2,201 | 2,492 |
Multi-family and commercial | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual Loans | 1,076 | 1,395 |
Accruing TDRs | 1,685 | 0 |
Other Impaired Loans | 4,378 | 4,454 |
Total Impaired Loans | 7,139 | 5,849 |
Impaired Loans with Allowance | 6,368 | 4,502 |
Impaired Loans without Allowance | 771 | 1,347 |
Construction | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual Loans | 0 | 0 |
Accruing TDRs | 3,393 | 2,723 |
Other Impaired Loans | 0 | 0 |
Total Impaired Loans | 3,393 | 2,723 |
Impaired Loans with Allowance | 3,393 | 2,723 |
Impaired Loans without Allowance | 0 | 0 |
Consumer | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual Loans | 110 | 243 |
Accruing TDRs | 12 | 13 |
Other Impaired Loans | 0 | 0 |
Total Impaired Loans | 122 | 256 |
Impaired Loans with Allowance | 46 | 82 |
Impaired Loans without Allowance | 76 | 174 |
Commercial and industrial | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual Loans | 730 | 75 |
Accruing TDRs | 0 | 0 |
Other Impaired Loans | 0 | 0 |
Total Impaired Loans | 730 | 75 |
Impaired Loans with Allowance | 730 | 0 |
Impaired Loans without Allowance | $ 0 | $ 75 |
LOANS (Narrative) (Details)
LOANS (Narrative) (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015USD ($)loanproperty | Sep. 30, 2014loan | Sep. 30, 2015USD ($)loanclassificationweaknessproperty | Sep. 30, 2014USD ($)loan | Dec. 31, 2014USD ($)loan | |
Financing Receivable, Impaired [Line Items] | |||||
Loans past due 90 days or more and still accruing interest | $ 0 | $ 0 | $ 0 | ||
Average recorded investment in impaired loans | 13,900,000 | $ 13,500,000 | |||
Interest income recognized on impaired loans | $ 631,000 | $ 384,000 | |||
Number of troubled debt restructurings, included in nonaccrual status and total impaired loans | loan | 2 | 2 | 4 | ||
Troubled debt restructurings excluded from accruing TDR | $ 1,100,000 | $ 1,100,000 | $ 1,400,000 | ||
Number of loans classified as TDRs | loan | 0 | 0 | 0 | 0 | |
Foreclosure proceedings in process | $ 365,000 | $ 365,000 | |||
Number of foreclosed properties | property | 5 | 5 | |||
Foreclosed residential real estate property | $ 315,000 | $ 315,000 | |||
Number of primary classification for loans | classification | 6 | ||||
Number of classifications for problem loans | classification | 3 | ||||
Minimum number of defined weaknesses for substandard loans | weakness | 1 | ||||
Multi-family and commercial | |||||
Financing Receivable, Impaired [Line Items] | |||||
Troubled debt restructurings excluded from accruing TDR | $ 1,000,000 | $ 1,000,000 | $ 1,100,000 | ||
Number of contracts classified as nonaccrual | loan | 1 | 1 | 1 | ||
One- to four-family | |||||
Financing Receivable, Impaired [Line Items] | |||||
Troubled debt restructurings excluded from accruing TDR | $ 93,000 | $ 93,000 | $ 336,000 | ||
Number of contracts classified as nonaccrual | loan | 1 | 1 | 3 |
LOANS (Allowance for Loan Loss
LOANS (Allowance for Loan Loss for Impaired Loans) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2013 |
Allowance for loan losses | ||||
Nonaccrual Loans | $ 208 | $ 47 | ||
Accruing TDRs | 171 | 114 | ||
Other Impaired Loans | 379 | 391 | ||
Total Impaired Loans | 758 | 552 | ||
General | 9,865 | 10,178 | ||
Total | 10,623 | 10,730 | $ 11,099 | $ 11,529 |
One- to four-family | ||||
Allowance for loan losses | ||||
Nonaccrual Loans | 3 | 11 | ||
Accruing TDRs | 0 | 0 | ||
Other Impaired Loans | 0 | 0 | ||
Total Impaired Loans | 3 | 11 | ||
General | 372 | 394 | ||
Total | 375 | 405 | 220 | 403 |
Multi-family and commercial | ||||
Allowance for loan losses | ||||
Nonaccrual Loans | 113 | 10 | ||
Accruing TDRs | 45 | 0 | ||
Other Impaired Loans | 379 | 391 | ||
Total Impaired Loans | 537 | 401 | ||
General | 5,607 | 5,589 | ||
Total | 6,144 | 5,990 | 6,975 | 7,141 |
Construction | ||||
Allowance for loan losses | ||||
Nonaccrual Loans | 0 | 0 | ||
Accruing TDRs | 126 | 114 | ||
Other Impaired Loans | 0 | 0 | ||
Total Impaired Loans | 126 | 114 | ||
General | 543 | 924 | ||
Total | 669 | 1,038 | 608 | 324 |
Consumer | ||||
Allowance for loan losses | ||||
Nonaccrual Loans | 38 | 26 | ||
Accruing TDRs | 0 | 0 | ||
Other Impaired Loans | 0 | 0 | ||
Total Impaired Loans | 38 | 26 | ||
General | 136 | 158 | ||
Total | 174 | 184 | 159 | 153 |
Commercial and industrial | ||||
Allowance for loan losses | ||||
Nonaccrual Loans | 54 | 0 | ||
Accruing TDRs | 0 | 0 | ||
Other Impaired Loans | 0 | 0 | ||
Total Impaired Loans | 54 | 0 | ||
General | 2,741 | 2,753 | ||
Total | 2,795 | 2,753 | 2,655 | 3,051 |
Unallocated | ||||
Allowance for loan losses | ||||
Nonaccrual Loans | 0 | 0 | ||
Accruing TDRs | 0 | 0 | ||
Other Impaired Loans | 0 | 0 | ||
Total Impaired Loans | 0 | 0 | ||
General | 466 | 360 | ||
Total | $ 466 | $ 360 | $ 482 | $ 457 |
LOANS (TDR Activity) (Details)
LOANS (TDR Activity) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015USD ($)loan | Sep. 30, 2014USD ($)loan | Sep. 30, 2015USD ($)loan | Sep. 30, 2014USD ($)loan | |
TDR activity | ||||
Number of Loans | loan | 0 | 0 | 2 | 2 |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 1,685 | $ 1,885 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 1,685 | $ 1,785 |
One- to four-family | ||||
TDR activity | ||||
Number of Loans | loan | 0 | 0 | 0 | 1 |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 0 | $ 245 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 0 | $ 245 |
Multi-family and commercial | ||||
TDR activity | ||||
Number of Loans | loan | 0 | 0 | 1 | 1 |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 914 | $ 1,640 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 914 | $ 1,540 |
Construction | ||||
TDR activity | ||||
Number of Loans | loan | 0 | 0 | 0 | 0 |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 0 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 0 | $ 0 |
Consumer loans | ||||
TDR activity | ||||
Number of Loans | loan | 0 | 0 | 0 | 0 |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 0 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 0 | $ 0 |
Commercial and industrial | ||||
TDR activity | ||||
Number of Loans | loan | 0 | 0 | 1 | 0 |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 771 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 771 | $ 0 |
LOANS (Past Due Loans by Segmen
LOANS (Past Due Loans by Segment) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
30-59 Days Past Due | ||
Past due loans | ||
Past due loans | $ 541 | $ 113 |
30-59 Days Past Due | One- to four-family | ||
Past due loans | ||
Past due loans | 122 | 0 |
30-59 Days Past Due | Multi-family and commercial | ||
Past due loans | ||
Past due loans | 350 | 0 |
30-59 Days Past Due | Construction | ||
Past due loans | ||
Past due loans | 0 | 0 |
30-59 Days Past Due | Consumer | ||
Past due loans | ||
Past due loans | 69 | 113 |
30-59 Days Past Due | Commercial and industrial | ||
Past due loans | ||
Past due loans | 0 | 0 |
60-89 Days Past Due | ||
Past due loans | ||
Past due loans | 179 | 145 |
60-89 Days Past Due | One- to four-family | ||
Past due loans | ||
Past due loans | 15 | 145 |
60-89 Days Past Due | Multi-family and commercial | ||
Past due loans | ||
Past due loans | 92 | 0 |
60-89 Days Past Due | Construction | ||
Past due loans | ||
Past due loans | 0 | 0 |
60-89 Days Past Due | Consumer | ||
Past due loans | ||
Past due loans | 72 | 0 |
60-89 Days Past Due | Commercial and industrial | ||
Past due loans | ||
Past due loans | $ 0 | $ 0 |
LOANS (Criticized and Classifie
LOANS (Criticized and Classified Loans by Segment) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Criticized and classified loans by segment | ||
Total criticized and classified loans | $ 750,359 | $ 735,350 |
One- to four-family | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 95,682 | 108,208 |
Multi-family and commercial | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 404,007 | 388,821 |
Construction | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 39,693 | 39,541 |
Consumer | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 15,550 | 19,599 |
Commercial and industrial | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 195,427 | 179,181 |
Pass and Pass watch | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 725,630 | 712,330 |
Pass and Pass watch | One- to four-family | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 94,152 | 106,467 |
Pass and Pass watch | Multi-family and commercial | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 388,682 | 376,134 |
Pass and Pass watch | Construction | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 36,276 | 36,229 |
Pass and Pass watch | Consumer | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 15,440 | 19,357 |
Pass and Pass watch | Commercial and industrial | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 191,080 | 174,143 |
Special mention loans | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 16,396 | 14,141 |
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 | 13,898 | 8,406 |
Special mention loans | Construction | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 0 | 2,723 |
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 | 2,498 | 3,012 |
Substandard loans | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 8,333 | 8,879 |
Substandard loans | One- to four-family | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 1,530 | 1,741 |
Substandard loans | Multi-family and commercial | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 1,427 | 4,281 |
Substandard loans | Construction | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 3,417 | 589 |
Substandard loans | Consumer | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 110 | 242 |
Substandard loans | Commercial and industrial | ||
Criticized and classified loans by segment | ||
Total criticized and classified loans | 1,849 | 2,026 |
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) $ in Thousands | Oct. 12, 2011 | Nov. 03, 2006 | Sep. 30, 2015USD ($)transaction | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($)transaction | Sep. 30, 2014USD ($) | Dec. 31, 2014USD ($)transaction |
Interest rate swap maturing in April 2022 | |||||||
Interest Rate Swaps | |||||||
Notional amount | $ 735 | $ 735 | |||||
Fixed rate loan term | 15 years | ||||||
Interest rate on loans receivable | 7.43% | ||||||
Interest rate derivative activities | 1-month LIBOR | ||||||
Margin added to derivative interest rate (as a percent) | 2.24% | ||||||
Fixed interest rate to be paid under hedge (as a percent) | 7.43% | ||||||
Fair value loss position on interest rate swap derivative | 107 | 107 | $ 116 | ||||
Interest rate swap maturing in October 2021 | |||||||
Interest Rate Swaps | |||||||
Notional amount | 1,500 | 1,500 | |||||
Fixed rate loan term | 10 years | ||||||
Interest rate on loans receivable | 5.83% | ||||||
Interest rate derivative activities | 1-month LIBOR | ||||||
Margin added to derivative interest rate (as a percent) | 3.50% | ||||||
Fixed interest rate to be paid under hedge (as a percent) | 5.83% | ||||||
Fair value loss position on interest rate swap derivative | 77 | 77 | $ 46 | ||||
Gain (loss) on fair value hedge ineffectiveness | $ (3) | $ (2) | $ (2) | $ (12) | |||
Credit Derivatives (Interest Rate Swap Underlyings) | |||||||
Credit Derivatives | |||||||
Number of derivative transactions | transaction | 4 | 4 | 4 | ||||
Notional amount of credit swap derivative (protection sold) | $ 12,300 | $ 12,300 | $ 12,600 | ||||
Remaining maturity period, minimum | 4 years | 5 years | |||||
Remaining maturity period, maximum | 7 years | 8 years | |||||
Fair value of swap asset (liability) | (195) | $ (195) | $ 91 | ||||
Derivative liability | 8 | 8 | $ 10 | ||||
Recognized income | $ (3) | (1) | $ 3 | (2) | |||
Credit Derivatives (Foreign Currency Swap Underlyings) | |||||||
Credit Derivatives | |||||||
Number of derivative transactions | transaction | 4 | 4 | 6 | ||||
Notional amount of credit swap derivative (protection sold) | $ 1,200 | $ 1,200 | $ 366 | ||||
Remaining maturity period, minimum | 1 month | 1 month | |||||
Remaining maturity period, maximum | 3 months | 4 months | |||||
Fair value of swap asset (liability) | 4 | $ 4 | $ 44 | ||||
Derivative liability | 2 | 2 | $ 2 | ||||
Recognized income | $ 1 | $ 2 | $ 3 | $ 4 |
DEPOSITS (Details)
DEPOSITS (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Weighted Average Interest Rate | ||
NOW accounts | 0.21% | 0.21% |
Money market accounts | 0.22% | 0.22% |
Savings and club accounts | 0.38% | 0.37% |
Brokered deposits | 0.76% | 0.73% |
Certificates of deposit | 0.83% | 0.87% |
Deposits | 0.44% | 0.42% |
Amount | ||
Noninterest-bearing demand accounts | $ 137,382 | $ 168,791 |
NOW accounts | 89,018 | 82,417 |
Money market accounts | 79,057 | 73,802 |
Savings and club accounts | 128,973 | 129,893 |
Brokered deposits | 78,460 | 70,817 |
Certificates of deposit | 204,812 | 186,189 |
Total deposits amount | $ 717,702 | $ 711,909 |
BORROWINGS (FHLB Advances) (Det
BORROWINGS (FHLB Advances) (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Borrowings | ||
Federal Home Loan Bank advances | $ 110,000,000 | $ 120,000,000 |
Fair value of investment securities pledged for borrowings | 165,800,000 | 169,700,000 |
FHLB stock | 4,986,000 | $ 6,015,000 |
0.60% borrowing, due March 2016 | ||
Borrowings | ||
Federal Home Loan Bank advances | 10,000,000 | |
0.62% borrowing, due March 2016 | ||
Borrowings | ||
Federal Home Loan Bank advances | 10,000,000 | |
0.75% borrowing, due September 2016 | ||
Borrowings | ||
Federal Home Loan Bank advances | 5,000,000 | |
1.04% borrowing, due September 2016 | ||
Borrowings | ||
Federal Home Loan Bank advances | 10,000,000 | |
0.94% borrowing, due June 2017 | ||
Borrowings | ||
Federal Home Loan Bank advances | 5,000,000 | |
0.92% borrowing, due July 2017 | ||
Borrowings | ||
Federal Home Loan Bank advances | 10,000,000 | |
3.62% borrowing, due November 2017 | ||
Borrowings | ||
Federal Home Loan Bank advances | $ 15,000,000 | |
Reference rate, description | 3-Month LIBOR | |
Interest rate added to reference rate (as a percent) | 0.10% | |
3.87% borrowing, due November 2017 | ||
Borrowings | ||
Federal Home Loan Bank advances | $ 15,000,000 | |
Reference rate, description | 3-Month LIBOR | |
Interest rate added to reference rate (as a percent) | 0.10% | |
2.83% borrowing, due on December 2017 | ||
Borrowings | ||
Federal Home Loan Bank advances | $ 20,000,000 | |
Reference rate, description | 3-Month LIBOR | |
Interest rate added to reference rate (as a percent) | 0.11% | |
1.32% borrowing, due on July 2018 | ||
Borrowings | ||
Federal Home Loan Bank advances | $ 10,000,000 | |
Federal Home Loan Bank Advances | ||
Borrowings | ||
Maximum borrowing capacity | $ 470,400,000 | |
Capital stock to be held as percentage of advances | 4.00% | |
Capital stock to be held as percentage of eligible assets | 0.10% | |
Federal Home Loan Bank Advances | Minimum | ||
Borrowings | ||
Capital stock to be held as percentage of advances | 2.00% | |
Capital stock to be held as percentage of eligible assets | 0.05% | |
Stock obligation | $ 2,500,000 | |
Federal Home Loan Bank Advances | Maximum | ||
Borrowings | ||
Capital stock to be held as percentage of advances | 6.00% | |
Capital stock to be held as percentage of eligible assets | 1.00% | |
Stock obligation | $ 12,500,000 | |
Federal Reserve Bank of Philadelphia | ||
Borrowings | ||
Maximum borrowing capacity | 61,400,000 | |
Fair value of investment securities pledged for borrowings | $ 62,300,000 | |
FHLB advances | ||
Borrowings | ||
Interest rate (as a percent) | 2.02% | |
Securities pledged as collateral | $ 587,400,000 | |
FHLB advances | 0.60% borrowing, due March 2016 | ||
Borrowings | ||
Interest rate (as a percent) | 0.60% | |
FHLB advances | 0.62% borrowing, due March 2016 | ||
Borrowings | ||
Interest rate (as a percent) | 0.62% | |
FHLB advances | 0.75% borrowing, due September 2016 | ||
Borrowings | ||
Interest rate (as a percent) | 0.75% | |
FHLB advances | 1.04% borrowing, due September 2016 | ||
Borrowings | ||
Interest rate (as a percent) | 1.04% | |
FHLB advances | 0.94% borrowing, due June 2017 | ||
Borrowings | ||
Interest rate (as a percent) | 0.94% | |
FHLB advances | 0.92% borrowing, due July 2017 | ||
Borrowings | ||
Interest rate (as a percent) | 0.92% | |
FHLB advances | 3.62% borrowing, due November 2017 | ||
Borrowings | ||
Interest rate (as a percent) | 3.62% | |
FHLB advances | 3.87% borrowing, due November 2017 | ||
Borrowings | ||
Interest rate (as a percent) | 3.87% | |
FHLB advances | 2.83% borrowing, due on December 2017 | ||
Borrowings | ||
Interest rate (as a percent) | 2.83% | |
FHLB advances | 1.32% borrowing, due on July 2018 | ||
Borrowings | ||
Interest rate (as a percent) | 1.32% | |
Federal Home Loan Bank Advances | ||
Borrowings | ||
Fair value of investment securities pledged for borrowings | $ 68,800,000 |
BORROWINGS (Other Borrowed Fund
BORROWINGS (Other Borrowed Funds) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Other Borrowed Funds | ||
Amount of other borrowings | $ 30,000 | $ 30,000 |
Mortgage backed securities pledged as collateral for other borrowed funds | 165,800 | $ 169,700 |
3.15% other borrowings, due October 2018 | ||
Other Borrowed Funds | ||
Amount of other borrowings | $ 5,000 | |
Interest rate (as a percent) | 3.15% | |
Other Borrowings 1-month LIBOR plus 2.03 Percent Due December 2018 [Member] [Domain] | ||
Other Borrowed Funds | ||
Amount of other borrowings | $ 5,000 | |
Reference rate, description | 1-Month LIBOR | |
Interest rate added to reference rate (as a percent) | 2.03% | |
Other Borrowings 1-month LIBOR plus 1.89 Percent DUe September 2019 [Member] [Domain] | ||
Other Borrowed Funds | ||
Amount of other borrowings | $ 10,000 | |
Reference rate, description | 1-Month LIBOR | |
Interest rate added to reference rate (as a percent) | 1.89% | |
Other Borrowings 1-month LIBOR plus 1.56 Percent Due September 2020 [Domain] | ||
Other Borrowed Funds | ||
Amount of other borrowings | $ 5,000 | |
Reference rate, description | 1-Month LIBOR | |
Interest rate added to reference rate (as a percent) | 1.56% | |
Other Borrowings 1-month LIBOR plus 1.58 Percent Due November 2020 [Domain] | ||
Other Borrowed Funds | ||
Amount of other borrowings | $ 5,000 | |
Reference rate, description | 1-Month LIBOR | |
Interest rate added to reference rate (as a percent) | 1.58% | |
Other long-term borrowings | ||
Other Borrowed Funds | ||
Mortgage backed securities pledged as collateral for other borrowed funds | $ 34,700 |
BORROWINGS (Short-term Borrowin
BORROWINGS (Short-term Borrowings) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Short-term Debt [Line Items] | ||
Short-term borrowings | $ 60,000 | $ 50,000 |
Overnight Borrowings | ||
Short-term Debt [Line Items] | ||
Short-term borrowings | $ 35,000 | |
Blended weighted average interest rate (as a percent) | 0.36% | 0.31% |
Short-term Debt other than Overnight | ||
Short-term Debt [Line Items] | ||
Short-term borrowings | $ 15,000 | |
Blended weighted average interest rate (as a percent) | 0.33% |
STOCK BASED COMPENSATION (Detai
STOCK BASED COMPENSATION (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 9 Months Ended | 12 Months Ended | ||
May. 31, 2015 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | |
STOCK BASED COMPENSATION | |||||
Stock based compensation expense | $ 1,000 | $ 894 | |||
Stock options | |||||
STOCK BASED COMPENSATION | |||||
Stock based compensation expense | $ 348 | 328 | |||
Number of Stock Options | |||||
Outstanding at the beginning of the period (in shares) | 1,100,520 | ||||
Granted (in shares) | 130,500 | ||||
Exercised (in shares) | (77,239) | ||||
Forfeited / Cancelled (in shares) | (19,800) | ||||
Outstanding at the end of the period (in shares) | 1,133,981 | 1,100,520 | |||
Exercisable at the end of the period (in shares) | 765,479 | ||||
Weighted Average Exercise Price | |||||
Outstanding at the beginning of the period (in dollars per share) | $ 12.96 | ||||
Granted (in dollars per share) | 16.99 | ||||
Exercised (in dollars per share) | 12.08 | ||||
Forfeited / Cancelled (in dollars per share) | 15.35 | ||||
Outstanding at the end of the period (in dollars per share) | 13.44 | $ 12.96 | |||
Exercisable at the end of the period (in dollars per share) | $ 12.13 | ||||
Weighted Average Remaining Contractual Life | |||||
Outstanding at the beginning of the period | 5 years 2 months | 5 years 3 months | |||
Outstanding at the end of the period | 5 years 2 months | 5 years 3 months | |||
Exercisable at the end of the period | 3 years 9 months | ||||
Aggregate Intrinsic Value | |||||
Outstanding at the beginning of the period | $ 4,172 | ||||
Outstanding at the end of the period | 4,441 | $ 4,172 | |||
Exercisable at the end of the period | $ 4,006 | ||||
Assumptions used to determine fair value of options granted | |||||
Expected dividend yield (as a percent) | 4.00% | ||||
Expected option life | 6 years 6 months | ||||
Number of Stock Options, Unvested | |||||
Unvested at the beginning of the period (in shares) | 369,503 | ||||
Granted (in shares) | 130,500 | ||||
Vested (in shares) | (111,701) | ||||
Forfeited / Cancelled (in shares) | (19,800) | ||||
Unvested at the end of the period (in shares) | 368,502 | 369,503 | |||
Weighted Average Grant Date Fair Value, Unvested | |||||
Unvested at the beginning of the period (in dollars per share) | $ 3.90 | ||||
Granted (in dollars per share) | 3.21 | ||||
Vested (in dollars per share) | 3.82 | ||||
Forfeited / Cancelled (in dollars per share) | 3.84 | ||||
Unvested at the end of the period (in dollars per share) | $ 3.68 | $ 3.90 | |||
Compensation cost not yet recognized | |||||
Expected future compensation expense, non-vested options | $ 1,100 | ||||
Weighted average period | 3 years | ||||
Stock options | Minimum | |||||
Assumptions used to determine fair value of options granted | |||||
Expected volatility (as a percent) | 22.45% | ||||
Risk-free interest rate (as a percent) | 1.65% | ||||
Weighted Average Grant Date Fair Value, Unvested | |||||
Granted (in dollars per share) | $ 2.24 | ||||
Stock options | Maximum | |||||
Assumptions used to determine fair value of options granted | |||||
Expected volatility (as a percent) | 29.86% | ||||
Risk-free interest rate (as a percent) | 1.74% | ||||
Weighted Average Grant Date Fair Value, Unvested | |||||
Granted (in dollars per share) | $ 3.24 | ||||
Restricted stock | |||||
STOCK BASED COMPENSATION | |||||
Stock based compensation expense | $ 694 | $ 566 | |||
Compensation cost not yet recognized | |||||
Expected future compensation expense, restricted shares | $ 2,200 | ||||
Weighted average period | 2 years 11 months | ||||
Number of Restricted Shares | |||||
Unvested at the beginning of the period (in shares) | 188,622 | ||||
Granted (in shares) | 51,755 | ||||
Vested (in shares) | (55,724) | ||||
Forfeited / Cancelled (in shares) | (7,150) | ||||
Unvested at the end of the period (in shares) | 177,503 | 188,622 | |||
Weighted Average Grant Date Fair Value | |||||
Unvested at the beginning of the period (in dollars per share) | $ 15.36 | ||||
Granted (in dollars per share) | 16.31 | ||||
Vested (in dollars per share) | 14.07 | ||||
Forfeited / Cancelled (in dollars per share) | 15.51 | ||||
Unvested at the end of the period (in dollars per share) | $ 16.03 | $ 15.36 | |||
Performance based restricted stock | |||||
Weighted Average Grant Date Fair Value | |||||
Granted (in dollars per share) | $ 13.11 | ||||
Award vesting period | 5 years | ||||
Metric weight percentage | 50.00% | ||||
Additional shares granted | 9,055 | ||||
Percent of target shares | 142.00% | ||||
Performance based restricted stock | Minimum | |||||
Weighted Average Grant Date Fair Value | |||||
Award vesting rights, percentage | 0.00% | ||||
Performance based restricted stock | Maximum | |||||
Weighted Average Grant Date Fair Value | |||||
Award vesting rights, percentage | 150.00% | ||||
Performance based restricted stock | Executive Officer | |||||
Number of Restricted Shares | |||||
Granted (in shares) | 30,555 | 8,840 | 39,250 | ||
Unvested at the end of the period (in shares) | 21,500 | ||||
50% Vest at Year Three | Performance based restricted stock | |||||
Weighted Average Grant Date Fair Value | |||||
Award vesting rights, percentage | 50.00% | ||||
25% Vest at Year Four | Performance based restricted stock | |||||
Weighted Average Grant Date Fair Value | |||||
Award vesting rights, percentage | 25.00% | ||||
50% Vest at Measurement Date | Performance based restricted stock | |||||
Weighted Average Grant Date Fair Value | |||||
Award vesting rights, percentage | 50.00% | ||||
50% Vest at Year Four | Performance based restricted stock | |||||
Weighted Average Grant Date Fair Value | |||||
Award vesting rights, percentage | 50.00% | ||||
25% Vest At Year Five | Performance based restricted stock | |||||
Weighted Average Grant Date Fair Value | |||||
Award vesting rights, percentage | 25.00% |
FAIR VALUE FAIR VALUE (Narrativ
FAIR VALUE FAIR VALUE (Narrative) (Details) | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2015USD ($)securityloanadjustmentexternal_pricing_service | Sep. 30, 2014USD ($) | Dec. 31, 2014USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Number of external pricing service providers | external_pricing_service | 1 | ||
Number of quotes per investment security obtained | security | 1 | ||
Adjustments to the values obtained from the primary pricing service | adjustment | 0 | ||
Liabilities transferred between the three levels of the fair value hierarchy | $ 0 | $ 0 | |
Assets transferred between the three levels of the fair value hierarchy | $ 0 | $ 0 | |
Loans | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Number of loans | loan | 2 | ||
Loans | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Unrealized gain on loans | $ 172,000 | $ 152,000 | |
Loans | Non-recurring basis | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fully charged off loans balance sheet value | 0 | ||
Derivatives contracts | Recurring basis | Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities | $ 10,000 | $ 12,000 |
FAIR VALUE (Estimated Fair Valu
FAIR VALUE (Estimated Fair Values of Financial Instruments) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2013 |
Financial assets: | ||||
Cash and cash equivalents | $ 7,211 | $ 17,213 | $ 7,727 | $ 11,947 |
Investment securities available-for-sale | 138,756 | 134,037 | ||
Investment securities held-to-maturity | 157,665 | 170,854 | ||
FHLB stock | 4,986 | 6,015 | ||
Accrued interest receivable | 3,174 | 3,147 | ||
Mortgage servicing rights | 98 | 111 | ||
Financial liabilities: | ||||
Savings and club accounts | 128,973 | 129,893 | ||
Carrying Amount | ||||
Financial assets: | ||||
FHLB stock | 4,986 | 6,015 | ||
Carrying Amount | Level 1 | ||||
Financial assets: | ||||
Cash and cash equivalents | 7,211 | 17,213 | ||
Carrying Amount | Level 2 | ||||
Financial assets: | ||||
Investment securities available-for-sale | 138,756 | 134,037 | ||
Investment securities held-to-maturity | 156,099 | 170,172 | ||
Financial liabilities: | ||||
Savings and club accounts | 128,973 | 129,893 | ||
Demand, NOW and money market deposits | 305,457 | 325,010 | ||
Brokered deposits | 78,460 | 70,817 | ||
Certificates of deposit | 204,812 | 186,189 | ||
Short-term borrowings | 60,000 | 50,000 | ||
FHLB advances | 110,000 | 120,000 | ||
Other borrowed funds | 30,000 | 30,000 | ||
Accrued interest payable | 310 | 311 | ||
Carrying Amount | Level 3 | ||||
Financial assets: | ||||
Loans receivable, net | 739,489 | 724,326 | ||
Mortgage servicing rights | 98 | 111 | ||
Carrying Amount | Level 2, 3 | ||||
Financial assets: | ||||
Accrued interest receivable | 3,174 | 3,147 | ||
Financial liabilities: | ||||
Derivative contracts | 193 | 174 | ||
Estimated Fair Value | Level 1 | ||||
Financial assets: | ||||
Cash and cash equivalents | 7,211 | 17,213 | ||
Estimated Fair Value | Level 2 | ||||
Financial assets: | ||||
Investment securities available-for-sale | 138,756 | 134,037 | ||
Investment securities held-to-maturity | 157,665 | 170,854 | ||
Financial liabilities: | ||||
Savings and club accounts | 128,973 | 129,893 | ||
Demand, NOW and money market deposits | 305,457 | 325,010 | ||
Brokered deposits | 78,497 | 70,600 | ||
Certificates of deposit | 204,955 | 186,154 | ||
Short-term borrowings | 60,000 | 50,000 | ||
FHLB advances | 112,794 | 123,189 | ||
Other borrowed funds | 31,918 | 32,017 | ||
Accrued interest payable | 310 | 311 | ||
Estimated Fair Value | Level 3 | ||||
Financial assets: | ||||
Loans receivable, net | 744,058 | 732,142 | ||
Mortgage servicing rights | 98 | 111 | ||
Estimated Fair Value | Level 2, 3 | ||||
Financial assets: | ||||
Accrued interest receivable | 3,174 | 3,147 | ||
Financial liabilities: | ||||
Derivative contracts | $ 193 | $ 174 |
FAIR VALUE (Recurring and Nonre
FAIR VALUE (Recurring and Nonrecurring Basis) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | $ 138,756 | $ 134,037 |
Mortgage servicing rights, net | 98 | 111 |
Balance | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 138,756 | 134,037 |
Balance | Significant Other Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage servicing rights, net | 98 | 111 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Obligations of U.S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
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, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivatives contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts | 0 | 0 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Obligations of U.S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 304 | 302 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Corporate securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 17,646 | 8,086 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Agency residential mortgage related securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 120,806 | 125,649 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Derivatives contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts | (183) | (162) |
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Obligations of U.S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Corporate securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Agency residential mortgage related securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 0 | 0 |
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 2,381 | 2,451 |
Recurring basis | Significant Other Unobservable Inputs (Level 3) | Derivatives contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts | (10) | (12) |
Recurring basis | Balance | Obligations of U.S. government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 304 | 302 |
Recurring basis | Balance | Corporate securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 17,646 | 8,086 |
Recurring basis | Balance | Agency residential mortgage related securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities available-for-sale | 120,806 | 125,649 |
Recurring basis | Balance | Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 2,381 | 2,451 |
Recurring basis | Balance | Derivatives contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts | (193) | (174) |
Non-recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Mortgage servicing rights, net | 0 | 0 |
Non-recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Non-recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other real estate owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Non-recurring basis | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Mortgage servicing rights, net | 0 | 0 |
Non-recurring basis | Significant Other Observable Inputs (Level 2) | Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Non-recurring basis | Significant Other Observable Inputs (Level 2) | Other real estate owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Non-recurring basis | Significant Other Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 4,153 | 4,579 |
Mortgage servicing rights, net | 98 | 111 |
Non-recurring basis | Significant Other Unobservable Inputs (Level 3) | Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 1,240 | 1,654 |
Non-recurring basis | Significant Other Unobservable Inputs (Level 3) | Other real estate owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 2,815 | 2,814 |
Non-recurring basis | Balance | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 4,153 | 4,579 |
Mortgage servicing rights, net | 98 | 111 |
Non-recurring basis | Balance | Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 1,240 | 1,654 |
Non-recurring basis | Balance | Other real estate owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | $ 2,815 | $ 2,814 |
FAIR VALUE (Level 3 Rollforward
FAIR VALUE (Level 3 Rollforward) (Details) - Significant Other Unobservable Inputs (Level 3) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ||
Beginning balance | $ 2,439 | $ 6,589 |
Purchases/additions | (2) | (12) |
Sales | 0 | (1,938) |
Payments (received) made | (89) | (2,200) |
Premium amortization, net | 0 | 0 |
Increase (decrease) in value | 23 | 6 |
Ending balance | 2,371 | 2,445 |
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 | 0 | 2,120 |
Purchases/additions | 0 | 0 |
Sales | 0 | 0 |
Payments (received) made | 0 | (2,118) |
Premium amortization, net | 0 | 0 |
Increase (decrease) in value | 0 | (2) |
Ending balance | 0 | 0 |
Derivatives contracts | ||
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ||
Beginning balance | (12) | (4) |
Purchases/additions | (2) | (12) |
Sales | 0 | 0 |
Payments (received) made | 0 | 0 |
Premium amortization, net | 0 | 0 |
Increase (decrease) in value | 4 | 2 |
Ending balance | (10) | (14) |
Financial assets acquired from debtors | ||
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ||
Beginning balance | 0 | 1,938 |
Purchases/additions | 0 | 0 |
Sales | 0 | (1,938) |
Payments (received) made | 0 | 0 |
Premium amortization, net | 0 | 0 |
Increase (decrease) in value | 0 | 0 |
Ending balance | 0 | 0 |
Loans | ||
Roll forward of financial instruments which fair value is determined using Significant Other Unobservable Inputs (Level 3) | ||
Beginning balance | 2,451 | 2,535 |
Purchases/additions | 0 | 0 |
Sales | 0 | 0 |
Payments (received) made | (89) | (82) |
Premium amortization, net | 0 | 0 |
Increase (decrease) in value | 19 | 6 |
Ending balance | $ 2,381 | $ 2,459 |