Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2016 | Aug. 03, 2016 | |
Entity Information [Line Items] | ||
Entity Registrant Name | SI Financial Group, Inc. | |
Entity Central Index Key | 1,500,213 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 12,220,680 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Cash and due from banks: | ||
Noninterest-bearing | $ 14,069 | $ 14,373 |
Interest-bearing | 60,470 | 26,405 |
Total cash and cash equivalents | 74,539 | 40,778 |
Available for sale securities, at fair value | 188,133 | 175,132 |
Loans held for sale | 5,146 | 1,804 |
Loans receivable (net of allowance for loan losses of $10,643 at June 30, 2016 and $9,863 at December 31, 2015) | 1,153,748 | 1,165,372 |
Federal Home Loan Bank stock, at cost | 12,370 | 12,874 |
Federal Reserve Bank stock, at cost | 3,624 | 3,621 |
Bank-owned life insurance | 21,000 | 21,924 |
Premises and equipment, net | 20,460 | 21,188 |
Goodwill and other intangibles | 17,795 | 18,096 |
Accrued interest receivable | 4,224 | 4,283 |
Deferred tax asset, net | 8,344 | 8,961 |
Other real estate owned, net | 1,166 | 1,088 |
Other assets | 7,068 | 6,713 |
Total assets | 1,517,617 | 1,481,834 |
Deposits: | ||
Noninterest-bearing | 169,765 | 163,893 |
Interest-bearing | 947,067 | 894,124 |
Total deposits | 1,116,832 | 1,058,017 |
Mortgagors' and investors' escrow accounts | 4,135 | 3,508 |
Federal Home Loan Bank advances | 207,914 | 234,595 |
Junior subordinated debt owed to unconsolidated trust | 8,248 | 8,248 |
Accrued expenses and other liabilities | 21,673 | 23,136 |
Total liabilities | 1,358,802 | 1,327,504 |
Shareholders' Equity: | ||
Preferred stock ($.01 par value; 1,000,000 shares authorized; none issued) | 0 | 0 |
Common stock ($.01 par value; 35,000,000 shares authorized; 12,220,680 and 12,218,818 shares issued and outstanding at June 30, 2016 and December 31, 2015, respectively) | 122 | 122 |
Additional paid-in-capital | 125,306 | 124,997 |
Unallocated common shares held by ESOP | (3,408) | (3,648) |
Unearned restricted shares | (559) | (815) |
Retained earnings | 36,188 | 33,864 |
Accumulated other comprehensive income (loss) | 1,166 | (190) |
Total shareholders' equity | 158,815 | 154,330 |
Total liabilities and shareholders' equity | $ 1,517,617 | $ 1,481,834 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
ASSETS: | ||
Loans receivable, allowance for loan losses | $ 10,643 | $ 9,863 |
Shareholders' Equity | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 35,000,000 | 35,000,000 |
Common stock, shares issued | 12,220,680 | 12,818,818 |
Common stock, outstanding (in shares) | 12,220,680 | 12,818,818 |
Treasury stock (in shares) | 0 | 0 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Interest and dividend income: | ||||
Loans, including fees | $ 11,506 | $ 10,931 | $ 23,077 | $ 21,545 |
Securities: | ||||
Taxable interest | 907 | 690 | 1,746 | 1,450 |
Tax-exempt interest | 14 | 54 | 28 | 86 |
Dividends | 171 | 96 | 333 | 141 |
Other | 77 | 19 | 133 | 38 |
Total interest and dividend income | 12,675 | 11,790 | 25,317 | 23,260 |
Interest expense: | ||||
Deposits | 1,655 | 1,379 | 3,204 | 2,747 |
Federal Home Loan Bank advances | 816 | 682 | 1,690 | 1,278 |
Subordinated debt and other borrowings | 48 | 84 | 93 | 167 |
Total interest expense | 2,519 | 2,145 | 4,987 | 4,192 |
Net interest income | 10,156 | 9,645 | 20,330 | 19,068 |
Provision for loan losses | 582 | 360 | 893 | 695 |
Net interest income after provision for loan losses | 9,574 | 9,285 | 19,437 | 18,373 |
Noninterest income: | ||||
Service fees | 1,569 | 1,692 | 3,213 | 3,340 |
Wealth management fees | 302 | 315 | 601 | 613 |
Increase in cash surrender value of bank-owned life insurance | 136 | 142 | 277 | 303 |
Net gain on sales of securities | 0 | 132 | 0 | 132 |
Mortgage banking | 399 | 130 | 669 | 277 |
Net gain (loss) on fair value of derivatives | 16 | (10) | 15 | (15) |
Net loss on disposal of equipment | (35) | (14) | (36) | (20) |
Other | 199 | 223 | 549 | 317 |
Total noninterest income | 2,586 | 2,610 | 5,288 | 4,947 |
Noninterest expenses: | ||||
Salaries and employee benefits | 4,643 | 5,129 | 9,821 | 10,073 |
Occupancy and equipment | 1,703 | 1,791 | 3,446 | 3,844 |
Computer and electronic banking services | 1,476 | 1,458 | 2,944 | 2,755 |
Outside professional services | 379 | 508 | 1,014 | 974 |
Marketing and advertising | 238 | 274 | 451 | 520 |
Supplies | 121 | 144 | 289 | 292 |
FDIC deposit insurance and regulatory assessments | 253 | 248 | 525 | 493 |
Core deposit intangible amortization | 150 | 151 | 301 | 301 |
Other real estate owned operations | 69 | 202 | 125 | 284 |
Other | 548 | 501 | 930 | 931 |
Total noninterest expenses | 9,580 | 10,406 | 19,846 | 20,467 |
Income before income tax provision | 2,580 | 1,489 | 4,879 | 2,853 |
Income tax provision | 852 | 484 | 1,610 | 927 |
Net income | $ 1,728 | $ 1,005 | $ 3,269 | $ 1,926 |
Earnings per share: | ||||
Basic | $ 0.15 | $ 0.08 | $ 0.28 | $ 0.16 |
Diluted | $ 0.15 | $ 0.08 | $ 0.28 | $ 0.16 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | ||
Net income | $ 1,728,000 | $ 1,005,000 | $ 3,269,000 | $ 1,926,000 | |
Available for sale securities: | |||||
Net unrealized holding gains (losses) | 310,000 | (480,000) | 1,356,000 | 222,000 | |
Reclassification adjustment for gains recognized in net income (1) | [1] | 0 | 87,000 | 0 | 87,000 |
Net unrealized holding gains (losses) on available for sale securities | 310,000 | (567,000) | 1,356,000 | 135,000 | |
Net unrealized gain on interest-rate swap derivative | 0 | 27,000 | 0 | 52,000 | |
Other comprehensive income (loss) | 310,000 | (540,000) | 1,356,000 | 187,000 | |
Comprehensive income | 2,038,000 | 465,000 | 4,625,000 | 2,113,000 | |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Tax | $ 0 | $ 45,000 | $ 0 | $ 45,000 | |
[1] | (1) Amounts are included in net gain on sales of securities in noninterest income on the consolidated statements of income. Income tax provision associated with the reclassification adjustment for both the three and six months ended June 30, 2016 was zero and for both the three and six months ended June 30, 2015 was $45,000. |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - 6 months ended Jun. 30, 2016 - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Unallocated Common Shares Held By ESOP [Member] | Unearned Restricted Shares [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] |
Balance at Dec. 31, 2015 | $ 154,330 | $ 122 | $ 124,997 | $ (3,648) | $ (815) | $ 33,864 | $ (190) |
Balance (in shares) at Dec. 31, 2015 | 12,218,818 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Comprehensive income | 4,625 | 3,269 | 1,356 | ||||
Cash dividends declared ($0.08 per share) | (945) | (945) | |||||
Equity incentive plans compensation | 461 | 205 | 256 | ||||
Allocation of 24,318 ESOP shares | 336 | 96 | 240 | ||||
Tax benefit from share-based compensation | 8 | 8 | |||||
Stock options exercised, Value | 37 | $ 0 | 37 | ||||
Stock options exercised | 5,092 | ||||||
Common shares repurchased, Value | (37) | $ 0 | (37) | 0 | |||
Common shares repurchased | (3,230) | ||||||
Balance at Jun. 30, 2016 | $ 158,815 | $ 122 | $ 125,306 | $ (3,408) | $ (559) | $ 36,188 | $ 1,166 |
Balance (in shares) at Jun. 30, 2016 | 12,220,680 |
CONSOLIDATED STATEMENTS OF CHA7
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) | 6 Months Ended |
Jun. 30, 2016$ / sharesshares | |
Cash dividends declared per share | $ / shares | $ 0.08 |
Allocation of ESOP shares | shares | 24,318 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Cash flows from operating activities: | |||||
Net income | $ 1,728 | $ 1,005 | $ 3,269 | $ 1,926 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||
Provision for loan losses | 582 | 360 | 893 | 695 | |
Employee stock ownership plan expense | 336 | 283 | |||
Equity incentive plan expense | 461 | 352 | |||
Excess tax benefit from share-based compensation | (8) | (5) | |||
Amortization of investment premiums and discounts, net | 384 | 586 | |||
Amortization of loan premiums and discounts, net | 736 | 938 | |||
Depreciation and amortization of premises and equipment | 1,234 | 1,372 | |||
Amortization of core deposit intangible | 150 | 151 | 301 | 301 | |
Amortization of deferred debt issue costs | 0 | 13 | |||
Net gain on sales of securities | 0 | (132) | 0 | (132) | |
Net (gain) loss on fair value of derivatives | (16) | 10 | (15) | 15 | |
Deferred income tax (benefit) provision | (81) | 89 | |||
Loans originated for sale | (19,198) | (14,134) | |||
Proceeds from sale of loans held for sale | 16,073 | 13,729 | |||
Net gain on sales of loans held for sale | (532) | (156) | |||
Net loss on disposal of equipment | 36 | 20 | |||
Net loss on sales or write-downs of other real estate owned | 2 | 122 | |||
Increase in cash surrender value of bank-owned life insurance | (136) | (142) | (277) | (303) | |
Change in operating assets and liabilities: | |||||
Accrued interest receivable | 59 | (180) | |||
Other assets | (40) | 568 | |||
Accrued expenses and other liabilities | (1,440) | 347 | |||
Net cash provided by operating activities | 2,193 | 6,446 | |||
Cash flows from investing activities: | |||||
Purchases of available for sale securities | (24,401) | (22,407) | |||
Proceeds from sales of available for sale securities | 0 | 9,703 | 0 | 9,703 | |
Proceeds from maturities of and principal repayments on available for sale securities | 13,070 | 14,693 | |||
Purchases of Federal Home Loan Bank stock | 0 | (629) | |||
Purchases of Federal Reserve Bank stock | (3) | (3,621) | |||
Redemption of Federal Home Loan Bank stock | 504 | 0 | |||
Loan principal collections (originations), net | 21,503 | 9,366 | |||
Purchases of loans | (11,858) | (67,240) | $ (113,200) | ||
Proceeds from sales of other real estate owned | 270 | 62 | |||
Purchases of premises and equipment | (542) | (1,791) | |||
Proceeds from bank-owned life insurance | 1,201 | 0 | |||
Net cash used in investing activities | (256) | (61,864) | |||
Cash flows from financing activities: | |||||
Net increase in deposits | 58,815 | 19,415 | |||
Net increase in mortgagors' and investors' escrow accounts | 627 | 300 | |||
Proceeds from Federal Home Loan Bank advances | 3,000 | 78,478 | |||
Repayments of Federal Home Loan Bank advances | (29,681) | (34,575) | |||
Excess tax benefit from share-based compensation | 8 | 5 | |||
Cash dividends on common stock | (945) | (973) | |||
Stock options exercised | 37 | 703 | |||
Common shares repurchased | (37) | (7,601) | |||
Net cash provided by financing activities | 31,824 | 55,752 | |||
Net change in cash and cash equivalents | 33,761 | 334 | |||
Cash and cash equivalents at beginning of period | 40,778 | 39,251 | 39,251 | ||
Cash and cash equivalents at end of period | $ 74,539 | $ 39,585 | 74,539 | 39,585 | $ 40,778 |
Supplemental cash flow information: | |||||
Interest paid | 5,015 | 4,199 | |||
Income taxes paid, net | 1,450 | 470 | |||
Transfer of loans to other real estate owned | 350 | 385 | |||
Stock options exercised by net-share settlement | $ 0 | $ 2,563 |
NATURE OF BUSINESS AND SUMMARY
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Business SI Financial Group, Inc. (the “Company”) is the holding company for Savings Institute Bank and Trust Company (the “Bank”). Established in 1842 , the Bank is a community-oriented financial institution headquartered in Willimantic, Connecticut. The Bank provides a variety of financial services to individuals, businesses and municipalities through its 25 offices in eastern Connecticut and Rhode Island. Its primary products include savings, checking and certificate of deposit accounts, residential and commercial mortgage loans, commercial business loans and consumer loans. In addition, wealth management services, which include trust, financial planning, life insurance and investment services, are offered to individuals and businesses through the Bank’s offices. The Company does not conduct any material business other than owning all of the stock of the Bank and making payments on the subordinated debentures held by the Company. Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company, its wholly-owned subsidiary, the Bank, and the Bank’s wholly-owned subsidiaries, SI Mortgage Company and SI Realty Company, Inc. All significant intercompany accounts and transactions have been eliminated. Basis of Financial Statement Presentation The interim consolidated financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information, the instructions to Form 10-Q and Rule 10.01 of Regulation S-X of the Securities and Exchange Commission ("SEC") and general practices within the banking industry. Accordingly, certain information and footnote disclosures required by GAAP for complete financial statements have been omitted. Information in the accompanying interim consolidated financial statements and notes to the financial statements of the Company as of June 30, 2016 and for the three and six months ended June 30, 2016 and 2015 is unaudited. These unaudited interim consolidated financial statements and related notes should be read in conjunction with the audited financial statements of the Company and the accompanying notes for the year ended December 31, 2015 contained in the Company’s Form 10-K. In the opinion of management, the accompanying unaudited interim consolidated financial statements reflect all of the adjustments, consisting only of normal and recurring adjustments, necessary for a fair presentation of the financial condition, results of operations and cash flows as of and for the periods covered herein. The results of operations for the three and six months ended June 30, 2016 are not necessarily indicative of the operating results for the year ending December 31, 2016 or for any other period. In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities, as of the date of the balance sheets and reported amounts of revenues and expenses for the periods presented. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, deferred income taxes and the impairment of long-lived assets. Reclassifications Amounts in the Company’s prior year consolidated financial statements are reclassified to conform to the current year presentation. Such reclassifications have no effect on net income. Loans Receivable Loans receivable are stated at current unpaid principal balances, net of the allowance for loan losses and deferred loan origination fees and costs. Management has the ability and intent to hold its loans receivable for the foreseeable future or until maturity or pay-off. A loan is impaired when, based on current information and events, it is probable the Company will be unable to collect all contractual principal and interest payments due in accordance with the terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Impairment is measured on a loan by loan basis for residential and commercial mortgage loans and commercial business loans by either the present value of expected future cash flows discounted at the loan's effective interest rate or, as a practical expedient, at the loan's observable market price or the fair value of the collateral if the loan is collateral dependent. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not typically identify individual consumer loans for impairment disclosures, unless such loans are subject to a troubled debt restructuring ("TDR") agreement. Troubled Debt Restructurings The Company periodically may agree to modify the contractual terms of loans. When a loan is modified and concessions have been made to the original contractual terms that would not otherwise be considered for a borrower with similar risk characteristics, such as reductions of interest rates, deferral of interest or principal payments, or maturity extensions due to the borrower’s financial condition, the modification is considered a TDR. Modified terms are dependent upon the financial position and needs of the individual borrower. If the modification agreement is violated, the loan is handled by the Company’s Collections Department for resolution, which may result in foreclosure. Management considers all nonaccrual loans, with the exception of certain consumer loans, to be impaired. Also, all TDRs are initially classified as impaired and follow the Company's nonaccrual policy. If the loan was current prior to modification, nonaccrual status would not be required. If the loan was on nonaccrual prior to modification or if the payment amount significantly increases, the loan will remain on nonaccrual for a period of at least six months. Loans qualify for return to accrual status once the borrower has demonstrated the willingness and the ability to perform in accordance with the restructured terms of the loan agreement for a period of not less than six consecutive months. In most cases, loan payments less than 90 days past due are considered minor collection delays and the related loans are generally not considered impaired. Impaired classification may be removed after a year following the restructure if the borrower demonstrates compliance with the modified terms and the restructuring agreement specifies an interest rate equal to that which would be provided to a borrower with similar risk characteristics at the time of restructuring. Allowance for Loan Losses The allowance for loan losses, a material estimate which could change significantly in the near-term, is established through a provision for loan losses charged to earnings to account for losses that are inherent in the loan portfolio and estimated to occur, and is maintained at a level that management considers adequate to absorb losses in the loan portfolio. Loan losses are charged against the allowance for loan losses when management believes the uncollectibility of the principal loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance for loan losses when received. In the determination of the allowance for loan losses, management may obtain independent appraisals for significant properties, when necessary. Management's judgment in determining the adequacy of the allowance is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance for loan losses is evaluated on a monthly basis by management and is based on the evaluation of the known and inherent risk characteristics and size and composition of the loan portfolio, the assessment of current economic and real estate market conditions, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral, historical loan loss experience, the level and trends of nonperforming loans, delinquencies, classified assets and loan charge-offs and evaluations of loans and other relevant factors. The allowance for loan losses consists of the following key elements: • Specific allowance for identified impaired loans . For loans identified as impaired, an allowance is established when the present value of expected cash flows (or observable market price of the loan or fair value of the collateral if the loan is collateral dependent) of the impaired loan is lower than the carrying value of that loan. • General valuation allowance. The general component represents a valuation allowance on the remainder of the loan portfolio, after excluding impaired loans. For this portion of the allowance, loans are segregated by category and assigned an allowance percentage based on historical loan loss experience adjusted for qualitative factors stratified by the following loan segments: residential one- to four-family, multi-family and commercial real estate, construction, commercial business and consumer. Management uses a rolling average of historical losses based on the time frame appropriate to capture relevant loss data for each loan segment. This historical loss factor is adjusted for the following qualitative factors: changes in lending policies and procedures, including changes in underwriting standards and collection, charge-off and recovery practices; changes in international, national, regional and local economic and business conditions and developments that affect the collectibility of the portfolio, including the condition of various market segments; changes in the size and composition of the loan portfolio and in the terms of the loans; changes in the experience, ability and depth of lending management and other relevant staff; changes in the volume and severity of past due loans, the amount of nonaccrual loans and the amount and severity of adversely classified or graded loans; changes in the quality of the loan review system; changes in the underlying collateral for collateral-dependent loans; the existence and effect of any concentrations of credit and changes in the level of such concentrations; the effect of other external factors such as competition and legal and regulatory requirements on the level of estimated credit losses in the portfolio. The qualitative factors are determined based on the following various risk characteristics for each loan segment. Risk characteristics relevant to each portfolio segment are as follows: • Residential – One- to Four-Family – The Bank primarily originates conventional loans with loan-to-value ratios less than 95% and generally originates loans with loan-to-value ratios in excess of 80% only when secured by first liens on owner-occupied one- to four-family residences. Loans with loan-to-value ratios in excess of 80% generally require private mortgage insurance or additional collateral. All loans in this segment are collateralized by owner-occupied residential real estate and repayment is dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment rates and housing prices, will have an effect on the credit quality of this segment. • Multi-family and Commercial – Loans in this segment are originated to acquire, develop, improve or refinance multi-family and commercial real estate where the property is the primary collateral securing the loan, and the income generated from the property is the primary repayment source. The underlying cash flows generated by the properties can be impacted by the economy as evidenced by increased vacancy rates. Payments on loans secured by income-producing properties often depend on the successful operation and management of the properties. Management continually monitors the cash flows of these loans. • Construction – This segment includes loans to individuals and, to a lesser extent, builders to finance the construction of residential dwellings. The Bank also originates construction loans for commercial development projects. Upon the completion of construction, the loan generally converts to a permanent mortgage loan. Credit risk is affected by cost overruns, correct estimates of the sale price of the property, time to sell at an adequate price and market conditions. • Commercial Business – Loans in this segment are made to businesses and are generally secured by assets of the business. Repayment is expected from the cash flows of the business. A weakened economy and reduced viability of the industry in which the customer operates will have a negative impact on the credit quality in this segment. The Bank provides loans to investors in the time share industry, which are secured by consumer receivables, and provides loans for capital improvements to condominium associations, which are secured by the assigned rights to levy special assessments to condominium owners. Additionally, the Bank purchases medical loans primarily out of our market area from a company specializing in medical loan originations, which are secured by medical equipment. • Consumer – Loans in this segment primarily include home equity lines of credit (representing both first and second liens), indirect automobile loans and, to a lesser extent, loans secured by marketable securities, passbook or certificate accounts, motorcycles, automobiles and recreational vehicles, as well as unsecured loans. Consumer loan collections depend on the borrower’s continuing financial stability, and therefore, are more likely to be adversely affected by job loss, divorce, illness or personal bankruptcy. In computing the allowance for loan losses, we do not assign a general valuation allowance to the Small Business Administration (“SBA”) and United States Department of Agriculture (“USDA”) loans that we purchase as such loans are fully guaranteed. These loans are included in commercial business loans. See Note 4 for details . The majority of the Company's loans are collateralized by real estate located in eastern Connecticut and Rhode Island. To a lesser extent, certain commercial real estate loans are secured by collateral located outside of our primary market area with concentrations in Massachusetts and New Hampshire. Accordingly, the collateral value of a substantial portion of the Company's loan portfolio and real estate acquired through foreclosure is susceptible to changes in local market conditions. Although management believes it uses the best information available to establish the allowance for loan losses, future adjustments to the allowance for loan losses may be necessary and the Company’s results of operations could be adversely affected if circumstances differ substantially from the assumptions used in making the determinations. Furthermore, while management believes it has established the allowance for loan losses in conformity with GAAP, our regulators, in reviewing the loan portfolio, may request us to increase our allowance for loan losses based on judgments different from ours. In addition, because future events affecting borrowers and collateral cannot be predicted with certainty, the existing allowance for loan losses may not be adequate or increases may be necessary should the quality of any loans deteriorate as a result of the factors discussed above. Any material increase in the allowance for loan losses would adversely affect the Company’s financial condition and results of operations. Interest and Fees on Loans Interest on loans is accrued and included in net interest income based on contractual rates applied to principal amounts outstanding. Accrual of interest is discontinued when loan payments are 90 days or more past due, based on contractual terms, or when, in the judgment of management, collectibility of the loan or loan interest becomes uncertain. Subsequent recognition of income occurs only to the extent payment is received subject to management's assessment of the collectibility of the remaining interest and principal. A nonaccrual loan is restored to accrual status when it is no longer delinquent and collectibility of interest and principal is no longer in doubt and the borrower has made regular payments in accordance with the terms of the loan over a period of at least six months. Interest collected on nonaccrual loans is recognized only to the extent cash payments are received, and may be recorded as a reduction to principal if the collectibility of the principal balance of the loan is unlikely. Loan origination fees, direct loan origination costs and loan purchase premiums are deferred, and the net amount is recognized as an adjustment of the related loan's yield utilizing the interest method over the contractual life of the loan. In addition, discounts related to fair value adjustments for loans receivable acquired in a business combination or asset purchase are accreted into earnings over the contractual term as an adjustment of the loan's yield. The Company periodically evaluates the cash flows expected to be collected for loans acquired with deteriorated credit quality. Changes in the expected cash flows compared to the expected cash flows as of the date of acquisition may impact the accretable yield or result in a charge to the provision for loan losses to the extent of a shortfall. Common Share Repurchases The Company is chartered in the state of Maryland. Maryland law does not provide for treasury shares, rather shares repurchased by the Company constitute authorized but unissued shares. GAAP states that accounting for treasury stock shall conform to state law. Therefore, the cost of shares repurchased by the Company is allocated to common stock, additional paid-in capital and retained earnings balances. Recent Accounting Pronouncements Revenue from Contracts with Customers (Topic 606) - In May 2014, the Financial Accounting Standards Board ("FASB") issued guidance that improves the revenue recognition requirements for contracts with customers. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To achieve the core principle, a company should apply a five step approach to revenue recognition. In August 2015, the FASB delayed the effective date for this guidance for one year to fiscal years beginning after December 15, 2017, and we do not expect this to have a material impact on our financial statements. Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs - In April 2015, FASB issued guidance simplifying the presentation of debt issuance costs. The amended guidance requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The amended guidance should be applied on a retrospective basis and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2015, with early adoption permitted. The adoption of the amended guidance on January 1, 2016 did not have a material impact on the Company’s consolidated financial statements. Interest - Imputation of Interest (Subtopic 835-30): Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements - In August 2015, the FASB issued amended guidance pursuant to the SEC Staff Announcement at the June 18, 2015 Emerging Issues Task Force meeting that the update issued in April 2015 does not address presentation or subsequent measurement of debt issuance costs related to line-of-credit arrangements. Given the absence of authoritative guidance within the previous update for debt issuance costs related to line-of-credit-arrangements, the SEC staff would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there were any outstanding borrowings on the line-of-credit arrangement. The adoption of the amended guidance on January 1, 2016 did not have a material impact on the Company’s consolidated financial statements. Financial Instruments (Subtopic 825-10): In January 2016, the FASB issued guidance addressing certain aspects of recognition, measurement, presentation and disclosure of financial instruments. Targeted improvements to generally accepted accounting principles include the requirement for equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income and the elimination of the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value for financial instruments measured at amortized cost. The amendments in this update are effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. Leases (Topic 842): In February 2016, the FASB issued amended guidance to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. Disclosures are required by lessees and lessors to meet the objective of enabling users of financial statements to assess the amount, timing and uncertainty of cash flows arising from leases. In transition, lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The modified retrospective approach includes a number of optional practical expedients that entities may elect to apply. An entity that elects to apply the practical expedients will, in effect, continue to account for leases that commence before the effective date in accordance with previous GAAP unless the lease is modified, except that lessees are required to recognize a right-of-use asset and a lease liability for all operating leases at each reporting date based on the present value of the remaining minimum rental payments that were tracked and disclosed under previous GAAP. The amendments in this update are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is still reviewing the impact the adoption of this guidance will have on its consolidated financial statements. Compensation - Stock Compensation (Topic 718): In March 2016, the FASB issued guidance to simplify the accounting for share-based payment transactions, including the income tax consequences of such transactions. Under the provisions of the update, the income tax consequences of excess tax benefits and deficiencies should be recognized in income tax expense in the reporting period in which the awards vest. Currently, excess tax benefits or deficiencies impact shareholders' equity directly to the extent there is a cumulative excess tax benefit. In the event that a tax deficiency has occurred during the reporting period and a cumulative tax benefit does not exist, the tax deficiency is recognized in income tax expense under current GAAP. The update also provides entities may continue to estimate forfeitures in accounting for stock based compensation or recognize them as they occur. The provisions of this update become effective for interim and annual periods beginning after December 15, 2016. The update requires a modified retrospective transition under which cumulative effect to equity will be recognized in the period of adoption. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. Financial Instruments - Credit Losses (Topic 326): In June 2016, the FASB issued guidance that significantly changes how entities will measure credit losses for most financial assets and certain other instruments that aren't measured at fair value through net income. The update will replace today's "incurred loss" approach with an "expected loss" model. The new model, referred to as the current expected credit loss ("CECL") model, will apply to (1) financial assets subject to credit losses and measured at amortized cost and (2) certain off-balance sheet credit exposures. This includes, but is not limited to, loans, leases, held-to-maturity securities, loan commitments and financial guarantees. The CECL model does not apply to available for sale ("AFS") debt securities. For AFS debt securities with unrealized losses, entities will measure credit losses in a manner similar to current accounting guidance, except that losses will be recognized as allowances rather than reductions in the amortized cost of the securities. The update also simplifies the accounting model for purchased credit-impaired debt securities and loans. Disclosure requirements under the update have been expanded to include the entity's assumptions, models and methods for estimating the allowance for loan and lease losses. In addition, entities will need to disclose the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by year of origination. The update is effective for interim and annual reporting periods beginning after December 15, 2019; early adoption is permitted for interim and annual periods beginning after December 15, 2018. The update requires a modified retrospective transition under which a cumulative effect to equity will be recognized in the period of adoption. The Company is currently evaluating the impact the adoption of this guidance will have on its consolidated financial statements. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
EARNINGS (LOSS) PER SHARE | EARNINGS PER SHARE Basic earnings per share is calculated by dividing the net income available to common shareholders by the weighted average number of common shares outstanding during the period. Unvested restricted shares are considered outstanding in the computation of basic earnings per share since the shares participate in dividends and the rights to the dividends are non-forfeitable. Diluted earnings per share is computed in a manner similar to basic earnings per share except that the weighted average number of common shares outstanding is increased to include the incremental common shares (as computed using the treasury stock method) that would have been outstanding if all potentially dilutive common stock equivalents were issued during the period. The Company’s common stock equivalents relate solely to stock options. Repurchased common shares and unallocated common shares held by the Bank’s ESOP are not deemed outstanding for earnings per share calculations. Anti-dilutive shares are common stock equivalents with weighted average exercise prices in excess of the weighted average market value for the periods presented, and are not considered in diluted earnings per share calculations. The Company had anti-dilutive common shares outstanding of 157,391 and 151,391 for the three and six months ended June 30, 2016 , respectively, and 333,728 and 353,332 for the three and six months ended June 30, 2015, respectively. The computation of earnings per share is as follows: Three Months Ended Six Months Ended 2016 2015 2016 2015 (Dollars in Thousands, Except Per Share Amounts) Net income $ 1,728 $ 1,005 $ 3,269 $ 1,926 Weighted average common shares outstanding: Basic 11,803,156 12,006,510 11,796,099 12,160,268 Effect of dilutive stock options 58,813 25,103 59,386 31,872 Diluted 11,861,969 12,031,613 11,855,485 12,192,140 Earnings per share: Basic $ 0.15 $ 0.08 $ 0.28 $ 0.16 Diluted $ 0.15 $ 0.08 $ 0.28 $ 0.16 |
SECURITIES
SECURITIES | 6 Months Ended |
Jun. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
SECURITIES [Text Block] | SECURITIES Available for Sale Securities The amortized cost, gross unrealized gains and losses and fair values of available for sale securities at June 30, 2016 and December 31, 2015 are as follows: June 30, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In Thousands) Debt securities: U.S. Government and agency obligations $ 71,893 $ 678 $ (552 ) $ 72,019 Government-sponsored enterprises 22,276 420 — 22,696 Mortgage-backed securities: (1) Agency - residential 85,775 1,275 (137 ) 86,913 Non-agency - residential 106 — (5 ) 101 Corporate debt securities 1,000 — — 1,000 Collateralized debt obligation 1,157 — (27 ) 1,130 Obligations of state and political subdivisions 1,000 — — 1,000 Tax-exempt securities 3,160 114 — 3,274 Total available for sale securities $ 186,367 $ 2,487 $ (721 ) $ 188,133 (1) Agency securities refer to debt obligations issued or guaranteed by government corporations or government-sponsored enterprises (“GSEs”). Non-agency securities, or private-label securities, are the sole obligation of their issuer and are not guaranteed by any of the GSEs or the U.S. Government. December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In Thousands) Debt securities: U.S. Government and agency obligations $ 71,142 $ 242 $ (388 ) $ 70,996 Government-sponsored enterprises 25,313 95 (5 ) 25,403 Mortgage-backed securities: (1) Agency - residential 72,248 680 (962 ) 71,966 Non-agency - residential 116 — (4 ) 112 Corporate debt securities 1,000 — — 1,000 Collateralized debt obligation 1,156 — (10 ) 1,146 Obligations of state and political subdivisions 1,270 1 — 1,271 Tax-exempt securities 3,175 64 (1 ) 3,238 Total available for sale securities $ 175,420 $ 1,082 $ (1,370 ) $ 175,132 (1) Agency securities refer to debt obligations issued or guaranteed by government corporations or GSEs. Non-agency securities, or private-label securities, are the sole obligation of their issuer and are not guaranteed by any of the GSEs or the U.S. Government. The amortized cost and fair value of debt securities by contractual maturities at June 30, 2016 are presented below. Maturities are based on the final contractual payment dates and do not reflect the impact of potential prepayments or early redemptions. Because mortgage-backed securities ("MBS") are not due at a single maturity date, they are not included in the maturity categories in the following maturity summary. Amortized Cost Fair Value (In Thousands) Within 1 year $ 2,579 $ 2,588 After 1 but within 5 years 45,817 46,377 After 5 but within 10 years 9,316 9,429 After 10 years 42,774 42,725 100,486 101,119 Mortgage-backed securities 85,881 87,014 Total debt securities $ 186,367 $ 188,133 The following is a summary of realized gains and losses on the sales of securities for the three and six months ended June 30, 2016 and 2015: Three Months Ended Six Months Ended 2016 2015 2016 2015 (In Thousands) Gross gains on sales $ — $ 132 $ — $ 132 Gross losses on sales — — — — Net gain on sales of securities $ — $ 132 $ — $ 132 Proceeds from the sale of available for sale securities were zero for the three and six months ended June 30, 2016, respectively, and $9.7 million for the three and six months ended June 30, 2015, respectively. The following tables present information pertaining to securities with gross unrealized losses at June 30, 2016 and December 31, 2015 , aggregated by investment category and length of time the individual securities have been in a continuous unrealized loss position. Less Than 12 Months 12 Months or More Total June 30, 2016 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In Thousands) U.S. Government and agency obligations $ 15,005 $ 168 $ 17,449 $ 384 $ 32,454 $ 552 Mortgage-backed securities: Agency - residential 3,988 9 14,432 128 18,420 137 Non-agency - residential — — 101 5 101 5 Collateralized debt obligation — — 1,130 27 1,130 27 Total $ 18,993 $ 177 $ 33,112 $ 544 $ 52,105 $ 721 Less Than 12 Months 12 Months or More Total December 31, 2015 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In Thousands) U.S. Government and agency obligations $ 9,374 $ 36 $ 18,715 $ 352 $ 28,089 $ 388 Government-sponsored enterprises 8,454 5 — — 8,454 5 Mortgage-backed securities: Agency - residential 21,956 129 27,210 833 49,166 962 Non-agency - residential — — 112 4 112 4 Collateralized debt obligation — — 1,146 10 1,146 10 Tax-exempt securities 582 1 — — 582 1 Total $ 40,366 $ 171 $ 47,183 $ 1,199 $ 87,549 $ 1,370 At June 30, 2016 , 26 debt securities with gross unrealized losses had aggregate depreciation of 1.36% of the Company’s amortized cost basis. The unrealized losses are primarily related to the Company’s U.S. Government and agency obligations and agency mortgage-backed securities. There were no investments deemed other-than-temporarily impaired for the three and six months ended June 30, 2016 and 2015 . The following summarizes, by security type, the basis for management’s determination during the preparation of the financial statements of whether the applicable investments within the Company’s securities portfolio were not other-than-temporarily impaired at June 30, 2016 . U.S. Government and Agency Obligations and Mortgage-backed Securities - Agency - Residential . The unrealized losses on the Company’s U.S. Government and agency obligations and mortgage-backed agency-residential securities related primarily to a widening of the rate spread to comparable treasury securities. The Company does not expect these securities to settle at a price less than the par value of the securities. Mortgage-backed Securities - Non-agency - Residential. The unrealized losses on the Company's non-agency - residential mortgage-backed securities relate to one investment which has been evaluated by management and no potential credit loss was identified. Collateralized Debt Obligation. The unrealized loss on the Company's collateralized debt obligation relates to one investment in a pooled trust preferred security ("PTPS") which management does not believe will suffer from any credit-related losses, based on its senior credit profile. The unrealized loss on this security is caused by the low interest rate environment, as this security reprices quarterly to the three-month LIBOR and market spreads on similar newly issued securities have increased. |
LOANS RECEIVABLE AND ALLOWANCE
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | 6 Months Ended |
Jun. 30, 2016 | |
Receivables [Abstract] | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Loan Portfolio The composition of the Company’s loan portfolio at June 30, 2016 and December 31, 2015 is as follows: June 30, 2016 December 31, 2015 (In Thousands) Real estate loans: Residential - 1 to 4 family $ 410,235 $ 417,458 Multi-family and commercial 393,066 385,341 Construction 31,794 21,786 Total real estate loans 835,095 824,585 Commercial business loans: SBA and USDA guaranteed 130,449 145,238 Time share 48,901 55,192 Condominium association 20,176 21,986 Medical loans 25,250 23,445 Other 46,324 45,588 Total commercial business loans 271,100 291,449 Consumer loans: Home equity 53,550 53,779 Indirect automobile 1,003 1,741 Other 1,776 1,946 Total consumer loans 56,329 57,466 Total loans 1,162,524 1,173,500 Deferred loan origination costs, net of fees 1,867 1,735 Allowance for loan losses (10,643 ) (9,863 ) Loans receivable, net $ 1,153,748 $ 1,165,372 The Company purchased commercial business loans totaling $11.9 million during the six months ended June 30, 2016 . For the twelve months ended December 31, 2015 , the Company purchased commercial business loans totaling $113.2 million . Allowance for Loan Losses Changes in the allowance for loan losses for the three and six months ended June 30, 2016 and 2015 are as follows: Three Months Ended Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Balance at beginning of period $ 1,033 $ 5,202 $ 573 $ 2,674 $ 651 $ 10,133 Provision for loan losses 54 109 225 22 172 582 Loans charged-off (61 ) — — (35 ) (117 ) (213 ) Recoveries of loans previously charged-off — 109 — 32 — 141 Balance at end of period $ 1,026 $ 5,420 $ 798 $ 2,693 $ 706 $ 10,643 Six Months Ended Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Balance at beginning of period $ 1,036 $ 5,033 $ 516 $ 2,625 $ 653 $ 9,863 Provision for loan losses 44 302 282 92 173 893 Loans charged-off (82 ) (24 ) — (68 ) (120 ) (294 ) Recoveries of loans previously charged-off 28 109 — 44 — 181 Balance at end of period $ 1,026 $ 5,420 $ 798 $ 2,693 $ 706 $ 10,643 Three Months Ended Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Balance at beginning of period $ 976 $ 3,646 $ 292 $ 2,566 $ 602 $ 8,082 Provision for loan losses 19 117 142 51 31 360 Loans charged-off (11 ) — — — — (11 ) Recoveries of loans previously charged-off 2 3 — 1 — 6 Balance at end of period $ 986 $ 3,766 $ 434 $ 2,618 $ 633 $ 8,437 Six Months Ended Residential - Multi-family Construction Commercial Consumer Total (In Thousands) Balance at beginning of period $ 955 $ 3,607 $ 254 $ 2,382 $ 599 $ 7,797 Provision for loan losses 44 176 180 260 35 695 Loans charged-off (46 ) (20 ) — (25 ) (1 ) (92 ) Recoveries of loans previously charged-off 33 3 — 1 — 37 Balance at end of period $ 986 $ 3,766 $ 434 $ 2,618 $ 633 $ 8,437 Further information pertaining to the allowance for loan losses at June 30, 2016 and December 31, 2015 is as follows: June 30, 2016 Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Allowance for loans individually evaluated and deemed to be impaired $ 266 $ 258 $ — $ — $ 52 $ 576 Allowance for loans individually or collectively evaluated and not deemed to be impaired 760 5,162 798 2,693 654 10,067 Allowance for loans acquired with deteriorated credit quality — — — — — — Total loan loss allowance $ 1,026 $ 5,420 $ 798 $ 2,693 $ 706 $ 10,643 Loans individually evaluated and deemed to be impaired $ 5,753 $ 7,348 $ — $ 1,011 $ 415 $ 14,527 Loans individually or collectively evaluated and not deemed to be impaired 404,083 382,691 31,794 270,089 55,914 1,144,571 Amount of loans acquired with deteriorated credit quality 399 3,027 — — — 3,426 Total loans $ 410,235 $ 393,066 $ 31,794 $ 271,100 $ 56,329 $ 1,162,524 December 31, 2015 Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Allowance for loans individually evaluated and deemed to be impaired $ 303 $ 35 $ — $ — $ — $ 338 Allowance for loans individually or collectively evaluated and not deemed to be impaired 733 4,998 516 2,625 653 9,525 Allowance for loans acquired with deteriorated credit quality — — — — — — Total loan loss allowance $ 1,036 $ 5,033 $ 516 $ 2,625 $ 653 $ 9,863 Loans individually evaluated and deemed to be impaired $ 6,354 $ 3,750 $ — $ 356 $ 158 $ 10,618 Loans individually or collectively evaluated and not deemed to be impaired 410,699 377,503 21,786 291,093 57,308 1,158,389 Amount of loans acquired with deteriorated credit quality 405 4,088 — — — 4,493 Total loans $ 417,458 $ 385,341 $ 21,786 $ 291,449 $ 57,466 $ 1,173,500 Past Due Loans The following represents an aging of loans at June 30, 2016 and December 31, 2015 : June 30, 2016 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total 30 Days or More Past Due Current Total Loans Past Due 90 Days or More and Accruing (In Thousands) Real Estate: Residential - 1 to 4 family $ 25 $ 1,175 $ 1,362 $ 2,562 $ 407,673 $ 410,235 $ — Multi-family and commercial 788 — 2,623 3,411 389,655 393,066 1,460 Construction — 43 — 43 31,751 31,794 — Commercial Business: SBA and USDA guaranteed 274 — — 274 130,175 130,449 — Time share — — — — 48,901 48,901 — Condominium association — — — — 20,176 20,176 — Medical loans — — — — 25,250 25,250 — Other 115 1,427 301 1,843 44,481 46,324 — Consumer: Home equity 173 — 179 352 53,198 53,550 — Indirect automobile 42 3 — 45 958 1,003 — Other — 4 — 4 1,772 1,776 — Total $ 1,417 $ 2,652 $ 4,465 $ 8,534 $ 1,153,990 $ 1,162,524 $ 1,460 December 31, 2015 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total 30 Days or More Past Due Current Total Loans Past Due 90 Days or More and Accruing (In Thousands) Real Estate: Residential - 1 to 4 family $ 5,906 $ 1,054 $ 1,283 $ 8,243 $ 409,215 $ 417,458 $ — Multi-family and commercial 5,930 203 1,061 7,194 378,147 385,341 — Construction — — — — 21,786 21,786 — Commercial Business: SBA and USDA guaranteed — — — — 145,238 145,238 — Time share — — — — 55,192 55,192 — Condominium association — — — — 21,986 21,986 — Medical loans — — — — 23,445 23,445 — Other 45 22 339 406 45,182 45,588 — Consumer: Home equity 130 — 121 251 53,528 53,779 — Indirect automobile 31 — — 31 1,710 1,741 — Other 1 3 25 29 1,917 1,946 — Total $ 12,043 $ 1,282 $ 2,829 $ 16,154 $ 1,157,346 $ 1,173,500 $ — Impaired and Nonaccrual Loans The following is a summary of impaired loans and nonaccrual loans at June 30, 2016 and December 31, 2015 : Impaired Loans (1) June 30, 2016 Recorded Investment Unpaid Principal Balance Related Allowance Nonaccrual Loans (In Thousands) Impaired loans without valuation allowance: Real Estate: Residential - 1 to 4 family $ 3,414 $ 3,490 $ — $ 2,970 Multi-family and commercial 6,116 6,334 — 1,785 Commercial business - Other 1,011 1,011 — 301 Consumer: Home equity 136 136 — 136 Indirect automobile — — — 8 Total impaired loans without valuation allowance 10,677 10,971 — 5,200 Impaired loans with valuation allowance: Real Estate: Residential - 1 to 4 family 2,339 2,350 266 140 Multi-family and commercial 3,814 3,814 258 — Consumer - Home equity 279 377 52 179 Total impaired loans with valuation allowance 6,432 6,541 576 319 Total impaired loans $ 17,109 $ 17,512 $ 576 $ 5,519 (1) Includes loans acquired with deteriorated credit quality from the Newport Federal Savings Bank ("Newport") merger and performing troubled debt restructurings. Some loans acquired with deteriorated credit quality have not been included as a result of sustained performance. Impaired Loans (1) December 31, 2015 Recorded Investment Unpaid Principal Balance Related Allowance Nonaccrual Loans (In Thousands) Impaired loans without valuation allowance : Real Estate: Residential - 1 to 4 family $ 3,957 $ 3,975 $ — $ 3,748 Multi-family and commercial 5,756 6,159 — 2,167 Commercial business - Other 356 356 — 339 Consumer - Home equity 158 158 — 183 Total impaired loans without valuation allowance 10,227 10,648 — 6,437 Impaired loans with valuation allowance: Real Estate: Residential - 1 to 4 family 2,397 2,397 303 146 Multi-family and commercial 1,136 1,136 35 — Total impaired loans with valuation allowance 3,533 3,533 338 146 Total impaired loans $ 13,760 $ 14,181 $ 338 $ 6,583 (1) Includes loans acquired with deteriorated credit quality from the Newport Federal Savings Bank ("Newport") merger and performing troubled debt restructurings. Some loans acquired with deteriorated credit quality have not been included as a result of sustained performance. The Company reviews and establishes, if necessary, an allowance for certain impaired loans for the amount by which the present value of expected cash flows (or observable market price of loan or fair value of the collateral if the loan is collateral dependent) are lower than the carrying value of the loan. At June 30, 2016 and December 31, 2015 , the Company concluded that certain impaired loans required no valuation allowance as a result of management’s measurement of impairment. No additional funds are advanced to those borrowers whose loans are deemed impaired without prior approval of the Loan Committee or the Board of Directors. Additional information related to impaired loans is as follows: Three Months Ended Six Months Ended Average Recorded Investment Interest Income Recognized Interest Income Recognized on Cash Basis Average Recorded Investment Interest Income Recognized Interest Income Recognized on Cash Basis (In Thousands) Real Estate: Residential - 1 to 4 family $ 5,736 $ 27 $ — $ 5,930 $ 51 $ — Multi-family and commercial 8,762 64 — 7,738 148 — Commercial business - Other 680 — — 637 — — Consumer - Home equity 327 1 — 222 2 1 Total $ 15,505 $ 92 $ — $ 14,527 $ 201 $ 1 Three Months Ended Six Months Ended Average Recorded Investment Interest Income Recognized Interest Income Recognized on Cash Basis Average Recorded Investment Interest Income Recognized Interest Income Recognized on Cash Basis (In Thousands) Real Estate: Residential - 1 to 4 family $ 5,659 $ 26 $ — $ 5,652 $ 52 $ 1 Multi-family and commercial 5,823 68 — 5,996 147 — Commercial business - Other 1,311 2 — 1,144 8 — Consumer - Home equity 54 — — 32 — — Total $ 12,847 $ 96 $ — $ 12,824 $ 207 $ 1 Credit Quality Information The Company utilizes an eight-grade internal loan rating system for all loans in the portfolio, with the exception of its purchased SBA and USDA commercial business loans that are fully guaranteed by the U.S. government, as follows: o Pass (Ratings 1-4): Loans in these categories are considered low to average risk. o Special Mention (Rating 5): Loans in this category are starting to show signs of potential weakness and are being closely monitored by management. o Substandard (Rating 6): Generally, a loan is considered substandard if it is inadequately protected by the current net worth and paying capacity of the obligors and/or the collateral pledged. There is a distinct possibility that the Company will sustain some loss if the weakness is not corrected. o Doubtful (Rating 7): Loans classified as doubtful have all the weaknesses inherent in those classified substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, highly questionable and improbable. o Loss (Rating 8): Loans in this category are considered uncollectible and of such little value that their continuance as assets is not warranted. Management periodically reviews the ratings described above and the Company’s internal audit function reviews components of the credit files, including the assigned risk ratings, of certain commercial loans as part of its loan review. The following tables present the Company’s loans by risk rating at June 30, 2016 and December 31, 2015 : June 30, 2016 Not Rated Pass Special Mention Substandard Doubtful Loss Total (In Thousands) Real Estate: Residential - 1 to 4 family $ — $ 401,295 $ 1,967 $ 6,973 $ — $ — $ 410,235 Multi-family and commercial — 362,122 15,805 15,139 — — 393,066 Construction — 31,794 — — — — 31,794 Total real estate loans — 795,211 17,772 22,112 — — 835,095 Commercial Business: SBA and USDA guaranteed 130,449 — — — — — 130,449 Time share — 48,901 — — — — 48,901 Condominium association — 20,176 — — — — 20,176 Medical loans — 25,250 — — — — 25,250 Other — 42,531 989 2,804 — — 46,324 Total commercial business loans 130,449 136,858 989 2,804 — — 271,100 Consumer: Home equity — 53,035 54 461 — — 53,550 Indirect automobile — 995 — 8 — — 1,003 Other — 1,776 — — — — 1,776 Total consumer loans — 55,806 54 469 — — 56,329 Total loans $ 130,449 $ 987,875 $ 18,815 $ 25,385 $ — $ — $ 1,162,524 December 31, 2015 Not Rated Pass Special Mention Substandard Doubtful Loss Total (In Thousands) Real Estate: Residential - 1 to 4 family $ — $ 409,331 $ 2,001 $ 6,126 $ — $ — $ 417,458 Multi-family and commercial — 356,921 14,187 14,233 — — 385,341 Construction — 21,786 — — — — 21,786 Total real estate loans — 788,038 16,188 20,359 — — 824,585 Commercial Business: SBA and USDA guaranteed 145,238 — — — — — 145,238 Time share — 55,192 — — — — 55,192 Condominium association — 21,986 — — — — 21,986 Medical loans — 23,445 — — — — 23,445 Other — 42,760 1,534 1,294 — — 45,588 Total commercial business loans 145,238 143,383 1,534 1,294 — — 291,449 Consumer: Home equity — 53,487 63 229 — — 53,779 Indirect automobile — 1,741 — — — — 1,741 Other — 1,946 — — — — 1,946 Total consumer loans — 57,174 63 229 — — 57,466 Total loans $ 145,238 $ 988,595 $ 17,785 $ 21,882 $ — $ — $ 1,173,500 The following table provides information on loans modified as TDRs during the three and six months ended June 30, 2016 and 2015 . During the modification process, there were no loan charge-offs or principal reductions for the loans included in the table below. Three Months Ended June 30, 2016 2015 Allowance for Loan Losses (End of Period) Allowance for Loan Losses (End of Period) Number of Loans Recorded Investment Number of Loans Recorded Investment (Dollars in Thousands) Residential - 1 to 4 family 1 $ 57 $ — — $ — $ — Multi-family and commercial 3 2,688 234 — — — Commercial business - other 3 865 — — — — Total 7 $ 3,610 $ 234 — $ — $ — Six Months Ended June 30, 2016 2015 Allowance for Loan Losses (End of Period) Allowance for Loan Losses (End of Period) Number of Loans Recorded Investment Number of Loans Recorded Investment (Dollars in Thousands) Residential - 1 to 4 family 2 $ 143 $ — — $ — $ — Multi-family and commercial 4 4,128 234 — — — Commercial business - other 3 865 — 1 24 — Total 9 $ 5,136 $ 234 1 $ 24 $ — The following table provides the recorded investment, by type of modification, during the three and six months ended June 30, 2016 and 2015 for modified loans identified as TDRs. Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 (In Thousands) Principal deferrals $ — $ — $ 86 $ — Combination of rate and maturity (1) 3,382 — 3,382 24 Maturity only 228 — 1,668 — Total $ 3,610 $ — $ 5,136 $ 24 (1) Terms include combination of interest rate adjustments and extensions of maturity. During the three and six months ended June 30, 2016 , there were two commercial loans totaling $330,000 that were modified as TDRs that were in payment default (defined as 90 days or more past due) within twelve months of restructure. There were no TDRs in payment default within twelve months of restructure for the three and six months ended June 30, 2015. As of June 30, 2016 , the Company held $1.3 million in consumer mortgage loans collateralized by residential real estate properties that are in the process of foreclosure according to local requirements of the applicable jurisdiction. Loans Acquired with Deteriorated Credit Quality The following is a summary of loans acquired with evidence of credit deterioration from Newport as of June 30, 2016 and December 31, 2015 . Contractual Required Payments Receivable Cash Expected To Be Collected Non-Accretable Discount Accretable Yield Loans Receivable (In Thousands) Balance at December 31, 2015 $ 5,076 $ 4,493 $ 583 $ 121 $ 4,372 Collections (561 ) (559 ) (2 ) (19 ) (540 ) Dispositions (567 ) (508 ) (59 ) — (508 ) Balance at June 30, 2016 $ 3,948 $ 3,426 $ 522 $ 102 $ 3,324 |
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT | 6 Months Ended |
Jun. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment Disclosure [Text Block] | PREMISES AND EQUIPMENT Premises and equipment at June 30, 2016 and December 31, 2015 are summarized as follows: June 30, 2016 December 31, 2015 (In Thousands) Land $ 4,746 $ 4,746 Buildings 13,607 13,583 Leasehold improvements 10,717 10,717 Furniture and equipment 13,194 12,905 Construction in process 159 30 42,423 41,981 Accumulated depreciation and amortization (21,963 ) (20,793 ) Premises and equipment, net $ 20,460 $ 21,188 At both June 30, 2016 and December 31, 2015 , construction in process related to a project to redesign traffic flow at an existing branch and relocation of another branch. |
OTHER COMPREHENSIVE (LOSS) INCO
OTHER COMPREHENSIVE (LOSS) INCOME | 6 Months Ended |
Jun. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
OTHER COMPREHENSIVE (LOSS) INCOME | OTHER COMPREHENSIVE INCOME Accounting principles generally require recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities are reported as a separate component of shareholders’ equity on the balance sheet, such items, along with net income, are components of comprehensive income. Components of other comprehensive income and related tax effects are as follows: Six Months Ended June 30, 2016 Before Tax Amount Tax Effects Net of Tax Amount Securities: (In Thousands) Unrealized holding gains on available for sale securities $ 2,054 $ (698 ) $ 1,356 Unrealized holding gains on available for sale securities, net of taxes 2,054 (698 ) 1,356 Other comprehensive income $ 2,054 $ (698 ) $ 1,356 The components of accumulated other comprehensive income (loss) included in shareholders’ equity are as follows: June 30, 2016 Before Tax Amount Tax Effects Net of Tax Amount (In Thousands) Net unrealized gains on available for sale securities $ 1,766 $ (600 ) $ 1,166 Accumulated other comprehensive income $ 1,766 $ (600 ) $ 1,166 December 31, 2015 Before Tax Amount Tax Effects Net of Tax Amount (In Thousands) Net unrealized losses on available for sale securities $ (288 ) $ 98 $ (190 ) Accumulated other comprehensive loss $ (288 ) $ 98 $ (190 ) |
REGULATORY CAPITAL
REGULATORY CAPITAL | 6 Months Ended |
Jun. 30, 2016 | |
Banking and Thrift [Abstract] | |
REGULATORY CAPITAL | REGULATORY CAPITAL The Company and the Bank are subject to regulatory capital adequacy requirements promulgated by federal bank regulatory agencies. Failure by the Company or the Bank to meet minimum capital requirements could result in certain mandatory and discretionary actions by regulators that could have a material adverse effect on our consolidated financial statements. The following tables present regulatory capital information for the Company and the Bank. Under Basel III capital requirements, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of the Company’s and the Bank’s assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The Company’s and the Bank’s capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Quantitative measures established by regulation require the Company and the Bank to maintain certain minimum capital amounts and ratios. Federal bank regulators require the Company and the Bank to maintain minimum ratios of core capital to adjusted average assets, common equity tier 1 capital to risk-weighted assets, tier 1 capital to risk-weighted assets and total risk-based capital to risk-weighted assets. At June 30, 2016 , the Company and the Bank met all the capital adequacy requirements to which they were subject and were “well capitalized” under the regulatory requirements. To be “well capitalized,” the Company and the Bank must maintain minimum leverage, common equity tier 1 risk-based, tier 1 risk-based and total risk-based capital ratios of at least 5.0%, 6.5%, 8.0% and 10.0%, respectively. Management believes no conditions or events have occurred since June 30, 2016 that would materially adversely change the Company’s and the Bank’s capital classifications. Actual Minimum Capital Requirement Minimum To Be Well Capitalized June 30, 2016 Amount Ratio Amount Ratio Amount Ratio (Dollars in Thousands) Tier 1 Capital to Average Assets: Company $ 150,935 9.97 % $ 60,543 4.000 % $ 75,678 5.00 % Bank 138,336 9.28 59,615 4.000 74,519 5.00 Tier 1 Capital to Risk Weighted Assets: Company 150,935 15.80 63,272 6.625 76,404 8.00 Bank 138,336 14.53 63,076 6.625 76,167 8.00 Total Capital to Risk Weighted Assets: Company 162,067 16.97 82,373 8.625 95,505 10.00 Bank 149,468 15.70 82,118 8.625 95,209 10.00 Common Equity Tier 1 Capital: Company 142,935 14.97 48,947 5.125 62,079 6.50 Bank 138,336 14.53 48,795 5.125 61,886 6.50 Actual For Capital Adequacy Purposes To Be Well Capitalized Under Prompt Corrective Action Provisions December 31, 2015 Amount Ratio Amount Ratio Amount Ratio (Dollars in Thousands) Tier 1 Capital to Average Assets: Company $ 140,862 9.73 % $ 57,896 4.00 % $ 72,370 5.00 % Bank 134,992 9.38 57,550 4.00 71,937 5.00 Tier 1 Capital to Risk Weighted Assets: Company 140,862 14.86 56,861 6.00 75,814 8.00 Bank 134,992 14.27 56,773 6.00 75,698 8.00 Total Capital to Risk Weighted Assets: Company 151,327 15.97 75,814 8.00 94,768 10.00 Bank 145,457 15.37 75,698 8.00 94,622 10.00 Common Equity Tier 1 Capital: Company 140,862 14.86 42,645 4.50 61,599 6.50 Bank 134,992 14.27 42,580 4.50 61,504 6.50 Effective January 1, 2016, Basel III implemented a requirement for all banking organizations to maintain a capital conservation buffer above the minimum risk-based capital requirements in order to avoid certain limitations on capital distributions, stock repurchases and discretionary bonus payments to executive officers. The capital conservation buffer is exclusively composed of common equity tier 1 capital. The capital conservation buffer increases the three risk-based capital ratios by 0.625% each year through 2019, at which point, the minimum common equity tier 1 risk-based, tier 1 risk-based and total risk-based capital ratios will be 7.0%, 8.5% and 10.5%, respectively. Also, certain new deductions from, and adjustments to, regulatory capital will be phased in over several years. As of June 30, 2016 , the Company and the Bank complied with the capital conservation buffer requirement. |
FAIR VALUE OF ASSETS AND LIABIL
FAIR VALUE OF ASSETS AND LIABILITIES | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF ASSETS AND LIABILITIES | FAIR VALUE OF ASSETS AND LIABILITIES Fair Value Hierarchy The Company groups its assets and liabilities in three levels based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Transfers between levels are recognized at the end of a reporting period, if applicable. Level 1: Valuation is based on quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities generally include debt and equity securities that are traded in an active exchange market. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities. Level 2: Valuation is based on observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3: Valuation is based on unobservable inputs supported by little or no market activity and significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using unobservable inputs to pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. Determination of Fair Value The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. The fair value of assets and liabilities is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various assets and liabilities. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the assets and liabilities. The following methods and assumptions were used by the Company in estimating fair value disclosures of its financial instruments: • Cash and cash equivalents. The carrying amounts of cash and cash equivalents approximate the fair values based on the short-term nature of the assets. • Securities available for sale. Included in the available for sale category are debt securities. The securities measured at fair value in Level 1 are based on quoted market prices in an active exchange market. Securities measured at fair value in Level 2 are based on pricing models that consider standard input factors such as observable market data, benchmark yields, interest rate volatilities, broker/dealer quotes, credit spreads and new issue data. The Company utilizes a nationally-recognized third-party pricing service to estimate fair value measurements for the majority of its portfolio. The pricing service evaluates each asset class based on relevant market information considering observable data, but these prices do not represent binding quotes. The fair value prices on all investments are reviewed for reasonableness by management. Securities measured at fair value in Level 3 include one collateralized debt obligation that was backed by a trust preferred security issued by banks and insurance companies. Management determined that an orderly and active market for this security and similar securities did not exist based on a significant reduction in trading volume and widening spreads relative to historical levels. The Company estimates future cash flows discounted using a rate management believes is representative of current market conditions. Factors in determining the discount rate include the current level of deferrals and/or defaults, changes in credit rating and the financial condition of the debtors within the underlying securities, broker quotes for securities with similar structure and credit risk, interest rate movements and pricing for new issuances. • Federal Home Loan Bank stock. The carrying value of Federal Home Loan Bank (“FHLB”) stock approximates fair value based on the redemption provisions of the FHLB. • Federal Reserve Bank stock. The carrying value of Federal Reserve Bank ("FRB") stock approximates fair value based on the redemption provisions of the FRB. • Loans held for sale. The fair value of loans held for sale is estimated using quoted market prices. • Loans receivable. For variable rate loans that reprice frequently and have no significant change in credit risk, fair values are based on carrying values. The fair value of fixed-rate loans are estimated by discounting the future cash flows using the rates at the end of the period in which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities. Fair values for nonperforming loans are estimated using discounted cash flow analyses or underlying collateral values, where applicable. • Accrued interest receivable. The carrying amount of accrued interest approximates fair value. • Deposits. The fair value of demand deposits, negotiable orders of withdrawal, regular savings, certain money market deposits and mortgagors’ and investors’ escrow accounts is the amount payable on demand at the reporting date. The fair value of certificates of deposit and other time deposits is estimated using a discounted cash flow calculation that applies interest rates currently being offered for deposits of similar remaining maturities to a schedule of aggregated expected maturities on such deposits. • Federal Home Loan Bank advances. The fair value of the advances is estimated using a discounted cash flow calculation that applies current FHLB interest rates for advances of similar maturity to a schedule of maturities of such advances. • Junior subordinated debt owed to unconsolidated trust. Rates currently available for debt with similar terms and remaining maturities are used to estimate fair value of existing debt. • Interest rate swap agreement. The fair value of the Company’s interest rate swap is obtained from a third-party pricing service and is determined using a discounted cash flow analysis on the expected cash flows of the derivative. The pricing analysis is based on observable inputs for the contractual term of the derivative, including the period to maturity, credit component and interest rate curves. • Forward loan sale commitments and derivative loan commitments. Forward loan sale commitments and derivative loan commitments are based on the fair values of the underlying mortgage loans, including the servicing rights for derivative loan commitments, and the probability of such commitments being exercised. Significant management judgment and estimation is required in determining these fair value measurements. • Off-balance sheet instruments. Fair values for off-balance sheet lending commitments are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties' credit standings. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following tables present assets and liabilities measured at fair value on a recurring basis as of June 30, 2016 and December 31, 2015 . The Company had no significant transfers into or out of Levels 1, 2 or 3 during the three and six months ended June 30, 2016 . June 30, 2016 Level 1 Level 2 Level 3 Total (In Thousands) Assets: U.S. Government and agency obligations $ 25,314 $ 46,705 $ — $ 72,019 Government-sponsored enterprises — 22,696 — 22,696 Mortgage-backed securities — 87,014 — 87,014 Corporate debt securities — 1,000 — 1,000 Collateralized debt obligation — — 1,130 1,130 Obligations of state and political subdivisions — 1,000 — 1,000 Tax-exempt securities — 3,274 — 3,274 Forward loan sale commitments and derivative loan commitments — — 260 260 Total assets $ 25,314 $ 161,689 $ 1,390 $ 188,393 Liabilities: Interest rate swap agreement $ — $ 49 $ — $ 49 Total liabilities $ — $ 49 $ — $ 49 December 31, 2015 Level 1 Level 2 Level 3 Total (In Thousands) Assets: U.S. Government and agency obligations $ 25,045 $ 45,951 $ — $ 70,996 Government-sponsored enterprises — 25,403 — 25,403 Mortgage-backed securities — 72,078 — 72,078 Corporate debt securities — 1,000 — 1,000 Collateralized debt obligation — — 1,146 1,146 Obligations of state and political subdivisions — 1,271 — 1,271 Tax-exempt securities — 3,238 — 3,238 Forward loan sale commitments and derivative loan commitments — — 71 71 Total assets $ 25,045 $ 148,941 $ 1,217 $ 175,203 Liabilities: Forward loan sale commitments and derivative loan commitments $ — $ — $ 1 $ 1 Interest rate swap agreement — 64 — 64 Total liabilities $ — $ 64 $ 1 $ 65 The following table shows a reconciliation of the beginning and ending balances for Level 3 assets: Collateralized Debt Obligations Derivative Loan and Forward Loan Sale Commitments, Net (In Thousands) Balance at December 31, 2015 $ 1,146 $ 70 Total realized gains included in net income — 190 Total unrealized losses included in other comprehensive income (16 ) — Balance at June 30, 2016 $ 1,130 $ 260 Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis The Company may also be required, from time to time, to measure certain other financial assets on a nonrecurring basis in accordance with generally accepted accounting principles. These adjustments to fair value usually result from the application of lower-of-cost-or-market accounting or write-downs of individual assets. The following table summarizes the fair value hierarchy used to determine each adjustment and the carrying value of the related individual assets at June 30, 2016 and December 31, 2015 . There were no liabilities measured at fair value on a nonrecurring basis at June 30, 2016 and December 31, 2015 . At June 30, 2016 At December 31, 2015 Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 (In Thousands) Impaired loans $ — $ — $ 796 $ — $ — $ 588 Other real estate owned — — 1,166 — — 1,088 Total assets $ — $ — $ 1,962 $ — $ — $ 1,676 The following table summarizes losses (gains) resulting from fair value adjustments for assets measured at fair value on a nonrecurring basis. Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 (In Thousands) Impaired loans $ 167 $ (71 ) $ 239 $ 148 Other real estate owned — 122 8 122 Total losses $ 167 $ 51 $ 247 $ 270 The Company measures the impairment of loans that are collateral dependent based on the fair value of the collateral (Level 3). The fair value of collateral used by the Company represents the amount expected to be received from the sale of the property, net of selling costs, as determined by an independent, licensed or certified appraiser using observable market data. This data includes information such as selling price of similar properties, expected future cash flows or earnings of the subject property based on current market expectations, and relevant legal, physical and economic factors. The appraised values of collateral are adjusted as necessary by management based on observable inputs for specific properties. Losses applicable to write-downs of impaired loans are based on the appraised market value of the underlying collateral, assuming foreclosure of these loans is imminent, and are recorded through the provision for loan losses. The amount of other real estate owned represents the carrying value of the collateral based on the appraised value of the underlying collateral less estimated selling costs. The loss on foreclosed assets represents adjustments in the valuation recorded during the time period indicated and not for losses incurred on sales. Summary of Fair Values of Financial Instruments The estimated fair values and related carrying or notional amounts of the Company’s financial instruments are presented in the following table. Certain financial instruments and all nonfinancial instruments are exempt from disclosure requirements. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company. 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 presented herein are not necessarily indicative of the amounts the Company could have realized in a sales transaction at June 30, 2016 and December 31, 2015 . The estimated fair value amounts at June 30, 2016 and December 31, 2015 have been measured as of each respective date, and have not been re-evaluated or updated for purposes of the 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 period-end. The information presented should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is only required for a limited portion of the Company's assets. Due to the wide range of valuation techniques and the degree of subjectivity used in making the estimate, comparisons between the Company's disclosures and those of other banks may not be meaningful. As of June 30, 2016 and December 31, 2015 , the recorded carrying amounts and estimated fair values of the Company's financial instruments are as follows: June 30, 2016 Carrying Amount Level 1 Level 2 Level 3 Total Financial Assets: (In Thousands) Cash and cash equivalents $ 74,539 $ 74,539 $ — $ — $ 74,539 Available for sale securities 188,133 25,314 161,689 1,130 188,133 Loans held for sale 5,146 — — 5,265 5,265 Loans receivable, net 1,153,748 — — 1,164,778 1,164,778 Federal Home Loan Bank stock 12,370 — — 12,370 12,370 Federal Reserve Bank stock 3,624 — — 3,624 3,624 Accrued interest receivable 4,224 — — 4,224 4,224 Financial Liabilities: Deposits 1,116,832 — — 1,121,773 1,121,773 Mortgagors' and investors' escrow accounts 4,135 — — 4,135 4,135 Federal Home Loan Bank advances 207,914 — 210,654 — 210,654 Junior subordinated debt owed to unconsolidated trust 8,248 — 5,029 — 5,029 On-balance Sheet Derivative Financial Instruments: Assets: Derivative loan commitments 141 — — 141 141 Forward loan sale commitments 119 — — 119 119 Liabilities: Interest rate swap agreement 49 — 49 — 49 December 31, 2015 Carrying Amount Level 1 Level 2 Level 3 Total Financial Assets: (In Thousands) Cash and cash equivalents $ 40,778 $ 40,778 $ — $ — $ 40,778 Available for sale securities 175,132 25,045 148,941 1,146 175,132 Loans held for sale 1,804 — — 1,825 1,825 Loans receivable, net 1,165,372 — — 1,179,487 1,179,487 Federal Home Loan Bank stock 12,874 — — 12,874 12,874 Federal Reserve Bank stock 3,621 — — 3,621 3,621 Accrued interest receivable 4,283 — — 4,283 4,283 Financial Liabilities: Deposits 1,058,017 — — 1,062,884 1,062,884 Mortgagors' and investors' escrow accounts 3,508 — — 3,508 3,508 Federal Home Loan Bank advances 234,595 — 234,504 — 234,504 Junior subordinated debt owed to unconsolidated trust 8,248 — 5,442 — 5,442 On-balance Sheet Derivative Financial Instruments: Assets: Derivative loan commitments 51 — — 51 51 Forward loan sale commitments 20 — — 20 20 Liabilities: Forward loan sale commitments 1 — — 1 1 Interest rate swap agreement 64 — 64 — 64 |
DERIVATIVE INSTRUMENTS AND HEDG
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | 6 Months Ended |
Jun. 30, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Derivative Financial Instruments The Company has a stand-alone derivative financial instrument in the form of an interest rate swap agreement, which derives its value from underlying interest rates. This transaction involves both credit and market risk. The notional amount is an amount on which calculations, payments and the value of the derivative is based. The notional amount does not represent direct credit exposures. Direct credit exposure is limited to the net difference between the calculated amounts to be received and paid, if any. Such difference, which represents the fair value of the derivative instrument, is reflected on the Company’s balance sheets as other assets and other liabilities. The Company is exposed to credit-related losses in the event of nonperformance by the counterparty to this agreement. The Company controls the credit risk of its financial contract through credit approvals, limits and monitoring procedures and does not expect any counterparty to fail its obligations. Derivative instruments are generally either negotiated over-the-counter contracts or standardized contracts executed on a recognized exchange. Negotiated over-the-counter derivative contracts are generally entered into between two counterparties that negotiate specific agreement terms, including the underlying instrument, amount, exercise prices and maturity. Derivative Instruments Not Designated As Hedging Instruments Certain derivative instruments do not meet the requirements to be accounted for as hedging instruments. These undesignated derivative instruments are recognized on the consolidated balance sheets at fair value, with changes in fair value recorded in noninterest income. Interest Rate Swap Agreement - In 2012, management entered into an interest rate swap agreement that does not meet the strict hedge accounting requirements of FASB's "Derivatives and Hedging" standard to manage the Company's exposure to interest rate movements and other identified risks. At June 30, 2016 and December 31, 2015 , information pertaining to the Company's interest rate swap agreement not designated as a hedge was as follows: June 30, 2016 December 31, 2015 (Dollars in Thousands) Notional amount $ 15,000 $ 15,000 Weighted average fixed pay rate 1.26 % 1.26 % Weighted average variable receive rate 0.63 % 0.32 % Weighted average maturity in years 0.5 1.0 Unrealized loss relating to interest rate swap $ 49 $ 64 The Company reported a gain in fair value on the interest rate swap not designated as a hedge in noninterest income of $16,000 and $15,000 for the three and six months ended June 30, 2016 , respectively, and a loss in fair value of $10,000 and $15,000 for the three and six months ended June 30, 2015, respectively. Derivative Loan Commitments - Mortgage loan commitments are referred to as derivative loan commitments if the loan that will result from exercise of the commitment will be held for sale upon funding. The Company enters into commitments to fund residential mortgage loans at specified times in the future, with the intention that these loans will subsequently be sold in the secondary market. A mortgage loan commitment binds the Company to lend funds to a potential borrower at a specified interest rate and within a specified period of time, generally up to 60 days after inception of the rate lock. Outstanding derivative loan commitments expose the Company to the risk that the price of the loans arising from exercise of the loan commitment might decline from inception of the rate lock to funding of the loan due to increases in mortgage interest rates. If interest rates increase, the values of these loan commitments decrease. Conversely, if interest rates decrease, the value of these loan commitments increase. Forward Loan Sale Commitments - To protect against the price risk inherent in derivative loan commitments, the Company utilizes “mandatory delivery” forward loan sale commitments to mitigate the risk of potential decreases in the value of loans that would result from the exercise of the derivative loan commitments. With a “mandatory delivery” contract, the Company commits to deliver a certain principal amount of mortgage loans to an investor at a specified price on or before a specified date. If the Company fails to deliver the amount of mortgages necessary to fulfill the commitment by the specified date, it is obligated to pay a “pair-off” fee, based on then-current market prices, to the investor to compensate the investor for the shortfall. The Company expects that these forward loan sale commitments will experience changes in fair value opposite to the change in fair value of derivative loan commitments. Interest Rate Risk Management - Derivative Instruments The following table presents the fair values of derivative instruments as well as their classification on the consolidated balance sheets at June 30, 2016 and December 31, 2015 . June 30, 2016 December 31, 2015 Balance Sheet Location Notional Amount Estimated Fair Value Notional Amount Estimated Fair Value (In Thousands) Derivatives not designated as hedging instruments: Interest rate swap Other Liabilities $ 15,000 $ (49 ) $ 15,000 $ (64 ) Derivative loan commitments Other Assets 10,580 141 6,170 51 Forward loan sale commitments Other Assets 7,745 119 3,656 19 |
NATURE OF BUSINESS AND SUMMAR18
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Level 2 (Policies) | 6 Months Ended |
Jun. 30, 2016 | |
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company, its wholly-owned subsidiary, the Bank, and the Bank’s wholly-owned subsidiaries, SI Mortgage Company and SI Realty Company, Inc. All significant intercompany accounts and transactions have been eliminated. |
Basis of Accounting, Policy [Policy Text Block] | Basis of Financial Statement Presentation The interim consolidated financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information, the instructions to Form 10-Q and Rule 10.01 of Regulation S-X of the Securities and Exchange Commission ("SEC") and general practices within the banking industry. Accordingly, certain information and footnote disclosures required by GAAP for complete financial statements have been omitted. Information in the accompanying interim consolidated financial statements and notes to the financial statements of the Company as of June 30, 2016 and for the three and six months ended June 30, 2016 and 2015 is unaudited. These unaudited interim consolidated financial statements and related notes should be read in conjunction with the audited financial statements of the Company and the accompanying notes for the year ended December 31, 2015 contained in the Company’s Form 10-K. In the opinion of management, the accompanying unaudited interim consolidated financial statements reflect all of the adjustments, consisting only of normal and recurring adjustments, necessary for a fair presentation of the financial condition, results of operations and cash flows as of and for the periods covered herein. The results of operations for the three and six months ended June 30, 2016 are not necessarily indicative of the operating results for the year ending December 31, 2016 or for any other period. In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities, as of the date of the balance sheets and reported amounts of revenues and expenses for the periods presented. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, deferred income taxes and the impairment of long-lived assets. |
Reclassification, Policy [Policy Text Block] | Reclassifications Amounts in the Company’s prior year consolidated financial statements are reclassified to conform to the current year presentation. Such reclassifications have no effect on net income. |
Finance, Loans and Leases Receivable, Policy [Policy Text Block] | Loans Receivable Loans receivable are stated at current unpaid principal balances, net of the allowance for loan losses and deferred loan origination fees and costs. Management has the ability and intent to hold its loans receivable for the foreseeable future or until maturity or pay-off. A loan is impaired when, based on current information and events, it is probable the Company will be unable to collect all contractual principal and interest payments due in accordance with the terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Impairment is measured on a loan by loan basis for residential and commercial mortgage loans and commercial business loans by either the present value of expected future cash flows discounted at the loan's effective interest rate or, as a practical expedient, at the loan's observable market price or the fair value of the collateral if the loan is collateral dependent. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not typically identify individual consumer loans for impairment disclosures, unless such loans are subject to a troubled debt restructuring ("TDR") agreement. |
Loans and Leases Receivable, Troubled Debt Restructuring Policy [Policy Text Block] | Troubled Debt Restructurings The Company periodically may agree to modify the contractual terms of loans. When a loan is modified and concessions have been made to the original contractual terms that would not otherwise be considered for a borrower with similar risk characteristics, such as reductions of interest rates, deferral of interest or principal payments, or maturity extensions due to the borrower’s financial condition, the modification is considered a TDR. Modified terms are dependent upon the financial position and needs of the individual borrower. If the modification agreement is violated, the loan is handled by the Company’s Collections Department for resolution, which may result in foreclosure. Management considers all nonaccrual loans, with the exception of certain consumer loans, to be impaired. Also, all TDRs are initially classified as impaired and follow the Company's nonaccrual policy. If the loan was current prior to modification, nonaccrual status would not be required. If the loan was on nonaccrual prior to modification or if the payment amount significantly increases, the loan will remain on nonaccrual for a period of at least six months. Loans qualify for return to accrual status once the borrower has demonstrated the willingness and the ability to perform in accordance with the restructured terms of the loan agreement for a period of not less than six consecutive months. In most cases, loan payments less than 90 days past due are considered minor collection delays and the related loans are generally not considered impaired. Impaired classification may be removed after a year following the restructure if the borrower demonstrates compliance with the modified terms and the restructuring agreement specifies an interest rate equal to that which would be provided to a borrower with similar risk characteristics at the time of restructuring. |
Loans and Leases Receivable, Allowance for Loan Losses Policy [Policy Text Block] | Allowance for Loan Losses The allowance for loan losses, a material estimate which could change significantly in the near-term, is established through a provision for loan losses charged to earnings to account for losses that are inherent in the loan portfolio and estimated to occur, and is maintained at a level that management considers adequate to absorb losses in the loan portfolio. Loan losses are charged against the allowance for loan losses when management believes the uncollectibility of the principal loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance for loan losses when received. In the determination of the allowance for loan losses, management may obtain independent appraisals for significant properties, when necessary. Management's judgment in determining the adequacy of the allowance is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance for loan losses is evaluated on a monthly basis by management and is based on the evaluation of the known and inherent risk characteristics and size and composition of the loan portfolio, the assessment of current economic and real estate market conditions, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral, historical loan loss experience, the level and trends of nonperforming loans, delinquencies, classified assets and loan charge-offs and evaluations of loans and other relevant factors. The allowance for loan losses consists of the following key elements: • Specific allowance for identified impaired loans . For loans identified as impaired, an allowance is established when the present value of expected cash flows (or observable market price of the loan or fair value of the collateral if the loan is collateral dependent) of the impaired loan is lower than the carrying value of that loan. • General valuation allowance. The general component represents a valuation allowance on the remainder of the loan portfolio, after excluding impaired loans. For this portion of the allowance, loans are segregated by category and assigned an allowance percentage based on historical loan loss experience adjusted for qualitative factors stratified by the following loan segments: residential one- to four-family, multi-family and commercial real estate, construction, commercial business and consumer. Management uses a rolling average of historical losses based on the time frame appropriate to capture relevant loss data for each loan segment. This historical loss factor is adjusted for the following qualitative factors: changes in lending policies and procedures, including changes in underwriting standards and collection, charge-off and recovery practices; changes in international, national, regional and local economic and business conditions and developments that affect the collectibility of the portfolio, including the condition of various market segments; changes in the size and composition of the loan portfolio and in the terms of the loans; changes in the experience, ability and depth of lending management and other relevant staff; changes in the volume and severity of past due loans, the amount of nonaccrual loans and the amount and severity of adversely classified or graded loans; changes in the quality of the loan review system; changes in the underlying collateral for collateral-dependent loans; the existence and effect of any concentrations of credit and changes in the level of such concentrations; the effect of other external factors such as competition and legal and regulatory requirements on the level of estimated credit losses in the portfolio. The qualitative factors are determined based on the following various risk characteristics for each loan segment. Risk characteristics relevant to each portfolio segment are as follows: • Residential – One- to Four-Family – The Bank primarily originates conventional loans with loan-to-value ratios less than 95% and generally originates loans with loan-to-value ratios in excess of 80% only when secured by first liens on owner-occupied one- to four-family residences. Loans with loan-to-value ratios in excess of 80% generally require private mortgage insurance or additional collateral. All loans in this segment are collateralized by owner-occupied residential real estate and repayment is dependent on the credit quality of the individual borrower. The overall health of the economy, including unemployment rates and housing prices, will have an effect on the credit quality of this segment. • Multi-family and Commercial – Loans in this segment are originated to acquire, develop, improve or refinance multi-family and commercial real estate where the property is the primary collateral securing the loan, and the income generated from the property is the primary repayment source. The underlying cash flows generated by the properties can be impacted by the economy as evidenced by increased vacancy rates. Payments on loans secured by income-producing properties often depend on the successful operation and management of the properties. Management continually monitors the cash flows of these loans. • Construction – This segment includes loans to individuals and, to a lesser extent, builders to finance the construction of residential dwellings. The Bank also originates construction loans for commercial development projects. Upon the completion of construction, the loan generally converts to a permanent mortgage loan. Credit risk is affected by cost overruns, correct estimates of the sale price of the property, time to sell at an adequate price and market conditions. • Commercial Business – Loans in this segment are made to businesses and are generally secured by assets of the business. Repayment is expected from the cash flows of the business. A weakened economy and reduced viability of the industry in which the customer operates will have a negative impact on the credit quality in this segment. The Bank provides loans to investors in the time share industry, which are secured by consumer receivables, and provides loans for capital improvements to condominium associations, which are secured by the assigned rights to levy special assessments to condominium owners. Additionally, the Bank purchases medical loans primarily out of our market area from a company specializing in medical loan originations, which are secured by medical equipment. • Consumer – Loans in this segment primarily include home equity lines of credit (representing both first and second liens), indirect automobile loans and, to a lesser extent, loans secured by marketable securities, passbook or certificate accounts, motorcycles, automobiles and recreational vehicles, as well as unsecured loans. Consumer loan collections depend on the borrower’s continuing financial stability, and therefore, are more likely to be adversely affected by job loss, divorce, illness or personal bankruptcy. In computing the allowance for loan losses, we do not assign a general valuation allowance to the Small Business Administration (“SBA”) and United States Department of Agriculture (“USDA”) loans that we purchase as such loans are fully guaranteed. These loans are included in commercial business loans. See Note 4 for details . The majority of the Company's loans are collateralized by real estate located in eastern Connecticut and Rhode Island. To a lesser extent, certain commercial real estate loans are secured by collateral located outside of our primary market area with concentrations in Massachusetts and New Hampshire. Accordingly, the collateral value of a substantial portion of the Company's loan portfolio and real estate acquired through foreclosure is susceptible to changes in local market conditions. Although management believes it uses the best information available to establish the allowance for loan losses, future adjustments to the allowance for loan losses may be necessary and the Company’s results of operations could be adversely affected if circumstances differ substantially from the assumptions used in making the determinations. Furthermore, while management believes it has established the allowance for loan losses in conformity with GAAP, our regulators, in reviewing the loan portfolio, may request us to increase our allowance for loan losses based on judgments different from ours. In addition, because future events affecting borrowers and collateral cannot be predicted with certainty, the existing allowance for loan losses may not be adequate or increases may be necessary should the quality of any loans deteriorate as a result of the factors discussed above. Any material increase in the allowance for loan losses would adversely affect the Company’s financial condition and results of operations. |
Revenue Recognition, Interest [Policy Text Block] | Interest and Fees on Loans Interest on loans is accrued and included in net interest income based on contractual rates applied to principal amounts outstanding. Accrual of interest is discontinued when loan payments are 90 days or more past due, based on contractual terms, or when, in the judgment of management, collectibility of the loan or loan interest becomes uncertain. Subsequent recognition of income occurs only to the extent payment is received subject to management's assessment of the collectibility of the remaining interest and principal. A nonaccrual loan is restored to accrual status when it is no longer delinquent and collectibility of interest and principal is no longer in doubt and the borrower has made regular payments in accordance with the terms of the loan over a period of at least six months. Interest collected on nonaccrual loans is recognized only to the extent cash payments are received, and may be recorded as a reduction to principal if the collectibility of the principal balance of the loan is unlikely. Loan origination fees, direct loan origination costs and loan purchase premiums are deferred, and the net amount is recognized as an adjustment of the related loan's yield utilizing the interest method over the contractual life of the loan. In addition, discounts related to fair value adjustments for loans receivable acquired in a business combination or asset purchase are accreted into earnings over the contractual term as an adjustment of the loan's yield. The Company periodically evaluates the cash flows expected to be collected for loans acquired with deteriorated credit quality. Changes in the expected cash flows compared to the expected cash flows as of the date of acquisition may impact the accretable yield or result in a charge to the provision for loan losses to the extent of a shortfall. |
Earnings Per Share, Policy [Policy Text Block] | Basic earnings per share is calculated by dividing the net income available to common shareholders by the weighted average number of common shares outstanding during the period. Unvested restricted shares are considered outstanding in the computation of basic earnings per share since the shares participate in dividends and the rights to the dividends are non-forfeitable. Diluted earnings per share is computed in a manner similar to basic earnings per share except that the weighted average number of common shares outstanding is increased to include the incremental common shares (as computed using the treasury stock method) that would have been outstanding if all potentially dilutive common stock equivalents were issued during the period. The Company’s common stock equivalents relate solely to stock options. Repurchased common shares and unallocated common shares held by the Bank’s ESOP are not deemed outstanding for earnings per share calculations. |
Stockholders' Equity, Policy [Policy Text Block] | Common Share Repurchases The Company is chartered in the state of Maryland. Maryland law does not provide for treasury shares, rather shares repurchased by the Company constitute authorized but unissued shares. GAAP states that accounting for treasury stock shall conform to state law. Therefore, the cost of shares repurchased by the Company is allocated to common stock, additional paid-in capital and retained earnings balances. |
Comprehensive Income, Policy [Policy Text Block] | Accounting principles generally require recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities are reported as a separate component of shareholders’ equity on the balance sheet, such items, along with net income, are components of comprehensive income. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair Value Hierarchy The Company groups its assets and liabilities in three levels based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Transfers between levels are recognized at the end of a reporting period, if applicable. Level 1: Valuation is based on quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities generally include debt and equity securities that are traded in an active exchange market. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities. Level 2: Valuation is based on observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3: Valuation is based on unobservable inputs supported by little or no market activity and significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using unobservable inputs to pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements Revenue from Contracts with Customers (Topic 606) - In May 2014, the Financial Accounting Standards Board ("FASB") issued guidance that improves the revenue recognition requirements for contracts with customers. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To achieve the core principle, a company should apply a five step approach to revenue recognition. In August 2015, the FASB delayed the effective date for this guidance for one year to fiscal years beginning after December 15, 2017, and we do not expect this to have a material impact on our financial statements. Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs - In April 2015, FASB issued guidance simplifying the presentation of debt issuance costs. The amended guidance requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The amended guidance should be applied on a retrospective basis and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2015, with early adoption permitted. The adoption of the amended guidance on January 1, 2016 did not have a material impact on the Company’s consolidated financial statements. Interest - Imputation of Interest (Subtopic 835-30): Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements - In August 2015, the FASB issued amended guidance pursuant to the SEC Staff Announcement at the June 18, 2015 Emerging Issues Task Force meeting that the update issued in April 2015 does not address presentation or subsequent measurement of debt issuance costs related to line-of-credit arrangements. Given the absence of authoritative guidance within the previous update for debt issuance costs related to line-of-credit-arrangements, the SEC staff would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there were any outstanding borrowings on the line-of-credit arrangement. The adoption of the amended guidance on January 1, 2016 did not have a material impact on the Company’s consolidated financial statements. Financial Instruments (Subtopic 825-10): In January 2016, the FASB issued guidance addressing certain aspects of recognition, measurement, presentation and disclosure of financial instruments. Targeted improvements to generally accepted accounting principles include the requirement for equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income and the elimination of the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value for financial instruments measured at amortized cost. The amendments in this update are effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. Leases (Topic 842): In February 2016, the FASB issued amended guidance to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. Disclosures are required by lessees and lessors to meet the objective of enabling users of financial statements to assess the amount, timing and uncertainty of cash flows arising from leases. In transition, lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The modified retrospective approach includes a number of optional practical expedients that entities may elect to apply. An entity that elects to apply the practical expedients will, in effect, continue to account for leases that commence before the effective date in accordance with previous GAAP unless the lease is modified, except that lessees are required to recognize a right-of-use asset and a lease liability for all operating leases at each reporting date based on the present value of the remaining minimum rental payments that were tracked and disclosed under previous GAAP. The amendments in this update are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is still reviewing the impact the adoption of this guidance will have on its consolidated financial statements. Compensation - Stock Compensation (Topic 718): In March 2016, the FASB issued guidance to simplify the accounting for share-based payment transactions, including the income tax consequences of such transactions. Under the provisions of the update, the income tax consequences of excess tax benefits and deficiencies should be recognized in income tax expense in the reporting period in which the awards vest. Currently, excess tax benefits or deficiencies impact shareholders' equity directly to the extent there is a cumulative excess tax benefit. In the event that a tax deficiency has occurred during the reporting period and a cumulative tax benefit does not exist, the tax deficiency is recognized in income tax expense under current GAAP. The update also provides entities may continue to estimate forfeitures in accounting for stock based compensation or recognize them as they occur. The provisions of this update become effective for interim and annual periods beginning after December 15, 2016. The update requires a modified retrospective transition under which cumulative effect to equity will be recognized in the period of adoption. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. Financial Instruments - Credit Losses (Topic 326): In June 2016, the FASB issued guidance that significantly changes how entities will measure credit losses for most financial assets and certain other instruments that aren't measured at fair value through net income. The update will replace today's "incurred loss" approach with an "expected loss" model. The new model, referred to as the current expected credit loss ("CECL") model, will apply to (1) financial assets subject to credit losses and measured at amortized cost and (2) certain off-balance sheet credit exposures. This includes, but is not limited to, loans, leases, held-to-maturity securities, loan commitments and financial guarantees. The CECL model does not apply to available for sale ("AFS") debt securities. For AFS debt securities with unrealized losses, entities will measure credit losses in a manner similar to current accounting guidance, except that losses will be recognized as allowances rather than reductions in the amortized cost of the securities. The update also simplifies the accounting model for purchased credit-impaired debt securities and loans. Disclosure requirements under the update have been expanded to include the entity's assumptions, models and methods for estimating the allowance for loan and lease losses. In addition, entities will need to disclose the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by year of origination. The update is effective for interim and annual reporting periods beginning after December 15, 2019; early adoption is permitted for interim and annual periods beginning after December 15, 2018. The update requires a modified retrospective transition under which a cumulative effect to equity will be recognized in the period of adoption. The Company is currently evaluating the impact the adoption of this guidance will have on its consolidated financial statements. |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings (Loss) Per Share, Basic and Diluted [Table Text Block] | The computation of earnings per share is as follows: Three Months Ended Six Months Ended 2016 2015 2016 2015 (Dollars in Thousands, Except Per Share Amounts) Net income $ 1,728 $ 1,005 $ 3,269 $ 1,926 Weighted average common shares outstanding: Basic 11,803,156 12,006,510 11,796,099 12,160,268 Effect of dilutive stock options 58,813 25,103 59,386 31,872 Diluted 11,861,969 12,031,613 11,855,485 12,192,140 Earnings per share: Basic $ 0.15 $ 0.08 $ 0.28 $ 0.16 Diluted $ 0.15 $ 0.08 $ 0.28 $ 0.16 |
SECURITIES (Tables)
SECURITIES (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | Available for Sale Securities The amortized cost, gross unrealized gains and losses and fair values of available for sale securities at June 30, 2016 and December 31, 2015 are as follows: June 30, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In Thousands) Debt securities: U.S. Government and agency obligations $ 71,893 $ 678 $ (552 ) $ 72,019 Government-sponsored enterprises 22,276 420 — 22,696 Mortgage-backed securities: (1) Agency - residential 85,775 1,275 (137 ) 86,913 Non-agency - residential 106 — (5 ) 101 Corporate debt securities 1,000 — — 1,000 Collateralized debt obligation 1,157 — (27 ) 1,130 Obligations of state and political subdivisions 1,000 — — 1,000 Tax-exempt securities 3,160 114 — 3,274 Total available for sale securities $ 186,367 $ 2,487 $ (721 ) $ 188,133 (1) Agency securities refer to debt obligations issued or guaranteed by government corporations or government-sponsored enterprises (“GSEs”). Non-agency securities, or private-label securities, are the sole obligation of their issuer and are not guaranteed by any of the GSEs or the U.S. Government. December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In Thousands) Debt securities: U.S. Government and agency obligations $ 71,142 $ 242 $ (388 ) $ 70,996 Government-sponsored enterprises 25,313 95 (5 ) 25,403 Mortgage-backed securities: (1) Agency - residential 72,248 680 (962 ) 71,966 Non-agency - residential 116 — (4 ) 112 Corporate debt securities 1,000 — — 1,000 Collateralized debt obligation 1,156 — (10 ) 1,146 Obligations of state and political subdivisions 1,270 1 — 1,271 Tax-exempt securities 3,175 64 (1 ) 3,238 Total available for sale securities $ 175,420 $ 1,082 $ (1,370 ) $ 175,132 (1) Agency securities refer to debt obligations issued or guaranteed by government corporations or GSEs. Non-agency securities, or private-label securities, are the sole obligation of their issuer and are not guaranteed by any of the GSEs or the U.S. Government. |
Investments Classified by Contractual Maturity Date [Table Text Block] | The amortized cost and fair value of debt securities by contractual maturities at June 30, 2016 are presented below. Maturities are based on the final contractual payment dates and do not reflect the impact of potential prepayments or early redemptions. Because mortgage-backed securities ("MBS") are not due at a single maturity date, they are not included in the maturity categories in the following maturity summary. Amortized Cost Fair Value (In Thousands) Within 1 year $ 2,579 $ 2,588 After 1 but within 5 years 45,817 46,377 After 5 but within 10 years 9,316 9,429 After 10 years 42,774 42,725 100,486 101,119 Mortgage-backed securities 85,881 87,014 Total debt securities $ 186,367 $ 188,133 |
Realized Gain (Loss) on Investments [Table Text Block] | The following is a summary of realized gains and losses on the sales of securities for the three and six months ended June 30, 2016 and 2015: Three Months Ended Six Months Ended 2016 2015 2016 2015 (In Thousands) Gross gains on sales $ — $ 132 $ — $ 132 Gross losses on sales — — — — Net gain on sales of securities $ — $ 132 $ — $ 132 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Table Text Block] | The following tables present information pertaining to securities with gross unrealized losses at June 30, 2016 and December 31, 2015 , aggregated by investment category and length of time the individual securities have been in a continuous unrealized loss position. Less Than 12 Months 12 Months or More Total June 30, 2016 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In Thousands) U.S. Government and agency obligations $ 15,005 $ 168 $ 17,449 $ 384 $ 32,454 $ 552 Mortgage-backed securities: Agency - residential 3,988 9 14,432 128 18,420 137 Non-agency - residential — — 101 5 101 5 Collateralized debt obligation — — 1,130 27 1,130 27 Total $ 18,993 $ 177 $ 33,112 $ 544 $ 52,105 $ 721 Less Than 12 Months 12 Months or More Total December 31, 2015 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (In Thousands) U.S. Government and agency obligations $ 9,374 $ 36 $ 18,715 $ 352 $ 28,089 $ 388 Government-sponsored enterprises 8,454 5 — — 8,454 5 Mortgage-backed securities: Agency - residential 21,956 129 27,210 833 49,166 962 Non-agency - residential — — 112 4 112 4 Collateralized debt obligation — — 1,146 10 1,146 10 Tax-exempt securities 582 1 — — 582 1 Total $ 40,366 $ 171 $ 47,183 $ 1,199 $ 87,549 $ 1,370 |
LOANS RECEIVABLE AND ALLOWANC21
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Receivables [Abstract] | |
Composition of the Company's loan portfolio [Table Text Block] | The composition of the Company’s loan portfolio at June 30, 2016 and December 31, 2015 is as follows: June 30, 2016 December 31, 2015 (In Thousands) Real estate loans: Residential - 1 to 4 family $ 410,235 $ 417,458 Multi-family and commercial 393,066 385,341 Construction 31,794 21,786 Total real estate loans 835,095 824,585 Commercial business loans: SBA and USDA guaranteed 130,449 145,238 Time share 48,901 55,192 Condominium association 20,176 21,986 Medical loans 25,250 23,445 Other 46,324 45,588 Total commercial business loans 271,100 291,449 Consumer loans: Home equity 53,550 53,779 Indirect automobile 1,003 1,741 Other 1,776 1,946 Total consumer loans 56,329 57,466 Total loans 1,162,524 1,173,500 Deferred loan origination costs, net of fees 1,867 1,735 Allowance for loan losses (10,643 ) (9,863 ) Loans receivable, net $ 1,153,748 $ 1,165,372 |
Allowance for Credit Losses on Financing Receivables [Table Text Block] | Changes in the allowance for loan losses for the three and six months ended June 30, 2016 and 2015 are as follows: Three Months Ended Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Balance at beginning of period $ 1,033 $ 5,202 $ 573 $ 2,674 $ 651 $ 10,133 Provision for loan losses 54 109 225 22 172 582 Loans charged-off (61 ) — — (35 ) (117 ) (213 ) Recoveries of loans previously charged-off — 109 — 32 — 141 Balance at end of period $ 1,026 $ 5,420 $ 798 $ 2,693 $ 706 $ 10,643 Six Months Ended Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Balance at beginning of period $ 1,036 $ 5,033 $ 516 $ 2,625 $ 653 $ 9,863 Provision for loan losses 44 302 282 92 173 893 Loans charged-off (82 ) (24 ) — (68 ) (120 ) (294 ) Recoveries of loans previously charged-off 28 109 — 44 — 181 Balance at end of period $ 1,026 $ 5,420 $ 798 $ 2,693 $ 706 $ 10,643 Three Months Ended Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Balance at beginning of period $ 976 $ 3,646 $ 292 $ 2,566 $ 602 $ 8,082 Provision for loan losses 19 117 142 51 31 360 Loans charged-off (11 ) — — — — (11 ) Recoveries of loans previously charged-off 2 3 — 1 — 6 Balance at end of period $ 986 $ 3,766 $ 434 $ 2,618 $ 633 $ 8,437 Six Months Ended Residential - Multi-family Construction Commercial Consumer Total (In Thousands) Balance at beginning of period $ 955 $ 3,607 $ 254 $ 2,382 $ 599 $ 7,797 Provision for loan losses 44 176 180 260 35 695 Loans charged-off (46 ) (20 ) — (25 ) (1 ) (92 ) Recoveries of loans previously charged-off 33 3 — 1 — 37 Balance at end of period $ 986 $ 3,766 $ 434 $ 2,618 $ 633 $ 8,437 |
Additional Information on Allowance for Credit Losses on Financing Receivables [Table Text Block] | Further information pertaining to the allowance for loan losses at June 30, 2016 and December 31, 2015 is as follows: June 30, 2016 Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Allowance for loans individually evaluated and deemed to be impaired $ 266 $ 258 $ — $ — $ 52 $ 576 Allowance for loans individually or collectively evaluated and not deemed to be impaired 760 5,162 798 2,693 654 10,067 Allowance for loans acquired with deteriorated credit quality — — — — — — Total loan loss allowance $ 1,026 $ 5,420 $ 798 $ 2,693 $ 706 $ 10,643 Loans individually evaluated and deemed to be impaired $ 5,753 $ 7,348 $ — $ 1,011 $ 415 $ 14,527 Loans individually or collectively evaluated and not deemed to be impaired 404,083 382,691 31,794 270,089 55,914 1,144,571 Amount of loans acquired with deteriorated credit quality 399 3,027 — — — 3,426 Total loans $ 410,235 $ 393,066 $ 31,794 $ 271,100 $ 56,329 $ 1,162,524 December 31, 2015 Residential - 1 to 4 Family Multi-family and Commercial Construction Commercial Business Consumer Total (In Thousands) Allowance for loans individually evaluated and deemed to be impaired $ 303 $ 35 $ — $ — $ — $ 338 Allowance for loans individually or collectively evaluated and not deemed to be impaired 733 4,998 516 2,625 653 9,525 Allowance for loans acquired with deteriorated credit quality — — — — — — Total loan loss allowance $ 1,036 $ 5,033 $ 516 $ 2,625 $ 653 $ 9,863 Loans individually evaluated and deemed to be impaired $ 6,354 $ 3,750 $ — $ 356 $ 158 $ 10,618 Loans individually or collectively evaluated and not deemed to be impaired 410,699 377,503 21,786 291,093 57,308 1,158,389 Amount of loans acquired with deteriorated credit quality 405 4,088 — — — 4,493 Total loans $ 417,458 $ 385,341 $ 21,786 $ 291,449 $ 57,466 $ 1,173,500 |
Past Due Loans Receivables [Table Text Block] | The following represents an aging of loans at June 30, 2016 and December 31, 2015 : June 30, 2016 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total 30 Days or More Past Due Current Total Loans Past Due 90 Days or More and Accruing (In Thousands) Real Estate: Residential - 1 to 4 family $ 25 $ 1,175 $ 1,362 $ 2,562 $ 407,673 $ 410,235 $ — Multi-family and commercial 788 — 2,623 3,411 389,655 393,066 1,460 Construction — 43 — 43 31,751 31,794 — Commercial Business: SBA and USDA guaranteed 274 — — 274 130,175 130,449 — Time share — — — — 48,901 48,901 — Condominium association — — — — 20,176 20,176 — Medical loans — — — — 25,250 25,250 — Other 115 1,427 301 1,843 44,481 46,324 — Consumer: Home equity 173 — 179 352 53,198 53,550 — Indirect automobile 42 3 — 45 958 1,003 — Other — 4 — 4 1,772 1,776 — Total $ 1,417 $ 2,652 $ 4,465 $ 8,534 $ 1,153,990 $ 1,162,524 $ 1,460 December 31, 2015 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total 30 Days or More Past Due Current Total Loans Past Due 90 Days or More and Accruing (In Thousands) Real Estate: Residential - 1 to 4 family $ 5,906 $ 1,054 $ 1,283 $ 8,243 $ 409,215 $ 417,458 $ — Multi-family and commercial 5,930 203 1,061 7,194 378,147 385,341 — Construction — — — — 21,786 21,786 — Commercial Business: SBA and USDA guaranteed — — — — 145,238 145,238 — Time share — — — — 55,192 55,192 — Condominium association — — — — 21,986 21,986 — Medical loans — — — — 23,445 23,445 — Other 45 22 339 406 45,182 45,588 — Consumer: Home equity 130 — 121 251 53,528 53,779 — Indirect automobile 31 — — 31 1,710 1,741 — Other 1 3 25 29 1,917 1,946 — Total $ 12,043 $ 1,282 $ 2,829 $ 16,154 $ 1,157,346 $ 1,173,500 $ — |
Impaired Financing Receivables [Table Text Block] | The following is a summary of impaired loans and nonaccrual loans at June 30, 2016 and December 31, 2015 : Impaired Loans (1) June 30, 2016 Recorded Investment Unpaid Principal Balance Related Allowance Nonaccrual Loans (In Thousands) Impaired loans without valuation allowance: Real Estate: Residential - 1 to 4 family $ 3,414 $ 3,490 $ — $ 2,970 Multi-family and commercial 6,116 6,334 — 1,785 Commercial business - Other 1,011 1,011 — 301 Consumer: Home equity 136 136 — 136 Indirect automobile — — — 8 Total impaired loans without valuation allowance 10,677 10,971 — 5,200 Impaired loans with valuation allowance: Real Estate: Residential - 1 to 4 family 2,339 2,350 266 140 Multi-family and commercial 3,814 3,814 258 — Consumer - Home equity 279 377 52 179 Total impaired loans with valuation allowance 6,432 6,541 576 319 Total impaired loans $ 17,109 $ 17,512 $ 576 $ 5,519 (1) Includes loans acquired with deteriorated credit quality from the Newport Federal Savings Bank ("Newport") merger and performing troubled debt restructurings. Some loans acquired with deteriorated credit quality have not been included as a result of sustained performance. Impaired Loans (1) December 31, 2015 Recorded Investment Unpaid Principal Balance Related Allowance Nonaccrual Loans (In Thousands) Impaired loans without valuation allowance : Real Estate: Residential - 1 to 4 family $ 3,957 $ 3,975 $ — $ 3,748 Multi-family and commercial 5,756 6,159 — 2,167 Commercial business - Other 356 356 — 339 Consumer - Home equity 158 158 — 183 Total impaired loans without valuation allowance 10,227 10,648 — 6,437 Impaired loans with valuation allowance: Real Estate: Residential - 1 to 4 family 2,397 2,397 303 146 Multi-family and commercial 1,136 1,136 35 — Total impaired loans with valuation allowance 3,533 3,533 338 146 Total impaired loans $ 13,760 $ 14,181 $ 338 $ 6,583 (1) |
Additional Information Related to Impaired Loans [Table Text Block] | Additional information related to impaired loans is as follows: Three Months Ended Six Months Ended Average Recorded Investment Interest Income Recognized Interest Income Recognized on Cash Basis Average Recorded Investment Interest Income Recognized Interest Income Recognized on Cash Basis (In Thousands) Real Estate: Residential - 1 to 4 family $ 5,736 $ 27 $ — $ 5,930 $ 51 $ — Multi-family and commercial 8,762 64 — 7,738 148 — Commercial business - Other 680 — — 637 — — Consumer - Home equity 327 1 — 222 2 1 Total $ 15,505 $ 92 $ — $ 14,527 $ 201 $ 1 Three Months Ended Six Months Ended Average Recorded Investment Interest Income Recognized Interest Income Recognized on Cash Basis Average Recorded Investment Interest Income Recognized Interest Income Recognized on Cash Basis (In Thousands) Real Estate: Residential - 1 to 4 family $ 5,659 $ 26 $ — $ 5,652 $ 52 $ 1 Multi-family and commercial 5,823 68 — 5,996 147 — Commercial business - Other 1,311 2 — 1,144 8 — Consumer - Home equity 54 — — 32 — — Total $ 12,847 $ 96 $ — $ 12,824 $ 207 $ 1 |
Financing Receivable Credit Quality Indicators [Table Text Block] | The following tables present the Company’s loans by risk rating at June 30, 2016 and December 31, 2015 : June 30, 2016 Not Rated Pass Special Mention Substandard Doubtful Loss Total (In Thousands) Real Estate: Residential - 1 to 4 family $ — $ 401,295 $ 1,967 $ 6,973 $ — $ — $ 410,235 Multi-family and commercial — 362,122 15,805 15,139 — — 393,066 Construction — 31,794 — — — — 31,794 Total real estate loans — 795,211 17,772 22,112 — — 835,095 Commercial Business: SBA and USDA guaranteed 130,449 — — — — — 130,449 Time share — 48,901 — — — — 48,901 Condominium association — 20,176 — — — — 20,176 Medical loans — 25,250 — — — — 25,250 Other — 42,531 989 2,804 — — 46,324 Total commercial business loans 130,449 136,858 989 2,804 — — 271,100 Consumer: Home equity — 53,035 54 461 — — 53,550 Indirect automobile — 995 — 8 — — 1,003 Other — 1,776 — — — — 1,776 Total consumer loans — 55,806 54 469 — — 56,329 Total loans $ 130,449 $ 987,875 $ 18,815 $ 25,385 $ — $ — $ 1,162,524 December 31, 2015 Not Rated Pass Special Mention Substandard Doubtful Loss Total (In Thousands) Real Estate: Residential - 1 to 4 family $ — $ 409,331 $ 2,001 $ 6,126 $ — $ — $ 417,458 Multi-family and commercial — 356,921 14,187 14,233 — — 385,341 Construction — 21,786 — — — — 21,786 Total real estate loans — 788,038 16,188 20,359 — — 824,585 Commercial Business: SBA and USDA guaranteed 145,238 — — — — — 145,238 Time share — 55,192 — — — — 55,192 Condominium association — 21,986 — — — — 21,986 Medical loans — 23,445 — — — — 23,445 Other — 42,760 1,534 1,294 — — 45,588 Total commercial business loans 145,238 143,383 1,534 1,294 — — 291,449 Consumer: Home equity — 53,487 63 229 — — 53,779 Indirect automobile — 1,741 — — — — 1,741 Other — 1,946 — — — — 1,946 Total consumer loans — 57,174 63 229 — — 57,466 Total loans $ 145,238 $ 988,595 $ 17,785 $ 21,882 $ — $ — $ 1,173,500 |
Loans Modified as Troubled Debt Restructurings [Table Text Block] | The following table provides information on loans modified as TDRs during the three and six months ended June 30, 2016 and 2015 . During the modification process, there were no loan charge-offs or principal reductions for the loans included in the table below. Three Months Ended June 30, 2016 2015 Allowance for Loan Losses (End of Period) Allowance for Loan Losses (End of Period) Number of Loans Recorded Investment Number of Loans Recorded Investment (Dollars in Thousands) Residential - 1 to 4 family 1 $ 57 $ — — $ — $ — Multi-family and commercial 3 2,688 234 — — — Commercial business - other 3 865 — — — — Total 7 $ 3,610 $ 234 — $ — $ — Six Months Ended June 30, 2016 2015 Allowance for Loan Losses (End of Period) Allowance for Loan Losses (End of Period) Number of Loans Recorded Investment Number of Loans Recorded Investment (Dollars in Thousands) Residential - 1 to 4 family 2 $ 143 $ — — $ — $ — Multi-family and commercial 4 4,128 234 — — — Commercial business - other 3 865 — 1 24 — Total 9 $ 5,136 $ 234 1 $ 24 $ — |
Troubled Debt Restructurings on Financing Receivables [Table Text Block] | The following table provides the recorded investment, by type of modification, during the three and six months ended June 30, 2016 and 2015 for modified loans identified as TDRs. Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 (In Thousands) Principal deferrals $ — $ — $ 86 $ — Combination of rate and maturity (1) 3,382 — 3,382 24 Maturity only 228 — 1,668 — Total $ 3,610 $ — $ 5,136 $ 24 (1) Terms include combination of interest rate adjustments and extensions of maturity. |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Table Text Block] | The following is a summary of loans acquired with evidence of credit deterioration from Newport as of June 30, 2016 and December 31, 2015 . Contractual Required Payments Receivable Cash Expected To Be Collected Non-Accretable Discount Accretable Yield Loans Receivable (In Thousands) Balance at December 31, 2015 $ 5,076 $ 4,493 $ 583 $ 121 $ 4,372 Collections (561 ) (559 ) (2 ) (19 ) (540 ) Dispositions (567 ) (508 ) (59 ) — (508 ) Balance at June 30, 2016 $ 3,948 $ 3,426 $ 522 $ 102 $ 3,324 |
PREMISES AND EQUIPMENT (Tables)
PREMISES AND EQUIPMENT (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment [Table Text Block] | Premises and equipment at June 30, 2016 and December 31, 2015 are summarized as follows: June 30, 2016 December 31, 2015 (In Thousands) Land $ 4,746 $ 4,746 Buildings 13,607 13,583 Leasehold improvements 10,717 10,717 Furniture and equipment 13,194 12,905 Construction in process 159 30 42,423 41,981 Accumulated depreciation and amortization (21,963 ) (20,793 ) Premises and equipment, net $ 20,460 $ 21,188 |
OTHER COMPREHENSIVE INCOME (Tab
OTHER COMPREHENSIVE INCOME (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Comprehensive Income (Loss) [Table Text Block] | Components of other comprehensive income and related tax effects are as follows: Six Months Ended June 30, 2016 Before Tax Amount Tax Effects Net of Tax Amount Securities: (In Thousands) Unrealized holding gains on available for sale securities $ 2,054 $ (698 ) $ 1,356 Unrealized holding gains on available for sale securities, net of taxes 2,054 (698 ) 1,356 Other comprehensive income $ 2,054 $ (698 ) $ 1,356 |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The components of accumulated other comprehensive income (loss) included in shareholders’ equity are as follows: June 30, 2016 Before Tax Amount Tax Effects Net of Tax Amount (In Thousands) Net unrealized gains on available for sale securities $ 1,766 $ (600 ) $ 1,166 Accumulated other comprehensive income $ 1,766 $ (600 ) $ 1,166 December 31, 2015 Before Tax Amount Tax Effects Net of Tax Amount (In Thousands) Net unrealized losses on available for sale securities $ (288 ) $ 98 $ (190 ) Accumulated other comprehensive loss $ (288 ) $ 98 $ (190 ) |
REGULATORY CAPITAL (Tables)
REGULATORY CAPITAL (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Banking and Thrift [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations [Table Text Block] | Actual Minimum Capital Requirement Minimum To Be Well Capitalized June 30, 2016 Amount Ratio Amount Ratio Amount Ratio (Dollars in Thousands) Tier 1 Capital to Average Assets: Company $ 150,935 9.97 % $ 60,543 4.000 % $ 75,678 5.00 % Bank 138,336 9.28 59,615 4.000 74,519 5.00 Tier 1 Capital to Risk Weighted Assets: Company 150,935 15.80 63,272 6.625 76,404 8.00 Bank 138,336 14.53 63,076 6.625 76,167 8.00 Total Capital to Risk Weighted Assets: Company 162,067 16.97 82,373 8.625 95,505 10.00 Bank 149,468 15.70 82,118 8.625 95,209 10.00 Common Equity Tier 1 Capital: Company 142,935 14.97 48,947 5.125 62,079 6.50 Bank 138,336 14.53 48,795 5.125 61,886 6.50 Actual For Capital Adequacy Purposes To Be Well Capitalized Under Prompt Corrective Action Provisions December 31, 2015 Amount Ratio Amount Ratio Amount Ratio (Dollars in Thousands) Tier 1 Capital to Average Assets: Company $ 140,862 9.73 % $ 57,896 4.00 % $ 72,370 5.00 % Bank 134,992 9.38 57,550 4.00 71,937 5.00 Tier 1 Capital to Risk Weighted Assets: Company 140,862 14.86 56,861 6.00 75,814 8.00 Bank 134,992 14.27 56,773 6.00 75,698 8.00 Total Capital to Risk Weighted Assets: Company 151,327 15.97 75,814 8.00 94,768 10.00 Bank 145,457 15.37 75,698 8.00 94,622 10.00 Common Equity Tier 1 Capital: Company 140,862 14.86 42,645 4.50 61,599 6.50 Bank 134,992 14.27 42,580 4.50 61,504 6.50 |
FAIR VALUE OF ASSETS AND LIAB25
FAIR VALUE OF ASSETS AND LIABILITIES (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Assets and Liabilities Measured at Fair Value on a Recurring Basis The following tables present assets and liabilities measured at fair value on a recurring basis as of June 30, 2016 and December 31, 2015 . The Company had no significant transfers into or out of Levels 1, 2 or 3 during the three and six months ended June 30, 2016 . June 30, 2016 Level 1 Level 2 Level 3 Total (In Thousands) Assets: U.S. Government and agency obligations $ 25,314 $ 46,705 $ — $ 72,019 Government-sponsored enterprises — 22,696 — 22,696 Mortgage-backed securities — 87,014 — 87,014 Corporate debt securities — 1,000 — 1,000 Collateralized debt obligation — — 1,130 1,130 Obligations of state and political subdivisions — 1,000 — 1,000 Tax-exempt securities — 3,274 — 3,274 Forward loan sale commitments and derivative loan commitments — — 260 260 Total assets $ 25,314 $ 161,689 $ 1,390 $ 188,393 Liabilities: Interest rate swap agreement $ — $ 49 $ — $ 49 Total liabilities $ — $ 49 $ — $ 49 December 31, 2015 Level 1 Level 2 Level 3 Total (In Thousands) Assets: U.S. Government and agency obligations $ 25,045 $ 45,951 $ — $ 70,996 Government-sponsored enterprises — 25,403 — 25,403 Mortgage-backed securities — 72,078 — 72,078 Corporate debt securities — 1,000 — 1,000 Collateralized debt obligation — — 1,146 1,146 Obligations of state and political subdivisions — 1,271 — 1,271 Tax-exempt securities — 3,238 — 3,238 Forward loan sale commitments and derivative loan commitments — — 71 71 Total assets $ 25,045 $ 148,941 $ 1,217 $ 175,203 Liabilities: Forward loan sale commitments and derivative loan commitments $ — $ — $ 1 $ 1 Interest rate swap agreement — 64 — 64 Total liabilities $ — $ 64 $ 1 $ 65 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | The following table shows a reconciliation of the beginning and ending balances for Level 3 assets: Collateralized Debt Obligations Derivative Loan and Forward Loan Sale Commitments, Net (In Thousands) Balance at December 31, 2015 $ 1,146 $ 70 Total realized gains included in net income — 190 Total unrealized losses included in other comprehensive income (16 ) — Balance at June 30, 2016 $ 1,130 $ 260 |
Fair Value Measurements, Nonrecurring [Table Text Block] | The following table summarizes the fair value hierarchy used to determine each adjustment and the carrying value of the related individual assets at June 30, 2016 and December 31, 2015 . There were no liabilities measured at fair value on a nonrecurring basis at June 30, 2016 and December 31, 2015 . At June 30, 2016 At December 31, 2015 Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 (In Thousands) Impaired loans $ — $ — $ 796 $ — $ — $ 588 Other real estate owned — — 1,166 — — 1,088 Total assets $ — $ — $ 1,962 $ — $ — $ 1,676 |
Fair Value - Nonrecurring Gain/Loss Adjustments [Table Text Block] | The following table summarizes losses (gains) resulting from fair value adjustments for assets measured at fair value on a nonrecurring basis. Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 (In Thousands) Impaired loans $ 167 $ (71 ) $ 239 $ 148 Other real estate owned — 122 8 122 Total losses $ 167 $ 51 $ 247 $ 270 |
Fair Value, by Balance Sheet Grouping [Table Text Block] | As of June 30, 2016 and December 31, 2015 , the recorded carrying amounts and estimated fair values of the Company's financial instruments are as follows: June 30, 2016 Carrying Amount Level 1 Level 2 Level 3 Total Financial Assets: (In Thousands) Cash and cash equivalents $ 74,539 $ 74,539 $ — $ — $ 74,539 Available for sale securities 188,133 25,314 161,689 1,130 188,133 Loans held for sale 5,146 — — 5,265 5,265 Loans receivable, net 1,153,748 — — 1,164,778 1,164,778 Federal Home Loan Bank stock 12,370 — — 12,370 12,370 Federal Reserve Bank stock 3,624 — — 3,624 3,624 Accrued interest receivable 4,224 — — 4,224 4,224 Financial Liabilities: Deposits 1,116,832 — — 1,121,773 1,121,773 Mortgagors' and investors' escrow accounts 4,135 — — 4,135 4,135 Federal Home Loan Bank advances 207,914 — 210,654 — 210,654 Junior subordinated debt owed to unconsolidated trust 8,248 — 5,029 — 5,029 On-balance Sheet Derivative Financial Instruments: Assets: Derivative loan commitments 141 — — 141 141 Forward loan sale commitments 119 — — 119 119 Liabilities: Interest rate swap agreement 49 — 49 — 49 December 31, 2015 Carrying Amount Level 1 Level 2 Level 3 Total Financial Assets: (In Thousands) Cash and cash equivalents $ 40,778 $ 40,778 $ — $ — $ 40,778 Available for sale securities 175,132 25,045 148,941 1,146 175,132 Loans held for sale 1,804 — — 1,825 1,825 Loans receivable, net 1,165,372 — — 1,179,487 1,179,487 Federal Home Loan Bank stock 12,874 — — 12,874 12,874 Federal Reserve Bank stock 3,621 — — 3,621 3,621 Accrued interest receivable 4,283 — — 4,283 4,283 Financial Liabilities: Deposits 1,058,017 — — 1,062,884 1,062,884 Mortgagors' and investors' escrow accounts 3,508 — — 3,508 3,508 Federal Home Loan Bank advances 234,595 — 234,504 — 234,504 Junior subordinated debt owed to unconsolidated trust 8,248 — 5,442 — 5,442 On-balance Sheet Derivative Financial Instruments: Assets: Derivative loan commitments 51 — — 51 51 Forward loan sale commitments 20 — — 20 20 Liabilities: Forward loan sale commitments 1 — — 1 1 Interest rate swap agreement 64 — 64 — 64 |
DERIVATIVE INSTRUMENTS AND HE26
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments [Table Text Block] | At June 30, 2016 and December 31, 2015 , information pertaining to the Company's interest rate swap agreement not designated as a hedge was as follows: June 30, 2016 December 31, 2015 (Dollars in Thousands) Notional amount $ 15,000 $ 15,000 Weighted average fixed pay rate 1.26 % 1.26 % Weighted average variable receive rate 0.63 % 0.32 % Weighted average maturity in years 0.5 1.0 Unrealized loss relating to interest rate swap $ 49 $ 64 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | The following table presents the fair values of derivative instruments as well as their classification on the consolidated balance sheets at June 30, 2016 and December 31, 2015 . June 30, 2016 December 31, 2015 Balance Sheet Location Notional Amount Estimated Fair Value Notional Amount Estimated Fair Value (In Thousands) Derivatives not designated as hedging instruments: Interest rate swap Other Liabilities $ 15,000 $ (49 ) $ 15,000 $ (64 ) Derivative loan commitments Other Assets 10,580 141 6,170 51 Forward loan sale commitments Other Assets 7,745 119 3,656 19 |
NATURE OF BUSINESS AND SUMMAR27
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Narrative (Details) | 6 Months Ended |
Jun. 30, 2016 | |
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Year Founded | 1,842 |
Number of Branch Offices | 25 |
EARNINGS PER SHARE (Narrative)
EARNINGS PER SHARE (Narrative) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings (Loss) Per Share [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings (Loss) Per Share, Amount | 157,391 | 333,728 | 151,391 | 353,332 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Earnings Per Share, Basic and Diluted [Line Items] | ||||
Net income | $ 1,728 | $ 1,005 | $ 3,269 | $ 1,926 |
Weighted average common shares outstanding: | ||||
Basic | 11,803,156 | 12,006,510 | 11,796,099 | 12,160,268 |
Effect of dilutive stock options | 58,813 | 25,103 | 59,386 | 31,872 |
Diluted | 11,861,969 | 12,031,613 | 11,855,485 | 12,192,140 |
Earnings per share: | ||||
Basic | $ 0.15 | $ 0.08 | $ 0.28 | $ 0.16 |
Diluted | $ 0.15 | $ 0.08 | $ 0.28 | $ 0.16 |
SECURITIES Securities (Narrativ
SECURITIES Securities (Narrative) (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | |
Investments, Debt and Equity Securities [Abstract] | ||||
Proceeds from sales of available for sale securities | $ 0 | $ 9,703 | $ 0 | $ 9,703 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 26 | 26 | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Other | 0.01364832377 |
SECURITIES Summary of Available
SECURITIES Summary of Available for Sale Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | |
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | $ 186,367 | $ 175,420 | |
Gross Unrealized Gains | 2,487 | 1,082 | |
Gross Unrealized Losses | (721) | (1,370) | |
Available for sale securities, at fair value | 188,133 | 175,132 | |
U.S. Government and agency obligations | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | 71,893 | 71,142 | |
Gross Unrealized Gains | 678 | 242 | |
Gross Unrealized Losses | (552) | (388) | |
Available for sale securities, at fair value | 72,019 | 70,996 | |
Government-sponsored enterprises | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | 22,276 | 25,313 | |
Gross Unrealized Gains | 420 | 95 | |
Gross Unrealized Losses | 0 | (5) | |
Available for sale securities, at fair value | 22,696 | 25,403 | |
Agency - residential | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | [1] | 85,775 | 72,248 |
Gross Unrealized Gains | [1] | 1,275 | 680 |
Gross Unrealized Losses | [1] | (137) | (962) |
Available for sale securities, at fair value | [1] | 86,913 | 71,966 |
Non-agency - residential | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | [1] | 106 | 116 |
Gross Unrealized Gains | [1] | 0 | 0 |
Gross Unrealized Losses | [1] | (5) | (4) |
Available for sale securities, at fair value | [1] | 101 | 112 |
Corporate debt securities | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | 1,000 | 1,000 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Available for sale securities, at fair value | 1,000 | 1,000 | |
Collateralized debt obligation | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | 1,157 | 1,156 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | (27) | (10) | |
Available for sale securities, at fair value | 1,130 | 1,146 | |
Obligations of state and political subdivisions | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | 1,000 | 1,270 | |
Gross Unrealized Gains | 0 | 1 | |
Gross Unrealized Losses | 0 | 0 | |
Available for sale securities, at fair value | 1,000 | 1,271 | |
Tax-exempt securities | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | 3,160 | 3,175 | |
Gross Unrealized Gains | 114 | 64 | |
Gross Unrealized Losses | 0 | (1) | |
Available for sale securities, at fair value | $ 3,274 | $ 3,238 | |
[1] | Agency securities refer to debt obligations issued or guaranteed by government corporations or government-sponsored enterprises (“GSEs”). Non-agency securities, or private-label securities, are the sole obligation of their issuer and are not guaranteed by any of the GSEs or the U.S. Government. |
SECURITIES Debt Securities by C
SECURITIES Debt Securities by Contractual Maturities (Details) $ in Thousands | Jun. 30, 2016USD ($) |
Investments, Debt and Equity Securities [Abstract] | |
Within 1 year, Amortized Cost | $ 2,579 |
Within 1 year, Fair Value | 2,588 |
After 1 but within 5 years, Amortized Cost | 45,817 |
After 1 but within 5 years, Fair Value | 46,377 |
After 5 but within 10 years, Amortized Cost | 9,316 |
After 5 but within 10 years, Fair Value | 9,429 |
After 10 years, Amortized Cost | 42,774 |
After 10 years, Fair Value | 42,725 |
Available-for-Sale Securities, Debt Maturities, excluding Mortgage-Backed Securities, Amortized Cost | 100,486 |
Available-for-Sale, Debt Securities, Excluding Mortgage-Backed Securities | 101,119 |
Mortgage-backed securities, Amortized Cost | 85,881 |
Mortgage-backed securities, Fair Value | 87,014 |
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis | 186,367 |
Available-for-sale Securities, Debt Securities | $ 188,133 |
SECURITIES Summary of Realized
SECURITIES Summary of Realized Gain/Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Gross gains on sales | $ 0 | $ 132 | $ 0 | $ 132 |
Gross losses on sales | 0 | 0 | 0 | 0 |
Gain (Loss) on Sale of Securities, Net | $ 0 | $ 132 | $ 0 | $ 132 |
SECURITIES Securities in Contin
SECURITIES Securities in Continuous Loss Position (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $ 18,993 | $ 40,366 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 177 | 171 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 33,112 | 47,183 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 544 | 1,199 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 52,105 | 87,549 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 721 | 1,370 |
U.S. Government and agency obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 15,005 | 9,374 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 168 | 36 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 17,449 | 18,715 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 384 | 352 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 32,454 | 28,089 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 552 | 388 |
Government-sponsored enterprises | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 8,454 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 5 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 8,454 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 5 | |
Agency - residential | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 3,988 | 21,956 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 9 | 129 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 14,432 | 27,210 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 128 | 833 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 18,420 | 49,166 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 137 | 962 |
Non-agency - residential | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 101 | 112 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 5 | 4 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 101 | 112 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 5 | 4 |
Collateralized debt obligation | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,130 | 1,146 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 27 | 10 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 1,130 | 1,146 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ 27 | 10 |
Tax-exempt securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 582 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 1 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 582 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ 1 |
LOANS RECEIVABLE AND ALLOWANC35
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Loan Portfolio (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | $ 1,162,524 | $ 1,173,500 | ||||
Allowance for loan losses | (10,643) | (9,863) | ||||
Loans receivable, net | 1,153,748 | 1,165,372 | ||||
Total real estate loans [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 835,095 | 824,585 | ||||
Real estate: Residential - 1 to 4 family [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 410,235 | 417,458 | ||||
Allowance for loan losses | (1,026) | $ (1,033) | (1,036) | $ (986) | $ (976) | $ (955) |
Real estate: Multi-family and commercial [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 393,066 | 385,341 | ||||
Allowance for loan losses | (5,420) | (5,202) | (5,033) | (3,766) | (3,646) | (3,607) |
Real estate: Construction [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 31,794 | 21,786 | ||||
Allowance for loan losses | (798) | (573) | (516) | (434) | (292) | (254) |
Total commercial business loans [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 271,100 | 291,449 | ||||
Allowance for loan losses | (2,693) | (2,674) | (2,625) | (2,618) | (2,566) | (2,382) |
Commercial business: SBA and USDA guaranteed [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 130,449 | 145,238 | ||||
Commercial business: Time share [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 48,901 | 55,192 | ||||
Commercial business: Condominium association [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 20,176 | 21,986 | ||||
Commercial Business: Medical loans [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 25,250 | 23,445 | ||||
Commercial business: Other [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 46,324 | 45,588 | ||||
Total consumer loans [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 56,329 | 57,466 | ||||
Allowance for loan losses | (706) | (651) | (653) | (633) | (602) | (599) |
Consumer: Home equity [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 53,550 | 53,779 | ||||
Consumer: Indirect automobile [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 1,003 | 1,741 | ||||
Consumer: Other [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 1,776 | 1,946 | ||||
Deferred loan origination costs, net of fees [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Deferred loan origination costs, net of fees | 1,867 | 1,735 | ||||
Allowance for loan losses [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan losses | $ (10,643) | $ (10,133) | $ (9,863) | $ (8,437) | $ (8,082) | $ (7,797) |
LOANS RECEIVABLE AND ALLOWANC36
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Narrative - (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Financing Receivable, Modifications, Subsequent Default, Recorded Investment | $ 330 | $ 0 | $ 330 | $ 0 | |
Mortgage Loans in Process of Foreclosure, Amount | $ 1,274 | 1,274 | |||
Financing Receivable, Significant Purchases | $ (11,858) | $ (67,240) | $ (113,200) |
LOANS RECEIVABLE AND ALLOWANC37
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Balance at beginning of period | $ 9,863 | |||
Provision for loan losses | $ 582 | $ 360 | 893 | $ 695 |
Balance at end of period | 10,643 | 10,643 | ||
Allowance for loan losses [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Balance at beginning of period | 10,133 | 8,082 | 9,863 | 7,797 |
Provision for loan losses | 582 | 360 | 893 | 695 |
Loans charged-off | (213) | (11) | (294) | (92) |
Recoveries of loans previously charged-off | 141 | 6 | 181 | 37 |
Balance at end of period | 10,643 | 8,437 | 10,643 | 8,437 |
Real estate: Residential - 1 to 4 family [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Balance at beginning of period | 1,033 | 976 | 1,036 | 955 |
Provision for loan losses | 54 | 19 | 44 | 44 |
Loans charged-off | (61) | (11) | (82) | (46) |
Recoveries of loans previously charged-off | 0 | 2 | 28 | 33 |
Balance at end of period | 1,026 | 986 | 1,026 | 986 |
Real estate: Multi-family and commercial [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Balance at beginning of period | 5,202 | 3,646 | 5,033 | 3,607 |
Provision for loan losses | 109 | 117 | 302 | 176 |
Loans charged-off | 0 | 0 | (24) | (20) |
Recoveries of loans previously charged-off | 109 | 3 | 109 | 3 |
Balance at end of period | 5,420 | 3,766 | 5,420 | 3,766 |
Real estate: Construction [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Balance at beginning of period | 573 | 292 | 516 | 254 |
Provision for loan losses | 225 | 142 | 282 | 180 |
Loans charged-off | 0 | 0 | 0 | 0 |
Recoveries of loans previously charged-off | 0 | 0 | 0 | 0 |
Balance at end of period | 798 | 434 | 798 | 434 |
Commercial Business [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Balance at beginning of period | 2,674 | 2,566 | 2,625 | 2,382 |
Provision for loan losses | 22 | 51 | 92 | 260 |
Loans charged-off | (35) | 0 | (68) | (25) |
Recoveries of loans previously charged-off | 32 | 1 | 44 | 1 |
Balance at end of period | 2,693 | 2,618 | 2,693 | 2,618 |
Consumer [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Balance at beginning of period | 651 | 602 | 653 | 599 |
Provision for loan losses | 172 | 31 | 173 | 35 |
Loans charged-off | (117) | 0 | (120) | (1) |
Recoveries of loans previously charged-off | 0 | 0 | 0 | 0 |
Balance at end of period | $ 706 | $ 633 | $ 706 | $ 633 |
LOANS RECEIVABLE AND ALLOWANC38
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Allowance for Loan Losses, Futher Information (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 |
Financing Receivable, Impaired [Line Items] | ||||||
Allowance for loans individually evaluated and deemed to be impaired | $ 576 | $ 338 | ||||
Allowance for loans individually or collectively evaluated and not deemed to be impaired | 10,067 | 9,525 | ||||
Allowance for loans acquired with deteriorated credit quality | 0 | 0 | ||||
Total loan loss allowance | 10,643 | 9,863 | ||||
Loans individually evaluated and deemed to be impaired | 14,527 | 10,618 | ||||
Loans individually or collectively evaluated and not deemed to be impaired | 1,144,571 | 1,158,389 | ||||
Amount of loans acquired with deteriorated credit quality | 3,426 | 4,493 | ||||
Total loans | 1,162,524 | 1,173,500 | ||||
Real estate: Residential - 1 to 4 family [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Allowance for loans individually evaluated and deemed to be impaired | 266 | 303 | ||||
Allowance for loans individually or collectively evaluated and not deemed to be impaired | 760 | 733 | ||||
Allowance for loans acquired with deteriorated credit quality | 0 | 0 | ||||
Total loan loss allowance | 1,026 | $ 1,033 | 1,036 | $ 986 | $ 976 | $ 955 |
Loans individually evaluated and deemed to be impaired | 5,753 | 6,354 | ||||
Loans individually or collectively evaluated and not deemed to be impaired | 404,083 | 410,699 | ||||
Amount of loans acquired with deteriorated credit quality | 399 | 405 | ||||
Total loans | 410,235 | 417,458 | ||||
Real estate: Multi-family and commercial [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Allowance for loans individually evaluated and deemed to be impaired | 258 | 35 | ||||
Allowance for loans individually or collectively evaluated and not deemed to be impaired | 5,162 | 4,998 | ||||
Allowance for loans acquired with deteriorated credit quality | 0 | 0 | ||||
Total loan loss allowance | 5,420 | 5,202 | 5,033 | 3,766 | 3,646 | 3,607 |
Loans individually evaluated and deemed to be impaired | 7,348 | 3,750 | ||||
Loans individually or collectively evaluated and not deemed to be impaired | 382,691 | 377,503 | ||||
Amount of loans acquired with deteriorated credit quality | 3,027 | 4,088 | ||||
Total loans | 393,066 | 385,341 | ||||
Real estate: Construction [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Allowance for loans individually evaluated and deemed to be impaired | 0 | 0 | ||||
Allowance for loans individually or collectively evaluated and not deemed to be impaired | 798 | 516 | ||||
Allowance for loans acquired with deteriorated credit quality | 0 | 0 | ||||
Total loan loss allowance | 798 | 573 | 516 | 434 | 292 | 254 |
Loans individually evaluated and deemed to be impaired | 0 | 0 | ||||
Loans individually or collectively evaluated and not deemed to be impaired | 31,794 | 21,786 | ||||
Amount of loans acquired with deteriorated credit quality | 0 | 0 | ||||
Total loans | 31,794 | 21,786 | ||||
Commercial Business [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Allowance for loans individually evaluated and deemed to be impaired | 0 | 0 | ||||
Allowance for loans individually or collectively evaluated and not deemed to be impaired | 2,693 | 2,625 | ||||
Allowance for loans acquired with deteriorated credit quality | 0 | 0 | ||||
Total loan loss allowance | 2,693 | 2,674 | 2,625 | 2,618 | 2,566 | 2,382 |
Loans individually evaluated and deemed to be impaired | 1,011 | 356 | ||||
Loans individually or collectively evaluated and not deemed to be impaired | 270,089 | 291,093 | ||||
Amount of loans acquired with deteriorated credit quality | 0 | 0 | ||||
Total loans | 271,100 | 291,449 | ||||
Consumer [Member] | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Allowance for loans individually evaluated and deemed to be impaired | 52 | 0 | ||||
Allowance for loans individually or collectively evaluated and not deemed to be impaired | 654 | 653 | ||||
Allowance for loans acquired with deteriorated credit quality | 0 | 0 | ||||
Total loan loss allowance | 706 | $ 651 | 653 | $ 633 | $ 602 | $ 599 |
Loans individually evaluated and deemed to be impaired | 415 | 158 | ||||
Loans individually or collectively evaluated and not deemed to be impaired | 55,914 | 57,308 | ||||
Amount of loans acquired with deteriorated credit quality | 0 | 0 | ||||
Total loans | $ 56,329 | $ 57,466 |
LOANS RECEIVABLE AND ALLOWANC39
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Past Due Loans Receivable (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | $ 8,534 | $ 16,154 |
Loans Receivable Current and Not Past Due | 1,153,990 | 1,157,346 |
Total loans | 1,162,524 | 1,173,500 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 1,460 | 0 |
Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 1,417 | 12,043 |
Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 2,652 | 1,282 |
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 4,465 | 2,829 |
Real estate: Residential - 1 to 4 family [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 2,562 | 8,243 |
Loans Receivable Current and Not Past Due | 407,673 | 409,215 |
Total loans | 410,235 | 417,458 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Real estate: Residential - 1 to 4 family [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 25 | 5,906 |
Real estate: Residential - 1 to 4 family [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 1,175 | 1,054 |
Real estate: Residential - 1 to 4 family [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 1,362 | 1,283 |
Real estate: Multi-family and commercial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 3,411 | 7,194 |
Loans Receivable Current and Not Past Due | 389,655 | 378,147 |
Total loans | 393,066 | 385,341 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 1,460 | 0 |
Real estate: Multi-family and commercial [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 788 | 5,930 |
Real estate: Multi-family and commercial [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 203 |
Real estate: Multi-family and commercial [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 2,623 | 1,061 |
Real estate: Construction [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 43 | 0 |
Loans Receivable Current and Not Past Due | 31,751 | 21,786 |
Total loans | 31,794 | 21,786 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Real estate: Construction [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Real estate: Construction [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 43 | 0 |
Real estate: Construction [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial business: SBA and USDA guaranteed [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 274 | 0 |
Loans Receivable Current and Not Past Due | 130,175 | 145,238 |
Total loans | 130,449 | 145,238 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Commercial business: SBA and USDA guaranteed [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 274 | 0 |
Commercial business: SBA and USDA guaranteed [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial business: SBA and USDA guaranteed [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial business: Time share [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Loans Receivable Current and Not Past Due | 48,901 | 55,192 |
Total loans | 48,901 | 55,192 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Commercial business: Time share [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial business: Time share [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial business: Time share [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial business: Condominium association [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Loans Receivable Current and Not Past Due | 20,176 | 21,986 |
Total loans | 20,176 | 21,986 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Commercial business: Condominium association [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial business: Condominium association [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial business: Condominium association [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial Business: Medical loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Loans Receivable Current and Not Past Due | 25,250 | 23,445 |
Total loans | 25,250 | 23,445 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Commercial Business: Medical loans [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial Business: Medical loans [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial Business: Medical loans [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Commercial business: Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 1,843 | 406 |
Loans Receivable Current and Not Past Due | 44,481 | 45,182 |
Total loans | 46,324 | 45,588 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Commercial business: Other [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 115 | 45 |
Commercial business: Other [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 1,427 | 22 |
Commercial business: Other [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 301 | 339 |
Consumer: Home equity [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 352 | 251 |
Loans Receivable Current and Not Past Due | 53,198 | 53,528 |
Total loans | 53,550 | 53,779 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Consumer: Home equity [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 173 | 130 |
Consumer: Home equity [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Consumer: Home equity [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 179 | 121 |
Consumer: Indirect automobile [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 45 | 31 |
Loans Receivable Current and Not Past Due | 958 | 1,710 |
Total loans | 1,003 | 1,741 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Consumer: Indirect automobile [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 42 | 31 |
Consumer: Indirect automobile [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 3 | 0 |
Consumer: Indirect automobile [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 0 |
Consumer: Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 4 | 29 |
Loans Receivable Current and Not Past Due | 1,772 | 1,917 |
Total loans | 1,776 | 1,946 |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 |
Consumer: Other [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 0 | 1 |
Consumer: Other [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | 4 | 3 |
Consumer: Other [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable, Recorded Investment, Past Due | $ 0 | $ 25 |
LOANS RECEIVABLE AND ALLOWANC40
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Impaired Loans and Non Accrual Loans by Class (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | |
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, Related Allowance | $ 576 | $ 338 | |
Impaired Financing Receivable, Recorded Investment | 17,109 | 13,760 | |
Impaired Financing Receivable, Unpaid Principal Balance | 17,512 | 14,181 | |
Financing Receivable, Recorded Investment, Nonaccrual Status | 5,519 | 6,583 | |
Consumer: Home equity [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | [1] | 279 | |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | [1] | 377 | |
Impaired Financing Receivable, Related Allowance | [1] | 52 | |
Nonaccrual Loans, with Related Allowance | 179 | ||
Real estate: Residential - 1 to 4 family [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | [1] | 2,339 | 2,397 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | [1] | 2,350 | 2,397 |
Impaired Financing Receivable, Related Allowance | [1] | 266 | 303 |
Nonaccrual Loans, with Related Allowance | 140 | 146 | |
Real estate: Multi-family and commercial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | [1] | 3,814 | 1,136 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | [1] | 3,814 | 1,136 |
Impaired Financing Receivable, Related Allowance | [1] | 258 | 35 |
Nonaccrual Loans, with Related Allowance | 0 | 0 | |
Total impaired loans with valuation allowance [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 6,432 | 3,533 | |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 6,541 | 3,533 | |
Impaired Financing Receivable, Related Allowance | 576 | 338 | |
Nonaccrual Loans, with Related Allowance | 319 | 146 | |
Real estate: Residential - 1 to 4 family [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | [1] | 3,414 | 3,957 |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | [1] | 3,490 | 3,975 |
Nonaccrual Loans, with No Related Allowance | 2,970 | 3,748 | |
Impaired Financing Receivable, Related Allowance | [1] | 0 | 0 |
Real estate: Multi-family and commercial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | [1] | 6,116 | 5,756 |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | [1] | 6,334 | 6,159 |
Nonaccrual Loans, with No Related Allowance | 1,785 | 2,167 | |
Impaired Financing Receivable, Related Allowance | [1] | 0 | 0 |
Commercial business: Other [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | [1] | 1,011 | 356 |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | [1] | 1,011 | 356 |
Nonaccrual Loans, with No Related Allowance | 301 | 339 | |
Impaired Financing Receivable, Related Allowance | [1] | 0 | 0 |
Consumer: Home equity [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | [1] | 136 | 158 |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | [1] | 136 | 158 |
Nonaccrual Loans, with No Related Allowance | 136 | 183 | |
Impaired Financing Receivable, Related Allowance | [1] | 0 | 0 |
Consumer: Indirect automobile [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | [1] | 0 | |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | [1] | 0 | |
Nonaccrual Loans, with No Related Allowance | 8 | ||
Impaired Financing Receivable, Related Allowance | [1] | 0 | |
Total impaired loans without valuation allowance [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 10,677 | 10,227 | |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 10,971 | 10,648 | |
Nonaccrual Loans, with No Related Allowance | 5,200 | 6,437 | |
Impaired Financing Receivable, Related Allowance | $ 0 | $ 0 | |
[1] | (1) Includes loans acquired with deteriorated credit quality from the Newport Federal Savings Bank ("Newport") merger and performing troubled debt restructurings. Some loans acquired with deteriorated credit quality have not been included as a result of sustained performance. |
LOANS RECEIVABLE AND ALLOWANC41
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Additional Info Related to Impaired Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Financing Receivable, Impaired [Line Items] | ||||
Average Recorded Investment | $ 15,505 | $ 12,847 | $ 14,527 | $ 12,824 |
Interest Income Recognized | 92 | 96 | 201 | 207 |
Interest Income Recognized on Cash Basis | 0 | 0 | 1 | 1 |
Real estate: Residential - 1 to 4 family [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Recorded Investment | 5,736 | 5,659 | 5,930 | 5,652 |
Interest Income Recognized | 27 | 26 | 51 | 52 |
Interest Income Recognized on Cash Basis | 0 | 0 | 0 | 1 |
Real estate: Multi-family and commercial [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Recorded Investment | 8,762 | 5,823 | 7,738 | 5,996 |
Interest Income Recognized | 64 | 68 | 148 | 147 |
Interest Income Recognized on Cash Basis | 0 | 0 | 0 | 0 |
Commercial business: Other [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Recorded Investment | 680 | 1,311 | 637 | 1,144 |
Interest Income Recognized | 0 | 2 | 0 | 8 |
Interest Income Recognized on Cash Basis | 0 | 0 | 0 | 0 |
Consumer: Home equity [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average Recorded Investment | 327 | 54 | 222 | 32 |
Interest Income Recognized | 1 | 0 | 2 | 0 |
Interest Income Recognized on Cash Basis | $ 0 | $ 0 | $ 1 | $ 0 |
LOANS RECEIVABLE AND ALLOWANC42
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Credit Quality Information (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | $ 1,162,524 | $ 1,173,500 |
Total real estate loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 835,095 | 824,585 |
Real estate: Residential - 1 to 4 family [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 410,235 | 417,458 |
Real estate: Multi-family and commercial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 393,066 | 385,341 |
Real estate: Construction [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 31,794 | 21,786 |
Total commercial business loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 271,100 | 291,449 |
Commercial business: SBA and USDA guaranteed [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 130,449 | 145,238 |
Commercial business: Time share [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 48,901 | 55,192 |
Commercial business: Condominium association [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 20,176 | 21,986 |
Commercial Business: Medical loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 25,250 | 23,445 |
Commercial business: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 46,324 | 45,588 |
Total consumer loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 56,329 | 57,466 |
Consumer: Home equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 53,550 | 53,779 |
Consumer: Indirect automobile [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 1,003 | 1,741 |
Consumer: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 1,776 | 1,946 |
Not Rated [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 130,449 | 145,238 |
Not Rated [Member] | Total real estate loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Real estate: Residential - 1 to 4 family [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Real estate: Multi-family and commercial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Real estate: Construction [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Total commercial business loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 130,449 | 145,238 |
Not Rated [Member] | Commercial business: SBA and USDA guaranteed [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 130,449 | 145,238 |
Not Rated [Member] | Commercial business: Time share [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Commercial business: Condominium association [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Commercial Business: Medical loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Commercial business: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Total consumer loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Consumer: Home equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Consumer: Indirect automobile [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Not Rated [Member] | Consumer: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 987,875 | 988,595 |
Pass [Member] | Total real estate loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 795,211 | 788,038 |
Pass [Member] | Real estate: Residential - 1 to 4 family [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 401,295 | 409,331 |
Pass [Member] | Real estate: Multi-family and commercial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 362,122 | 356,921 |
Pass [Member] | Real estate: Construction [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 31,794 | 21,786 |
Pass [Member] | Total commercial business loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 136,858 | 143,383 |
Pass [Member] | Commercial business: SBA and USDA guaranteed [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Pass [Member] | Commercial business: Time share [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 48,901 | 55,192 |
Pass [Member] | Commercial business: Condominium association [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 20,176 | 21,986 |
Pass [Member] | Commercial Business: Medical loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 25,250 | 23,445 |
Pass [Member] | Commercial business: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 42,531 | 42,760 |
Pass [Member] | Total consumer loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 55,806 | 57,174 |
Pass [Member] | Consumer: Home equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 53,035 | 53,487 |
Pass [Member] | Consumer: Indirect automobile [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 995 | 1,741 |
Pass [Member] | Consumer: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 1,776 | 1,946 |
Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 18,815 | 17,785 |
Special Mention [Member] | Total real estate loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 17,772 | 16,188 |
Special Mention [Member] | Real estate: Residential - 1 to 4 family [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 1,967 | 2,001 |
Special Mention [Member] | Real estate: Multi-family and commercial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 15,805 | 14,187 |
Special Mention [Member] | Real estate: Construction [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Special Mention [Member] | Total commercial business loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 989 | 1,534 |
Special Mention [Member] | Commercial business: SBA and USDA guaranteed [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Special Mention [Member] | Commercial business: Time share [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Special Mention [Member] | Commercial business: Condominium association [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Special Mention [Member] | Commercial Business: Medical loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Special Mention [Member] | Commercial business: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 989 | 1,534 |
Special Mention [Member] | Total consumer loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 54 | 63 |
Special Mention [Member] | Consumer: Home equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 54 | 63 |
Special Mention [Member] | Consumer: Indirect automobile [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Special Mention [Member] | Consumer: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 25,385 | 21,882 |
Substandard [Member] | Total real estate loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 22,112 | 20,359 |
Substandard [Member] | Real estate: Residential - 1 to 4 family [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 6,973 | 6,126 |
Substandard [Member] | Real estate: Multi-family and commercial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 15,139 | 14,233 |
Substandard [Member] | Real estate: Construction [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Substandard [Member] | Total commercial business loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 2,804 | 1,294 |
Substandard [Member] | Commercial business: SBA and USDA guaranteed [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Substandard [Member] | Commercial business: Time share [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Substandard [Member] | Commercial business: Condominium association [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Substandard [Member] | Commercial Business: Medical loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Substandard [Member] | Commercial business: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 2,804 | 1,294 |
Substandard [Member] | Total consumer loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 469 | 229 |
Substandard [Member] | Consumer: Home equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 461 | 229 |
Substandard [Member] | Consumer: Indirect automobile [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 8 | 0 |
Substandard [Member] | Consumer: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Total real estate loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Real estate: Residential - 1 to 4 family [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Real estate: Multi-family and commercial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Real estate: Construction [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Total commercial business loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Commercial business: SBA and USDA guaranteed [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Commercial business: Time share [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Commercial business: Condominium association [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Commercial Business: Medical loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Commercial business: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Total consumer loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Consumer: Home equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Consumer: Indirect automobile [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Doubtful [Member] | Consumer: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Total real estate loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Real estate: Residential - 1 to 4 family [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Real estate: Multi-family and commercial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Real estate: Construction [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Total commercial business loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Commercial business: SBA and USDA guaranteed [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Commercial business: Time share [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Commercial business: Condominium association [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Commercial Business: Medical loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Commercial business: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Total consumer loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Consumer: Home equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Consumer: Indirect automobile [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | 0 | 0 |
Loss [Member] | Consumer: Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and Leases Receivable, Gross | $ 0 | $ 0 |
LOANS RECEIVABLE AND ALLOWANC43
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Loans Modified as TDRs (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | |
Financing Receivable, Modifications [Line Items] | ||||
Financing Receivable Modifications Contracts Number | 7 | 0 | 9 | 1 |
Financing Receivable Modifications Investment Recorded | $ 3,610 | $ 0 | $ 5,136 | $ 24 |
Financing Receivable, Modifications, Allowance for Loan Losses | $ 234 | $ 0 | $ 234 | $ 0 |
Real estate: Residential - 1 to 4 family [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Financing Receivable Modifications Contracts Number | 1 | 0 | 2 | 0 |
Financing Receivable Modifications Investment Recorded | $ 57 | $ 0 | $ 143 | $ 0 |
Financing Receivable, Modifications, Allowance for Loan Losses | $ 0 | $ 0 | $ 0 | $ 0 |
Real estate: Multi-family and commercial [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Financing Receivable Modifications Contracts Number | 3 | 0 | 4 | 0 |
Financing Receivable Modifications Investment Recorded | $ 2,688 | $ 0 | $ 4,128 | $ 0 |
Financing Receivable, Modifications, Allowance for Loan Losses | $ 234 | $ 0 | $ 234 | $ 0 |
Commercial business: Other [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Financing Receivable Modifications Contracts Number | 3 | 0 | 3 | 1 |
Financing Receivable Modifications Investment Recorded | $ 865 | $ 0 | $ 865 | $ 24 |
Financing Receivable, Modifications, Allowance for Loan Losses | $ 0 | $ 0 | $ 0 | $ 0 |
LOANS RECEIVABLE AND ALLOWANC44
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES TDR - By Type of Modification (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | ||
Financing Receivable, Modifications [Line Items] | |||||
Loans Modified As Troubled Debt Restructurings During Period | $ 3,610 | $ 0 | $ 5,136 | $ 24 | |
Principal Deferrals [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Loans Modified As Troubled Debt Restructurings During Period | 0 | 0 | 86 | 0 | |
Combination Of Rate And Maturity [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Loans Modified As Troubled Debt Restructurings During Period | [1] | 3,382 | 0 | 3,382 | 24 |
Extension of Maturity Date [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Loans Modified As Troubled Debt Restructurings During Period | $ 228 | $ 0 | $ 1,668 | $ 0 | |
[1] | (1) Terms include combination of interest rate adjustments and extensions of maturity. |
LOANS RECEIVABLE AND ALLOWANC45
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES Loans Acquired with Evidence of Credit Deteroration (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2016USD ($) | |
Contractual Required Payments Receivable [Member] | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | |
Loans Acquired with Deteriorated Credit, Carrying Amount | $ 5,076 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Reclassifications from Nonaccretable Difference | 0 |
Collections of principal repayments on loans acquired with deteriorated credit | (561) |
Disposition of loans acquired with deteriorated credit quality | (567) |
Loans Acquired with Deteriorated Credit, Carrying Amount | 3,948 |
Cash Expected to be Collected [Member] | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | |
Loans Acquired with Deteriorated Credit, Carrying Amount | 4,493 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Reclassifications from Nonaccretable Difference | 0 |
Collections of principal repayments on loans acquired with deteriorated credit | (559) |
Disposition of loans acquired with deteriorated credit quality | (508) |
Loans Acquired with Deteriorated Credit, Carrying Amount | 3,426 |
Non-Accretable Discount [Member] | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | |
Loans Acquired with Deteriorated Credit, Carrying Amount | 583 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Reclassifications from Nonaccretable Difference | 0 |
Collections of principal repayments on loans acquired with deteriorated credit | (2) |
Disposition of loans acquired with deteriorated credit quality | (59) |
Loans Acquired with Deteriorated Credit, Carrying Amount | 522 |
Accretable Yield [Member] | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | |
Loans Acquired with Deteriorated Credit, Carrying Amount | 121 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Reclassifications from Nonaccretable Difference | 0 |
Collections of principal repayments on loans acquired with deteriorated credit | (19) |
Disposition of loans acquired with deteriorated credit quality | 0 |
Loans Acquired with Deteriorated Credit, Carrying Amount | 102 |
Loans Receivable [Member] | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | |
Loans Acquired with Deteriorated Credit, Carrying Amount | 4,372 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Reclassifications from Nonaccretable Difference | 0 |
Collections of principal repayments on loans acquired with deteriorated credit | (540) |
Disposition of loans acquired with deteriorated credit quality | (508) |
Loans Acquired with Deteriorated Credit, Carrying Amount | $ 3,324 |
PREMISES AND EQUIPMENT (Details
PREMISES AND EQUIPMENT (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 4,746 | $ 4,746 |
Buildings | 13,607 | 13,583 |
Leasehold Improvements | 10,717 | 10,717 |
Furniture and Equipment | 13,194 | 12,905 |
Construction in Process | 159 | 30 |
Total | 42,423 | 41,981 |
Accumulated depreciation and amortization | (21,963) | (20,793) |
Premises and equipment, net | $ 20,460 | $ 21,188 |
OTHER COMPREHENSIVE INCOME Comp
OTHER COMPREHENSIVE INCOME Components of Other Comprehensive Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Securities: [Abstract] | ||||
Unrealized holding gains on available for sale securities, Before Tax Amount | $ 2,054 | |||
Unrealized holding gains on available for sale securities, Tax Effects | (698) | |||
Unrealized holding gains on available for sale securities, Net of Tax Amount | $ 310 | $ (480) | 1,356 | $ 222 |
Net unrealized holding gains on available for sale securities, Before Tax Amount | 2,054 | |||
Net unrealized holding gains on available for sale securities, Tax Effects | (698) | |||
Net unrealized holding gains on available for sale securities | 310 | (567) | 1,356 | 135 |
Other comprehensive income, Before Tax Amount | 2,054 | |||
Other comprehensive income, Tax Effects | (698) | |||
Other comprehensive income | $ 310 | $ (540) | $ 1,356 | $ 187 |
OTHER COMPREHENSIVE INCOME Co48
OTHER COMPREHENSIVE INCOME Components of Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||
Accumulated Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Before Tax Amount | $ 1,766 | $ (288) |
Accumulated Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Tax Effects | (600) | 98 |
Accumulated Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | 1,166 | (190) |
Accumulated Other Comprehensive Income (Loss), Before Tax Amount | 1,766 | (288) |
Accumulated Other Comprehensive Income (Loss), Tax Effects | (600) | 98 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | $ 1,166 | $ (190) |
REGULATORY CAPITAL (Details)
REGULATORY CAPITAL (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
SI Financial Group, Inc. [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier One Leverage Capital | $ 150,935 | $ 140,862 |
Tier One Leverage Capital to Average Assets | 9.97% | 9.73% |
Tier One Leverage Capital Required for Capital Adequacy | $ 60,543 | $ 57,896 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets | 4.00% | 4.00% |
Tier One Leverage Capital Required to be Well Capitalized | $ 75,678 | $ 72,370 |
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | 5.00% | 5.00% |
Tier One Risk Based Capital | $ 150,935 | $ 140,862 |
Tier One Risk Based Capital to Risk Weighted Assets | 15.80% | 14.86% |
Tier One Risk Based Capital Required for Capital Adequacy | $ 63,272 | $ 56,861 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 6.63% | 6.00% |
Tier One Risk Based Capital Required to be Well Capitalized | $ 76,404 | $ 75,814 |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 8.00% | 8.00% |
Capital | $ 162,067 | $ 151,327 |
Capital to Risk Weighted Assets | 16.97% | 15.97% |
Capital Required for Capital Adequacy | $ 82,373 | $ 75,814 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 8.63% | 8.00% |
Capital Required to be Well Capitalized | $ 95,505 | $ 94,768 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Tier One Common Equity | $ 142,935 | $ 140,862 |
Tier One Common Equity to Risk Weighted Assets | 14.97% | 14.86% |
Tier One Common Equity Required for Capital Adequacy | $ 48,947 | $ 42,645 |
Tier One Common Equity Required for Capital Adequacy to Risk Weighted Assets | 5.13% | 4.50% |
Tier One Common Equity Required to be Well Capitalized | $ 62,079 | $ 61,599 |
Tier One Common Equity Required to be Well Capitalized to Risk Weighted Assets | 6.50% | 6.50% |
Savings Institute Bank and Trust Company [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier One Leverage Capital | $ 138,336 | $ 134,992 |
Tier One Leverage Capital to Average Assets | 9.28% | 9.38% |
Tier One Leverage Capital Required for Capital Adequacy | $ 59,615 | $ 57,550 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets | 4.00% | 4.00% |
Tier One Leverage Capital Required to be Well Capitalized | $ 74,519 | $ 71,937 |
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | 5.00% | 5.00% |
Tier One Risk Based Capital | $ 138,336 | $ 134,992 |
Tier One Risk Based Capital to Risk Weighted Assets | 14.53% | 14.27% |
Tier One Risk Based Capital Required for Capital Adequacy | $ 63,076 | $ 56,773 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 6.63% | 6.00% |
Tier One Risk Based Capital Required to be Well Capitalized | $ 76,167 | $ 75,698 |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 8.00% | 8.00% |
Capital | $ 149,468 | $ 145,457 |
Capital to Risk Weighted Assets | 15.70% | 15.37% |
Capital Required for Capital Adequacy | $ 82,118 | $ 75,698 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 8.63% | 8.00% |
Capital Required to be Well Capitalized | $ 95,209 | $ 94,622 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Tier One Common Equity | $ 138,336 | $ 134,992 |
Tier One Common Equity to Risk Weighted Assets | 14.53% | 14.27% |
Tier One Common Equity Required for Capital Adequacy | $ 48,795 | $ 42,580 |
Tier One Common Equity Required for Capital Adequacy to Risk Weighted Assets | 5.13% | 4.50% |
Tier One Common Equity Required to be Well Capitalized | $ 61,886 | $ 61,504 |
Tier One Common Equity Required to be Well Capitalized to Risk Weighted Assets | 6.50% | 6.50% |
FAIR VALUE OF ASSETS AND LIAB50
FAIR VALUE OF ASSETS AND LIABILITIES Fair Value Measurements - Recurring (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | $ 188,393 | $ 175,203 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 49 | 65 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 25,314 | 25,045 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 161,689 | 148,941 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 49 | 64 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 1,390 | 1,217 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 0 | 1 |
Forward loan sale commitments and derivative loan commitments [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 260 | 71 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 1 | |
Forward loan sale commitments and derivative loan commitments [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 0 | |
Forward loan sale commitments and derivative loan commitments [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 0 | |
Forward loan sale commitments and derivative loan commitments [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 260 | 71 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 1 | |
Interest rate swap agreement [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 49 | 64 |
Interest rate swap agreement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 0 | 0 |
Interest rate swap agreement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 49 | 64 |
Interest rate swap agreement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Liabilities, Fair Value Disclosure, Recurring | 0 | 0 |
U.S. Government and agency obligations | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 72,019 | 70,996 |
U.S. Government and agency obligations | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 25,314 | 25,045 |
U.S. Government and agency obligations | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 46,705 | 45,951 |
U.S. Government and agency obligations | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Government-sponsored enterprises | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 22,696 | 25,403 |
Government-sponsored enterprises | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Government-sponsored enterprises | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 22,696 | 25,403 |
Government-sponsored enterprises | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Mortgage-backed securities:(1) | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 87,014 | 72,078 |
Mortgage-backed securities:(1) | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Mortgage-backed securities:(1) | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 87,014 | 72,078 |
Mortgage-backed securities:(1) | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Corporate debt securities | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 1,000 | 1,000 |
Corporate debt securities | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Corporate debt securities | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 1,000 | 1,000 |
Corporate debt securities | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Collateralized debt obligation | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 1,130 | 1,146 |
Collateralized debt obligation | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Collateralized debt obligation | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Collateralized debt obligation | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 1,130 | 1,146 |
Obligations of state and political subdivisions | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 1,000 | 1,271 |
Obligations of state and political subdivisions | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Obligations of state and political subdivisions | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 1,000 | 1,271 |
Obligations of state and political subdivisions | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Tax-exempt securities | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 3,274 | 3,238 |
Tax-exempt securities | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Tax-exempt securities | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | 3,274 | 3,238 |
Tax-exempt securities | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Assets, Fair Value Disclosure, Recurring | $ 0 | $ 0 |
FAIR VALUE OF ASSETS AND LIAB51
FAIR VALUE OF ASSETS AND LIABILITIES Reconciliation of Level 3 Assets and Liabilities - Recurring (Details) - Fair Value, Measurements, Recurring [Member] - Fair Value, Inputs, Level 3 [Member] $ in Thousands | 6 Months Ended |
Jun. 30, 2016USD ($) | |
Collateralized Debt Obligations [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Abstract] | |
Beginning balance | $ 1,146 |
Total realized gains included in net income | 0 |
Total unrealized losses included in other comprehensive income | (16) |
Ending balance | 1,130 |
Derivative Loan and Forward Loan Sale Commitments, Net [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Abstract] | |
Beginning balance | 70 |
Total realized gains included in net income | 190 |
Total unrealized losses included in other comprehensive income | 0 |
Ending balance | $ 260 |
FAIR VALUE OF ASSETS AND LIAB52
FAIR VALUE OF ASSETS AND LIABILITIES Fair Value - Nonrecurring Hierarchy (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other real estate owned, Fair Value Disclosure | $ 1,166 | $ 1,088 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired Loans Fair Value Disclosure | 0 | 0 |
Other real estate owned, Fair Value Disclosure | 0 | 0 |
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired Loans Fair Value Disclosure | 0 | 0 |
Other real estate owned, Fair Value Disclosure | 0 | 0 |
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired Loans Fair Value Disclosure | 796 | 588 |
Other real estate owned, Fair Value Disclosure | 1,166 | 1,088 |
Assets, Fair Value Disclosure, Nonrecurring | $ 1,962 | $ 1,676 |
FAIR VALUE OF ASSETS AND LIAB53
FAIR VALUE OF ASSETS AND LIABILITIES Fair Value - Nonrecurring Gain/Loss Adjustments (Details) - Fair Value, Measurements, Nonrecurring [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired Loans | $ 167 | $ (71) | $ 239 | $ 148 |
Other real estate owned | 0 | 122 | 8 | 122 |
Total Adjustments to Fair Value, Assets Measured on a Nonrecurring Basis | $ 167 | $ 51 | $ 247 | $ 270 |
FAIR VALUE OF ASSETS AND LIAB54
FAIR VALUE OF ASSETS AND LIABILITIES Fair Value - Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Financial Assets [Abstract] | ||
Cash, Cash Equivalents, and Federal Funds Sold | $ 74,539 | $ 40,778 |
Available-for-sale Securities | 188,133 | 175,132 |
Loans held for sale | 5,146 | 1,804 |
Loans Receivable, Net Amount | 1,153,748 | 1,165,372 |
Federal Home Loan Bank Stock | 12,370 | 12,874 |
Federal Reserve Bank Stock | 3,624 | 3,621 |
Accrued interest receivable | 4,224 | 4,283 |
Financial Liabilities [Abstract] | ||
Deposits | 1,116,832 | 1,058,017 |
Mortgagors' and investors' escrow accounts | 4,135 | 3,508 |
Federal Home Loan Bank Advances | 207,914 | 234,595 |
Junior subordinated debt owed to unconsolidated trust | 8,248 | 8,248 |
Carrying (Reported) Amount, Fair Value Disclosure [Member] | ||
Financial Assets [Abstract] | ||
Cash, Cash Equivalents, and Federal Funds Sold | 74,539 | 40,778 |
Available-for-sale Securities | 188,133 | 175,132 |
Loans held for sale | 5,146 | 1,804 |
Loans Receivable, Net Amount | 1,153,748 | 1,165,372 |
Federal Home Loan Bank Stock | 12,370 | 12,874 |
Federal Reserve Bank Stock | 3,624 | 3,621 |
Accrued interest receivable | 4,224 | 4,283 |
Financial Liabilities [Abstract] | ||
Deposits | 1,116,832 | 1,058,017 |
Mortgagors' and investors' escrow accounts | 4,135 | 3,508 |
Federal Home Loan Bank Advances | 207,914 | 234,595 |
Junior subordinated debt owed to unconsolidated trust | 8,248 | 8,248 |
Derivative Assets [Abstract] | ||
Derivative Loan Commitments, Asset | 141 | 51 |
Forward Sale Loan Commitments, Asset | 119 | 20 |
Derivative Liabilities [Abstract] | ||
Forward Sale Loan Commitments, Liability | 1 | |
Interest Rate Derivative Liabilities, at Fair Value | 49 | 64 |
Estimate of Fair Value, Fair Value Disclosure [Member] | ||
Financial Assets [Abstract] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 74,539 | 40,778 |
Available-for-sale securities, Fair Value Disclosure | 188,133 | 175,132 |
Loans Held-for-sale, Fair Value Disclosure | 5,265 | 1,825 |
Loans Receivable, Fair Value Disclosure | 1,164,778 | 1,179,487 |
Federal Home Loan Bank Stock, Fair Value Disclosure | 12,370 | 12,874 |
Federal Reserve Bank stock, Fair Value Disclosure | 3,624 | 3,621 |
Accrued interest receivable, Fair Value Disclosure | 4,224 | 4,283 |
Financial Liabilities [Abstract] | ||
Deposits, Fair Value Disclosure | 1,121,773 | 1,062,884 |
Mortgagors' and investors' escrow accounts | 4,135 | 3,508 |
Federal Home Loan Bank Advances, Fair Value Disclosure | 210,654 | 234,504 |
Junior subordinated debt owed to uncolsolidated trust, Fair Value Disclosure | 5,029 | 5,442 |
Derivative Assets [Abstract] | ||
Derivative Loan Commitments, Asset | 141 | 51 |
Forward Sale Loan Commitments, Asset | 119 | 20 |
Derivative Liabilities [Abstract] | ||
Forward Sale Loan Commitments, Liability | 1 | |
Interest Rate Derivative Liabilities, at Fair Value | 49 | 64 |
Fair Value, Inputs, Level 1 [Member] | ||
Financial Assets [Abstract] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 74,539 | 40,778 |
Available-for-sale securities, Fair Value Disclosure | 25,314 | 25,045 |
Loans Held-for-sale, Fair Value Disclosure | 0 | 0 |
Loans Receivable, Fair Value Disclosure | 0 | 0 |
Federal Home Loan Bank Stock, Fair Value Disclosure | 0 | 0 |
Federal Reserve Bank stock, Fair Value Disclosure | 0 | 0 |
Accrued interest receivable, Fair Value Disclosure | 0 | 0 |
Financial Liabilities [Abstract] | ||
Deposits, Fair Value Disclosure | 0 | 0 |
Mortgagors' and investors' escrow accounts | 0 | 0 |
Federal Home Loan Bank Advances, Fair Value Disclosure | 0 | 0 |
Junior subordinated debt owed to uncolsolidated trust, Fair Value Disclosure | 0 | 0 |
Derivative Assets [Abstract] | ||
Derivative Loan Commitments, Asset | 0 | 0 |
Forward Sale Loan Commitments, Asset | 0 | 0 |
Derivative Liabilities [Abstract] | ||
Forward Sale Loan Commitments, Liability | 0 | |
Interest Rate Derivative Liabilities, at Fair Value | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Financial Assets [Abstract] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Available-for-sale securities, Fair Value Disclosure | 161,689 | 148,941 |
Loans Held-for-sale, Fair Value Disclosure | 0 | 0 |
Loans Receivable, Fair Value Disclosure | 0 | 0 |
Federal Home Loan Bank Stock, Fair Value Disclosure | 0 | 0 |
Federal Reserve Bank stock, Fair Value Disclosure | 0 | 0 |
Accrued interest receivable, Fair Value Disclosure | 0 | 0 |
Financial Liabilities [Abstract] | ||
Deposits, Fair Value Disclosure | 0 | 0 |
Mortgagors' and investors' escrow accounts | 0 | 0 |
Federal Home Loan Bank Advances, Fair Value Disclosure | 210,654 | 234,504 |
Junior subordinated debt owed to uncolsolidated trust, Fair Value Disclosure | 5,029 | 5,442 |
Derivative Assets [Abstract] | ||
Derivative Loan Commitments, Asset | 0 | 0 |
Forward Sale Loan Commitments, Asset | 0 | 0 |
Derivative Liabilities [Abstract] | ||
Forward Sale Loan Commitments, Liability | 0 | |
Interest Rate Derivative Liabilities, at Fair Value | 49 | 64 |
Fair Value, Inputs, Level 3 [Member] | ||
Financial Assets [Abstract] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Available-for-sale securities, Fair Value Disclosure | 1,130 | 1,146 |
Loans Held-for-sale, Fair Value Disclosure | 5,265 | 1,825 |
Loans Receivable, Fair Value Disclosure | 1,164,778 | 1,179,487 |
Federal Home Loan Bank Stock, Fair Value Disclosure | 12,370 | 12,874 |
Federal Reserve Bank stock, Fair Value Disclosure | 3,624 | 3,621 |
Accrued interest receivable, Fair Value Disclosure | 4,224 | 4,283 |
Financial Liabilities [Abstract] | ||
Deposits, Fair Value Disclosure | 1,121,773 | 1,062,884 |
Mortgagors' and investors' escrow accounts | 4,135 | 3,508 |
Federal Home Loan Bank Advances, Fair Value Disclosure | 0 | 0 |
Junior subordinated debt owed to uncolsolidated trust, Fair Value Disclosure | 0 | 0 |
Derivative Assets [Abstract] | ||
Derivative Loan Commitments, Asset | 141 | 51 |
Forward Sale Loan Commitments, Asset | 119 | 20 |
Derivative Liabilities [Abstract] | ||
Forward Sale Loan Commitments, Liability | 1 | |
Interest Rate Derivative Liabilities, at Fair Value | $ 0 | $ 0 |
DERIVATIVE INSTRUMENTS AND HE55
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Derivative Instrument - Nonhedge (Details) - Not Designated as Hedging Instrument [Member] - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Derivative [Line Items] | |||||
Notional Amount | $ 15,000,000 | $ 15,000,000 | $ 15,000,000 | ||
Weighted average fixed pay rate | 1.26% | 1.26% | 1.26% | ||
Weighted average variable receive rate | 0.63% | 0.63% | 0.32% | ||
Weighted average maturity in years | 6 months | 1 year | |||
Interest Rate Derivative Instruments Not Designated as Hedging Instruments, Liability at Fair Value | $ 49,000 | $ 49,000 | $ 64,000 | ||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | $ 16,000 | $ (10,000) | $ 15,000 | $ (15,000) |
DERIVATIVE INSTRUMENTS AND HE56
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Derivative Fair Value and Balance Sheet Classification (Details) - Not Designated as Hedging Instrument [Member] - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | |
Derivatives, Fair Value [Line Items] | ||
Notional Amount | $ 15,000 | $ 15,000 |
Description of Location of Interest Rate Derivative Instruments Not Designated as Hedging Instruments on Balance Sheet | Other Liabilities | |
Interest Rate Derivative Instruments Not Designated as Hedging Instruments, Liability at Fair Value | $ (49) | (64) |
Description of Location of Derivative Loan Commitments Not Designated as Hedging Instruments on Balance Sheet | Other Assets | |
Derivative Loan Commitments, Notional Amount, Net | $ 10,580 | 6,170 |
Derivative Loan Commitments, Fair Value, Net | $ 141 | 51 |
Description of Location of Forward Loan Sale Commitments Not Designated as Hedging Instruments on Balance Sheet | Other Assets | |
Forward Loan Sale Commitments, Notional Amount, Net | $ 7,745 | 3,656 |
Forward Loan Sale Commitments, Fair Value, Net | $ 119 | $ 19 |