Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Dec. 31, 2016 | Jan. 31, 2017 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | PRUDENTIAL BANCORP, INC. | |
Entity Central Index Key | 1,578,776 | |
Trading Symbol | pbip | |
Current Fiscal Year End Date | --09-30 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock Shares Outstanding | 9,015,982 | |
Document Type | 10-Q | |
Document Period End Date | Dec. 31, 2016 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 |
UNAUDITED CONSOLIDATED STATEMEN
UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
ASSETS | ||
Cash and amounts due from depository institutions | $ 1,580 | $ 1,965 |
Interest-bearing deposits | 6,485 | 10,475 |
Total cash and cash equivalents | 8,065 | 12,440 |
Certificates of deposit | 1,853 | 1,853 |
Investment and mortgage-backed securities available for sale (amortized cost-December 31, 2016, $134,619; September 30, 2016, $137,222) | 132,636 | 138,694 |
Investment and mortgage-backed securities held to maturity (fair value-December 31, 2016, $43,038; September 30, 2016, $40,700) | 44,741 | 39,971 |
Loans receivable-net of allowance for loan losses (December 31, 2016, $3,454; September 30, 2016, $3,269) | 349,494 | 344,948 |
Accrued interest receivable | 2,075 | 1,928 |
Real estate owned | 585 | 581 |
Federal Home Loan Bank stock-at cost | 2,970 | 2,463 |
Office properties and equipment-net | 1,268 | 1,344 |
Bank owned life insurance | 23,221 | 13,055 |
Prepaid expenses and other assets | 21,611 | 1,634 |
Deferred tax assets-net | 1,595 | 569 |
TOTAL ASSETS | 590,114 | 559,480 |
Deposits: | ||
Noninterest-bearing | 3,595 | 3,804 |
Interest-bearing | 404,620 | 385,397 |
Total deposits | 408,215 | 389,201 |
Advances from Federal Home Loan Bank (short-term) | 49,012 | 20,000 |
Advances from Federal Home Loan Bank (long-term) | 15,788 | 30,638 |
Accrued interest payable | 177 | 1,403 |
Advances from borrowers for taxes and insurance | 2,513 | 1,748 |
Accounts payable and accrued expenses | 1,293 | 2,488 |
Total liabilities | 476,998 | 445,478 |
STOCKHOLDERS' EQUITY: | ||
Preferred stock, $.01 par value, 10,000,000 shares authorized, none issued | ||
Common stock, $.01 par value, 40,000,000 shares authorized; 9,544,809 issued and 8,045,544 outstanding at December 31, 2016 and September 30, 2016 | 95 | 95 |
Additional paid-in capital | 96,022 | 95,713 |
Unearned Employee Stock Ownership Plan (ESOP) shares | (4,456) | (4,550) |
Treasury stock, at cost: 1,499,265 shares at December 31, 2016 and September 30, 2016 | (21,098) | (21,098) |
Retained earnings | 43,550 | 43,044 |
Accumulated other comprehensive (loss) income | (997) | 798 |
Total stockholders' equity | 113,116 | 114,002 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 590,114 | $ 559,480 |
UNAUDITED CONSOLIDATED STATEME3
UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Statement Of Financial Position [Abstract] | ||
Investment and mortgage-backed securities available for sale, amortized cost (in dollars) | $ 134,619 | $ 137,222 |
Investment and mortgage-backed securities held to maturity, fair value (in dollars) | 43,038 | 40,700 |
Allowance for loan losses on loans receivable (in dollars) | $ 3,454 | $ 3,269 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 9,544,809 | 9,544,809 |
Common stock, shares outstanding | 8,045,544 | 8,045,544 |
Number of treasury share purchased | 1,499,265 | 1,499,265 |
UNAUDITED CONSOLIDATED STATEME4
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
INTEREST INCOME: | ||
Interest on loans | $ 3,325 | $ 3,060 |
Interest on mortgage-backed securities | 571 | 512 |
Interest and dividends on investments | 606 | 479 |
Interest on interest-bearing assets | 3 | 5 |
Total interest income | 4,505 | 4,056 |
INTEREST EXPENSE: | ||
Interest on deposits | 691 | 752 |
Interest on advances from Federal Home Loan Bank | 166 | 48 |
Total interest expense | 857 | 800 |
NET INTEREST INCOME | 3,648 | 3,256 |
PROVISION FOR LOAN LOSSES | 185 | |
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES | 3,463 | 3,256 |
NON-INTEREST INCOME: | ||
Fees and other service charges | 124 | 119 |
Gain on sale of loans, net | 44 | 1 |
Gain on the sale of OREO | 58 | |
Income from bank owned life insurance | 166 | 84 |
Other | 24 | 12 |
Total non-interest income | 358 | 274 |
NON-INTEREST EXPENSE: | ||
Salaries and employee benefits | 1,569 | 1,717 |
Data processing | 112 | 116 |
Professional services | 319 | 279 |
Office occupancy | 252 | 248 |
Director compensation | 68 | 126 |
Deposit insurance premium | (30) | 82 |
Advertising | 37 | 17 |
Other | 393 | 311 |
Total non-interest expense | 2,720 | 2,896 |
INCOME BEFORE INCOME TAXES | 1,101 | 634 |
INCOME TAXES: | ||
Current expense | 470 | 286 |
Deferred (benefit) | (100) | (65) |
Total income tax expense | 370 | 221 |
NET INCOME | $ 731 | $ 413 |
BASIC EARNINGS PER SHARE (in dollars per share) | $ 0.10 | $ 0.05 |
DILUTED EARNINGS PER SHARE (in dollars per share) | 0.10 | 0.05 |
DIVIDENDS PER SHARE (in dollars per share) | $ 0.03 | $ 0.03 |
UNAUDITED CONSOLIDATED STATEME5
UNAUDITED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Of Other Comprehensive Income [Abstract] | ||
Net income | $ 731 | $ 413 |
Unrealized holding losses on available-for-sale securities | (3,456) | (1,185) |
Tax effect | 1,177 | 403 |
Unrealized holding gain on interest rate swaps | 733 | |
Tax effect | (249) | |
Total other comprehensive loss | (1,795) | (782) |
Comprehensive loss | $ (1,064) | $ (369) |
UNAUDITED CONSOLIDATED STATEME6
UNAUDITED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock | Additional Paid-In Capital | Unearned ESOP Shares | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total |
BALANCE at Sep. 30, 2015 | $ 95 | $ 95,286 | $ (4,926) | $ (14,691) | $ 41,219 | $ 18 | $ 117,001 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 413 | 413 | |||||
Other comprehensive loss | (782) | (782) | |||||
Dividends paid ($0.03 per share) | (231) | (231) | |||||
Tax benefit from stock compensation plans | 59 | 59 | |||||
Purchase of treasury stock (52,000 shares) | (865) | (865) | |||||
Stock option expense | 121 | 121 | |||||
Recognition and Retention Plan expense | 84 | 84 | |||||
ESOP shares committed to be released (8,879 shares) | 36 | 94 | 130 | ||||
BALANCE at Dec. 31, 2015 | 95 | 95,586 | (4,832) | (15,556) | 41,401 | (764) | 115,930 |
BALANCE at Sep. 30, 2016 | 95 | 95,713 | (4,550) | (21,098) | 43,044 | 798 | 114,002 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 731 | 731 | |||||
Other comprehensive loss | (1,795) | (1,795) | |||||
Dividends paid ($0.03 per share) | (225) | (225) | |||||
Tax benefit from stock compensation plans | 61 | 61 | |||||
Stock option expense | 114 | 114 | |||||
Recognition and Retention Plan expense | 89 | 89 | |||||
ESOP shares committed to be released (8,879 shares) | 45 | 94 | 139 | ||||
BALANCE at Dec. 31, 2016 | $ 95 | $ 96,022 | $ (4,456) | $ (21,098) | $ 43,550 | $ (997) | $ 113,116 |
UNAUDITED CONSOLIDATED STATEME7
UNAUDITED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parentheticals) - $ / shares | 3 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Of Stockholders Equity [Abstract] | ||
Dividends paid (in dollars per share) | $ 0.03 | $ 0.03 |
Purchase of treasury stock, shares | 52,000 | |
ESOP shares committed to be released | 8,879 | 8,879 |
UNAUDITED CONSOLIDATED STATEME8
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
OPERATING ACTIVITIES: | ||
Net income | $ 731 | $ 413 |
Adjustments to reconcile net income to net cash used in operating activities: | ||
Depreciation | 82 | 77 |
Net (accretion) amortization of premiums/discounts | (9) | 22 |
Provision for loan losses | 185 | |
Net amortization of deferred loan fees and costs | 46 | 70 |
Share-based compensation expense for stock options and awards | 203 | 205 |
Income from bank owned life insurance | (166) | (84) |
Gain from sale of loans | (44) | (1) |
Gain on sale of other real estate owned | (58) | |
Originations of loans held for sale | (300) | |
Proceeds from sale of loans held for sale | 2,478 | 301 |
Compensation expense of ESOP | 139 | 130 |
Deferred income tax benefit | (100) | (65) |
Changes in assets and liabilities which used cash: | ||
Accrued interest receivable | (147) | (198) |
Prepaid escrow for the Polonia Merger | (18,949) | |
Prepaid expenses and other assets | (294) | (592) |
Accrued interest payable | (1,226) | (1,234) |
Accounts payable and accrued expenses | (1,195) | (282) |
Net cash used in operating activities | (18,266) | (1,596) |
INVESTING ACTIVITIES: | ||
Purchase of investment and mortgage-backed securities available for sale | (36,929) | |
Purchase of corporate bonds available for sale | (10,135) | |
Purchase of municipal bonds | (5,061) | |
Loans originated or acquired | (27,848) | (19,085) |
Principal collected on loans | 20,637 | 9,783 |
Principal payments received on investment and mortgage-backed securities: | ||
Held-to-maturity | 295 | 10,604 |
Available-for-sale | 2,607 | 5,056 |
Purchase of FHLB stock | (507) | (1,275) |
Proceeds from sale of real estate owned | 927 | |
Purchase of BOLI | (10,000) | |
Purchases of equipment | (6) | (139) |
Net cash used in investing activities | (19,883) | (41,193) |
FINANCING ACTIVITIES: | ||
Net (decrease) increase in demand deposits, NOW accounts, and savings accounts | (1,105) | 2,249 |
Net increase in certificates of deposit | 20,119 | 3,283 |
Proceeds from FHLB advances | 14,999 | 31,889 |
Repayment of FHLB advances | (837) | |
Increase in advances from borrowers for taxes and insurance | 765 | 884 |
Cash dividends paid | (225) | (231) |
Purchase of treasury stock | (865) | |
Tax benefit related to stock compensation plans | 61 | 59 |
Net cash provided by financing activities | 33,777 | 37,268 |
NET DECREASE IN CASH AND CASH EQUIVALENTS | (4,372) | (5,521) |
CASH AND CASH EQUIVALENTS-Beginning of period | 12,440 | 11,272 |
CASH AND CASH EQUIVALENTS-End of period | 8,065 | 5,751 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||
Interest paid on deposits and advances from Federal Home Loan Bank | 2,083 | $ 2,034 |
Income taxes paid | $ 650 |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | 1. SIGNIFICANT ACCOUNTING POLICIES Prudential Bancorp, Inc. (the “Company”) is a Pennsylvania corporation and the parent holding company for Prudential Saving Bank (the “Bank”). The Company is a registered bank holding company. The Bank is a community-oriented Pennsylvania-chartered savings bank headquartered in South Philadelphia. The banking office network currently consists of the headquarters and main office, administrative office, and 10 full-service branch offices. Nine of the branch offices are located in Philadelphia (Philadelphia County), one is in Drexel Hill, Delaware County, and one is in Huntingdon Valley, Montgomery County (both Pennsylvania counties). The Bank maintains ATMs at all 11 of the banking offices. The Bank also provides on-line and mobile banking services. The Bank is subject to regulation by the Pennsylvania Department of Banking and Securities (the “Department”), as its chartering authority and primary regulator, and by the Federal Deposit Insurance Corporation (the “FDIC”), which insures the Bank’s deposits up to applicable limits. As a bank holding company, Prudential is subject to the regulation of the Board of Governors of the Federal Reserve System. On June 2, 2016, the Company announced the entering into of a definitive merger agreement with Polonia Bancorp, Inc. (“Polonia Bancorp”); effective January 1, 2017, Polonia Bancorp, merged with and into the Company, and Polonia Bank, Polonia’s wholly owned subsidiary, merged with and into the Bank. Basis of presentation – Use of Estimates in the Preparation of Financial Statements — Share-Based Compensation Dividends with respect to non-vested share awards granted pursuant to the Company’s 2008 Recognition and Retention Plan (“Plan”) and held in the Trust (the “Trust”) are held for the benefit of the recipients and are paid out proportionately by the Trust to the recipients of stock awards granted pursuant to the Plan as soon as practicable after the stock awards are earned. A recipient of a share award granted under the 2014 Stock Incentive Plan will not receive any dividends declared on the common stock subject to the award prior to the date the shares are earned. Treasury Stock – FHLB Stock – Recent Accounting Pronouncements In May 2014, the FASB issued ASU 2014-09 , Revenue from Contracts with Customers (a new revenue recognition standard). In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805). In January 2016, the FASB issued ASU 2016-01, Financial Instruments – Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU 2016-05, Derivatives and Hedging (Topic 815) . In March 2016, the FASB issued ASU 2016-06, Derivatives and Hedging (Topic 815) In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606). Revenue from Contracts with Customers (Topic 606), Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, In May 2016, the FASB issued ASU 2016-11, Revenue Recognition (Topic 605) and Derivative and Hedging (Topic 815 In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses: Measurement of Credit Losses on Financial Instruments In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740) In December 2016, the FASB issued ASU 2016-20 , Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers Guarantees In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805), Clarifying the Definition of a Business |
EARNINGS PER SHARE
EARNINGS PER SHARE | 3 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | 2. EARNINGS PER SHARE Basic earnings per common share is computed by dividing net income available to common stockholders by the weighted average number of shares of common stock outstanding, net of any treasury shares, during the period. Diluted earnings per share is calculated by dividing net income available to common stockholders by the weighted average number of shares of common stock outstanding, net of any treasury shares, after consideration of the potential dilutive effect of common stock equivalents, based upon the treasury stock method using an average market price for the period. The calculated basic and diluted earnings per share are as follows: Three Months Ended December 31, 2016 2015 Basic Diluted Basic Diluted (Dollars in Thousands Except Per Share Data) Net income $ 731 $ 731 $ 413 $ 413 Weighted average shares outstanding 7,333,531 7,333,531 7,625,150 7,625,150 Effect of common stock equivalents - 320,745 - 158,906 Adjusted weighted average shares used in earnings per share computation 7,333,531 7,654,276 7,625,150 7,784,056 Earnings per share - basic and diluted $ 0.10 $ 0.10 $ 0.05 $ 0.05 All exercisable stock options outstanding as of December 31, 2016 and 2015 had exercise prices below the then current per share market price for the Company’s common stock and were considered dilutive for the earnings per share calculation. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 3 Months Ended |
Dec. 31, 2016 | |
Accumulated Other Comprehensive Income [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 3. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table presents the changes in accumulated other comprehensive (loss) income by component, net of tax: Three Months Ended December 31, 2016 2015 (Dollars in Thousands) Unrealized gains (losses) on available for sale Unrealized gains (losses) securities and interest on available for sale rate swaps (a) securities (a) Beginning Balance $ 798 $ 18 Unrealized (loss) gains on available for sale securities (2,279 ) (782 ) Unrealized gains on interest rate swaps 484 - Total other comprehensive loss (1,795 ) (782 ) Ending Balance $ (997 ) $ (764 ) (a) All amounts are net of tax. Amounts in parentheses indicate debits. |
INVESTMENT AND MORTGAGE-BACKED
INVESTMENT AND MORTGAGE-BACKED SECURITIES | 3 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENT AND MORTGAGE-BACKED SECURITIES | 4. INVESTMENT AND MORTGAGE-BACKED SECURITIES The amortized cost and fair value of investment and mortgage-backed securities, with gross unrealized gains and losses, are as follows: December 31, 2016 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (Dollars in Thousands) Securities Available for Sale: U.S. government and agency obligations $ 20,989 $ - $ (476 ) $ 20,513 Mortgage-backed securities - U.S. government agencies 88,227 183 (1,347 ) 87,063 Corporate bonds 25,397 9 (445 ) 24,961 Total debt securities available for sale 134,613 192 (2,268 ) 132,537 FHLMC preferred stock 6 93 - 99 Total securities available for sale $ 134,619 $ 285 $ (2,268 ) $ 132,636 Securities Held to Maturity: U.S. government and agency obligations $ 33,499 $ 282 $ (2,054 ) $ 31,727 Mortgage-backed securities - U.S. government agencies 6,183 360 (36 ) 6,507 Municipal bonds 5,059 - (255 ) 4,804 Total securities held to maturity $ 44,741 $ 642 $ (2,345 ) $ 43,038 September 30, 2016 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (Dollars in Thousands) Securities Available for Sale: U.S. government and agency obligations $ 20,988 $ 36 $ - $ 21,024 Mortgage-backed securities - U.S. government agencies 90,817 860 (102 ) 91,575 Corporate bonds 25,411 661 (19 ) 26,053 Total debt securities available for sale 137,216 1,557 (121 ) 138,652 FHLMC preferred stock 6 36 - 42 Total securities available for sale $ 137,222 $ 1,593 $ (121 ) $ 138,694 Securities Held to Maturity: U.S. government and agency obligations $ 33,499 $ 399 $ (129 ) $ 33,769 Mortgage-backed securities - U.S. government agencies 6,472 459 - 6,931 Total securities held to maturity $ 39,971 $ 858 $ (129 ) $ 40,700 The following table shows the gross unrealized losses and related fair values of the Company’s investment securities, aggregated by investment category and length of time that individual securities had been in a continuous loss position at December 31, 2016: Less than 12 months More than 12 months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair Losses Value Losses Value Losses Value (Dollars in Thousands) Securities Available for Sale: U.S. government and agency obligations $ (476 ) $ 20,513 $ - $ - $ (476 ) $ 20,513 Mortgage-backed securities - agency (1,168 ) 66,064 (179 ) 7,444 (1,347 ) 73,508 Corporate bonds (445 ) 24,952 - - (445 ) 24,952 Total securities available for sale $ (2,089 ) $ 111,529 $ (179 ) $ 7,444 $ (2,268 ) $ 118,973 Securities Held to Maturity: U.S. government and agency obligations $ (2,054 ) $ 31,727 $ - $ - $ (2,054 ) $ 31,727 Mortgage-backed securities - agency (36 ) 1,328 - - (36 ) 1,328 Municipal bonds (255 ) 4,804 - - (255 ) 4,804 Total securities held to maturity $ (2,345 ) $ 37,859 $ - $ - $ (2,345 ) $ 37,859 Total $ (4,434 ) $ 149,388 $ (179 ) $ 7,444 $ (4,613 ) $ 156,832 The following table shows the gross unrealized losses and related fair values of the Company’s investment securities, aggregated by investment category and length of time that individual securities had been in a continuous loss position at September 30, 2016: Less than 12 months More than 12 months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair Losses Value Losses Value Losses Value (Dollars in Thousands) Securities Available for Sale: U.S. government and agency obligations $ (50 ) $ 16,498 $ (52 ) $ 6,718 $ (102 ) $ 23,216 Mortgage-backed securities - agency (19 ) 3,955 - - (19 ) 3,955 Total securities available for sale (69 ) 20,453 (52 ) 6,718 (121 ) 27,171 Securities Held to Maturity: U.S. government and agency obligations $ (129 ) $ 20,371 $ - $ - $ (129 ) $ 20,371 Total securities held to maturity $ (129 ) $ 20,371 $ - $ - $ (129 ) $ 20,371 Total $ (198 ) $ 40,824 $ (52 ) $ 6,718 $ (250 ) $ 47,542 Management evaluates securities for other-than-temporary impairment (“OTTI”) at least once each quarter, and more frequently when economic or market concerns warrant such evaluation. The evaluation is based upon factors such as the creditworthiness of the issuers/guarantors, the underlying collateral, if applicable, and the continuing performance of the securities. Management also evaluates other facts and circumstances that may be indicative of an OTTI condition. This includes, but is not limited to, an evaluation of the type of security, the length of time and extent to which the fair value of the security has been less than cost, and the near-term prospects of the issuer. The Company assesses whether a credit loss exists with respect to a security by considering whether (1) the Company has the intent to sell the security, (2) it is more likely than not that it will be required to sell the security before recovery has occurred, or (3) it does not expect to recover the entire amortized cost basis of the security. The Company bifurcates the OTTI impact on impaired securities where impairment in value was deemed to be other than temporary between the component representing credit loss and the component representing loss related to other factors. The portion of the fair value decline attributable to credit loss must be recognized through a charge to earnings. The credit component is determined by comparing the present value of the cash flows expected to be collected, discounted at the rate in effect before recognizing any OTTI, with the amortized cost basis of the debt security. The Company uses the cash flows expected to be realized from the security, which includes assumptions about interest rates, timing and severity of defaults, estimates of potential recoveries, the cash flow distribution from the security and other factors, then applies a discount rate equal to the effective yield of the security. The difference between the present value of the expected cash flows and the amortized book value is considered a credit loss. The fair value of the security is determined using the same expected cash flows; the discount rate is a rate the Company determines from open market and other sources as appropriate for the particular security. The difference between the fair value and the security’s remaining amortized cost is recognized in other comprehensive income (loss). For both the three months ended December 31, 2016 and 2015, the Company did not record any credit losses on investment securities through earnings. U.S. Government and Agency Obligations - Mortgage-Backed Securities – Corporate Debt Securities Municipal securities The amortized cost and fair value of debt securities, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. The maturity table below excludes mortgage-backed securities because the contractual maturities of such securities are not indicative of actual maturities due to significant prepayments. December 31, 2016 Held to Maturity Available for Sale Amortized Fair Amortized Fair Cost Value Cost Value (Dollars in Thousands) Due after one through five years $ 1,999 $ 2,151 $ 2,057 $ 2,023 Due after five through ten years 12,022 11,699 22,350 22,016 Due after ten years 24,537 22,681 21,979 21,435 Total $ 38,558 $ 36,531 $ 46,386 $ 45,474 During the three month periods ended December 31, 2016 and 2015, the Company did not sell any securities. |
LOANS RECEIVABLE
LOANS RECEIVABLE | 3 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
LOANS RECEIVABLE | 5. LOANS RECEIVABLE Loans receivable consist of the following: December 31, September 30, 2016 2016 (Dollars in Thousands) One-to-four family residential $ 225,375 $ 233,531 Multi-family residential 12,355 12,478 Commercial real estate 88,776 79,859 Construction and land development 27,023 21,839 Commercial business - 99 Leases 4,436 3,286 Consumer 1,915 799 Total loans 359,880 351,891 Undisbursed portion of loans-in-process (8,430 ) (5,371 ) Deferred loan costs 1,498 1,697 Allowance for loan losses (3,454 ) (3,269 ) Net loans $ 349,494 $ 344,948 The following table summarizes by loan segment the balance in the allowance for loan losses and the loans individually and collectively evaluated for impairment by loan segment at December 31, 2016: One- to-four Multi-family Commercial real Construction Leases Consumer Unallocated Total (Dollars in Thousands) Allowance for Loan Losses: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment 1,564 135 963 415 28 35 314 3,454 Total ending allowance balance $ 1,564 $ 135 $ 963 $ 415 $ 28 $ 35 $ 314 $ 3,454 Loans: Individually evaluated for impairment $ 5,489 $ 331 $ 2,722 $ 10,511 $ - $ - $ 19,053 Collectively evaluated for impairment 219,886 12,024 86,054 16,512 4,436 1,915 340,827 Total loans $ 225,375 $ 12,355 $ 88,776 $ 27,023 $ 4,436 $ 1,915 $ 359,880 The following table summarizes by loan segment the balance in the allowance for loan losses and the loans individually and collectively evaluated for impairment by loan segment at September 30, 2016: One- to-four Multi-family Commercial Construction Commercial Leases Consumer Unallocated Total (Dollars in Thousands) Allowance for Loan Losses: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment 1,627 137 859 316 1 21 10 298 3,269 Total ending allowance balance $ 1,627 $ 137 $ 859 $ 316 $ 1 $ 21 $ 10 $ 298 $ 3,269 Loans: Individually evaluated for impairment $ 5,553 $ 335 $ 3,154 $ 10,288 $ 99 $ - $ - $ 19,429 Collectively evaluated for impairment 227,978 12,143 76,705 11,551 - 3,286 799 332,462 Total loans $ 233,531 $ 12,478 $ 79,859 $ 21,839 $ 99 $ 3,286 $ 799 $ 351,891 The loan portfolio is segmented at a level that allows management to monitor both risk and performance. Management evaluates for potential impairment all construction, multi-family, commercial real estate, commercial business loans, and all leases and all loans and leases more than 90 days delinquent as to principal and/or interest. Loans are considered to be impaired when, based on current information and events, it is probable that the Company will be unable to collect in full the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Once the determination is made that a loan is impaired, the determination of whether a specific allocation of the allowance is necessary is generally measured by comparing the recorded investment in the loan to the fair value of the loan using one of the following three methods: (a) the present value of the expected future cash flows discounted at the loan’s effective interest rate; (b) the loan’s observable market price; or (c) the fair value of the collateral less selling costs. Management primarily utilizes the fair value of collateral method as a practically expedient alternative. On collateral method evaluations, any portion of the loan deemed uncollectible is charged-off against the loan loss allowance. The following table presents impaired loans by class as of December 31, 2016, segregated by those for which a specific allowance was required and those for which a specific allowance was not required. Impaired Loans with Impaired Loans with No Specific Specific Allowance Allowance Total Impaired Loans (Dollars in Thousands) Unpaid Recorded Related Recorded Recorded Principal Investment Allowance Investment Investment Balance One-to-four family residential $ - $ - $ 5,489 $ 5,489 $ 5,718 Multi-family residential - - 331 331 331 Commercial real estate - - 2,722 2,722 2,722 Construction and land development - - 10,511 10,511 10,511 Total loans $ - $ - $ 19,053 $ 19,053 $ 19,282 The following table presents impaired loans by class as of September 30, 2016, segregated by those for which a specific allowance was required and those for which a specific allowance was not required. Impaired Loans with Impaired Loans with No Specific Specific Allowance Allowance Total Impaired Loans (Dollars in Thousands) Unpaid Recorded Related Recorded Recorded Principal Investment Allowance Investment Investment Balance One-to-four family residential $ - $ - $ 5,553 $ 5,553 $ 5,869 Multi-family - - 335 335 335 Commercial real estate - - 3,154 3,154 3,154 Construction and land development - - 10,288 10,288 10,288 Commercial loans - - 99 99 99 Total loans $ - $ - $ 19,429 $ 19,429 $ 19,745 The following tables present the average recorded investment in impaired loans and related interest income recognized for the periods indicated: Three Months Ended December 31, 2016 Average Income Recognized Income (Dollars in Thousands) One-to-four family residential $ 5,522 $ 17 $ 24 Multi-family residential 332 6 - Commercial real estate 2,938 17 11 Construction and land development 10,399 - - Total loans $ 19,191 $ 40 $ 35 Three Months Ended December 31, 2015 Average Income Recognized Income (Dollars in Thousands) One-to-four family residential $ 4,455 $ 31 $ 23 Multi-family residential 351 6 - Commercial real estate 3,740 24 13 Construction and land development 9,057 125 - Total loans $ 17,603 $ 186 $ 36 Federal regulations and our loan policy require that the Company utilize an internal asset classification system as a means of reporting problem and potential problem assets. The Company has incorporated an internal asset classification system, consistent with Federal banking regulations, as a part of its credit monitoring system. Management currently classifies problem and potential problem assets as “special mention”, “substandard,” “doubtful” or “loss” assets. An asset is considered “substandard” if it is inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. “Substandard” assets include those characterized by the “distinct possibility” that the insured institution will sustain “some loss” if the deficiencies are not corrected. Assets classified as “doubtful” have all of the weaknesses inherent in those classified “substandard” with the added characteristic that the weaknesses present make “collection or liquidation in full,” on the basis of currently existing facts, conditions, and values, “highly questionable and improbable.” Assets classified as “loss” are those considered “uncollectible” and of such little value that their continuance as assets without the establishment of a specific loss reserve is not warranted. Assets which do not currently expose the insured institution to sufficient risk to warrant classification in one of the aforementioned categories but possess weaknesses are required to be designated “special mention.” The following tables present the classes of the loan portfolio in which a formal risk weighting system is utilized summarized by the aggregate “Pass” and the criticized category of “special mention”, and the classified categories of “substandard”, “doubtful” and “loss” within the Company’s risk rating system as applied to the loan portfolio. The Company had no loans classified as “doubtful” or “loss” at either of the dates presented. December 31, 2016 Special Total Pass Mention Substandard Loans (Dollars in Thousands) One-to-four family residential $ - $ 1,670 $ 908 $ 2,578 Multi-family residential 12,025 330 - 12,355 Commercial real estate 85,115 1,480 2,181 88,776 Construction and land development 16,512 - 10,511 27,023 Total loans $ 113,652 $ 3,480 $ 13,600 $ 130,732 September 30, 2016 Special Total Pass Mention Substandard Loans (Dollars in Thousands) One-to-four family residential $ - $ 1,681 $ 1,212 $ 2,893 Multi-family residential 12,144 - 334 12,478 Commercial real estate 76,185 943 2,731 79,859 Construction and land development 11,551 - 10,288 21,839 Commercial business 99 - - 99 Total loans $ 99,979 $ 2,624 $ 14,565 $ 117,168 The Company evaluates the classification of one-to-four family residential and consumer loans primarily on a pooled basis. If the Company becomes aware that adverse or distressed conditions exist that may affect a particular single-family residential loan, the loan is downgraded following the above definitions of special mention, substandard, doubtful and loss. The following tables represent loans in which a formal risk rating system is not utilized, but loans are segregated between performing and non-performing based primarily on delinquency status. Non-performing loans that would be included in the table are those loans greater than 90 days past due as to principal and/or interest that do not have a designated risk rating. December 31, 2016 Non- Total Performing Performing Loans (Dollars in Thousands) One-to-four family residential $ 218,559 $ 4,238 $ 222,797 Leases 4,436 - 4,436 Consumer 1,915 - 1,915 Total loans $ 224,910 $ 4,238 $ 229,148 September 30, 2016 Non- Total Performing Performing Loans (Dollars in Thousands) One-to-four family residential $ 226,394 $ 4,244 $ 230,638 Leases $ 3,286 - $ 3,286 Consumer 799 - 799 Total loans $ 230,479 $ 4,244 $ 234,723 Management further monitors the performance and credit quality of the loan portfolio by analyzing the age of the portfolio as determined by the length of time a recorded payment is due or overdue, as the case may be. The following table presents the loan categories of the loan portfolio summarized by the aging categories of performing and delinquent loans and nonaccrual loans: December 31, 2016 90 Days+ Total 30-89 Days 90 Days + Past Due Past Due Total Non- Current Past Due Past Due and Accruing and Accruing Loans Accrual (Dollars in Thousands) One-to-four family residential $ 222,408 $ 989 $ 1,978 $ - $ 989 $ 225,375 $ 4,238 Multi-family residential 12,355 - - - - 12,355 - Commercial real estate 87,192 238 1,346 - 238 88,776 1,346 Construction and land development 16,513 - 10,511 - - 27,023 10,511 Leases 4,303 133 - - 133 4,436 - Consumer 1,915 - - - - 1,915 - Total loans $ 344,686 $ 1,360 $ 13,835 $ - $ 1,360 $ 359,880 $ 16,095 September 30, 2016 90 Days+ Total 30-89 Days 90 Days + Past Due Past Due Total Non- Current Past Due Past Due and Accruing and Accruing Loans Accrual (Dollars in Thousands) One-to-four family residential $ 228,904 $ 1,860 $ 2,767 $ - $ 1,860 $ 233,531 $ 4,244 Multi-family residential 12,478 - - - - 12,478 - Commercial real estate 78,513 - 1,346 - - 79,859 1,346 Construction and land development 11,551 - 10,288 - - 21,839 10,288 Commercial business 99 - - - - 99 - Leases 3,286 - - - - 3,286 - Consumer 799 - - - - 799 - Total loans $ 335,630 $ 1,860 $ 14,401 $ - $ 1,860 $ 351,891 $ 15,878 The allowance for loan losses is established through a provision for loan losses charged to expense. The Company maintains the allowance at a level believed to cover all known and inherent losses in the portfolio that are both probable and reasonable to estimate at each reporting date. Management reviews the allowance for loan losses no less than quarterly in order to identify these inherent losses and to assess the overall collection probability for the loan portfolio in view of these inherent losses. For each primary type of loan, a loss factor is established reflecting an estimate of the known and inherent losses in such loan type contained in the portfolio using both a quantitative analysis as well as consideration of qualitative factors. The evaluation process includes, among other things, an analysis of delinquency trends, non-performing loan trends, the level of charge-offs and recoveries, prior loss experience, total loans outstanding, the volume of loan originations, the type, size and geographic concentration of the Company’s loans, the value of collateral securing the loans, the borrowers’ ability to repay and repayment performance, the number of loans requiring heightened management oversight, local economic conditions and industry experience. Commercial real estate loans entail significant additional credit risks compared to owner-occupied one-to-four family residential mortgage loans, as they generally involve large loan balances concentrated with single borrowers or groups of related borrowers. In addition, the payment experience on loans secured by income-producing properties typically depends on the successful operation of the related real estate project and/or business operation of the borrower who is, in some cases, also the primary occupant, and thus may be subject to a greater extent to the effects of adverse conditions in the real estate market and in the economy in general. Commercial business loans typically involve a higher risk of default than residential loans of like duration since their repayment is generally dependent on the successful operation of the borrower’s business and the sufficiency of collateral, if any. Land acquisition, development and construction lending exposes the Company to greater credit risk than permanent mortgage financing. The repayment of land acquisition, development and construction loans depends upon the sale of the property to third parties or the availability of permanent financing upon completion of all improvements. These events may adversely affect the sale of the properties, potentially reducing both the borrowers’ ability to make required payments as well as reducing the value of the collateral property. Such lending is additionally subject to the risk that if the estimate of construction cost proves to be inaccurate, the Company potentially will be compelled to advance additional funds to allow completion of the project. In addition, if the estimate of value proves to be inaccurate, the Company may be confronted with a project, when completed, having less value than the loan amount. If the Company is forced to foreclose on a project prior to completion, there is no assurance that the Company would be able to recover the entire unpaid portion of the loan. The following tables summarize the primary segments of the allowance for loan losses. Activity in the allowance is presented for the three month periods ended December 31, 2016 and 2015: Three Months Ended December 31, 2016 One- to Multi- Commercial Construction Commercial Leases Consumer Unallocated Total (Dollars in Thousands) ALLL balance at September 30, 2016 $ 1,627 $ 137 $ 859 $ 316 $ 1 $ 21 $ 10 $ 298 $ 3,269 Charge-offs - - - - - - - - - Recoveries - - - - - - - - - Provision (63 ) (2 ) 104 99 (1 ) 7 25 16 185 ALLL balance at December 31, 2016 $ 1,564 $ 135 $ 963 $ 415 $ - $ 28 $ 35 $ 314 $ 3,454 Three Months Ended December 31, 2015 One- to four-family Multi- Commercial Construction Commercial Consumer Unallocated Total (Dollars in Thousands) ALLL balance at September 30, 2015 $ 1,635 $ 66 $ 231 $ 724 $ - $ 5 $ 269 $ 2,930 Charge-offs (11 ) - - - - - - (11 ) Recoveries - - - - - - - - Provision (153 ) (8 ) 128 33 - 3 (3 ) - ALLL balance at December 31, 2015 $ 1,471 $ 58 $ 359 $ 757 $ - $ 8 $ 266 $ 2,919 The Company recorded a provision for loan losses in the amount of $185,000 for the three months period ended December 31, 2016, compared to no provision for the same period in 2015. At December 31, 2016, the Company had ten loans aggregating $7.5 million that were classified as troubled debt restructurings (“TDRs”). Three of such loans aggregating $5.5 million as of December 31, 2016 were classified as non-performing as a result of concern as to whether the borrower has sufficient cashflow to continue to make scheduled payments. Two of these three loans totaling $4.8 million (which are part of the Company’s largest lending relationship) are over 90 days past due resulting from the discontinuation of funding by the Company due to the re-negotiation of the projects cash flows. The Company did not restructure any debt during the three month period ended December 31, 2016 and one single-family residential was restructured in the amount of $482,000 during the same period in 2015. One on construction and development loan for $3.4 million and a commercial real estate loan for $730,000 were in default as of December 31, 2016. Both loans were a part of the Company’s largest borrower. A third TDR secured by one-to-four family residential property for $1.4 million remained classified as non-performing although the borrower has made all agreed upon payments to date. Restructured during the Three Months Ended December 31, 2015 Number of Pre- Modification Post- (Dollars in Thousand) One-to four- family 1 $ 482,000 $ 482,000 1 $ 482,000 $ 482,000 |
DEPOSITS
DEPOSITS | 3 Months Ended |
Dec. 31, 2016 | |
Deposits [Abstract] | |
DEPOSITS | 6. DEPOSITS Deposits consist of the following major classifications: December 31, September 30, 2016 2016 Amount Percent Amount Percent (Dollars in Thousands) Money market deposit accounts $ 53,510 13.1 % $ 55,552 14.3 % Interest-bearing checking accounts 38,220 9.4 34,984 9.3 Non interest-bearing checking accounts 3,595 0.9 3,804 0.7 Passbook, club and statement savings 69,055 16.9 70,924 18.2 Certificates maturing in six months or less 95,516 23.4 97,418 25.0 Certificates maturing in more than six months 148,319 36.3 126,519 32.5 Total $ 408,215 100.0 % $ 389,201 100.0 % Certificates of $250,000 and over totaled $18.0 million as of December 31, 2016 and $17.0 million as of September 30, 2016. |
ADVANCES FROM FEDERAL HOME LOAN
ADVANCES FROM FEDERAL HOME LOAN BANK | 3 Months Ended |
Dec. 31, 2016 | |
Advances from Federal Home Loan Banks [Abstract] | |
ADVANCES FROM FEDERAL HOME LOAN BANK | 7. ADVANCES FROM FEDERAL HOME LOAN BANK Pursuant to collateral agreement with the FHLB of Pittsburgh, advances are secured by qualifying first mortgage loans. Type Maturity Date Amount Coupon Call Date (Dollars in Thousands) Fixed Rate -Advance 3-Jan-17 $ 15,000 0.74 % Not Applicable Fixed Rate -Advance 6-Jan-17 10,000 0.65 % Not Applicable Fixed Rate -Advance 13-Jan-17 10,000 0.80 % Not Applicable Fixed Rate -Advance 17-Nov-17 10,000 1.02 % Not Applicable Fixed Rate -Amortizing 1-Dec-17 2,012 1.16 % Not Applicable Fixed Rate -Advance 4-Dec-17 2,000 1.15 % Not Applicable Fixed Rate -Advance 16-Nov-18 7,500 1.40 % Not Applicable Fixed Rate -Advance 3-Dec-18 3,000 1.54 % Not Applicable Fixed Rate -Amortizing 18-Nov-19 4,043 1.53 % Not Applicable Fixed Rate -Advance 27-Jul-20 249 1.38 % Not Applicable Fixed Rate -Advance 27-Jul-21 249 1.52 % Not Applicable Fixed Rate -Advance 28-Jul-21 249 1.48 % Not Applicable Fixed Rate -Advance 29-Jul-21 249 1.42 % Not Applicable Fixed Rate -Advance 19-Aug-21 249 1.55 % Not Applicable $ 64,800 0.82 % (a) (a) Weighted average coupon rate. |
DERIVATIVES
DERIVATIVES | 3 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES | 8. DERIVATIVES The Company has contracted with a third party to participate in pay-fixed interest rate swap contracts and the amount outstanding at December 31, 2016, is being utilized to hedge $21.1 million in floating rate debt consisting of FHLB advances. Below is a summary of the interest rate swap agreements and the terms as of December 31, 2016. Notional Pay Receive Maturity Unrealized Amount Rate Rate Date Gain (Dollars in thousands) Interest rate swap contract $ 10,000 1.15 % 1 Month Libor 6-Apr-21 $ 225 Interest rate swap contract 10,000 1.18 % 1 Month Libor 13-Jun-21 235 Interest rate swap contract 1,100 4.10 % 1 Month Libor +276 bp 1-Aug-26 71 $ 531 All three interest rate swaps are carried at fair value in accordance with FASB ASC 815 "Derivatives and Hedging." Below is a summary of the interest rate swap agreements and the terms as of September 30, 2016. Notional Pay Receive Maturity Unrealized Amount Rate Rate Date Loss (Dollar in thousands) Interest rate swap contract $ 10,000 1.15 % 1 Mth Libor 6-Apr-21 $ 92 Interest rate swap contract 10,000 1.18 % 1 Mth Libor 13-Jun-21 103 Interest rate swap contract 1,100 4.10 % 1 Mth Libor +276 bp 1-Aug-26 7 $ 202 All three interest swaps are carried at fair value in accordance with FASB ASC 815 “Derivatives and Hedging.” |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 9. INCOME TAXES Items that gave rise to significant portions of deferred income taxes are as follows: December 31, September 30, 2016 2016 (Dollars in Thousands) Deferred tax assets: Allowance for loan losses $ 1,334 $ 1,289 Nonaccrual interest 230 163 Accrued vacation 12 13 Capital loss carryforward 378 378 Split dollar life insurance 18 18 Post-retirement benefits 95 96 Unrealized losses on available for sale securities 674 - Unrealized losses on interest rate swaps - 69 Employee benefit plans 415 434 Total deferred tax assets 3,156 2,460 Valuation allowance (378 ) (378 ) Total deferred tax assets, net of valuation allowance 2,778 2,082 Deferred tax liabilities: Property 477 423 Unrealized gains on available for sale securities - 500 Unrealized gains on interest rate swaps 180 - Miscellaneous 12 12 Deferred loan fees 514 578 Total deferred tax liabilities 1,183 1,513 Net deferred tax assets $ 1,595 $ 569 The Company establishes a valuation allowance for deferred tax assets when management believes that the use of the deferred tax assets is not likely to be fully realized through a carry back to taxable income in prior years or future reversals of existing taxable temporary differences, and/or to a lesser extent, future taxable income. The tax deduction generated by the redemption of the shares of a mutual fund held by the Bank and the subsequent impairment charge on the assets acquired through the redemption in kind are considered capital losses and can only be utilized to the extent of capital gains recognized over a five year period, resulting in the establishment of a valuation allowance for the carryforward period. The valuation allowance totaled $378,000 at December 31, 2016, and September 30, 2016. There is currently no liability for uncertain tax positions and no known unrecognized tax benefits. The Company recognizes, when applicable, interest and penalties related to unrecognized tax benefits in the provision for income taxes in the Consolidated Statements of Operations as a component of income tax expense. The Company’s federal and state income tax returns for taxable years through September 30, 2013 have been closed for purposes of examination by the Internal Revenue Service and the Pennsylvania Department of Revenue. |
STOCK COMPENSATION PLANS
STOCK COMPENSATION PLANS | 3 Months Ended |
Dec. 31, 2016 | |
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract] | |
STOCK COMPENSATION PLANS | 10. STOCK COMPENSATION PLANS The Company maintains an employee stock ownership plan (“ESOP”) for substantially all of its full-time employees. The ESOP purchased 427,057 shares of the Company’s common stock for an aggregate cost of approximately $4.5 million in fiscal 2005. The ESOP purchased in connection with the second-step conversion of the Bank an additional 255,564 shares during December 2013 and an additional 30,100 shares at the beginning of January 2014, of the Company’s common stock for an aggregate cost of approximately $3.1 million. The shares were purchased with the proceeds of two loans from the Company. Shares of the Company’s common stock purchased by the ESOP are held in a suspense account until released for allocation to participants as the loans are repaid. Shares are allocated to each eligible participant based on the ratio of each such participant’s compensation, as defined in the ESOP, to the total compensation of all eligible plan participants. As the unearned shares are released from the suspense account, the Company recognizes compensation expense equal to the fair value of the ESOP shares during the periods in which they become committed to be released. To the extent that the fair value of the ESOP shares released differs from the cost of such shares, the difference is charged or credited to equity as additional paid-in capital. As of December 31, 2016, the ESOP held 697,270 shares of which a total of 243,734 shares were allocated to participants and committed to release an additional 35,517 shares as of December 31, 2016. For the three months ended December 31, 2016 and 2015, the Company recognized $139,000 and $130,000, respectively, in compensation expense related to the ESOP. During the quarter, the Board of Directors voted to terminate the ESOP effective December 31, 2016. The Company has submitted the proper notices with the Internal Revenue Service and is awaiting receipt of a determination letter in connection with termination of the ESOP, before the final allocation is made to the individual participants. The Company aquired from the ESOP 303,115 shares of treasury stock to pay off the remaining $5.2 million of the outstanding loan balances. Approximately 115,000 shares of unallocated stock will be distributed to the remaining plan participants. The Company maintains the 2008 Recognition and Retention Plan (“2008 RRP”) which is administered by a committee of the Board of Directors of the Company. The RRP provides for the grant of shares of common stock of the Company to officers, employees and directors of the Company. In order to fund the grant of shares under the RRP, the 2008 RRP purchased 213,528 shares (on a converted basis) of the Company’s common stock in the open market for an aggregating cost of approximately $2.5 million, at an average purchase price per share of $11.49. The Company made sufficient contributions to the 2008 RRP to fund these purchases. As of December 31, 2016, all the shares, had been awarded as part of the 2008 RRP. Shares subject to awards under the 2008 RRP generally vest at the rate of 20% per year over five years. During February 2015, shareholders approved the 2014 Stock Incentive Plan (the “2014 SIP”). As part of the 2014 SIP, a maximum of 285,655 shares can be awarded as restricted stock awards or units, of which 233,500 shares were awarded during February 2015 of which 45,000 shares have been forfeited. In August 216, the Company granted 12,500 shares of which 7,473 shares were granted under the 2008 RRP and 3,027 under the 2014 SIP. Compensation expense related to the shares subject to restricted stock awards granted is recognized ratably over the five-year vesting period in an amount which totals the grant date fair value multiplied by the number of shares subject to the grant. During the three months ended December 31, 2016, an aggregate of $89,000 was recognized in compensation expense for the 2008 RRP and the grants pursuant to the 2014 SIP. An income tax benefit of $46,000, was recognized for the three months ended December 31, 2016. During the three months ended December 31, 2015, $84,000 was recognized in compensation expense for the 2008 RRP and the grants pursuant to the 2014 SIP. An income tax benefit of $44,000 was recognized for the three months ended December 31, 2015. At December 31, 2016, approximately $1.5 million in additional compensation expense for the shares awarded which remained outstanding related to the 2008 RRP and for the 2014 SIP remained unrecognized. At December 31, 2015, approximately $2.3 million in additional compensation expense for the shares awarded related to the 2008 RRP and the 2014 SIP remained unrecognized. A summary of the Company’s non-vested stock award activity for the three months ended December 31, 2016 and 2015 is presented in the following tables: Three Months Ended Number of Weighted Average Nonvested stock awards at October 1, 2016 172,788 $ 12.03 Granted - - Forfeited - - Vested - - Nonvested stock awards at the December 31, 2016 172,788 $ 12.03 Three Months Ended Number of Weighted Average Nonvested stock awards at October 1, 2015 241,428 $ 11.74 Granted - - Forfeited (7,746 ) 11.50 Vested - - Nonvested stock awards at the December 31, 2015 233,682 $ 11.75 The Company maintains the 2008 Stock Option Plan (the “2008 Option Plan”) which authorizes the grant of stock options to officers, employees and directors of the Company to acquire shares of common stock with an exercise price at least equal to the fair market value of the common stock on the grant date. Options generally become vested and exercisable at the rate of 20% per year over five years and are generally exercisable for a period of ten years after the grant date. A total of 533,808 shares of common stock were approved for future issuance pursuant to the 2008 Stock Option Plan. As of December 31, 2016, all of the options had been awarded under the 2008 Option Plan. As of December 31, 2016, 467,758 options (on a converted basis) were vested under the 2008 Option Plan. The 2014 SIP reserved up to 714,145 shares for issuance pursuant to options. Options to purchase 608,737 shares were awarded during February 2015, 605,000 shares pursuant to the 2014 SIP and the remainder pursuant to the 2008 Option Plan. In August 2016, the Company granted 27,500 shares of which 18,867 shares were granted under 2008 Option Plan and 8,633 under the 2014 SIP. A summary of the status of the Company’s stock options under the 2008 Option Plan and the 2014 SIP as of December 31, 2016 and 2015 are presented below: Three Months Ended Number of Weighted Average Outstanding at October 1, 2016 921,909 $ 11.70 Granted - - Exercised - - Forfeited - - Outstanding at December 31, 2016 921,909 $ 11.70 Exercisable at December 31, 2016 467,397 $ 11.40 Three Months Ended Number of Weighted Average Outstanding at October 1, 2015 1,074,430 $ 11.92 Granted - - Exercised - - Forfeited (25,166 ) 11.59 Outstanding at December 31, 2015 1,049,264 $ 11.93 Exercisable at December 31, 2015 440,976 $ 11.42 The weighted average remaining contractual term was approximately 4.8 years for options outstanding as of December 31, 2016. The estimated fair value of options granted during fiscal 2009 was $2.98 per share, $2.92 for options granted during fiscal 2010, $3.35 for options granted during fiscal 2013, $4.67 for the options granted during fiscal 2014, $4.58 for options granted during fiscal 2015 and $2.13 for options granted during fiscal 2016. The fair value for grants made in fiscal 2015 was estimated on the date of grant using the Black-Scholes pricing model with the following assumptions: an exercise and fair value of $12.23, expected term of seven years, volatility rate of 38.16%, interest rate of 1.62% and a yield of 0.98%. The fair value for grants made in fiscal 2016 was estimated on the date of grant using Black-Scholes pricing model with the following assumptions: an exercise and fair value of $14.42, expected term of seven years, volatility of 13.82%, interest rate of 1.36% and a yield of 0.80%. During the three months ended December 31, 2016, $130,000 was recognized in compensation expense for options granted pursuant to the 2008 Option Plan and the 2014 SIP. A tax benefit of $16,000 was recognized for the three months ended December 31, 2016. During the three months ended December 31, 2015, $136,000 was recognized in compensation expense for options granted pursuant to the 2008 Option Plan and the 2014 SIP. A tax benefit of $15,000 was recognized for the three months ended December 31, 2015. At December 31, 2016, there was approximately $1.5 million in additional compensation expense to be recognized for awarded options which remained outstanding and unvested at such date. The weighted average period over which this expense will be recognized is approximately 3.3 years. |
COMMITMENTS AND CONTINGENT LIAB
COMMITMENTS AND CONTINGENT LIABILITIES | 3 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENT LIABILITIES | 11. COMMITMENTS AND CONTINGENT LIABILITIES At December 31, 2016, the Company had $20.2 million in outstanding commitments to originate fixed rate loans with market interest rates ranging from 3.75% to 4.75%. At September 30, 2016, the Company had $9.9 million in outstanding commitments to originate fixed rate loans with market interest rates ranging from 3.75% to 5.0%. The aggregate undisbursed portion of loans-in-process amounted to $8.3 million at December 31, 2016 and $5.4 million at September 30, 2016. The Company also had commitments under unused lines of credit of $2.9 million as of December 31, 2016 and $3.3 million as of September 30, 2016 and letters of credit outstanding of $1.5 million as of December 31, 2016 and $1.9 million as of September 30, 2016. Among the Company’s contingent liabilities are exposures to limited recourse arrangements with respect to the Company’s sales of whole loans and participation interests. At December 31, 2016, the exposure, which represents a portion of credit risk associated with the interests sold, amounted to $31,000. This exposure is for the life of the related loans and payables, on our proportionate share, as actual losses are incurred. The Company is involved in various legal proceedings occurring in the ordinary course of business. Management of the Company, based on discussions with litigation counsel, believes that such proceedings will not have a material adverse effect on the financial condition, operations or cash flows of the Company. However, there can be no assurance that any of the outstanding legal proceedings to which the Company is a party will not be decided adversely to the Company's interests and not have a material adverse effect on the financial condition and operations of the Company. |
FAIR VALUE MEASUREMENT
FAIR VALUE MEASUREMENT | 3 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENT | 12. FAIR VALUE MEASUREMENT The fair value estimates presented herein are based on pertinent information available to management as of December 31, 2016 and September 30, 2016, respectively. Although management is not aware of any factors that would significantly affect the fair value amounts, such amounts have not been comprehensively revalued for purposes of these financial statements since that date and, therefore, current estimates of fair value may differ significantly from the amounts presented herein. Generally accepted accounting principles used in the United States establish a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value. The three broad levels of hierarchy are as follows: Level 1 Quoted prices in active markets for identical assets or liabilities. Level 2 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 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using 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. Those assets as of December 31, 2016 which are to be measured at fair value on a recurring basis are as follows: Category Used for Fair Value Measurement Level 1 Level 2 Level 3 Total (Dollars in Thousands) Assets: Securities available for sale: U.S. Government and agency obligations $ - $ 20,513 $ - $ 20,513 Mortgage-backed securities - U.S. Government agencies - 87,063 - 87,063 Corporate bonds - 24,961 - 24,961 FHLMC preferred stock 99 - - 99 Interest rate swap contracts - 531 - 531 Total $ 99 $ 132,537 $ - $ 132,636 Those assets as of September 30, 2016 which are measured at fair value on a recurring basis are as follows: Category Used for Fair Value Measurement Level 1 Level 2 Level 3 Total (Dollars in Thousands) Assets: Securities available for sale: U.S. Government and agency obligations $ - $ 21,024 $ - $ 21,024 Mortgage-backed securities - U.S. Government agencies - 91,575 - 91,575 Corporate bonds - 26,053 - 26,053 FHLMC preferred stock 42 - - 42 Total $ 42 $ 138,652 $ - $ 138,694 Liabilities: Interest rate swap contracts $ - $ 202 $ - $ 202 Total $ - $ 202 $ - $ 202 Certain assets are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). The Company measures impaired loans and real estate owned at fair value on a non-recurring basis. Impaired Loans The Company considers loans to be impaired when it becomes more likely than not that the Company will be unable to collect all amounts due in accordance with the contractual terms of the loan agreements. Collateral dependent impaired loans are based on the fair value of the collateral which is based on appraisals and would be categorized as Level 2 measurement. In some cases, adjustments are made to the appraised values for various factors including the age of the appraisal, age of the comparable included in the appraisal, and known changes in the market and in the collateral. These adjustments are based upon unobservable inputs, and therefore, the fair value measurement has been categorized as a Level 3 measurement. These loans are reviewed for impairment and written down to their net realizable value by charges against the allowance for loan losses. The collateral underlying these loans had a fair value in excess of $19.1 million as of December 31, 2016. Real Estate Owned Once an asset is determined to be uncollectible, the underlying collateral is generally repossessed and reclassified to foreclosed real estate and repossessed assets. These repossessed assets are carried at the lower of cost or fair value of the collateral, based on independent appraisals, less cost to sell and would be categorized as Level 2 measurement. In some cases, adjustments are made to the appraised values for various factors including age of the appraisal, age of the comparable included in the appraisal, and known changes in the market and in the collateral. As a result, the evaluations are based upon unobservable inputs, and therefore, the fair value measurement has been categorized as a Level 3 measurement. Summary of Non-Recurring Fair Value Measurements At December 31, 2016 (Dollars in Thousands) Level 1 Level 2 Level 3 Total Impaired loans $ - $ - $ 19,053 $ 19,053 Real estate owned - - 585 585 Total $ - $ - $ 19,638 $ 19,638 At September 30, 2016 (Dollars in Thousands) Level 1 Level 2 Level 3 Total Impaired loans $ - $ - $ 19,429 $ 19,429 Real estate owned - - 581 581 Total $ - $ - $ 20,010 $ 20,010 The following table provides information describing the valuation processes used to determine nonrecurring fair value measurements categorized within Level 3 of the fair value hierarchy: At December 31, 2016 (Dollars in Thousands) Valuation Range/ Fair Value Technique Unobservable Input Weighted Ave. Impaired loans $ 19,053 Property appraisals (1) (3) Management discount for selling costs, property type and market volatility (2) 6% to 46% discount/ 10% Real estate owned $ 585 Property appraisals (1)(3) Management discount for selling costs, property type and market volatility (2) 10% discount At September 30, 2016 (Dollars in Thousands) Valuation Range/ Fair Value Technique Unobservable Input Weighted Ave. Impaired loans $ 19,429 Property appraisals (1) (3) Management discount for selling costs, property type and market volatility (2) 6% to 46% discount/10% Real estate owned $ 581 Property appraisals (1)(3) Management discount for selling costs, property type and market volatility (2) 10% discount (1) Fair value is generally determined through independent appraisals of the underlying collateral, which generally includes various Level 3 inputs, which are not identifiable. (2) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. (3) Includes qualitative adjustments by management and estimated liquidation expenses. The fair value of financial instruments has been determined by the Company using available market information and appropriate valuation methodologies. However, considerable judgment is necessarily required to interpret market data to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. Fair Value Measurements at December 31, 2016 Carrying Fair Amount Value (Level 1) (Level 2) (Level 3) (Dollars in Thousands) Assets: Cash and cash equivalents $ 8,065 $ 8,065 $ 8,065 $ - $ - Certificate of deposits $ 1,853 $ 1,853 $ 1,853 - - Investment and mortgage-backed securities available for sale 132,636 132,636 99 132,537 - Investment and mortgage-backed securities held to maturity 44,741 43,038 - 43,038 - Loans receivable, net 349,494 349,733 - - 349,733 Accrued interest receivable 2,075 2,075 2,075 - - Federal Home Loan Bank stock 2,970 2,970 2,970 - - Bank owned life insurance 23,221 23,221 23,221 - - Interest rate swap contracts 531 531 - 531 - Liabilities: Checking accounts 41,815 41,815 41,815 - - Money market deposit accounts 53,510 53,510 53,510 - - Passbook, club and statement savings accounts 69,055 69,055 69,055 - - Certificates of deposit 243,835 245,639 - - 245,639 Advances from FHLB short-term 49,012 49,012 49,012 Advances from FHLB long-term 15,788 14,888 - - 14,888 Accrued interest payable 177 177 177 - - Advances from borrowers for taxes and insurance 2,513 2,513 2,513 - - Fair Value Measurements at September 30, 2016 Carrying Fair Amount Value (Level 1) (Level 2) (Level 3) (Dollars in Thousands) Assets: Cash and cash equivalents $ 12,440 $ 12,440 $ 12,440 $ - $ - Certificate of deposits 1,853 1,853 1,853 - - Investment and mortgage-backed securities available for sale 138,694 138,694 42 138,652 - Investment and mortgage-backed securities held to maturity 39,971 40,700 - 40,700 - Loans receivable, net 344,948 344,100 - - 344,100 Accrued interest receivable 1,928 1,928 1,928 - - Federal Home Loan Bank stock 2,463 2,463 2,463 - - Bank owned life insurance 13,055 13,055 13,055 - - Liabilities: Checking accounts 38,788 38,788 38,788 - - Money market deposit accounts 55,552 55,552 55,552 - - Passbook, club and statement savings accounts 70,924 70,924 70,924 - - Certificates of deposit 223,937 225,383 - - 225,383 Accrued interest payable 1,403 1,403 1,403 - - Advances from FHLB -short-term 20,000 20,000 - - 20,000 Advances from FHLB -long-term 30,638 30,222 - - 30,222 Advances from borrowers for taxes and insurance 1,748 1,748 1,748 - - Interest rate swap contracts 202 202 - 202 - Cash and Cash Equivalents Investments and Mortgage-Backed Securities — Loans Receivable — Accrued Interest Receivable – Federal Home Loan Bank (FHLB) Stock — Bank Owned Life Insurance — Checking Accounts, Money Market Deposit Accounts, Passbook Accounts, Club Accounts, Statement Savings Accounts, and Certificates of Deposit — Short-term Advances from Federal Home Loan Bank — Long-term Advances from Federal Home Loan Bank — Accrued Interest Payable – Interest rate swaps – Advances from borrowers for taxes and insurance – Commitments to Extend Credit and Letters of Credit — |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 13. SUBSEQUENT EVENTS On January 3, 2017, the Company issued a press release announcing announced the completion of the acquisition of Polonia Bancorp, Inc. (“Polonia”) and its wholly-owned subsidiary, Polonia Bank, effective January 1, 2017. Pursuant to terms of the Agreement and Plan of Merger by and between the Company and Polonia dated June 2, 2016 (“Merger Agreement”), Polonia was merged with and into the Company immediately followed by the merger of Polonia Bank with and into Prudential Savings Bank. Under the terms of the Merger Agreement, shareholders of Polonia had the option to receive $11.09 per share in cash or 0.7460 of a share of Prudential common stock for each share of Polonia common stock held thereby, subject to allocation provisions to assure that, in the aggregate, Polonia shareholders received total merger consideration that consists of 50% stock and 50% cash. As a result of Polonia shareholder stock and cash elections and the related proration provisions of the Merger Agreement, Prudential issued approximately 1,274,200 shares of its common stock and approximately $18.9 million in the merger. With the combination of the two organizations, the Company, on a consolidated basis, has approximately $838.9 million in assets, $508.8 million in loans and $563.7 million in deposits with 11 branch offices in Philadelphia, Delaware and Montgomery counties. Management is still in the process of determining the fair value adjustments that will be applied as part of the business combination account. As such, neither the selected pro forma balance sheet information nor the selected pro forma income statement information presented as follows includes the impact of fair values adjustments. Prudential Bancorp, Inc. and Polonia Bancorp Inc. Pro Forma Selected Balance Sheet Items (unaudited) (amounts in thousands) At December 31, 2016 2015 ASSETS Cash and due from financial institutions $ 32,829 $ 17,925 Securities held-to-maturity 44,741 100,531 Securities-available-for-sale 200,571 129,987 Loans, net of allowance 512,076 534,001 Premises and equipment, net 5,120 5,822 LIABILITIES Total Deposits 579,564 570,160 Federal Home Loan Bank advances 120,800 90,889 STOCKHOLDERS' EQUITY Stockholders' Equity 128,679 135,804 Prudential Bancorp, Inc. and Polonia Bancorp Inc. Pro Forma Condensed Income Statement (unaudited) (amounts in thousands, except share data) For Three Months Ended December 31, 2016 2015 Total interest and dividend income $ 6,696 $ 6,429 Total interest expense $ 1,535 $ 1,576 Net interest income $ 5,161 $ 4,853 Provision for loan losses $ 185 $ - Net interest income after provision for loan losses $ 4,976 $ 4,853 Total noninterest income $ 366 $ 411 Total noninterest expenses $ 7,892 (A) $ 5,103 (Loss) income before income taxes $ (2,550 ) $ 161 Income taxes (benefit) expense $ (370 ) $ 67 Net (loss) income $ (2,180 ) $ 94 Earnings per common share, basic $ (0.25 ) $ 0.01 Earnings per common share, diluted $ (0.24 ) $ 0.01 Basic shares outstanding 8,607,728 8,899,347 Diluted share outstanding 8,928,473 9,058,253 (A) Approximately $1.3 million was attributed to one-time merger related costs, for legal and professional fees, for the three months ended December 31, 2016. |
SIGNIFICANT ACCOUNTING POLICI22
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation – |
Use of Estimates in the Financial Statements | Use of Estimates in the Preparation of Financial Statements — |
Share-Based Compensation | Share-Based Compensation Dividends with respect to non-vested share awards granted pursuant to the Company’s 2008 Recognition and Retention Plan (“Plan”) and held in the Trust (the “Trust”) are held for the benefit of the recipients and are paid out proportionately by the Trust to the recipients of stock awards granted pursuant to the Plan as soon as practicable after the stock awards are earned. A recipient of a share award granted under the 2014 Stock Incentive Plan will not receive any dividends declared on the common stock subject to the award prior to the date the shares are earned. |
Treasury Stock | Treasury Stock – |
FHLB Stock | FHLB Stock – |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the FASB issued ASU 2014-09 , Revenue from Contracts with Customers (a new revenue recognition standard). In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805). In January 2016, the FASB issued ASU 2016-01, Financial Instruments – Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU 2016-05, Derivatives and Hedging (Topic 815) . In March 2016, the FASB issued ASU 2016-06, Derivatives and Hedging (Topic 815) In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606). Revenue from Contracts with Customers (Topic 606), Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, In May 2016, the FASB issued ASU 2016-11, Revenue Recognition (Topic 605) and Derivative and Hedging (Topic 815 In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses: Measurement of Credit Losses on Financial Instruments In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740) In December 2016, the FASB issued ASU 2016-20 , Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers Guarantees In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805), Clarifying the Definition of a Business |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of basic and diluted earnings per share | Three Months Ended December 31, 2016 2015 Basic Diluted Basic Diluted (Dollars in Thousands Except Per Share Data) Net income $ 731 $ 731 $ 413 $ 413 Weighted average shares outstanding 7,333,531 7,333,531 7,625,150 7,625,150 Effect of common stock equivalents - 320,745 - 158,906 Adjusted weighted average shares used in earnings per share computation 7,333,531 7,654,276 7,625,150 7,784,056 Earnings per share - basic and diluted $ 0.10 $ 0.10 $ 0.05 $ 0.05 |
ACCUMULATED OTHER COMPREHENSI24
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Accumulated Other Comprehensive Income [Abstract] | |
Schedule of changes in accumulated other comprehensive income | Three Months Ended December 31, 2016 2015 (Dollars in Thousands) Unrealized gains (losses) on available for sale Unrealized gains (losses) securities and interest on available for sale rate swaps (a) securities (a) Beginning Balance $ 798 $ 18 Unrealized (loss) gains on available for sale securities (2,279 ) (782 ) Unrealized gains on interest rate swaps 484 - Total other comprehensive loss (1,795 ) (782 ) Ending Balance $ (997 ) $ (764 ) (a) All amounts are net of tax. Amounts in parentheses indicate debits. |
INVESTMENT AND MORTGAGE-BACKE25
INVESTMENT AND MORTGAGE-BACKED SECURITIES (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost and fair value of securities, with gross unrealized gains and losses | December 31, 2016 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (Dollars in Thousands) Securities Available for Sale: U.S. government and agency obligations $ 20,989 $ - $ (476 ) $ 20,513 Mortgage-backed securities - U.S. government agencies 88,227 183 (1,347 ) 87,063 Corporate bonds 25,397 9 (445 ) 24,961 Total debt securities available for sale 134,613 192 (2,268 ) 132,537 FHLMC preferred stock 6 93 - 99 Total securities available for sale $ 134,619 $ 285 $ (2,268 ) $ 132,636 Securities Held to Maturity: U.S. government and agency obligations $ 33,499 $ 282 $ (2,054 ) $ 31,727 Mortgage-backed securities - U.S. government agencies 6,183 360 (36 ) 6,507 Municipal bonds 5,059 - (255 ) 4,804 Total securities held to maturity $ 44,741 $ 642 $ (2,345 ) $ 43,038 September 30, 2016 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (Dollars in Thousands) Securities Available for Sale: U.S. government and agency obligations $ 20,988 $ 36 $ - $ 21,024 Mortgage-backed securities - U.S. government agencies 90,817 860 (102 ) 91,575 Corporate bonds 25,411 661 (19 ) 26,053 Total debt securities available for sale 137,216 1,557 (121 ) 138,652 FHLMC preferred stock 6 36 - 42 Total securities available for sale $ 137,222 $ 1,593 $ (121 ) $ 138,694 Securities Held to Maturity: U.S. government and agency obligations $ 33,499 $ 399 $ (129 ) $ 33,769 Mortgage-backed securities - U.S. government agencies 6,472 459 - 6,931 Total securities held to maturity $ 39,971 $ 858 $ (129 ) $ 40,700 |
Schedule of gross unrealized losses and related fair values of investment securities | The following table shows the gross unrealized losses and related fair values of the Company’s investment securities, aggregated by investment category and length of time that individual securities had been in a continuous loss position at December 31, 2016: Less than 12 months More than 12 months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair Losses Value Losses Value Losses Value (Dollars in Thousands) Securities Available for Sale: U.S. government and agency obligations $ (476 ) $ 20,513 $ - $ - $ (476 ) $ 20,513 Mortgage-backed securities - agency (1,168 ) 66,064 (179 ) 7,444 (1,347 ) 73,508 Corporate bonds (445 ) 24,952 - - (445 ) 24,952 Total securities available for sale $ (2,089 ) $ 111,529 $ (179 ) $ 7,444 $ (2,268 ) $ 118,973 Securities Held to Maturity: U.S. government and agency obligations $ (2,054 ) $ 31,727 $ - $ - $ (2,054 ) $ 31,727 Mortgage-backed securities - agency (36 ) 1,328 - - (36 ) 1,328 Municipal bonds (255 ) 4,804 - - (255 ) 4,804 Total securities held to maturity $ (2,345 ) $ 37,859 $ - $ - $ (2,345 ) $ 37,859 Total $ (4,434 ) $ 149,388 $ (179 ) $ 7,444 $ (4,613 ) $ 156,832 The following table shows the gross unrealized losses and related fair values of the Company’s investment securities, aggregated by investment category and length of time that individual securities had been in a continuous loss position at September 30, 2016: Less than 12 months More than 12 months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair Losses Value Losses Value Losses Value (Dollars in Thousands) Securities Available for Sale: U.S. government and agency obligations $ (50 ) $ 16,498 $ (52 ) $ 6,718 $ (102 ) $ 23,216 Mortgage-backed securities - agency (19 ) 3,955 - - (19 ) 3,955 Total securities available for sale (69 ) 20,453 (52 ) 6,718 (121 ) 27,171 Securities Held to Maturity: U.S. government and agency obligations $ (129 ) $ 20,371 $ - $ - $ (129 ) $ 20,371 Total securities held to maturity $ (129 ) $ 20,371 $ - $ - $ (129 ) $ 20,371 Total $ (198 ) $ 40,824 $ (52 ) $ 6,718 $ (250 ) $ 47,542 |
Schedule of amortized cost and fair value of debt securities by contractual maturity | December 31, 2016 Held to Maturity Available for Sale Amortized Fair Amortized Fair Cost Value Cost Value (Dollars in Thousands) Due after one through five years $ 1,999 $ 2,151 $ 2,057 $ 2,023 Due after five through ten years 12,022 11,699 22,350 22,016 Due after ten years 24,537 22,681 21,979 21,435 Total $ 38,558 $ 36,531 $ 46,386 $ 45,474 |
LOANS RECEIVABLE (Tables)
LOANS RECEIVABLE (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Schedule of summary of loans receivable | December 31, September 30, 2016 2016 (Dollars in Thousands) One-to-four family residential $ 225,375 $ 233,531 Multi-family residential 12,355 12,478 Commercial real estate 88,776 79,859 Construction and land development 27,023 21,839 Commercial business - 99 Leases 4,436 3,286 Consumer 1,915 799 Total loans 359,880 351,891 Undisbursed portion of loans-in-process (8,430 ) (5,371 ) Deferred loan costs 1,498 1,697 Allowance for loan losses (3,454 ) (3,269 ) Net loans $ 349,494 $ 344,948 |
Schedule of loans individually and collectively evaluated for impairment by loan segment | The following table summarizes by loan segment the balance in the allowance for loan losses and the loans individually and collectively evaluated for impairment by loan segment at December 31, 2016: One- to-four Multi-family Commercial real Construction Leases Consumer Unallocated Total (Dollars in Thousands) Allowance for Loan Losses: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment 1,564 135 963 415 28 35 314 3,454 Total ending allowance balance $ 1,564 $ 135 $ 963 $ 415 $ 28 $ 35 $ 314 $ 3,454 Loans: Individually evaluated for impairment $ 5,489 $ 331 $ 2,722 $ 10,511 $ - $ - $ 19,053 Collectively evaluated for impairment 219,886 12,024 86,054 16,512 4,436 1,915 340,827 Total loans $ 225,375 $ 12,355 $ 88,776 $ 27,023 $ 4,436 $ 1,915 $ 359,880 The following table summarizes by loan segment the balance in the allowance for loan losses and the loans individually and collectively evaluated for impairment by loan segment at September 30, 2016: One- to-four Multi-family Commercial Construction Commercial Leases Consumer Unallocated Total (Dollars in Thousands) Allowance for Loan Losses: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment 1,627 137 859 316 1 21 10 298 3,269 Total ending allowance balance $ 1,627 $ 137 $ 859 $ 316 $ 1 $ 21 $ 10 $ 298 $ 3,269 Loans: Individually evaluated for impairment $ 5,553 $ 335 $ 3,154 $ 10,288 $ 99 $ - $ - $ 19,429 Collectively evaluated for impairment 227,978 12,143 76,705 11,551 - 3,286 799 332,462 Total loans $ 233,531 $ 12,478 $ 79,859 $ 21,839 $ 99 $ 3,286 $ 799 $ 351,891 |
Schedule of impaired loans by class, segregated by those for which a specific allowance was required and those for which a specific allowance was not required | The following table presents impaired loans by class as of December 31, 2016, segregated by those for which a specific allowance was required and those for which a specific allowance was not required. Impaired Loans with Impaired Loans with No Specific Specific Allowance Allowance Total Impaired Loans (Dollars in Thousands) Unpaid Recorded Related Recorded Recorded Principal Investment Allowance Investment Investment Balance One-to-four family residential $ - $ - $ 5,489 $ 5,489 $ 5,718 Multi-family residential - - 331 331 331 Commercial real estate - - 2,722 2,722 2,722 Construction and land development - - 10,511 10,511 10,511 Total loans $ - $ - $ 19,053 $ 19,053 $ 19,282 The following table presents impaired loans by class as of September 30, 2016, segregated by those for which a specific allowance was required and those for which a specific allowance was not required. Impaired Loans with Impaired Loans with No Specific Specific Allowance Allowance Total Impaired Loans (Dollars in Thousands) Unpaid Recorded Related Recorded Recorded Principal Investment Allowance Investment Investment Balance One-to-four family residential $ - $ - $ 5,553 $ 5,553 $ 5,869 Multi-family - - 335 335 335 Commercial real estate - - 3,154 3,154 3,154 Construction and land development - - 10,288 10,288 10,288 Commercial loans - - 99 99 99 Total loans $ - $ - $ 19,429 $ 19,429 $ 19,745 |
Schedule of average investment in impaired loans and related interest income recognized | Three Months Ended December 31, 2016 Average Income Recognized Income (Dollars in Thousands) One-to-four family residential $ 5,522 $ 17 $ 24 Multi-family residential 332 6 - Commercial real estate 2,938 17 11 Construction and land development 10,399 - - Total loans $ 19,191 $ 40 $ 35 Three Months Ended December 31, 2015 Average Income Recognized Income (Dollars in Thousands) One-to-four family residential $ 4,455 $ 31 $ 23 Multi-family residential 351 6 - Commercial real estate 3,740 24 13 Construction and land development 9,057 125 - Total loans $ 17,603 $ 186 $ 36 |
Schedule of classes of the loan portfolio in which a formal risk weighting system is utilized | December 31, 2016 Special Total Pass Mention Substandard Loans (Dollars in Thousands) One-to-four family residential $ - $ 1,670 $ 908 $ 2,578 Multi-family residential 12,025 330 - 12,355 Commercial real estate 85,115 1,480 2,181 88,776 Construction and land development 16,512 - 10,511 27,023 Total loans $ 113,652 $ 3,480 $ 13,600 $ 130,732 September 30, 2016 Special Total Pass Mention Substandard Loans (Dollars in Thousands) One-to-four family residential $ - $ 1,681 $ 1,212 $ 2,893 Multi-family residential 12,144 - 334 12,478 Commercial real estate 76,185 943 2,731 79,859 Construction and land development 11,551 - 10,288 21,839 Commercial business 99 - - 99 Total loans $ 99,979 $ 2,624 $ 14,565 $ 117,168 |
Schedule of loans in which a formal risk rating system is not utilized, but loans are segregated between performing and non-performing | December 31, 2016 Non- Total Performing Performing Loans (Dollars in Thousands) One-to-four family residential $ 218,559 $ 4,238 $ 222,797 Leases 4,436 - 4,436 Consumer 1,915 - 1,915 Total loans $ 224,910 $ 4,238 $ 229,148 September 30, 2016 Non- Total Performing Performing Loans (Dollars in Thousands) One-to-four family residential $ 226,394 $ 4,244 $ 230,638 Leases $ 3,286 - $ 3,286 Consumer 799 - 799 Total loans $ 230,479 $ 4,244 $ 234,723 |
Schedule of loan categories of the loan portfolio summarized by the aging categories of performing and delinquent loans and nonaccrual loans | December 31, 2016 90 Days+ Total 30-89 Days 90 Days + Past Due Past Due Total Non- Current Past Due Past Due and Accruing and Accruing Loans Accrual (Dollars in Thousands) One-to-four family residential $ 222,408 $ 989 $ 1,978 $ - $ 989 $ 225,375 $ 4,238 Multi-family residential 12,355 - - - - 12,355 - Commercial real estate 87,192 238 1,346 - 238 88,776 1,346 Construction and land development 16,513 - 10,511 - - 27,023 10,511 Leases 4,303 133 - - 133 4,436 - Consumer 1,915 - - - - 1,915 - Total loans $ 344,686 $ 1,360 $ 13,835 $ - $ 1,360 $ 359,880 $ 16,095 September 30, 2016 90 Days+ Total 30-89 Days 90 Days + Past Due Past Due Total Non- Current Past Due Past Due and Accruing and Accruing Loans Accrual (Dollars in Thousands) One-to-four family residential $ 228,904 $ 1,860 $ 2,767 $ - $ 1,860 $ 233,531 $ 4,244 Multi-family residential 12,478 - - - - 12,478 - Commercial real estate 78,513 - 1,346 - - 79,859 1,346 Construction and land development 11,551 - 10,288 - - 21,839 10,288 Commercial business 99 - - - - 99 - Leases 3,286 - - - - 3,286 - Consumer 799 - - - - 799 - Total loans $ 335,630 $ 1,860 $ 14,401 $ - $ 1,860 $ 351,891 $ 15,878 |
Schedule of primary segments of the allowance for loan losses, segmented into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment. | Three Months Ended December 31, 2016 One- to Multi- Commercial Construction Commercial Leases Consumer Unallocated Total (Dollars in Thousands) ALLL balance at September 30, 2016 $ 1,627 $ 137 $ 859 $ 316 $ 1 $ 21 $ 10 $ 298 $ 3,269 Charge-offs - - - - - - - - - Recoveries - - - - - - - - - Provision (63 ) (2 ) 104 99 (1 ) 7 25 16 185 ALLL balance at December 31, 2016 $ 1,564 $ 135 $ 963 $ 415 $ - $ 28 $ 35 $ 314 $ 3,454 Three Months Ended December 31, 2015 One- to four-family Multi- Commercial Construction Commercial Consumer Unallocated Total (Dollars in Thousands) ALLL balance at September 30, 2015 $ 1,635 $ 66 $ 231 $ 724 $ - $ 5 $ 269 $ 2,930 Charge-offs (11 ) - - - - - - (11 ) Recoveries - - - - - - - - Provision (153 ) (8 ) 128 33 - 3 (3 ) - ALLL balance at December 31, 2015 $ 1,471 $ 58 $ 359 $ 757 $ - $ 8 $ 266 $ 2,919 |
Schedule of troubled debt restructurings | Restructured during the Three Months Ended December 31, 2015 Number of Pre- Modification Post- (Dollars in Thousand) One-to four- family 1 $ 482,000 $ 482,000 1 $ 482,000 $ 482,000 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Deposits [Abstract] | |
Schedule of major classifications of deposits | December 31, September 30, 2016 2016 Amount Percent Amount Percent (Dollars in Thousands) Money market deposit accounts $ 53,510 13.1 % $ 55,552 14.3 % Interest-bearing checking accounts 38,220 9.4 34,984 9.3 Non interest-bearing checking accounts 3,595 0.9 3,804 0.7 Passbook, club and statement savings 69,055 16.9 70,924 18.2 Certificates maturing in six months or less 95,516 23.4 97,418 25.0 Certificates maturing in more than six months 148,319 36.3 126,519 32.5 Total $ 408,215 100.0 % $ 389,201 100.0 % |
ADVANCES FROM FEDERAL HOME LO28
ADVANCES FROM FEDERAL HOME LOAN BANK (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Advances from Federal Home Loan Banks [Abstract] | |
Schedule of collateral agreement with the FHLB | Type Maturity Date Amount Coupon Call Date (Dollars in Thousands) Fixed Rate -Advance 3-Jan-17 $ 15,000 0.74 % Not Applicable Fixed Rate -Advance 6-Jan-17 10,000 0.65 % Not Applicable Fixed Rate -Advance 13-Jan-17 10,000 0.80 % Not Applicable Fixed Rate -Advance 17-Nov-17 10,000 1.02 % Not Applicable Fixed Rate -Amortizing 1-Dec-17 2,012 1.16 % Not Applicable Fixed Rate -Advance 4-Dec-17 2,000 1.15 % Not Applicable Fixed Rate -Advance 16-Nov-18 7,500 1.40 % Not Applicable Fixed Rate -Advance 3-Dec-18 3,000 1.54 % Not Applicable Fixed Rate -Amortizing 18-Nov-19 4,043 1.53 % Not Applicable Fixed Rate -Advance 27-Jul-20 249 1.38 % Not Applicable Fixed Rate -Advance 27-Jul-21 249 1.52 % Not Applicable Fixed Rate -Advance 28-Jul-21 249 1.48 % Not Applicable Fixed Rate -Advance 29-Jul-21 249 1.42 % Not Applicable Fixed Rate -Advance 19-Aug-21 249 1.55 % Not Applicable $ 64,800 0.82 % (a) (a) Weighted average coupon rate. |
DERIVATIVES (Tables)
DERIVATIVES (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of interest rate swap agreements and the terms | Notional Pay Receive Maturity Unrealized Amount Rate Rate Date Gain (Dollars in thousands) Interest rate swap contract $ 10,000 1.15 % 1 Month Libor 6-Apr-21 $ 225 Interest rate swap contract 10,000 1.18 % 1 Month Libor 13-Jun-21 235 Interest rate swap contract 1,100 4.10 % 1 Month Libor +276 bp 1-Aug-26 71 $ 531 Notional Pay Receive Maturity Unrealized Amount Rate Rate Date Loss (Dollar in thousands) Interest rate swap contract $ 10,000 1.15 % 1 Mth Libor 6-Apr-21 $ 92 Interest rate swap contract 10,000 1.18 % 1 Mth Libor 13-Jun-21 103 Interest rate swap contract 1,100 4.10 % 1 Mth Libor +276 bp 1-Aug-26 7 $ 202 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of deferred income taxes | December 31, September 30, 2016 2016 (Dollars in Thousands) Deferred tax assets: Allowance for loan losses $ 1,334 $ 1,289 Nonaccrual interest 230 163 Accrued vacation 12 13 Capital loss carryforward 378 378 Split dollar life insurance 18 18 Post-retirement benefits 95 96 Unrealized losses on available for sale securities 674 - Unrealized losses on interest rate swaps - 69 Employee benefit plans 415 434 Total deferred tax assets 3,156 2,460 Valuation allowance (378 ) (378 ) Total deferred tax assets, net of valuation allowance 2,778 2,082 Deferred tax liabilities: Property 477 423 Unrealized gains on available for sale securities - 500 Unrealized gains on interest rate swaps 180 - Miscellaneous 12 12 Deferred loan fees 514 578 Total deferred tax liabilities 1,183 1,513 Net deferred tax assets $ 1,595 $ 569 |
STOCK COMPENSATION PLANS (Table
STOCK COMPENSATION PLANS (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract] | |
Schedule of summary of the non-vested stock award activity | Three Months Ended Number of Weighted Average Nonvested stock awards at October 1, 2016 172,788 $ 12.03 Granted - - Forfeited - - Vested - - Nonvested stock awards at the December 31, 2016 172,788 $ 12.03 Three Months Ended Number of Weighted Average Nonvested stock awards at October 1, 2015 241,428 $ 11.74 Granted - - Forfeited (7,746 ) 11.50 Vested - - Nonvested stock awards at the December 31, 2015 233,682 $ 11.75 |
Schedule of summary of the status of the company' stock options under the stock option plan | Three Months Ended Number of Weighted Average Outstanding at October 1, 2016 921,909 $ 11.70 Granted - - Exercised - - Forfeited - - Outstanding at December 31, 2016 921,909 $ 11.70 Exercisable at December 31, 2016 467,397 $ 11.40 Three Months Ended Number of Weighted Average Outstanding at October 1, 2015 1,074,430 $ 11.92 Granted - - Exercised - - Forfeited (25,166 ) 11.59 Outstanding at December 31, 2015 1,049,264 $ 11.93 Exercisable at December 31, 2015 440,976 $ 11.42 |
FAIR VALUE MEASUREMENT (Tables)
FAIR VALUE MEASUREMENT (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets measured at fair value on recurring basis | Category Used for Fair Value Measurement Level 1 Level 2 Level 3 Total (Dollars in Thousands) Assets: Securities available for sale: U.S. Government and agency obligations $ - $ 20,513 $ - $ 20,513 Mortgage-backed securities - U.S. Government agencies - 87,063 - 87,063 Corporate bonds - 24,961 - 24,961 FHLMC preferred stock 99 - - 99 Interest rate swap contracts - 531 - 531 Total $ 99 $ 132,537 $ - $ 132,636 Those assets as of September 30, 2016 which are measured at fair value on a recurring basis are as follows: Category Used for Fair Value Measurement Level 1 Level 2 Level 3 Total (Dollars in Thousands) Assets: Securities available for sale: U.S. Government and agency obligations $ - $ 21,024 $ - $ 21,024 Mortgage-backed securities - U.S. Government agencies - 91,575 - 91,575 Corporate bonds - 26,053 - 26,053 FHLMC preferred stock 42 - - 42 Total $ 42 $ 138,652 $ - $ 138,694 Liabilities: Interest rate swap contracts $ - $ 202 $ - $ 202 Total $ - $ 202 $ - $ 202 |
Schedule of summary of non-recurring fair value measurements | At December 31, 2016 (Dollars in Thousands) Level 1 Level 2 Level 3 Total Impaired loans $ - $ - $ 19,053 $ 19,053 Real estate owned - - 585 585 Total $ - $ - $ 19,638 $ 19,638 At September 30, 2016 (Dollars in Thousands) Level 1 Level 2 Level 3 Total Impaired loans $ - $ - $ 19,429 $ 19,429 Real estate owned - - 581 581 Total $ - $ - $ 20,010 $ 20,010 |
Schedule of nonrecurring fair value measurements categorized within level 3 of the fair value hierarchy | At December 31, 2016 (Dollars in Thousands) Valuation Range/ Fair Value Technique Unobservable Input Weighted Ave. Impaired loans $ 19,053 Property appraisals (1) (3) Management discount for selling costs, property type and market volatility (2) 6% to 46% discount/ 10% Real estate owned $ 585 Property appraisals (1)(3) Management discount for selling costs, property type and market volatility (2) 10% discount At September 30, 2016 (Dollars in Thousands) Valuation Range/ Fair Value Technique Unobservable Input Weighted Ave. Impaired loans $ 19,429 Property appraisals (1) (3) Management discount for selling costs, property type and market volatility (2) 6% to 46% discount/10% Real estate owned $ 581 Property appraisals (1)(3) Management discount for selling costs, property type and market volatility (2) 10% discount (1) Fair value is generally determined through independent appraisals of the underlying collateral, which generally includes various Level 3 inputs, which are not identifiable. (2) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. (3) Includes qualitative adjustments by management and estimated liquidation expenses. |
Schedule of the estimated fair value amounts | Fair Value Measurements at December 31, 2016 Carrying Fair Amount Value (Level 1) (Level 2) (Level 3) (Dollars in Thousands) Assets: Cash and cash equivalents $ 8,065 $ 8,065 $ 8,065 $ - $ - Certificate of deposits $ 1,853 $ 1,853 $ 1,853 - - Investment and mortgage-backed securities available for sale 132,636 132,636 99 132,537 - Investment and mortgage-backed securities held to maturity 44,741 43,038 - 43,038 - Loans receivable, net 349,494 349,733 - - 349,733 Accrued interest receivable 2,075 2,075 2,075 - - Federal Home Loan Bank stock 2,970 2,970 2,970 - - Bank owned life insurance 23,221 23,221 23,221 - - Interest rate swap contracts 531 531 - 531 - Liabilities: Checking accounts 41,815 41,815 41,815 - - Money market deposit accounts 53,510 53,510 53,510 - - Passbook, club and statement savings accounts 69,055 69,055 69,055 - - Certificates of deposit 243,835 245,639 - - 245,639 Advances from FHLB short-term 49,012 49,012 49,012 Advances from FHLB long-term 15,788 14,888 - - 14,888 Accrued interest payable 177 177 177 - - Advances from borrowers for taxes and insurance 2,513 2,513 2,513 - - Fair Value Measurements at September 30, 2016 Carrying Fair Amount Value (Level 1) (Level 2) (Level 3) (Dollars in Thousands) Assets: Cash and cash equivalents $ 12,440 $ 12,440 $ 12,440 $ - $ - Certificate of deposits 1,853 1,853 1,853 - - Investment and mortgage-backed securities available for sale 138,694 138,694 42 138,652 - Investment and mortgage-backed securities held to maturity 39,971 40,700 - 40,700 - Loans receivable, net 344,948 344,100 - - 344,100 Accrued interest receivable 1,928 1,928 1,928 - - Federal Home Loan Bank stock 2,463 2,463 2,463 - - Bank owned life insurance 13,055 13,055 13,055 - - Liabilities: Checking accounts 38,788 38,788 38,788 - - Money market deposit accounts 55,552 55,552 55,552 - - Passbook, club and statement savings accounts 70,924 70,924 70,924 - - Certificates of deposit 223,937 225,383 - - 225,383 Accrued interest payable 1,403 1,403 1,403 - - Advances from FHLB -short-term 20,000 20,000 - - 20,000 Advances from FHLB -long-term 30,638 30,222 - - 30,222 Advances from borrowers for taxes and insurance 1,748 1,748 1,748 - - Interest rate swap contracts 202 202 - 202 - |
SUBSEQUENT EVENTS (Tables)
SUBSEQUENT EVENTS (Tables) | 3 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Pro Forma Selected Balance Sheet Items & Condensed Income Statement | Prudential Bancorp, Inc. and Polonia Bancorp Inc. Pro Forma Selected Balance Sheet Items (unaudited) (amounts in thousands) At December 31, 2016 2015 ASSETS Cash and due from financial institutions $ 32,829 $ 17,925 Securities held-to-maturity 44,741 100,531 Securities-available-for-sale 200,571 129,987 Loans, net of allowance 512,076 534,001 Premises and equipment, net 5,120 5,822 LIABILITIES Total Deposits 579,564 570,160 Federal Home Loan Bank advances 120,800 90,889 STOCKHOLDERS' EQUITY Stockholders' Equity 128,679 135,804 Prudential Bancorp, Inc. and Polonia Bancorp Inc. Pro Forma Condensed Income Statement (unaudited) (amounts in thousands, except share data) For Three Months Ended December 31, 2016 2015 Total interest and dividend income $ 6,696 $ 6,429 Total interest expense $ 1,535 $ 1,576 Net interest income $ 5,161 $ 4,853 Provision for loan losses $ 185 $ - Net interest income after provision for loan losses $ 4,976 $ 4,853 Total noninterest income $ 366 $ 411 Total noninterest expenses $ 7,892 (A) $ 5,103 (Loss) income before income taxes $ (2,550 ) $ 161 Income taxes (benefit) expense $ (370 ) $ 67 Net (loss) income $ (2,180 ) $ 94 Earnings per common share, basic $ (0.25 ) $ 0.01 Earnings per common share, diluted $ (0.24 ) $ 0.01 Basic shares outstanding 8,607,728 8,899,347 Diluted share outstanding 8,928,473 9,058,253 (A) Approximately $1.3 million was attributed to one-time merger related costs, for legal and professional fees, for the three months ended December 31, 2016. |
SIGNIFICANT ACCOUNTING POLICI34
SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals) | 3 Months Ended |
Dec. 31, 2016BranchBanking_Office | |
Significant Accounting Policies [Line Items] | |
Number of full service branch offices | Branch | 10 |
Number of branch offices | 11 |
Philadelphia (Philadelphia County) | |
Significant Accounting Policies [Line Items] | |
Number of branch offices | 9 |
Drexel Hill, Delaware County, Pennsylvania | |
Significant Accounting Policies [Line Items] | |
Number of branch offices | 1 |
Huntingdon Valley, Montgomery County | |
Significant Accounting Policies [Line Items] | |
Number of branch offices | 1 |
EARNINGS PER SHARE - Calculated
EARNINGS PER SHARE - Calculated basic and diluted earnings per share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Earnings per share - basic | ||
Net income | $ 731 | $ 413 |
Weighted average shares outstanding - basic | 7,333,531 | 7,625,150 |
Effect of common stock equivalents - basic | ||
Adjusted weighted average shares used in earnings per share computation - basic | 7,333,531 | 7,625,150 |
Earnings per share - basic (in dollars per share) | $ 0.10 | $ 0.05 |
Earnings per share - diluted | ||
Net income | $ 731 | $ 413 |
Weighted average shares outstanding - diluted | 7,333,531 | 7,625,150 |
Effect of common stock equivalents - diluted | 320,745 | 158,906 |
Adjusted weighted average shares used in earnings per share computation - diluted | 7,654,276 | 7,784,056 |
Earnings per share - diluted (in dollars per share) | $ 0.10 | $ 0.05 |
ACCUMULATED OTHER COMPREHENSI36
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Changes in accumulated other comprehensive income (loss) by component net of tax (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning Balance | $ 798 | ||
Total other comprehensive loss | (1,795) | $ (782) | |
Ending Balance | (997) | ||
Unrealized gains (losses) on available for sale securities and interest rate swaps | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning Balance | [1] | 798 | |
Unrealized (loss) gains on available for sale securities | [1] | (2,279) | |
Unrealized gains on interest rate swaps | [1] | 484 | |
Total other comprehensive loss | [1] | (1,795) | |
Ending Balance | [1] | $ (997) | |
Unrealized gains (losses) on available for sale securities | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning Balance | [1] | 18 | |
Unrealized (loss) gains on available for sale securities | [1] | (782) | |
Unrealized gains on interest rate swaps | |||
Total other comprehensive loss | [1] | (782) | |
Ending Balance | [1] | $ (764) | |
[1] | All amounts are net of tax. Amounts in parentheses indicate debits. |
INVESTMENT AND MORTGAGE-BACKE37
INVESTMENT AND MORTGAGE-BACKED SECURITIES - Amortized cost and fair value of investment and mortgage-backed securities, with gross unrealized gains and losses (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Securities Available for Sale: | ||
Amortized Cost | $ 134,619 | $ 137,222 |
Gross Unrealized Gains | 285 | 1,593 |
Gross Unrealized Losses | (2,268) | (121) |
Fair Value | 132,636 | 138,694 |
Securities Held to Maturity: | ||
Amortized Cost | 44,741 | 39,971 |
Gross Unrealized Gains | 642 | 858 |
Gross unrealized losses | (2,345) | (129) |
Fair value | 43,038 | 40,700 |
U.S. government and agency obligations | ||
Securities Available for Sale: | ||
Amortized Cost | 20,989 | 20,988 |
Gross Unrealized Gains | 36 | |
Gross Unrealized Losses | (476) | |
Fair Value | 20,513 | 21,024 |
Securities Held to Maturity: | ||
Amortized Cost | 33,499 | 33,499 |
Gross Unrealized Gains | 282 | 399 |
Gross unrealized losses | (2,054) | (129) |
Fair value | 31,727 | 33,769 |
Mortgage-backed securities - US government agencies | ||
Securities Available for Sale: | ||
Amortized Cost | 88,227 | 90,817 |
Gross Unrealized Gains | 183 | 860 |
Gross Unrealized Losses | (1,347) | (102) |
Fair Value | 87,063 | 91,575 |
Securities Held to Maturity: | ||
Amortized Cost | 6,183 | 6,472 |
Gross Unrealized Gains | 360 | 459 |
Gross unrealized losses | (36) | |
Fair value | 6,507 | 6,931 |
Corporate bonds | ||
Securities Available for Sale: | ||
Amortized Cost | 25,397 | 25,411 |
Gross Unrealized Gains | 9 | 661 |
Gross Unrealized Losses | (445) | (19) |
Fair Value | 24,961 | 26,053 |
Debt securities available for sale | ||
Securities Available for Sale: | ||
Amortized Cost | 134,613 | 137,216 |
Gross Unrealized Gains | 192 | 1,557 |
Gross Unrealized Losses | (2,268) | (121) |
Fair Value | 132,537 | 138,652 |
FHLMC preferred stock | ||
Securities Available for Sale: | ||
Amortized Cost | 6 | 6 |
Gross Unrealized Gains | 93 | 36 |
Gross Unrealized Losses | ||
Fair Value | 99 | $ 42 |
Municipal bonds | ||
Securities Held to Maturity: | ||
Amortized Cost | 5,059 | |
Gross Unrealized Gains | ||
Gross unrealized losses | (255) | |
Fair value | $ 4,804 |
INVESTMENT AND MORTGAGE-BACKE38
INVESTMENT AND MORTGAGE-BACKED SECURITIES - Gross unrealized losses and related fair values of investment securities, aggregated by investment category and length of time (Details 1) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Securities Available for Sale: | ||
Less than 12 months - Gross Unrealized Losses | $ (2,089) | $ (69) |
Less than 12 months - Fair value | 111,529 | 20,453 |
More than 12 months - Gross Unrealized Losses | (179) | (52) |
More than 12 months - Fair value | 7,444 | 6,718 |
Gross Unrealized Losses - Total | (2,268) | (121) |
Fair Value - Total | 118,973 | 27,171 |
Securities Held to Maturity: | ||
Less than 12 months - Gross Unrealized Losses | (2,345) | (129) |
Less than 12 months - Fair value | 37,859 | 20,371 |
More than 12 months - Gross Unrealized Losses | ||
More than 12 months - Fair value | ||
Gross Unrealized Losses -Total | (2,345) | (129) |
Fair Value - Total | 37,859 | 20,371 |
Less than 12 months - Gross Unrealized Losses | (4,434) | (198) |
Less than 12 months - Fair Value | 149,388 | 40,824 |
More than 12 months Gross Unrealized Losses | (179) | (52) |
More than 12 months - Fair Value | 7,444 | 6,718 |
Gross Unrealized Losses, Total | (4,613) | (250) |
Fair Value - Total | 156,832 | 47,542 |
U.S. government and agency obligations | ||
Securities Available for Sale: | ||
Less than 12 months - Gross Unrealized Losses | (476) | (50) |
Less than 12 months - Fair value | 20,513 | 16,498 |
More than 12 months - Gross Unrealized Losses | (52) | |
More than 12 months - Fair value | 6,718 | |
Gross Unrealized Losses - Total | (476) | (102) |
Fair Value - Total | 20,513 | 23,216 |
Securities Held to Maturity: | ||
Less than 12 months - Gross Unrealized Losses | (2,054) | (129) |
Less than 12 months - Fair value | 31,727 | 20,371 |
More than 12 months - Gross Unrealized Losses | ||
More than 12 months - Fair value | ||
Gross Unrealized Losses -Total | (2,054) | (129) |
Fair Value - Total | 31,727 | 20,371 |
Mortgage-backed securities - US government agencies | ||
Securities Available for Sale: | ||
Less than 12 months - Gross Unrealized Losses | (1,168) | (19) |
Less than 12 months - Fair value | 66,064 | 3,955 |
More than 12 months - Gross Unrealized Losses | (179) | |
More than 12 months - Fair value | 7,444 | |
Gross Unrealized Losses - Total | (1,347) | (19) |
Fair Value - Total | 73,508 | $ 3,955 |
Securities Held to Maturity: | ||
Less than 12 months - Gross Unrealized Losses | (36) | |
Less than 12 months - Fair value | 1,328 | |
More than 12 months - Gross Unrealized Losses | ||
More than 12 months - Fair value | ||
Gross Unrealized Losses -Total | (36) | |
Fair Value - Total | 1,328 | |
Corporate bonds | ||
Securities Available for Sale: | ||
Less than 12 months - Gross Unrealized Losses | (445) | |
Less than 12 months - Fair value | 24,952 | |
More than 12 months - Gross Unrealized Losses | ||
More than 12 months - Fair value | ||
Gross Unrealized Losses - Total | (445) | |
Fair Value - Total | 24,952 | |
Municipal bonds | ||
Securities Held to Maturity: | ||
Less than 12 months - Gross Unrealized Losses | (255) | |
Less than 12 months - Fair value | 4,804 | |
More than 12 months - Gross Unrealized Losses | ||
More than 12 months - Fair value | ||
Gross Unrealized Losses -Total | (255) | |
Fair Value - Total | $ 4,804 |
INVESTMENT AND MORTGAGE-BACKE39
INVESTMENT AND MORTGAGE-BACKED SECURITIES - Amortized cost and fair value of debt securities, by contractual maturity (Details 2) $ in Thousands | Dec. 31, 2016USD ($) |
Held to Maturity, Amortized Cost | |
Due after one through five years | $ 1,999 |
Due after five through ten years | 12,022 |
Due after ten years | 24,537 |
Total | 38,558 |
Held to Maturity, Fair Value | |
Due after one through five years | 2,151 |
Due after five through ten years | 11,699 |
Due after ten years | 22,681 |
Total | 36,531 |
Available for Sale, Amortized Cost | |
Due after one through five years | 2,057 |
Due after five through ten years | 22,350 |
Due after ten years | 21,979 |
Total | 46,386 |
Available for Sale, Fair Value | |
Due after one through five years | 2,023 |
Due after five through ten years | 22,016 |
Due after ten years | 21,435 |
Total | $ 45,474 |
INVESTMENT AND MORTGAGE-BACKE40
INVESTMENT AND MORTGAGE-BACKED SECURITIES (Detail Textuals) | Dec. 31, 2016Security |
U.S. Government and agency obligations | |
Marketable Securities [Line Items] | |
Number of investment securities in debt obligations in the category of loss position less than 12 months held by company | 6 |
Mortgage-backed securities - US government agencies | |
Marketable Securities [Line Items] | |
Number of investment securities in debt obligations in the category of loss position less than 12 months held by company | 33 |
Number of investment securities in debt obligations in the category of loss position more than 12 months held by company | 6 |
Corporate bonds | |
Marketable Securities [Line Items] | |
Number of investment securities in debt obligations in the category of loss position less than 12 months held by company | 13 |
Municipal bonds | |
Marketable Securities [Line Items] | |
Number of investment securities in debt obligations in the category of loss position less than 12 months held by company | 3 |
LOANS RECEIVABLE - Summary of L
LOANS RECEIVABLE - Summary of Loans receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2015 | Sep. 30, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 359,880 | $ 351,891 | ||
Undisbursed portion of loans-in-process | (8,430) | (5,371) | ||
Deferred loan costs | 1,498 | 1,697 | ||
Allowance for loan losses | (3,454) | (3,269) | $ (2,919) | $ (2,930) |
Net loans | 349,494 | 344,948 | ||
One-to-four family residential | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | 225,375 | 233,531 | ||
Allowance for loan losses | (1,564) | (1,627) | (1,471) | (1,635) |
Multi-family residential | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | 12,355 | 12,478 | ||
Allowance for loan losses | (135) | (137) | (58) | (66) |
Commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | 88,776 | 79,859 | ||
Allowance for loan losses | (963) | (859) | (359) | (231) |
Construction and land development | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | 27,023 | 21,839 | ||
Allowance for loan losses | (415) | (316) | (757) | (724) |
Commercial business | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | 99 | |||
Allowance for loan losses | (1) | |||
Leases | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | 4,436 | 3,286 | ||
Allowance for loan losses | (28) | (21) | ||
Consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | 1,915 | 799 | ||
Allowance for loan losses | $ (35) | $ (10) | $ (8) | $ (5) |
LOANS RECEIVABLE - Summary of42
LOANS RECEIVABLE - Summary of loans individually evaluated for impairment by loan segment (Details 1) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2015 | Sep. 30, 2015 |
Allowance for Loan Losses: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 3,454 | 3,269 | ||
Total ending allowance balance | 3,454 | 3,269 | $ 2,919 | $ 2,930 |
Loans: | ||||
Individually evaluated for impairment | 19,053 | 19,429 | ||
Collectively evaluated for impairment | 340,827 | 332,462 | ||
Total loans | 359,880 | 351,891 | ||
One-to-four family residential | ||||
Allowance for Loan Losses: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 1,564 | 1,627 | ||
Total ending allowance balance | 1,564 | 1,627 | 1,471 | 1,635 |
Loans: | ||||
Individually evaluated for impairment | 5,489 | 5,553 | ||
Collectively evaluated for impairment | 219,886 | 227,978 | ||
Total loans | 225,375 | 233,531 | ||
Multi-family residential | ||||
Allowance for Loan Losses: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 135 | 137 | ||
Total ending allowance balance | 135 | 137 | 58 | 66 |
Loans: | ||||
Individually evaluated for impairment | 331 | 335 | ||
Collectively evaluated for impairment | 12,024 | 12,143 | ||
Total loans | 12,355 | 12,478 | ||
Commercial real estate | ||||
Allowance for Loan Losses: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 963 | 859 | ||
Total ending allowance balance | 963 | 859 | 359 | 231 |
Loans: | ||||
Individually evaluated for impairment | 2,722 | 3,154 | ||
Collectively evaluated for impairment | 86,054 | 76,705 | ||
Total loans | 88,776 | 79,859 | ||
Construction and land development | ||||
Allowance for Loan Losses: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 415 | 316 | ||
Total ending allowance balance | 415 | 316 | 757 | 724 |
Loans: | ||||
Individually evaluated for impairment | 10,511 | 10,288 | ||
Collectively evaluated for impairment | 16,512 | 11,551 | ||
Total loans | 27,023 | 21,839 | ||
Commercial business | ||||
Allowance for Loan Losses: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 1 | |||
Total ending allowance balance | 1 | |||
Loans: | ||||
Individually evaluated for impairment | 99 | |||
Collectively evaluated for impairment | ||||
Total loans | 99 | |||
Leases | ||||
Allowance for Loan Losses: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 28 | 21 | ||
Total ending allowance balance | 28 | 21 | ||
Loans: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 4,436 | 3,286 | ||
Total loans | 4,436 | 3,286 | ||
Consumer | ||||
Allowance for Loan Losses: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 35 | 10 | ||
Total ending allowance balance | 35 | 10 | 8 | 5 |
Loans: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 1,915 | 799 | ||
Total loans | 1,915 | 799 | ||
Unallocated | ||||
Allowance for Loan Losses: | ||||
Individually evaluated for impairment | ||||
Collectively evaluated for impairment | 314 | 298 | ||
Total ending allowance balance | $ 314 | $ 298 | $ 266 | $ 269 |
LOANS RECEIVABLE - Impaired loa
LOANS RECEIVABLE - Impaired loans by class, segregated by those for which specific allowance was required and those for which specific allowance was not required (Details 2) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with Specific Allowance - Recorded Investment | ||
Impaired Loans with Specific Allowance - Related Allowance | ||
Impaired Loans with No Specific Allowance - Recorded Investment | 19,053 | 19,429 |
Total Impaired Loans - Recorded Investment | 19,053 | 19,429 |
Total impaired loans - Unpaid Principal Balance | 19,282 | 19,745 |
One-to-four family residential | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with Specific Allowance - Recorded Investment | ||
Impaired Loans with Specific Allowance - Related Allowance | ||
Impaired Loans with No Specific Allowance - Recorded Investment | 5,489 | 5,553 |
Total Impaired Loans - Recorded Investment | 5,489 | 5,553 |
Total impaired loans - Unpaid Principal Balance | 5,718 | 5,869 |
Multi-family residential | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with Specific Allowance - Recorded Investment | ||
Impaired Loans with Specific Allowance - Related Allowance | ||
Impaired Loans with No Specific Allowance - Recorded Investment | 331 | 335 |
Total Impaired Loans - Recorded Investment | 331 | 335 |
Total impaired loans - Unpaid Principal Balance | 331 | 335 |
Commercial real estate | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with Specific Allowance - Recorded Investment | ||
Impaired Loans with Specific Allowance - Related Allowance | ||
Impaired Loans with No Specific Allowance - Recorded Investment | 2,722 | 3,154 |
Total Impaired Loans - Recorded Investment | 2,722 | 3,154 |
Total impaired loans - Unpaid Principal Balance | 2,722 | 3,154 |
Construction and land development | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with Specific Allowance - Recorded Investment | ||
Impaired Loans with Specific Allowance - Related Allowance | ||
Impaired Loans with No Specific Allowance - Recorded Investment | 10,511 | 10,288 |
Total Impaired Loans - Recorded Investment | 10,511 | 10,288 |
Total impaired loans - Unpaid Principal Balance | $ 10,511 | 10,288 |
Commercial loans | ||
Financing Receivable, Impaired [Line Items] | ||
Impaired Loans with Specific Allowance - Recorded Investment | ||
Impaired Loans with Specific Allowance - Related Allowance | ||
Impaired Loans with No Specific Allowance - Recorded Investment | 99 | |
Total Impaired Loans - Recorded Investment | 99 | |
Total impaired loans - Unpaid Principal Balance | $ 99 |
LOANS RECEIVABLE - Average reco
LOANS RECEIVABLE - Average recorded investment in impaired loans and related interest income recognized (Details 3) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment | $ 19,191 | $ 17,603 |
Income Recognized on Accrual Basis | 40 | 186 |
Income Recognized on Cash Basis | 35 | 36 |
One-to-four family residential | ||
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment | 5,522 | 4,455 |
Income Recognized on Accrual Basis | 17 | 31 |
Income Recognized on Cash Basis | 24 | 23 |
Multi-family residential | ||
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment | 332 | 351 |
Income Recognized on Accrual Basis | 6 | 6 |
Income Recognized on Cash Basis | ||
Commercial real estate | ||
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment | 2,938 | 3,740 |
Income Recognized on Accrual Basis | 17 | 24 |
Income Recognized on Cash Basis | 11 | 13 |
Construction and land development | ||
Financing Receivable, Impaired [Line Items] | ||
Average Recorded Investment | 10,399 | 9,057 |
Income Recognized on Accrual Basis | 125 | |
Income Recognized on Cash Basis |
LOANS RECEIVABLE - Summary of c
LOANS RECEIVABLE - Summary of classes of loan portfolio in which formal risk weighting system is used (Details 4) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | $ 359,880 | $ 351,891 |
One-to-four family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 225,375 | 233,531 |
Multi-family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 12,355 | 12,478 |
Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 88,776 | 79,859 |
Construction and land development | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 27,023 | 21,839 |
Commercial business | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 99 | |
Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 1,915 | 799 |
Risk Rating System | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 130,732 | 117,168 |
Risk Rating System | One-to-four family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 2,578 | 2,893 |
Risk Rating System | Multi-family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 12,355 | 12,478 |
Risk Rating System | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 88,776 | 79,859 |
Risk Rating System | Construction and land development | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 27,023 | 21,839 |
Risk Rating System | Commercial business | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 99 | |
Risk Rating System | Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 113,652 | 99,979 |
Risk Rating System | Pass | One-to-four family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | ||
Risk Rating System | Pass | Multi-family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 12,025 | 12,144 |
Risk Rating System | Pass | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 85,115 | 76,185 |
Risk Rating System | Pass | Construction and land development | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 16,512 | 11,551 |
Risk Rating System | Pass | Commercial business | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 99 | |
Risk Rating System | Special Mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 3,480 | 2,624 |
Risk Rating System | Special Mention | One-to-four family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 1,670 | 1,681 |
Risk Rating System | Special Mention | Multi-family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 330 | |
Risk Rating System | Special Mention | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 1,480 | 943 |
Risk Rating System | Special Mention | Construction and land development | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | ||
Risk Rating System | Special Mention | Commercial business | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | ||
Risk Rating System | Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 13,600 | 14,565 |
Risk Rating System | Substandard | One-to-four family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 908 | 1,212 |
Risk Rating System | Substandard | Multi-family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 334 | |
Risk Rating System | Substandard | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 2,181 | 2,731 |
Risk Rating System | Substandard | Construction and land development | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | $ 10,511 | 10,288 |
Risk Rating System | Substandard | Commercial business | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans |
LOANS RECEIVABLE - Loans in whi
LOANS RECEIVABLE - Loans in which formal risk rating system is not utilized, but loans are segregated between performing and non-performing based primarily on delinquency status (Details 5) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | $ 359,880 | $ 351,891 |
One-to-four family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 225,375 | 233,531 |
Leases | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 4,436 | 3,286 |
Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 1,915 | 799 |
Non Risk Rating System | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 229,148 | 234,723 |
Non Risk Rating System | One-to-four family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 222,797 | 230,638 |
Non Risk Rating System | Leases | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 4,436 | 3,286 |
Non Risk Rating System | Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 1,915 | 799 |
Non Risk Rating System | Performing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 224,910 | 230,479 |
Non Risk Rating System | Performing | One-to-four family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 218,559 | 226,394 |
Non Risk Rating System | Performing | Leases | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 4,436 | 3,286 |
Non Risk Rating System | Performing | Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 1,915 | 799 |
Non Risk Rating System | Nonperforming | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 4,238 | 4,244 |
Non Risk Rating System | Nonperforming | One-to-four family residential | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | 4,238 | 4,244 |
Non Risk Rating System | Nonperforming | Leases | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans | ||
Non Risk Rating System | Nonperforming | Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total Loans |
LOANS RECEIVABLE - Loan categor
LOANS RECEIVABLE - Loan categories of loan portfolio summarized by aging categories of performing loans and nonaccrual loans (Details 6) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | $ 344,686 | $ 335,630 |
90 Days+ Past Due and Accruing | ||
Total Past Due and Accruing | 1,360 | 1,860 |
Total Loans | 359,880 | 351,891 |
Non- Accrual | 16,095 | 15,878 |
30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 1,360 | 1,860 |
90 Days + Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 13,835 | 14,401 |
One-to-four family residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 222,408 | 228,904 |
90 Days+ Past Due and Accruing | ||
Total Past Due and Accruing | 989 | 1,860 |
Total Loans | 225,375 | 233,531 |
Non- Accrual | 4,238 | 4,244 |
One-to-four family residential | 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 989 | 1,860 |
One-to-four family residential | 90 Days + Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 1,978 | 2,767 |
Multi-family residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 12,355 | 12,478 |
90 Days+ Past Due and Accruing | ||
Total Past Due and Accruing | ||
Total Loans | 12,355 | 12,478 |
Non- Accrual | ||
Multi-family residential | 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | ||
Multi-family residential | 90 Days + Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | ||
Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 87,192 | 78,513 |
90 Days+ Past Due and Accruing | ||
Total Past Due and Accruing | 238 | |
Total Loans | 88,776 | 79,859 |
Non- Accrual | 1,346 | 1,346 |
Commercial real estate | 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 238 | |
Commercial real estate | 90 Days + Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 1,346 | 1,346 |
Construction and land development | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 16,513 | 11,551 |
90 Days+ Past Due and Accruing | ||
Total Past Due and Accruing | ||
Total Loans | 27,023 | 21,839 |
Non- Accrual | 10,511 | 10,288 |
Construction and land development | 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | ||
Construction and land development | 90 Days + Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 10,511 | 10,288 |
Commercial business | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 99 | |
90 Days+ Past Due and Accruing | ||
Total Past Due and Accruing | ||
Total Loans | 99 | |
Non- Accrual | ||
Commercial business | 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | ||
Commercial business | 90 Days + Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | ||
Leases | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 4,303 | 3,286 |
90 Days+ Past Due and Accruing | ||
Total Past Due and Accruing | 133 | |
Total Loans | 4,436 | 3,286 |
Non- Accrual | ||
Leases | 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 133 | |
Leases | 90 Days + Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | ||
Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 1,915 | 799 |
90 Days+ Past Due and Accruing | ||
Total Past Due and Accruing | ||
Total Loans | 1,915 | 799 |
Non- Accrual | ||
Consumer | 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | ||
Consumer | 90 Days + Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current |
LOANS RECEIVABLE - Activity in
LOANS RECEIVABLE - Activity in allowance (Details 7) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Allowance for Loan and Lease Losses [Roll Forward] | ||
ALLL balance | $ 3,269 | $ 2,930 |
Charge-offs | (11) | |
Recoveries | ||
Provision | 185 | |
ALLL balance | 3,454 | 2,919 |
One- to four-family residential | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
ALLL balance | 1,627 | 1,635 |
Charge-offs | (11) | |
Recoveries | ||
Provision | (63) | (153) |
ALLL balance | 1,564 | 1,471 |
Multi-family residential | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
ALLL balance | 137 | 66 |
Charge-offs | ||
Recoveries | ||
Provision | (2) | (8) |
ALLL balance | 135 | 58 |
Commercial real estate | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
ALLL balance | 859 | 231 |
Charge-offs | ||
Recoveries | ||
Provision | 104 | 128 |
ALLL balance | 963 | 359 |
Construction and land development | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
ALLL balance | 316 | 724 |
Charge-offs | ||
Recoveries | ||
Provision | 99 | 33 |
ALLL balance | 415 | 757 |
Commercial business | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
ALLL balance | 1 | |
Charge-offs | ||
Recoveries | ||
Provision | (1) | |
ALLL balance | ||
Leases | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
ALLL balance | 21 | |
Charge-offs | ||
Recoveries | ||
Provision | 7 | |
ALLL balance | 28 | |
Consumer | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
ALLL balance | 10 | 5 |
Charge-offs | ||
Recoveries | ||
Provision | 25 | 3 |
ALLL balance | 35 | 8 |
Unallocated | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
ALLL balance | 298 | 269 |
Charge-offs | ||
Recoveries | ||
Provision | 16 | (3) |
ALLL balance | $ 314 | $ 266 |
LOANS RECEIVABLE - Troubled deb
LOANS RECEIVABLE - Troubled debt restructurings (Details 8) $ in Thousands | 3 Months Ended | |
Dec. 31, 2016USD ($)Loan | Dec. 31, 2015USD ($)Loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Loans | Loan | 10 | 1 |
Pre-Modification Outstanding Recorded Investment | $ 7,500 | $ 482,000 |
Post-Modification Outstanding Recorded Investment | $ 482,000 | |
One-to-four family residential | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Loans | Loan | 1 | |
Pre-Modification Outstanding Recorded Investment | $ 482,000 | |
Post-Modification Outstanding Recorded Investment | $ 482,000 |
LOANS RECEIVABLE (Detail Textua
LOANS RECEIVABLE (Detail Textuals) | 3 Months Ended | |
Dec. 31, 2016USD ($)Loan | Dec. 31, 2015USD ($)Loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Provision for loan losses | $ 185,000 | |
Number of Loans | Loan | 10 | 1 |
Pre-Modification Outstanding Recorded Investment | $ 7,500,000 | $ 482,000,000 |
Over 90 days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Loans | Loan | 2 | |
Pre-Modification Outstanding Recorded Investment | $ 4,800,000 | |
Nonperforming | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Loans | Loan | 3 | |
Pre-Modification Outstanding Recorded Investment | $ 5,500,000 | |
One- to four-family residential | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Provision for loan losses | (63,000) | $ (153,000) |
Number of Loans | Loan | 1 | |
Pre-Modification Outstanding Recorded Investment | $ 482,000,000 | |
One- to four-family residential | Nonperforming | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Pre-Modification Outstanding Recorded Investment | $ 1,400,000 | |
Number of loans default | Loan | 1 | |
Commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Provision for loan losses | $ 104,000 | 128,000 |
Number of loans default | Loan | 1 | |
Amount of loan defaullt | $ 730,000 | |
Construction and land development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Provision for loan losses | $ 99,000 | $ 33,000 |
Number of loans default | Loan | 1 | |
Amount of loan defaullt | $ 3,400,000 |
DEPOSITS - Major classification
DEPOSITS - Major classifications of deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Amount | ||
Money market deposit accounts | $ 53,510 | $ 55,552 |
Interest-bearing checking accounts | 38,220 | 34,984 |
Non interest-bearing checking accounts | 3,595 | 3,804 |
Passbook, club and statement savings | 69,055 | 70,924 |
Certificates maturing in six months or less | 95,516 | 97,418 |
Certificates maturing in more than six months | 148,319 | 126,519 |
Total deposits | $ 408,215 | $ 389,201 |
Percent | ||
Money market deposit accounts | 13.10% | 14.30% |
Interest-bearing checking accounts | 9.40% | 9.30% |
Non interest-bearing checking accounts | 0.90% | 0.70% |
Passbook, club and statement savings | 16.90% | 18.20% |
Certificates maturing in six months or less | 23.40% | 25.00% |
Certificates maturing in more than six months | 36.30% | 32.50% |
Total | 100.00% | 100.00% |
DEPOSITS (Detail Textuals)
DEPOSITS (Detail Textuals) - USD ($) $ in Millions | Dec. 31, 2016 | Sep. 30, 2016 |
Deposits [Abstract] | ||
Certificates of $250,000 and over | $ 18 | $ 17 |
ADVANCES FROM FEDERAL HOME LO53
ADVANCES FROM FEDERAL HOME LOAN BANK (Details) $ in Thousands | 3 Months Ended | |
Dec. 31, 2016USD ($) | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Amount | $ 64,800 | |
Coupon | 0.82% | [1] |
Fixed Rate -Advance Maturity Date 3-Jan-17 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Jan. 3, 2017 | |
Amount | $ 15,000 | |
Coupon | 0.74% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 6-Jan-17 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Jan. 6, 2017 | |
Amount | $ 10,000 | |
Coupon | 0.65% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 13-Jan-17 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Jan. 13, 2017 | |
Amount | $ 10,000 | |
Coupon | 0.80% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 17-Nov-17 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Nov. 17, 2017 | |
Amount | $ 10,000 | |
Coupon | 1.02% | |
Call Date | Not Applicable | |
Fixed Rate -Amortizing Maturity Date 1-Dec-17 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Dec. 1, 2017 | |
Amount | $ 2,012 | |
Coupon | 1.16% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 4-Dec-17 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Dec. 4, 2017 | |
Amount | $ 2,000 | |
Coupon | 1.15% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 16-Nov-18 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Nov. 16, 2018 | |
Amount | $ 7,500 | |
Coupon | 1.40% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 3-Dec-18 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Dec. 3, 2018 | |
Amount | $ 3,000 | |
Coupon | 1.54% | |
Call Date | Not Applicable | |
Fixed Rate -Amortizing Maturity Date 18-Nov-19 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Nov. 18, 2019 | |
Amount | $ 4,043 | |
Coupon | 1.53% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 27-Jul-20 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Jul. 27, 2020 | |
Amount | $ 249 | |
Coupon | 1.38% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 27-Jul-21 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Jul. 27, 2021 | |
Amount | $ 249 | |
Coupon | 1.52% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 28-Jul-21 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Jul. 28, 2021 | |
Amount | $ 249 | |
Coupon | 1.48% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 29-Jul-21 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Jul. 29, 2021 | |
Amount | $ 249 | |
Coupon | 1.42% | |
Call Date | Not Applicable | |
Fixed Rate -Advance Maturity Date 19-Aug-21 | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Maturity Date | Aug. 19, 2021 | |
Amount | $ 249 | |
Coupon | 1.55% | |
Call Date | Not Applicable | |
[1] | Weighted average coupon rate. |
DERIVATIVES (Details)
DERIVATIVES (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Sep. 30, 2016 | |
Derivative [Line Items] | ||
Unrealized gain | $ 531 | $ 202 |
Interest rate swap | ||
Derivative [Line Items] | ||
Notional amount | $ 10,000 | $ 10,000 |
Pay rate | 1.15% | 1.15% |
Receive rate | 1 Month Libor | 1 Mth Libor |
Maturity date | Apr. 6, 2021 | Apr. 6, 2021 |
Unrealized gain | $ 225 | $ 92 |
Interest rate swap one | ||
Derivative [Line Items] | ||
Notional amount | $ 10,000 | $ 10,000 |
Pay rate | 1.18% | 1.18% |
Receive rate | 1 Month Libor | 1 Mth Libor |
Maturity date | Jun. 13, 2021 | Jun. 13, 2021 |
Unrealized gain | $ 235 | $ 103 |
Interest rate swap two | ||
Derivative [Line Items] | ||
Notional amount | $ 1,100 | $ 1,100 |
Pay rate | 4.10% | 4.10% |
Receive rate | 1 Month Libor +276 bp | 1 Mth Libor +276 bp |
Maturity date | Aug. 1, 2026 | Aug. 1, 2026 |
Unrealized gain | $ 71 | $ 7 |
DERIVATIVES (Detail Textuals)
DERIVATIVES (Detail Textuals) $ in Millions | Dec. 31, 2016USD ($) |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Interest rate swap agreements outstanding amount | $ 21.1 |
INCOME TAXES - Items that gave
INCOME TAXES - Items that gave rise to significant portions of deferred income taxes (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Deferred tax assets: | ||
Allowance for loan losses | $ 1,334 | $ 1,289 |
Nonaccrual interest | 230 | 163 |
Accrued vacation | 12 | 13 |
Capital loss carryforward | 378 | 378 |
Split dollar life insurance | 18 | 18 |
Post-retirement benefits | 95 | 96 |
Unrealized losses on available for sale securities | 674 | |
Unrealized losses on interest rate swaps | 69 | |
Employee benefit plans | 415 | 434 |
Total deferred tax assets | 3,156 | 2,460 |
Valuation allowance | (378) | (378) |
Total deferred tax assets, net of valuation allowance | 2,778 | 2,082 |
Deferred tax liabilities: | ||
Property | 477 | 423 |
Unrealized gains on available for sale securities | 500 | |
Unrealized gains on interest rate swaps | 180 | |
Miscellaneous | 12 | 12 |
Deferred loan fees | 514 | 578 |
Total deferred tax liabilities | 1,183 | 1,513 |
Net deferred tax assets | $ 1,595 | $ 569 |
INCOME TAXES (Detail Textuals)
INCOME TAXES (Detail Textuals) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Income Tax Disclosure [Abstract] | ||
Valuation allowance | $ 378 | $ 378 |
STOCK COMPENSATION PLANS - Summ
STOCK COMPENSATION PLANS - Summary of non-vested stock award activity (Details) - $ / shares | 1 Months Ended | 3 Months Ended | |
Aug. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Shares | |||
Granted | 12,500 | ||
2008 Recognition and Retention Plan ("2008 RRP") | |||
Number of Shares | |||
Granted | 7,473 | ||
2008 Recognition and Retention Plan ("2008 RRP") | Nonvested Stock Awards | |||
Number of Shares | |||
Nonvested stock awards at October 1 | 172,788 | 241,428 | |
Granted | |||
Forfeited | (7,746) | ||
Vested | |||
Nonvested stock awards at the December 31 | 172,788 | 233,682 | |
Weighted Average Grant Date Fair Value | |||
Nonvested stock awards at October 1 | $ 12.03 | $ 11.74 | |
Granted | |||
Forfeited | 11.50 | ||
Vested | |||
Nonvested stock awards at the December 31 | $ 12.03 | $ 11.75 |
STOCK COMPENSATION PLANS - Su59
STOCK COMPENSATION PLANS - Summary of status of stock options under Stock Option Plan (Details 1) - Stock Options Plan - Stock Options - $ / shares | 3 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Shares | ||
Outstanding at October 1 | 921,909 | 1,074,430 |
Granted | ||
Exercised | ||
Forfeited | (25,166) | |
Outstanding at December 31 | 921,909 | 1,049,264 |
Exercisable at December 31 | 467,397 | 440,976 |
Weighted Average Exercise Price | ||
Outstanding at October 1 | $ 11.70 | $ 11.92 |
Granted | ||
Exercised | ||
Forfeited | 11.59 | |
Outstanding at December 31 | 11.70 | 11.93 |
Exercisable at December 31 | $ 11.40 | $ 11.42 |
STOCK COMPENSATION PLANS (Detai
STOCK COMPENSATION PLANS (Detail Textuals) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2013 | Sep. 05, 2005 | Sep. 30, 2016 | |
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||||
ESOP shares allocated to participant's accounts | 8,879 | 8,879 | ||||
Compensation expense of ESOP | $ 139,000 | $ 130,000 | ||||
Number of treasury share purchased | 1,499,265 | 1,499,265 | ||||
Amount allocated to purchase treasury stock | $ 21,098,000 | $ 21,098,000 | ||||
Employee Stock Ownership Plan ESOP Plan | ||||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||||
Number of common shares purchased under employee stock ownership plan (ESOP) | 30,100 | 255,564 | 427,057 | |||
Aggregate cost of common stock purchased under employee stock ownership plan (ESOP) | $ 3,100,000 | $ 4,500,000 | ||||
Number of shares held by ESOP | 697,270 | |||||
ESOP shares allocated to participant's accounts | 243,734 | |||||
Additional ESOP shares allocated to participant's accounts | 35,517 | |||||
Compensation expense of ESOP | $ 139,000 | $ 130,000 | ||||
Number of treasury share purchased | 303,115 | |||||
Amount allocated to purchase treasury stock | $ 5,200,000 | |||||
Number of shares alloted to remaining participants | 115,000 |
STOCK COMPENSATION PLANS (Det61
STOCK COMPENSATION PLANS (Detail Textuals 1) - USD ($) | 1 Months Ended | 3 Months Ended | ||
Aug. 31, 2016 | Feb. 28, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period of awards granted | 5 years | |||
Number of shares granted | 12,500 | |||
Recognized compensation expense | $ 136,000 | |||
2008 Recognition and Retention Plan ("2008 RRP") | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares purchased by RRP trust | 213,528 | |||
Value of shares purchased in open market by RRP trust | $ 2,500,000 | |||
Average price per share of common stock purchased in the open market | $ 11.49 | |||
Percentage of vesting per year | 20.00% | |||
Vesting period of awards granted | 5 years | |||
Number of shares granted | 7,473 | |||
2014 Stock Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares granted | 3,027 | |||
2014 Stock Incentive Plan | Restricted stock awards or units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of forfeit shares exceptional for award | 45,000 | |||
Maximum number of shares awarded under the plan | 285,655 | |||
Number of shares granted | 233,500 | |||
2008 RRP and 2014 SIP | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares purchased by RRP trust | 608,737 | |||
Recognized compensation expense | $ 89,000 | 84,000 | ||
Income tax benefit realized | $ 46,000 | $ 44,000 |
STOCK COMPENSATION PLANS (Det62
STOCK COMPENSATION PLANS (Detail Textuals 2) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||
Aug. 31, 2016 | Feb. 28, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2010 | Sep. 30, 2009 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Vesting period of options | 5 years | |||||||||
Number of shares granted | 12,500 | |||||||||
Weighted average remaining contractual term for options outstanding | 4 years 9 months 18 days | |||||||||
Estimated fair value of options granted per share | $ 2.13 | $ 4.58 | $ 4.67 | $ 3.35 | $ 2.92 | $ 2.98 | ||||
Fair value, valuation method | Black-Scholes pricing model | Black-Scholes pricing model | ||||||||
Exercise price and fair value | $ 14.42 | $ 12.23 | ||||||||
Expected term | 7 years | 7 years | ||||||||
Volatility rate | 13.82% | 38.16% | ||||||||
Expected interest rate | 1.36% | 1.62% | ||||||||
Expected yield | 0.80% | 0.98% | ||||||||
Recognized compensation expense | $ 136,000 | |||||||||
Tax benefit from stock-based compensation | 15,000 | |||||||||
Unrecognized compensation expense for options | $ 1,500,000 | |||||||||
Weighted average period for expense recognize | 3 years 3 months 18 days | |||||||||
2008 Stock Option Plan (the "2008 Option Plan") | Stock Options | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Percentage of vesting and exercisable per year | 20.00% | |||||||||
Vesting period of options | 5 years | |||||||||
Exercisable period of options after grant date | 10 years | |||||||||
Number of common stock available for issuance | 533,808 | |||||||||
Number of vested options | 467,758 | |||||||||
Number of shares purchased for award | 608,737 | |||||||||
Number of shares granted | 27,500 | |||||||||
2014 Stock Incentive Plan | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of shares granted | 3,027 | |||||||||
2014 Stock Incentive Plan | Stock Options | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of shares for issuance pursuant to options | 714,145 | |||||||||
Number of shares purchased for award | 605,000 | |||||||||
Number of shares granted | 8,633 | |||||||||
2008 RRP and 2014 SIP | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of shares purchased for award | 608,737 | |||||||||
Recognized compensation expense | $ 89,000 | 84,000 | ||||||||
Unrecognized compensation expense for options | 1,500,000 | $ 2,300,000 | ||||||||
2008 Option Plan and 2014 SIP | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of shares granted | 18,867 | |||||||||
Recognized compensation expense | 130,000 | |||||||||
Tax benefit from stock-based compensation | $ 16,000 |
COMMITMENTS AND CONTINGENT LI63
COMMITMENTS AND CONTINGENT LIABILITIES (Detail Textuals) - USD ($) | 3 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Sep. 30, 2016 | |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Outstanding commitments | $ 31,000 | |
Aggregate undisbursed portion of loans-in-process | 8,430,000 | $ 5,371,000 |
Loan Origination Commitments | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Outstanding commitments | 20,200,000 | 9,900,000 |
Aggregate undisbursed portion of loans-in-process | $ 8,300,000 | $ 5,400,000 |
Loan Origination Commitments | Minimum | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Market interest rate on fixed and variable rate loans | 3.75% | 3.75% |
Loan Origination Commitments | Maximum | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Market interest rate on fixed and variable rate loans | 4.75% | 5.00% |
Unused lines of Credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Outstanding commitments | $ 2,900,000 | $ 3,300,000 |
Letters of Credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Outstanding commitments | $ 1,500,000 | $ 1,900,000 |
FAIR VALUE MEASUREMENT - Assets
FAIR VALUE MEASUREMENT - Assets measured at fair value on recurring basis (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Assets: | ||
Investment and mortgage-backed securities available for sale | $ 132,636 | $ 138,694 |
Level 1 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 99 | 42 |
Level 2 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 132,537 | 138,652 |
Level 3 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
U.S. Government and agency obligations | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 20,513 | 21,024 |
Mortgage-backed securities - U.S. Government agencies | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 87,063 | 91,575 |
Corporate bonds | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 24,961 | 26,053 |
FHLMC preferred stock | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 99 | 42 |
Fair Value, Measurements, Recurring | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 132,636 | 138,694 |
Liabilities | ||
Liabilities, total | 202 | |
Fair Value, Measurements, Recurring | Level 1 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 99 | 42 |
Liabilities | ||
Liabilities, total | ||
Fair Value, Measurements, Recurring | Level 2 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 132,537 | 138,652 |
Liabilities | ||
Liabilities, total | 202 | |
Fair Value, Measurements, Recurring | Level 3 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Liabilities | ||
Liabilities, total | ||
Fair Value, Measurements, Recurring | U.S. Government and agency obligations | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 20,513 | 21,024 |
Fair Value, Measurements, Recurring | U.S. Government and agency obligations | Level 1 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Fair Value, Measurements, Recurring | U.S. Government and agency obligations | Level 2 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 20,513 | 21,024 |
Fair Value, Measurements, Recurring | U.S. Government and agency obligations | Level 3 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Fair Value, Measurements, Recurring | Mortgage-backed securities - U.S. Government agencies | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 87,063 | 91,575 |
Fair Value, Measurements, Recurring | Mortgage-backed securities - U.S. Government agencies | Level 1 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Fair Value, Measurements, Recurring | Mortgage-backed securities - U.S. Government agencies | Level 2 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 87,063 | 91,575 |
Fair Value, Measurements, Recurring | Mortgage-backed securities - U.S. Government agencies | Level 3 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Fair Value, Measurements, Recurring | Corporate bonds | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 24,961 | 26,053 |
Fair Value, Measurements, Recurring | Corporate bonds | Level 1 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Fair Value, Measurements, Recurring | Corporate bonds | Level 2 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 24,961 | 26,053 |
Fair Value, Measurements, Recurring | Corporate bonds | Level 3 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Fair Value, Measurements, Recurring | FHLMC preferred stock | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 99 | 42 |
Fair Value, Measurements, Recurring | FHLMC preferred stock | Level 1 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 99 | 42 |
Fair Value, Measurements, Recurring | FHLMC preferred stock | Level 2 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Fair Value, Measurements, Recurring | FHLMC preferred stock | Level 3 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Fair Value, Measurements, Recurring | Interest rate swap contracts | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 531 | |
Liabilities | ||
Liabilities, total | 202 | |
Fair Value, Measurements, Recurring | Interest rate swap contracts | Level 1 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Liabilities | ||
Liabilities, total | ||
Fair Value, Measurements, Recurring | Interest rate swap contracts | Level 2 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | 531 | |
Liabilities | ||
Liabilities, total | 202 | |
Fair Value, Measurements, Recurring | Interest rate swap contracts | Level 3 | ||
Assets: | ||
Investment and mortgage-backed securities available for sale | ||
Liabilities | ||
Liabilities, total |
FAIR VALUE MEASUREMENT - Change
FAIR VALUE MEASUREMENT - Changes in level 3 assets measured at fair value (Details 1) - Fair Value, Measurements, Nonrecurring - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 19,053 | $ 19,429 |
Real estate owned | 585 | 581 |
Total | 19,638 | 20,010 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | ||
Real estate owned | ||
Total | ||
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | ||
Real estate owned | ||
Total | ||
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 19,053 | 19,429 |
Real estate owned | 585 | 581 |
Total | $ 19,638 | $ 20,010 |
FAIR VALUE MEASUREMENT - Valuat
FAIR VALUE MEASUREMENT - Valuation processes used to determine nonrecurring fair value measurements categorized within level 3 (Details 2) - Fair Value, Measurements, Nonrecurring - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Sep. 30, 2016 | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Fair Value | $ 19,638 | $ 20,010 | |
Level 3 | |||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Fair Value | 19,638 | 20,010 | |
Level 3 | Impaired loan | Property Appraisals Valuation Technique | |||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Fair Value | $ 19,053 | $ 19,429 | |
Valuation Technique | [1],[2] | Property appraisals | Property appraisals |
Unobservable Input | [3] | Management discount for selling costs, property type and market volatility | Management discount for selling costs, property type and market volatility |
Level 3 | Impaired loan | Property Appraisals Valuation Technique | Minimum | |||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Management discount rate | 6.00% | 6.00% | |
Level 3 | Impaired loan | Property Appraisals Valuation Technique | Maximum | |||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Management discount rate | 46.00% | 46.00% | |
Level 3 | Impaired loan | Property Appraisals Valuation Technique | Weighted Average | |||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Management discount rate | 10.00% | 10.00% | |
Level 3 | Real estate owned | Property Appraisals Valuation Technique | |||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Fair Value | $ 585 | $ 581 | |
Valuation Technique | [1],[2] | Property appraisals | Property appraisals |
Unobservable Input | [3] | Management discount for selling costs, property type and market volatility | Management discount for selling costs, property type and market volatility |
Level 3 | Real estate owned | Property Appraisals Valuation Technique | Weighted Average | |||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Management discount rate | 10.00% | 10.00% | |
[1] | Fair value is generally determined through independent appraisals of the underlying collateral, which generally includes various Level 3 inputs, which are not identifiable. | ||
[2] | Includes qualitative adjustments by management and estimated liquidation expenses. | ||
[3] | Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. |
FAIR VALUE MEASUREMENT - Asse67
FAIR VALUE MEASUREMENT - Assets measured at fair value on a non-recurring basis and the adjustments to the carrying value (Details 3) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2015 | Sep. 30, 2015 |
Assets: | ||||
Cash and cash equivalents | $ 8,065 | $ 12,440 | $ 5,751 | $ 11,272 |
Certificates of deposit | 1,853 | 1,853 | ||
Investment and mortgage-backed securities available for sale | 132,636 | 138,694 | ||
Investment and mortgage-backed securities held to maturity | 44,741 | 39,971 | ||
Loans receivable, net | 349,494 | 344,948 | ||
Accrued interest receivable | 2,075 | 1,928 | ||
Federal Home Loan Bank stock | 2,970 | 2,463 | ||
Bank owned life insurance | 23,221 | 13,055 | ||
Interest rate swap contracts | 531 | |||
Liabilities: | ||||
Checking accounts | 41,815 | 38,788 | ||
Money market deposit accounts | 53,510 | 55,552 | ||
Passbook, club and statement savings accounts | 69,055 | 70,924 | ||
Certificates of deposit | 243,835 | 223,937 | ||
Advances from FHLB short-term | 49,012 | 20,000 | ||
Advances from FHLB long-term | 15,788 | 30,638 | ||
Accrued interest payable | 177 | 1,403 | ||
Advances from borrowers for taxes and insurance | 2,513 | 1,748 | ||
Interest rate swap contracts | 202 | |||
Fair Value | ||||
Assets: | ||||
Cash and cash equivalents | 8,065 | 12,440 | ||
Certificates of deposit | 1,853 | 1,853 | ||
Investment and mortgage-backed securities available for sale | 132,636 | 138,694 | ||
Investment and mortgage-backed securities held to maturity | 43,038 | 40,700 | ||
Loans receivable, net | 349,733 | 344,100 | ||
Accrued interest receivable | 2,075 | 1,928 | ||
Federal Home Loan Bank stock | 2,970 | 2,463 | ||
Bank owned life insurance | 23,221 | 13,055 | ||
Interest rate swap contracts | 531 | |||
Liabilities: | ||||
Checking accounts | 41,815 | 38,788 | ||
Money market deposit accounts | 53,510 | 55,552 | ||
Passbook, club and statement savings accounts | 69,055 | 70,924 | ||
Certificates of deposit | 245,639 | 225,383 | ||
Advances from FHLB short-term | 49,012 | 20,000 | ||
Advances from FHLB long-term | 14,888 | 30,222 | ||
Accrued interest payable | 177 | 1,403 | ||
Advances from borrowers for taxes and insurance | 2,513 | 1,748 | ||
Interest rate swap contracts | 202 | |||
Level 1 | ||||
Assets: | ||||
Cash and cash equivalents | 8,065 | 12,440 | ||
Certificates of deposit | 1,853 | 1,853 | ||
Investment and mortgage-backed securities available for sale | 99 | 42 | ||
Investment and mortgage-backed securities held to maturity | ||||
Loans receivable, net | ||||
Accrued interest receivable | 2,075 | 1,928 | ||
Federal Home Loan Bank stock | 2,970 | 2,463 | ||
Bank owned life insurance | 23,221 | 13,055 | ||
Interest rate swap contracts | ||||
Liabilities: | ||||
Checking accounts | 41,815 | 38,788 | ||
Money market deposit accounts | 53,510 | 55,552 | ||
Passbook, club and statement savings accounts | 69,055 | 70,924 | ||
Certificates of deposit | ||||
Advances from FHLB short-term | ||||
Advances from FHLB long-term | ||||
Accrued interest payable | 177 | 1,403 | ||
Advances from borrowers for taxes and insurance | 2,513 | 1,748 | ||
Interest rate swap contracts | ||||
Level 2 | ||||
Assets: | ||||
Cash and cash equivalents | ||||
Certificates of deposit | ||||
Investment and mortgage-backed securities available for sale | 132,537 | 138,652 | ||
Investment and mortgage-backed securities held to maturity | 43,038 | 40,700 | ||
Loans receivable, net | ||||
Accrued interest receivable | ||||
Federal Home Loan Bank stock | ||||
Bank owned life insurance | ||||
Interest rate swap contracts | 531 | |||
Liabilities: | ||||
Checking accounts | ||||
Money market deposit accounts | ||||
Passbook, club and statement savings accounts | ||||
Certificates of deposit | ||||
Advances from FHLB short-term | ||||
Advances from FHLB long-term | ||||
Accrued interest payable | ||||
Advances from borrowers for taxes and insurance | ||||
Interest rate swap contracts | 202 | |||
Level 3 | ||||
Assets: | ||||
Cash and cash equivalents | ||||
Certificates of deposit | ||||
Investment and mortgage-backed securities available for sale | ||||
Investment and mortgage-backed securities held to maturity | ||||
Loans receivable, net | 349,733 | 344,100 | ||
Accrued interest receivable | ||||
Federal Home Loan Bank stock | ||||
Bank owned life insurance | ||||
Interest rate swap contracts | ||||
Liabilities: | ||||
Checking accounts | ||||
Money market deposit accounts | ||||
Passbook, club and statement savings accounts | ||||
Certificates of deposit | 245,639 | 225,383 | ||
Advances from FHLB short-term | 49,012 | 20,000 | ||
Advances from FHLB long-term | 14,888 | 30,222 | ||
Accrued interest payable | ||||
Advances from borrowers for taxes and insurance | ||||
Interest rate swap contracts |
FAIR VALUE MEASUREMENT (Detail
FAIR VALUE MEASUREMENT (Detail Textuals) $ in Millions | Dec. 31, 2016USD ($) |
Level 2 | |
Financing Receivable, Impaired [Line Items] | |
Collateral dependent impaired loans, fair value | $ 19.1 |
SUBSEQUENT EVENTS - Pro Forma S
SUBSEQUENT EVENTS - Pro Forma Selected Balance Sheet Items (unaudited) (Details) - Polonia Bancorp - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and due from financial institutions | $ 32,829 | $ 17,925 |
Securities held-to-maturity | 44,741 | 100,531 |
Securities-available-for-sale | 200,571 | 129,987 |
Loans, net of allowance | 512,076 | 534,001 |
Premises and equipment, net | 5,120 | 5,822 |
LIABILITIES | ||
Total Deposits | 579,564 | 570,160 |
Federal Home Loan Bank advances | 120,800 | 90,889 |
STOCKHOLDERS' EQUITY | ||
Stockholders' Equity | $ 128,679 | $ 135,804 |
SUBSEQUENT EVENTS - Pro Forma C
SUBSEQUENT EVENTS - Pro Forma Condensed Income Statement (unaudited) (Details 1) - Polonia Bancorp - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | ||
Subsequent Event [Line Items] | |||
Total interest and dividend income | $ 6,696 | $ 6,429 | |
Total interest expense | 1,535 | 1,576 | |
Net interest income | 5,161 | 4,853 | |
Provision for loan losses | 185 | ||
Net interest income after provision for loan losses | 4,976 | 4,853 | |
Total noninterest income | 366 | 411 | |
Total noninterest expenses | 7,892 | [1] | 5,103 |
(Loss) income before income taxes | (2,550) | 161 | |
Income taxes (benefit) expense | (370) | 67 | |
Net (loss) income | $ (2,180) | $ 94 | |
Earnings per common share, basic | $ (0.25) | $ 0.01 | |
Earnings per common share, diluted | $ (0.24) | $ 0.01 | |
Basic shares outstanding | 8,607,728 | 8,899,347 | |
Diluted share outstanding | 8,928,473 | 9,058,253 | |
[1] | Approximately $1.3 million was attributed to one-time merger related costs, for legal and professional fees, for the three months ended December 31, 2016. |
SUBSEQUENT EVENTS (Detail Textu
SUBSEQUENT EVENTS (Detail Textuals) $ / shares in Units, $ in Thousands | Jan. 03, 2017USD ($)BranchEntity$ / sharesshares | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Subsequent Event [Line Items] | |||
One time merger related costs | $ 1,300 | ||
Polonia Bancorp | |||
Subsequent Event [Line Items] | |||
Amount of loan in buiness aquisition | 120,800 | $ 90,889 | |
Total deposit in business combination | $ 579,564 | $ 570,160 | |
Subsequent Event | Merger Agreement | Polonia Bancorp | |||
Subsequent Event [Line Items] | |||
Share price | $ / shares | $ 11.09 | ||
Exchange Ratio | 0.7460 | ||
Percentage stock consideration in business aquisition | 50.00% | ||
Percentage cash consideration in business aquisition | 50.00% | ||
Number of shares issued in business combination | shares | 1,274,200 | ||
Value of stock issued in merger | $ 18,900 | ||
Assets acquired in merger | 838,900 | ||
Amount of loan in buiness aquisition | 508,800 | ||
Total deposit in business combination | $ 563,700 | ||
Number of Businesses Acquired | Entity | 2 | ||
Number of branches used to deposit cash of business transaction | Branch | 11 |