Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2016 | Aug. 12, 2016 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | MELR | |
Entity Registrant Name | MELROSE BANCORP, INC. | |
Entity Central Index Key | 1,600,890 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 2,618,279 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Statement of Financial Position [Abstract] | ||
Cash and due from banks | $ 17,682 | $ 11,934 |
Money market funds | 4,882 | 1,605 |
Federal funds sold | 3,040 | 3,315 |
Cash and cash equivalents | 25,604 | 16,854 |
Investments in available-for-sale securities (at fair value) | 35,028 | 45,143 |
Federal Home Loan Bank stock, at cost | 514 | 437 |
Loans, net of allowance for loan losses of $742 at June 30, 2016 and $580 at December 31, 2015 | 187,671 | 160,303 |
Premises and equipment, net | 1,225 | 1,226 |
Co-operative Central Bank deposit | 881 | 881 |
Bank-owned life insurance | 5,302 | 5,230 |
Accrued interest receivable | 524 | 440 |
Other assets | 257 | 195 |
Total assets | 257,006 | 230,709 |
Deposits: | ||
Noninterest-bearing | 16,139 | 13,400 |
Interest-bearing | 196,998 | 171,127 |
Total deposits | 213,137 | 184,527 |
Deferred tax liability, net | 178 | 78 |
Other liabilities | 472 | 559 |
Total liabilities | 213,787 | 185,164 |
Stockholders' equity: | ||
Common stock, par value $0.01 per share, authorized 15,000,000 shares; issued 2,623,279 shares at June 30, 2016 and 2,787,579 shares at December 31, 2015 | 26 | 28 |
Additional paid-in-capital | 23,512 | 25,994 |
Retained earnings | 20,958 | 20,490 |
Unearned compensation - ESOP (207,501 shares unallocated at June 30, 2016 and 211,274 at December 31, 2015) | (2,075) | (2,113) |
Unearned Compensation - Restricted Stock (44,300 shares non-vested at June 30, 2016) | (645) | |
Accumulated other comprehensive income | 1,443 | 1,146 |
Total stockholders' equity | 43,219 | 45,545 |
Total liabilities and stockholders' equity | $ 257,006 | $ 230,709 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Allowance for loan losses | $ 742 | $ 580 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 15,000,000 | 15,000,000 |
Common stock, shares issued | 2,623,279 | 2,787,579 |
ESOP number of shares unallocated | 207,501 | 211,274 |
Restricted Stock [Member] | ||
Number of shares nonvested | 44,300 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Interest and dividend income: | ||||
Interest and fees on loans | $ 1,563 | $ 1,194 | $ 3,017 | $ 2,357 |
Interest and dividends on securities: | ||||
Taxable | 193 | 198 | 424 | 399 |
Tax-exempt | 15 | 8 | 29 | 13 |
Other interest | 16 | 12 | 29 | 20 |
Total interest and dividend income | 1,787 | 1,412 | 3,499 | 2,789 |
Interest expense: | ||||
Interest on deposits | 396 | 318 | 757 | 617 |
Total interest expense | 396 | 318 | 757 | 617 |
Net interest and dividend income | 1,391 | 1,094 | 2,742 | 2,172 |
Provision for loan losses | 103 | 9 | 162 | 9 |
Net interest and dividend income after provision for loan losses | 1,288 | 1,085 | 2,580 | 2,163 |
Noninterest income: | ||||
Fees and service charges | 17 | 24 | 36 | 44 |
Gain on sales of securities, net | 293 | 407 | 293 | 409 |
Writedown of securities | (377) | (377) | ||
Income on bank-owned life insurance | 24 | 22 | 45 | 42 |
Other income | 2 | 3 | 7 | 5 |
Total noninterest income | 336 | 79 | 381 | 123 |
Noninterest expense: | ||||
Salaries and employee benefits | 687 | 573 | 1,363 | 1,160 |
Occupancy expense | 76 | 80 | 148 | 158 |
Equipment expense | 9 | 11 | 18 | 23 |
Data processing expense | 90 | 74 | 172 | 151 |
Advertising expense | 38 | 32 | 78 | 60 |
Printing and supplies | 11 | 23 | 19 | 29 |
FDIC assessment | 30 | 28 | 55 | 57 |
Audits and examinations | 48 | 47 | 96 | 89 |
Other professional services | 187 | 30 | 243 | 57 |
Other expense | 36 | 29 | 75 | 57 |
Total noninterest expense | 1,212 | 927 | 2,267 | 1,841 |
Income before income tax expense | 412 | 237 | 694 | 445 |
Income tax expense | 138 | 88 | 226 | 147 |
Net income | $ 274 | $ 149 | $ 468 | $ 298 |
Weighted average common shares outstanding: | ||||
Basic | 2,457,190 | 2,610,759 | 2,492,613 | 2,610,759 |
Diluted | 2,458,020 | 2,610,759 | 2,493,028 | 2,610,759 |
Earnings per share: | ||||
Basic | $ 0.11 | $ 0.06 | $ 0.19 | $ 0.11 |
Diluted | $ 0.11 | $ 0.06 | $ 0.19 | $ 0.11 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 274 | $ 149 | $ 468 | $ 298 |
Other comprehensive income (loss), net of tax: | ||||
Net unrealized holding gain (loss) on available-for-sale securities | 322 | (295) | 690 | (65) |
Reclassification adjustment for net realized gain in net income | (293) | (30) | (293) | (32) |
Other comprehensive income (loss) before income tax effect | 29 | (325) | 397 | (97) |
Income tax benefit (expense) | 20 | 127 | (100) | 43 |
Other comprehensive income (loss), net of tax | 49 | (198) | 297 | (54) |
Comprehensive income (loss) | $ 323 | $ (49) | $ 765 | $ 244 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Unearned Compensation - ESOP [Member] | Unearned Compensation - RSA [Member] | Accumulated Other Comprehensive Income [Member] |
Beginning balance at Dec. 31, 2014 | $ 45,463 | $ 28 | $ 26,575 | $ 19,832 | $ (2,188) | $ 1,216 | |
Beginning balance, shares at Dec. 31, 2014 | 2,829,579 | ||||||
Net income | 298 | 298 | |||||
Other comprehensive income (loss), net of tax | (54) | (54) | |||||
Common stock held by ESOP committed to be allocated (7,546 shares annually) | 53 | 15 | 38 | ||||
Ending balance at Jun. 30, 2015 | 45,760 | $ 28 | 26,590 | 20,130 | (2,150) | 1,162 | |
Ending balance, shares at Jun. 30, 2015 | 2,829,579 | ||||||
Beginning balance at Dec. 31, 2014 | $ 45,463 | $ 28 | 26,575 | 19,832 | (2,188) | 1,216 | |
Beginning balance, shares at Dec. 31, 2014 | 2,829,579 | ||||||
Buyback of common stock, shares | (42,000) | ||||||
Ending balance at Dec. 31, 2015 | $ 45,545 | $ 28 | 25,994 | 20,490 | (2,113) | 1,146 | |
Ending balance, shares at Dec. 31, 2015 | 2,787,579 | ||||||
Net income | 468 | 468 | |||||
Other comprehensive income (loss), net of tax | 297 | 297 | |||||
Restricted stock awarded, value | 670 | $ (670) | |||||
Restricted stock awarded, shares | 44,300 | ||||||
Restricted stock award expense | 25 | 25 | |||||
Stock option expense | 21 | 21 | |||||
Buyback of common stock | $ (3,194) | $ (2) | (3,192) | ||||
Buyback of common stock, shares | (208,600) | (208,600) | |||||
Common stock held by ESOP committed to be allocated (7,546 shares annually) | $ 57 | 19 | 38 | ||||
Ending balance at Jun. 30, 2016 | $ 43,219 | $ 26 | $ 23,512 | $ 20,958 | $ (2,075) | $ (645) | $ 1,443 |
Ending balance, shares at Jun. 30, 2016 | 2,623,279 |
Consolidated Statements of Cha7
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - shares | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Statement of Stockholders' Equity [Abstract] | ||
Common stock held by ESOP committed to be allocated, shares | 7,546 | 7,546 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Cash flows from operating activities: | ||
Net income | $ 468 | $ 298 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of securities, net of accretion | 25 | 14 |
Gain on sales of available for sale securities, net | (293) | (409) |
Writedown of available for sale securities | 377 | |
Provision for loan losses | 162 | 9 |
Change in net deferred loan costs/fees | 26 | 4 |
Depreciation and amortization | 42 | 47 |
Increase in accrued interest receivable | (84) | (32) |
Increase in other assets | (62) | (14) |
Decrease in accrued expenses and other liabilities | (87) | (118) |
Deferred tax expense | 2 | |
Income on bank-owned life insurance | (45) | (42) |
ESOP expense | 57 | 53 |
Stock-based compensation expense | 46 | |
Net cash provided by operating activities | 255 | 189 |
Cash flows from investing activities: | ||
Purchases of available-for-sale securities | (2,638) | (9,091) |
Proceeds from sales of available-for-sale securities | 7,864 | 1,898 |
Proceeds from maturities and calls of available-for-sale securities | 5,554 | 3,296 |
Purchase of Federal Home Loan Bank stock | (77) | |
Loan originations and principal collections, net | (14,624) | (6,956) |
Loans purchased | (12,932) | |
Capital expenditures | (41) | (10) |
Premiums paid on bank-owned life insurance | (27) | (27) |
Net cash used in investing activities | (16,921) | (10,890) |
Cash flows from financing activities: | ||
Net increase (decrease) in demand deposits, NOW and savings accounts | 3,372 | (2,699) |
Net increase in time deposits | 25,238 | 7,127 |
Repurchase of Melrose Bancorp, Inc. Common Stock | (3,194) | |
Net cash provided by financing activities | 25,416 | 4,428 |
Net increase (decrease) in cash and cash equivalents | 8,750 | (6,273) |
Cash and cash equivalents at beginning of period | 16,854 | 29,491 |
Cash and cash equivalents at end of period | 25,604 | 23,218 |
Supplemental disclosures: | ||
Interest paid | 757 | 617 |
Income taxes paid | $ 254 | $ 177 |
Nature of Operations
Nature of Operations | 6 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations | NOTE 1 - NATURE OF OPERATIONS Melrose Bancorp, Inc. (the “Company”) was incorporated in February 2014 under the laws of State of Maryland. The Company’s activity consists of owning and supervising its subsidiary, Melrose Cooperative Bank (the “Bank”). The Bank provides financial services to individuals, families and businesses through our full-service banking office. Our primary business activity consists of taking deposits from the general public in our market area and investing those deposits, together with funds generated from operations, in one- to four-family residential real estate loans, home equity loans and lines of credit, commercial real estate loans, and to a much lesser extent consumer loans. The Bank is a Massachusetts-chartered cooperative bank headquartered in Melrose, Massachusetts. The Bank is subject to the regulations of, and periodic examination by, the Massachusetts Division of Banks (“DOB”) and the Federal Deposit Insurance Corporation (“FDIC”). The Bank’s deposits are insured by the FDIC. The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited interim consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and Rule 10-01 of Regulation S-X. Information included herein as of June 30, 2016 and for the interim periods ended June 30, 2016 and 2015 is unaudited; however, in the opinion of management, all adjustments considered necessary for a fair presentation have been included and were of a normal recurring nature. These statements should be read in conjunction with the audited consolidated financial statements and related notes thereto included in the Company’s Form 10-K for the year ended December 31, 2015 filed with the Securities and Exchange Commission on March 30, 2016. The results of operations for the three and six months ended June 30, 2016 are not necessarily indicative of the results that may be expected for future periods, including year ended December 31, 2016. The significant accounting policies are summarized below to assist the reader in better understanding the consolidated financial statements and other data contained herein. BASIS OF PRESENTATION: The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary the Bank, and the Bank’s wholly-owned subsidiary, MCBSC, Inc., which is used to hold investment securities. All significant intercompany accounts and transactions have been eliminated in the consolidation. USE OF ESTIMATES: In preparing consolidated financial statements in conformity with U.S. generally accepted accounting principles, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated balance sheet and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, impairment of securities and deferred income taxes. CASH AND CASH EQUIVALENTS: As of June 30, 2016 (unaudited), the Company has total cash and cash equivalents in the following banks: Eastern Bank $6,210,000 which represents approximately 14.4% of total stockholders’ equity State Street Bank $2,992,000, which represents approximately 6.9% of total stockholders’ equity As of December 31, 2015, the Company has total cash and cash equivalents in the following banks: Eastern Bank $6,414,000, which represents approximately 14.0% of total stockholders’ equity State Street Bank $2,993,000, which represents approximately 6.6% of total stockholders’ equity EARNINGS PER SHARE (EPS): Basic EPS is calculated by dividing net income by the weighted average number of common shares outstanding adjusted to exclude the weighted average number of unallocated shares held by the ESOP. Diluted EPS, reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in earnings of the entity. For the purposes of computing diluted EPS, the treasury stock method is used. The calculation of basic and diluted EPS (unaudited) is presented below. Three Months Three Months Six Months Six Months (In Thousands, except share data) Net income $ 274 $ 149 $ 468 $ 298 Basic Common Shares: Weighted average common shares outstanding 2,665,635 2,829,579 2,702,001 2,829,579 Weighted average unallocated ESOP shares (208,445 ) (218,820 ) (209,388 ) (218,820 ) Basic weighted average shares outstanding 2,457,190 2,610,759 2,492,613 2,610,759 Dilutive effect of unvested restricted stock awards 830 — 415 — Diluted weighted average shares outstanding 2,458,020 2,610,759 2,493,028 2,610,759 Basic earnings per share $ 0.11 $ 0.06 $ 0.19 $ 0.11 Diluted earnings per share (1) $ 0.11 $ 0.06 $ 0.19 $ 0.11 (1) Options to purchase 224,200 shares, representing all outstanding options, were not included in the computation of diluted earnings per share for the three and six months ended June 30, 2016 because the effect is anti-dilutive. FAIR VALUES OF FINANCIAL INSTRUMENTS: Accounting Standards Codification (ASC) 825, “Financial Instruments,” requires that the Company disclose the estimated fair value for its financial instruments. Fair value methods and assumptions used by the Company in estimating its fair value disclosures are as follows: Cash and cash equivalents: The carrying amounts reported in the consolidated balance sheets for cash and cash equivalents approximate fair value. Securities: Fair values for securities are based on quoted market prices, where available. If quoted market prices are not available, fair values are based on quoted market prices of comparable instruments. Loans held-for-sale: Fair values of loans held-for-sale are based on commitments on hand from investors or prevailing market prices. Loans receivable: For variable-rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. The fair values for other loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. Accrued interest receivable: The carrying amount of accrued interest receivable approximates fair value. Deposit liabilities: The fair values disclosed for demand deposits (e.g., interest and non-interest checking, passbook savings and money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amounts). Fair values for fixed-rate certificate accounts are estimated using a discounted cash flow calculation that applies interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities on certificate accounts. Off-balance sheet instruments: The fair value of commitments to originate loans is estimated using the fees currently charged to enter similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed-rate loan commitments and the unadvanced portion of loans, fair value also considers the difference between current levels of interest rates and the committed rates. RECENT ACCOUNTING PRONOUNCEMENTS: As an “emerging growth company,” as defined in Title 1 of Jumpstart Our Business Startups (JOBS) Act, the Company has elected to use the extended transition period to delay adoption of new or reissued accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. Accordingly, the consolidated financial statements may not be comparable to the financial statements of public companies that comply with such new or revised accounting standards. As of June 30, 2016, there is no significant difference in the comparability of the financial statements as a result of this extended transition period. In January 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” The amendments in this ASU address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments and makes targeted improvements to GAAP as follows: 1. Require equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income. However, the entity may choose to measure equity investments that do not have readily determinable fair values at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same manner. 2. Simplify the impairment assessment of equity investments without determinable fair values by requiring a qualitative assessment to identify impairment. When a qualitative assessment indicates that impairment exists, an entity is required to measure the investment at fair value. 3. Eliminate the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet. 4. Require public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes. 5. Require an entity to present separately in other comprehensive income the portion of the total change in fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. 6. Require separate presentation of financial assets and financial liabilities by measurement category and form of financial assets (that is, securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements. 7. Clarify that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. Under the extended transition period for an emerging growth company, the amendments in this Update are effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption of item 5 above is permitted as of the beginning of fiscal years or interim periods for which financial statements have not been issued. Early adoption of all other amendments in this ASU is not permitted. The Company anticipates that the adoption of this ASU will not have a material impact on its consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” This ASU was issued to increase transparency and comparability among organizations by requiring reporting entities to recognize all leases, including operating, as lease assets and lease liabilities on the balance sheet and disclose key information about leasing arrangements. Under the extended transition period for an emerging growth company, the amendments in this ASU are effective for fiscal years beginning after December 31, 2019, and interim periods within fiscal years being after December 15, 2020. The Company anticipates that the adoption of this ASU will not have a material impact on its consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-09, “Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” This ASU includes provisions intended to simplify various aspects related to how share-based payments are accounted for and presented in the financial statements. Some of the key provisions of this new ASU include: (1) companies will no longer record excess tax benefits and certain tax deficiencies in additional paid-in-capital (“APIC”). Instead, they will record all excess tax benefits and tax deficiencies as income tax expense or benefit in the income statement, and APIC pools will be eliminated. The guidance also eliminates the requirement that excess tax benefits be realized before companies can recognize them. In addition, the guidance requires companies to present excess tax benefits as an operating activity on the statement of cash flows rather than as a financing activity; (2) increase the amount an employer can withhold to cover income taxes on awards and still qualify for the exception to liability classification for shares used to satisfy the employer’s statutory income tax withholding obligation. The new guidance will also require an employer to classify the cash paid to a tax authority when shares are withheld to satisfy its statutory income tax withholding obligation as a financing activity on its statement of cash flows (current guidance did not specify how these cash flows should be classified); and (3) permit companies to make an accounting policy election for the impact of forfeitures on the recognition of expense for share-based payment awards. Forfeitures can be estimated, as required today, or recognized when they occur. Under the extended transition period for an emerging growth company, ASU No. 2016-09 is effective for annual reporting periods beginning after December 15, 2017 and interim periods within annual periods beginning after December 31, 2018. Early adoption is permitted, but all of the guidance must be adopted in the same period. The Company is currently evaluating the provisions of ASU No. 2016-09 to determine the potential impact the new standard will have on the Company’s consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. The ASU requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Organizations will continue to use judgement to determine which loss estimation method is appropriate for their circumstances. Additionally, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. Under the extended transition period for an emerging growth company, this update will be effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption in permitted in interim and annual reporting periods beginning after December 15, 2018. The Company is currently evaluating the amendments of ASU No. 2016-13 to determine the potential impact the new standard will have on the Company’s consolidated financial statements. |
Investments in Available-For-Sa
Investments in Available-For-Sale Securities | 6 Months Ended |
Jun. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Available-For-Sale Securities | NOTE 3 - INVESTMENTS IN AVAILABLE-FOR-SALE SECURITIES Debt and equity securities have been classified in the consolidated balance sheets according to management’s intent. The amortized cost basis of securities and their approximate fair values are as follows: Amortized Gross Gross Fair Value (In Thousands) June 30, 2016: (unaudited) U.S. Government and federal agency obligations $ 6,623 $ 27 $ 37 $ 6,613 Debt securities issued by states of the United States and political subdivisions of the states 2,399 102 7 2,494 Corporate bonds and notes 13,039 115 — 13,154 Preferred stock 3,000 136 — 3,136 Mortgage-backed securities 1,889 1 54 1,836 Marketable equity securities 5,752 2,043 — 7,795 $ 32,702 $ 2,424 $ 98 $ 35,028 December 31, 2015: U.S. Government and federal agency obligations $ 8,851 $ 7 $ 88 $ 8,770 Debt securities issued by states of the United States and political subdivisions of the states 2,408 8 18 2,398 Corporate bonds and notes 13,540 12 44 13,508 Preferred stock 3,000 31 2 3,029 Mortgage-backed securities 2,232 — 66 2,166 Marketable equity securities 13,183 2,125 36 15,272 $ 43,214 $ 2,183 $ 254 $ 45,143 The scheduled maturities of debt securities were as follows as of June 30, 2016 (unaudited): Fair (In Thousands) Due within one year $ 3,753 Due after one year through five years 13,936 Due after five years through ten years 1,776 Due after ten years 3,202 Mortgage-backed securities 1,836 Asset-backed securities 1,692 $ 26,195 Not included in the maturity table above is preferred stock with no stated maturity of $1,038,000 at June 30, 2016 (unaudited). There were no securities of issuers whose aggregate carrying amount exceeded 10% of stockholders’ equity as of June 30, 2016 (unaudited) and December 31, 2015. During the three and six months ended June 30, 2016 (unaudited) proceeds from the sales of available-for-sale securities were $7,864,000 and gross realized gains on these sales amounted to $293,000. The tax expense on the realized gains during the three and six months ended June 30, 2016 was $96,000. During the three and six months ended June 30, 2015, proceeds from the sale of available-for-sale securities amounted to $864,000 and $1.9 million, respectively. The gross realized gains on these sales amounted to $1,000 and $489,000 and the gross realized losses were $0 and $80,000, respectively. The tax expense applicable to these net realized gains amounted to less than $1,000 and $164,000, respectively. The Company had no pledged securities as of June 30, 2016 (unaudited) and December 31, 2015. The aggregate fair value and unrealized losses of securities that have been in a continuous unrealized loss position for less than twelve months and for twelve months or more, and are not other-than-temporarily impaired, are as follows: Less than 12 months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In Thousands) June 30, 2016 (unaudited) U.S. government and federal agency obligations $ — $ — $ 1,543 $ 37 $ 1,543 $ 37 Debt securities issued by states of the United States and political subdivisions of the states — — 251 7 251 7 Mortgage-backed securities — — 1,422 54 1,422 54 Total temporarily impaired securities $ — $ — $ 3,216 $ 98 $ 3,216 $ 98 December 31, 2015 U.S. government and federal agency obligations $ 5,366 $ 59 $ 1,403 $ 29 $ 6,769 $ 88 Debt securities issued by states of the United States and political subdivisions of the states 1,176 9 505 9 1,681 18 Corporate bonds and notes 9,012 38 993 6 10,005 44 Preferred stock 998 2 — — 998 2 Mortgage-backed securities 1,608 40 558 26 2,166 66 Marketable equity securities 5,160 36 — — 5,160 36 Total temporarily impaired securities $ 23,320 $ 184 $ 3,459 $ 70 $ 26,779 $ 254 The Company conducts periodic reviews of investment securities with unrealized losses to evaluate whether the impairment is other-than-temporary. The Company’s review for impairment generally includes a determination of the cause, severity and duration of the impairment; and an analysis of both positive and negative evidence available. The Company also determines if it has the ability and intent to hold the investment for a period of time sufficient to allow for anticipated recovery to cost basis. In regard to corporate debt, the Company also considers the issuer’s current financial condition and its ability to make future scheduled interest and principal payments on a timely basis in assessing other-than-temporary impairment. During the six months ended June 30, 2016, the Company had no write downs of securities. During the six months ended 2015, there were five marketable equity securities that were declared other-than-temporarily impaired for which an impairment loss of $377,000 was recognized. A summary of the Company’s reviews of investment securities deemed to be temporarily impaired is as follows: Unrealized losses on U.S. Government and federal agency obligations amounted to $37,000 and consisted of four securities. The unrealized losses on all but one of these debt securities were individually less than 2.0% of amortized cost basis, with one U.S. government and federal agency obligation at 3.3%. Unrealized losses on municipal bonds amounted to $7,000 and consisted of one security. The unrealized loss on this debt security was 2.8% of amortized cost basis. The unrealized losses were primarily due to changes in interest rates. Unrealized losses on mortgage-backed securities amounted to $54,000 and consisted of three securities. The unrealized losses on these debt securities were 2.2%, 4.4%, and 5.6% of amortized cost basis, respectively. The unrealized losses were primarily due to changes in interest rates. |
Loans
Loans | 6 Months Ended |
Jun. 30, 2016 | |
Receivables [Abstract] | |
Loans | NOTE 4 - LOANS Loans consisted of the following at: June 30, December 31, 2016 2015 (In Thousands) (unaudited) Real estate loans: One-to four-family residential $ 146,278 $ 132,237 Home equity loans and lines of credit 10,868 10,862 Commercial 19,045 13,251 Construction 12,047 4,303 Consumer loans 92 121 Total loans 188,330 160,774 Allowance for loan losses (742 ) (580 ) Deferred loan costs, net 83 109 Net loans $ 187,671 $ 160,303 The following tables set forth information on the allowance for loan losses at and for the six months ended June 30, 2016 and 2015, and at December 31, 2015: Real Estate: One- to four- Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) Six Months Ended June 30, 2016 (unaudited) Allowance for loan losses: Beginning balance $ 331 $ 49 $ 150 $ 40 $ 1 $ 9 $ 580 Charge offs — — — — — — — Recoveries — — — — — — — Provision (benefit) 35 — 102 28 — (3 ) 162 Ending balance $ 366 $ 49 $ 252 $ 68 $ 1 $ 6 $ 742 At June 30, 2016 (unaudited) Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 366 49 252 68 1 6 742 Total allowance for loan losses ending balance $ 366 $ 49 $ 252 $ 68 $ 1 $ 6 $ 742 Loans: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 146,278 10,868 19,045 12,047 92 — 188,330 Total loans ending balance $ 146,278 $ 10,868 $ 19,045 $ 12,047 $ 92 $ — $ 188,330 Real Estate: One- to four- Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) Six months ended June 30, 2015 (unaudited) Allowance for loan losses: Beginning balance $ 414 $ 58 $ 25 $ 21 $ 1 $ 1 $ 520 Charge offs — — — — — — — Recoveries — — — — — — — (Benefit) Provision (30 ) — 32 7 — — 9 Ending balance $ 384 $ 58 $ 57 $ 28 $ 1 $ 1 $ 529 At June 30, 2015 (unaudited) Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 384 58 57 28 1 1 529 Total allowance for loan losses ending balance $ 384 $ 58 $ 57 $ 28 $ 1 $ 1 $ 529 Loans: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 120,473 10,864 5,730 4,090 149 — 141,306 Total loans ending balance $ 120,473 $ 10,864 $ 5,730 $ 4,090 $ 149 $ — $ 141,306 Real Estate: One- to four- Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) December 31, 2015 Allowance for loan losses: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 331 49 150 40 1 9 580 Total allowance for loan losses ending balance $ 331 $ 49 $ 150 $ 40 $ 1 $ 9 $ 580 Loans: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 132,237 10,862 13,251 4,303 121 — 160,774 Total loans ending balance $ 132,237 $ 10,862 $ 13,251 $ 4,303 $ 121 $ — $ 160,774 The following tables set forth information regarding nonaccrual loans and past-due loans: 30 - 59 60 - 89 90 Days or Total Past Total Total 90 Days or More Non- (In Thousands) At June 30, 2016 (unaudited) Real estate loans: One-to four-family residential $ 331 $ 195 $ 339 $ 865 $ 145,413 $ 146,278 $ — $ 339 Home equity loans and lines of credit — — — — 10,868 10,868 — — Commercial — — — — 19,045 19,045 — — Construction — — — — 12,047 12,047 — — Consumer loans — — — — 92 92 — — Total $ 331 $ 195 $ 339 $ 865 $ 187,465 $ 188,330 $ — $ 339 At December 31, 2015 Real estate loans: One-to four-family residential $ 600 $ — $ 68 $ 668 $ 131,569 $ 132,237 $ — $ 68 Home equity loans and lines of credit — — 197 197 10,665 10,862 — 197 Commercial — — — — 13,251 13,251 — — Construction — — — — 4,303 4,303 — — Consumer loans — — — — 121 121 — — Total $ 600 $ — $ 265 $ 865 $ 159,909 $ 160,774 $ — $ 265 As of and during the six months ended June 30, 2016 and 2015 (unaudited) there were no loans that met the definition of an impaired loan in ASC 310-10-35. During the six months ended June 30, 2016 and 2015 (unaudited) there were no loans modified that met the definition of a troubled debt restructured loan in ASC 310-10-50. As of June 30, 2016 (unaudited) there is one consumer mortgage loan with a recorded balance of $325,000 in the process of foreclosure. Credit Quality Information In early 2016, the Company implemented a new ten point internal loan rating system for commercial real estate, construction and commercial loans. For, residential real estate and consumer loans, the Company initially assesses credit quality based upon the borrower’s ability to pay and subsequently monitors these loans based on the borrower’s ability to pay. The new risk rating system will assist the Company in better understanding the risk inherent in each loan. The new loan ratings are as follows: Loans rated 1: Secured by cash collateral or highly liquid diversified marketable securities. Loans rated 2 – 3: Strongest quality loans in the portfolio not secured by cash. Defined by consistent, solid profits, strong cash flow and are well secured. Very little vulnerability to changing economic conditions and compare favorably to their industry. Loans rated 4 – 5: These loans are pass rated. Borrower will show average to strong cash flow, strong to adequate collateral coverage, and will have a generally sound balance sheet. Inclusive in the 5 rating are all open and closed – end residential and retail loans which are paying as agreed. Loans rated 6: Possess above average risk but still considered pass. Generally this rating is reserved for projects currently under construction or borrowers with modest cash flow, although still meeting all loan covenants. Loans rated 6W: Contain all the risks of a 6 rated credit but have an inherent weakness that requires close monitoring. This rating also generally includes open and closed-end residential and retail loans which are greater than 30 days past due but display no other inherent weakness. Loans rated 7: Potential weaknesses which warrant management’s close attention. If weaknesses are uncorrected, repayment prospects may be weakened. This is typically a transitional rating. Loans rated 8: Considered substandard. There is a likelihood of loss if the deficiencies are not corrected. Generally, open and closed – end retail loans, as well as automotive and other consumer loans past 90 cumulative days from the contractual due date should be classified as an 8. Loans rated 9: Borrower has a pronounced weakness and all current information indicates collection or liquidation of all debts in full is improbable and highly questionable. Loans rated 10: Uncollectable and a loss will be taken. Open and closed – end loans secured by residential real estate that are beyond 180 days past due will be assessed for value and any outstanding loan balance in excess of said value, less cost to sell, will be classified as a 10. On an annual basis, or more often if needed, the Company formally reviews the ratings on all commercial real estate and construction loans. As of June 30, 2016 (unaudited), one- to four- family residential real estate loans with balances totaling $292,000 had a risk rating of “8 - substandard” and all other loans outstanding had a risk rating of “1 to 6 - pass.” As of December 31, 2015, one- to four- family residential real estate loans with balances totaling $366,000 and home equity lines of credit totaling $197,000 had a risk rating of “8 - substandard” and all other loans outstanding had a risk rating of “1 to 6 - pass.” |
Premises and Equipment
Premises and Equipment | 6 Months Ended |
Jun. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | NOTE 5 - PREMISES AND EQUIPMENT The following is a summary of premises and equipment: June 30, December 31, 2016 2015 (In Thousands) (unaudited) Land $ 393 $ 393 Building and improvements 1,817 1,817 Furniture and equipment 549 514 Data processing equipment 260 254 3,019 2,978 Accumulated depreciation (1,794 ) (1,752 ) $ 1,225 $ 1,226 |
Deposits
Deposits | 6 Months Ended |
Jun. 30, 2016 | |
Banking and Thrift [Abstract] | |
Deposits | NOTE 6 - DEPOSITS The aggregate amount of time deposit amounts in denominations that meet or exceed the Federal Deposit Insurance Corporation (FDIC) insurance limit of $250,000 as of June 30, 2016 (unaudited) and December 31, 2015 amounted to $24,052,000 and $16,876,000, respectively. For time deposits as of June 30, 2016 (unaudited) the scheduled maturities for each of the following years ended June 30 are as follows: (In Thousands) 2017 $ 78,202 2018 28,586 2019 3,724 2020 859 2021 1,202 $ 112,573 Deposits from related parties held by the Bank as of June 30, 2016 (unaudited) and December 31, 2015 amounted to $3,494,000 and $4,030,000, respectively. |
Borrowed Funds
Borrowed Funds | 6 Months Ended |
Jun. 30, 2016 | |
Brokers and Dealers [Abstract] | |
Borrowed Funds | NOTE 7 - BORROWED FUNDS The Company is permitted to borrow from the Federal Home Loan Bank of Boston under certain conditions. Any such borrowings would be required to be fully secured by pledges of collateral satisfactory to the Federal Home Loan Bank of Boston. In addition, the Company has the ability to borrow from the Co-operative Central Bank. |
Financial Instruments
Financial Instruments | 6 Months Ended |
Jun. 30, 2016 | |
Investments, All Other Investments [Abstract] | |
Financial Instruments | NOTE 8 - FINANCIAL INSTRUMENTS The Company is party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to originate loans and unadvanced funds on loans. The instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the balance sheets. The contract amounts of those instruments reflect the extent of involvement the Company has in particular classes of financial instruments. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for loan commitments is represented by the contractual amounts of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. Commitments to originate loans are agreements to lend to a customer provided there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the borrower. Collateral held varies, but may include secured interests in mortgages, accounts receivable, inventory, property, plant and equipment and income-producing properties. Notional amounts of financial instrument liabilities with off-balance sheet credit risk are as follows: June 30, December 31, 2016 2015 (In Thousands) (unaudited) Commitments to originate loans $ 2,734 $ 5,214 Unused lines of credit 12,916 11,986 Due to borrowers on unadvanced construction loans 5,760 1,796 $ 21,410 $ 18,996 |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | NOTE 9 - FAIR VALUE MEASUREMENTS ASC 820-10, “Fair Value Measurements and Disclosures,” provides a framework for measuring fair value under generally accepted accounting principles. This guidance also allows an entity the irrevocable option to elect fair value for the initial and subsequent measurement for certain financial assets and liabilities on a contract-by-contract basis. In accordance with ASC 820-10, the Company groups its financial assets and financial liabilities measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Level 1 - Valuations for assets and liabilities traded in active exchange markets, such as the New York Stock Exchange. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities. Level 2 - Valuations for assets and liabilities traded in less active dealer or broker markets. Valuations are obtained from third party pricing services for identical or comparable assets or liabilities. Level 3 - Valuations for assets and liabilities that are derived from other methodologies, including option pricing models, discounted cash flow models and similar techniques, are not based on market exchange, dealer, or broker traded transactions. Level 3 valuations incorporate certain assumptions and projections in determining the fair value assigned to such assets and liabilities. A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. These valuation methodologies were applied to all of the Company’s financial assets and financial liabilities carried at fair value for June 30, 2016 (unaudited) and December 31, 2015. The Company did not have any significant transfers of assets between levels 1 and 2 of the fair value hierarchy during the six months ended June 30, 2016 (unaudited) and the year ended December 31, 2015. The Company’s investments in preferred stock and marketable equity securities are generally classified within level 1 of the fair value hierarchy because they are valued using quoted market prices. The Company’s investment in debt securities available-for-sale is generally classified within level 2 of the fair value hierarchy. For these securities, we obtain fair value measurements from independent pricing services. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. treasury yield curve, trading levels, market consensus prepayment speeds, credit information and the instrument’s terms and conditions. Level 3 is for positions that are not traded in active markets or are subject to transfer restrictions, valuations are adjusted to reflect illiquidity and/or non-transferability, and such adjustments are generally based on available market evidence. In the absence of such evidence, management’s best estimate is used. Subsequent to inception, management only changes level 3 inputs and assumptions when corroborated by evidence such as transactions in similar instruments, completed or pending third-party transactions in the underlying investment or comparable entities, subsequent rounds of financing, recapitalization and other transactions across the capital structure, offerings in the equity or debt markets, and changes in financial ratios or cash flows. The following summarizes assets measured at fair value on a recurring basis: Fair Value Measurements at Reporting Date Using: Total Quoted Prices in Significant Significant (In Thousands) June 30, 2016 (unaudited): U.S. Government and federal agency obligations $ 6,613 $ — $ 6,613 $ — Debt securities issued by states of the United States and political subdivisions of the states 2,494 — 2,494 — Corporate bonds and notes 13,154 — 13,154 — Preferred stock 3,136 3,136 — — Mortgage-backed securities 1,836 — 1,836 — Marketable equity securities 7,795 7,795 — — Totals $ 35,028 $ 10,931 $ 24,097 $ — December 31, 2015: U.S. Government and federal agency obligations $ 8,770 $ — $ 8,770 $ — Debt securities issued by states of the United States and political subdivisions of the states 2,398 — 2,398 — Corporate bonds and notes 13,508 — 13,508 — Preferred stock 3,029 3,029 — — Mortgage-backed securities 2,166 — 2,166 — Marketable equity securities 15,272 15,272 — — Totals $ 45,143 $ 18,301 $ 26,842 $ — Under certain circumstances the Company makes adjustments to fair value for its assets and liabilities although they are not measured at fair value on a recurring basis. At June 30, 2016 (unaudited) and December 31, 2015, there were no assets or liabilities carried on the consolidated balance sheets for which a nonrecurring change in fair value has been recorded. The estimated fair values of the Company’s financial instruments, all of which are held or issued for purposes other than trading, are as follows: June 30, 2016 (unaudited) Carrying Fair Value Level 1 Level 2 Level 3 Total (In Thousands) Financial assets: Cash and cash equivalents $ 25,604 $ 25,604 $ — $ — $ 25,604 Available-for-sale securities 35,028 10,931 24,097 — 35,028 Federal Home Loan Bank stock 514 514 — — 514 Loans, net 187,671 — — 188,559 188,559 Co-operative Central Bank deposit 881 881 — — 881 Accrued interest receivable 524 524 — — 524 Financial liabilities: Deposits 213,137 — 213,726 — 213,726 December 31, 2015 Carrying Fair Value Level 1 Level 2 Level 3 Total (In Thousands) Financial assets: Cash and cash equivalents $ 16,854 $ 16,854 $ — $ — $ 16,854 Available-for-sale securities 45,143 18,301 26,842 — 45,143 Federal Home Loan Bank stock 437 437 — — 437 Loans, net 160,303 — — 161,206 161,206 Co-operative Central Bank deposit 881 881 — — 881 Accrued interest receivable 440 440 — — 440 Financial liabilities: Deposits 184,527 — 185,170 — 185,170 The carrying amounts of financial instruments shown in the above tables are included in the consolidated balance sheets under the indicated captions. Accounting policies related to financial instruments are described in Note 2. |
Other Comprehensive Income (Los
Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
Other Comprehensive Income (Loss) | NOTE 10 - OTHER COMPREHENSIVE INCOME (LOSS) Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities are reported as a separate component of the stockholders’ equity section of the consolidated balance sheets, such items, along with net income, are components of comprehensive income. The components of other comprehensive income (loss), included in stockholders’ equity, are as follows: Three months ended June 30, Six months ended June 30, 2016 2015 2016 2015 (In Thousands) (unaudited) Net unrealized holding gains (losses) on available-for-sale securities $ 322 $ (295 ) $ 690 $ (65 ) Reclassification adjustment for net realized gain in net income (1) (293 ) (30 ) (293 ) (32 ) Other comprehensive income (loss) before income tax effect 29 (325 ) 397 (97 ) Income tax benefit (expense) 20 127 (100 ) 43 Other comprehensive income (loss), net of tax $ 49 $ (198 ) $ 297 $ (54 ) (1) Reclassification adjustments include net realized securities gains. Realized gains have been reclassified out of accumulated other comprehensive income and affect certain captions in the consolidated statements of income as follows: pre-tax amount for the three and six months ended June 30, 2016 is reflected as a gain on sale of securities, net of $293,000. The tax effect, for the three and six months ended June 30, 2016 was $95,000. Pre-tax amount for the three and six months ended June 30, 2015, is reflected as a gain on sale securities, net of $407,000 and $409,000, respectively, and a write-down of $377,000. The tax effect, included in income tax expense, for the three and six months ended June 30, 2015 was approximately $12,000 for each period. The after tax amount is included in net income. Accumulated other comprehensive income as of June 30, 2016 (unaudited) and December 31, 2015 consists of net unrealized holding gains on available-for-sale securities, net of taxes. |
Regulatory Matters
Regulatory Matters | 6 Months Ended |
Jun. 30, 2016 | |
Banking and Thrift [Abstract] | |
Regulatory Matters | NOTE 11 - REGULATORY MATTERS The Bank is subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Effective January 1, 2015, (with a phase-in period of two to four years for certain components), the Bank became subject to new capital regulations adopted by the Board of Governors of the Federal Reserve System (“FRB”) and the FDIC, which implement the Basel III regulatory capital reforms and the changes required by the Dodd-Frank Act. The new regulations require a new common equity Tier 1 (“CET1”) capital ratio of 4.5%, increase the minimum Tier 1 capital to risk-weighted assets ratio to 6.0% from 4.0%, require a minimum total capital to risk-weighted assets ratio of 8.0% and require a minimum Tier 1 leverage ratio of 4.0%. CET1 generally consists of common stock and retained earnings, subject to applicable adjustments and deductions. Under new prompt corrective action regulations, in order to be considered “well capitalized,” the Bank must maintain a CET1 capital ratio of 6.5% (new) and a Tier 1 ratio of 8.0% (increased from 6.0%), a total risk based capital ratio of 10.0% (unchanged) and a Tier 1 leverage ratio of 5.0% (unchanged). In addition, the regulations establish a capital conservation buffer above the required capital ratios that began phasing in beginning January 1, 2016 at 0.625% of risk-weighted assets and increases each year by 0.625% until it is fully phased in at 2.5% effective January 1, 2019. Beginning January 1, 2016, failure to maintain the capital conservation buffer will limit the ability of the Bank and the Company to pay dividends, repurchase shares or pay discretionary bonuses. The new regulation implemented changes to what constitutes regulatory capital. Certain instruments will no longer constitute qualifying capital, subject to phase-out periods. In addition, Tier 2 capital is no longer limited to the amount of Tier 1 capital included in total capital. Mortgage servicing rights, certain deferred tax assets and investments in unconsolidated subsidiaries over designated percentages of CET1 will be deducted from capital. The new regulations also changed the risk weights of certain assets, including an increase in the risk weight of certain high volatility commercial real estate acquisition, development and construction loans and non-residential mortgage loans that are 90 days past due or on non-accrual status to 150% from 100%, a credit conversion factor for the unused portion of the commitments with maturities of less than one year that are not cancellable to 20% from 0%, an increase in the risk weight for mortgage servicing rights and deferred tax assets that are not deducted from capital to 250% from 100%, and an increase in the risk weight for equity exposures to 600% from 100%. Management believes, as of June 30, 2016, that the Bank meets all capital adequacy requirements to which it is subject. As of June 30, 2016, the most recent notification from the FDIC categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized the Bank must maintain minimum total risk-based, Tier 1 risk-based, Common Equity tier 1 risk-based and Tier 1 leverage ratios as set forth in the following table. There were no conditions or events since that notification that management believes have changed the Bank’s category. The Bank’s actual capital amounts and ratios (unaudited) are presented in the following table. Actual For Capital Adequacy Purposes To Be Well Capitalized Under Amount Ratio Amount Ratio Amount Ratio (Dollars In Thousands) As of June 30, 2016: Total Capital (to Risk Weighted Assets) $ 34,225 23.01 % $ 11,901 8.0 % $ 14,876 10.0 % Tier 1 Capital (to Risk Weighted Assets) 32,562 21.89 8,925 6.0 11,901 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 32,562 21.89 6,694 4.5 9,669 6.5 Tier 1 Capital (to Average Assets) 32,562 13.79 9,446 4.0 11,807 5.0 |
Common Stock Repurchases
Common Stock Repurchases | 6 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
Common Stock Repurchases | NOTE 12 – COMMON STOCK REPURCHASES From time to time, our board of directors authorizes stock repurchase plans. In general, stock repurchase plans allow us to proactively manage our capital position and return excess capital to shareholders. Shares purchased under such plans also provide us with shares of common stock necessary to satisfy obligations related to stock compensation awards. Our board of directors authorized a stock repurchase program, allowing us to repurchase up to 283,000 shares of our common stock from time to time at various prices in the open market or through private transactions. The actual amount and timing of future share repurchases, if any, will depend on market conditions, applicable SEC rules and various other factors. During the year ended December 31, 2015, 42,000 shares of common stock were repurchased at an average cost of $14.60. During the six months ended June 30, 2016, a total of 208,600 shares of common stock were repurchased at an average cost of $15.31. |
Stock Based Compensation
Stock Based Compensation | 6 Months Ended |
Jun. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Based Compensation | NOTE 13 – STOCK BASED COMPENSATION Melrose Bancorp, Inc. adopted the Melrose Bancorp, Inc. 2015 Equity Incentive Plan (the “2015 Equity Incentive Plan”) to provide directors, officers, and employees of the Company and Melrose Cooperative Bank with additional incentives to promote growth and performance of the Company and Melrose Cooperative Bank. The 2015 Equity Incentive Plan authorizes the issuance or delivery to participants of up to 396,140 shares of Melrose Bancorp, Inc. common stock pursuant to grants of incentive and non-statutory stock options, restricted stock awards, and restricted stock units. Of this number, the maximum number of shares of Melrose Bancorp, Inc. common stock that may be issued under the 2015 Equity Incentive Plan pursuant to the exercise of stock options is 282,957 shares, and the maximum number of shares of Melrose Bancorp, Inc. common stock that may be issued as restricted stock awards or restricted stock units is 113,183 shares. The 2015 Equity Incentive Plan was effective upon approval by stockholders at the November 23, 2015 annual meeting. On May 12, 2016, the Company issued 44,300 shares of common stock restricted stock awards. The restricted stock award expense is based on $15.13 per share, and shares vest over 5 years commencing one year from the grant date. During the three and six month periods ending June 30, 2016 the expense was $25,000. The recognized tax benefit was $10,000. On May 12, 2016, the Company granted 224,200 stock options. The stock options have an exercise price of $15.13 per share, and vest ratably over 5 years commencing one year from the date of the grant. The stock option expense is equal to the number of options expected to vest each year times the grant date fair value of the shares as determined using the Black-Scholes option pricing model. The Company completed an analysis of seven peer banks to determine the expected volatility of 20.24%. The exercise price used in the pricing model was $15.13, the closing price of the stock on the grant date. The expected life was estimated to be 6.5 years and the 7 year treasury rate of 1.54% was used as the annual risk free interest rate. Using these variables, the estimated fair value is $3.71 per share. During the three and six month periods ending June 30, 2016 the stock option expense was $21,000. The recognized tax benefit was $8,000. At June 30, 2016 the unrecognized share based compensation expense related to the 44,300 unvested restricted stock awards amounted to $645,000. The unrecognized expense will be recognized over a weighted average life of 4.8 years. At June 30, 2016, none of the 224,200 stock options outstanding are exercisable, and the remaining contractual life is 9.8 years. The unrecognized expense related to the unvested options is $809,000, and will be recognized over a weighted average life of 4.8 years. |
Summary of Significant Accoun22
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION: The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary the Bank, and the Bank’s wholly-owned subsidiary, MCBSC, Inc., which is used to hold investment securities. All significant intercompany accounts and transactions have been eliminated in the consolidation. |
USE OF ESTIMATES | USE OF ESTIMATES: In preparing consolidated financial statements in conformity with U.S. generally accepted accounting principles, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated balance sheet and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, impairment of securities and deferred income taxes. |
CASH AND CASH EQUIVALENTS | CASH AND CASH EQUIVALENTS: As of June 30, 2016 (unaudited), the Company has total cash and cash equivalents in the following banks: Eastern Bank $6,210,000 which represents approximately 14.4% of total stockholders’ equity State Street Bank $2,992,000, which represents approximately 6.9% of total stockholders’ equity As of December 31, 2015, the Company has total cash and cash equivalents in the following banks: Eastern Bank $6,414,000, which represents approximately 14.0% of total stockholders’ equity State Street Bank $2,993,000, which represents approximately 6.6% of total stockholders’ equity |
EARNINGS PER SHARE (EPS) | EARNINGS PER SHARE (EPS): Basic EPS is calculated by dividing net income by the weighted average number of common shares outstanding adjusted to exclude the weighted average number of unallocated shares held by the ESOP. Diluted EPS, reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in earnings of the entity. For the purposes of computing diluted EPS, the treasury stock method is used. The calculation of basic and diluted EPS (unaudited) is presented below. Three Months Three Months Six Months Six Months (In Thousands, except share data) Net income $ 274 $ 149 $ 468 $ 298 Basic Common Shares: Weighted average common shares outstanding 2,665,635 2,829,579 2,702,001 2,829,579 Weighted average unallocated ESOP shares (208,445 ) (218,820 ) (209,388 ) (218,820 ) Basic weighted average shares outstanding 2,457,190 2,610,759 2,492,613 2,610,759 Dilutive effect of unvested restricted stock awards 830 — 415 — Diluted weighted average shares outstanding 2,458,020 2,610,759 2,493,028 2,610,759 Basic earnings per share $ 0.11 $ 0.06 $ 0.19 $ 0.11 Diluted earnings per share (1) $ 0.11 $ 0.06 $ 0.19 $ 0.11 (1) Options to purchase 224,200 shares, representing all outstanding options, were not included in the computation of diluted earnings per share for the three and six months ended June 30, 2016 because the effect is anti-dilutive. |
FAIR VALUES OF FINANCIAL INSTRUMENTS | FAIR VALUES OF FINANCIAL INSTRUMENTS: Accounting Standards Codification (ASC) 825, “Financial Instruments,” requires that the Company disclose the estimated fair value for its financial instruments. Fair value methods and assumptions used by the Company in estimating its fair value disclosures are as follows: Cash and cash equivalents: The carrying amounts reported in the consolidated balance sheets for cash and cash equivalents approximate fair value. Securities: Fair values for securities are based on quoted market prices, where available. If quoted market prices are not available, fair values are based on quoted market prices of comparable instruments. Loans held-for-sale: Fair values of loans held-for-sale are based on commitments on hand from investors or prevailing market prices. Loans receivable: For variable-rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. The fair values for other loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. Accrued interest receivable: The carrying amount of accrued interest receivable approximates fair value. Deposit liabilities: The fair values disclosed for demand deposits (e.g., interest and non-interest checking, passbook savings and money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amounts). Fair values for fixed-rate certificate accounts are estimated using a discounted cash flow calculation that applies interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities on certificate accounts. Off-balance sheet instruments: The fair value of commitments to originate loans is estimated using the fees currently charged to enter similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed-rate loan commitments and the unadvanced portion of loans, fair value also considers the difference between current levels of interest rates and the committed rates. |
RECENT ACCOUNTING PRONOUNCEMENTS | RECENT ACCOUNTING PRONOUNCEMENTS: As an “emerging growth company,” as defined in Title 1 of Jumpstart Our Business Startups (JOBS) Act, the Company has elected to use the extended transition period to delay adoption of new or reissued accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. Accordingly, the consolidated financial statements may not be comparable to the financial statements of public companies that comply with such new or revised accounting standards. As of June 30, 2016, there is no significant difference in the comparability of the financial statements as a result of this extended transition period. In January 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” The amendments in this ASU address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments and makes targeted improvements to GAAP as follows: 1. Require equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income. However, the entity may choose to measure equity investments that do not have readily determinable fair values at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same manner. 2. Simplify the impairment assessment of equity investments without determinable fair values by requiring a qualitative assessment to identify impairment. When a qualitative assessment indicates that impairment exists, an entity is required to measure the investment at fair value. 3. Eliminate the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet. 4. Require public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes. 5. Require an entity to present separately in other comprehensive income the portion of the total change in fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. 6. Require separate presentation of financial assets and financial liabilities by measurement category and form of financial assets (that is, securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements. 7. Clarify that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. Under the extended transition period for an emerging growth company, the amendments in this Update are effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption of item 5 above is permitted as of the beginning of fiscal years or interim periods for which financial statements have not been issued. Early adoption of all other amendments in this ASU is not permitted. The Company anticipates that the adoption of this ASU will not have a material impact on its consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” This ASU was issued to increase transparency and comparability among organizations by requiring reporting entities to recognize all leases, including operating, as lease assets and lease liabilities on the balance sheet and disclose key information about leasing arrangements. Under the extended transition period for an emerging growth company, the amendments in this ASU are effective for fiscal years beginning after December 31, 2019, and interim periods within fiscal years being after December 15, 2020. The Company anticipates that the adoption of this ASU will not have a material impact on its consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-09, “Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” This ASU includes provisions intended to simplify various aspects related to how share-based payments are accounted for and presented in the financial statements. Some of the key provisions of this new ASU include: (1) companies will no longer record excess tax benefits and certain tax deficiencies in additional paid-in-capital (“APIC”). Instead, they will record all excess tax benefits and tax deficiencies as income tax expense or benefit in the income statement, and APIC pools will be eliminated. The guidance also eliminates the requirement that excess tax benefits be realized before companies can recognize them. In addition, the guidance requires companies to present excess tax benefits as an operating activity on the statement of cash flows rather than as a financing activity; (2) increase the amount an employer can withhold to cover income taxes on awards and still qualify for the exception to liability classification for shares used to satisfy the employer’s statutory income tax withholding obligation. The new guidance will also require an employer to classify the cash paid to a tax authority when shares are withheld to satisfy its statutory income tax withholding obligation as a financing activity on its statement of cash flows (current guidance did not specify how these cash flows should be classified); and (3) permit companies to make an accounting policy election for the impact of forfeitures on the recognition of expense for share-based payment awards. Forfeitures can be estimated, as required today, or recognized when they occur. Under the extended transition period for an emerging growth company, ASU No. 2016-09 is effective for annual reporting periods beginning after December 15, 2017 and interim periods within annual periods beginning after December 31, 2018. Early adoption is permitted, but all of the guidance must be adopted in the same period. The Company is currently evaluating the provisions of ASU No. 2016-09 to determine the potential impact the new standard will have on the Company’s consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. The ASU requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Organizations will continue to use judgement to determine which loss estimation method is appropriate for their circumstances. Additionally, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. Under the extended transition period for an emerging growth company, this update will be effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption in permitted in interim and annual reporting periods beginning after December 15, 2018. The Company is currently evaluating the amendments of ASU No. 2016-13 to determine the potential impact the new standard will have on the Company’s consolidated financial statements. |
Summary of Significant Accoun23
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Summary of Calculation of Basic and Diluted EPS | The calculation of basic and diluted EPS (unaudited) is presented below. Three Months Three Months Six Months Six Months (In Thousands, except share data) Net income $ 274 $ 149 $ 468 $ 298 Basic Common Shares: Weighted average common shares outstanding 2,665,635 2,829,579 2,702,001 2,829,579 Weighted average unallocated ESOP shares (208,445 ) (218,820 ) (209,388 ) (218,820 ) Basic weighted average shares outstanding 2,457,190 2,610,759 2,492,613 2,610,759 Dilutive effect of unvested restricted stock awards 830 — 415 — Diluted weighted average shares outstanding 2,458,020 2,610,759 2,493,028 2,610,759 Basic earnings per share $ 0.11 $ 0.06 $ 0.19 $ 0.11 Diluted earnings per share (1) $ 0.11 $ 0.06 $ 0.19 $ 0.11 (1) Options to purchase 224,200 shares, representing all outstanding options, were not included in the computation of diluted earnings per share for the three and six months ended June 30, 2016 because the effect is anti-dilutive. |
Investments in Available-For-24
Investments in Available-For-Sale Securities (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Amortized Cost Basis of Securities and Their Approximate Fair Values | The amortized cost basis of securities and their approximate fair values are as follows: Amortized Gross Gross Fair Value (In Thousands) June 30, 2016: (unaudited) U.S. Government and federal agency obligations $ 6,623 $ 27 $ 37 $ 6,613 Debt securities issued by states of the United States and political subdivisions of the states 2,399 102 7 2,494 Corporate bonds and notes 13,039 115 — 13,154 Preferred stock 3,000 136 — 3,136 Mortgage-backed securities 1,889 1 54 1,836 Marketable equity securities 5,752 2,043 — 7,795 $ 32,702 $ 2,424 $ 98 $ 35,028 December 31, 2015: U.S. Government and federal agency obligations $ 8,851 $ 7 $ 88 $ 8,770 Debt securities issued by states of the United States and political subdivisions of the states 2,408 8 18 2,398 Corporate bonds and notes 13,540 12 44 13,508 Preferred stock 3,000 31 2 3,029 Mortgage-backed securities 2,232 — 66 2,166 Marketable equity securities 13,183 2,125 36 15,272 $ 43,214 $ 2,183 $ 254 $ 45,143 |
Scheduled Maturities of Debt Securities | The scheduled maturities of debt securities were as follows as of June 30, 2016 (unaudited): Fair (In Thousands) Due within one year $ 3,753 Due after one year through five years 13,936 Due after five years through ten years 1,776 Due after ten years 3,202 Mortgage-backed securities 1,836 Asset-backed securities 1,692 $ 26,195 |
Aggregate Fair Value and Unrealized Losses of Securities in Continuous Unrealized Loss Position | The aggregate fair value and unrealized losses of securities that have been in a continuous unrealized loss position for less than twelve months and for twelve months or more, and are not other-than-temporarily impaired, are as follows: Less than 12 months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In Thousands) June 30, 2016 (unaudited) U.S. government and federal agency obligations $ — $ — $ 1,543 $ 37 $ 1,543 $ 37 Debt securities issued by states of the United States and political subdivisions of the states — — 251 7 251 7 Mortgage-backed securities — — 1,422 54 1,422 54 Total temporarily impaired securities $ — $ — $ 3,216 $ 98 $ 3,216 $ 98 December 31, 2015 U.S. government and federal agency obligations $ 5,366 $ 59 $ 1,403 $ 29 $ 6,769 $ 88 Debt securities issued by states of the United States and political subdivisions of the states 1,176 9 505 9 1,681 18 Corporate bonds and notes 9,012 38 993 6 10,005 44 Preferred stock 998 2 — — 998 2 Mortgage-backed securities 1,608 40 558 26 2,166 66 Marketable equity securities 5,160 36 — — 5,160 36 Total temporarily impaired securities $ 23,320 $ 184 $ 3,459 $ 70 $ 26,779 $ 254 |
Loans (Tables)
Loans (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Receivables [Abstract] | |
Summary of Loans | Loans consisted of the following at: June 30, December 31, 2016 2015 (In Thousands) (unaudited) Real estate loans: One-to four-family residential $ 146,278 $ 132,237 Home equity loans and lines of credit 10,868 10,862 Commercial 19,045 13,251 Construction 12,047 4,303 Consumer loans 92 121 Total loans 188,330 160,774 Allowance for loan losses (742 ) (580 ) Deferred loan costs, net 83 109 Net loans $ 187,671 $ 160,303 |
Information Regarding Nonaccrual Loans and Past-due Loans | The following tables set forth information on the allowance for loan losses at and for the six months ended June 30, 2016 and 2015, and at December 31, 2015: Real Estate: One- to four- Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) Six Months Ended June 30, 2016 (unaudited) Allowance for loan losses: Beginning balance $ 331 $ 49 $ 150 $ 40 $ 1 $ 9 $ 580 Charge offs — — — — — — — Recoveries — — — — — — — Provision (benefit) 35 — 102 28 — (3 ) 162 Ending balance $ 366 $ 49 $ 252 $ 68 $ 1 $ 6 $ 742 At June 30, 2016 (unaudited) Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 366 49 252 68 1 6 742 Total allowance for loan losses ending balance $ 366 $ 49 $ 252 $ 68 $ 1 $ 6 $ 742 Loans: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 146,278 10,868 19,045 12,047 92 — 188,330 Total loans ending balance $ 146,278 $ 10,868 $ 19,045 $ 12,047 $ 92 $ — $ 188,330 Real Estate: One- to four- Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) Six months ended June 30, 2015 (unaudited) Allowance for loan losses: Beginning balance $ 414 $ 58 $ 25 $ 21 $ 1 $ 1 $ 520 Charge offs — — — — — — — Recoveries — — — — — — — (Benefit) Provision (30 ) — 32 7 — — 9 Ending balance $ 384 $ 58 $ 57 $ 28 $ 1 $ 1 $ 529 At June 30, 2015 (unaudited) Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 384 58 57 28 1 1 529 Total allowance for loan losses ending balance $ 384 $ 58 $ 57 $ 28 $ 1 $ 1 $ 529 Loans: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 120,473 10,864 5,730 4,090 149 — 141,306 Total loans ending balance $ 120,473 $ 10,864 $ 5,730 $ 4,090 $ 149 $ — $ 141,306 Real Estate: One- to four- Home Equity Loans Commercial Construction Consumer Unallocated Total (In Thousands) December 31, 2015 Allowance for loan losses: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 331 49 150 40 1 9 580 Total allowance for loan losses ending balance $ 331 $ 49 $ 150 $ 40 $ 1 $ 9 $ 580 Loans: Ending balance: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Ending balance: Collectively evaluated for impairment 132,237 10,862 13,251 4,303 121 — 160,774 Total loans ending balance $ 132,237 $ 10,862 $ 13,251 $ 4,303 $ 121 $ — $ 160,774 |
Summary of Changes in Allowance for Loan Losses | The following tables set forth information regarding nonaccrual loans and past-due loans: 30 - 59 60 - 89 90 Days or Total Past Total Total 90 Days or More Non- (In Thousands) At June 30, 2016 (unaudited) Real estate loans: One-to four-family residential $ 331 $ 195 $ 339 $ 865 $ 145,413 $ 146,278 $ — $ 339 Home equity loans and lines of credit — — — — 10,868 10,868 — — Commercial — — — — 19,045 19,045 — — Construction — — — — 12,047 12,047 — — Consumer loans — — — — 92 92 — — Total $ 331 $ 195 $ 339 $ 865 $ 187,465 $ 188,330 $ — $ 339 At December 31, 2015 Real estate loans: One-to four-family residential $ 600 $ — $ 68 $ 668 $ 131,569 $ 132,237 $ — $ 68 Home equity loans and lines of credit — — 197 197 10,665 10,862 — 197 Commercial — — — — 13,251 13,251 — — Construction — — — — 4,303 4,303 — — Consumer loans — — — — 121 121 — — Total $ 600 $ — $ 265 $ 865 $ 159,909 $ 160,774 $ — $ 265 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
Summary of Premises and Equipment | The following is a summary of premises and equipment: June 30, December 31, 2016 2015 (In Thousands) (unaudited) Land $ 393 $ 393 Building and improvements 1,817 1,817 Furniture and equipment 549 514 Data processing equipment 260 254 3,019 2,978 Accumulated depreciation (1,794 ) (1,752 ) $ 1,225 $ 1,226 |
Deposits (Tables)
Deposits (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Banking and Thrift [Abstract] | |
Scheduled Maturities of Time Deposits | For time deposits as of June 30, 2016 (unaudited) the scheduled maturities for each of the following years ended June 30 are as follows: (In Thousands) 2017 $ 78,202 2018 28,586 2019 3,724 2020 859 2021 1,202 $ 112,573 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Investments, All Other Investments [Abstract] | |
Summary of Notional Amounts of Financial Instrument Liabilities with off-Balance Sheet Credit Risk | Notional amounts of financial instrument liabilities with off-balance sheet credit risk are as follows: June 30, December 31, 2016 2015 (In Thousands) (unaudited) Commitments to originate loans $ 2,734 $ 5,214 Unused lines of credit 12,916 11,986 Due to borrowers on unadvanced construction loans 5,760 1,796 $ 21,410 $ 18,996 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets Measured at Fair Value on Recurring Basis | The following summarizes assets measured at fair value on a recurring basis: Fair Value Measurements at Reporting Date Using: Total Quoted Prices in Significant Significant (In Thousands) June 30, 2016 (unaudited): U.S. Government and federal agency obligations $ 6,613 $ — $ 6,613 $ — Debt securities issued by states of the United States and political subdivisions of the states 2,494 — 2,494 — Corporate bonds and notes 13,154 — 13,154 — Preferred stock 3,136 3,136 — — Mortgage-backed securities 1,836 — 1,836 — Marketable equity securities 7,795 7,795 — — Totals $ 35,028 $ 10,931 $ 24,097 $ — December 31, 2015: U.S. Government and federal agency obligations $ 8,770 $ — $ 8,770 $ — Debt securities issued by states of the United States and political subdivisions of the states 2,398 — 2,398 — Corporate bonds and notes 13,508 — 13,508 — Preferred stock 3,029 3,029 — — Mortgage-backed securities 2,166 — 2,166 — Marketable equity securities 15,272 15,272 — — Totals $ 45,143 $ 18,301 $ 26,842 $ — |
Summary of Estimated Fair Values of Bank's Financial Instruments | The estimated fair values of the Company’s financial instruments, all of which are held or issued for purposes other than trading, are as follows: June 30, 2016 (unaudited) Carrying Fair Value Level 1 Level 2 Level 3 Total (In Thousands) Financial assets: Cash and cash equivalents $ 25,604 $ 25,604 $ — $ — $ 25,604 Available-for-sale securities 35,028 10,931 24,097 — 35,028 Federal Home Loan Bank stock 514 514 — — 514 Loans, net 187,671 — — 188,559 188,559 Co-operative Central Bank deposit 881 881 — — 881 Accrued interest receivable 524 524 — — 524 Financial liabilities: Deposits 213,137 — 213,726 — 213,726 December 31, 2015 Carrying Fair Value Level 1 Level 2 Level 3 Total (In Thousands) Financial assets: Cash and cash equivalents $ 16,854 $ 16,854 $ — $ — $ 16,854 Available-for-sale securities 45,143 18,301 26,842 — 45,143 Federal Home Loan Bank stock 437 437 — — 437 Loans, net 160,303 — — 161,206 161,206 Co-operative Central Bank deposit 881 881 — — 881 Accrued interest receivable 440 440 — — 440 Financial liabilities: Deposits 184,527 — 185,170 — 185,170 |
Other Comprehensive Income (L30
Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
Components of Other Comprehensive Income (Loss) Included in Stockholders' Equity | The components of other comprehensive income (loss), included in stockholders’ equity, are as follows: Three months ended June 30, Six months ended June 30, 2016 2015 2016 2015 (In Thousands) (unaudited) Net unrealized holding gains (losses) on available-for-sale securities $ 322 $ (295 ) $ 690 $ (65 ) Reclassification adjustment for net realized gain in net income (1) (293 ) (30 ) (293 ) (32 ) Other comprehensive income (loss) before income tax effect 29 (325 ) 397 (97 ) Income tax benefit (expense) 20 127 (100 ) 43 Other comprehensive income (loss), net of tax $ 49 $ (198 ) $ 297 $ (54 ) (1) Reclassification adjustments include net realized securities gains. Realized gains have been reclassified out of accumulated other comprehensive income and affect certain captions in the consolidated statements of income as follows: pre-tax amount for the three and six months ended June 30, 2016 is reflected as a gain on sale of securities, net of $293,000. The tax effect, for the three and six months ended June 30, 2016 was $95,000. Pre-tax amount for the three and six months ended June 30, 2015, is reflected as a gain on sale securities, net of $407,000 and $409,000, respectively, and a write-down of $377,000. The tax effect, included in income tax expense, for the three and six months ended June 30, 2015 was approximately $12,000 for each period. The after tax amount is included in net income. |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Banking and Thrift [Abstract] | |
Summary of Actual Capital Amounts and Ratios | The Bank’s actual capital amounts and ratios (unaudited) are presented in the following table. Actual For Capital Adequacy Purposes To Be Well Capitalized Under Amount Ratio Amount Ratio Amount Ratio (Dollars In Thousands) As of June 30, 2016: Total Capital (to Risk Weighted Assets) $ 34,225 23.01 % $ 11,901 8.0 % $ 14,876 10.0 % Tier 1 Capital (to Risk Weighted Assets) 32,562 21.89 8,925 6.0 11,901 8.0 Common Equity Tier 1 Capital (to Risk Weighted Assets) 32,562 21.89 6,694 4.5 9,669 6.5 Tier 1 Capital (to Average Assets) 32,562 13.79 9,446 4.0 11,807 5.0 |
Nature of Operations - Addition
Nature of Operations - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2016 | |
Variable Interests And Equity Method Investments Disclosure [Abstract] | |
Entity incorporation date | Feb. 1, 2014 |
Summary of Significant Accoun33
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2016 | Dec. 31, 2015 | |
Eastern Bank [Member] | ||
Significant Accounting Policies [Line Items] | ||
Total cash and cash equivalents | $ 6,210,000 | $ 6,414,000 |
Percentage of cash and cash equivalent of stockholders equity | 14.40% | 14.00% |
State Street Bank [Member] | ||
Significant Accounting Policies [Line Items] | ||
Total cash and cash equivalents | $ 2,992,000 | $ 2,993,000 |
Percentage of cash and cash equivalent of stockholders equity | 6.90% | 6.60% |
Summary of Significant Accoun34
Summary of Significant Accounting Policies - Summary of Calculation of Basic and Diluted EPS (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 274,000 | $ 149,000 | $ 468,000 | $ 298,000 |
Basic Common Shares: | ||||
Weighted average common shares outstanding | 2,665,635 | 2,829,579 | 2,702,001 | 2,829,579 |
Weighted average unallocated ESOP shares | (208,445) | (218,820) | (209,388) | (218,820) |
Basic weighted average shares outstanding | 2,457,190 | 2,610,759 | 2,492,613 | 2,610,759 |
Dilutive effect of unvested restricted stock awards | $ 830 | $ 415 | ||
Diluted weighted average shares outstanding | 2,458,020 | 2,610,759 | 2,493,028 | 2,610,759 |
Basic earnings per share | $ 0.11 | $ 0.06 | $ 0.19 | $ 0.11 |
Diluted earnings per share | $ 0.11 | $ 0.06 | $ 0.19 | $ 0.11 |
Summary of Significant Accoun35
Summary of Significant Accounting Policies - Summary of Calculation of Basic and Diluted EPS (Parenthetical) (Detail) - shares | 3 Months Ended | 6 Months Ended |
Jun. 30, 2016 | Jun. 30, 2016 | |
Earnings Per Share [Abstract] | ||
Anti-dilutive securities excluded from computation of diluted earnings | 224,200 | 224,200 |
Investments in Available-For-36
Investments in Available-For-Sale Securities - Amortized Cost Basis of Securities and Their Approximate Fair Values (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | $ 32,702 | $ 43,214 |
Gross Unrealized Gains | 2,424 | 2,183 |
Gross Unrealized Losses | 98 | 254 |
Fair Value | 35,028 | 45,143 |
U.S Government and Federal Agency Obligations [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 6,623 | 8,851 |
Gross Unrealized Gains | 27 | 7 |
Gross Unrealized Losses | 37 | 88 |
Fair Value | 6,613 | 8,770 |
Debt Securities Issued by States of the United States and Political Subdivisions of the States [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 2,399 | 2,408 |
Gross Unrealized Gains | 102 | 8 |
Gross Unrealized Losses | 7 | 18 |
Fair Value | 2,494 | 2,398 |
Corporate Bonds and Notes [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 13,039 | 13,540 |
Gross Unrealized Gains | 115 | 12 |
Gross Unrealized Losses | 44 | |
Fair Value | 13,154 | 13,508 |
Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 3,000 | 3,000 |
Gross Unrealized Gains | 136 | 31 |
Gross Unrealized Losses | 2 | |
Fair Value | 3,136 | 3,029 |
Mortgage-backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 1,889 | 2,232 |
Gross Unrealized Gains | 1 | |
Gross Unrealized Losses | 54 | 66 |
Fair Value | 1,836 | 2,166 |
Marketable Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost Basis | 5,752 | 13,183 |
Gross Unrealized Gains | 2,043 | 2,125 |
Gross Unrealized Losses | 36 | |
Fair Value | $ 7,795 | $ 15,272 |
Investments in Available-For-37
Investments in Available-For-Sale Securities - Scheduled Maturities of Debt Securities (Detail) $ in Thousands | Jun. 30, 2016USD ($) |
Available-for-sale Securities [Abstract] | |
Due within one year | $ 3,753 |
Due after one year through five years | 13,936 |
Due after five years through ten years | 1,776 |
Due after ten years | 3,202 |
Mortgage-backed securities | 1,836 |
Asset-backed securities | 1,692 |
Debt security, fair value | $ 26,195 |
Investments in Available-For-38
Investments in Available-For-Sale Securities - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016USD ($)Securitiesshares | Jun. 30, 2015USD ($) | Jun. 30, 2016USD ($)Securitiesshares | Jun. 30, 2015USD ($) | Dec. 31, 2015USD ($)shares | |
Schedule of Available-for-sale Securities [Line Items] | |||||
Number of securities with aggregate carrying value exceeding 10% of stockholders' equity | shares | 0 | 0 | 0 | ||
Proceeds from sales of available-for-sale securities | $ 7,864,000 | $ 864,000 | $ 7,864,000 | $ 1,898,000 | |
Gain on sales of available for sale securities, net | 293,000 | 407,000 | 293,000 | 409,000 | |
Tax expense applicable to net realized gain | 96,000 | 96,000 | 164,000 | ||
Gross realized gain on sale of available-for-sale security | 1,000 | 489,000 | |||
Gross realized losses on sales of available-for-sale securities | 0 | 80,000 | |||
Pledged securities | $ 0 | 0 | $ 0 | ||
Loss recognized on write down of securities | $ 0 | $ 377,000 | |||
Maximum [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Tax expense applicable to net realized gain | $ 1,000 | ||||
U.S Government and Federal Agency Obligations [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Percentage of unrealized losses of debt securities with amortized cost | 3.30% | 3.30% | |||
Unrealized losses | $ 37,000 | $ 37,000 | |||
Unrealized losses, securities | Securities | 4 | 4 | |||
Corporate Bonds and Notes [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Percentage of unrealized losses of debt securities with amortized cost | 2.00% | 2.00% | |||
Mortgage-backed Securities [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Unrealized losses | $ 54,000 | $ 54,000 | |||
Unrealized losses, securities | Securities | 3 | 3 | |||
Preferred Stock [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Preferred stock, no stated maturity | $ 1,038,000 | $ 1,038,000 | |||
Mortgage Backed Securities One [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Percentage of unrealized losses of debt securities with amortized cost | 2.20% | 2.20% | |||
Mortgage Backed Securities Two [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Percentage of unrealized losses of debt securities with amortized cost | 4.40% | 4.40% | |||
Mortgage Backed Securities Three [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Percentage of unrealized losses of debt securities with amortized cost | 5.60% | 5.60% | |||
Municipal Bonds [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Percentage of unrealized losses of debt securities with amortized cost | 2.80% | 2.80% | |||
Unrealized losses | $ 7,000 | $ 7,000 | |||
Unrealized losses, securities | Securities | 1 | 1 | |||
Corporate Bond Securities [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Percentage of unrealized losses of debt securities with amortized cost | 2.80% | 2.80% |
Investments in Available-For-39
Investments in Available-For-Sale Securities - Aggregate Fair Value and Unrealized Losses of Securities in Continuous Unrealized Loss Position (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | $ 23,320 | |
Less than 12 Months Unrealized Losses | 184 | |
12 Months or Longer Fair Value | $ 3,216 | 3,459 |
12 Months or Longer Unrealized Losses | 98 | 70 |
Total Fair Value | 3,216 | 26,779 |
Total Unrealized Losses | 98 | 254 |
U.S Government and Federal Agency Obligations [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 5,366 | |
Less than 12 Months Unrealized Losses | 59 | |
12 Months or Longer Fair Value | 1,543 | 1,403 |
12 Months or Longer Unrealized Losses | 37 | 29 |
Total Fair Value | 1,543 | 6,769 |
Total Unrealized Losses | 37 | 88 |
Debt Securities Issued by States of the United States and Political Subdivisions of the States [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 1,176 | |
Less than 12 Months Unrealized Losses | 9 | |
12 Months or Longer Fair Value | 251 | 505 |
12 Months or Longer Unrealized Losses | 7 | 9 |
Total Fair Value | 251 | 1,681 |
Total Unrealized Losses | 7 | 18 |
Corporate Bonds and Notes [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 9,012 | |
Less than 12 Months Unrealized Losses | 38 | |
12 Months or Longer Fair Value | 993 | |
12 Months or Longer Unrealized Losses | 6 | |
Total Fair Value | 10,005 | |
Total Unrealized Losses | 44 | |
Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 998 | |
Less than 12 Months Unrealized Losses | 2 | |
Total Fair Value | 998 | |
Total Unrealized Losses | 2 | |
Mortgage-backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 1,608 | |
Less than 12 Months Unrealized Losses | 40 | |
12 Months or Longer Fair Value | 1,422 | 558 |
12 Months or Longer Unrealized Losses | 54 | 26 |
Total Fair Value | 1,422 | 2,166 |
Total Unrealized Losses | $ 54 | 66 |
Marketable Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months Fair Value | 5,160 | |
Less than 12 Months Unrealized Losses | 36 | |
Total Fair Value | 5,160 | |
Total Unrealized Losses | $ 36 |
Loans - Summary of Loans (Detai
Loans - Summary of Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Dec. 31, 2014 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and leases receivable | $ 188,330 | $ 160,774 | $ 141,306 | |
Allowance for loan losses | (742) | (580) | (529) | $ (520) |
Deferred loan costs, net | 83 | 109 | ||
Net loans | 187,671 | 160,303 | ||
One- to Four- Family Residential [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and leases receivable | 146,278 | 132,237 | 120,473 | |
Allowance for loan losses | (366) | (331) | (384) | (414) |
Home Equity Loans and Lines of Credit [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and leases receivable | 10,868 | 10,862 | 10,864 | |
Allowance for loan losses | (49) | (49) | (58) | (58) |
Commercial [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and leases receivable | 19,045 | 13,251 | 5,730 | |
Allowance for loan losses | (252) | (150) | (57) | (25) |
Construction Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and leases receivable | 12,047 | 4,303 | 4,090 | |
Allowance for loan losses | (68) | (40) | (28) | (21) |
Consumer Loans [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans and leases receivable | 92 | 121 | 149 | |
Allowance for loan losses | $ (1) | $ (1) | $ (1) | $ (1) |
Loans - Summary of Changes in A
Loans - Summary of Changes in Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Schedule Of Allowance For Loan Losses [Line Items] | |||||
Beginning balance | $ 580 | $ 520 | |||
Charge offs | 0 | 0 | |||
Recoveries | 0 | 0 | |||
Provision (benefit) | $ 103 | $ 9 | 162 | 9 | |
Ending balance | 742 | 529 | 742 | 529 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | $ 0 |
Collectively evaluated for impairment | 742 | 529 | 742 | 529 | 580 |
Total allowance for loan losses ending balance | 742 | 529 | 742 | 529 | 580 |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 188,330 | 141,306 | 188,330 | 141,306 | 160,774 |
Total | 188,330 | 141,306 | 188,330 | 141,306 | 160,774 |
One- to Four- Family Residential [Member] | |||||
Schedule Of Allowance For Loan Losses [Line Items] | |||||
Beginning balance | 331 | 414 | |||
Charge offs | 0 | 0 | |||
Recoveries | 0 | 0 | |||
Provision (benefit) | 35 | (30) | |||
Ending balance | 366 | 384 | 366 | 384 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 366 | 384 | 366 | 384 | 331 |
Total allowance for loan losses ending balance | 366 | 384 | 366 | 384 | 331 |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 146,278 | 120,473 | 146,278 | 120,473 | 132,237 |
Total | 146,278 | 120,473 | 146,278 | 120,473 | 132,237 |
Home Equity Loans and Lines of Credit [Member] | |||||
Schedule Of Allowance For Loan Losses [Line Items] | |||||
Beginning balance | 49 | 58 | |||
Charge offs | 0 | 0 | |||
Recoveries | 0 | 0 | |||
Ending balance | 49 | 58 | 49 | 58 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 49 | 58 | 49 | 58 | 49 |
Total allowance for loan losses ending balance | 49 | 58 | 49 | 58 | 49 |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 10,868 | 10,864 | 10,868 | 10,864 | 10,862 |
Total | 10,868 | 10,864 | 10,868 | 10,864 | 10,862 |
Commercial [Member] | |||||
Schedule Of Allowance For Loan Losses [Line Items] | |||||
Beginning balance | 150 | 25 | |||
Charge offs | 0 | 0 | |||
Recoveries | 0 | 0 | |||
Provision (benefit) | 102 | 32 | |||
Ending balance | 252 | 57 | 252 | 57 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 252 | 57 | 252 | 57 | 150 |
Total allowance for loan losses ending balance | 252 | 57 | 252 | 57 | 150 |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 19,045 | 5,730 | 19,045 | 5,730 | 13,251 |
Total | 19,045 | 5,730 | 19,045 | 5,730 | 13,251 |
Construction Loans [Member] | |||||
Schedule Of Allowance For Loan Losses [Line Items] | |||||
Beginning balance | 40 | 21 | |||
Charge offs | 0 | 0 | |||
Recoveries | 0 | 0 | |||
Provision (benefit) | 28 | 7 | |||
Ending balance | 68 | 28 | 68 | 28 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 68 | 28 | 68 | 28 | 40 |
Total allowance for loan losses ending balance | 68 | 28 | 68 | 28 | 40 |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 12,047 | 4,090 | 12,047 | 4,090 | 4,303 |
Total | 12,047 | 4,090 | 12,047 | 4,090 | 4,303 |
Consumer Loans [Member] | |||||
Schedule Of Allowance For Loan Losses [Line Items] | |||||
Beginning balance | 1 | 1 | |||
Charge offs | 0 | 0 | |||
Recoveries | 0 | 0 | |||
Ending balance | 1 | 1 | 1 | 1 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 1 | 1 | 1 | 1 | 1 |
Total allowance for loan losses ending balance | 1 | 1 | 1 | 1 | 1 |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 92 | 149 | 92 | 149 | 121 |
Total | 92 | 149 | 92 | 149 | 121 |
Unallocated [Member] | |||||
Schedule Of Allowance For Loan Losses [Line Items] | |||||
Beginning balance | 9 | 1 | |||
Charge offs | 0 | 0 | |||
Recoveries | 0 | 0 | |||
Provision (benefit) | (3) | ||||
Ending balance | 6 | 1 | 6 | 1 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | 0 |
Collectively evaluated for impairment | 6 | 1 | 6 | 1 | 9 |
Total allowance for loan losses ending balance | 6 | 1 | 6 | 1 | 9 |
Individually evaluated for impairment | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Loans - Information Regarding N
Loans - Information Regarding Nonaccrual Loans and Past-due Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | Jun. 30, 2015 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | $ 865 | $ 865 | |
Total Current | 187,465 | 159,909 | |
Total | 188,330 | 160,774 | $ 141,306 |
90 Days Or More Past Due and Accruing | 0 | 0 | |
Non-Accrual | 339 | 265 | |
30 to 59 Days [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 331 | 600 | |
60 to 89 Days [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 195 | ||
90 Days or More Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 339 | 265 | |
One- to Four- Family Residential [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 865 | 668 | |
Total Current | 145,413 | 131,569 | |
Total | 146,278 | 132,237 | 120,473 |
90 Days Or More Past Due and Accruing | 0 | 0 | |
Non-Accrual | 339 | 68 | |
One- to Four- Family Residential [Member] | 30 to 59 Days [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 331 | 600 | |
One- to Four- Family Residential [Member] | 60 to 89 Days [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 195 | ||
One- to Four- Family Residential [Member] | 90 Days or More Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 339 | 68 | |
Home Equity Loans and Lines of Credit [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 197 | ||
Total Current | 10,868 | 10,665 | |
Total | 10,868 | 10,862 | 10,864 |
90 Days Or More Past Due and Accruing | 0 | 0 | |
Non-Accrual | 197 | ||
Home Equity Loans and Lines of Credit [Member] | 90 Days or More Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 197 | ||
Commercial [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Current | 19,045 | 13,251 | |
Total | 19,045 | 13,251 | 5,730 |
90 Days Or More Past Due and Accruing | 0 | 0 | |
Construction Loans [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Current | 12,047 | 4,303 | |
Total | 12,047 | 4,303 | 4,090 |
90 Days Or More Past Due and Accruing | 0 | 0 | |
Consumer Loans [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Current | 92 | 121 | |
Total | 92 | 121 | $ 149 |
90 Days Or More Past Due and Accruing | $ 0 | $ 0 |
Loans - Additional Information
Loans - Additional Information (Detail) - USD ($) | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Impaired loan | $ 0 | $ 0 | |
Troubled debt restructured loan | 0 | $ 0 | |
Consumer mortgage loans in the process of foreclosure | 325,000 | ||
One- to Four- Family Residential [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans acquired with deteriorated credit quality | $ 292,000 | $ 366,000 | |
Home Equity Loans and Lines of Credit [Member] | Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans acquired with deteriorated credit quality | $ 197,000 |
Premises and Equipment - Summar
Premises and Equipment - Summary of Premises and Equipment (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 3,019 | $ 2,978 |
Accumulated depreciation | (1,794) | (1,752) |
Premises and equipment, net | 1,225 | 1,226 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 393 | 393 |
Building and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 1,817 | 1,817 |
Furniture and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 549 | 514 |
Data Processing Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 260 | $ 254 |
Deposits - Additional Informati
Deposits - Additional Information (Detail) - USD ($) | Jun. 30, 2016 | Dec. 31, 2015 |
Time Deposits [Line Items] | ||
FDIC insurance limit | $ 250,000 | $ 250,000 |
Aggregate amount of time deposit | 24,052,000 | 16,876,000 |
Deposits from related parties held by bank | $ 3,494,000 | $ 4,030,000 |
Deposits - Scheduled Maturities
Deposits - Scheduled Maturities of Time Deposits (Detail) $ in Thousands | Jun. 30, 2016USD ($) |
Time Deposits [Line Items] | |
2,017 | $ 78,202 |
2,018 | 28,586 |
2,019 | 3,724 |
2,020 | 859 |
2,021 | 1,202 |
Total | $ 112,573 |
Financial Instruments - Summary
Financial Instruments - Summary of Notional Amounts of Financial Instrument Liabilities with off-Balance Sheet Credit Risk (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instrument liabilities with off-balance sheet credit risk | $ 21,410 | $ 18,996 |
Commitments to Originate Loans [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instrument liabilities with off-balance sheet credit risk | 2,734 | 5,214 |
Unused Lines of Credit [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instrument liabilities with off-balance sheet credit risk | 12,916 | 11,986 |
Due to Borrowers on Unadvanced Construction Loans [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instrument liabilities with off-balance sheet credit risk | $ 5,760 | $ 1,796 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Assets Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | $ 35,028 | $ 45,143 |
U.S Government and Federal Agency Obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 6,613 | 8,770 |
Debt Securities Issued by States of the United States and Political Subdivisions of the States [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 2,494 | 2,398 |
Corporate Bonds and Notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 13,154 | 13,508 |
Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 3,136 | 3,029 |
Mortgage-backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 1,836 | 2,166 |
Marketable Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 7,795 | 15,272 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 10,931 | 18,301 |
Level 1 [Member] | Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 3,136 | 3,029 |
Level 1 [Member] | Marketable Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 7,795 | 15,272 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 24,097 | 26,842 |
Level 2 [Member] | U.S Government and Federal Agency Obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 6,613 | 8,770 |
Level 2 [Member] | Debt Securities Issued by States of the United States and Political Subdivisions of the States [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 2,494 | 2,398 |
Level 2 [Member] | Corporate Bonds and Notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | 13,154 | 13,508 |
Level 2 [Member] | Mortgage-backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value on a recurring basis | $ 1,836 | $ 2,166 |
Fair Value Measurements - Sum49
Fair Value Measurements - Summary of Estimated Fair Values of Bank's Financial Instruments (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Dec. 31, 2014 |
Financial assets: | ||||
Cash and cash equivalents | $ 25,604 | $ 16,854 | $ 23,218 | $ 29,491 |
Available-for-sale securities | 35,028 | 45,143 | ||
Federal Home Loan Bank stock | 514 | 437 | ||
Co-operative Central Bank deposit | 881 | 881 | ||
Accrued interest receivable | 524 | 440 | ||
Financial liabilities: | ||||
Deposits | 213,137 | 184,527 | ||
Carrying Amount [Member] | ||||
Financial assets: | ||||
Cash and cash equivalents | 25,604 | 16,854 | ||
Cash and cash equivalents | 0 | 0 | ||
Available-for-sale securities | 35,028 | 45,143 | ||
Federal Home Loan Bank stock | 514 | 437 | ||
Loans, net | 187,671 | 160,303 | ||
Co-operative Central Bank deposit | 881 | 881 | ||
Accrued interest receivable | 524 | 440 | ||
Financial liabilities: | ||||
Deposits | 213,137 | 184,527 | ||
Deposits | 0 | 0 | ||
Estimate of Fair Value Measurement [Member] | ||||
Financial assets: | ||||
Cash and cash equivalents | 25,604 | 16,854 | ||
Cash and cash equivalents | 0 | 0 | ||
Available-for-sale securities | 35,028 | 45,143 | ||
Federal Home Loan Bank stock | 514 | 437 | ||
Loans, net | 188,559 | 161,206 | ||
Co-operative Central Bank deposit | 881 | 881 | ||
Accrued interest receivable | 524 | 440 | ||
Financial liabilities: | ||||
Deposits | 213,726 | 185,170 | ||
Deposits | 0 | 0 | ||
Level 1 [Member] | Estimate of Fair Value Measurement [Member] | ||||
Financial assets: | ||||
Cash and cash equivalents | 25,604 | 16,854 | ||
Cash and cash equivalents | 0 | 0 | ||
Available-for-sale securities | 10,931 | 18,301 | ||
Federal Home Loan Bank stock | 514 | 437 | ||
Co-operative Central Bank deposit | 881 | 881 | ||
Accrued interest receivable | 524 | 440 | ||
Financial liabilities: | ||||
Deposits | 0 | 0 | ||
Level 2 [Member] | Estimate of Fair Value Measurement [Member] | ||||
Financial assets: | ||||
Cash and cash equivalents | 0 | 0 | ||
Available-for-sale securities | 24,097 | 26,842 | ||
Financial liabilities: | ||||
Deposits | 213,726 | 185,170 | ||
Deposits | 0 | 0 | ||
Level 3 [Member] | Estimate of Fair Value Measurement [Member] | ||||
Financial assets: | ||||
Cash and cash equivalents | 0 | 0 | ||
Loans, net | 188,559 | 161,206 | ||
Financial liabilities: | ||||
Deposits | $ 0 | $ 0 |
Other Comprehensive Income (L50
Other Comprehensive Income (Loss) - Components of Other Comprehensive Income (Loss) Included in Stockholders' Equity (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | ||||
Net unrealized holding gains (losses) on available-for-sale securities | $ 322 | $ (295) | $ 690 | $ (65) |
Reclassification adjustment for net realized gain in net income | (293) | (30) | (293) | (32) |
Other comprehensive income (loss) before income tax effect | 29 | (325) | 397 | (97) |
Income tax benefit (expense) | 20 | 127 | (100) | 43 |
Other comprehensive income (loss), net of tax | $ 49 | $ (198) | $ 297 | $ (54) |
Other Comprehensive Income (L51
Other Comprehensive Income (Loss) - Components of Other Comprehensive Income (Loss) Included in Stockholders' Equity (Parenthetical) (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Write down of securities | $ 377,000 | $ 377,000 | ||
Pre-tax amount reflected as a gain on sale of securities, net | $ 293,000 | 30,000 | $ 293,000 | 32,000 |
Reclassified Out of Accumulated Other Comprehensive Income [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Pre-tax amount reflected as a gain on sale of securities, net | 293,000 | 407,000 | 293,000 | 409,000 |
Tax effect, included in income tax expense | $ 95,000 | $ 12,000 | $ 95,000 | $ 12,000 |
Regulatory Matters - Additional
Regulatory Matters - Additional Information (Detail) | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common equity tier 1 capital, minimum capital requirement ratio | 4.50% | |
Tier 1 capital to risk weighted assets, minimum capital requirement ratio | 6.00% | 4.00% |
Tier 1 leverage ratio, minimum capital requirement ratio | 4.00% | |
Common equity tier 1 capital, minimum to be well capitalized ratio | 6.50% | |
Total capital to risk weighted assets, minimum to be well capitalized ratio | 10.00% | |
Tier 1 capital to risk weighted assets, minimum to be well capitalized ratio | 8.00% | 6.00% |
Tier 1 leverage ratio, minimum to be well capitalized ratio | 5.00% | |
Tier 1 capital to risk-weighted assets | 21.89% | |
Non accrual status of loans, percentage | 100.00% | |
Non cancellable unused portion of commitments, percentage | 0.00% | |
Risk weight for mortgage servicing rights and deferred tax assets non deductible from capital, percentage | 100.00% | |
Risk weight for equity exposures, percentage | 100.00% | |
Loans past due period | 90 days | |
Non cancellable unused portion of commitments, description | Less than one year | |
New Capital Regulations [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common equity tier 1 capital, minimum capital requirement ratio | 4.50% | |
Total capital to risk weighted assets, minimum capital requirement ratio | 8.00% | |
Tier 1 capital to risk weighted assets, minimum capital requirement ratio | 6.00% | |
Tier 1 leverage ratio, minimum capital requirement ratio | 4.00% | |
Common equity tier 1 capital, minimum to be well capitalized ratio | 6.50% | |
Total capital to risk weighted assets, minimum to be well capitalized ratio | 10.00% | |
Tier 1 capital to risk weighted assets, minimum to be well capitalized ratio | 8.00% | |
Tier 1 leverage ratio, minimum to be well capitalized ratio | 5.00% | |
Non accrual status of loans, percentage | 150.00% | |
Non cancellable unused portion of commitments, percentage | 20.00% | |
Risk weight for mortgage servicing rights and deferred tax assets non deductible from capital, percentage | 250.00% | |
Risk weight for equity exposures, percentage | 600.00% | |
Maximum [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Phase in period term | 4 years | |
Minimum [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Phase in period term | 2 years | |
January 1, 2016 [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier 1 capital to risk-weighted assets | 0.625% | |
Subsequent Period [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier 1 capital to risk-weighted assets | 0.625% | |
January 1, 2019 [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier 1 capital to risk-weighted assets | 2.50% |
Regulatory Matters - Summary of
Regulatory Matters - Summary of Actual Capital Amounts and Ratios (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 |
Debt Instrument Fair Value Carrying Value [Abstract] | ||
Total Capital (to Risk Weighted Assets), Actual | $ 34,225 | |
Tier 1 Capital (to Risk Weighted Assets), Actual | 32,562 | |
Common Equity Tier 1 Capital (to Risk Weighted Assets), Actual | 32,562 | |
Tier 1 Capital (to Average Assets), Actual | $ 32,562 | |
Total Capital (to Risk Weighted Assets), Actual Ratio | 23.01% | |
Tier 1 Capital (to Risk Weighted Assets), Actual Ratio | 21.89% | |
Common Equity Tier 1 Capital (to Risk Weighted Assets), Actual Ratio | 21.89% | |
Tier 1 Capital (to Average Assets), Actual Ratio | 13.79% | |
Total Capital (to Risk Weighted Assets), For Capital Adequacy purpose Amount | $ 11,901 | |
Tier 1 Capital (to Risk Weighted Assets) For Capital Adequacy purpose Amount | 8,925 | |
Common Equity Tier 1 Capital (to Risk Weighted Assets) For Capital Adequacy purpose Amount | 6,694 | |
Tier 1 Capital (to Average Assets) For Capital Adequacy purpose Amount | $ 9,446 | |
Total Capital (to Risk Weighted Assets), For Capital Adequacy purpose Ratio | 8.00% | |
Tier 1 Capital (to Risk Weighted Assets) For Capital Adequacy purpose Ratio | 6.00% | 4.00% |
Common Equity Tier 1 Capital (to Risk Weighted Assets), For Capital Adequacy purpose Ratio | 4.50% | |
Tier 1 Capital (to Average Assets) For Capital Adequacy purpose Ratio | 4.00% | |
Total Capital (to Risk Weighted Assets), Capitalized Under Prompt Corrective Action Provisions Amount | $ 14,876 | |
Tier 1 Capital (to Risk Weighted Assets), Capitalized Under Prompt Corrective Action Provisions Amount | 11,901 | |
Common Equity Tier 1 Capital (to Risk Weighted Assets), Capitalized Under Prompt Corrective Action Provisions Amount | 9,669 | |
Tier 1 Capital (to Average Assets), Capitalized Under Prompt Corrective Action Provisions Amount | $ 11,807 | |
Total Capital (to Risk Weighted Assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 10.00% | |
Tier 1 Capital (to Risk Weighted Assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 8.00% | 6.00% |
Common Equity Tier 1 Capital (to Risk Weighted Assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 6.50% | |
Tier 1 Capital (to Average Assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 5.00% |
Common Stock Repurchases - Addi
Common Stock Repurchases - Additional Information (Detail) - $ / shares | 6 Months Ended | 12 Months Ended |
Jun. 30, 2016 | Dec. 31, 2015 | |
Equity, Class of Treasury Stock [Line Items] | ||
Number of shares repurchased | 208,600 | 42,000 |
Average cost of shares repurchased | $ 15.31 | $ 14.60 |
Maximum [Member] | ||
Equity, Class of Treasury Stock [Line Items] | ||
Number of shares authorized to be repurchased | 283,000 |
Stock Based Compensation - Addi
Stock Based Compensation - Additional Information (Detail) - USD ($) | May 12, 2016 | Jun. 30, 2016 | Jun. 30, 2016 |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of unvested restricted stock awarded | 44,300 | 44,300 | |
2015 Equity Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized under plan | 396,140 | 396,140 | |
2015 Equity Incentive Plan [Member] | Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized under plan | 282,957 | 282,957 | |
Stock-based compensation expense, related tax benefits | $ 8,000 | ||
Number of shares granted | 224,200 | ||
Stock options granted, exercise price | $ 15.13 | ||
Weighted average remaining years to vest | 5 years | ||
Expected volatility | 20.24% | ||
Stock options granted, fair value | $ 15.13 | ||
Expected option life | 6 years 6 months | ||
Period of U.S. Treasury rate | 7 years | ||
Annual risk free interest rate | 1.54% | ||
Estimated fair value of award determined by Black-Scholes option pricing model | $ 3.71 | ||
Stock option expense | $ 21,000 | $ 21,000 | |
Unrecognized compensation costs, weighted-average recognition period | 4 years 9 months 18 days | ||
Number of shares outstanding | 224,200 | 224,200 | |
Number of shares exercisable | 0 | 0 | |
Weighted average remaining contractual terms, Exercisable | 9 years 9 months 18 days | ||
Unrecognized compensation costs | $ 809,000 | $ 809,000 | |
2015 Equity Incentive Plan [Member] | Restricted Stock Awards And Restricted Stock Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized under plan | 113,183 | 113,183 | |
2015 Equity Incentive Plan [Member] | Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares awarded | 44,300 | ||
Weighted-average grant-date fair values of options granted per share | $ 15.13 | ||
Award vesting period | 5 years | ||
Minimum vesting period from date of grant | 1 year | ||
Stock-based compensation expense | $ 25,000 | $ 25,000 | |
Stock-based compensation expense, related tax benefits | $ 10,000 | ||
Number of unvested restricted stock awarded | 44,300 | 44,300 | |
Unrecognized share based compensation expense | $ 645,000 | $ 645,000 | |
Unrecognized compensation costs, weighted-average recognition period | 4 years 9 months 18 days |