Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | Note 4. Loans and Related Allowance for Loan Loss The Company’s loan portfolio is made up of four segments: real estate loans, commercial and industrial loans, consumer loans and other loans. These segments are further segregated between loans accounted for under the amortized cost method (“Originated Loans”) and acquired loans that were originally recorded at fair value with no carryover of the related pre-merger allowance for loan losses (“Loans Acquired at Fair Value”). The following table presents the major classifications of loans as of the dates indicated. (Dollars in thousands) June 30, 2015 December 31, 2014 Amount Percent Amount Percent Originated Loans Real estate: Residential $ 152,356 35.2 % $ 161,719 39.4 % Commercial 116,356 26.9 104,994 25.7 Construction 10,785 2.5 10,039 2.5 Commercial and Industrial 58,474 13.5 53,238 13.0 Consumer 90,058 20.8 76,242 18.6 Other 4,820 1.1 3,099 0.8 Total Originated Loans 432,849 100.0 % 409,331 100.0 % Allowance for Loan Losses (5,686 ) (5,195 ) Loans, Net $ 427,163 $ 404,136 Loans Acquired at Fair Value Real estate: Residential $ 124,251 53.9 % $ 161,561 58.4 % Commercial 79,036 34.3 77,864 28.2 Construction 6,192 2.7 12,158 4.4 Commercial and Industrial 20,180 8.8 23,363 8.5 Consumer 642 0.3 1,369 0.5 Total Loans Acquired at Fair Value $ 230,301 100.0 % $ 276,315 100.0 % Total Loans Real estate: Residential $ 276,607 41.6 % $ 323,280 47.1 % Commercial 195,392 29.5 182,858 26.7 Construction 16,977 2.6 22,197 3.2 Commercial and Industrial 78,654 11.9 76,601 11.2 Consumer 90,700 13.7 77,611 11.3 Other 4,820 0.7 3,099 0.5 Total Loans 663,150 100.0 % 685,646 100.0 % Allowance for Loan Losses (5,686 ) (5,195 ) Loans, Net $ 657,464 $ 680,451 Total unamortized net deferred loan fees were $589,000 and $322,000 at June 30, 2015 and December 31, 2014, respectively. Real estate loans serviced for others, which are not included in the Consolidated Statement of Financial Condition, totaled $65.4 million and $62.3 million at June 30, 2015 and December 31, 2014, respectively. The following table presents loans summarized by the aggregate Pass and the criticized categories of Special Mention, Substandard and Doubtful within the internal risk rating system as of the dates indicated. (Dollars in thousands) June 30, 2015 Pass Special Mention Substandard Doubtful Total Originated Loans Real Estate: Residential $ 151,855 $ 231 $ 264 $ 6 $ 152,356 Commercial 100,929 10,002 4,320 1,105 116,356 Construction 9,730 - 759 296 10,785 Commercial and Industrial 54,757 1,970 1,747 - 58,474 Consumer 90,057 - 1 - 90,058 Other 4,820 - - - 4,820 Total Originated Loans $ 412,148 $ 12,203 $ 7,091 $ 1,407 $ 432,849 Loans Acquired at Fair Value Real Estate: Residential $ 121,864 $ - $ 2,387 $ - $ 124,251 Commercial 73,723 3,233 2,080 - 79,036 Construction 6,192 - - - 6,192 Commercial and Industrial 18,757 1,378 45 - 20,180 Consumer 642 - - - 642 Total Loans Acquired at Fair Value $ 221,178 $ 4,611 $ 4,512 $ - $ 230,301 Total Loans Real Estate: Residential $ 273,719 $ 231 $ 2,651 $ 6 $ 276,607 Commercial 174,652 13,235 6,400 1,105 195,392 Construction 15,922 - 759 296 16,977 Commercial and Industrial 73,514 3,348 1,792 - 78,654 Consumer 90,699 - 1 - 90,700 Other 4,820 - - - 4,820 Total Loans $ 633,326 $ 16,814 $ 11,603 $ 1,407 $ 663,150 December 31, 2014 Pass Special Mention Substandard Doubtful Total Originated Loans Real Estate: Residential $ 161,191 $ 194 $ 315 $ 19 $ 161,719 Commercial 89,721 10,761 3,820 692 104,994 Construction 8,805 101 789 344 10,039 Commercial and Industrial 49,612 2,941 383 302 53,238 Consumer 76,238 - 4 - 76,242 Other 3,099 - - - 3,099 Total Originated Loans $ 388,666 $ 13,997 $ 5,311 $ 1,357 $ 409,331 Loans Acquired at Fair Value Real Estate: Residential $ 159,633 $ - $ 1,928 $ - $ 161,561 Commercial 73,280 2,429 2,155 - 77,864 Construction 12,158 - - - 12,158 Commercial and Industrial 21,913 1,450 - - 23,363 Consumer 1,369 - - - 1,369 Total Loans Acquired at Fair Value $ 268,353 $ 3,879 $ 4,083 $ - $ 276,315 Total Loans Real Estate: Residential $ 320,824 $ 194 $ 2,243 $ 19 $ 323,280 Commercial 163,001 13,190 5,975 692 182,858 Construction 20,963 101 789 344 22,197 Commercial and Industrial 71,525 4,391 383 302 76,601 Consumer 77,607 - 4 - 77,611 Other 3,099 - - - 3,099 Total Loans $ 657,019 $ 17,876 $ 9,394 $ 1,357 $ 685,646 The following table presents the classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans as of the dates indicated. (Dollars in thousands) June 30, 2015 Loans Current 30-59 Days Past Due 60-89 Days Past Due 90 Days Or More Past Due Total Past Due Non- Accrual Total Loans Originated Loans Real Estate: Residential $ 151,994 $ 96 $ - $ - $ 96 $ 266 $ 152,356 Commercial 113,647 187 2,015 - 2,202 507 116,356 Construction 10,488 - - - - 297 10,785 Commercial and Industrial 58,429 - - - - 45 58,474 Consumer 89,520 492 45 - 537 1 90,058 Other 4,820 - - - - - 4,820 Total Originated Loans $ 428,898 $ 775 $ 2,060 $ - $ 2,835 $ 1,116 $ 432,849 Loans Acquired at Fair Value Real Estate: Residential $ 121,964 $ 166 $ 438 $ 232 $ 836 $ 1,451 $ 124,251 Commercial 78,606 - - - - 430 79,036 Construction 6,024 168 - - 168 - 6,192 Commercial and Industrial 20,025 - 155 - 155 - 20,180 Consumer 642 - - - - - 642 Total Loans Acquired at Fair Value $ 227,261 $ 334 $ 593 $ 232 $ 1,159 $ 1,881 $ 230,301 Total Loans Real Estate: Residential $ 273,958 $ 262 $ 438 $ 232 $ 932 $ 1,717 $ 276,607 Commercial 192,253 187 2,015 - 2,202 937 195,392 Construction 16,512 168 - - 168 297 16,977 Commercial and Industrial 78,454 - 155 - 155 45 78,654 Consumer 90,162 492 45 - 537 1 90,700 Other 4,820 - - - - - 4,820 Total Loans $ 656,159 $ 1,109 $ 2,653 $ 232 $ 3,994 $ 2,997 $ 663,150 December 31, 2014 Loans Current 30-59 Days Past Due 60-89 Days Past Due 90 Days Or More Past Due Total Past Due Non- Accrual Total Loans Originated Loans Real Estate: Residential $ 161,145 $ 249 $ 16 $ - $ 265 $ 309 $ 161,719 Commercial 102,016 2,397 - - 2,397 581 104,994 Construction 9,695 - - - - 344 10,039 Commercial and Industrial 53,234 - - - - 4 53,238 Consumer 75,839 369 24 10 403 - 76,242 Other 3,099 - - - - - 3,099 Total Originated Loans $ 405,028 $ 3,015 $ 40 $ 10 $ 3,065 $ 1,238 $ 409,331 Loans Acquired at Fair Value Real Estate: Residential $ 158,576 $ 1,364 $ 18 $ 369 $ 1,751 $ 1,234 $ 161,561 Commercial 77,252 128 - - 128 484 77,864 Construction 12,158 - - - - - 12,158 Commercial and Industrial 23,356 7 - - 7 - 23,363 Consumer 1,341 28 - - 28 - 1,369 Total Loans Acquired at Fair Value $ 272,683 $ 1,527 $ 18 $ 369 $ 1,914 $ 1,718 $ 276,315 Total Loans Real Estate: Residential $ 319,721 $ 1,613 $ 34 $ 369 $ 2,016 $ 1,543 $ 323,280 Commercial 179,268 2,525 - - 2,525 1,065 182,858 Construction 21,853 - - - - 344 22,197 Commercial and Industrial 76,590 7 - - 7 4 76,601 Consumer 77,180 397 24 10 431 - 77,611 Other 3,099 - - - - - 3,099 Total Loans $ 677,711 $ 4,542 $ 58 $ 379 $ 4,979 $ 2,956 $ 685,646 The following table sets forth the amounts and categories of our nonperforming assets at the dates indicated. Included in nonperforming loans and assets are troubled debt restructurings (“TDRs”), which are loans whose contractual terms have been restructured in a manner which grants a concession to a borrower experiencing financial difficulties. Nonaccrual TDRs are included in their specific loan category in the nonaccrual loans section. (Dollars in Thousands) June 30, 2015 December 31, 2014 Nonaccrual Loans: Real estate: Residential $ 1,717 $ 1,543 Commercial 937 1,065 Construction 297 344 Commercial and Industrial 45 4 Consumer 1 - Total Nonaccrual Loans 2,997 2,956 Accruing Loans Past Due 90 Days or More: Real Estate Residential 232 369 Consumer - 10 Total Accruing Loans 90 Days or More Past Due 232 379 Total Nonaccrual Loans and Accruing Loans 90 Days or More Past Due 3,229 3,335 Troubled Debt Restructurings, Accruing Originated Loans: Real Estate - Commercial 1,129 246 Commercial and Industrial 8 310 Total Originated Loans 1,137 556 Loans Acquired at Fair Value: Real Estate - Residential 1,315 1,337 Real Estate - Commercial 1,734 1,800 Total Loans Acquired at Fair Value 3,049 3,137 Total Troubled Debt Restructurings, Accruing 4,186 3,693 Total Nonperforming Loans 7,415 7,028 Real Estate Owned: Residential 151 104 Other 174 174 Total Real Estate Owned 325 278 Total Nonperforming Assets $ 7,740 $ 7,306 Nonperforming Loans to Total Loans 1.12 % 1.03 % Nonperforming Assets to Total Assets 0.92 0.86 The recorded investment of residential real estate loans for which formal foreclosure proceedings were in process according to local requirements of the applicable jurisdiction was $2.2 million and $2.7 million at June 30, 2015 and December 31, 2014, respectively. TDRs typically are the result of our loss mitigation activities whereby concessions are granted to minimize loss and avoid foreclosure or repossession of collateral. The concessions granted for the TDRs in our portfolio primarily consist of, but are not limited to, modification of payment or other terms, temporary rate modification and extension of maturity date. Loans classified as TDRs consisted of 12 loans totaling $4.5 million and 13 loans totaling $4.0 million at June 30, 2015 and December 31, 2014, respectively. Originated loans classified as TDRs consisted of 4 loans totaling $1.4 million and $830,000, respectively, at June 30, 2015 and December 31, 2014. Loans acquired at fair value as TDRs consisted of 8 loans and 9 loans, respectively, totaling $3.1 million at June 30, 2015 and December 31, 2014. During the three months ended June 30, 2015, one commercial loan previously identified as an originated TDR and two other commercial loans were consolidated into one loan in a new TDR transaction. During the six months ended June 30, 2015, two commercial loans previously identified as originated TDRs were refinanced in new TDR transactions. During the three and six months ended June 30, 2015, one commercial TDR acquired at fair value paid off. No TDRs have subsequently defaulted during the three or six months ended June 30, 2015 and 2014, respectively. The following table presents information at the time of modification related to loans modified as TDRs during the periods indicated. No loans were modified in a TDR during the three and six month ended June 30, 2014. (Dollars in thousands) Three Months Ended June 30, 2015 Number of Contracts Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Related Allowance Originated Loans Real Estate Commercial 1 $ 675 $ 705 $ 108 Total 1 $ 675 $ 705 $ 108 Six Months Ended June 30, 2015 Number of Contracts Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Related Allowance Originated Loans Real Estate Commercial 2 $ 912 $ 1,135 $ 108 Total 2 $ 912 $ 1,135 $ 108 The following table presents a summary of the loans considered to be impaired as of the dates indicated. (Dollars in thousands) June 30, 2015 Recorded Investment Related Allowance Unpaid Principal Balance Average Recorded Investment Interest Income Recognized With No Related Allowance Recorded: Originated Loans Real Estate: Residential $ 10 $ - $ 22 $ 21 $ 1 Commercial 4,127 - 4,127 4,210 88 Construction 759 - 759 774 16 Commercial and Industrial 1,345 - 1,345 1,291 23 Total With No Related Allowance Recorded $ 6,241 $ - $ 6,253 $ 6,296 $ 128 Loans Acquired at Fair Value Real Estate: Residential $ 936 $ - $ 936 $ 941 $ 25 Commercial 2,080 - 2,134 2,129 51 Commercial and Industrial 45 - 45 49 1 Total With No Related Allowance Recorded $ 3,061 $ - $ 3,115 $ 3,119 $ 77 Total Loans Real Estate: Residential $ 946 $ - $ 958 $ 962 $ 26 Commercial 6,207 - 6,261 6,339 139 Construction 759 - 759 774 16 Commercial and Industrial 1,390 - 1,390 1,340 24 Total With No Related Allowance Recorded $ 9,302 $ - $ 9,368 $ 9,415 $ 205 With A Related Allowance Recorded: Originated Loans Real Estate: Commercial $ 1,461 $ 370 $ 1,472 $ 1,468 $ 9 Construction 296 5 296 325 - Commercial and Industrial 239 159 239 263 7 Total With A Related Allowance Recorded $ 1,996 $ 534 $ 2,007 $ 2,056 $ 16 Total Impaired Loans: Originated Loans Real Estate: Residential $ 10 $ - $ 22 $ 21 $ 1 Commercial 5,588 370 5,599 5,678 97 Construction 1,055 5 1,055 1,099 16 Commercial and Industrial 1,584 159 1,584 1,554 30 Total Impaired Loans $ 8,237 $ 534 $ 8,260 $ 8,352 $ 144 Loans Acquired at Fair Value Real Estate: Residential $ 936 $ - $ 936 $ 941 $ 25 Commercial 2,080 - 2,134 2,129 51 Commercial and Industrial 45 - 45 49 1 Total Impaired Loans $ 3,061 $ - $ 3,115 $ 3,119 $ 77 Total Loans Real Estate: Residential $ 946 $ - $ 958 $ 962 $ 26 Commercial 7,668 370 7,733 7,807 148 Construction 1,055 5 1,055 1,099 16 Commercial and Industrial 1,629 159 1,629 1,603 31 Total Impaired Loans $ 11,298 $ 534 $ 11,375 $ 11,471 $ 221 December 31, 2014 Recorded Investment Related Allowance Unpaid Principal Balance Average Recorded Investment Interest Income Recognized With No Related Allowance Recorded: Originated Loans Real Estate: Residential $ 45 $ - $ 70 $ 55 $ - Commercial 3,352 - 3,366 4,300 149 Commercial and Industrial 369 - 369 426 17 Total With No Related Allowance Recorded $ 3,766 $ - $ 3,805 $ 4,781 $ 166 Loans Acquired at Fair Value Real Estate: Residential $ 947 $ - $ 947 $ 957 $ 51 Commercial 1,846 - 1,885 1,926 93 Total With No Related Allowance Recorded $ 2,793 $ - $ 2,832 $ 2,883 $ 144 Total Loans Real Estate: Residential $ 992 $ - $ 1,017 $ 1,012 $ 51 Commercial 5,198 - 5,251 6,226 242 Commercial and Industrial 369 - 369 426 17 Total With No Related Allowance Recorded $ 6,559 $ - $ 6,637 $ 7,664 $ 310 With A Related Allowance Recorded: Originated Loans Real Estate: Commercial $ 1,382 $ 519 $ 1,389 $ 1,427 $ 51 Construction 1,133 100 1,133 1,366 41 Commercial and Industrial 317 254 317 319 17 Total With A Related Allowance Recorded $ 2,832 $ 873 $ 2,839 $ 3,112 $ 109 Total Loans Originated Loans Real Estate: Residential $ 45 $ - $ 70 $ 55 $ - Commercial 4,734 519 4,755 5,727 200 Construction 1,133 100 1,133 1,366 41 Commercial and Industrial 686 254 686 745 34 Total Impaired Loans $ 6,598 $ 873 $ 6,644 $ 7,893 $ 275 Loans Acquired at Fair Value Real Estate: Residential $ 947 $ - $ 947 $ 957 $ 51 Commercial 1,846 - 1,885 1,926 93 Total Impaired Loans $ 2,793 $ - $ 2,832 $ 2,883 $ 144 Total Loans Real Estate: Residential $ 992 $ - $ 1,017 $ 1,012 $ 51 Commercial 6,580 519 6,640 7,653 293 Construction 1,133 100 1,133 1,366 41 Commercial and Industrial 686 254 686 745 34 Total Impaired Loans $ 9,391 $ 873 $ 9,476 $ 10,776 $ 419 The following table presents the activity in the allowance for loan losses summarized by major classifications and segregated into the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for potential impairment for the periods indicated. (Dollars in thousands) Real Estate Residential Real Estate Commercial Real Estate Construction Commercial and Industrial Consumer Unallocated Total March 31, 2015 $ 2,513 $ 608 $ 145 $ 913 $ 1,011 $ 288 $ 5,478 Charge-offs (111 ) (12 ) - - (69 ) - (192 ) Recoveries 2 1 - 10 12 - 25 Provision (737 ) 1,149 (58 ) (6 ) 384 (357 ) 375 June 30, 2015 $ 1,667 $ 1,746 $ 87 $ 917 $ 1,338 $ (69 ) $ 5,686 December 31, 2014 $ 2,690 $ 582 $ 122 $ 684 $ 1,015 $ 102 $ 5,195 Charge-offs (111 ) (18 ) - - (116 ) - (245 ) Recoveries 5 3 - 10 43 - 61 Provision (917 ) 1,179 (35 ) 223 396 (171 ) 675 June 30, 2015 $ 1,667 $ 1,746 $ 87 $ 917 $ 1,338 $ (69 ) $ 5,686 Originated Loans Individually Evaluated for Impairment $ - $ 370 $ 5 $ 159 $ - $ - $ 534 Collectively Evaluated for Potential Impairment $ 1,667 $ 1,376 $ 82 $ 758 $ 1,338 $ (69 ) $ 5,152 Real Estate Residential Real Estate Commercial Real Estate Construction Commercial and Industrial Consumer Unallocated Total March 31, 2014 $ 1,481 $ 1,703 $ 355 $ 1,014 $ 580 $ 239 $ 5,372 Charge-offs (10 ) - - - (30 ) - (40 ) Recoveries - - - 1 7 - 8 Provision 7 9 (62 ) 12 14 20 - June 30, 2014 $ 1,478 $ 1,712 $ 293 $ 1,027 $ 571 $ 259 $ 5,340 December 31, 2013 $ 1,481 $ 1,703 $ 355 $ 1,013 $ 592 $ 238 $ 5,382 Charge-offs (10 ) - - - (66 ) - (76 ) Recoveries 1 - - 2 31 - 34 Provision 6 9 (62 ) 12 14 21 - June 30, 2014 $ 1,478 $ 1,712 $ 293 $ 1,027 $ 571 $ 259 $ 5,340 Originated Loans Individually Evaluated for Impairment $ - $ 493 $ 201 $ 248 $ - $ - $ 942 Collectively Evaluated for Potential Impairment $ 1,478 $ 1,219 $ 92 $ 779 $ 571 $ 259 $ 4,398 December 31, 2014 Real Estate Residential Real Estate Commercial Real Estate Construction Commercial and Industrial Consumer Unallocated Total Originated Loans Individually Evaluated for Impairment $ - $ 519 $ 100 $ 254 $ - $ - $ 873 Collectively Evaluated for Potential Impairment $ 2,690 $ 63 $ 22 $ 430 $ 1,015 $ 102 $ 4,322 The following table presents changes in the accretable discount on the loans acquired at fair value for the dates indicated. Accretable Discount Balance at December 31, 2014 $ 4,359 Accretable yield (477 ) Nonaccretable premium 78 Balance at June 30, 2015 $ 3,960 The following table presents the major classifications of loans summarized by individually evaluated for impairment and collectively evaluated for potential impairment as of the dates indicated. (Dollars in thousands) June 30, 2015 Real Estate Residential Real Estate Commercial Real Estate Construction Commercial and Industrial Consumer Other Total Originated Loans Individually Evaluated for Impairment $ 10 $ 5,588 $ 1,055 $ 1,584 $ - $ - $ 8,237 Collectively Evaluated for Potential Impairment 152,346 110,768 9,730 56,890 90,058 4,820 424,612 $ 152,356 $ 116,356 $ 10,785 $ 58,474 $ 90,058 $ 4,820 $ 432,849 Loans Acquired at Fair Value Individually Evaluated for Impairment $ 936 $ 2,080 $ - $ 45 $ - $ - $ 3,061 Collectively Evaluated for Potential Impairment 123,315 76,956 6,192 20,135 642 - 227,240 $ 124,251 $ 79,036 $ 6,192 $ 20,180 $ 642 $ - $ 230,301 Total Loans Individually Evaluated for Impairment $ 946 $ 7,668 $ 1,055 $ 1,629 $ - $ - $ 11,298 Collectively Evaluated for Potential Impairment 275,661 187,724 15,922 77,025 90,700 4,820 651,852 $ 276,607 $ 195,392 $ 16,977 $ 78,654 $ 90,700 $ 4,820 $ 663,150 December 31, 2014 Real Estate Residential Real Estate Commercial Real Estate Construction Commercial and Industrial Consumer Other Total Originated Loans Individually Evaluated for Impairment $ 45 $ 4,734 $ 1,133 $ 686 $ - $ - $ 6,598 Collectively Evaluated for Potential Impairment 161,674 100,260 8,906 52,552 76,242 3,099 402,733 $ 161,719 $ 104,994 $ 10,039 $ 53,238 $ 76,242 $ 3,099 $ 409,331 Loans Acquired at Fair Value Individually Evaluated for Impairment $ 947 $ 1,846 $ - $ - $ - $ - $ 2,793 Collectively Evaluated for Potential Impairment 160,614 76,018 12,158 23,363 1,369 - 273,522 $ 161,561 $ 77,864 $ 12,158 $ 23,363 $ 1,369 $ - $ 276,315 Total Loans Individually Evaluated for Impairment $ 992 $ 6,580 $ 1,133 $ 686 $ - $ - $ 9,391 Collectively Evaluated for Potential Impairment 322,288 176,278 21,064 75,915 77,611 3,099 676,255 $ 323,280 $ 182,858 $ 22,197 $ 76,601 $ 77,611 $ 3,099 $ 685,646 |