Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2020 | Oct. 20, 2020 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000702513 | |
Entity Registrant Name | Bank of Commerce Holdings | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2020 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 0-25135 | |
Entity Incorporation, State or Country Code | CA | |
Entity Tax Identification Number | 94-2823865 | |
Entity Address, Address Line One | 555 Capitol Mall, Suite 1255 | |
Entity Address, City or Town | Sacramento | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 95814 | |
City Area Code | 800 | |
Local Phone Number | 421-2575 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | BOCH | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 16,786,685 |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Assets: | ||
Cash and due from banks | $ 22,884 | $ 21,338 |
Interest-bearing deposits in other banks | 104,999 | 59,266 |
Total cash and cash equivalents | 127,883 | 80,604 |
Securities available-for-sale, at fair value | 337,032 | 286,950 |
Loans, net of deferred fees and costs | 1,205,028 | 1,035,065 |
Allowance for loan and lease losses | (16,873) | (12,231) |
Net loans | 1,188,155 | 1,022,834 |
Premises and equipment, net | 15,210 | 15,906 |
Other real estate owned | 8 | 35 |
Life insurance | 24,086 | 23,701 |
Deferred tax asset, net | 2,571 | 4,553 |
Goodwill | 11,671 | 11,671 |
Other intangible assets, net | 4,235 | 4,809 |
Other assets | 29,037 | 28,553 |
Total assets | 1,739,888 | 1,479,616 |
Liabilities: | ||
Demand - noninterest-bearing | 542,060 | 432,680 |
Demand - interest-bearing | 280,370 | 239,258 |
Money market | 403,785 | 307,559 |
Savings | 151,016 | 135,888 |
Certificates of deposit | 140,900 | 151,786 |
Total deposits | 1,518,131 | 1,267,171 |
Term debt: | ||
Federal Home Loan Bank of San Francisco borrowings | 10,000 | 0 |
Junior subordinated debentures | 10,310 | 10,310 |
Other liabilities | 18,104 | 17,700 |
Total liabilities | 1,566,538 | 1,305,138 |
Commitments and contingencies (Note 7) | ||
Shareholders' equity: | ||
Common stock, no par value, 50,000,000 shares authorized: issued and outstanding - 16,791,685 as of September 30, 2020 and 18,137,167 as of December 31, 2019 | 58,872 | 71,311 |
Retained earnings | 107,154 | 100,566 |
Accumulated other comprehensive income, net of tax | 7,324 | 2,601 |
Total shareholders' equity | 173,350 | 174,478 |
Total liabilities and shareholders' equity | 1,739,888 | 1,479,616 |
Term Debt [Member] | ||
Term debt: | ||
Other borrowings | 10,000 | 10,000 |
Less unamortized debt issuance costs | (7) | (43) |
Net term debts | $ 19,993 | $ 9,957 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares $ / shares in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Common stock, par value (in dollars per share) | $ 0 | $ 0 |
Common stock, authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, issued (in shares) | 16,791,685 | 18,137,167 |
Common stock, outstanding (in shares) | 16,791,685 | 18,137,167 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | ||
Interest income: | |||||
Interest and fees on loans | $ 13,448 | $ 13,013 | $ 39,010 | $ 37,891 | |
Interest on taxable securities | 1,284 | 1,609 | 4,195 | 5,106 | |
Interest on tax-exempt securities | 457 | 271 | 1,151 | 986 | |
Interest on interest-bearing deposits in other banks | 29 | 308 | 204 | 772 | |
Total interest income | 15,218 | 15,201 | 44,560 | 44,755 | |
Interest expense: | |||||
Interest on demand - interest-bearing | 71 | 117 | 256 | 372 | |
Interest on money market | 289 | 451 | 1,009 | 1,120 | |
Interest on savings | 74 | 131 | 287 | 365 | |
Interest on certificates of deposit | 420 | 491 | 1,351 | 1,478 | |
Interest on Federal Home Loan Bank of San Francisco borrowings | 0 | 0 | 5 | 247 | |
Interest on other borrowings | 184 | 183 | 552 | 623 | |
Interest on junior subordinated debentures | 50 | 106 | 201 | 329 | |
Total interest expense | 1,088 | 1,479 | 3,661 | 4,534 | |
Net interest income | 14,130 | 13,722 | 40,899 | 40,221 | |
Provision for loan and lease losses | 1,100 | 0 | 5,250 | 0 | |
Net interest income after provision for loan and lease losses | 13,030 | 13,722 | 35,649 | 40,221 | |
Noninterest income: | |||||
Payroll and benefit processing fees | 152 | 158 | 465 | 486 | |
Life insurance | 125 | 126 | 396 | 410 | |
Gain on sale of investment securities, net | 258 | 12 | 482 | 137 | |
Federal Home Loan Bank of San Francisco dividends | 109 | 131 | 275 | 376 | |
(Loss) gain on sale of OREO | 0 | 0 | (23) | 41 | |
Other income | 106 | 109 | 150 | 305 | |
Total noninterest income | 1,189 | 1,006 | 3,036 | 3,163 | |
Noninterest expense: | |||||
Salaries and related benefits | 5,126 | 5,005 | 15,978 | 15,880 | |
Premises and equipment | 951 | 933 | 2,631 | 2,836 | |
FDIC insurance premium | 101 | (104) | 227 | 91 | |
Data processing | 581 | 582 | 1,697 | 1,796 | |
Professional services | 342 | 392 | 1,145 | 1,230 | |
Telecommunications | 157 | 194 | 484 | 547 | |
Acquisition and merger | 0 | (113) | 0 | 2,193 | |
Other expenses | 1,132 | 1,411 | 4,281 | 4,261 | |
Total noninterest expense | 8,390 | 8,300 | 26,443 | 28,834 | |
Income before provision for income taxes | 5,829 | 6,428 | 12,242 | 14,550 | |
Provision for income taxes | 1,500 | 1,786 | 3,150 | 3,958 | |
Net income | $ 4,329 | $ 4,642 | $ 9,092 | $ 10,592 | |
Earnings per share - basic (in dollars per share) | $ 0.26 | $ 0.26 | $ 0.53 | $ 0.59 | |
Weighted average shares - basic (in shares) | [1] | 16,660 | 18,130 | 17,004 | 17,918 |
Earnings per share - diluted (in dollars per share) | $ 0.26 | $ 0.26 | $ 0.53 | $ 0.59 | |
Weighted average shares - diluted (in shares) | 16,696 | 18,196 | 17,044 | 17,981 | |
Deposit Account [Member] | |||||
Noninterest income: | |||||
Revenue from Contract with Customer | $ 142 | $ 177 | $ 463 | $ 532 | |
Credit and Debit Card [Member] | |||||
Noninterest income: | |||||
Revenue from Contract with Customer | $ 297 | $ 293 | $ 828 | $ 876 | |
[1] | Excludes unvested restricted shares because they do not have dividend or voting rights |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Net income | $ 4,329 | $ 4,642 | $ 9,092 | $ 10,592 |
Available-for-sale securities : | ||||
Changes in unrealized gains arising during the period | 509 | (81) | 7,187 | 7,725 |
Income taxes | (151) | 23 | (2,124) | (2,284) |
Change in unrealized gain, net of tax | 358 | (58) | 5,063 | 5,441 |
Reclassification adjustment for realized gains included in net income | (258) | (12) | (482) | (137) |
Income taxes | 76 | 4 | 142 | 41 |
Realized gains, net of tax | (182) | (8) | (340) | (96) |
Net change in unrealized gains (losses) on available-for-sale securities | 176 | (66) | 4,723 | 5,345 |
Other comprehensive income (loss) | 176 | (66) | 4,723 | 5,345 |
Comprehensive income – Bank of Commerce Holdings | $ 4,505 | $ 4,576 | $ 13,815 | $ 15,937 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Balance (in shares) at Dec. 31, 2018 | 16,334,000 | |||
Balance at Dec. 31, 2018 | $ 52,284 | $ 89,045 | $ (3,008) | $ 138,321 |
Net income | 0 | 2,306 | 0 | 2,306 |
Other comprehensive income (loss), net of tax | 0 | 0 | 2,514 | 2,514 |
Comprehensive income | 0 | 0 | 0 | 4,820 |
Dividend declared on common stock | $ 0 | (725) | 0 | (725) |
Stock issued for Merchants acquisition (in shares) | 1,834,000 | |||
Stock issued for Merchants acquisition | $ 19,606 | 0 | 0 | 19,606 |
Stock compensation grants (in shares) | 6,000 | |||
Stock compensation grants | $ 58 | 0 | 0 | 58 |
Restricted stock granted, net (in shares) | 31,000 | |||
Restricted stock granted, net | $ 0 | 0 | 0 | 0 |
Stock options exercised (in shares) | 8,000 | |||
Stock options exercised | $ 40 | 0 | 0 | 40 |
Compensation expense associated with restricted stock, net of cash paid for shares surrendered for tax-withholding purposes | $ (22) | 0 | 0 | (22) |
Balance (in shares) at Mar. 31, 2019 | 18,213,000 | |||
Balance at Mar. 31, 2019 | $ 71,966 | 90,626 | (494) | 162,098 |
Balance (in shares) at Dec. 31, 2018 | 16,334,000 | |||
Balance at Dec. 31, 2018 | $ 52,284 | 89,045 | (3,008) | 138,321 |
Net income | 10,592 | |||
Other comprehensive income (loss), net of tax | 5,345 | |||
Comprehensive income | 15,937 | |||
Stock compensation grants | 58 | |||
Balance (in shares) at Sep. 30, 2019 | 18,212,000 | |||
Balance at Sep. 30, 2019 | $ 72,200 | 97,100 | 2,337 | 171,637 |
Balance (in shares) at Mar. 31, 2019 | 18,213,000 | |||
Balance at Mar. 31, 2019 | $ 71,966 | 90,626 | (494) | 162,098 |
Net income | 0 | 3,644 | 0 | 3,644 |
Other comprehensive income (loss), net of tax | 0 | 0 | 2,897 | 2,897 |
Comprehensive income | 0 | 0 | 0 | 6,541 |
Dividend declared on common stock | $ 0 | (907) | 0 | (907) |
Restricted stock granted, net (in shares) | 1,000 | |||
Restricted stock granted, net | $ 0 | 0 | 0 | 0 |
Compensation expense associated with restricted stock, net of cash paid for shares surrendered for tax-withholding purposes | $ 121 | 0 | 0 | 121 |
Balance (in shares) at Jun. 30, 2019 | 18,214,000 | |||
Balance at Jun. 30, 2019 | $ 72,087 | 93,363 | 2,403 | 167,853 |
Net income | 0 | 4,642 | 0 | 4,642 |
Other comprehensive income (loss), net of tax | 0 | 0 | (66) | (66) |
Comprehensive income | 0 | 0 | 0 | 4,576 |
Dividend declared on common stock | $ 0 | (905) | 0 | (905) |
Restricted stock granted, net (in shares) | (2,000) | |||
Restricted stock granted, net | $ 0 | 0 | 0 | 0 |
Compensation expense associated with restricted stock, net of cash paid for shares surrendered for tax-withholding purposes | $ 113 | 0 | 0 | 113 |
Balance (in shares) at Sep. 30, 2019 | 18,212,000 | |||
Balance at Sep. 30, 2019 | $ 72,200 | 97,100 | 2,337 | 171,637 |
Net income | 0 | 4,369 | 0 | 4,369 |
Other comprehensive income (loss), net of tax | 0 | 0 | 264 | 264 |
Comprehensive income | 0 | 0 | 0 | 4,633 |
Dividend declared on common stock | $ 0 | (903) | 0 | (903) |
Restricted stock granted, net (in shares) | 13,000 | |||
Restricted stock granted, net | $ 0 | 0 | 0 | 0 |
Stock options exercised (in shares) | 3,000 | |||
Stock options exercised | $ 12 | 0 | 0 | 12 |
Compensation expense associated with restricted stock, net of cash paid for shares surrendered for tax-withholding purposes | $ 109 | 0 | 0 | 109 |
Repurchase of common stock (in shares) | (91,000) | |||
Repurchase of common stock | $ (1,010) | 0 | 0 | $ (1,010) |
Balance (in shares) at Dec. 31, 2019 | 18,137,000 | 18,137,167 | ||
Balance at Dec. 31, 2019 | $ 71,311 | 100,566 | 2,601 | $ 174,478 |
Net income | 0 | 916 | 0 | 916 |
Other comprehensive income (loss), net of tax | 0 | 0 | 3,346 | 3,346 |
Comprehensive income | 0 | 0 | 0 | 4,262 |
Dividend declared on common stock | $ 0 | (838) | 0 | (838) |
Restricted stock granted, net (in shares) | 11,000 | |||
Restricted stock granted, net | $ 0 | 0 | 0 | 0 |
Compensation expense associated with restricted stock, net of cash paid for shares surrendered for tax-withholding purposes | $ (14) | 0 | 0 | (14) |
Repurchase of common stock (in shares) | (1,352,000) | |||
Repurchase of common stock | $ (12,230) | 0 | 0 | (12,230) |
Balance (in shares) at Mar. 31, 2020 | 16,796,000 | |||
Balance at Mar. 31, 2020 | $ 59,067 | 100,644 | 5,947 | $ 165,658 |
Balance (in shares) at Dec. 31, 2019 | 18,137,000 | 18,137,167 | ||
Balance at Dec. 31, 2019 | $ 71,311 | 100,566 | 2,601 | $ 174,478 |
Net income | 9,092 | |||
Other comprehensive income (loss), net of tax | 4,723 | |||
Comprehensive income | 13,815 | |||
Stock compensation grants | $ 0 | |||
Balance (in shares) at Sep. 30, 2020 | 16,792,000 | 16,791,685 | ||
Balance at Sep. 30, 2020 | $ 58,872 | 107,154 | 7,324 | $ 173,350 |
Balance (in shares) at Mar. 31, 2020 | 16,796,000 | |||
Balance at Mar. 31, 2020 | $ 59,067 | 100,644 | 5,947 | 165,658 |
Net income | 0 | 3,847 | 0 | 3,847 |
Other comprehensive income (loss), net of tax | 0 | 0 | 1,201 | 1,201 |
Comprehensive income | 0 | 0 | 0 | 5,048 |
Dividend declared on common stock | 0 | (833) | 0 | (833) |
Compensation expense associated with restricted stock, net of cash paid for shares surrendered for tax-withholding purposes | $ 105 | 0 | 0 | 105 |
Repurchase of common stock (in shares) | (57,000) | |||
Repurchase of common stock | $ (423) | 0 | 0 | (423) |
Balance (in shares) at Jun. 30, 2020 | 16,739,000 | |||
Balance at Jun. 30, 2020 | $ 58,749 | 103,658 | 7,148 | 169,555 |
Net income | 0 | 4,329 | 0 | 4,329 |
Other comprehensive income (loss), net of tax | 0 | 0 | 176 | 176 |
Comprehensive income | 0 | 0 | 0 | 4,505 |
Dividend declared on common stock | $ 0 | (833) | 0 | (833) |
Restricted stock granted, net (in shares) | 53,000 | |||
Restricted stock granted, net | $ 0 | 0 | 0 | 0 |
Compensation expense associated with restricted stock, net of cash paid for shares surrendered for tax-withholding purposes | $ 123 | 0 | 0 | $ 123 |
Balance (in shares) at Sep. 30, 2020 | 16,792,000 | 16,791,685 | ||
Balance at Sep. 30, 2020 | $ 58,872 | $ 107,154 | $ 7,324 | $ 173,350 |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders' Equity (Unaudited) (Parentheticals) - $ / shares | 3 Months Ended | ||||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | |
Dividend on common stock (in dollars per share) | $ 0.05 | $ 0.05 | $ 0.05 | $ 0.05 | $ 0.05 | $ 0.05 | $ 0.04 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 7 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Sep. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Mar. 31, 2019 | Apr. 30, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Cash flows from operating activities: | |||||||||
Net income | $ 4,329 | $ 916 | $ 4,369 | $ 4,642 | $ 2,306 | $ 9,092 | $ 10,592 | ||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||
Provision for loan and lease losses | 1,100 | 0 | 5,250 | 0 | |||||
Provision for unfunded commitments | 105 | 0 | |||||||
Provision for depreciation and amortization | 894 | 1,055 | |||||||
Amortization of core deposit intangible | 574 | 529 | |||||||
Amortization of debt issuance costs | 36 | 36 | |||||||
Compensation expense associated with restricted stock | 334 | 306 | |||||||
Tax benefits from vesting of restricted stock | (2) | (6) | |||||||
Net gain on sale or call of securities | (258) | (12) | (482) | (137) | |||||
Amortization of premiums and accretion of discounts on investments, net | 1,056 | 1,052 | |||||||
Amortization of premiums and accretion of discounts on acquired loans, net | (1,104) | (1,201) | |||||||
Loss on disposal of fixed assets | 132 | 0 | |||||||
Loss (gain) on sale of OREO | 0 | 0 | 23 | (41) | |||||
Increase in cash surrender value of life insurance | (396) | (410) | |||||||
Deferred compensation and salary continuation plan payments | (633) | (1,072) | |||||||
Increase in deferred compensation and salary continuation plans | 634 | 731 | |||||||
Increase (decrease) in deferred loan fees and costs | 3,199 | (53) | |||||||
(Increase) decrease in other assets | (1,759) | 1,516 | |||||||
Increase in other liabilities | 1,369 | 513 | |||||||
Net cash provided by operating activities | 18,322 | 13,410 | |||||||
Cash flows from investing activities: | |||||||||
Proceeds from maturities of and payments on available-for-sale securities | 61,114 | 47,544 | |||||||
Proceeds from sale of available-for-sale securities | 56,017 | 99,635 | |||||||
Purchases of available-for-sale securities | (160,759) | (48,648) | |||||||
Investment in qualified affordable housing partnerships | (13) | 0 | |||||||
Net purchase of Federal Home Loan Bank of San Francisco stock | 0 | (34) | |||||||
Loan originations, net of principal repayments | (186,305) | (27,697) | |||||||
Net repayment on loan pools | 13,631 | 27,265 | |||||||
Purchase of premises and equipment | (353) | (1,823) | |||||||
Proceeds from the sale of OREO | 12 | 87 | |||||||
Acquisition of Merchants Holding Company, net of cash paid | 0 | (2,875) | |||||||
Net cash (used) provided by investing activities | (216,656) | 93,454 | |||||||
Cash flows from financing activities: | |||||||||
Net increase (decrease) in demand, money market and savings deposits | 261,846 | (25,029) | |||||||
Net decrease in certificates of deposit | (10,886) | (34,764) | |||||||
Advances on term debt | 50,000 | 180,160 | |||||||
Repayment of term debt | (40,000) | (183,656) | |||||||
Proceeds from stock options exercised | 0 | 40 | |||||||
Repurchase of common stock | $ (13,600) | (12,653) | 0 | ||||||
Cash paid for shares surrendered for tax-withholding purposes | (120) | (94) | |||||||
Cash dividends paid on common stock | (2,574) | (2,282) | |||||||
Net cash provided (used) by financing activities | 245,613 | (65,625) | |||||||
Net increase in cash and cash equivalents | 47,279 | 41,239 | |||||||
Cash and cash equivalents at beginning of year | $ 80,604 | 88,604 | 47,365 | $ 88,604 | 80,604 | 47,365 | $ 47,365 | ||
Cash and cash equivalents at end of period | 127,883 | $ 80,604 | 88,604 | 127,883 | 88,604 | $ 80,604 | |||
Cash paid during the period for: | |||||||||
Income taxes | 2,398 | 3,480 | |||||||
Interest | 3,509 | 4,336 | |||||||
Operating leases | 234 | 229 | 714 | 661 | |||||
Supplemental disclosures of non-cash investing activities: | |||||||||
Transfer of loans to other real estate owned | 8 | 74 | |||||||
Investment in qualified affordable housing partnership | 1,000 | 0 | |||||||
Unrealized gain on investment securities available-for-sale, net of gains included in net income | 6,705 | 7,588 | |||||||
Changes in net deferred tax asset related to changes in net unrealized gain on investment securities available-for-sale | (1,982) | (2,243) | |||||||
Changes in accumulated other comprehensive income due to net unrealized gain on investment securities available-for-sale | 4,723 | 5,345 | |||||||
Supplemental disclosures of non-cash financing activities: | |||||||||
Stock compensation grants | $ 58 | 0 | 58 | ||||||
Cash dividend declared on common shares and payable after period-end | $ 833 | $ 905 | 833 | 905 | |||||
Right-of-use lease asset recorded on new leases | 0 | 267 | |||||||
Right-of-use lease asset recorded on adoption of ASU No. 2016-02 | 0 | 3,998 | |||||||
Lease liability recorded on adoption of ASU No. 2016-02 | 0 | 4,363 | |||||||
Disclosures related to the acquisition of Merchants Holding Company: | |||||||||
Consideration paid | 0 | 34,907 | |||||||
Assets acquired - fair value | 0 | 215,055 | |||||||
Goodwill | 0 | 11,006 | |||||||
Liabilities assumed - fair value | $ 0 | $ 191,154 |
Note 1 - Summary of Significant
Note 1 - Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | NOTE 1. Bank of Commerce Holdings (“Company,” “Holding Company,” “we,” or “us”), is a corporation organized under the laws of California and a bank holding company (“BHC”) registered under the Bank Holding Company Act of 1956, three May 20, 2019. September 30, 2020 December 31, 2019 not The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and with prevailing practices within the banking and securities industries. In preparing such consolidated financial statements, management is required to make certain estimates and judgments that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the dates of the Consolidated Balance Sheets and the reported amounts of revenues and expenses for the reporting periods. Actual results could differ significantly from those estimates. Material estimates that are particularly susceptible to significant change relate to the valuation and impairment of investment securities, the determination of the allowance for loan and lease losses (“ALLL”), income taxes, the valuation of goodwill and Other Real Estate Owned (“OREO”), and fair value measurements. Certain amounts for prior periods have been reclassified to conform to the current financial statement presentation. The results of reclassifications are not no 2019 10 2020 not Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Holding Company and its subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. As of September 30, 2020 December 31, 2019, one 2005 not Consolidation 810” not Consolidated Balance Sheets Leases We determine if an arrangement is a lease at inception. Operating leases are included in Other Assets Other Liabilities Consolidated Balance Sheets not may Application of new accounting guidance In August 2018, No. 2018 13, 820 3 2018 13 December 15, 2019, January 1, 2020 3 not |
Note 2 - Common Stock Outstandi
Note 2 - Common Stock Outstanding and Earnings Per Share | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | NOTE 2. Basic earnings per share excludes dilution and is computed by dividing income by the weighted-average number of common shares outstanding for the period, excluding unvested restricted stock awards which do not not The following is a computation of basic and diluted earnings per share for the three nine September 30, 2020 2019. For the Three Months Ended For the Nine Months Ended September 30, September 30, (Amounts in thousands, except per share information) 2020 2019 2020 2019 Earnings Per Share: Numerators: Net income $ 4,329 $ 4,642 $ 9,092 $ 10,592 Denominators: Weighted average number of common shares outstanding - basic (1) 16,660 18,130 17,004 17,918 Effect of potentially dilutive common shares (2) 36 66 40 63 Weighted average number of common shares outstanding - diluted 16,696 18,196 17,044 17,981 Earnings per common share: Basic $ 0.26 $ 0.26 $ 0.53 $ 0.59 Diluted $ 0.26 $ 0.26 $ 0.53 $ 0.59 Anti-dilutive restricted shares not included in diluted earnings per share calculation 73 — 63 — ( 1 Excludes unvested restricted shares because they do not ( 2 Represents the effects of the assumed exercise of stock options and vesting of non-participating restricted shares. In 2019, October 2019 April 2020, |
Note 3 - Securities
Note 3 - Securities | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | NOTE 3. The following tables present the amortized costs, unrealized gains, unrealized losses and estimated fair values of our investment securities as of September 30, 2020, December 31, 2019. As of September 30, 2020 Gross Gross Amortized Unrealized Unrealized Estimated (Amounts in thousands) Costs Gains Losses Fair Values Available-for-sale securities: U.S. government & agencies $ 30,942 $ 879 $ (10 ) $ 31,811 Obligations of state and political subdivisions 87,628 4,281 (46 ) 91,863 Residential mortgage-backed securities and collateralized mortgage obligations 161,345 4,512 (165 ) 165,692 Commercial mortgage-backed securities 18,920 665 (8 ) 19,577 Other asset-backed securities 27,799 327 (37 ) 28,089 Total $ 326,634 $ 10,664 $ (266 ) $ 337,032 As of December 31, 2019 Gross Gross Amortized Unrealized Unrealized Estimated (Amounts in thousands) Costs Gains Losses Fair Values Available-for-sale securities: U.S. government & agencies $ 38,291 $ 469 $ (27 ) $ 38,733 Obligations of state and political subdivisions 40,702 1,422 (26 ) 42,098 Residential mortgage-backed securities and collateralized mortgage obligations 179,114 2,163 (442 ) 180,835 Corporate securities 3,005 6 (45 ) 2,966 Commercial mortgage-backed securities 19,126 221 (40 ) 19,307 Other asset-backed securities 3,019 — (8 ) 3,011 Total $ 283,257 $ 4,281 $ (588 ) $ 286,950 The following table presents the contractual maturities of investment securities at September 30, 2020. Available-For-Sale (Amounts in thousands) Amortized Costs Fair Values Amounts maturing in: One year or less $ 22,257 $ 22,731 After one year through five years 110,662 115,225 After five years through ten years 50,087 51,569 After ten years 143,628 147,507 Total $ 326,634 $ 337,032 The amortized costs and fair values of residential mortgage-backed securities, collateralized mortgage obligations and commercial mortgage securities are presented by their expected average life, rather than contractual maturity, because the underlying loans may At September 30, 2020 December 31, 2019, The following table presents the cash proceeds from sales of investment securities, and the associated gross realized gains and gross realized losses that have been included in earnings for the three nine September 30, 2020 2019. Three Months Ended September 30, Nine Months Ended September 30, (Amounts in thousands) 2020 2019 2020 2019 Investment Securities: Proceeds from sales of investment securities $ 6,257 $ 13,895 $ 56,017 $ 99,635 Gross realized gains on sales of investment securities: U.S. government & agencies $ — $ 10 $ — $ 48 Obligations of state and political subdivisions 249 10 339 305 Residential mortgage-backed securities and collateralized mortgage obligations — 22 226 86 Corporate securities 12 — 12 — Commercial mortgage-backed securities — 5 38 7 Total gross realized gains on sales of investment securities 261 47 615 446 Gross realized losses on sales of investment securities: U.S. government & agencies — (9 ) (14 ) (13 ) Obligations of state and political subdivisions (3 ) (6 ) (7 ) (96 ) Residential mortgage-backed securities and collateralized mortgage obligations — (9 ) (112 ) (157 ) Commercial mortgage-backed securities — (11 ) — (43 ) Total gross realized losses on sales of investment securities (3 ) (35 ) (133 ) (309 ) Gain on sales of investment securities, net $ 258 $ 12 $ 482 $ 137 Investment securities that were in an unrealized loss position as of September 30, 2020 December 31, 2019 As of September 30, 2020 Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (Amounts in thousands) Values Losses Values Losses Values Losses Available-for-sale securities: U.S. government & agencies $ — $ — $ 2,836 $ (10 ) $ 2,836 $ (10 ) Obligations of state and political subdivisions 5,915 (46 ) — — 5,915 (46 ) Residential mortgage-backed securities and collateralized mortgage obligations 17,671 (159 ) 285 (6 ) 17,956 (165 ) Commercial mortgage-backed securities 2,057 (8 ) — — 2,057 (8 ) Other asset-backed securities 3,001 (37 ) — — 3,001 (37 ) Total temporarily impaired securities $ 28,644 $ (250 ) $ 3,121 $ (16 ) $ 31,765 $ (266 ) As of December 31, 2019 Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (Amounts in thousands) Values Losses Values Losses Values Losses Available-for-sale securities: U.S. government & agencies $ 6,473 $ (25 ) $ 380 $ (2 ) $ 6,853 $ (27 ) Obligations of state and political subdivisions 2,249 (26 ) — — 2,249 (26 ) Residential mortgage-backed securities and collateralized mortgage obligations 31,817 (207 ) 22,166 (235 ) 53,983 (442 ) Corporate securities — — 955 (45 ) 955 (45 ) Commercial mortgage-backed securities 1,464 (1 ) 4,549 (39 ) 6,013 (40 ) Other asset-backed securities 3,011 (8 ) — — 3,011 (8 ) Total temporarily impaired securities $ 45,014 $ (267 ) $ 28,050 $ (321 ) $ 73,064 $ (588 ) At September 30, 2020 December 31, 2019, not A3/A not no not The following table presents the characteristics of our securities that are in unrealized loss positions at September 30, 2020 December 31, 2019. Characteristics of securities in unrealized loss positions at Available-for-sale securities: September 30, 2020 December 31, 2019 U.S. government & agencies Direct obligations of the U.S. Government or obligations guaranteed by U.S. Government agencies. Obligations of state and political subdivisions General obligation issuances or revenue securities issued by municipalities and political subdivisions located within the U.S. secured by revenues from specific sources. Residential mortgage-backed securities and collateralized mortgage obligations Obligations issued by U.S. government sponsored entities or non-governmental entities collateralized by high quality mortgages on residential properties. Issuances by non-governmental entities usually include good credit enhancements. Of the residential mortgage-backed securities and collateralized mortgage obligations that we owned at September 30, 2020 December 31, 2019, Corporate securities Debt obligations generally issued or guaranteed by large U.S. corporate institutions. Commercial mortgage-backed securities Obligations issued by U.S. government sponsored entities or non-governmental entities collateralized by high quality mortgages on commercial properties. Issuances by non-governmental entities usually include good credit enhancements. Of the commercial mortgage-backed securities that we owned at September 30, 2020 December 31, 2019, Other asset-backed securities Obligations issued by non-governmental issuers secured by high quality loans with good credit enhancements. |
Note 4 - Loans
Note 4 - Loans | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | NOTE 4. Outstanding loan balances consisted of the following at September 30, 2020, December 31, 2019. September 30, December 31, (Amounts in thousands) 2020 2019 Loan Portfolio: Commercial $ 121,025 $ 141,197 Paycheck protection program 163,493 — Commercial real estate: Construction and land development 40,289 26,830 Non-owner occupied 538,079 493,920 Owner occupied 210,455 218,833 Residential real estate: Individual Tax Identification Number (“ITIN”) 30,071 33,039 1-4 family mortgage 57,867 63,661 Equity lines 20,296 22,099 Consumer and other 24,490 33,324 Gross loans 1,206,065 1,032,903 Deferred (fees) and costs (1,037 ) 2,162 Loans, net of deferred fees and costs 1,205,028 1,035,065 Allowance for loan and lease losses (16,873 ) (12,231 ) Net loans $ 1,188,155 $ 1,022,834 Certain loans are pledged as collateral for lines of credit with the Federal Home Loan Bank of San Francisco and the Federal Reserve Bank. Pledged loans totaled $527.5 million and $542.1 million at September 30, 2020 December 31, 2019, April 2020, not Gross loan balances in the table above include discounts on purchased loans and fair value discounts on loans acquired in conjunction with our acquisition of Merchants during the first 2019. D iscounts on purchased loans - September 30, 2020, December 31, 2019, no September 30, 2020, December 31, 2019. Fair value discount - September 30, 2020 December 31, 2019, first 2019. three September 30, 2020 2019, nine September 30, 2020 2019, Short-Term Loan Modifications We have made short-term COVID- 19 not not one six 19. September 30, 2020. fourth 2020. Past Due Loans Past due loans (gross), segregated by loan portfolio were as follows, as of September 30, 2020, December 31, 2019. Recorded 30 59 60 89 90 or Greater Investment > Days Past Days Past Days Past Total Past 90 Days and (Amounts in thousands) Due Due Due Due Current Total Accruing Past Due Loans at September 30, 2020 Commercial $ — $ — $ — $ — $ 121,025 $ 121,025 $ — Paycheck protection program — — — — 163,493 163,493 — Commercial real estate: Construction and land development — — — — 40,289 40,289 — Non-owner occupied — — 1,062 1,062 537,017 538,079 — Owner occupied — — 2,993 2,993 207,462 210,455 — Residential real estate: ITIN 76 — 105 181 29,890 30,071 — 1-4 family mortgage — — — — 57,867 57,867 — Equity lines 15 — — 15 20,281 20,296 — Consumer and other 58 65 — 123 24,367 24,490 — Total $ 149 $ 65 $ 4,160 $ 4,374 $ 1,201,691 $ 1,206,065 $ — Recorded 30 59 60 89 90 or Greater Investment > Days Past Days Past Days Past Total Past 90 Days and (Amounts in thousands) Due Due Due Due Current Total Accruing Past Due Loans at December 31, 2019 Commercial $ 71 $ — $ — $ 71 $ 141,126 $ 141,197 $ — Commercial real estate: Construction and land development — — — — 26,830 26,830 — Non-owner occupied — — — — 493,920 493,920 — Owner occupied 655 — 3,103 3,758 215,075 218,833 — Residential real estate: ITIN 371 323 43 737 32,302 33,039 — 1-4 family mortgage — — — — 63,661 63,661 — Equity lines 100 — — 100 21,999 22,099 — Consumer and other 200 50 — 250 33,074 33,324 — Total $ 1,397 $ 373 $ 3,146 $ 4,916 $ 1,027,987 $ 1,032,903 $ — Nonaccrual Loans Nonaccrual loans, segregated by loan portfolio, were as follows as of September 30, 2020 December 31, 2019. September 30, December 31, (Amounts in thousands) 2020 2019 Nonaccrual Loans: Commercial $ 1,549 $ 61 Commercial real estate: Non-owner occupied 1,062 — Owner occupied 3,750 3,103 Residential real estate: ITIN 1,574 2,221 1-4 family mortgage 145 191 Consumer and other 18 40 Total $ 8,098 $ 5,616 Had nonaccrual loans performed in accordance with their contractual terms, we would have recognized additional interest income, net of tax, as shown in the table below. Three Months Ended September 30, Nine Months Ended September 30, (Amounts in thousands) 2020 2019 2020 2019 Nonaccrual Loans: Interest income, net of tax $ 108 $ 115 $ 238 $ 484 Impaired Loans A loan is considered impaired when, based on current information and events, we determine it is probable that we will not September 30, 2020 December 31, 2019. As of September 30, 2020 Unpaid Recorded Principal Related (Amounts in thousands) Investment Balance Allowance Impaired Loans: With no related allowance recorded: Commercial $ 1,458 $ 1,811 $ — Commercial real estate: Non-owner occupied 1,062 1,097 — Owner occupied 3,750 3,865 — Residential real estate: ITIN 4,995 6,591 — 1-4 family mortgage 145 205 — Total with no related allowance recorded $ 11,410 $ 13,569 $ — With an allowance recorded: Commercial $ 622 $ 622 $ 122 Residential real estate: ITIN 176 176 12 Equity lines 131 131 65 Consumer and other 18 18 5 Total with an allowance recorded $ 947 $ 947 $ 204 By loan portfolio: Commercial $ 2,080 $ 2,433 $ 122 Commercial real estate 4,812 4,962 — Residential real estate 5,447 7,103 77 Consumer and other 18 18 5 Total impaired loans $ 12,357 $ 14,516 $ 204 As of December 31, 2019 Unpaid Recorded Principal Related (Amounts in thousands) Investment Balance Allowance Impaired Loans: With no related allowance recorded: Commercial $ 94 $ 251 $ — Commercial real estate: Owner occupied 3,103 3,103 — Residential real estate: ITIN 5,723 7,386 — 1-4 family mortgage 191 313 — Total with no related allowance recorded $ 9,111 $ 11,053 $ — With an allowance recorded: Commercial $ 562 $ 563 $ 159 Residential real estate: ITIN 455 455 38 Equity lines 231 231 116 Consumer and other 40 40 11 Total with an allowance recorded $ 1,288 $ 1,289 $ 324 By loan portfolio: Commercial $ 656 $ 814 $ 159 Commercial real estate 3,103 3,103 — Residential real estate 6,600 8,385 154 Consumer and other 40 40 11 Total impaired loans $ 10,399 $ 12,342 $ 324 The following tables summarize average recorded investment and interest income recognized on impaired loans by loan portfolio for the three nine September 30, 2020 2019. Three Months Ended Three Months Ended September 30, 2020 September 30, 2019 Average Interest Average Interest Recorded Income Recorded Income (Amounts in thousands) Investment Recognized Investment Recognized Average Recorded Investment and Interest Income: Commercial $ 1,078 $ 15 $ 807 $ 10 Commercial real estate: Non-owner occupied 1,062 — 10,887 7 Owner occupied 3,682 — — — Residential real estate: ITIN 5,241 35 6,490 40 1-4 family mortgage 146 — 204 — Equity lines 132 2 238 4 Consumer and other 18 — 21 — Total $ 11,359 $ 52 $ 18,647 $ 61 Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 Average Interest Average Interest Recorded Income Recorded Income (Amounts in thousands) Investment Recognized Investment Recognized Average Recorded Investment and Interest Income: Commercial $ 777 $ 32 $ 1,377 $ 42 Commercial real estate: Non-owner occupied 590 — 10,307 30 Owner occupied 3,356 — — — Residential real estate: ITIN 5,546 106 6,694 123 1-4 family mortgage 171 — 194 — Equity lines 194 10 306 14 Consumer and other 32 — 22 — Total $ 10,666 $ 148 $ 18,900 $ 209 The impaired loans on which these interest income amounts were recognized are primarily accruing troubled debt restructured loans. Loans are reported as troubled debt restructurings when we grant a concession(s) to a borrower experiencing financial difficulties that we would not not Troubled Debt Restructurings As of September 30, 2020, December 31, 2019. September 30, 2020, September 30, 2020, December 31, 2019. At September 30, 2020 December 31, 2019, For a troubled debt restructured loan to be on accrual status, the loan’s collateral coverage must generally be greater than or equal to 100% of the loan balance, the loan payments must be current, and the borrower must demonstrate the ability to make payments from a verified source of cash flow. As of September 30, 2020 December 31, 2019, no nine September 30, 2020. 19 not The types of modifications offered can generally be described in the following categories: Maturity Payment Deferral The following tables present the period ended balances of newly restructured loans and the types of modifications that occurred during the nine September 30, 2020 2019. three September 30, 2020 2019. Modification Types For the Nine Months Ended September 30, 2020 Modification Types For the Nine Months Ended September 30, 2019 (Amounts in thousands) Maturity Payment Deferral Total Maturity Payment Deferral Total Troubled Debt Restructurings: Commercial $ — $ — $ — $ 66 $ — $ 66 Commercial real estate: Owner occupied — 650 650 — — — Total $ — $ 650 $ 650 $ 66 $ — $ 66 For the nine September 30, 2020 2019, For the Nine Months Ended September 30, 2020 For the Nine Months Ended September 30, 2019 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number of Recorded Recorded Number of Recorded Recorded (Dollars in thousands) Contracts Investment Investment Contracts Investment Investment Troubled Debt Restructurings: Commercial — $ — $ — 1 $ 99 $ 99 Commercial real estate: Owner occupied 1 654 654 — — — Total 1 $ 654 $ 654 1 $ 99 $ 99 There were no loans modified as a troubled debt restructuring within the previous twelve three nine September 30, 2020 2019. Performing and Nonperforming Loans We define a performing loan as a loan where any installment of principal or interest is not 90 may 90 not September 30, 2020 December 31, 2019. September 30, 2020 (Amounts in thousands) Performing Nonperforming Total Performing and Nonperforming Loans: Commercial $ 119,476 $ 1,549 $ 121,025 Paycheck protection program 163,493 — 163,493 Commercial real estate: Construction and land development 40,289 — 40,289 Non-owner occupied 537,017 1,062 538,079 Owner occupied 206,705 3,750 210,455 Residential real estate: ITIN 28,497 1,574 30,071 1-4 family mortgage 57,722 145 57,867 Equity lines 20,296 — 20,296 Consumer and other 24,472 18 24,490 Total $ 1,197,967 $ 8,098 $ 1,206,065 December 31, 2019 (Amounts in thousands) Performing Nonperforming Total Performing and Nonperforming Loans: Commercial $ 141,136 $ 61 $ 141,197 Commercial real estate: Construction and land development 26,830 — 26,830 Non-owner occupied 493,920 — 493,920 Owner occupied 215,730 3,103 218,833 Residential real estate: ITIN 30,818 2,221 33,039 1-4 family mortgage 63,470 191 63,661 Equity lines 22,099 — 22,099 Consumer and other 33,284 40 33,324 Total $ 1,027,287 $ 5,616 $ 1,032,903 Credit Quality Ratings Management assigns a credit quality rating (risk grade) to each loan. The foundation or primary factor in determining the appropriate credit quality rating is the degree of a debtor’s willingness and ability to perform as agreed. In conjunction with evaluating the performing versus nonperforming nature of our loan portfolio, management evaluates the following credit risk and other relevant factors in determining the appropriate credit quality indicator (rating) for each loan portfolio: Pass Grade: no may ● Strong Cash Flows – borrower’s cash flows must meet or exceed our minimum debt service coverage ratio. ● Collateral Margin – generally, the borrower must have pledged an acceptable collateral class with an adequate collateral margin. ● Qualitative Factors – in addition to meeting our minimum cash flow and collateral requirements, a number of other qualitative factors are also factored into assigning a Pass Grade including the borrower’s level of leverage (debt to equity), prospects, history and experience in their industry, credit history, and any other relevant factors including a borrower’s character. Those borrowers who qualify for unsecured loans must fully demonstrate above average cash flows and strong secondary sources of repayment to mitigate the lack of unpledged collateral. Watch Grade: may one not ● The primary source of repayment may ● The primary source of repayment is adequate, but the secondary source of repayment is insufficient ● In-depth financial analysis would compare to the lower quartile in two ● Volatile or deteriorating collateral ● Management decisions may ● Delinquencies in bank credits or other financial/trade creditors ● Frequent overdrafts ● Significant change in management/ownership Special Mention Grade: may not not not ● Inadequate or incomplete loan documentation or perfection of collateral, or any other deviation from prudent lending practices ● Credit is structured in a manner in which the timing of the repayment source does not ● Current economic or market conditions exist which may ● Adverse trends in the borrower's operations or continued deterioration in the borrower’s financial condition that has not ● The borrower is less than cooperative or unable to produce current and adequate financial information Substandard Grade: not not may may not The following represents, but is not not ● Sustained or substantial deteriorating financial trends, ● Unresolved management problems, ● Collateral is insufficient to repay debt; collateral is not ● Improper perfection of lien position, which is not ● Unanticipated and severe decline in market values, ● High reliance on secondary source of repayment, ● Legal proceedings, such as bankruptcy or a divorce, which has substantially decreased the borrower’s capacity to repay the debt, ● Fraud committed by the borrower, ● IRS liens that take precedence, ● Forfeiture statutes for assets involved in criminal activities, ● Protracted repayment terms outside of policy that are for longer than the same type of credit in our portfolio, ● Any other relevant quantitative or qualitative factor that negatively affects the current net worth and paying capacity of the borrower or of the collateral pledged, if any. Doubtful Grade: one may may may not ● Proposed merger(s), ● Acquisition or liquidation procedures, ● Capital injection, ● Perfecting liens on additional collateral, ● Refinancing plans. Generally, a Doubtful Grade does not six six The following tables summarize loans by internal risk grades and by loan class as of September 30, 2020 December 31, 2019. As of September 30, 2020 Special (Amounts in thousands) Pass Watch Mention Substandard Doubtful Total Loan Portfolio: Commercial $ 106,597 $ 8,736 $ 125 $ 5,567 $ — $ 121,025 Paycheck protection program 163,493 — — — — 163,493 Commercial real estate: Construction and land development 37,839 2,450 — — — 40,289 Non-owner occupied 508,803 21,859 6,355 1,062 — 538,079 Owner occupied 155,290 41,289 — 13,876 — 210,455 Residential real estate: ITIN 26,583 — — 3,488 — 30,071 1-4 family mortgage 56,213 208 — 1,446 — 57,867 Equity lines 20,296 — — — — 20,296 Consumer and other 24,472 — — 18 — 24,490 Total $ 1,099,586 $ 74,542 $ 6,480 $ 25,457 $ — $ 1,206,065 As of December 31, 2019 Special (Amounts in thousands) Pass Watch Mention Substandard Doubtful Total Loan Portfolio: Commercial $ 125,222 $ 14,974 $ 833 $ 168 $ — $ 141,197 Commercial real estate: Construction and land development 26,810 20 — — — 26,830 Non-owner occupied 454,493 32,902 5,424 1,101 — 493,920 Owner occupied 195,950 7,224 1,220 14,439 — 218,833 Residential real estate: ITIN 28,609 — — 4,430 — 33,039 1-4 family mortgage 62,485 985 — 191 — 63,661 Equity lines 22,012 — — 87 — 22,099 Consumer and other 33,283 — — 41 — 33,324 Total $ 948,864 $ 56,105 $ 7,477 $ 20,457 $ — $ 1,032,903 The recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure was $81 thousand and $100 thousand at September 30, 2020 December 31, 2019, Allowance for Loan and Lease Losses Our ALLL is based on management’s estimate of future loan and lease losses and risks inherent in the loan portfolio in accordance with ASC Topics 450 310 . June 2016, 326 January 2023 not The following tables summarize activity within the ALLL by portfolio for the three nine September 30, 2020 2019. For the Three Months Ended September 30, 2020 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL by Loan Portfolio: Beginning balance $ 2,400 $ — $ 10,936 $ 1,306 $ 870 $ 577 $ 16,089 Charge-offs (353 ) — — (31 ) (118 ) — (502 ) Recoveries — — — 69 117 — 186 Provision 393 — 813 (22 ) (41 ) (43 ) 1,100 Ending balance $ 2,440 $ — $ 11,749 $ 1,322 $ 828 $ 534 $ 16,873 For the Three Months Ended September 30, 2019 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL by Loan Portfolio: Beginning balance $ 2,104 $ — $ 7,598 $ 1,070 $ 1,070 $ 603 $ 12,445 Charge-offs (81 ) — — (43 ) (195 ) — (319 ) Recoveries 5 — — 104 50 — 159 Provision (84 ) — 120 (77 ) 66 (25 ) — Ending balance $ 1,944 $ — $ 7,718 $ 1,054 $ 991 $ 578 $ 12,285 For the Nine Months Ended September 30, 2020 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL by Loan Portfolio: Beginning balance $ 1,822 $ — $ 8,096 $ 1,032 $ 933 $ 348 $ 12,231 Charge-offs (353 ) — (145 ) (66 ) (463 ) — (1,027 ) Recoveries 22 — — 131 266 — 419 Provision 949 — 3,798 225 92 186 5,250 Ending balance $ 2,440 $ — $ 11,749 $ 1,322 $ 828 $ 534 $ 16,873 For the Nine Months Ended September 30, 2019 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL by Loan Portfolio: Beginning balance $ 2,205 $ — $ 7,116 $ 1,173 $ 1,356 $ 442 $ 12,292 Charge-offs (227 ) — (233 ) (181 ) (685 ) — (1,326 ) Recoveries 916 — — 204 199 — 1,319 Provision (950 ) — 835 (142 ) 121 136 — Ending balance $ 1,944 $ — $ 7,718 $ 1,054 $ 991 $ 578 $ 12,285 While the ALLL composition is an indication of specific amounts or loan categories in which future charge-offs may may not September 30, 2020 December 31, 2019, September 30, 2020 December 31, 2019. As of September 30, 2020 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL: Individually evaluated for impairment $ 122 $ — $ — $ 77 $ 5 $ — $ 204 Collectively evaluated for impairment 2,318 — 11,749 1,245 823 534 16,669 Total $ 2,440 $ — $ 11,749 $ 1,322 $ 828 $ 534 $ 16,873 Gross loans: Individually evaluated for impairment $ 2,080 $ — $ 4,812 $ 5,447 $ 18 $ — $ 12,357 Collectively evaluated for impairment 118,945 163,493 784,011 102,787 24,472 — 1,193,708 Total gross loans $ 121,025 $ 163,493 $ 788,823 $ 108,234 $ 24,490 $ — $ 1,206,065 As of December 31, 2019 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL: Individually evaluated for impairment $ 159 $ — $ — $ 154 $ 11 $ — $ 324 Collectively evaluated for impairment 1,663 — 8,096 878 922 348 11,907 Total $ 1,822 $ — $ 8,096 $ 1,032 $ 933 $ 348 $ 12,231 Gross loans: Individually evaluated for impairment $ 656 $ — $ 3,103 $ 6,600 $ 40 $ — $ 10,399 Collectively evaluated for impairment 140,541 — 736,480 112,199 33,284 — 1,022,504 Total gross loans $ 141,197 $ — $ 739,583 $ 118,799 $ 33,324 $ — $ 1,032,903 The ALLL totaled $16.9 million or 1.40% of total gross loans (1.62% of gross loans excluding PPP loans) at September 30, 2020 December 31, 2019. September 30, 2020 December 31, 2019, Other Liabilities Consolidated Balance Sheets September 30, 2020 December 31, 2019 We believe that the ALLL was adequate as of September 30, 2020. no not may COVID‐19 We anticipate that the COVID‐19 ALLL Methodology We have lending policies and procedures in place with the objective of optimizing loan income within an accepted risk tolerance level. We review and approve these policies and procedures annually. Monitoring and reporting systems supplement the review process with regular frequency as related to loan production, loan quality, concentrations of credit, potential problem loans, loan delinquencies, and nonperforming loans. We formally assess the adequacy of the ALLL on a quarterly basis. The ALLL is based upon estimates of future loan and lease losses and is maintained at a level considered adequate to provide for probable losses inherent in the outstanding loan and lease portfolio. Our ALLL methodology incorporates management’s current judgments, and reflects management’s estimate of future loan and lease losses and risks inherent in the loan portfolio in accordance with ASC Topic 450 Contingencies 450” 310 Receivables 310” . Management’s assessment of the ALLL is based on our continuing evaluation of all known relevant quantitative and qualitative internal and external risk factors provides the foundation for the three ( 1 Historical valuation allowances established in accordance with ASC 450, ( 2 General valuation allowances established in accordance with ASC 450, ( 3 Specific valuation allowances established in accordance with ASC 310, All three may not not no not may The allowance is increased by provisions charged to expense and reduced by net charge-offs. In periodic evaluations of the adequacy of the allowance balance, management considers past loan and lease loss experience by type of credit, known and inherent risks in the portfolio, adverse situations that may Our assessment of the adequacy of the ALLL includes the periodic re-grading of classified loans based on changes in their individual credit characteristics including delinquency, seasoning, recent financial performance of the borrower, economic factors, changes in the interest rate environment and other factors as warranted. Loans are initially rated when originated. They are reviewed as they are renewed, when there is a new loan to the same borrower and/or when identified facts demonstrate heightened risk of default. Our loan portfolio is evaluated by general loan class including commercial, commercial real estate (which includes construction and other real estate), residential real estate (which includes 1 4 450, General valuation allowances, as prescribed by ASC 450, Impaired loans Management monitors delinquent loans continuously and identifies problem loans to be evaluated individually for impairment testing. For loans that are determined impaired, a formal impairment measurement is performed at least quarterly on a loan-by-loan basis. If the measurement of each impaired loans’ value is less than the recorded investment in the loan, we recognize this impairment and adjust the carrying value of the loan to fair value through the ALLL. For collateral dependent loans, this can be accomplished by charging off the impaired portion of the loan based on the underlying value of the collateral. For non-collateral dependent loans, we establish a specific component within the ALLL based on the present value of the future cash flows. If we determine the sources of repayment will not Risk Characteristics and Underwriting The following is a brief summary, by loan type, of management’s evaluation of the general risk characteristics and underwriting standards: Commercial Loans may may Most commercial loans are generally secured by the assets being financed and other business assets such as accounts receivable or inventory. Management may may may PPP Loans April 2020 100% September 30, 2020. may no third 2020, Commercial Real Estate (“CRE”) Loans The properties securing the CRE portfolio are diverse in terms of type and primary source of repayment. This diversity helps reduce our exposure to adverse economic events that affect any single industry. We monitor and evaluate CRE loans based on occupancy status (investor versus owner occupied), collateral, geography, and risk grade criteria. Generally, CRE loans are made to developers and builders that are secured by non-owner occupied properties require the borrower to have had an existing relationship with the Company and a proven record of success. Construction loans are underwritten utilizing feasibility studies, sensitivity analysis of absorption and lease rates, and financial analysis of the developers and property owners. Construction loans are generally based upon estimates of cost and value associated with the complete project (as-is value). These estimates may may Residential Real Estate Loans not We originate some single-family residence construction loans. The loan amounts are no $1 12 may Consumer Loans – third not one Concentrations of Credit Risk As of September 30, 2020, may may may Credit review Confirmation of the quality of our loan grading process is obtained by independent reviews conducted by outside consultants specifically hired for this purpose and by periodic examination by various bank regulatory agencies. We maintain an independent loan review program that reviews and validates the credit risk program on a periodic basis. Results of these reviews are presented to the Board of Directors, Loan Committee and Audit Committee. The loan review process complements and reinforces the risk identification and assessment decisions made by lenders and credit personnel, as well as our policies and procedures. Reserve For Unfunded Commitments The reserve for unfunded commitments, which is included in Other Liabilities Consolidated Balance Sheets September 30, 2020 December 31, 2019, nine September 30, 2020. Consolidated Statements of Income. |
Note 5 - Qualified Affordable H
Note 5 - Qualified Affordable Housing Partnership Investments | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Qualified Affordable Housing Project Investments [Text Block] | NOTE 5. We have invested in five Our investments in Qualified Affordable Housing Partnerships totaled $3.1 million at September 30, 2020. Other Assets Other Liabilities Consolidated Balance Sheets None Consolidated Statements of Income first 2020, The following tables present our original investment in LIHTC partnerships, the current recorded investment balance, and the unfunded liability balance of each investment at September 30, 2020 December 31, 2019. nine September 30, 2020 2019. At September 30, 2020 For the Nine Months Ended September 30, 2020 Original Current Unfunded Tax Credits Amortization Net Investment Recorded Liability and of Income Tax (Amounts in thousands) Value Investment Obligation Benefits Investments Benefit (Expense) Qualified Affordable Housing Partnerships: Raymond James California Housing Opportunities Fund II $ 2,000 $ 717 $ 22 $ 149 $ 135 $ 14 WNC Institutional Tax Credit Fund 38, L.P. 1,000 335 — 78 65 13 Merritt Community Capital Corporation Fund XV, L.P. 2,500 903 316 167 164 3 California Affordable Housing Fund 2,454 181 — 18 29 (11 ) Boston Capital 1,000 962 987 49 38 11 Total $ 8,954 $ 3,098 $ 1,325 $ 461 $ 431 $ 30 At December 31, 2019 For the Nine Months Ended September 30, 2019 Original Current Unfunded Tax Credits Amortization Net Investment Recorded Liability and of Income Tax (Amounts in thousands) Value Investment Obligation Benefits Investments Benefit (Expense) Qualified Affordable Housing Partnerships: Raymond James California Housing Opportunities Fund II $ 2,000 $ 852 $ 22 $ 150 $ 135 $ 15 WNC Institutional Tax Credit Fund 38, L.P. 1,000 400 — 81 68 13 Merritt Community Capital Corporation Fund XV, L.P. 2,500 1,067 316 168 165 3 California Affordable Housing Fund 2,454 210 — 18 29 (11 ) Total $ 7,954 $ 2,529 $ 338 $ 417 $ 397 $ 20 The following tables present our generated tax credits and tax benefits from investments in qualified affordable housing partnerships for the three nine September 30, 2020 2019. For the Three Months Ended September 30, 2020 September 30, 2019 Generated Tax Benefits From Generated Tax Benefits from (Amounts in thousands) Tax Credits Taxable Losses Tax Credits Taxable Losses Qualified Affordable Housing Partnerships: Raymond James California Housing Opportunities Fund II $ 43 $ 7 $ 43 $ 7 WNC Institutional Tax Credit Fund 38, L.P. 22 4 23 4 Merritt Community Capital Corporation Fund XV, L.P. 48 8 48 8 California Affordable Housing Fund 1 6 — 6 Boston Capital 11 5 — — Total $ 125 $ 30 $ 114 $ 25 For the Nine Months Ended September 30, 2020 September 30, 2019 Generated Tax Benefits From Generated Tax Benefits from (Amounts in thousands) Tax Credits Taxable Losses Tax Credits Taxable Losses Qualified Affordable Housing Partnerships: Raymond James California Housing Opportunities Fund II $ 128 $ 21 $ 128 $ 22 WNC Institutional Tax Credit Fund 38, L.P. 66 12 70 11 Merritt Community Capital Corporation Fund XV, L.P. 144 23 144 24 California Affordable Housing Fund — 18 — 18 Boston Capital 34 15 — — Total $ 372 $ 89 $ 342 $ 75 The following table reflects the anticipated net income tax benefit and (expense) at September 30, 2020 (Amounts in thousands) Qualified Affordable Housing Partnerships: 2024 Anticipated income tax benefit, net less and amortization of investments 2020 2021 2022 2023 thereafter Total Raymond James California Housing Opportunities Fund II $ 4 $ 19 $ 19 $ 18 $ 16 $ 76 WNC Institutional Tax Credit Fund 38, L.P. 4 16 14 13 14 61 Merritt Community Capital Corporation Fund XV, L.P. 1 3 3 3 4 14 California Affordable Housing Fund (3 ) (14 ) (13 ) (35 ) — (65 ) Boston Capital 4 23 24 23 171 245 Total income tax benefit, net $ 10 $ 47 $ 47 $ 22 $ 205 $ 331 |
Note 6 - Term Debt
Note 6 - Term Debt | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Long-term Debt [Text Block] | NOTE 6. Term debt at September 30, 2020 December 31, 2019 (Amounts in thousands) September 30, 2020 December 31, 2019 Term Debt: Federal Home Loan Bank of San Francisco borrowings $ 10,000 $ — Subordinated Debt 10,000 10,000 Unamortized debt issuance costs (7 ) (43 ) Net term debt $ 19,993 $ 9,957 Future contractual maturities of term debt at September 30, 2020 (Amounts in thousands) 2020 2021 2022 2023 2024 Thereafter Total Future Maturities: Federal Home Loan Bank of San Francisco borrowings $ 5,000 $ 5,000 $ — $ — $ — $ — $ 10,000 Subordinated Debt — — — — — 10,000 10,000 Total future maturities $ 5,000 $ 5,000 $ — $ — $ — $ 10,000 $ 20,000 Federal Home Loan Bank of San Francisco Borrowings We have an available line of credit with the Federal Home Loan Bank of San Francisco of $390.6 million at September 30, 2020, The Bank had $10.0 million in borrowings from the Federal Home Loan Bank of San Francisco at September 30, 2020. November 2020 May 2021. December 31, 2019. nine September 30, 2020 December 31, 2019 nine September 30, 2020 December 31, 2019 September 30, 2020, Other Assets Consolidated Balance Sheets 320 321. As of September 30, 2020, Senior Debt In December 2015, second 2019, Subordinated Debt In December 2015, 2025. December 19, 2020, three December 2015, five The Subordinated Debt is subordinate and junior in right of payment to the prior payment in full of all existing and future claims of creditors and depositors of the Holding Company and its subsidiaries, whether now outstanding or subsequently created. The Subordinated Debt ranks equally with all other unsecured subordinated debt, except any which by its terms is expressly stated to be subordinated to the Subordinated Debt. The Subordinated Debt ranks senior to all preferred stock and common stock of the Holding Company and all future junior subordinated debt obligations. The Subordinated Debt is recorded as term debt on the Holding Company’s balance sheet; however, for regulatory purposes, it is treated as Tier 2 The Subordinated Debt will mature on December 10, 2025 may five no Federal Funds We have entered into nonbinding unsecured federal funds line of credit agreements with three September 30, 2020 may September 30, 2020 December 31, 2019, Federal Reserve Bank We have an available line of credit with the Federal Reserve Bank totaling $8.4 million at September 30, 2020, September 30, 2020 December 31, 2019, September 30, 2020, In April 2020, 0.35% not |
Note 7 - Commitments and Contin
Note 7 - Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 7. Financial Instruments with Off-Balance Sheet Risk Our consolidated financial statements do not Consolidated Balance Sheets The following table presents a summary of our commitments and contingent liabilities at September 30, 2020 December 31, 2019. (Amounts in thousands) September 30, 2020 December 31, 2019 Commitments: Commitments to extend credit $ 254,987 $ 267,248 Standby letters of credit 4,723 4,406 Affordable housing grant sponsorships 3,338 3,338 Access to housing and economic assistance for development grant sponsorships 60 110 Total commitments and contingent liabilities $ 263,108 $ 275,102 We were not nine September 30, 2020, December 31, 2019. September 30, 2020, one Affordable Housing Grants and Access to Housing and Economic Assistance for Development Grant Sponsorships In fulfilling our CRA responsibilities, we are a sponsor for various nonprofit organizations that receive cash grants from the Federal Home Loan Bank of San Francisco. Those grants require the nonprofit organization to comply with stipulated conditions of the grant over specified periods of time which typically vary from 10 15 Death Benefit Agreement The Company has entered into agreements with certain employees to pay a cash benefit to designated beneficiaries following the death of the employee. The payment will be made only if, at the time of death, the deceased employee was employed by the Bank and the Bank owned a life insurance policy on the employee’s life. Depending on specific facts and circumstances, the payment amount can vary up to a maximum of $225 thousand per employee and may Legal Proceedings We are involved in various pending and threatened legal actions arising in the ordinary course of business and if necessary, we maintain reserves for losses from legal actions, which are both probable and estimable. In our opinion, the disposition of claims currently pending will not Concentrations of Credit Risk We grant many loans collateralized by real estate. In our judgment, a concentration exists in real estate related loans, which represented approximately 74% of our gross loan portfolio (86% of our gross loan portfolio excluding PPP loans) and 83% of our gross loan portfolio at September 30, 2020 December 31, 2019, Although we believe such concentrations have no We recognize the credit risks inherent in dealing with other depository institutions. Accordingly, to prevent excessive exposure to other depository institutions in aggregate or individually, we have established general standards for selecting correspondent banks as well as internal limits for allowable exposure to other depository institutions in aggregate or individually. In addition, we have an investment policy that sets forth limitations that apply to all investments with respect to credit rating and concentrations with an issuer. |
Note 8 - Leases
Note 8 - Leases | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | NOTE 8. We lease eight one no We have applied ASC Topic 842 January 1, 2019 not not Other Liabilities Consolidated Balance Sheets Other Assets Consolidated Balance Sheets September 30, 2020. (Dollars in thousands) September 30, 2020 Leases: Right-of-use lease asset $ 2,691 Lease liability $ 3,014 Weighted Average Remaining Lease Term 4.48 Weighted Average Discount Rate 2.96 % Lease expenses are recorded on a straight-line basis over the life of each lease. Lease expense and cash paid on leases are presented in the table below for the periods indicated. Three Months Ended September 30, Nine Months Ended September 30, (Amounts in thousands) 2020 2019 2020 2019 Leases: Operating lease expense $ 212 $ 212 $ 641 $ 611 Cash paid for operating leases $ 234 $ 229 $ 714 $ 661 The following table sets forth, as of September 30, 2020, (Amounts in thousands) Amount Due in: 2020 $ 234 2021 953 2022 863 2023 327 2024 280 Thereafter 576 Total undiscounted future minimum lease cash payments 3,233 Present value adjustment (219 ) Lease liability $ 3,014 Our election to utilize the practical expedients package did not 842 not 842 |
Note 9 - Fair Values
Note 9 - Fair Values | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | NOTE 9. The following tables present estimated fair values of our financial instruments as of September 30, 2020 December 31, 2019, not Consolidated Balance Sheets 820, not 825, Carrying Fair Value Measurements Using (Amounts in thousands) Amounts Level 1 Level 2 Level 3 September 30, 2020 Financial assets Cash and cash equivalents $ 127,883 $ 127,883 $ — $ — Securities available-for-sale $ 337,032 $ — $ 337,032 $ — Net loans $ 1,188,155 $ — $ — $ 1,205,297 Federal Home Loan Bank of San Francisco stock $ 7,380 $ 7,380 $ — $ — Financial liabilities Deposits $ 1,518,131 $ — $ 1,519,635 $ — Term debts $ 19,993 $ — $ 20,232 $ — Junior subordinated debenture $ 10,310 $ — $ 9,783 $ — Carrying Fair Value Measurements Using (Amounts in thousands) Amounts Level 1 Level 2 Level 3 December 31, 2019 Financial assets Cash and cash equivalents $ 80,604 $ 80,604 $ — $ — Securities available-for-sale $ 286,950 $ — $ 286,950 $ — Net loans $ 1,022,834 $ — $ — $ 1,025,520 Federal Home Loan Bank of San Francisco stock $ 7,380 $ 7,380 $ — $ — Financial liabilities Deposits $ 1,267,171 $ — $ 1,267,153 $ — Term debt $ 9,957 $ — $ 10,006 $ — Junior subordinated debenture $ 10,310 $ — $ 13,471 $ — Fair Value Hierarchy Level 1 Level 2 1 2 Level 3 not In certain cases, the inputs used to measure fair value may We maximize the use of observable inputs and minimize the use of unobservable inputs when developing fair value measurements. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability. The following table presents the quantitative information used to fair value our net loans at September 30, 2020. Quantitative Information about Level 3 Fair Value Measurements Unobservable Inputs Range (Weighted Average) Probability of Default (PD) 0% - 100% - (2.54%) Loss Given Default (LGD) 0% - 77.42% - (15.93%) Prepayment Rate 0% - 34.47% - (17.95%) Discount Rate 1% - 10.4% - (3.99%) Recurring Items Debt Securities – may 2 The following tables present information about our assets and liabilities measured at fair value on a recurring basis, and indicate the fair value hierarchy of the valuation techniques we utilized to determine such fair value, as of September 30, 2020 December 31, 2019. (Amounts in thousands) Fair Value at September 30, 2020 Recurring Basis Total Level 1 Level 2 Level 3 Available-for-sale securities: U.S. government and agencies $ 31,811 $ — $ 31,811 $ — Obligations of state and political subdivisions 91,863 — 91,863 — Residential mortgage-backed securities and collateralized mortgage obligations 165,692 — 165,692 — Commercial mortgage-backed securities 19,577 — 19,577 — Other asset-backed securities 28,089 — 28,089 — Total assets measured at fair value $ 337,032 $ — $ 337,032 $ — (Amounts in thousands) Fair Value at December 31, 2019 Recurring Basis Total Level 1 Level 2 Level 3 Available-for-sale securities: U.S. government and agencies $ 38,733 $ — $ 38,733 $ — Obligations of state and political subdivisions 42,098 — 42,098 — Residential mortgage-backed securities and collateralized mortgage obligations 180,835 — 180,835 — Corporate securities 2,966 — 2,966 — Commercial mortgage-backed securities 19,307 — 19,307 — Other asset-backed securities 3,011 — 3,011 — Total assets measured at fair value $ 286,950 $ — $ 286,950 $ — Transfers Between Fair Value Hierarchy Levels Transfers between levels of the fair value hierarchy are recognized on the actual date of the event or circumstance that caused the transfer. There were no three nine September 30, 2020 December 31, 2019. Nonrecurring items We may Collateral Dependent Loans - no 3 OREO - 3 The following tables present information about our assets at September 30, 2020 December 31, 2019 not Fair Value at September 30, 2020 (Amounts in thousands) Total Level 1 Level 2 Level 3 Nonrecurring basis: Collateral dependent impaired loans $ 3,817 $ — $ — $ 3,817 Other real estate owned 8 — — 8 Total assets measured at fair value $ 3,825 $ — $ — $ 3,825 Fair Value at December 31, 2019 (Amounts in thousands) Total Level 1 Level 2 Level 3 Nonrecurring basis: Collateral dependent impaired loans $ 33 $ — $ — $ 33 Other real estate owned 35 — — 35 Total assets measured at fair value $ 68 $ — $ — $ 68 The following table presents the losses resulting from nonrecurring fair value adjustments for the three nine September 30, 2020 2019 September 30, 2020 2019. Three Months Ended September 30, Nine Months Ended September 30, (Amounts in thousands) 2020 2019 2020 2019 Fair value adjustments: Collateral dependent impaired loans $ 353 $ 29 $ 498 $ 328 Other real estate owned — 43 6 43 Total $ 353 $ 72 $ 504 $ 371 During the nine September 30, 2020, During the nine September 30, 2019, During the nine September 30, 2020, During the nine September 30, 2019, Limitations Fair value estimates are made at a specific point in time, based on relevant market information and other information about the financial instrument. These estimates do not one no Fair value estimates are based only on current on and off-balance sheet financial instruments. Our fair value estimates do not not |
Note 10 - Acquisition
Note 10 - Acquisition | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Mergers, Acquisitions and Dispositions Disclosures [Text Block] | NOTE 10. On January 31, 2019, 97 January 31, 2019. one one May 2019, We paid $15.3 million in cash and issued 1,834,142 shares of common stock to Merchants shareholders who held, in the aggregate, approximately 10% of our outstanding common stock on January 31, 2019. January 31, 2019. The acquisition of Merchants constituted a business combination and was accounted for using the acquisition method of accounting. The assets acquired and liabilities assumed, both tangible and intangible, were recorded at their fair values as of the acquisition date in accordance with ASC 805, third 368 The calculation of goodwill recorded during 2019 As Recorded by Fair Value Merchants And Other Acquisition As Recorded by (Amounts in thousands) Holding Company Related Adjustments the Company Consideration paid: Cash $ 15,300 Stock 1,834,142 shares at $10.69 per share 19,607 Total consideration $ 34,907 Assets acquired: Cash and fed funds sold $ 12,425 $ — $ 12,425 Investment securities 107,931 (551 ) 107,380 Loans, gross 87,570 (2,292 ) 85,278 Allowance for loan and lease losses (1,286 ) 1,286 — Interest receivable 688 — 688 Premises and equipment, net 378 1,856 2,234 Deferred tax assets, net 1,374 (1,352 ) 22 Federal Home Loan Bank of San Francisco stock 1,454 — 1,454 Life insurance 755 — 755 Other assets 371 95 466 Core deposit intangible — 4,353 4,353 Total assets acquired $ 211,660 $ 3,395 $ 215,055 Liabilities assumed: Demand, money market and savings $ 152,213 $ — $ 152,213 Certificates of deposit 38,003 — 38,003 Total deposits 190,216 — 190,216 Other liabilities 916 22 938 Total liabilities assumed $ 191,132 $ 22 $ 191,154 Net identifiable assets acquired over liabilities assumed $ 20,528 $ 3,373 $ 23,901 Goodwill $ 11,006 Goodwill As a result of the Merchants acquisition, we recorded goodwill totaling $11.0 million. Goodwill reflects the expected value of Merchants reputation in the community, stable customer base and expected synergies created through the combined operations with our Company and was calculated as the excess of the total purchase price paid over the fair value of the assets acquired, net of the fair values of liabilities assumed. The following is a description of the methods used to determine the fair values of significant assets and liabilities whose fair values are different from their carrying amounts on Merchants' books at acquisition date presented above. Investment Securities Fair values for securities were obtained from an independent pricing service and were based on quoted market prices, where available. If quoted market prices were not not Loans We engaged a third no three September 30, 2020 2019, nine September 30, 2020 2019, Premises and Equipment We engaged an independent licensed appraiser to determine the fair value of the acquired branch located in Sacramento. The fair value of tangible personal property was not Deferred Tax Assets Deferred income tax assets were recorded to reflect the difference between the carrying values of the acquired assets and liabilities for financial reporting purposes and the basis for income tax purposes using the Company’s statutory federal and state income tax rates. During 2019, Core Deposit Intangible We engaged an independent third eight 2020 2019. not three September 30, 2020 2019. nine September 30, 2020 2019, September 30, 2020 (Amounts in thousands) 2020 2021 2022 2023 2024 Thereafter Total Core deposit intangible amortization $ 136 $ 544 $ 544 $ 544 $ 544 $ 1,134 $ 3,446 Pro Forma Results of Operations The following table presents pro forma information of the combined entity as if the acquisition occurred on January 1, 2019. not not For the Three Months Ended For the Nine Months Ended September 30, September 30, (Amounts in thousands) 2019 2019 Pro forma revenue and earnings: Net interest income $ 13,722 $ 40,416 Net income (1) $ 4,642 $ 10,555 ( 1 three nine September 30, 2019, It is impracticable to separately provide information regarding the amount of revenue and earnings from Merchants included in our Consolidated Statement of Income |
Note 11 - Goodwill and Other In
Note 11 - Goodwill and Other Intangibles | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | NOTE 11. Goodwill and Other Intangibles, net consisted of the following at September 30, 2020 December 31, 2019. September 30, December 31, (Amounts in thousands) 2020 2019 Goodwill and Other Intangibles: Goodwill $ 11,671 $ 11,671 Core deposit intangibles 6,125 6,125 Domain name 32 32 Accumulated amortization (1,922 ) (1,348 ) Goodwill and other intangibles, net $ 15,906 $ 16,480 Goodwill Goodwill is a common byproduct of a business combination, and is calculated as the amount of consideration paid in excess of the fair value of the net assets acquired in a transaction. Goodwill is considered to have an indefinite life and is therefore not September 30, 2020, Events during 2020 The Company’s share price has traded below tangible book value for the entire second third 2020 After performing our qualitative assessment at September 30, 2020, not Core Deposit Intangibles Acquired core deposits provide value as a source of below market rate funds and the realization of interest cost savings is a fundamental rationale for assuming these deposit liabilities. The cost savings is defined as the difference between the cost of funds on our new deposits (i.e., interest and net maintenance costs) and the cost of an equal amount of funds from an alternative source having a similar term as the new deposit base. Our core deposit intangibles were recorded at fair value which was derived using the income approach and represent the present value of the cost savings over the projected term of our new deposit base. The core deposit intangible is being amortized on a straight-line basis over an estimated eight The following table sets forth, as of September 30, 2020, (Amounts in thousands) Amount Amortization: 2020 $ 191 2021 766 2022 766 2023 766 2024 581 2025 and thereafter 1,133 Total $ 4,203 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Holding Company and its subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. As of September 30, 2020 December 31, 2019, one 2005 not Consolidation 810” not Consolidated Balance Sheets |
Lessee, Leases [Policy Text Block] | Leases We determine if an arrangement is a lease at inception. Operating leases are included in Other Assets Other Liabilities Consolidated Balance Sheets not may |
New Accounting Pronouncements, Policy [Policy Text Block] | Application of new accounting guidance In August 2018, No. 2018 13, 820 3 2018 13 December 15, 2019, January 1, 2020 3 not |
Note 2 - Common Stock Outstan_2
Note 2 - Common Stock Outstanding and Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | For the Three Months Ended For the Nine Months Ended September 30, September 30, (Amounts in thousands, except per share information) 2020 2019 2020 2019 Earnings Per Share: Numerators: Net income $ 4,329 $ 4,642 $ 9,092 $ 10,592 Denominators: Weighted average number of common shares outstanding - basic (1) 16,660 18,130 17,004 17,918 Effect of potentially dilutive common shares (2) 36 66 40 63 Weighted average number of common shares outstanding - diluted 16,696 18,196 17,044 17,981 Earnings per common share: Basic $ 0.26 $ 0.26 $ 0.53 $ 0.59 Diluted $ 0.26 $ 0.26 $ 0.53 $ 0.59 Anti-dilutive restricted shares not included in diluted earnings per share calculation 73 — 63 — |
Note 3 - Securities (Tables)
Note 3 - Securities (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | As of September 30, 2020 Gross Gross Amortized Unrealized Unrealized Estimated (Amounts in thousands) Costs Gains Losses Fair Values Available-for-sale securities: U.S. government & agencies $ 30,942 $ 879 $ (10 ) $ 31,811 Obligations of state and political subdivisions 87,628 4,281 (46 ) 91,863 Residential mortgage-backed securities and collateralized mortgage obligations 161,345 4,512 (165 ) 165,692 Commercial mortgage-backed securities 18,920 665 (8 ) 19,577 Other asset-backed securities 27,799 327 (37 ) 28,089 Total $ 326,634 $ 10,664 $ (266 ) $ 337,032 As of December 31, 2019 Gross Gross Amortized Unrealized Unrealized Estimated (Amounts in thousands) Costs Gains Losses Fair Values Available-for-sale securities: U.S. government & agencies $ 38,291 $ 469 $ (27 ) $ 38,733 Obligations of state and political subdivisions 40,702 1,422 (26 ) 42,098 Residential mortgage-backed securities and collateralized mortgage obligations 179,114 2,163 (442 ) 180,835 Corporate securities 3,005 6 (45 ) 2,966 Commercial mortgage-backed securities 19,126 221 (40 ) 19,307 Other asset-backed securities 3,019 — (8 ) 3,011 Total $ 283,257 $ 4,281 $ (588 ) $ 286,950 |
Amortized Cost and Estimated Fair Value Available for Sale Securities [Table Text Block] | Available-For-Sale (Amounts in thousands) Amortized Costs Fair Values Amounts maturing in: One year or less $ 22,257 $ 22,731 After one year through five years 110,662 115,225 After five years through ten years 50,087 51,569 After ten years 143,628 147,507 Total $ 326,634 $ 337,032 |
Schedule of Realized Gain (Loss) [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, (Amounts in thousands) 2020 2019 2020 2019 Investment Securities: Proceeds from sales of investment securities $ 6,257 $ 13,895 $ 56,017 $ 99,635 Gross realized gains on sales of investment securities: U.S. government & agencies $ — $ 10 $ — $ 48 Obligations of state and political subdivisions 249 10 339 305 Residential mortgage-backed securities and collateralized mortgage obligations — 22 226 86 Corporate securities 12 — 12 — Commercial mortgage-backed securities — 5 38 7 Total gross realized gains on sales of investment securities 261 47 615 446 Gross realized losses on sales of investment securities: U.S. government & agencies — (9 ) (14 ) (13 ) Obligations of state and political subdivisions (3 ) (6 ) (7 ) (96 ) Residential mortgage-backed securities and collateralized mortgage obligations — (9 ) (112 ) (157 ) Commercial mortgage-backed securities — (11 ) — (43 ) Total gross realized losses on sales of investment securities (3 ) (35 ) (133 ) (309 ) Gain on sales of investment securities, net $ 258 $ 12 $ 482 $ 137 |
Schedule of Unrealized Loss on Investments [Table Text Block] | As of September 30, 2020 Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (Amounts in thousands) Values Losses Values Losses Values Losses Available-for-sale securities: U.S. government & agencies $ — $ — $ 2,836 $ (10 ) $ 2,836 $ (10 ) Obligations of state and political subdivisions 5,915 (46 ) — — 5,915 (46 ) Residential mortgage-backed securities and collateralized mortgage obligations 17,671 (159 ) 285 (6 ) 17,956 (165 ) Commercial mortgage-backed securities 2,057 (8 ) — — 2,057 (8 ) Other asset-backed securities 3,001 (37 ) — — 3,001 (37 ) Total temporarily impaired securities $ 28,644 $ (250 ) $ 3,121 $ (16 ) $ 31,765 $ (266 ) As of December 31, 2019 Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (Amounts in thousands) Values Losses Values Losses Values Losses Available-for-sale securities: U.S. government & agencies $ 6,473 $ (25 ) $ 380 $ (2 ) $ 6,853 $ (27 ) Obligations of state and political subdivisions 2,249 (26 ) — — 2,249 (26 ) Residential mortgage-backed securities and collateralized mortgage obligations 31,817 (207 ) 22,166 (235 ) 53,983 (442 ) Corporate securities — — 955 (45 ) 955 (45 ) Commercial mortgage-backed securities 1,464 (1 ) 4,549 (39 ) 6,013 (40 ) Other asset-backed securities 3,011 (8 ) — — 3,011 (8 ) Total temporarily impaired securities $ 45,014 $ (267 ) $ 28,050 $ (321 ) $ 73,064 $ (588 ) |
Note 4 - Loans (Tables)
Note 4 - Loans (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Outstanding Loan Balances [Table Text Block] | September 30, December 31, (Amounts in thousands) 2020 2019 Loan Portfolio: Commercial $ 121,025 $ 141,197 Paycheck protection program 163,493 — Commercial real estate: Construction and land development 40,289 26,830 Non-owner occupied 538,079 493,920 Owner occupied 210,455 218,833 Residential real estate: Individual Tax Identification Number (“ITIN”) 30,071 33,039 1-4 family mortgage 57,867 63,661 Equity lines 20,296 22,099 Consumer and other 24,490 33,324 Gross loans 1,206,065 1,032,903 Deferred (fees) and costs (1,037 ) 2,162 Loans, net of deferred fees and costs 1,205,028 1,035,065 Allowance for loan and lease losses (16,873 ) (12,231 ) Net loans $ 1,188,155 $ 1,022,834 |
Financing Receivable, Past Due [Table Text Block] | Recorded 30 59 60 89 90 or Greater Investment > Days Past Days Past Days Past Total Past 90 Days and (Amounts in thousands) Due Due Due Due Current Total Accruing Past Due Loans at September 30, 2020 Commercial $ — $ — $ — $ — $ 121,025 $ 121,025 $ — Paycheck protection program — — — — 163,493 163,493 — Commercial real estate: Construction and land development — — — — 40,289 40,289 — Non-owner occupied — — 1,062 1,062 537,017 538,079 — Owner occupied — — 2,993 2,993 207,462 210,455 — Residential real estate: ITIN 76 — 105 181 29,890 30,071 — 1-4 family mortgage — — — — 57,867 57,867 — Equity lines 15 — — 15 20,281 20,296 — Consumer and other 58 65 — 123 24,367 24,490 — Total $ 149 $ 65 $ 4,160 $ 4,374 $ 1,201,691 $ 1,206,065 $ — Recorded 30 59 60 89 90 or Greater Investment > Days Past Days Past Days Past Total Past 90 Days and (Amounts in thousands) Due Due Due Due Current Total Accruing Past Due Loans at December 31, 2019 Commercial $ 71 $ — $ — $ 71 $ 141,126 $ 141,197 $ — Commercial real estate: Construction and land development — — — — 26,830 26,830 — Non-owner occupied — — — — 493,920 493,920 — Owner occupied 655 — 3,103 3,758 215,075 218,833 — Residential real estate: ITIN 371 323 43 737 32,302 33,039 — 1-4 family mortgage — — — — 63,661 63,661 — Equity lines 100 — — 100 21,999 22,099 — Consumer and other 200 50 — 250 33,074 33,324 — Total $ 1,397 $ 373 $ 3,146 $ 4,916 $ 1,027,987 $ 1,032,903 $ — |
Schedule of Credit Losses Related to Financing Receivables, Current and Noncurrent 1 [Table Text Block] | September 30, December 31, (Amounts in thousands) 2020 2019 Nonaccrual Loans: Commercial $ 1,549 $ 61 Commercial real estate: Non-owner occupied 1,062 — Owner occupied 3,750 3,103 Residential real estate: ITIN 1,574 2,221 1-4 family mortgage 145 191 Consumer and other 18 40 Total $ 8,098 $ 5,616 Three Months Ended September 30, Nine Months Ended September 30, (Amounts in thousands) 2020 2019 2020 2019 Nonaccrual Loans: Interest income, net of tax $ 108 $ 115 $ 238 $ 484 |
Impaired Financing Receivables [Table Text Block] | As of September 30, 2020 Unpaid Recorded Principal Related (Amounts in thousands) Investment Balance Allowance Impaired Loans: With no related allowance recorded: Commercial $ 1,458 $ 1,811 $ — Commercial real estate: Non-owner occupied 1,062 1,097 — Owner occupied 3,750 3,865 — Residential real estate: ITIN 4,995 6,591 — 1-4 family mortgage 145 205 — Total with no related allowance recorded $ 11,410 $ 13,569 $ — With an allowance recorded: Commercial $ 622 $ 622 $ 122 Residential real estate: ITIN 176 176 12 Equity lines 131 131 65 Consumer and other 18 18 5 Total with an allowance recorded $ 947 $ 947 $ 204 By loan portfolio: Commercial $ 2,080 $ 2,433 $ 122 Commercial real estate 4,812 4,962 — Residential real estate 5,447 7,103 77 Consumer and other 18 18 5 Total impaired loans $ 12,357 $ 14,516 $ 204 As of December 31, 2019 Unpaid Recorded Principal Related (Amounts in thousands) Investment Balance Allowance Impaired Loans: With no related allowance recorded: Commercial $ 94 $ 251 $ — Commercial real estate: Owner occupied 3,103 3,103 — Residential real estate: ITIN 5,723 7,386 — 1-4 family mortgage 191 313 — Total with no related allowance recorded $ 9,111 $ 11,053 $ — With an allowance recorded: Commercial $ 562 $ 563 $ 159 Residential real estate: ITIN 455 455 38 Equity lines 231 231 116 Consumer and other 40 40 11 Total with an allowance recorded $ 1,288 $ 1,289 $ 324 By loan portfolio: Commercial $ 656 $ 814 $ 159 Commercial real estate 3,103 3,103 — Residential real estate 6,600 8,385 154 Consumer and other 40 40 11 Total impaired loans $ 10,399 $ 12,342 $ 324 |
Average Recorded Investment and Interest Income Recognized on Impaired Loans by Loan Class [Table Text Block] | Three Months Ended Three Months Ended September 30, 2020 September 30, 2019 Average Interest Average Interest Recorded Income Recorded Income (Amounts in thousands) Investment Recognized Investment Recognized Average Recorded Investment and Interest Income: Commercial $ 1,078 $ 15 $ 807 $ 10 Commercial real estate: Non-owner occupied 1,062 — 10,887 7 Owner occupied 3,682 — — — Residential real estate: ITIN 5,241 35 6,490 40 1-4 family mortgage 146 — 204 — Equity lines 132 2 238 4 Consumer and other 18 — 21 — Total $ 11,359 $ 52 $ 18,647 $ 61 Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 Average Interest Average Interest Recorded Income Recorded Income (Amounts in thousands) Investment Recognized Investment Recognized Average Recorded Investment and Interest Income: Commercial $ 777 $ 32 $ 1,377 $ 42 Commercial real estate: Non-owner occupied 590 — 10,307 30 Owner occupied 3,356 — — — Residential real estate: ITIN 5,546 106 6,694 123 1-4 family mortgage 171 — 194 — Equity lines 194 10 306 14 Consumer and other 32 — 22 — Total $ 10,666 $ 148 $ 18,900 $ 209 |
Newly Restructured Loans [Table Text Block] | Modification Types For the Nine Months Ended September 30, 2020 Modification Types For the Nine Months Ended September 30, 2019 (Amounts in thousands) Maturity Payment Deferral Total Maturity Payment Deferral Total Troubled Debt Restructurings: Commercial $ — $ — $ — $ 66 $ — $ 66 Commercial real estate: Owner occupied — 650 650 — — — Total $ — $ 650 $ 650 $ 66 $ — $ 66 |
Financing Receivable, Troubled Debt Restructuring [Table Text Block] | For the Nine Months Ended September 30, 2020 For the Nine Months Ended September 30, 2019 Pre- Post- Pre- Post- Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number of Recorded Recorded Number of Recorded Recorded (Dollars in thousands) Contracts Investment Investment Contracts Investment Investment Troubled Debt Restructurings: Commercial — $ — $ — 1 $ 99 $ 99 Commercial real estate: Owner occupied 1 654 654 — — — Total 1 $ 654 $ 654 1 $ 99 $ 99 |
Financing Receivable Credit Quality Indicators [Table Text Block] | September 30, 2020 (Amounts in thousands) Performing Nonperforming Total Performing and Nonperforming Loans: Commercial $ 119,476 $ 1,549 $ 121,025 Paycheck protection program 163,493 — 163,493 Commercial real estate: Construction and land development 40,289 — 40,289 Non-owner occupied 537,017 1,062 538,079 Owner occupied 206,705 3,750 210,455 Residential real estate: ITIN 28,497 1,574 30,071 1-4 family mortgage 57,722 145 57,867 Equity lines 20,296 — 20,296 Consumer and other 24,472 18 24,490 Total $ 1,197,967 $ 8,098 $ 1,206,065 December 31, 2019 (Amounts in thousands) Performing Nonperforming Total Performing and Nonperforming Loans: Commercial $ 141,136 $ 61 $ 141,197 Commercial real estate: Construction and land development 26,830 — 26,830 Non-owner occupied 493,920 — 493,920 Owner occupied 215,730 3,103 218,833 Residential real estate: ITIN 30,818 2,221 33,039 1-4 family mortgage 63,470 191 63,661 Equity lines 22,099 — 22,099 Consumer and other 33,284 40 33,324 Total $ 1,027,287 $ 5,616 $ 1,032,903 |
Financing Receivable Credit Quality Indicator [Table Text Block] | As of September 30, 2020 Special (Amounts in thousands) Pass Watch Mention Substandard Doubtful Total Loan Portfolio: Commercial $ 106,597 $ 8,736 $ 125 $ 5,567 $ — $ 121,025 Paycheck protection program 163,493 — — — — 163,493 Commercial real estate: Construction and land development 37,839 2,450 — — — 40,289 Non-owner occupied 508,803 21,859 6,355 1,062 — 538,079 Owner occupied 155,290 41,289 — 13,876 — 210,455 Residential real estate: ITIN 26,583 — — 3,488 — 30,071 1-4 family mortgage 56,213 208 — 1,446 — 57,867 Equity lines 20,296 — — — — 20,296 Consumer and other 24,472 — — 18 — 24,490 Total $ 1,099,586 $ 74,542 $ 6,480 $ 25,457 $ — $ 1,206,065 As of December 31, 2019 Special (Amounts in thousands) Pass Watch Mention Substandard Doubtful Total Loan Portfolio: Commercial $ 125,222 $ 14,974 $ 833 $ 168 $ — $ 141,197 Commercial real estate: Construction and land development 26,810 20 — — — 26,830 Non-owner occupied 454,493 32,902 5,424 1,101 — 493,920 Owner occupied 195,950 7,224 1,220 14,439 — 218,833 Residential real estate: ITIN 28,609 — — 4,430 — 33,039 1-4 family mortgage 62,485 985 — 191 — 63,661 Equity lines 22,012 — — 87 — 22,099 Consumer and other 33,283 — — 41 — 33,324 Total $ 948,864 $ 56,105 $ 7,477 $ 20,457 $ — $ 1,032,903 |
Financing Receivable, Allowance for Credit Loss [Table Text Block] | For the Three Months Ended September 30, 2020 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL by Loan Portfolio: Beginning balance $ 2,400 $ — $ 10,936 $ 1,306 $ 870 $ 577 $ 16,089 Charge-offs (353 ) — — (31 ) (118 ) — (502 ) Recoveries — — — 69 117 — 186 Provision 393 — 813 (22 ) (41 ) (43 ) 1,100 Ending balance $ 2,440 $ — $ 11,749 $ 1,322 $ 828 $ 534 $ 16,873 For the Three Months Ended September 30, 2019 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL by Loan Portfolio: Beginning balance $ 2,104 $ — $ 7,598 $ 1,070 $ 1,070 $ 603 $ 12,445 Charge-offs (81 ) — — (43 ) (195 ) — (319 ) Recoveries 5 — — 104 50 — 159 Provision (84 ) — 120 (77 ) 66 (25 ) — Ending balance $ 1,944 $ — $ 7,718 $ 1,054 $ 991 $ 578 $ 12,285 For the Nine Months Ended September 30, 2020 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL by Loan Portfolio: Beginning balance $ 1,822 $ — $ 8,096 $ 1,032 $ 933 $ 348 $ 12,231 Charge-offs (353 ) — (145 ) (66 ) (463 ) — (1,027 ) Recoveries 22 — — 131 266 — 419 Provision 949 — 3,798 225 92 186 5,250 Ending balance $ 2,440 $ — $ 11,749 $ 1,322 $ 828 $ 534 $ 16,873 For the Nine Months Ended September 30, 2019 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL by Loan Portfolio: Beginning balance $ 2,205 $ — $ 7,116 $ 1,173 $ 1,356 $ 442 $ 12,292 Charge-offs (227 ) — (233 ) (181 ) (685 ) — (1,326 ) Recoveries 916 — — 204 199 — 1,319 Provision (950 ) — 835 (142 ) 121 136 — Ending balance $ 1,944 $ — $ 7,718 $ 1,054 $ 991 $ 578 $ 12,285 As of September 30, 2020 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL: Individually evaluated for impairment $ 122 $ — $ — $ 77 $ 5 $ — $ 204 Collectively evaluated for impairment 2,318 — 11,749 1,245 823 534 16,669 Total $ 2,440 $ — $ 11,749 $ 1,322 $ 828 $ 534 $ 16,873 Gross loans: Individually evaluated for impairment $ 2,080 $ — $ 4,812 $ 5,447 $ 18 $ — $ 12,357 Collectively evaluated for impairment 118,945 163,493 784,011 102,787 24,472 — 1,193,708 Total gross loans $ 121,025 $ 163,493 $ 788,823 $ 108,234 $ 24,490 $ — $ 1,206,065 As of December 31, 2019 Paycheck Protection Commercial Residential (Amounts in thousands) Commercial Program Real Estate Real Estate Consumer Unallocated Total ALLL: Individually evaluated for impairment $ 159 $ — $ — $ 154 $ 11 $ — $ 324 Collectively evaluated for impairment 1,663 — 8,096 878 922 348 11,907 Total $ 1,822 $ — $ 8,096 $ 1,032 $ 933 $ 348 $ 12,231 Gross loans: Individually evaluated for impairment $ 656 $ — $ 3,103 $ 6,600 $ 40 $ — $ 10,399 Collectively evaluated for impairment 140,541 — 736,480 112,199 33,284 — 1,022,504 Total gross loans $ 141,197 $ — $ 739,583 $ 118,799 $ 33,324 $ — $ 1,032,903 |
Note 5 - Qualified Affordable_2
Note 5 - Qualified Affordable Housing Partnership Investments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Proportional Amortization Method Investment Qualified Affordable Housing Project [Table Text Block] | At September 30, 2020 For the Nine Months Ended September 30, 2020 Original Current Unfunded Tax Credits Amortization Net Investment Recorded Liability and of Income Tax (Amounts in thousands) Value Investment Obligation Benefits Investments Benefit (Expense) Qualified Affordable Housing Partnerships: Raymond James California Housing Opportunities Fund II $ 2,000 $ 717 $ 22 $ 149 $ 135 $ 14 WNC Institutional Tax Credit Fund 38, L.P. 1,000 335 — 78 65 13 Merritt Community Capital Corporation Fund XV, L.P. 2,500 903 316 167 164 3 California Affordable Housing Fund 2,454 181 — 18 29 (11 ) Boston Capital 1,000 962 987 49 38 11 Total $ 8,954 $ 3,098 $ 1,325 $ 461 $ 431 $ 30 At December 31, 2019 For the Nine Months Ended September 30, 2019 Original Current Unfunded Tax Credits Amortization Net Investment Recorded Liability and of Income Tax (Amounts in thousands) Value Investment Obligation Benefits Investments Benefit (Expense) Qualified Affordable Housing Partnerships: Raymond James California Housing Opportunities Fund II $ 2,000 $ 852 $ 22 $ 150 $ 135 $ 15 WNC Institutional Tax Credit Fund 38, L.P. 1,000 400 — 81 68 13 Merritt Community Capital Corporation Fund XV, L.P. 2,500 1,067 316 168 165 3 California Affordable Housing Fund 2,454 210 — 18 29 (11 ) Total $ 7,954 $ 2,529 $ 338 $ 417 $ 397 $ 20 |
Qualified Affordable Housing Project Investments Tax Credits and Benefits [Table Text Block] | For the Three Months Ended September 30, 2020 September 30, 2019 Generated Tax Benefits From Generated Tax Benefits from (Amounts in thousands) Tax Credits Taxable Losses Tax Credits Taxable Losses Qualified Affordable Housing Partnerships: Raymond James California Housing Opportunities Fund II $ 43 $ 7 $ 43 $ 7 WNC Institutional Tax Credit Fund 38, L.P. 22 4 23 4 Merritt Community Capital Corporation Fund XV, L.P. 48 8 48 8 California Affordable Housing Fund 1 6 — 6 Boston Capital 11 5 — — Total $ 125 $ 30 $ 114 $ 25 For the Nine Months Ended September 30, 2020 September 30, 2019 Generated Tax Benefits From Generated Tax Benefits from (Amounts in thousands) Tax Credits Taxable Losses Tax Credits Taxable Losses Qualified Affordable Housing Partnerships: Raymond James California Housing Opportunities Fund II $ 128 $ 21 $ 128 $ 22 WNC Institutional Tax Credit Fund 38, L.P. 66 12 70 11 Merritt Community Capital Corporation Fund XV, L.P. 144 23 144 24 California Affordable Housing Fund — 18 — 18 Boston Capital 34 15 — — Total $ 372 $ 89 $ 342 $ 75 |
Qualified Affordable Housing Projects Future Income Tax Benefit [Table Text Block] | (Amounts in thousands) Qualified Affordable Housing Partnerships: 2024 Anticipated income tax benefit, net less and amortization of investments 2020 2021 2022 2023 thereafter Total Raymond James California Housing Opportunities Fund II $ 4 $ 19 $ 19 $ 18 $ 16 $ 76 WNC Institutional Tax Credit Fund 38, L.P. 4 16 14 13 14 61 Merritt Community Capital Corporation Fund XV, L.P. 1 3 3 3 4 14 California Affordable Housing Fund (3 ) (14 ) (13 ) (35 ) — (65 ) Boston Capital 4 23 24 23 171 245 Total income tax benefit, net $ 10 $ 47 $ 47 $ 22 $ 205 $ 331 |
Note 6 - Term Debt (Tables)
Note 6 - Term Debt (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | (Amounts in thousands) September 30, 2020 December 31, 2019 Term Debt: Federal Home Loan Bank of San Francisco borrowings $ 10,000 $ — Subordinated Debt 10,000 10,000 Unamortized debt issuance costs (7 ) (43 ) Net term debt $ 19,993 $ 9,957 |
Schedule of Maturities of Long-term Debt [Table Text Block] | (Amounts in thousands) 2020 2021 2022 2023 2024 Thereafter Total Future Maturities: Federal Home Loan Bank of San Francisco borrowings $ 5,000 $ 5,000 $ — $ — $ — $ — $ 10,000 Subordinated Debt — — — — — 10,000 10,000 Total future maturities $ 5,000 $ 5,000 $ — $ — $ — $ 10,000 $ 20,000 |
Note 7 - Commitments and Cont_2
Note 7 - Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Commitments and Contingent Liabilities [Table Text Block] | (Amounts in thousands) September 30, 2020 December 31, 2019 Commitments: Commitments to extend credit $ 254,987 $ 267,248 Standby letters of credit 4,723 4,406 Affordable housing grant sponsorships 3,338 3,338 Access to housing and economic assistance for development grant sponsorships 60 110 Total commitments and contingent liabilities $ 263,108 $ 275,102 |
Note 8 - Leases (Tables)
Note 8 - Leases (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Lease, Cost [Table Text Block] | (Dollars in thousands) September 30, 2020 Leases: Right-of-use lease asset $ 2,691 Lease liability $ 3,014 Weighted Average Remaining Lease Term 4.48 Weighted Average Discount Rate 2.96 % Three Months Ended September 30, Nine Months Ended September 30, (Amounts in thousands) 2020 2019 2020 2019 Leases: Operating lease expense $ 212 $ 212 $ 641 $ 611 Cash paid for operating leases $ 234 $ 229 $ 714 $ 661 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | (Amounts in thousands) Amount Due in: 2020 $ 234 2021 953 2022 863 2023 327 2024 280 Thereafter 576 Total undiscounted future minimum lease cash payments 3,233 Present value adjustment (219 ) Lease liability $ 3,014 |
Note 9 - Fair Values (Tables)
Note 9 - Fair Values (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Fair Value, by Balance Sheet Grouping [Table Text Block] | Carrying Fair Value Measurements Using (Amounts in thousands) Amounts Level 1 Level 2 Level 3 September 30, 2020 Financial assets Cash and cash equivalents $ 127,883 $ 127,883 $ — $ — Securities available-for-sale $ 337,032 $ — $ 337,032 $ — Net loans $ 1,188,155 $ — $ — $ 1,205,297 Federal Home Loan Bank of San Francisco stock $ 7,380 $ 7,380 $ — $ — Financial liabilities Deposits $ 1,518,131 $ — $ 1,519,635 $ — Term debts $ 19,993 $ — $ 20,232 $ — Junior subordinated debenture $ 10,310 $ — $ 9,783 $ — Carrying Fair Value Measurements Using (Amounts in thousands) Amounts Level 1 Level 2 Level 3 December 31, 2019 Financial assets Cash and cash equivalents $ 80,604 $ 80,604 $ — $ — Securities available-for-sale $ 286,950 $ — $ 286,950 $ — Net loans $ 1,022,834 $ — $ — $ 1,025,520 Federal Home Loan Bank of San Francisco stock $ 7,380 $ 7,380 $ — $ — Financial liabilities Deposits $ 1,267,171 $ — $ 1,267,153 $ — Term debt $ 9,957 $ — $ 10,006 $ — Junior subordinated debenture $ 10,310 $ — $ 13,471 $ — |
Fair Value Measurement Inputs and Valuation Techniques [Table Text Block] | Quantitative Information about Level 3 Fair Value Measurements Unobservable Inputs Range (Weighted Average) Probability of Default (PD) 0% - 100% - (2.54%) Loss Given Default (LGD) 0% - 77.42% - (15.93%) Prepayment Rate 0% - 34.47% - (17.95%) Discount Rate 1% - 10.4% - (3.99%) |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | (Amounts in thousands) Fair Value at September 30, 2020 Recurring Basis Total Level 1 Level 2 Level 3 Available-for-sale securities: U.S. government and agencies $ 31,811 $ — $ 31,811 $ — Obligations of state and political subdivisions 91,863 — 91,863 — Residential mortgage-backed securities and collateralized mortgage obligations 165,692 — 165,692 — Commercial mortgage-backed securities 19,577 — 19,577 — Other asset-backed securities 28,089 — 28,089 — Total assets measured at fair value $ 337,032 $ — $ 337,032 $ — (Amounts in thousands) Fair Value at December 31, 2019 Recurring Basis Total Level 1 Level 2 Level 3 Available-for-sale securities: U.S. government and agencies $ 38,733 $ — $ 38,733 $ — Obligations of state and political subdivisions 42,098 — 42,098 — Residential mortgage-backed securities and collateralized mortgage obligations 180,835 — 180,835 — Corporate securities 2,966 — 2,966 — Commercial mortgage-backed securities 19,307 — 19,307 — Other asset-backed securities 3,011 — 3,011 — Total assets measured at fair value $ 286,950 $ — $ 286,950 $ — |
Fair Value Measurements, Nonrecurring [Table Text Block] | Fair Value at September 30, 2020 (Amounts in thousands) Total Level 1 Level 2 Level 3 Nonrecurring basis: Collateral dependent impaired loans $ 3,817 $ — $ — $ 3,817 Other real estate owned 8 — — 8 Total assets measured at fair value $ 3,825 $ — $ — $ 3,825 Fair Value at December 31, 2019 (Amounts in thousands) Total Level 1 Level 2 Level 3 Nonrecurring basis: Collateral dependent impaired loans $ 33 $ — $ — $ 33 Other real estate owned 35 — — 35 Total assets measured at fair value $ 68 $ — $ — $ 68 |
Loss from Nonrecurring Fair Value [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, (Amounts in thousands) 2020 2019 2020 2019 Fair value adjustments: Collateral dependent impaired loans $ 353 $ 29 $ 498 $ 328 Other real estate owned — 43 6 43 Total $ 353 $ 72 $ 504 $ 371 |
Note 10 - Acquisition (Tables)
Note 10 - Acquisition (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | As Recorded by Fair Value Merchants And Other Acquisition As Recorded by (Amounts in thousands) Holding Company Related Adjustments the Company Consideration paid: Cash $ 15,300 Stock 1,834,142 shares at $10.69 per share 19,607 Total consideration $ 34,907 Assets acquired: Cash and fed funds sold $ 12,425 $ — $ 12,425 Investment securities 107,931 (551 ) 107,380 Loans, gross 87,570 (2,292 ) 85,278 Allowance for loan and lease losses (1,286 ) 1,286 — Interest receivable 688 — 688 Premises and equipment, net 378 1,856 2,234 Deferred tax assets, net 1,374 (1,352 ) 22 Federal Home Loan Bank of San Francisco stock 1,454 — 1,454 Life insurance 755 — 755 Other assets 371 95 466 Core deposit intangible — 4,353 4,353 Total assets acquired $ 211,660 $ 3,395 $ 215,055 Liabilities assumed: Demand, money market and savings $ 152,213 $ — $ 152,213 Certificates of deposit 38,003 — 38,003 Total deposits 190,216 — 190,216 Other liabilities 916 22 938 Total liabilities assumed $ 191,132 $ 22 $ 191,154 Net identifiable assets acquired over liabilities assumed $ 20,528 $ 3,373 $ 23,901 Goodwill $ 11,006 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | (Amounts in thousands) Amount Amortization: 2020 $ 191 2021 766 2022 766 2023 766 2024 581 2025 and thereafter 1,133 Total $ 4,203 |
Business Acquisition, Pro Forma Information [Table Text Block] | For the Three Months Ended For the Nine Months Ended September 30, September 30, (Amounts in thousands) 2019 2019 Pro forma revenue and earnings: Net interest income $ 13,722 $ 40,416 Net income (1) $ 4,642 $ 10,555 |
Merchants Holding Company [Member] | |
Notes Tables | |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | (Amounts in thousands) 2020 2021 2022 2023 2024 Thereafter Total Core deposit intangible amortization $ 136 $ 544 $ 544 $ 544 $ 544 $ 1,134 $ 3,446 |
Note 11 - Goodwill and Other _2
Note 11 - Goodwill and Other Intangibles (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Intangible Assets and Goodwill [Table Text Block] | September 30, December 31, (Amounts in thousands) 2020 2019 Goodwill and Other Intangibles: Goodwill $ 11,671 $ 11,671 Core deposit intangibles 6,125 6,125 Domain name 32 32 Accumulated amortization (1,922 ) (1,348 ) Goodwill and other intangibles, net $ 15,906 $ 16,480 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | (Amounts in thousands) Amount Amortization: 2020 $ 191 2021 766 2022 766 2023 766 2024 581 2025 and thereafter 1,133 Total $ 4,203 |
Note 2 - Common Stock Outstan_3
Note 2 - Common Stock Outstanding and Earnings Per Share (Details Textual) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions | 7 Months Ended | 9 Months Ended | |||
Apr. 30, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Feb. 21, 2020 | Sep. 18, 2019 | |
Stock Repurchase Program, Number of Shares Authorized to be Repurchased (in shares) | 1.5 | 1 | |||
Stock Repurchased During Period, Shares (in shares) | 1.5 | ||||
Payments for Repurchase of Common Stock | $ 13,600 | $ 12,653 | $ 0 | ||
Payments for Repurchase of Common Stock, Average Price Per Share (in dollars per share) | $ 9.11 |
Note 2 - Common Stock Outstan_4
Note 2 - Common Stock Outstanding and Earnings Per Share - Basic and Diluted EPS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | ||
Net income | $ 4,329 | $ 3,847 | $ 916 | $ 4,369 | $ 4,642 | $ 3,644 | $ 2,306 | $ 9,092 | $ 10,592 | |
Weighted average shares - basic (in shares) | [1] | 16,660 | 18,130 | 17,004 | 17,918 | |||||
Effect of potentially dilutive common shares (in shares) | [2] | 36 | 66 | 40 | 63 | |||||
Weighted average number of common shares outstanding - diluted (in shares) | 16,696 | 18,196 | 17,044 | 17,981 | ||||||
Earnings per share - basic (in dollars per share) | $ 0.26 | $ 0.26 | $ 0.53 | $ 0.59 | ||||||
Earnings per share - diluted (in dollars per share) | $ 0.26 | $ 0.26 | $ 0.53 | $ 0.59 | ||||||
Restricted Stock [Member] | ||||||||||
Anti-dilutive securities not included in earnings per share calculation (in shares) | 73 | 0 | 63 | 0 | ||||||
[1] | Excludes unvested restricted shares because they do not have dividend or voting rights | |||||||||
[2] | Represents the effects of the assumed exercise of stock options and vesting of non-participating restricted shares. |
Note 3 - Securities (Details Te
Note 3 - Securities (Details Textual) $ in Millions | Sep. 30, 2020USD ($) | Dec. 31, 2019USD ($) |
Securities Held as Collateral, at Fair Value | $ 82.7 | $ 81.4 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | 31 | 63 |
Residential Mortgage Backed Securities and Collateralized Mortgage Obligations [Member] | ||
Available for Sale Securities, Percent of Portfolio Guaranteed | 83.00% | 79.00% |
Commercial Mortgage Backed Securities [Member] | ||
Available for Sale Securities, Percent of Portfolio Guaranteed | 100.00% |
Note 3 - Securities - Securitie
Note 3 - Securities - Securities Reconciliation (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Available-for-sale securities, amortized costs | $ 326,634 | $ 283,257 |
Available-for-sale securities, gross unrealized gain | 10,664 | 4,281 |
Available-for-sale securities, gross unrealized loss | (266) | (588) |
Debt Securities, Available-for-sale | 337,032 | 286,950 |
US Government Agencies Debt Securities [Member] | ||
Available-for-sale securities, amortized costs | 30,942 | 38,291 |
Available-for-sale securities, gross unrealized gain | 879 | 469 |
Available-for-sale securities, gross unrealized loss | (10) | (27) |
Debt Securities, Available-for-sale | 31,811 | 38,733 |
US States and Political Subdivisions Debt Securities [Member] | ||
Available-for-sale securities, amortized costs | 87,628 | 40,702 |
Available-for-sale securities, gross unrealized gain | 4,281 | 1,422 |
Available-for-sale securities, gross unrealized loss | (46) | (26) |
Debt Securities, Available-for-sale | 91,863 | 42,098 |
Residential Mortgage Backed Securities and Collateralized Mortgage Obligations [Member] | ||
Available-for-sale securities, amortized costs | 161,345 | 179,114 |
Available-for-sale securities, gross unrealized gain | 4,512 | 2,163 |
Available-for-sale securities, gross unrealized loss | (165) | (442) |
Debt Securities, Available-for-sale | 165,692 | 180,835 |
Commercial Mortgage Backed Securities [Member] | ||
Available-for-sale securities, amortized costs | 18,920 | 19,126 |
Available-for-sale securities, gross unrealized gain | 665 | 221 |
Available-for-sale securities, gross unrealized loss | (8) | (40) |
Debt Securities, Available-for-sale | 19,577 | 19,307 |
Corporate Debt Securities [Member] | ||
Available-for-sale securities, amortized costs | 3,005 | |
Available-for-sale securities, gross unrealized gain | 6 | |
Available-for-sale securities, gross unrealized loss | (45) | |
Debt Securities, Available-for-sale | 2,966 | |
Asset-backed Securities [Member] | ||
Available-for-sale securities, amortized costs | 27,799 | 3,019 |
Available-for-sale securities, gross unrealized gain | 327 | 0 |
Available-for-sale securities, gross unrealized loss | (37) | (8) |
Debt Securities, Available-for-sale | $ 28,089 | $ 3,011 |
Note 3 - Securities - Expected
Note 3 - Securities - Expected Maturities of Investment Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Available-for-sale securities, amortized cost, one year or less | $ 22,257 | |
Available-for-sale securities, fair value, one year or less | 22,731 | |
Available-for-sale securities, amortized cost, one year through five years | 110,662 | |
Available-for-sale securities, fair value, one year through five years | 115,225 | |
Available-for-sale securities, amortized cost, five years through ten years | 50,087 | |
Available-for-sale securities, fair value, five years through ten years | 51,569 | |
Available-for-sale securities, amortized cost, after ten years | 143,628 | |
Available-for-sale securities, fair value, after ten years | 147,507 | |
Available-for-sale securities, amortized cost, total | 326,634 | $ 283,257 |
Available-for-sale securities, fair value, total | $ 337,032 |
Note 3 - Securities - Sales of
Note 3 - Securities - Sales of Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Proceeds from sales of investment securities | $ 6,257 | $ 13,895 | $ 56,017 | $ 99,635 |
Gross realized gains on sales of securities | 261 | 47 | 615 | 446 |
Gross realized losses on sales of securities | (3) | (35) | (133) | (309) |
Gain on sales of investment securities, net | 258 | 12 | 482 | 137 |
US Government Agencies Debt Securities [Member] | ||||
Gross realized gains on sales of securities | 0 | 10 | 0 | 48 |
Gross realized losses on sales of securities | 0 | (9) | (14) | (13) |
US States and Political Subdivisions Debt Securities [Member] | ||||
Gross realized gains on sales of securities | 249 | 10 | 339 | 305 |
Gross realized losses on sales of securities | (3) | (6) | (7) | (96) |
Residential Mortgage Backed Securities and Collateralized Mortgage Obligations [Member] | ||||
Gross realized gains on sales of securities | 0 | 22 | 226 | 86 |
Gross realized losses on sales of securities | 0 | (9) | (112) | (157) |
Corporate Debt Securities [Member] | ||||
Gross realized gains on sales of securities | 12 | 0 | 12 | 0 |
Commercial Mortgage Backed Securities [Member] | ||||
Gross realized gains on sales of securities | 0 | 5 | 38 | 7 |
Gross realized losses on sales of securities | $ 0 | $ (11) | $ 0 | $ (43) |
Note 3 - Securities - Securit_2
Note 3 - Securities - Securities in an Unrealized Loss Position (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Available-for-sale securities, less than 12 months, fair value | $ 28,644 | $ 45,014 |
Available-for-sale securities, less than 12 months, unrealized losses | (250) | (267) |
Available-for-sale securities, 12 months or more, fair value | 3,121 | 28,050 |
Available-for-sale securities, 12 months or more, unrealized losses | (16) | (321) |
Available-for-sale securities, fair value | 31,765 | 73,064 |
Available-for-sale securities, unrealized losses | (266) | (588) |
US Government Agencies Debt Securities [Member] | ||
Available-for-sale securities, less than 12 months, fair value | 0 | 6,473 |
Available-for-sale securities, less than 12 months, unrealized losses | 0 | (25) |
Available-for-sale securities, 12 months or more, fair value | 2,836 | 380 |
Available-for-sale securities, 12 months or more, unrealized losses | (10) | (2) |
Available-for-sale securities, fair value | 2,836 | 6,853 |
Available-for-sale securities, unrealized losses | (10) | (27) |
US States and Political Subdivisions Debt Securities [Member] | ||
Available-for-sale securities, less than 12 months, fair value | 5,915 | 2,249 |
Available-for-sale securities, less than 12 months, unrealized losses | (46) | (26) |
Available-for-sale securities, 12 months or more, fair value | 0 | 0 |
Available-for-sale securities, 12 months or more, unrealized losses | 0 | 0 |
Available-for-sale securities, fair value | 5,915 | 2,249 |
Available-for-sale securities, unrealized losses | (46) | (26) |
Residential Mortgage Backed Securities and Collateralized Mortgage Obligations [Member] | ||
Available-for-sale securities, less than 12 months, fair value | 17,671 | 31,817 |
Available-for-sale securities, less than 12 months, unrealized losses | (159) | (207) |
Available-for-sale securities, 12 months or more, fair value | 285 | 22,166 |
Available-for-sale securities, 12 months or more, unrealized losses | (6) | (235) |
Available-for-sale securities, fair value | 17,956 | 53,983 |
Available-for-sale securities, unrealized losses | (165) | (442) |
Commercial Mortgage Backed Securities [Member] | ||
Available-for-sale securities, less than 12 months, fair value | 2,057 | 1,464 |
Available-for-sale securities, less than 12 months, unrealized losses | (8) | (1) |
Available-for-sale securities, 12 months or more, fair value | 0 | 4,549 |
Available-for-sale securities, 12 months or more, unrealized losses | 0 | (39) |
Available-for-sale securities, fair value | 2,057 | 6,013 |
Available-for-sale securities, unrealized losses | (8) | (40) |
Corporate Debt Securities [Member] | ||
Available-for-sale securities, less than 12 months, fair value | 0 | |
Available-for-sale securities, less than 12 months, unrealized losses | 0 | |
Available-for-sale securities, 12 months or more, fair value | 955 | |
Available-for-sale securities, 12 months or more, unrealized losses | (45) | |
Available-for-sale securities, fair value | 955 | |
Available-for-sale securities, unrealized losses | (45) | |
Asset-backed Securities [Member] | ||
Available-for-sale securities, less than 12 months, fair value | 3,001 | 3,011 |
Available-for-sale securities, less than 12 months, unrealized losses | (37) | (8) |
Available-for-sale securities, 12 months or more, fair value | 0 | 0 |
Available-for-sale securities, 12 months or more, unrealized losses | 0 | 0 |
Available-for-sale securities, fair value | 3,001 | 3,011 |
Available-for-sale securities, unrealized losses | $ (37) | $ (8) |
Note 4 - Loans (Details Textual
Note 4 - Loans (Details Textual) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Unamortized Loan Commitment and Origination Fees and Unamortized Discounts or Premiums, Total | $ 1,000 | $ 1,000 | $ 1,500 | ||
Financing Receivable, Number of Payment Deferrals | 107 | 107 | |||
Financing Receivable, Deferred Payments | $ 38,600 | $ 38,600 | |||
Financing Receivable, Troubled Debt Restructuring | $ 6,300 | $ 6,300 | $ 6,500 | ||
Financing Receivable, Number of Contracts Qualified as Troubled Debt Restructuring | 92 | 92 | |||
Troubled Debt Restructurings Percentage of Gross Portfolio Loans | 0.52% | 0.52% | 0.63% | ||
Troubled Debt Restructurings Percentage of Gross Portfolio Loans, Excluding PPP Loans | 0.61% | 0.61% | |||
Impaired Financing Receivable, Recorded Investment, Total | $ 12,357 | $ 12,357 | $ 10,399 | ||
Percentage of Collateral Coverage to Loan Balance to Consider Restructured Loan to Performing and Accrual Status | 100.00% | ||||
Financing Receivable, Modifications, Number of Contracts | 0 | 1 | 1 | ||
Financing Receivable, Troubled Debt Restructuring, Subsequent Default, Number of Contracts | 0 | ||||
Mortgage Loans in Process of Foreclosure, Amount | $ 81 | $ 81 | $ 100 | ||
Percentage of Unallocated Allowance Amount out of Allowance for Loan and Lease Losses | 3.00% | ||||
Loans and Leases Receivable, Allowance, Ending Balance | $ 16,873 | $ 16,873 | $ 12,231 | ||
Percentage of Allowance for Loan and Lease Losses out of Net Loans | 1.40% | 1.40% | 1.18% | ||
Percentage of Allowance for Loan and Lease Losses out of Net Loans, Excluding PPP Loans | 1.62% | 1.62% | |||
Fair Value Disclosure, Off-balance Sheet Risks, Amount, Asset | $ 263,100 | $ 263,100 | $ 275,100 | ||
Reserve for Unfunded Commitments Included in Other Liabilities | 800 | 800 | 695 | ||
Loans and Leases Receivable, Gross, Total | $ 1,206,065 | $ 1,206,065 | 1,032,903 | ||
Maximum Loan to Value, Percentage | 80.00% | ||||
Percentage of Loan Portfolio Secured by Real Estate | 74.00% | 74.00% | |||
Percentage of Loan Portfolio Secured by Real Estate, Excluding PPP Loans | 86.00% | 86.00% | |||
Provision for Unfunded Commitments | $ 105 | $ 0 | |||
Commercial Real Estate Portfolio Segment [Member] | |||||
Financing Receivable, Troubled Debt Restructuring | $ 650 | 650 | |||
Impaired Financing Receivable, Recorded Investment, Total | 4,812 | $ 4,812 | 3,103 | ||
Financing Receivable, Modifications, Number of Contracts | 1 | ||||
Loans and Leases Receivable, Gross, Total | 788,823 | $ 788,823 | 739,583 | ||
SBA CARES Act Paycheck Protection Program [Member] | |||||
Loans and Leases Receivable, Gross, Total | $ 163,493 | $ 163,493 | 0 | ||
Number of Customers Participated in PPP | 606 | 606 | |||
Performing Financial Instruments [Member] | |||||
Financing Receivable, Number of Contracts Qualified as Troubled Debt Restructuring | 91 | 91 | |||
Impaired Financing Receivable, Recorded Investment, Total | $ 4,300 | $ 4,300 | 4,800 | ||
Loans and Leases Receivable, Gross, Total | 1,197,967 | 1,197,967 | 1,027,287 | ||
Performing Financial Instruments [Member] | SBA CARES Act Paycheck Protection Program [Member] | |||||
Loans and Leases Receivable, Gross, Total | 163,493 | 163,493 | |||
Merchants Holding Company [Member] | |||||
Unamortized Loan Commitment and Origination Fees and Unamortized Discounts or Premiums, Total | 1,100 | 1,100 | 1,700 | ||
Accretion (Amortization) of Discounts and Premiums, Acquired Loans | 233 | $ 193 | 612 | $ 431 | |
Federal Home Loan Bank of San Francisco [Member] | |||||
Loans Pledged as Collateral | $ 527,500 | $ 527,500 | $ 542,100 |
Note 4 - Loans - Outstanding Lo
Note 4 - Loans - Outstanding Loan Balances (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Gross loans | $ 1,206,065 | $ 1,032,903 |
Deferred (fees) and costs | (1,037) | 2,162 |
Loans, net of deferred fees and costs | 1,205,028 | 1,035,065 |
Allowance for loan and lease losses | (16,873) | (12,231) |
Net loans | 1,188,155 | 1,022,834 |
Commercial Portfolio Segment [Member] | ||
Gross loans | 121,025 | 141,197 |
SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 163,493 | 0 |
Commercial Real Estate Portfolio Segment [Member] | ||
Gross loans | 788,823 | 739,583 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 40,289 | 26,830 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 538,079 | 493,920 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 210,455 | 218,833 |
Residential Portfolio Segment [Member] | ||
Gross loans | 108,234 | 118,799 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 30,071 | 33,039 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 57,867 | 63,661 |
Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 20,296 | 22,099 |
Consumer Portfolio Segment [Member] | ||
Gross loans | $ 24,490 | $ 33,324 |
Note 4 - Loans - Age Analysis o
Note 4 - Loans - Age Analysis of Past Due Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Loans, past due | $ 4,374 | $ 4,916 |
Loans, current | 1,201,691 | 1,027,987 |
Gross loans | 1,206,065 | 1,032,903 |
Recorded investment greater than 90 days and accruing | 0 | 0 |
Financial Asset, 30 to 59 Days Past Due [Member] | ||
Loans, past due | 149 | 1,397 |
Financial Asset, 60 to 89 Days Past Due [Member] | ||
Loans, past due | 65 | 373 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Loans, past due | 4,160 | 3,146 |
Commercial Portfolio Segment [Member] | ||
Loans, past due | 0 | 71 |
Loans, current | 121,025 | 141,126 |
Gross loans | 121,025 | 141,197 |
Recorded investment greater than 90 days and accruing | 0 | 0 |
Commercial Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Loans, past due | 0 | 71 |
Commercial Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Loans, past due | 0 | 0 |
Commercial Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Loans, past due | 0 | 0 |
SBA CARES Act Paycheck Protection Program [Member] | ||
Loans, past due | 0 | |
Loans, current | 163,493 | |
Gross loans | 163,493 | 0 |
Recorded investment greater than 90 days and accruing | 0 | |
SBA CARES Act Paycheck Protection Program [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Loans, past due | 0 | |
SBA CARES Act Paycheck Protection Program [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Loans, past due | 0 | |
SBA CARES Act Paycheck Protection Program [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Loans, past due | 0 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Gross loans | 788,823 | 739,583 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Loans, past due | 0 | 0 |
Loans, current | 40,289 | 26,830 |
Gross loans | 40,289 | 26,830 |
Recorded investment greater than 90 days and accruing | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Loans, past due | 1,062 | 0 |
Loans, current | 537,017 | 493,920 |
Gross loans | 538,079 | 493,920 |
Recorded investment greater than 90 days and accruing | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Loans, past due | 2,993 | 3,758 |
Loans, current | 207,462 | 215,075 |
Gross loans | 210,455 | 218,833 |
Recorded investment greater than 90 days and accruing | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | Construction Loans [Member] | ||
Loans, past due | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | Commercial Non-owner Occupied [Member] | ||
Loans, past due | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | Commercial Owner Occupied Loan [Member] | ||
Loans, past due | 0 | 655 |
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | Construction Loans [Member] | ||
Loans, past due | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | Commercial Non-owner Occupied [Member] | ||
Loans, past due | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | Commercial Owner Occupied Loan [Member] | ||
Loans, past due | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Construction Loans [Member] | ||
Loans, past due | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial Non-owner Occupied [Member] | ||
Loans, past due | 1,062 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial Owner Occupied Loan [Member] | ||
Loans, past due | 2,993 | 3,103 |
Residential Portfolio Segment [Member] | ||
Gross loans | 108,234 | 118,799 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Loans, past due | 181 | 737 |
Loans, current | 29,890 | 32,302 |
Gross loans | 30,071 | 33,039 |
Recorded investment greater than 90 days and accruing | 0 | 0 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Loans, past due | 0 | 0 |
Loans, current | 57,867 | 63,661 |
Gross loans | 57,867 | 63,661 |
Recorded investment greater than 90 days and accruing | 0 | 0 |
Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Loans, past due | 15 | 100 |
Loans, current | 20,281 | 21,999 |
Gross loans | 20,296 | 22,099 |
Recorded investment greater than 90 days and accruing | 0 | 0 |
Residential Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Loans, past due | 76 | 371 |
Residential Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Loans, past due | 0 | 0 |
Residential Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | Home Equity Loan [Member] | ||
Loans, past due | 15 | 100 |
Residential Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Loans, past due | 0 | 323 |
Residential Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Loans, past due | 0 | 0 |
Residential Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | Home Equity Loan [Member] | ||
Loans, past due | 0 | 0 |
Residential Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Loans, past due | 105 | 43 |
Residential Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Loans, past due | 0 | 0 |
Residential Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Home Equity Loan [Member] | ||
Loans, past due | 0 | 0 |
Consumer Portfolio Segment [Member] | ||
Loans, past due | 123 | 250 |
Loans, current | 24,367 | 33,074 |
Gross loans | 24,490 | 33,324 |
Recorded investment greater than 90 days and accruing | 0 | 0 |
Consumer Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Loans, past due | 58 | 200 |
Consumer Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Loans, past due | 65 | 50 |
Consumer Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Loans, past due | $ 0 | $ 0 |
Note 4 - Loans - Nonaccrual Loa
Note 4 - Loans - Nonaccrual Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Nonaccrual loans | $ 8,098 | $ 8,098 | $ 5,616 | ||
Interest income, net of tax | 108 | $ 115 | 238 | $ 484 | |
Commercial Portfolio Segment [Member] | |||||
Nonaccrual loans | 1,549 | 1,549 | 61 | ||
Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | |||||
Nonaccrual loans | 1,062 | 1,062 | 0 | ||
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | |||||
Nonaccrual loans | 3,750 | 3,750 | 3,103 | ||
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | |||||
Nonaccrual loans | 1,574 | 1,574 | 2,221 | ||
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | |||||
Nonaccrual loans | 145 | 145 | 191 | ||
Consumer Portfolio Segment [Member] | |||||
Nonaccrual loans | $ 18 | $ 18 | $ 40 |
Note 4 - Loans - Impaired Loans
Note 4 - Loans - Impaired Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Recorded investment with no related allowance recorded | $ 11,410 | $ 9,111 |
Unpaid principal balance with no related allowance recorded | 13,569 | 11,053 |
Recorded investment with related allowance recorded | 947 | 1,288 |
Unpaid principal balance with related allowance recorded | 947 | 1,289 |
Related allowance | 204 | 324 |
Recorded investment | 12,357 | 10,399 |
Unpaid principle balance | 14,516 | 12,342 |
Commercial Portfolio Segment [Member] | ||
Recorded investment with no related allowance recorded | 1,458 | 94 |
Unpaid principal balance with no related allowance recorded | 1,811 | 251 |
Recorded investment with related allowance recorded | 622 | 562 |
Unpaid principal balance with related allowance recorded | 622 | 563 |
Related allowance | 122 | 159 |
Recorded investment | 2,080 | 656 |
Unpaid principle balance | 2,433 | 814 |
Commercial Real Estate Portfolio Segment [Member] | ||
Related allowance | 0 | 0 |
Recorded investment | 4,812 | 3,103 |
Unpaid principle balance | 4,962 | 3,103 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Recorded investment with no related allowance recorded | 1,062 | |
Unpaid principal balance with no related allowance recorded | 1,097 | |
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Recorded investment with no related allowance recorded | 3,750 | 3,103 |
Unpaid principal balance with no related allowance recorded | 3,865 | 3,103 |
Residential Portfolio Segment [Member] | ||
Related allowance | 77 | 154 |
Recorded investment | 5,447 | 6,600 |
Unpaid principle balance | 7,103 | 8,385 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Recorded investment with no related allowance recorded | 4,995 | 5,723 |
Unpaid principal balance with no related allowance recorded | 6,591 | 7,386 |
Recorded investment with related allowance recorded | 176 | 455 |
Unpaid principal balance with related allowance recorded | 176 | 455 |
Related allowance | 12 | 38 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Recorded investment with no related allowance recorded | 145 | 191 |
Unpaid principal balance with no related allowance recorded | 205 | 313 |
Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Recorded investment with related allowance recorded | 131 | 231 |
Unpaid principal balance with related allowance recorded | 131 | 231 |
Related allowance | 65 | 116 |
Consumer Portfolio Segment [Member] | ||
Recorded investment with related allowance recorded | 18 | 40 |
Unpaid principal balance with related allowance recorded | 18 | 40 |
Related allowance | 5 | 11 |
Recorded investment | 18 | 40 |
Unpaid principle balance | $ 18 | $ 40 |
Note 4 - Loans - Average Record
Note 4 - Loans - Average Recorded Investment and Interest Income Recognized on Impaired Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Average recorded investment | $ 11,359 | $ 18,647 | $ 10,666 | $ 18,900 |
Interest income recognized | 52 | 61 | 148 | 209 |
Commercial Portfolio Segment [Member] | ||||
Average recorded investment | 1,078 | 807 | 777 | 1,377 |
Interest income recognized | 15 | 10 | 32 | 42 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||||
Average recorded investment | 1,062 | 10,887 | 590 | 10,307 |
Interest income recognized | 0 | 7 | 0 | 30 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||||
Average recorded investment | 3,682 | 0 | 3,356 | 0 |
Interest income recognized | 0 | 0 | 0 | 0 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||||
Average recorded investment | 5,241 | 6,490 | 5,546 | 6,694 |
Interest income recognized | 35 | 40 | 106 | 123 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||||
Average recorded investment | 146 | 204 | 171 | 194 |
Interest income recognized | 0 | 0 | 0 | 0 |
Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||||
Average recorded investment | 132 | 238 | 194 | 306 |
Interest income recognized | 2 | 4 | 10 | 14 |
Consumer Portfolio Segment [Member] | ||||
Average recorded investment | 18 | 21 | 32 | 22 |
Interest income recognized | $ 0 | $ 0 | $ 0 | $ 0 |
Note 4 - Loans - Newly Restruct
Note 4 - Loans - Newly Restructured Loans and Types of Modifications (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Financing receivable modifications | $ 650 | $ 66 |
Extended Maturity [Member] | ||
Financing receivable modifications | 0 | 66 |
Payment Deferral [Member] | ||
Financing receivable modifications | 650 | 0 |
Commercial Portfolio Segment [Member] | ||
Financing receivable modifications | 0 | 66 |
Commercial Portfolio Segment [Member] | Extended Maturity [Member] | ||
Financing receivable modifications | 0 | 66 |
Commercial Portfolio Segment [Member] | Payment Deferral [Member] | ||
Financing receivable modifications | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Financing receivable modifications | 650 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Extended Maturity [Member] | Commercial Owner Occupied Loan [Member] | ||
Financing receivable modifications | 0 | 0 |
Commercial Real Estate Portfolio Segment [Member] | Payment Deferral [Member] | Commercial Owner Occupied Loan [Member] | ||
Financing receivable modifications | $ 650 | $ 0 |
Note 4 - Loans - Troubled Debt
Note 4 - Loans - Troubled Debt Restructurings (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | |
Number of contracts | 0 | 1 | 1 |
Pre-modification outstanding recorded investment | $ 654 | $ 99 | |
Post-modification outstanding recorded investment | $ 654 | $ 99 | |
Commercial Portfolio Segment [Member] | |||
Number of contracts | 0 | 1 | |
Pre-modification outstanding recorded investment | $ 0 | $ 99 | |
Post-modification outstanding recorded investment | $ 0 | $ 99 | |
Commercial Real Estate Portfolio Segment [Member] | |||
Number of contracts | 1 | ||
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | |||
Number of contracts | 1 | 0 | |
Pre-modification outstanding recorded investment | $ 654 | $ 0 | |
Post-modification outstanding recorded investment | $ 654 | $ 0 |
Note 4 - Loans - Performing and
Note 4 - Loans - Performing and Nonperforming Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Gross loans | $ 1,206,065 | $ 1,032,903 |
Commercial Portfolio Segment [Member] | ||
Gross loans | 121,025 | 141,197 |
SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 163,493 | 0 |
Commercial Real Estate Portfolio Segment [Member] | ||
Gross loans | 788,823 | 739,583 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 40,289 | 26,830 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 538,079 | 493,920 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 210,455 | 218,833 |
Residential Portfolio Segment [Member] | ||
Gross loans | 108,234 | 118,799 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 30,071 | 33,039 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 57,867 | 63,661 |
Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 20,296 | 22,099 |
Consumer Portfolio Segment [Member] | ||
Gross loans | 24,490 | 33,324 |
Performing Financial Instruments [Member] | ||
Gross loans | 1,197,967 | 1,027,287 |
Performing Financial Instruments [Member] | Commercial Portfolio Segment [Member] | ||
Gross loans | 119,476 | 141,136 |
Performing Financial Instruments [Member] | SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 163,493 | |
Performing Financial Instruments [Member] | Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 40,289 | 26,830 |
Performing Financial Instruments [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 537,017 | 493,920 |
Performing Financial Instruments [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 206,705 | 215,730 |
Performing Financial Instruments [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 28,497 | 30,818 |
Performing Financial Instruments [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 57,722 | 63,470 |
Performing Financial Instruments [Member] | Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 20,296 | 22,099 |
Performing Financial Instruments [Member] | Consumer Portfolio Segment [Member] | ||
Gross loans | 24,472 | 33,284 |
Nonperforming Financial Instruments [Member] | ||
Gross loans | 8,098 | 5,616 |
Nonperforming Financial Instruments [Member] | Commercial Portfolio Segment [Member] | ||
Gross loans | 1,549 | 61 |
Nonperforming Financial Instruments [Member] | SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 0 | |
Nonperforming Financial Instruments [Member] | Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 0 | 0 |
Nonperforming Financial Instruments [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 1,062 | 0 |
Nonperforming Financial Instruments [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 3,750 | 3,103 |
Nonperforming Financial Instruments [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 1,574 | 2,221 |
Nonperforming Financial Instruments [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 145 | 191 |
Nonperforming Financial Instruments [Member] | Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 0 | 0 |
Nonperforming Financial Instruments [Member] | Consumer Portfolio Segment [Member] | ||
Gross loans | $ 18 | $ 40 |
Note 4 - Loans - Internal Risk
Note 4 - Loans - Internal Risk Rating by Loan Class (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Gross loans | $ 1,206,065 | $ 1,032,903 |
Commercial Portfolio Segment [Member] | ||
Gross loans | 121,025 | 141,197 |
SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 163,493 | 0 |
Commercial Real Estate Portfolio Segment [Member] | ||
Gross loans | 788,823 | 739,583 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 40,289 | 26,830 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 538,079 | 493,920 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 210,455 | 218,833 |
Residential Portfolio Segment [Member] | ||
Gross loans | 108,234 | 118,799 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 30,071 | 33,039 |
Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 57,867 | 63,661 |
Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 20,296 | 22,099 |
Consumer Portfolio Segment [Member] | ||
Gross loans | 24,490 | 33,324 |
Pass [Member] | ||
Gross loans | 1,099,586 | 948,864 |
Pass [Member] | Commercial Portfolio Segment [Member] | ||
Gross loans | 106,597 | 125,222 |
Pass [Member] | SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 163,493 | |
Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 37,839 | 26,810 |
Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 508,803 | 454,493 |
Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 155,290 | 195,950 |
Pass [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 26,583 | 28,609 |
Pass [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 56,213 | 62,485 |
Pass [Member] | Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 20,296 | 22,012 |
Pass [Member] | Consumer Portfolio Segment [Member] | ||
Gross loans | 24,472 | 33,283 |
Watch [Member] | ||
Gross loans | 74,542 | 56,105 |
Watch [Member] | Commercial Portfolio Segment [Member] | ||
Gross loans | 8,736 | 14,974 |
Watch [Member] | SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 0 | |
Watch [Member] | Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 2,450 | 20 |
Watch [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 21,859 | 32,902 |
Watch [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 41,289 | 7,224 |
Watch [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 0 | 0 |
Watch [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 208 | 985 |
Watch [Member] | Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 0 | 0 |
Watch [Member] | Consumer Portfolio Segment [Member] | ||
Gross loans | 0 | 0 |
Special Mention [Member] | ||
Gross loans | 6,480 | 7,477 |
Special Mention [Member] | Commercial Portfolio Segment [Member] | ||
Gross loans | 125 | 833 |
Special Mention [Member] | SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 0 | |
Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 0 | 0 |
Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 6,355 | 5,424 |
Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 0 | 1,220 |
Special Mention [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 0 | 0 |
Special Mention [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 0 | 0 |
Special Mention [Member] | Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 0 | 0 |
Special Mention [Member] | Consumer Portfolio Segment [Member] | ||
Gross loans | 0 | 0 |
Substandard [Member] | ||
Gross loans | 25,457 | 20,457 |
Substandard [Member] | Commercial Portfolio Segment [Member] | ||
Gross loans | 5,567 | 168 |
Substandard [Member] | SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 0 | |
Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 0 | 0 |
Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 1,062 | 1,101 |
Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 13,876 | 14,439 |
Substandard [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 3,488 | 4,430 |
Substandard [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 1,446 | 191 |
Substandard [Member] | Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 0 | 87 |
Substandard [Member] | Consumer Portfolio Segment [Member] | ||
Gross loans | 18 | 41 |
Doubtful [Member] | ||
Gross loans | 0 | 0 |
Doubtful [Member] | Commercial Portfolio Segment [Member] | ||
Gross loans | 0 | 0 |
Doubtful [Member] | SBA CARES Act Paycheck Protection Program [Member] | ||
Gross loans | 0 | |
Doubtful [Member] | Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Gross loans | 0 | 0 |
Doubtful [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Non-owner Occupied [Member] | ||
Gross loans | 0 | 0 |
Doubtful [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Loan [Member] | ||
Gross loans | 0 | 0 |
Doubtful [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Individual Tax Identification Number Loan [Member] | ||
Gross loans | 0 | 0 |
Doubtful [Member] | Residential Portfolio Segment [Member] | Real Estate Loan [Member] | Mortgage Receivable [Member] | ||
Gross loans | 0 | 0 |
Doubtful [Member] | Residential Portfolio Segment [Member] | Home Equity Loan [Member] | ||
Gross loans | 0 | 0 |
Doubtful [Member] | Consumer Portfolio Segment [Member] | ||
Gross loans | $ 0 | $ 0 |
Note 4 - Loans - Allowance for
Note 4 - Loans - Allowance for Credit Losses and Recorded Investment in Financing Receivables (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Dec. 31, 2019 | |
Balance | $ 16,089 | $ 12,445 | $ 12,231 | $ 12,292 | ||
Charge-offs | (502) | (319) | (1,027) | (1,326) | ||
Recoveries | 186 | 159 | 419 | 1,319 | ||
Provision for loan and lease losses | 1,100 | 0 | 5,250 | 0 | ||
Balance | 16,873 | 12,285 | 16,873 | 12,285 | ||
Individually evaluated for impairment | $ 204 | $ 324 | ||||
Collectively evaluated for impairment | 16,669 | 11,907 | ||||
Total | 16,873 | 12,285 | 12,231 | 12,292 | 16,873 | 12,231 |
Individually evaluated for impairment | 12,357 | 10,399 | ||||
Collectively evaluated for impairment | 1,193,708 | 1,022,504 | ||||
Total gross loans | 1,206,065 | 1,032,903 | ||||
SBA CARES Act Paycheck Protection Program [Member] | ||||||
Balance | 0 | 0 | 0 | 0 | ||
Charge-offs | 0 | 0 | 0 | 0 | ||
Recoveries | 0 | 0 | 0 | 0 | ||
Provision for loan and lease losses | 0 | 0 | 0 | 0 | ||
Balance | 0 | 0 | 0 | 0 | ||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 0 | 0 | ||||
Total | 0 | 0 | 0 | 0 | 0 | 0 |
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 163,493 | 0 | ||||
Total gross loans | 163,493 | 0 | ||||
Commercial Portfolio Segment [Member] | ||||||
Balance | 2,400 | 2,104 | 1,822 | 2,205 | ||
Charge-offs | (353) | (81) | (353) | (227) | ||
Recoveries | 0 | 5 | 22 | 916 | ||
Provision for loan and lease losses | 393 | (84) | 949 | (950) | ||
Balance | 2,440 | 1,944 | 2,440 | 1,944 | ||
Individually evaluated for impairment | 122 | 159 | ||||
Collectively evaluated for impairment | 2,318 | 1,663 | ||||
Total | 2,440 | 1,944 | 1,822 | 2,205 | 2,440 | 1,822 |
Individually evaluated for impairment | 2,080 | 656 | ||||
Collectively evaluated for impairment | 118,945 | 140,541 | ||||
Total gross loans | 121,025 | 141,197 | ||||
Commercial Real Estate Portfolio Segment [Member] | ||||||
Balance | 10,936 | 7,598 | 8,096 | 7,116 | ||
Charge-offs | 0 | 0 | (145) | (233) | ||
Recoveries | 0 | 0 | 0 | 0 | ||
Provision for loan and lease losses | 813 | 120 | 3,798 | 835 | ||
Balance | 11,749 | 7,718 | 11,749 | 7,718 | ||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 11,749 | 8,096 | ||||
Total | 11,749 | 7,718 | 8,096 | 7,116 | 11,749 | 8,096 |
Individually evaluated for impairment | 4,812 | 3,103 | ||||
Collectively evaluated for impairment | 784,011 | 736,480 | ||||
Total gross loans | 788,823 | 739,583 | ||||
Residential Portfolio Segment [Member] | ||||||
Balance | 1,306 | 1,070 | 1,032 | 1,173 | ||
Charge-offs | (31) | (43) | (66) | (181) | ||
Recoveries | 69 | 104 | 131 | 204 | ||
Provision for loan and lease losses | (22) | (77) | 225 | (142) | ||
Balance | 1,322 | 1,054 | 1,322 | 1,054 | ||
Individually evaluated for impairment | 77 | 154 | ||||
Collectively evaluated for impairment | 1,245 | 878 | ||||
Total | 1,322 | 1,054 | 1,032 | 1,173 | 1,322 | 1,032 |
Individually evaluated for impairment | 5,447 | 6,600 | ||||
Collectively evaluated for impairment | 102,787 | 112,199 | ||||
Total gross loans | 108,234 | 118,799 | ||||
Consumer Portfolio Segment [Member] | ||||||
Balance | 870 | 1,070 | 933 | 1,356 | ||
Charge-offs | (118) | (195) | (463) | (685) | ||
Recoveries | 117 | 50 | 266 | 199 | ||
Provision for loan and lease losses | (41) | 66 | 92 | 121 | ||
Balance | 828 | 991 | 828 | 991 | ||
Individually evaluated for impairment | 5 | 11 | ||||
Collectively evaluated for impairment | 823 | 922 | ||||
Total | 828 | 991 | 933 | 1,356 | 828 | 933 |
Individually evaluated for impairment | 18 | 40 | ||||
Collectively evaluated for impairment | 24,472 | 33,284 | ||||
Total gross loans | 24,490 | 33,324 | ||||
Unallocated Financing Receivables [Member] | ||||||
Balance | 577 | 603 | 348 | 442 | ||
Charge-offs | 0 | 0 | 0 | 0 | ||
Recoveries | 0 | 0 | 0 | 0 | ||
Provision for loan and lease losses | (43) | (25) | 186 | 136 | ||
Balance | 534 | 578 | 534 | 578 | ||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 534 | 348 | ||||
Total | $ 534 | $ 578 | $ 348 | $ 442 | 534 | 348 |
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 0 | 0 | ||||
Total gross loans | $ 0 | $ 0 |
Note 5 - Qualified Affordable_3
Note 5 - Qualified Affordable Housing Partnership Investments (Details Textual) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | |
Qualified Affordable Housing Project Investments Term (Year) | 23 years | |
Proportional Amortization Method Qualified Affordable Housing Project Investments | $ 3,098 | $ 2,529 |
Proportional Amortization Method Qualified Affordable Housing Project Investments Unfunded Liability Obligation | 1,325 | 338 |
Proportional Amortization Method Qualified Affordable Housing Project Investments Original Amount | 8,954 | $ 7,954 |
Boston Capital [Member] | ||
Proportional Amortization Method Qualified Affordable Housing Project Investments | 962 | |
Proportional Amortization Method Qualified Affordable Housing Project Investments Unfunded Liability Obligation | 987 | |
Proportional Amortization Method Qualified Affordable Housing Project Investments Original Amount | $ 1,000 | |
Minimum [Member] | ||
Qualified Affordable Housing Project Investments Return Rate | 2.00% | |
Maximum [Member] | ||
Qualified Affordable Housing Project Investments Return Rate | 6.00% |
Note 5 - Qualified Affordable_4
Note 5 - Qualified Affordable Housing Partnership Investments - Original Investment in LIHTC Projects (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Original Investment | $ 8,954 | $ 7,954 | |
Current Recorded Investment | 3,098 | 2,529 | |
Unfunded Liability Obligation | 1,325 | 338 | |
Tax Credits and Benefits | 461 | $ 417 | |
Amortization of Investments | 431 | 397 | |
Net Income Tax Benefit | 30 | 20 | |
Raymond James California Housing Opportunities Fund II [Member] | |||
Original Investment | 2,000 | 2,000 | |
Current Recorded Investment | 717 | 852 | |
Unfunded Liability Obligation | 22 | 22 | |
Tax Credits and Benefits | 149 | 150 | |
Amortization of Investments | 135 | 135 | |
Net Income Tax Benefit | 14 | 15 | |
WNC Institutional Tax Credit Fun 38 L.P. [Member] | |||
Original Investment | 1,000 | 1,000 | |
Current Recorded Investment | 335 | 400 | |
Unfunded Liability Obligation | 0 | 0 | |
Tax Credits and Benefits | 78 | 81 | |
Amortization of Investments | 65 | 68 | |
Net Income Tax Benefit | 13 | 13 | |
Merritt Community Capital Corporation Fund XV, L.P. [Member] | |||
Original Investment | 2,500 | 2,500 | |
Current Recorded Investment | 903 | 1,067 | |
Unfunded Liability Obligation | 316 | 316 | |
Tax Credits and Benefits | 167 | 168 | |
Amortization of Investments | 164 | 165 | |
Net Income Tax Benefit | 3 | 3 | |
California Affordable Housing Fund [Member] | |||
Original Investment | 2,454 | 2,454 | |
Current Recorded Investment | 181 | 210 | |
Unfunded Liability Obligation | 0 | $ 0 | |
Tax Credits and Benefits | 18 | 18 | |
Amortization of Investments | 29 | 29 | |
Net Income Tax Benefit | (11) | $ (11) | |
Boston Capital [Member] | |||
Original Investment | 1,000 | ||
Current Recorded Investment | 962 | ||
Unfunded Liability Obligation | 987 | ||
Tax Credits and Benefits | 49 | ||
Amortization of Investments | 38 | ||
Net Income Tax Benefit | $ 11 |
Note 5 - Qualified Affordable_5
Note 5 - Qualified Affordable Housing Partnership Investments - Generated Tax Credits and Benefits From Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Generated tax credits | $ 125 | $ 114 | $ 372 | $ 342 |
Tax benefits from taxable losses | 30 | 25 | 89 | 75 |
Raymond James California Housing Opportunities Fund II [Member] | ||||
Generated tax credits | 43 | 43 | 128 | 128 |
Tax benefits from taxable losses | 7 | 7 | 21 | 22 |
WNC Institutional Tax Credit Fun 38 L.P. [Member] | ||||
Generated tax credits | 22 | 23 | 66 | 70 |
Tax benefits from taxable losses | 4 | 4 | 12 | 11 |
Merritt Community Capital Corporation Fund XV, L.P. [Member] | ||||
Generated tax credits | 48 | 48 | 144 | 144 |
Tax benefits from taxable losses | 8 | 8 | 23 | 24 |
California Affordable Housing Fund [Member] | ||||
Generated tax credits | 1 | 0 | 0 | 0 |
Tax benefits from taxable losses | 6 | 6 | 18 | 18 |
Boston Capital [Member] | ||||
Generated tax credits | 11 | 0 | 34 | 0 |
Tax benefits from taxable losses | $ 5 | $ 0 | $ 15 | $ 0 |
Note 5 - Qualified Affordable_6
Note 5 - Qualified Affordable Housing Partnership Investments - Anticipated Net Income Tax Benefit (Details) $ in Thousands | Sep. 30, 2020USD ($) |
2020 | $ 10 |
2021 | 47 |
2022 | 47 |
2023 | 22 |
2024 and thereafter | 205 |
Total | 331 |
Raymond James California Housing Opportunities Fund II [Member] | |
2020 | 4 |
2021 | 19 |
2022 | 19 |
2023 | 18 |
2024 and thereafter | 16 |
Total | 76 |
WNC Institutional Tax Credit Fun 38 L.P. [Member] | |
2020 | 4 |
2021 | 16 |
2022 | 14 |
2023 | 13 |
2024 and thereafter | 14 |
Total | 61 |
Merritt Community Capital Corporation Fund XV, L.P. [Member] | |
2020 | 1 |
2021 | 3 |
2022 | 3 |
2023 | 3 |
2024 and thereafter | 4 |
Total | 14 |
California Affordable Housing Fund [Member] | |
2020 | (3) |
2021 | (14) |
2022 | (13) |
2023 | (35) |
2024 and thereafter | 0 |
Total | (65) |
Boston Capital [Member] | |
2020 | 4 |
2021 | 23 |
2022 | 24 |
2023 | 23 |
2024 and thereafter | 171 |
Total | $ 245 |
Note 6 - Term Debt (Details Tex
Note 6 - Term Debt (Details Textual) - USD ($) $ in Thousands | 1 Months Ended | 9 Months Ended | 12 Months Ended |
Dec. 31, 2015 | Sep. 30, 2020 | Dec. 31, 2019 | |
Advances from Federal Home Loan Banks, Total | $ 10,000 | $ 0 | |
Proceeds from Issuance of Senior Long-term Debt | $ 10,000 | ||
Proceeds from Issuance of Subordinated Long-term Debt | $ 10,000 | ||
Federal Funds Purchased | 0 | 0 | |
Federal Funds Purchased [Member] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 75,000 | ||
Federal Funds Purchased [Member] | Minimum [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 0.12% | ||
Federal Funds Purchased [Member] | Maximum [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 0.30% | ||
Federal Reserve Bank Advances [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Amount of Advances | $ 0 | 0 | |
Federal Home Loan Bank Advances [Member] | |||
Line of Credit Facility, Maximum Borrowing Capacity | 8,400 | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Amount of Advances | 0 | 0 | |
Fixed to Floating Interest Rate [Member] | Subordinated Debt [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 6.88% | ||
Debt Issuance Costs, Gross | $ 210 | ||
Debt Fixed Interest Term (Year) | 5 years | ||
Fixed to Floating Interest Rate [Member] | Subordinated Debt [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||
Debt Instrument, Basis Spread on Variable Rate | 5.26% | ||
Commercial Loans [Member] | Federal Home Loan Bank Advances [Member] | |||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 14,200 | ||
Federal Home Loan Bank of San Francisco [Member] | |||
Federal Home Loan Bank, Advances, General Debt Obligations, Maximum Amount Available | 390,600 | ||
Advances from Federal Home Loan Banks, Total | $ 10,000 | 0 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate | 0.00% | ||
Federal Home Loan Bank, Advance, Maturity, Remainder of Fiscal Year | $ 5,000 | ||
Federal Home Loan Bank, Advance, Maturity, Year One, Total | 5,000 | ||
Federal Home Loan Bank, Advances, Activity for Year, Average Balance of Agreements Outstanding | 8,800 | $ 9,600 | |
Federal Home Loan Bank, Advances, Activity for Year, Maximum Outstanding at any Month End | 40,000 | ||
Federal Home Loan Bank of San Francisco [Member] | Real Estate [Member] | |||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 513,300 | ||
Federal Home Loan Bank of San Francisco [Member] | Equity Securities [Member] | |||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 32,800 | ||
Federal Home Loan Bank of San Francisco [Member] | Other Assets [Member] | |||
Federal Home Loan Bank Stock | $ 7,400 |
Note 6 - Term Debt - Term Debt
Note 6 - Term Debt - Term Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Federal Home Loan Bank of San Francisco borrowings | $ 10,000 | $ 0 |
Subordinated Debt [Member] | ||
Long-term debt, gross | 10,000 | 10,000 |
Senior Notes [Member] | ||
Unamortized debt issuance costs | (7) | (43) |
Term Debt [Member] | ||
Long-term debt, gross | 10,000 | 10,000 |
Unamortized debt issuance costs | (7) | (43) |
Net term debt | $ 19,993 | $ 9,957 |
Note 6 - Term Debt - Future Con
Note 6 - Term Debt - Future Contractual Maturities of Term Debt (Details) $ in Thousands | Sep. 30, 2020USD ($) |
2020 | $ 5,000 |
2021 | 5,000 |
2022 | 0 |
2023 | 0 |
2024 | 0 |
Thereafter | 10,000 |
Total future maturities | 20,000 |
Subordinated Debt [Member] | |
2020 | 0 |
2021 | 0 |
2022 | 0 |
2023 | 0 |
2024 | 0 |
Thereafter | 10,000 |
Total future maturities | 10,000 |
Federal Home Loan Bank Advances [Member] | |
2020 | 5,000 |
2021 | 5,000 |
2022 | 0 |
2023 | 0 |
2024 | 0 |
Thereafter | 0 |
Total future maturities | $ 10,000 |
Note 7 - Commitments and Cont_3
Note 7 - Commitments and Contingencies (Details Textual) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Expiry of Standby Letters of Credit Within One Year | $ 4,400 | |
Expiry of Standby Letter of Credit Thereafter | $ 322 | |
Real Estate Related Loans Representing Lease Portfolio | 74.00% | 83.00% |
Real Estate Related Loans Representing Lease Portfolio, Excluding PPP | 86.00% | |
Insurance Claims [Member] | Maximum [Member] | ||
Loss Contingency, Estimate of Possible Loss | $ 225 |
Note 7 - Commitments and Cont_4
Note 7 - Commitments and Contingencies - Commitments and Contingent Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Commitments | $ 263,108 | $ 275,102 |
Standby Letters of Credit [Member] | ||
Commitments | 4,723 | 4,406 |
Federal Home Loan Bank of San Francisco Affordable Housing Grant Sponsorships [Member] | ||
Commitments | 3,338 | 3,338 |
AHEAD Grants [Member] | ||
Commitments | 60 | 110 |
Commitments to Extend Credit [Member] | ||
Commitments | $ 254,987 | $ 267,248 |
Note 8 - Leases - Lease Informa
Note 8 - Leases - Lease Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Right-of-use lease asset | $ 2,691 | $ 2,691 | ||
Weighted Average Remaining Lease Term (Year) | 4 years 5 months 23 days | 4 years 5 months 23 days | ||
Weighted Average Discount Rate | 2.96% | 2.96% | ||
Operating lease expense | $ 212 | $ 212 | $ 641 | $ 611 |
Cash paid for operating leases | 234 | $ 229 | 714 | $ 661 |
Other Liabilities [Member] | ||||
Lease liability | $ 3,014 | $ 3,014 |
Note 8 - Leases - Future Minimu
Note 8 - Leases - Future Minimum Lease Payments for Operating Leases (Details) $ in Thousands | Sep. 30, 2020USD ($) |
2020 | $ 234 |
2021 | 953 |
2022 | 863 |
2023 | 327 |
2024 | 280 |
Thereafter | 576 |
Total undiscounted future minimum lease cash payments | 3,233 |
Present value adjustment | (219) |
Other Liabilities [Member] | |
Lease liability | $ 3,014 |
Note 9 - Fair Values (Details T
Note 9 - Fair Values (Details Textual) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | |
Collateral Dependent Impaired Loans [Member] | ||
Collateral Dependent Impaired Loans Carrying Amount | $ 4,300 | $ 10,500 |
Collateral Dependent Impaired Loans, Fair Value Disclosure | 3,800 | 10,200 |
Allowance for Loan and Lease Losses, Adjustments, Other | 498 | 328 |
Collateral Impaired Loans [Member] | ||
Collateral Dependent Impaired Loans Carrying Amount | 14 | 101 |
Collateral Dependent Impaired Loans, Fair Value Disclosure | 8 | 58 |
Allowance for Loan and Lease Losses, Adjustments, Other | $ 6 | $ 43 |
Number of Real Estate Properties | 1 | 2 |
Measurement Input, Cost to Sell [Member] | ||
Other Real Estate Owned, Measurement Input | 0.52 | |
Measurement Input, Cost to Sell [Member] | Collateral Dependent Impaired Loans [Member] | Minimum [Member] | ||
Loans Held-for-sale, Measurement Input | 0.08 | |
Measurement Input, Cost to Sell [Member] | Collateral Dependent Impaired Loans [Member] | Maximum [Member] | ||
Loans Held-for-sale, Measurement Input | 0.10 |
Note 9 - Fair Values - Fair Val
Note 9 - Fair Values - Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale | $ 337,032 | $ 286,950 |
Financial liabilities | ||
Debt Securities, Available-for-sale | 337,032 | 286,950 |
Reported Value Measurement [Member] | ||
Cash and cash equivalents | 127,883 | 80,604 |
Debt Securities, Available-for-sale | 337,032 | 286,950 |
Net loans | 1,188,155 | 1,022,834 |
Federal Home Loan Bank of San Francisco stock | 7,380 | 7,380 |
Financial liabilities | ||
Deposits | 1,518,131 | 1,267,171 |
Term debts | 19,993 | 9,957 |
Junior subordinated debenture | 10,310 | 10,310 |
Cash and cash equivalents | 127,883 | 80,604 |
Debt Securities, Available-for-sale | 337,032 | 286,950 |
Net loans | 1,188,155 | 1,022,834 |
Federal Home Loan Bank of San Francisco stock | 7,380 | 7,380 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Cash and cash equivalents | 127,883 | 80,604 |
Debt Securities, Available-for-sale | 0 | 0 |
Net loans | 0 | 0 |
Federal Home Loan Bank of San Francisco stock | 7,380 | 7,380 |
Financial liabilities | ||
Deposits | 0 | 0 |
Term debts | 0 | 0 |
Junior subordinated debenture | 0 | 0 |
Cash and cash equivalents | 127,883 | 80,604 |
Debt Securities, Available-for-sale | 0 | 0 |
Net loans | 0 | 0 |
Federal Home Loan Bank of San Francisco stock | 7,380 | 7,380 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Cash and cash equivalents | 0 | 0 |
Debt Securities, Available-for-sale | 337,032 | 286,950 |
Net loans | 0 | 0 |
Federal Home Loan Bank of San Francisco stock | 0 | 0 |
Financial liabilities | ||
Deposits | 1,519,635 | 1,267,153 |
Term debts | 20,232 | 10,006 |
Junior subordinated debenture | 9,783 | 13,471 |
Cash and cash equivalents | 0 | 0 |
Debt Securities, Available-for-sale | 337,032 | 286,950 |
Net loans | 0 | 0 |
Federal Home Loan Bank of San Francisco stock | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Cash and cash equivalents | 0 | 0 |
Debt Securities, Available-for-sale | 0 | 0 |
Net loans | 1,205,297 | 1,025,520 |
Federal Home Loan Bank of San Francisco stock | 0 | 0 |
Financial liabilities | ||
Deposits | 0 | 0 |
Term debts | 0 | 0 |
Junior subordinated debenture | 0 | 0 |
Cash and cash equivalents | 0 | 0 |
Debt Securities, Available-for-sale | 0 | 0 |
Net loans | 1,205,297 | 1,025,520 |
Federal Home Loan Bank of San Francisco stock | $ 0 | $ 0 |
Note 9 - Fair Values - Quantita
Note 9 - Fair Values - Quantitative Information about Level 3 Fair Value Measurements (Details) - Fair Value, Inputs, Level 3 [Member] | Sep. 30, 2020 |
Minimum [Member] | Measurement Input, Default Rate [Member] | |
Significant unobservable input | 0 |
Minimum [Member] | Measurement Input, Loss Severity [Member] | |
Significant unobservable input | 0 |
Minimum [Member] | Measurement Input, Prepayment Rate [Member] | |
Significant unobservable input | 0 |
Minimum [Member] | Measurement Input, Discount Rate [Member] | |
Significant unobservable input | 0.01 |
Maximum [Member] | Measurement Input, Default Rate [Member] | |
Significant unobservable input | 1 |
Maximum [Member] | Measurement Input, Loss Severity [Member] | |
Significant unobservable input | 0.7742 |
Maximum [Member] | Measurement Input, Prepayment Rate [Member] | |
Significant unobservable input | 0.3447 |
Maximum [Member] | Measurement Input, Discount Rate [Member] | |
Significant unobservable input | 0.104 |
Weighted Average [Member] | Measurement Input, Default Rate [Member] | |
Significant unobservable input | (0.0254) |
Weighted Average [Member] | Measurement Input, Loss Severity [Member] | |
Significant unobservable input | (0.1593) |
Weighted Average [Member] | Measurement Input, Prepayment Rate [Member] | |
Significant unobservable input | (0.1795) |
Weighted Average [Member] | Measurement Input, Discount Rate [Member] | |
Significant unobservable input | (0.0399) |
Note 9 - Fair Values - Assets a
Note 9 - Fair Values - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale | $ 337,032 | $ 286,950 |
Fair Value, Recurring [Member] | ||
Total assets measured at fair value | 337,032 | 286,950 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Total assets measured at fair value | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Total assets measured at fair value | 337,032 | 286,950 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Total assets measured at fair value | 0 | 0 |
US Government Agencies Debt Securities [Member] | ||
Debt Securities, Available-for-sale | 31,811 | 38,733 |
US Government Agencies Debt Securities [Member] | Fair Value, Recurring [Member] | ||
Debt Securities, Available-for-sale | 31,811 | 38,733 |
US Government Agencies Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Debt Securities, Available-for-sale | 0 | 0 |
US Government Agencies Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Debt Securities, Available-for-sale | 31,811 | 38,733 |
US Government Agencies Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Debt Securities, Available-for-sale | 0 | 0 |
US States and Political Subdivisions Debt Securities [Member] | ||
Debt Securities, Available-for-sale | 91,863 | 42,098 |
US States and Political Subdivisions Debt Securities [Member] | Fair Value, Recurring [Member] | ||
Debt Securities, Available-for-sale | 91,863 | 42,098 |
US States and Political Subdivisions Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Debt Securities, Available-for-sale | 0 | 0 |
US States and Political Subdivisions Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Debt Securities, Available-for-sale | 91,863 | 42,098 |
US States and Political Subdivisions Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Debt Securities, Available-for-sale | 0 | 0 |
Residential Mortgage Backed Securities and Collateralized Mortgage Obligations [Member] | ||
Debt Securities, Available-for-sale | 165,692 | 180,835 |
Residential Mortgage Backed Securities and Collateralized Mortgage Obligations [Member] | Fair Value, Recurring [Member] | ||
Debt Securities, Available-for-sale | 165,692 | 180,835 |
Residential Mortgage Backed Securities and Collateralized Mortgage Obligations [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Debt Securities, Available-for-sale | 0 | 0 |
Residential Mortgage Backed Securities and Collateralized Mortgage Obligations [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Debt Securities, Available-for-sale | 165,692 | 180,835 |
Residential Mortgage Backed Securities and Collateralized Mortgage Obligations [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Debt Securities, Available-for-sale | 0 | 0 |
Commercial Mortgage Backed Securities [Member] | ||
Debt Securities, Available-for-sale | 19,577 | 19,307 |
Commercial Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | ||
Debt Securities, Available-for-sale | 19,577 | 19,307 |
Commercial Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Debt Securities, Available-for-sale | 0 | 0 |
Commercial Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Debt Securities, Available-for-sale | 19,577 | 19,307 |
Commercial Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Debt Securities, Available-for-sale | 0 | 0 |
Corporate Debt Securities [Member] | ||
Debt Securities, Available-for-sale | 2,966 | |
Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | ||
Debt Securities, Available-for-sale | 2,966 | |
Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Debt Securities, Available-for-sale | 0 | |
Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Debt Securities, Available-for-sale | 2,966 | |
Corporate Debt Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Debt Securities, Available-for-sale | 0 | |
Asset-backed Securities [Member] | ||
Debt Securities, Available-for-sale | 28,089 | 3,011 |
Asset-backed Securities [Member] | Fair Value, Recurring [Member] | ||
Debt Securities, Available-for-sale | 28,089 | 3,011 |
Asset-backed Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Debt Securities, Available-for-sale | 0 | 0 |
Asset-backed Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Debt Securities, Available-for-sale | 28,089 | 3,011 |
Asset-backed Securities [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Debt Securities, Available-for-sale | $ 0 | $ 0 |
Note 9 - Fair Values - Fair V_2
Note 9 - Fair Values - Fair Value of Assets Measured on a Non-recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Other real estate owned | $ 8 | $ 35 |
Fair Value, Nonrecurring [Member] | ||
Collateral dependent impaired loans | 3,817 | 33 |
Other real estate owned | 8 | 35 |
Total assets measured at fair value | 3,825 | 68 |
Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Collateral dependent impaired loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Total assets measured at fair value | 0 | 0 |
Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Collateral dependent impaired loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Total assets measured at fair value | 0 | 0 |
Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Collateral dependent impaired loans | 3,817 | 33 |
Other real estate owned | 8 | 35 |
Total assets measured at fair value | $ 3,825 | $ 68 |
Note 9 - Fair Values - Losses R
Note 9 - Fair Values - Losses Resulting From Non-recurring Fair Value Adjustments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Losses resulting from nonrecurring fair value adjustments | $ 353 | $ 72 | $ 504 | $ 371 |
Collateral Dependent Impaired Loans [Member] | ||||
Losses resulting from nonrecurring fair value adjustments | 353 | 29 | 498 | 328 |
Other Real Estate Owned [Member] | ||||
Losses resulting from nonrecurring fair value adjustments | $ 0 | $ 43 | $ 6 | $ 43 |
Note 10 - Acquisition (Details
Note 10 - Acquisition (Details Textual) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||
Jan. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | 1,834,142 | ||||||
Goodwill, Ending Balance | $ 11,671 | $ 11,671 | $ 11,671 | ||||
Amortization of Intangible Assets, Total | 574 | $ 529 | |||||
Core Deposits [Member] | |||||||
Finite-Lived Intangible Assets, Gross, Total | 6,125 | 6,125 | 6,125 | ||||
Merchants Holding Company [Member] | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets, Total | 211,660 | ||||||
Bank of Commerce [Member] | Merchants Holding Company [Member] | |||||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 10.00% | ||||||
Merchants Holding Company [Member] | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets, Total | $ 211,700 | 215,055 | |||||
Payments to Acquire Businesses, Gross | $ 15,300 | 15,300 | |||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | 1,834,142 | ||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Deposits | $ 190,200 | ||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Investment Securities | 107,400 | ||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Loans | 85,300 | ||||||
Goodwill, Ending Balance | 11,000 | 11,006 | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Fair Value Discount of Loans | 2,300 | ||||||
Amortization of Debt Discount (Premium) | 233 | $ 193 | 612 | 431 | |||
Merchants Holding Company [Member] | Core Deposits [Member] | |||||||
Finite-Lived Intangible Assets, Gross, Total | $ 4,400 | ||||||
Finite-Lived Intangible Asset, Useful Life (Year) | 8 years | ||||||
Impairment of Intangible Assets, Finite-lived | 0 | $ 0 | |||||
Amortization of Intangible Assets, Total | $ 136 | $ 136 | $ 408 | 363 | |||
Business Combination, Acquisition Related Costs | $ 113 | $ 2,200 |
Note 10 - Acquisition - Assets
Note 10 - Acquisition - Assets and Liabilities Acquired (Details) - USD ($) $ in Thousands | 1 Months Ended | 9 Months Ended | 12 Months Ended | |
Jan. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Consideration paid: | ||||
Total consideration | $ 0 | $ 34,907 | ||
Liabilities assumed: | ||||
Goodwill | $ 11,671 | $ 11,671 | ||
Merchants Holding Company [Member] | ||||
Consideration paid: | ||||
Cash and fed funds sold | 12,425 | |||
Investment securities | 107,931 | |||
Loans, gross | 87,570 | |||
Allowance for loan and lease losses | (1,286) | |||
Interest receivable | 688 | |||
Premises and equipment, net | 378 | |||
Deferred tax assets, net | 1,374 | |||
Federal Home Loan Bank of San Francisco stock | 1,454 | |||
Life insurance | 755 | |||
Other assets | 371 | |||
Core deposit intangible | 0 | |||
Total assets acquired | 211,660 | |||
Liabilities assumed: | ||||
Demand, money market and savings | 152,213 | |||
Certificates of deposit | 38,003 | |||
Total deposits | 190,216 | |||
Other liabilities | 916 | |||
Total liabilities assumed | 191,132 | |||
Net identifiable assets acquired over liabilities assumed | 20,528 | |||
Merchants Holding Company [Member] | ||||
Consideration paid: | ||||
Cash | $ 15,300 | 15,300 | ||
Stock 1,834,142 shares at $10.69 per share | 19,607 | |||
Total consideration | 34,907 | |||
Cash and fed funds sold | 12,425 | |||
Investment securities | 107,380 | |||
Investment securities, adjustment | (551) | |||
Loans, gross | 85,278 | |||
Loans, gross, adjustment | (2,292) | |||
Allowance for loan and lease losses | 0 | |||
Allowance for loan and lease losses, adjustment | 1,286 | |||
Interest receivable | 688 | |||
Premises and equipment, net | 2,234 | |||
Premises and equipment, net, adjustment | 1,856 | |||
Deferred tax assets, net | 22 | |||
Deferred tax assets, net, adjustment | (1,352) | |||
Federal Home Loan Bank of San Francisco stock | 1,454 | |||
Life insurance | 755 | |||
Other assets | 466 | |||
Other assets, adjustment | 95 | |||
Core deposit intangible | 4,353 | |||
Core deposit intangible, adjustment | 4,353 | |||
Total assets acquired | 211,700 | 215,055 | ||
Total assets acquired, adjustment | 3,395 | |||
Liabilities assumed: | ||||
Demand, money market and savings | 152,213 | |||
Certificates of deposit | 38,003 | |||
Total deposits | 190,216 | |||
Other liabilities | 938 | |||
Other liabilities, adjustment | 22 | |||
Total liabilities assumed | 191,154 | |||
Total liabilities assumed, adjustment | 22 | |||
Net identifiable assets acquired over liabilities assumed | 23,901 | |||
Net identifiable assets acquired over liabilities assumed, adjustment | 3,373 | |||
Goodwill | $ 11,000 | $ 11,006 |
Note 10 - Acquisition - Asset_2
Note 10 - Acquisition - Assets and Liabilities Acquired (Details) (Parentheticals) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Shares issued (in shares) | shares | 1,834,142 |
Price per share (in dollars per share) | $ / shares | $ 10.69 |
Note 10 - Acquisition - Future
Note 10 - Acquisition - Future Estimated Amortization Expense (Details) $ in Thousands | Sep. 30, 2020USD ($) |
2020 | $ 191 |
2021 | 766 |
2022 | 766 |
2023 | 766 |
2024 | 581 |
Thereafter | 1,133 |
Total | 4,203 |
Merchants Holding Company [Member] | Core Deposits [Member] | |
2020 | 136 |
2021 | 544 |
2022 | 544 |
2023 | 544 |
2024 | 544 |
Thereafter | 1,134 |
Total | $ 3,446 |
Note 10 - Acquisition - Pro For
Note 10 - Acquisition - Pro Forma Revenue and Earnings (Details) - Merchants Holding Company [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2019 | ||
Net interest income | $ 13,722 | $ 40,416 | |
Net income | [1] | $ 4,642 | $ 10,555 |
[1] | Net income includes acquisition-related costs of ($113) thousand and $2.2 million of the three and nine months ended September 30, 2019, respectively. |
Note 11 - Goodwill and Other _3
Note 11 - Goodwill and Other Intangibles (Details Textual) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | |
Goodwill, Ending Balance | $ 11,671 | $ 11,671 |
Goodwill, Impairment Loss | $ 0 |
Note 11 - Goodwill and Other _4
Note 11 - Goodwill and Other Intangibles - Goodwill and Other Intangibles (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Goodwill | $ 11,671 | $ 11,671 |
Accumulated amortization | (1,922) | (1,348) |
Goodwill and other intangibles, net | 15,906 | 16,480 |
Core Deposits [Member] | ||
Core deposit intangibles | 6,125 | 6,125 |
Internet Domain Names [Member] | ||
Core deposit intangibles | $ 32 | $ 32 |
Note 11 - Goodwill and Other _5
Note 11 - Goodwill and Other Intangibles - Estimated Amortization of Intangible Assets (Details) $ in Thousands | Sep. 30, 2020USD ($) |
2020 | $ 191 |
2021 | 766 |
2022 | 766 |
2023 | 766 |
2024 | 581 |
Thereafter | 1,133 |
Total | $ 4,203 |