Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Oct. 31, 2013 | |
Document Document And Entity Information [Line Items] | ' | ' |
Entity Registrant Name | 'FARMERS NATIONAL BANC CORP /OH/ | ' |
Entity Central Index Key | '0000709337 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Sep-13 | ' |
Amendment Flag | 'false | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 18,775,980 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and due from banks | $13,690 | $14,209 |
Federal funds sold and other | 26,613 | 23,550 |
TOTAL CASH AND CASH EQUIVALENTS | 40,303 | 37,759 |
Securities available for sale | 438,127 | 464,088 |
Loans held for sale | 1,016 | 3,624 |
Loans | 611,349 | 586,592 |
Less allowance for loan losses | 7,369 | 7,629 |
NET LOANS | 603,980 | 578,963 |
Premises and equipment, net | 17,567 | 18,429 |
Goodwill | 6,343 | 3,709 |
Other intangibles | 4,203 | 2,323 |
Bank owned life insurance | 15,783 | 15,541 |
Other assets | 20,797 | 15,259 |
TOTAL ASSETS | 1,148,119 | 1,139,695 |
Deposits: | ' | ' |
Noninterest-bearing | 139,705 | 132,016 |
Interest-bearing | 763,705 | 786,993 |
TOTAL DEPOSITS | 903,410 | 919,009 |
Short-term borrowings | 98,243 | 79,886 |
Long-term borrowings | 20,079 | 10,423 |
Other liabilities | 13,863 | 9,585 |
TOTAL LIABILITIES | 1,035,595 | 1,018,903 |
Commitments and contingent liabilities | ' | ' |
Stockholders’ Equity: | ' | ' |
Common Stock - Authorized 35,000,000 shares in 2013 and 25,000,000 shares in 2012: issued 19,031,059 in 2013 and 18,802,282 in 2012 | 105,905 | 104,504 |
Retained earnings | 12,484 | 8,683 |
Accumulated other comprehensive income (loss) | -4,217 | 7,647 |
Treasury stock, at cost; 255,079 shares in 2013 and 7,234 shares in 2012 | -1,648 | -42 |
TOTAL STOCKHOLDERS’ EQUITY | 112,524 | 120,792 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $1,148,119 | $1,139,695 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (Unaudited) | Sep. 30, 2013 | Dec. 31, 2012 |
Statement Consolidated Balance Sheets Parenthetical Unaudited [Line Items] | ' | ' |
Common stock, shares authorized | 35,000,000 | 25,000,000 |
Common stock, shares issued | 19,031,059 | 18,802,282 |
Treasury stock, shares | 255,079 | 7,234 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
INTEREST AND DIVIDEND INCOME | ' | ' | ' | ' |
Loans, including fees | $7,724 | $7,945 | $23,031 | $23,928 |
Taxable securities | 1,598 | 1,901 | 5,240 | 6,135 |
Tax exempt securities | 742 | 705 | 2,213 | 2,124 |
Dividends | 47 | 50 | 148 | 152 |
Federal funds sold and other interest income | 11 | 29 | 29 | 80 |
TOTAL INTEREST AND DIVIDEND INCOME | 10,122 | 10,630 | 30,661 | 32,419 |
INTEREST EXPENSE | ' | ' | ' | ' |
Deposits | 1,136 | 1,409 | 3,450 | 4,394 |
Short-term borrowings | 13 | 22 | 38 | 89 |
Long-term borrowings | 125 | 98 | 318 | 294 |
TOTAL INTEREST EXPENSE | 1,274 | 1,529 | 3,806 | 4,777 |
NET INTEREST INCOME | 8,848 | 9,101 | 26,855 | 27,642 |
Provision for loan losses | 340 | 325 | 765 | 725 |
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES | 8,508 | 8,776 | 26,090 | 26,917 |
NONINTEREST INCOME | ' | ' | ' | ' |
Service charges on deposit accounts | 633 | 540 | 1,648 | 1,499 |
Bank owned life insurance income, including death benefits | 337 | 129 | 570 | 389 |
Trust fees | 1,368 | 1,328 | 4,105 | 4,111 |
Insurance agency commissions | 56 | 28 | 139 | 89 |
Security gains | 597 | 473 | 853 | 473 |
Retirement plan consulting fees | 205 | 0 | 205 | 0 |
Investment commissions | 173 | 210 | 686 | 645 |
Net gains on sale of loans | 146 | 204 | 448 | 407 |
Other operating income | 658 | 455 | 1,619 | 1,339 |
TOTAL NONINTEREST INCOME | 4,173 | 3,367 | 10,273 | 8,952 |
NONINTEREST EXPENSES | ' | ' | ' | ' |
Salaries and employee benefits | 6,475 | 4,808 | 17,080 | 14,476 |
Occupancy and equipment | 1,053 | 1,060 | 3,167 | 3,089 |
State and local taxes | 327 | 293 | 984 | 904 |
Professional fees | 742 | 490 | 1,691 | 1,353 |
Merger related costs | 9 | 0 | 270 | 0 |
Advertising | 225 | 210 | 638 | 668 |
FDIC insurance | 181 | 166 | 538 | 535 |
Intangible amortization | 214 | 102 | 410 | 307 |
Core processing charges | 353 | 303 | 1,035 | 1,023 |
Other operating expenses | 1,347 | 1,464 | 4,023 | 3,989 |
TOTAL NONINTEREST EXPENSES | 10,926 | 8,896 | 29,836 | 26,344 |
INCOME BEFORE INCOME TAXES | 1,755 | 3,247 | 6,527 | 9,525 |
INCOME TAXES | 143 | 758 | 1,042 | 2,230 |
NET INCOME | $1,612 | $2,489 | $5,485 | $7,295 |
NET INCOME PER SHARE - basic and diluted | $0.09 | $0.13 | $0.29 | $0.39 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Statement Consolidated Statements Of Comprehensive Income Loss Unaudited [Line Items] | ' | ' | ' | ' | ||||
NET INCOME | $1,612 | $2,489 | $5,485 | $7,295 | ||||
Other comprehensive income (loss): | ' | ' | ' | ' | ||||
Net unrealized holding gains (losses) on available for sale securities | -5,939 | 695 | -17,399 | 2,438 | ||||
Reclassification adjustment for (gains) losses realized in income | -597 | [1] | -473 | [1] | -853 | [1] | -473 | [1] |
Net unrealized holding gains (losses) | -6,536 | 222 | -18,252 | 1,965 | ||||
Income tax effect | 2,286 | -77 | 6,388 | -687 | ||||
Other comprehensive income (loss) | -4,250 | 145 | -11,864 | 1,278 | ||||
COMPREHENSIVE INCOME (LOSS) | ($2,638) | $2,634 | ($6,379) | $8,573 | ||||
[1] | Pre-tax reclassification adjustments relating to available-for-sale securities are reported in security gains and the tax impact is included in income tax expense on the consolidated statements of income. |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
CASH FLOWS FROM OPERATING ACTIVITIES | ' | ' |
NET INCOME | $5,485 | $7,295 |
Adjustments to reconcile net income to net cash from operating activities: | ' | ' |
Provision for loan losses | 765 | 725 |
Depreciation and amortization | 1,410 | 1,250 |
Net amortization of securities | 2,216 | 1,996 |
Security gains | -853 | -473 |
(Gain) loss on sale of other real estate owned | 30 | -56 |
Earnings on bank owned life insurance | -353 | -389 |
Income recognized from death benefit on bank owned life insurance | -217 | 0 |
Origination of loans held for sale | -22,350 | -25,217 |
Proceeds from sale of loans held for sale | 25,406 | 21,727 |
Net gains on sale of loans | -448 | -407 |
Net change in other assets and liabilities | 3,505 | -844 |
NET CASH FROM OPERATING ACTIVITIES | 14,596 | 5,607 |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' |
Proceeds from maturities and repayments of securities available for sale | 62,427 | 62,216 |
Proceeds from sales of securities available for sale | 55,614 | 56,463 |
Purchases and settlements of securities available for sale | -111,696 | -148,054 |
Loan originations and payments, net | -25,885 | -4,361 |
Proceeds from sales of other real estate owned | 199 | 1,814 |
Proceeds from BOLI death benefit | 328 | 0 |
Proceeds from sale of real estate | 118 | 0 |
Additions to premises and equipment | -181 | -2,623 |
Investment in National Associates Inc., net | -2,100 | 0 |
NET CASH FROM INVESTING ACTIVITIES | -21,176 | -34,545 |
CASH FLOWS FROM FINANCING ACTIVITIES | ' | ' |
Net change in deposits | -15,599 | 60,013 |
Net change in short-term borrowings | 18,357 | -1,218 |
Repayment of Federal Home Loan Bank borrowings and other debt | -344 | -775 |
New Federal Home Loan Bank advance borrowings | 10,000 | 0 |
Cash dividends paid | -1,684 | -2,253 |
Proceeds from dividend reinvestment | 0 | 243 |
Acquisition of treasury stock | -1,606 | 0 |
NET CASH FROM FINANCING ACTIVITIES | 9,124 | 56,010 |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 2,544 | 27,072 |
Beginning cash and cash equivalents | 37,759 | 52,422 |
Ending cash and cash equivalents | 40,303 | 79,494 |
Supplemental cash flow information: | ' | ' |
Interest paid | 3,829 | 4,809 |
Income taxes paid | 1,130 | 1,455 |
Supplemental noncash disclosures: | ' | ' |
Transfer of loans to other real estate | 103 | 1,344 |
Issuance of stock for NAI acquisition | 1,400 | 0 |
Contigent consideration for NAI acquisition | 920 | 0 |
Security purchases not settled | $6,606 | $0 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2013 | |
Summary of Significant Accounting Policies | ' |
Principles of Consolidation: | |
Farmers National Banc Corp. (“Company”) is a one-bank holding company registered under the Bank Holding Company Act of 1956, as amended. The Company provides full banking services through its nationally chartered subsidiary, The Farmers National Bank of Canfield (“Bank”). The Company provides trust services through its subsidiary, Farmers Trust Company (“Trust”), and insurance services through the Bank’s subsidiary, Farmers National Insurance. On July 1, 2013 the Company acquired National Associates, Inc. (“NAI”), a retirement plan consulting firm located in Cleveland, Ohio. Therefore the Company now provides retirement consulting services through NAI. The consolidated financial statements include the accounts of the Company, the Bank and its subsidiary, along with the Trust and NAI. All significant intercompany balances and transactions have been eliminated in the consolidation. | |
Basis of Presentation: | |
The unaudited condensed consolidated financial statements have been prepared in conformity with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. The financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s 2012 Annual Report to Shareholders included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012. The interim consolidated financial statements include all adjustments (consisting of only normal recurring items) that, in the opinion of management, are necessary for a fair presentation of the financial position and results of operations for the periods presented. The results of operations for the interim periods disclosed herein are not necessarily indicative of the results that may be expected for a full year. Certain items included in the prior period financial statements were reclassified to conform to the current period presentation. There was no effect on net income or total stockholders’ equity. | |
Estimates: | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The allowance for loan losses, deferred tax assets, carrying amount of goodwill and fair values of financial instruments are particularly subject to change. | |
Segments: | |
The Company provides a broad range of financial services to individuals and companies in northeastern Ohio. While the Company’s chief decision makers monitor the revenue streams of the various products and services, operations are managed and financial performance is primarily aggregated and reported in two lines of business, the Bank segment and the Trust segment. The NAI segment was not considered material at September 30, 2013 and was therefore not presented as a separate segment. | |
Comprehensive Income (Loss): | |
Comprehensive income (loss) consists of net income and other comprehensive income (loss). Other comprehensive income (loss) consists of unrealized gains and losses on securities available for sale and changes in the funded status of the post-retirement health plan, which are recognized as separate components of equity, net of tax effects. For the three and nine month periods ended September 30, 2013, there was no change in the funded status of the plan. | |
Recent Accounting Pronouncements: | |
In February 2013, the Fair Accounting Standards Board (“FASB”) issued Accounting Standards Update 2013-02 (the “ASU”) with the primary objective of improving the reporting of reclassifications out of accumulated other comprehensive income (“AOCI”). For significant reclassifications that are required to be presented in their entirety in net income in the same reporting period by U.S. Generally Accepted Accounting Principles (U.S. GAAP), the ASU requires an entity to report the effect of these reclassifications out of AOCI on the respective line items of net income either on the face of the statement that reports net income or in the financial statement notes. For AOCI items that are not reclassified to net income in their entirety, presentation in the financial statement notes is required. The Company has adopted this ASU beginning with periods ended March 31, 2013, by adding an additional footnote disclosure to the consolidated financial statements. |
Securities
Securities | 9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||
Securities | ' | ||||||||||||||||||||||||||||||||||||||||||
Securities: | |||||||||||||||||||||||||||||||||||||||||||
The following table summarizes the amortized cost and fair value of the available-for-sale investment securities portfolio at September 30, 2013 and December 31, 2012 and the corresponding amounts of unrealized gains and losses recognized in accumulated other comprehensive income: | |||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Amortized | Gross | Gross | Fair Value | |||||||||||||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 54,751 | $ | 889 | $ | (404 | ) | $ | 55,236 | ||||||||||||||||||||||||||||||||||
State and political subdivisions | 106,937 | 1,889 | (2,551 | ) | 106,275 | ||||||||||||||||||||||||||||||||||||||
Corporate bonds | 1,541 | 1 | (17 | ) | 1,525 | ||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities - residential | 223,966 | 1,591 | (4,437 | ) | 221,120 | ||||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 31,336 | 156 | (1,864 | ) | 29,628 | ||||||||||||||||||||||||||||||||||||||
Small business administration | 26,153 | 2 | (1,933 | ) | 24,222 | ||||||||||||||||||||||||||||||||||||||
Equity securities | 60 | 64 | (3 | ) | 121 | ||||||||||||||||||||||||||||||||||||||
Totals | $ | 444,744 | $ | 4,592 | $ | (11,209 | ) | $ | 438,127 | ||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Amortized | Gross | Gross | Fair Value | |||||||||||||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 66,378 | $ | 1,601 | $ | (1 | ) | $ | 67,978 | ||||||||||||||||||||||||||||||||||
State and political subdivisions | 90,466 | 5,067 | (245 | ) | 95,288 | ||||||||||||||||||||||||||||||||||||||
Corporate bonds | 2,123 | 12 | (7 | ) | 2,128 | ||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities - residential | 231,582 | 5,112 | (476 | ) | 236,218 | ||||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 40,333 | 336 | (74 | ) | 40,595 | ||||||||||||||||||||||||||||||||||||||
Small business administration | 21,432 | 74 | (62 | ) | 21,444 | ||||||||||||||||||||||||||||||||||||||
Equity securities | 139 | 303 | (5 | ) | 437 | ||||||||||||||||||||||||||||||||||||||
Totals | $ | 452,453 | $ | 12,505 | $ | (870 | ) | $ | 464,088 | ||||||||||||||||||||||||||||||||||
Proceeds from the sale of portfolio securities were $54.7 million and $55.6 million during the three and nine-month periods ended September 30, 2013. Gross gains of $738 thousand and $994 thousand along with gross losses of $141 thousand were realized on these sales during the three and nine month periods ended September 30, 2013. Proceeds from the sales of investment securities were $56.5 million during the three and nine month periods ended September 30, 2012. Gross gains of $671 thousand and gross losses of $198 thousand were realized on these sales during the three and nine month periods ended September 30, 2012. | |||||||||||||||||||||||||||||||||||||||||||
The amortized cost and fair value of the debt securities portfolio are shown by expected maturity. Expected maturities may differ from contractual maturities if issuers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. | |||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Amortized | Fair | |||||||||||||||||||||||||||||||||||||||||
Cost | Value | ||||||||||||||||||||||||||||||||||||||||||
Maturity | |||||||||||||||||||||||||||||||||||||||||||
Within one year | $ | 13,179 | $ | 13,303 | |||||||||||||||||||||||||||||||||||||||
One to five years | 79,638 | 80,478 | |||||||||||||||||||||||||||||||||||||||||
Five to ten years | 50,514 | 49,774 | |||||||||||||||||||||||||||||||||||||||||
Beyond ten years | 19,898 | 19,481 | |||||||||||||||||||||||||||||||||||||||||
Mortgage-backed, CMO and SBA securities | 281,455 | 274,970 | |||||||||||||||||||||||||||||||||||||||||
Total | $ | 444,684 | $ | 438,006 | |||||||||||||||||||||||||||||||||||||||
The following table summarizes the investment securities with unrealized losses at September 30, 2013 and December 31, 2012, aggregated by major security type and length of time in a continuous unrealized loss position. Unrealized losses for small business administration securities rounded to less than $1 thousand in 2013 and 2012. In addition, unrealized losses for mortgage-backed securities – residential, rounded to less than $1 thousand in 2012. | |||||||||||||||||||||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Longer | Total | |||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||||||||||||||||||||
Value | Losses | Value | Losses | Value | Losses | ||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||
Available-for-sale | |||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 21,226 | $ | (404 | ) | $ | 0 | $ | 0 | $ | 21,226 | $ | (404 | ) | |||||||||||||||||||||||||||||
State and political subdivisions | 36,377 | (2,551 | ) | 0 | 0 | 36,377 | (2,551 | ) | |||||||||||||||||||||||||||||||||||
Corporate bonds | 1,275 | (17 | ) | 0 | 0 | 1,275 | (17 | ) | |||||||||||||||||||||||||||||||||||
Mortgage-backed securities – residential | 95,361 | (3,005 | ) | 31,293 | (1,432 | ) | 126,654 | (4,437 | ) | ||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 21,306 | (1,864 | ) | 0 | 0 | 21,306 | (1,864 | ) | |||||||||||||||||||||||||||||||||||
Small business administration | 24,121 | (1,933 | ) | 8 | 0 | 24,129 | (1,933 | ) | |||||||||||||||||||||||||||||||||||
Equity securities | 0 | 0 | 9 | (3 | ) | 9 | (3 | ) | |||||||||||||||||||||||||||||||||||
Total | $ | 199,666 | $ | (9,774 | ) | $ | 31,310 | $ | (1,435 | ) | $ | 230,976 | $ | (11,209 | ) | ||||||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Longer | Total | |||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||||||||||||||||||||
Value | Losses | Value | Losses | Value | Losses | ||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||
Available-for-sale | |||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 5,490 | $ | (1 | ) | $ | 0 | $ | 0 | $ | 5,490 | $ | (1 | ) | |||||||||||||||||||||||||||||
State and political subdivisions | 12,079 | (245 | ) | 0 | 0 | 12,079 | (245 | ) | |||||||||||||||||||||||||||||||||||
Corporate bonds | 887 | (7 | ) | 0 | 0 | 887 | (7 | ) | |||||||||||||||||||||||||||||||||||
Mortgage-backed securities – residential | 97,598 | (476 | ) | 52 | 0 | 97,650 | (476 | ) | |||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 23,132 | (74 | ) | 0 | 0 | 23,132 | (74 | ) | |||||||||||||||||||||||||||||||||||
Small business administration | 7,853 | (62 | ) | 37 | 0 | 7,890 | (62 | ) | |||||||||||||||||||||||||||||||||||
Equity securities | 0 | 0 | 8 | (5 | ) | 8 | (5 | ) | |||||||||||||||||||||||||||||||||||
Total | $ | 147,039 | $ | (865 | ) | $ | 97 | $ | (5 | ) | $ | 147,136 | $ | (870 | ) | ||||||||||||||||||||||||||||
Other-Than-Temporary-Impairment | |||||||||||||||||||||||||||||||||||||||||||
Management evaluates securities for other-than-temporary impairment (“OTTI”) at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. Investment securities are generally evaluated for OTTI under FASB Accounting Standards Codification (“ASC”) 320, Investments – Debt and Equity Securities. Consideration is given to the length of time and the extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer, whether the market decline was affected by macroeconomic conditions and whether the Company has the intent to sell the debt security or more likely than not will be required to sell the debt security before its anticipated recovery. In analyzing an issuer’s financial condition, the Company may consider whether the securities are issued by the federal government or its agencies, or U.S. government sponsored enterprises, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuer’s financial condition. The assessment of whether an other-than-temporary decline exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time. | |||||||||||||||||||||||||||||||||||||||||||
When OTTI occurs, the amount of the OTTI recognized in earnings depends on whether an entity intends to sell the security or it is more likely than not it will be required to sell the security before recovery of its amortized cost basis. If an entity intends to sell or it is more likely than not it will be required to sell the security before recovery of its amortized cost basis, the OTTI shall be recognized in earnings equal to the entire difference between the investment’s amortized cost basis and its fair value at the balance sheet date. The previous amortized cost basis less the OTTI recognized in earnings becomes the new amortized cost basis of the investment. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the income statement and 2) OTTI related to other factors, which is recognized in other comprehensive income or loss. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. | |||||||||||||||||||||||||||||||||||||||||||
As of September 30, 2013, the Company’s security portfolio consisted of 389 securities, 103 of which were in an unrealized loss position. The majority of the unrealized losses on the Company’s securities are related to its holdings of mortgage-backed securities and state and political subdivision securities as discussed below. | |||||||||||||||||||||||||||||||||||||||||||
Unrealized losses on U.S. Treasury and U.S. government-sponsored entities have not been recognized into income because the securities are of high credit quality, management does not have the intent to sell these securities before their anticipated recovery and the decline in fair value is largely due to fluctuations in market interest rates and not credit quality. Consequently, the fair value of such debt securities is expected to recover as the securities approach their maturity date. Unrealized losses on debt securities issued by state and political subdivisions have not been recognized into income. A security-level assessment is performed on each security, and assessments are based on the nature of the securities, the financial condition of the issuer, the extent and duration of the securities, the extent and duration of the loss and whether management intends to sell or it is more likely than not that it will be required to sell a security before recovery of its amortized cost basis. These securities have maintained their investment grade ratings and management does not have the intent to sell these securities before their anticipated recovery. The fair value is expected to recover as the securities approach their maturity date. | |||||||||||||||||||||||||||||||||||||||||||
All of the Company’s holdings of collateralized mortgage obligations and mortgage-backed securities-residential were issued by U.S. government-sponsored entities. Unrealized losses on these securities have not been recognized into income. Because the decline in fair value is attributable to changes in interest rates and illiquidity, and not credit quality, the issues are guaranteed by the issuing entity and which the U.S. government has affirmed its commitment to support, and because the Company does not have the intent to sell these mortgage-backed securities-residential and it is likely that it will not be required to sell the securities before their anticipated recovery, the Company does not consider these securities to be OTTI. | |||||||||||||||||||||||||||||||||||||||||||
Management does not believe any unrealized losses on small business administration securities represent an other-than-temporary impairment. The securities are issued and backed by the full faith and credit of the U.S. government and the Company does not have the intent to sell these securities before their anticipated recovery. The fair value of these securities is expected to recover as they approach their maturity. | |||||||||||||||||||||||||||||||||||||||||||
The Company’s equity securities are made up of local and regional bank holdings. The unrealized losses associated with these holdings have not been recognized into income. Generally these securities have suffered as most banking securities have suffered during the recent economic cycle. The fair value is expected to recover as the banking sector recovers. Management does not have the intent to sell these securities before their anticipated recovery. |
Loans
Loans | 9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||
Loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Loan balances were as follows: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | September 30, | December 31, | ||||||||||||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 84,484 | $ | 95,208 | ||||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 96,630 | 83,405 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other | 19,888 | 22,729 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 108,758 | 97,112 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 139,581 | 132,665 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 26,151 | 24,110 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Indirect | 120,607 | 116,471 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Direct | 10,526 | 11,160 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other | 2,606 | 1,767 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 609,231 | 584,627 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net deferred loan costs | 2,118 | 1,965 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | (7,369 | ) | (7,629 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Net loans | $ | 603,980 | $ | 578,963 | ||||||||||||||||||||||||||||||||||||||||||||||||
The following tables present the activity in the allowance for loan losses by portfolio segment for the three and nine month periods ended September 30, 2013 and 2012: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 3,050 | $ | 1,431 | $ | 1,751 | $ | 1,180 | $ | 178 | $ | 7,590 | ||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | (213 | ) | (14 | ) | 171 | 398 | (2 | ) | 340 | |||||||||||||||||||||||||||||||||||||||||||
Loans charged off | (219 | ) | 0 | (135 | ) | (561 | ) | 0 | (915 | ) | ||||||||||||||||||||||||||||||||||||||||||
Recoveries | 33 | 38 | 26 | 257 | 0 | 354 | ||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 2,651 | $ | 1,455 | $ | 1,813 | $ | 1,274 | $ | 176 | $ | 7,369 | ||||||||||||||||||||||||||||||||||||||||
Nine Months Ended September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 3,392 | $ | 1,453 | $ | 1,569 | $ | 951 | $ | 264 | $ | 7,629 | ||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | (606 | ) | (87 | ) | 508 | 1,038 | (88 | ) | 765 | |||||||||||||||||||||||||||||||||||||||||||
Loans charged off | (300 | ) | (80 | ) | (303 | ) | (1,351 | ) | 0 | (2,034 | ) | |||||||||||||||||||||||||||||||||||||||||
Recoveries | 165 | 169 | 39 | 636 | 0 | 1,009 | ||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 2,651 | $ | 1,455 | $ | 1,813 | $ | 1,274 | $ | 176 | $ | 7,369 | ||||||||||||||||||||||||||||||||||||||||
Three Months Ended September 30, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 4,626 | $ | 1,752 | $ | 1,607 | $ | 1,020 | $ | 43 | $ | 9,048 | ||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | (142 | ) | 205 | 33 | 99 | 130 | 325 | |||||||||||||||||||||||||||||||||||||||||||||
Loans charged off | (446 | ) | (187 | ) | (49 | ) | (256 | ) | 0 | (938 | ) | |||||||||||||||||||||||||||||||||||||||||
Recoveries | 23 | 9 | 21 | 137 | 0 | 190 | ||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 4,061 | $ | 1,779 | $ | 1,612 | $ | 1,000 | $ | 173 | $ | 8,625 | ||||||||||||||||||||||||||||||||||||||||
Nine Months Ended September 30, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 4,880 | $ | 1,529 | $ | 1,802 | $ | 972 | $ | 637 | $ | 9,820 | ||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | (87 | ) | 610 | 414 | 252 | (464 | ) | 725 | ||||||||||||||||||||||||||||||||||||||||||||
Loans charged off | (814 | ) | (400 | ) | (657 | ) | (703 | ) | 0 | (2,574 | ) | |||||||||||||||||||||||||||||||||||||||||
Recoveries | 82 | 40 | 53 | 479 | 0 | 654 | ||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 4,061 | $ | 1,779 | $ | 1,612 | $ | 1,000 | $ | 173 | $ | 8,625 | ||||||||||||||||||||||||||||||||||||||||
The following tables present the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of September 30, 2013 and December 31, 2012. The recorded investment in loans includes the unpaid principal balance and unamortized loan origination fees and costs, but excludes accrued interest receivable, which is not considered to be material: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending allowance balance attributable to loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 245 | $ | 279 | $ | 0 | $ | 0 | $ | 0 | $ | 524 | ||||||||||||||||||||||||||||||||||||||||
Collectively evaluated for impairment | 2,406 | 1,176 | 1,813 | 1,274 | 176 | 6,845 | ||||||||||||||||||||||||||||||||||||||||||||||
Total ending allowance balance | $ | 2,651 | $ | 1,455 | $ | 1,813 | $ | 1,274 | $ | 176 | $ | 7,369 | ||||||||||||||||||||||||||||||||||||||||
Loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 7,173 | $ | 2,625 | $ | 2,398 | $ | 0 | $ | 0 | $ | 12,196 | ||||||||||||||||||||||||||||||||||||||||
Loans collectively evaluated for impairment | 192,999 | 106,133 | 162,804 | 137,217 | 0 | 599,153 | ||||||||||||||||||||||||||||||||||||||||||||||
Total ending loans balance | $ | 200,172 | $ | 108,758 | $ | 165,202 | $ | 137,217 | $ | 0 | $ | 611,349 | ||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending allowance balance attributable to loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 129 | $ | 51 | $ | 0 | $ | 0 | $ | 0 | $ | 180 | ||||||||||||||||||||||||||||||||||||||||
Collectively evaluated for impairment | 3,263 | 1,402 | 1,569 | 951 | 264 | 7,449 | ||||||||||||||||||||||||||||||||||||||||||||||
Total ending allowance balance | $ | 3,392 | $ | 1,453 | $ | 1,569 | $ | 951 | $ | 264 | $ | 7,629 | ||||||||||||||||||||||||||||||||||||||||
Loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 8,535 | $ | 1,852 | $ | 989 | $ | 0 | $ | 0 | $ | 11,376 | ||||||||||||||||||||||||||||||||||||||||
Loans collectively evaluated for impairment | 192,116 | 95,260 | 155,193 | 132,647 | 0 | 575,216 | ||||||||||||||||||||||||||||||||||||||||||||||
Total ending loans balance | $ | 200,651 | $ | 97,112 | $ | 156,182 | $ | 132,647 | $ | 0 | $ | 586,592 | ||||||||||||||||||||||||||||||||||||||||
The following tables present information related to impaired loans by class of loans as of September 30, 2013 and December 31, 2012: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Unpaid | Recorded | Allowance for | |||||||||||||||||||||||||||||||||||||||||||||||||
Principal | Investment | Loan Losses | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance | Allocated | |||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 2,554 | $ | 2,423 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 518 | 418 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 2,091 | 2,057 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 2,261 | 2,147 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 261 | 251 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 7,685 | 7,296 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | 2,963 | 2,727 | 220 | |||||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 1,605 | 1,605 | 25 | |||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 568 | 568 | 279 | |||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 5,136 | 4,900 | 524 | |||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 12,821 | $ | 12,196 | $ | 524 | ||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Unpaid | Recorded | Allowance for | |||||||||||||||||||||||||||||||||||||||||||||||||
Principal | Investment | Loan Losses | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance | Allocated | |||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 3,916 | $ | 3,481 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 560 | 461 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 1,250 | 1,192 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 971 | 989 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 6,697 | 6,123 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | 2,207 | 2,169 | 59 | |||||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 2,560 | 2,424 | 70 | |||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 948 | 660 | 51 | |||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 5,715 | 5,253 | 180 | |||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 12,412 | $ | 11,376 | $ | 180 | ||||||||||||||||||||||||||||||||||||||||||||||
The following table presents the average recorded investment in impaired loans by class for the three and nine month periods ended September 30, 2013 and 2012: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Average Recorded Investment for | Average Recorded Investment for | ||||||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 2,557 | $ | 1,558 | $ | 2,533 | $ | 974 | ||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 421 | 219 | 454 | 458 | ||||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 152 | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 1,597 | 934 | 1,485 | 960 | ||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 2,125 | 769 | 1,349 | 718 | ||||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 215 | 0 | 192 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 6,915 | 3,480 | 6,013 | 3,262 | ||||||||||||||||||||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | 2,498 | 4,241 | 2,714 | 4,391 | ||||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 1,612 | 2,717 | 1,816 | 2,384 | ||||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 91 | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 253 | 688 | 295 | 495 | ||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 4,363 | 7,646 | 4,825 | 7,361 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 11,278 | $ | 11,126 | $ | 10,838 | $ | 10,623 | ||||||||||||||||||||||||||||||||||||||||||||
Interest income recognized during impairment for the three and nine month periods was immaterial. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Nonaccrual loans and loans past due 90 days or more still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
The following table presents the recorded investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans as of September 30, 2013 and December 31, 2012: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Nonaccrual | Loans Past | Nonaccrual | Loans Past | ||||||||||||||||||||||||||||||||||||||||||||||||
Due 90 Days | Due 90 Days | |||||||||||||||||||||||||||||||||||||||||||||||||||
or More Still | or More Still | |||||||||||||||||||||||||||||||||||||||||||||||||||
Accruing | Accruing | |||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 2,933 | $ | 0 | $ | 3,116 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 416 | 0 | 799 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 2,143 | 0 | 1,081 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 2,607 | 618 | 2,342 | 197 | ||||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 286 | 0 | 294 | 236 | ||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Indirect | 0 | 82 | 0 | 143 | ||||||||||||||||||||||||||||||||||||||||||||||||
Direct | 0 | 14 | 0 | 19 | ||||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 7 | 0 | 1 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 8,385 | $ | 721 | $ | 7,632 | $ | 596 | ||||||||||||||||||||||||||||||||||||||||||||
The following table presents the aging of the recorded investment in past due loans as of September 30, 2013 and December 31, 2012 by class of loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | 30-59 | 60-89 | 90 Days or | Total Past | Loans Not | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Days Past | Days | More Past | Due | Past Due | ||||||||||||||||||||||||||||||||||||||||||||||||
Due | Past Due | Due and | ||||||||||||||||||||||||||||||||||||||||||||||||||
Nonaccrual | ||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 48 | $ | 8 | $ | 2,933 | $ | 2,989 | $ | 81,146 | $ | 84,135 | ||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 17 | 0 | 416 | 433 | 95,798 | 96,231 | ||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 0 | 19,806 | 19,806 | ||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 0 | 50 | 2,143 | 2,193 | 106,565 | 108,758 | ||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 206 | 0 | 3,225 | 3,431 | 135,620 | 139,051 | ||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 26 | 0 | 286 | 312 | 25,839 | 26,151 | ||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Indirect | 1,376 | 248 | 82 | 1,706 | 122,379 | 124,085 | ||||||||||||||||||||||||||||||||||||||||||||||
Direct | 109 | 17 | 14 | 140 | 10,386 | 10,526 | ||||||||||||||||||||||||||||||||||||||||||||||
Other | 26 | 12 | 7 | 45 | 2,561 | 2,606 | ||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,808 | $ | 335 | $ | 9,106 | $ | 11,249 | $ | 600,100 | $ | 611,349 | ||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | 30-59 | 60-89 | 90 Days or | Total Past | Loans Not | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Days Past | Days | More Past | Due | Past Due | ||||||||||||||||||||||||||||||||||||||||||||||||
Due | Past Due | Due and | ||||||||||||||||||||||||||||||||||||||||||||||||||
Nonaccrual | ||||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 259 | $ | 0 | $ | 3,116 | $ | 3,375 | $ | 91,506 | $ | 94,881 | ||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 0 | 0 | 799 | 799 | 82,320 | 83,119 | ||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 0 | 22,651 | 22,651 | ||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 233 | 15 | 1,081 | 1,329 | 95,783 | 97,112 | ||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 718 | 352 | 2,539 | 3,609 | 128,463 | 132,072 | ||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 183 | 82 | 530 | 795 | 23,315 | 24,110 | ||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Indirect | 1,351 | 319 | 143 | 1,813 | 117,907 | 119,720 | ||||||||||||||||||||||||||||||||||||||||||||||
Direct | 144 | 18 | 19 | 181 | 10,979 | 11,160 | ||||||||||||||||||||||||||||||||||||||||||||||
Other | 15 | 13 | 1 | 29 | 1,738 | 1,767 | ||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 2,903 | $ | 799 | $ | 8,228 | $ | 11,930 | $ | 574,662 | $ | 586,592 | ||||||||||||||||||||||||||||||||||||||||
Troubled_Debt_Restructurings
Troubled Debt Restructurings | 9 Months Ended | ||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||
Troubled Debt Restructurings | ' | ||||||||||||||||||
Troubled Debt Restructurings: | |||||||||||||||||||
Total troubled debt restructurings were $8.3 million and $7.6 million at September 30, 2013 and December 31, 2012, respectively. The Company has allocated $187 thousand and $155 thousand of specific reserves to customers whose loan terms have been modified in troubled debt restructurings as of September 30, 2013 and December 31, 2012, respectively. There are $16 thousand in commitments to lend additional amounts to borrowers with loans that were classified as troubled debt restructurings at September 30, 2013. There were no commitments at December 31, 2012. | |||||||||||||||||||
During the three and nine month periods ended September 30, 2013 and 2012, the terms of certain loans were modified as troubled debt restructurings. The modification of the terms of such loans included one or a combination of the following: a reduction of the stated interest rate of the loan; an extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk; a permanent reduction of the recorded investment in the loan; a permanent increase of the recorded investment in the loan due to a protective advance to pay delinquent real estate taxes or advance new monies; a deferral of principal payments; or a legal concession. | |||||||||||||||||||
Troubled debt restructuring modifications involved a change in the notes stated interest rate in the range of an increase of 0.25% to a reduction of 3.25%. There were also extensions of the maturity dates on these and other troubled debt restructurings in the range of three months to 126 months. | |||||||||||||||||||
The following table presents loans by class modified as troubled debt restructurings that occurred during the three and nine month periods ended September 30, 2013 and 2012: | |||||||||||||||||||
Three Months Ended September 30, 2013 | |||||||||||||||||||
(In Thousands of Dollars) | Number of | Pre-Modification | Post-Modification | ||||||||||||||||
Loans | Outstanding Recorded | Outstanding Recorded | |||||||||||||||||
Investment | Investment | ||||||||||||||||||
Troubled Debt Restructurings: | |||||||||||||||||||
Residential real estate | |||||||||||||||||||
1-4 family residential | 1 | $ | 10 | $ | 10 | ||||||||||||||
HELOC | 1 | 56 | 56 | ||||||||||||||||
Total | 2 | $ | 66 | $ | 66 | ||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||||
Number of | Pre-Modification | Post-Modification | |||||||||||||||||
Loans | Outstanding Recorded | Outstanding Recorded | |||||||||||||||||
Investment | Investment | ||||||||||||||||||
Troubled Debt Restructurings: | |||||||||||||||||||
Commercial real estate | |||||||||||||||||||
Owner occupied | 2 | $ | 226 | $ | 239 | ||||||||||||||
Commercial | 5 | 649 | 682 | ||||||||||||||||
Residential real estate | |||||||||||||||||||
1-4 family residential | 2 | 18 | 18 | ||||||||||||||||
HELOC | 5 | 214 | 214 | ||||||||||||||||
Total | 14 | $ | 1,107 | $ | 1,153 | ||||||||||||||
Three Months Ended September 30, 2012 | |||||||||||||||||||
Number of | Pre-Modification | Post-Modification | |||||||||||||||||
Loans | Outstanding Recorded | Outstanding Recorded | |||||||||||||||||
Investment | Investment | ||||||||||||||||||
Troubled Debt Restructurings: | |||||||||||||||||||
Commercial real estate | |||||||||||||||||||
Owner occupied | 1 | $ | 356 | $ | 374 | ||||||||||||||
Commercial | 1 | 74 | 100 | ||||||||||||||||
Residential real estate | |||||||||||||||||||
1-4 family residential | 3 | 234 | 234 | ||||||||||||||||
Total | 5 | $ | 664 | $ | 708 | ||||||||||||||
Nine Months Ended September 30, 2012 | |||||||||||||||||||
Number of | Pre-Modification | Post-Modification | |||||||||||||||||
Loans | Outstanding Recorded | Outstanding Recorded | |||||||||||||||||
Investment | Investment | ||||||||||||||||||
Troubled Debt Restructurings: | |||||||||||||||||||
Commercial real estate | |||||||||||||||||||
Owner occupied | 3 | $ | 1,143 | $ | 1,166 | ||||||||||||||
Non-owner occupied | 3 | 2,376 | 2,419 | ||||||||||||||||
Commercial | 1 | 74 | 100 | ||||||||||||||||
Residential real estate | |||||||||||||||||||
1-4 family residential | 4 | 286 | 286 | ||||||||||||||||
Total | 11 | $ | 3,879 | $ | 3,971 | ||||||||||||||
There were $1thousand in charge offs during the three month period and $17 thousand in charge offs during the nine month period ended September 30, 2013 as a result of troubled debt restructurings. During these periods ended September 30, 2013, the charge offs did not cause an increase in the allowance for loan losses. There was a loan discussed in prior periods that resulted in a $3 thousand increase in the allowance of loan losses as a result of the allowance adjustment due to the troubled debt restructurings described above that no longer has an impairment reserve due to the increase in the fair market value of the collateral. The troubled debt restructuring decreased the allowance for loan losses by $161 thousand during the three and nine month periods ended September 30, 2012. There were no charge offs as a result of the allowance adjustment. | |||||||||||||||||||
There were two commercial loans and one commercial real estate loan modified as troubled debt restructuring for which there were payment defaults within twelve months following the modification during the three and nine month periods ended September 30, 2013. Two of the three loans were past due at September 30, 2013. There were two residential real estate loans modified as troubled debt restructurings for which there were payment defaults within twelve months following the modification during the period ended September 30, 2012. The loans were not past due at September 30, 2012. There was no additional provision or any impact to the allowance for losses associated with these loans. A loan is considered to be in payment default once it is 30 days contractually past due under the modified terms. |
Credit_Quality_Indicators
Credit Quality Indicators | 9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Quality Indicators | ' | ||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Quality Indicators: | |||||||||||||||||||||||||||||||||||||||||||||||||||
The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company establishes a risk rating at origination for all commercial loan and commercial real estate relationships. For relationships over $300 thousand management monitors the loans on an ongoing basis for any changes in the borrower’s ability to service their debt. Management also affirms the risk ratings for the loans and leases in their respective portfolios on an annual basis. The Company uses the following definitions for risk ratings: | |||||||||||||||||||||||||||||||||||||||||||||||||||
Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. Special mention assets are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification. | |||||||||||||||||||||||||||||||||||||||||||||||||||
Substandard. Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. Substandard loans are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. | |||||||||||||||||||||||||||||||||||||||||||||||||||
Doubtful. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. | |||||||||||||||||||||||||||||||||||||||||||||||||||
Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans. | |||||||||||||||||||||||||||||||||||||||||||||||||||
As of September 30, 2013 and December 31, 2012, and based on the most recent analysis performed, the risk category of loans by class of loans is as follows: | |||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Pass | Special | Sub- | Doubtful | Not Rated | Total | |||||||||||||||||||||||||||||||||||||||||||||
Mention | standard | ||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 70,512 | $ | 7,419 | $ | 6,204 | $ | 0 | $ | 0 | $ | 84,135 | |||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 87,290 | 5,993 | 2,948 | 0 | 0 | 96,231 | |||||||||||||||||||||||||||||||||||||||||||||
Other | 19,459 | 0 | 347 | 0 | 0 | 19,806 | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 102,417 | 2,363 | 3,978 | 0 | 0 | 108,758 | |||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 279,678 | $ | 15,775 | $ | 13,477 | $ | 0 | $ | 0 | $ | 308,930 | |||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Pass | Special | Sub- | Doubtful | Not Rated | Total | |||||||||||||||||||||||||||||||||||||||||||||
Mention | standard | ||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 78,327 | $ | 5,954 | $ | 10,600 | $ | 0 | $ | 0 | $ | 94,881 | |||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 72,270 | 6,519 | 4,330 | 0 | 0 | 83,119 | |||||||||||||||||||||||||||||||||||||||||||||
Other | 17,855 | 4,433 | 363 | 0 | 0 | 22,651 | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 89,312 | 3,891 | 3,909 | 0 | 0 | 97,112 | |||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 257,764 | $ | 20,797 | $ | 19,202 | $ | 0 | $ | 0 | $ | 297,763 | |||||||||||||||||||||||||||||||||||||||
The Company considers the performance of the loan portfolio and its impact on the allowance for loan losses. For residential, consumer indirect and direct loan classes, the Company also evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity. | |||||||||||||||||||||||||||||||||||||||||||||||||||
The following table presents the recorded investment in residential, consumer indirect and direct auto loans based on payment activity as of September 30, 2013 and December 31, 2012. Nonperforming loans are loans past due 90 days or more and still accruing interest and nonaccrual loans. | |||||||||||||||||||||||||||||||||||||||||||||||||||
Residential Real Estate | Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | 1-4 Family | Home | Indirect | Direct | Other | ||||||||||||||||||||||||||||||||||||||||||||||
Residential | Equity Lines | ||||||||||||||||||||||||||||||||||||||||||||||||||
of Credit | |||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Performing | $ | 135,826 | $ | 25,865 | $ | 124,003 | $ | 10,512 | $ | 2,599 | |||||||||||||||||||||||||||||||||||||||||
Nonperforming | 3,225 | 286 | 82 | 14 | 7 | ||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 139,051 | $ | 26,151 | $ | 124,085 | $ | 10,526 | $ | 2,606 | |||||||||||||||||||||||||||||||||||||||||
Residential Real Estate | Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | 1-4 Family | Home | Indirect | Direct | Other | ||||||||||||||||||||||||||||||||||||||||||||||
Residential | Equity Lines | ||||||||||||||||||||||||||||||||||||||||||||||||||
of Credit | |||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Performing | $ | 129,533 | $ | 23,580 | $ | 119,577 | $ | 11,141 | $ | 1,766 | |||||||||||||||||||||||||||||||||||||||||
Nonperforming | 2,539 | 530 | 143 | 19 | 1 | ||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 132,072 | $ | 24,110 | $ | 119,720 | $ | 11,160 | $ | 1,767 | |||||||||||||||||||||||||||||||||||||||||
Interest_Rate_Swaps
Interest Rate Swaps | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Interest Rate Swaps | ' | |||||||||||
Interest Rate Swaps: | ||||||||||||
During 2012, the Company began using a program that utilizes interest-rate swaps as part of its asset/liability management strategy. The interest-rate swaps are used to help manage the Company’s interest rate risk position and not as derivatives for trading purposes. The notional amount of the interest-rate swaps does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual interest-rate swap agreements. | ||||||||||||
The objective of the interest-rate swaps is to protect the related fixed rate commercial real estate loans from changes in fair value due to changes in interest rates. The Company has a program whereby it lends to its borrowers at a fixed rate with the loan agreement containing a two-way yield maintenance provision, which will be invoked in the event of prepayment of the loan, and is expected to exactly offset the fair value of unwinding the swap. The yield maintenance provision represents an embedded derivative which is bifurcated from the host loan contract and, as such, the swaps and embedded derivatives are not designed as hedges. Accordingly, both instruments are carried at fair value and changes in fair value are reported in current period earnings. | ||||||||||||
Summary information about these interest-rate swaps at periods ended September 30, 2013 and December 31, 2012 is as follows: | ||||||||||||
(In Thousands of Dollars) | September 30, 2013 | December 31, 2012 | ||||||||||
Notional amounts | $ | 16,548 | $ | 7,060 | ||||||||
Weighted average fixed pay rate on interest-rate swaps | 4.19 | % | 4.07 | % | ||||||||
Weighted average variable receive rate on interest-rate swaps | 3.08 | % | 2.99 | % | ||||||||
Weighted average maturity (years) | 4.3 | 5.8 | ||||||||||
Fair value of combined interest-rate swaps | $ | 160 | $ | 120 | ||||||||
The fair value of the yield maintenance provisions and interest-rate swaps is recorded in other assets and other liabilities, respectively, in the consolidated balance sheets. Changes in the fair value of the yield maintenance provisions and interest-rate swaps are reported in earnings, as other noninterest income in the consolidated statements of income. For the three and nine month periods ended September 30, 2013 there was no net gain or loss recognized in earnings. The Company had no interest-rate swaps recorded at September 30, 2012. |
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Earnings Per Share | ' | |||||||||||||||||||
Earnings Per Share: | ||||||||||||||||||||
The computation of basic and diluted earnings per share is shown in the following table: | ||||||||||||||||||||
(In Thousands, except Share and Per Share Data) | Three Months Ended | Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Basic EPS computation | ||||||||||||||||||||
Numerator – Net income | $ | 1,612 | $ | 2,489 | $ | 5,485 | $ | 7,295 | ||||||||||||
Denominator – Weighted average shares outstanding | 18,775,980 | 18,802,269 | 18,772,664 | 18,789,449 | ||||||||||||||||
Basic earnings per share | $ | . 09 | $ | .13 | $ | .29 | $ | .39 | ||||||||||||
Diluted EPS computation | ||||||||||||||||||||
Numerator – Net income | $ | 1,612 | $ | 2,489 | $ | 5,485 | $ | 7,295 | ||||||||||||
Denominator – Weighted average shares outstanding for basic earnings per share | 18,775,980 | 18,802,269 | 18,772,664 | 18,789,449 | ||||||||||||||||
Effect of Stock Options | 0 | 0 | 0 | 0 | ||||||||||||||||
Weighted averages shares for diluted earnings per share | 18,775,980 | 18,802,269 | 18,772,664 | 18,789,449 | ||||||||||||||||
Diluted earnings per share | $ | . 09 | $ | .13 | $ | .29 | $ | . 39 | ||||||||||||
Stock options for 5,000 shares were not considered in the computing of diluted earnings per share for the three and nine months ended September 30, 2013 and 2012, respectively, because they were antidilutive. |
Stock_Based_Compensation
Stock Based Compensation | 9 Months Ended |
Sep. 30, 2013 | |
Stock Based Compensation | ' |
Stock Based Compensation: | |
During 2012, the Company, with the approval of shareholders, created the 2012 Equity Incentive Plan (the “Plan”). The Plan permits the award of up to 500 thousand shares to the Company’s directors and employees to promote the Company’s long-term financial success by motivating performance through long-term incentive compensation and to better align the interests of its employees with those of its shareholders. No share awards were issued during the periods ended September 30, 2013 and 2012 under the Plan. | |
The Company’s Stock Option Plan, which was shareholder-approved and has since expired, permitted the grant of share options to its directors, officers and employees for up to 375 thousand shares of common stock. Option awards were granted with an exercise price equal to the market price of the Company’s common stock at the date of grant; those option awards have vesting periods of 5 years and have 10-year contractual terms. Option exercises are expected to be satisfied with either newly issued shares or treasury shares. At September 30, 2013 there remained only 5,000 outstanding options that were fully vested and exercisable. The fair value of the Company’s stock at September 30, 2013 was less than the fair value option exercise price; therefore the outstanding and exercisable options had no intrinsic value. | |
The fair value of each option award is estimated on the date of grant using a Black-Scholes model. Total compensation cost charged against income for the stock option plan for the three and nine month period ended September 30, 2013 was not material. No related income tax benefit was recorded. |
Other_Comprehensive_Income_Los
Other Comprehensive Income (Loss) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Other Comprehensive Income (Loss) | ' | |||||||||||||||
Other Comprehensive Income (Loss): | ||||||||||||||||
The following table represents the detail of other comprehensive income (loss) for the three and nine month periods ended September 30, 2013 and 2012. | ||||||||||||||||
Three months ended September 30, 2013 | ||||||||||||||||
(In Thousands of Dollars) | Pre-tax | Tax | After-tax | |||||||||||||
Unrealized holding losses on available-for-sale securities during the period | $ | (5,939 | ) | $ | 2,077 | $ | (3,862 | ) | ||||||||
Reclassification adjustment for (gains) losses included in net income (1) | (597 | ) | 209 | (388 | ) | |||||||||||
Net unrealized losses on available-for-sale securities | $ | (6,536 | ) | $ | 2,286 | $ | (4,250 | ) | ||||||||
Nine months ended September 30, 2013 | ||||||||||||||||
(In Thousands of Dollars) | Pre-tax | Tax | After-tax | |||||||||||||
Unrealized holding losses on available-for-sale securities during the period | $ | (17,399 | ) | $ | 6,090 | $ | (11,309 | ) | ||||||||
Reclassification adjustment for (gains) losses included in net income (1) | (853 | ) | 298 | (555 | ) | |||||||||||
Net unrealized losses on available-for-sale securities | $ | (18,252 | ) | $ | 6,388 | $ | (11,864 | ) | ||||||||
Three months ended September 30, 2012 | ||||||||||||||||
(In Thousands of Dollars) | Pre-tax | Tax | After-tax | |||||||||||||
Unrealized holding gains on available-for-sale securities during the period | $ | 695 | $ | (243 | ) | $ | 452 | |||||||||
Reclassification adjustment for (gains) losses included in net income (1) | (473 | ) | 166 | (307 | ) | |||||||||||
Net unrealized gains on available-for-sale securities | $ | 222 | $ | (77 | ) | $ | 145 | |||||||||
Nine months ended September 30, 2012 | ||||||||||||||||
(In Thousands of Dollars) | Pre-tax | Tax | After-tax | |||||||||||||
Unrealized holding gains on available-for-sale securities during the period | $ | 2,438 | $ | (853 | ) | $ | 1,585 | |||||||||
Reclassification adjustment for (gains) losses included in net income (1) | (473 | ) | 166 | (307 | ) | |||||||||||
Net unrealized gains on available-for-sale securities | $ | 1,965 | $ | (687 | ) | $ | 1,278 | |||||||||
(1) Pre-tax reclassification adjustments relating to available-for-sale securities are reported in security gains and the tax impact is included in income tax expense on the consolidated statements of income. |
Fair_Value
Fair Value | 9 Months Ended | ||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||||||||
Fair Value | ' | ||||||||||||||||||||||||||||||||||
Fair Value: | |||||||||||||||||||||||||||||||||||
Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: | |||||||||||||||||||||||||||||||||||
Level 1 – Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. | |||||||||||||||||||||||||||||||||||
Level 2 – Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. | |||||||||||||||||||||||||||||||||||
Level 3 – Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. | |||||||||||||||||||||||||||||||||||
The Company used the following methods and significant assumptions to estimate the fair value of each type of financial instrument: | |||||||||||||||||||||||||||||||||||
Investment Securities: The Company used a third party service to estimate fair value on available for sale securities on a monthly basis. This service provider is considered a leading evaluation pricing service for U.S. domestic fixed income securities. They subscribe to multiple third-party pricing vendors, and supplement that information with matrix pricing methods. The fair values for investment securities are determined by quoted market prices in active markets, if available (Level 1). For securities where quoted prices are not available, fair values are calculated based on quoted prices for similar assets in active markets, quoted prices for similar assets in markets that are not active or inputs other than quoted prices, which provide a reasonable basis for fair value determination. Such inputs may include interest rates and yield curves, volatilities, prepayment speeds, credit risks and default rates. Inputs used are derived principally from observable market data (Level 2). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3). The fair values of Level 3 investment securities are determined by using unobservable inputs to measure fair value of assets for which there is little, if any market activity at the measurement date, using reasonable inputs and assumptions based on the best information at the time, to the extent that inputs are available without undue cost and effort by the Company’s Chief Financial Officer and Controller. For the period ended September 30, 2013 and for the year ended December 31, 2012, the fair value of Level 3 investment securities was immaterial. | |||||||||||||||||||||||||||||||||||
Derivative Instruments: The fair values of derivative instruments are based on valuation models using observable market data as of the measurement date (Level 2). | |||||||||||||||||||||||||||||||||||
Impaired Loans: At the time loans are considered impaired, collateral dependent impaired loans are valued at the lower of cost or fair value and non-collateral dependent loans are valued based on discounted cash flows. Impaired loans carried at fair value generally receive specific allocations of the allowance for loan losses. For collateral dependent loans fair value is commonly based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the client and client’s business, resulting in a Level 3 fair value classification. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted accordingly. | |||||||||||||||||||||||||||||||||||
Other Real Estate Owned: Assets acquired through or instead of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. Fair values are commonly based on recent real estate appraisals. These appraisals may use a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. | |||||||||||||||||||||||||||||||||||
Appraisals for both collateral-dependent impaired loans and other real estate owned are performed by certified general appraisers (for commercial and commercial real estate properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by the Company. Once received, a member of the Appraisal Department reviews the assumptions and approaches utilized in the appraisal as well as the overall resulting fair value in comparison with independent data sources such as recent market data or industry-wide statistics. On an annual basis, the Company compares the actual selling price of collateral that has been sold to the most recent appraised value to determine what adjustments should be made to appraisals to arrive at fair value. | |||||||||||||||||||||||||||||||||||
Assets measured at fair value on a recurring basis, including financial assets for which the Company has elected the fair value option, are summarized below: | |||||||||||||||||||||||||||||||||||
Fair Value Measurements at | |||||||||||||||||||||||||||||||||||
September 30, 2013 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying | Quoted Prices | Significant | Significant | |||||||||||||||||||||||||||||||
Value | in Active | Other | Unobservable | ||||||||||||||||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||||||||||||||||
Assets | (Level 2) | ||||||||||||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||||||||||||
Financial Assets | |||||||||||||||||||||||||||||||||||
Investment securities available-for sale | |||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 55,236 | $ | 0 | $ | 55,236 | $ | 0 | |||||||||||||||||||||||||||
State and political subdivisions | 106,275 | 0 | 106,275 | 0 | |||||||||||||||||||||||||||||||
Corporate bonds | 1,525 | 0 | 1,525 | 0 | |||||||||||||||||||||||||||||||
Mortgage-backed securities-residential | 221,120 | 0 | 221,109 | 11 | |||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 29,628 | 0 | 29,628 | 0 | |||||||||||||||||||||||||||||||
Small business administration | 24,222 | 0 | 24,222 | 0 | |||||||||||||||||||||||||||||||
Equity securities | 121 | 121 | 0 | 0 | |||||||||||||||||||||||||||||||
Total investment securities | $ | 438,127 | $ | 121 | $ | 437,995 | $ | 11 | |||||||||||||||||||||||||||
Yield maintenance provisions | $ | 160 | $ | 0 | $ | 160 | $ | 0 | |||||||||||||||||||||||||||
Financial Liabilities | |||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 160 | $ | 0 | $ | 160 | $ | 0 | |||||||||||||||||||||||||||
Fair Value Measurements at | |||||||||||||||||||||||||||||||||||
December 31, 2012 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying | Quoted Prices | Significant | Significant | |||||||||||||||||||||||||||||||
Value | in Active | Other | Unobservable | ||||||||||||||||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||||||||||||||||
Assets | (Level 2) | ||||||||||||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||||||||||||
Financial Assets | |||||||||||||||||||||||||||||||||||
Investment securities available-for sale | |||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 67,978 | $ | 0 | $ | 67,978 | $ | 0 | |||||||||||||||||||||||||||
State and political subdivisions | 95,288 | 0 | 95,288 | 0 | |||||||||||||||||||||||||||||||
Corporate bonds | 2,128 | 0 | 2,128 | 0 | |||||||||||||||||||||||||||||||
Mortgage-backed securities-residential | 236,218 | 0 | 236,207 | 11 | |||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 40,595 | 0 | 40,595 | 0 | |||||||||||||||||||||||||||||||
Small business administration | 21,444 | 0 | 21,444 | 0 | |||||||||||||||||||||||||||||||
Equity securities | 437 | 437 | 0 | 0 | |||||||||||||||||||||||||||||||
Total investment securities | $ | 464,088 | $ | 437 | $ | 463,640 | $ | 11 | |||||||||||||||||||||||||||
Yield maintenance provisions | $ | 120 | $ | 0 | $ | 120 | $ | 0 | |||||||||||||||||||||||||||
Financial Liabilities | |||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 120 | $ | 0 | $ | 120 | $ | 0 | |||||||||||||||||||||||||||
There were no significant transfers between Level 1 and Level 2 during the three and nine month periods ended September 30, 2013 and 2012. | |||||||||||||||||||||||||||||||||||
The table below presents a reconciliation for all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3): | |||||||||||||||||||||||||||||||||||
Investment Securities | |||||||||||||||||||||||||||||||||||
Available-for-sale | |||||||||||||||||||||||||||||||||||
(Level 3) | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Beginning balance | $ | 11 | $ | 11 | $ | 11 | $ | 12 | |||||||||||||||||||||||||||
Total unrealized gains or losses: | |||||||||||||||||||||||||||||||||||
Included in other comprehensive income or loss | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||
Repayments | 0 | 0 | 0 | (1 | ) | ||||||||||||||||||||||||||||||
Transfer in and/or out of Level 3 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||
Ending balance | $ | 11 | $ | 11 | $ | 11 | $ | 11 | |||||||||||||||||||||||||||
Assets measured at fair value on a non-recurring basis are summarized below: | |||||||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||||||
at September 30, 2013 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying Value | Quoted Prices | Significant | Significant | |||||||||||||||||||||||||||||||
in Active | Other | Unobservable | |||||||||||||||||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||||||||||||||||
Identical Assets | Inputs | (Level 3) | |||||||||||||||||||||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||||||||||||
Impaired loans | |||||||||||||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||||||||||||
Owner occupied | $ | 2,370 | $ | 0 | $ | 0 | $ | 2,370 | |||||||||||||||||||||||||||
Non-owner occupied | 418 | 0 | 0 | 418 | |||||||||||||||||||||||||||||||
Commercial | 703 | 0 | 0 | 703 | |||||||||||||||||||||||||||||||
1 – 4 family residential | 409 | 0 | 0 | 409 | |||||||||||||||||||||||||||||||
HELOC | 96 | 0 | 0 | 96 | |||||||||||||||||||||||||||||||
Other real estate owned | |||||||||||||||||||||||||||||||||||
1 – 4 family residential | 33 | 0 | 0 | 33 | |||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||||||
at December 31, 2012 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying Value | Quoted Prices | Significant | Significant | |||||||||||||||||||||||||||||||
in Active | Other | Unobservable | |||||||||||||||||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||||||||||||||||
Identical Assets | Inputs | (Level 3) | |||||||||||||||||||||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||||||||||||
Impaired loans | |||||||||||||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||||||||||||
Owner occupied | $ | 928 | $ | 0 | $ | 0 | $ | 928 | |||||||||||||||||||||||||||
Non-owner occupied | 775 | 0 | 0 | 775 | |||||||||||||||||||||||||||||||
Commercial | 869 | 0 | 0 | 869 | |||||||||||||||||||||||||||||||
1 – 4 family residential | 43 | 0 | 0 | 43 | |||||||||||||||||||||||||||||||
Other real estate owned | |||||||||||||||||||||||||||||||||||
1 – 4 family residential | 57 | 0 | 0 | 57 | |||||||||||||||||||||||||||||||
Impaired loans that are measured for impairment using the fair value of the collateral for collateral dependent loans, had a principal balance of $4.4 million with a valuation allowance of $450 thousand at September 30, 2013, resulting in an additional provision for loan losses of $431 thousand and $714 thousand for the three and nine month periods. At December 31, 2012, impaired loans had a principal balance of $2.6 million, with a valuation allowance of $25 thousand. For loans carried at fair value the additional provision for loan losses, for the three and nine month periods ended September 30, 2012, was $246 thousand and $665 thousand, respectively. Excluded from the fair value of impaired loans, at September 30, 2013 and December 31, 2012, discussed above are $2.3 million and $4.3 million of loans classified as troubled debt restructurings, which are not carried at fair value. | |||||||||||||||||||||||||||||||||||
Impaired commercial real estate loans, both owner occupied and non-owner occupied are valued by independent external appraisals. These external appraisals are prepared using the sales comparison approach and income approach valuation techniques. Management makes subsequent unobservable adjustments to the impaired loan appraisals. Impaired loans other than commercial real estate and other real estate owned are not considered material. | |||||||||||||||||||||||||||||||||||
The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at period ended September 30, 2013 and December 31, 2012: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Fair value | Valuation | Unobservable Input(s) | Range | |||||||||||||||||||||||||||||||
30-Sep-13 | Technique(s) | (Weighted Average) | |||||||||||||||||||||||||||||||||
Impaired loans | |||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 2,585 | Sales | Adjustment for | -0.9053 | ||||||||||||||||||||||||||||||
comparison | differences between | (-3.43%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
203 | Income | Adjustment for | -0.2657 | ||||||||||||||||||||||||||||||||
approach | differences in net | (-5.96%) | |||||||||||||||||||||||||||||||||
operating income | |||||||||||||||||||||||||||||||||||
Commercial | 703 | Sales | Adjustment for | -0.5859 | |||||||||||||||||||||||||||||||
comparison | differences between | -21.49% | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
Residential | 505 | Sales | Adjustment for | -0.7026 | |||||||||||||||||||||||||||||||
comparison | differences between | (-9.75%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Fair value | Valuation | Unobservable Input(s) | Range | |||||||||||||||||||||||||||||||
31-Dec-12 | Technique(s) | (Weighted Average) | |||||||||||||||||||||||||||||||||
Impaired loans | |||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 1,548 | Sales | Adjustment for | -11.30% - 14.12% | ||||||||||||||||||||||||||||||
comparison | differences between | (-4.38%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
155 | Income | Adjustment for | -28.36% - 19.40% | ||||||||||||||||||||||||||||||||
approach | differences in net | (-5.47%) | |||||||||||||||||||||||||||||||||
operating income | |||||||||||||||||||||||||||||||||||
Commercial | 869 | Sales | Adjustment for | -45.19% - 20.19% | |||||||||||||||||||||||||||||||
comparison | differences between | (-27.05%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
Residential | 43 | Sales | Adjustment for | -46.81% - 23.45% | |||||||||||||||||||||||||||||||
comparison | differences between | (-36.40%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
The carrying amounts and estimated fair values of financial instruments not previously disclosed at September 30, 2013 and December 31, 2012 are as follows: | |||||||||||||||||||||||||||||||||||
Fair Value Measurements at | |||||||||||||||||||||||||||||||||||
September 30, 2013 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||
Amount | |||||||||||||||||||||||||||||||||||
Financial assets | |||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 40,303 | $ | 13,690 | $ | 26,613 | $ | 0 | $ | 40,303 | |||||||||||||||||||||||||
Restricted stock | 4,224 | n/a | n/a | n/a | n/a | ||||||||||||||||||||||||||||||
Loans held for sale | 1,016 | 0 | 1,034 | 0 | 1,034 | ||||||||||||||||||||||||||||||
Loans, net | 603,980 | 0 | 0 | 610,718 | 610,718 | ||||||||||||||||||||||||||||||
Accrued interest receivable | 3,783 | 0 | 2,173 | 1,610 | 3,783 | ||||||||||||||||||||||||||||||
Financial liabilities | |||||||||||||||||||||||||||||||||||
Deposits | 903,410 | 675,349 | 229,627 | 0 | 904,976 | ||||||||||||||||||||||||||||||
Short-term borrowings | 98,243 | 0 | 98,243 | 0 | 98,243 | ||||||||||||||||||||||||||||||
Long-term borrowings | 20,079 | 0 | 20,872 | 0 | 20,872 | ||||||||||||||||||||||||||||||
Accrued interest payable | 455 | 2 | 453 | 0 | 455 | ||||||||||||||||||||||||||||||
Fair Value Measurements at | |||||||||||||||||||||||||||||||||||
December 31, 2012 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||
Amount | |||||||||||||||||||||||||||||||||||
Financial assets | |||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 37,759 | $ | 14,209 | $ | 23,550 | $ | 0 | $ | 37,759 | |||||||||||||||||||||||||
Restricted stock | 4,224 | n/a | n/a | n/a | n/a | ||||||||||||||||||||||||||||||
Loans held for sale | 3,624 | 0 | 3,691 | 0 | 3,691 | ||||||||||||||||||||||||||||||
Loans, net | 578,963 | 0 | 0 | 586,359 | 586,359 | ||||||||||||||||||||||||||||||
Accrued interest receivable | 3,679 | 0 | 2,051 | 1,628 | 3,679 | ||||||||||||||||||||||||||||||
Financial liabilities | |||||||||||||||||||||||||||||||||||
Deposits | 919,009 | 683,660 | 240,830 | 0 | 924,490 | ||||||||||||||||||||||||||||||
Short-term borrowings | 79,886 | 0 | 79,886 | 0 | 79,886 | ||||||||||||||||||||||||||||||
Long-term borrowings | 10,423 | 0 | 11,690 | 0 | 11,690 | ||||||||||||||||||||||||||||||
Accrued interest payable | 479 | 2 | 477 | 0 | 479 | ||||||||||||||||||||||||||||||
The methods and assumptions used to estimate fair value, not previously described, are described as follows: | |||||||||||||||||||||||||||||||||||
Cash and Cash Equivalents: The carrying amounts of cash and short-term instruments approximate fair values and are classified as either Level 1 or Level 2. The Company has determined that cash on hand and non-interest bearing due from bank accounts are Level 1 whereas interest bearing federal funds sold and other are Level 2. | |||||||||||||||||||||||||||||||||||
Restricted Stock: It is not practical to determine the fair value of restricted stock due to restrictions placed on its transferability. | |||||||||||||||||||||||||||||||||||
Loans: Fair values of loans, excluding loans held for sale, are estimated as follows: For variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values resulting in a Level 3 classification. Fair values for other loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality resulting in a Level 3 classification. Impaired loans are valued at the lower of cost or fair value as described previously. The methods utilized to estimate the fair value of loans do not necessarily represent an exit price. | |||||||||||||||||||||||||||||||||||
Loans held for sale: The fair value of loans held for sale is estimated based upon binding contracts and quotes from third party investors resulting in a Level 2 classification. | |||||||||||||||||||||||||||||||||||
Accrued Interest Receivable/Payable: The carrying amounts of accrued interest receivable and payable approximate fair value resulting in a Level 2 or Level 3 classification. The classification is the result of the association with securities, loans and deposits. | |||||||||||||||||||||||||||||||||||
Deposits: The fair values disclosed for demand deposits – interest and non-interest checking, passbook savings, and money market accounts – are, by definition, equal to the amount payable on demand at the reporting date resulting in a Level 1 classification. The carrying amounts of variable rate certificates of deposit approximate their fair values at the reporting date resulting in a Level 2 classification. Fair value for fixed rate certificates of deposit are estimated using a discounted cash flows calculation that applies interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities on time deposits resulting in a Level 2 classification. | |||||||||||||||||||||||||||||||||||
Short-term Borrowings: The carrying amounts of federal funds purchased, borrowings under repurchase agreements, and other short-term borrowings, generally maturing within ninety days, approximate their fair values resulting in a Level 2 classification. | |||||||||||||||||||||||||||||||||||
Long-term Borrowings: The fair values of the Company’s long-term borrowings are estimated using discounted cash flow analyses based on the current borrowing rates for similar types of borrowing arrangements resulting in a Level 2 classification. | |||||||||||||||||||||||||||||||||||
Off-balance Sheet Instruments: The fair value of commitments is not considered material. |
Segment_Information
Segment Information | 9 Months Ended | ||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||
Segment Information | ' | ||||||||||||||||||||||||||||
Segment Information: | |||||||||||||||||||||||||||||
The reportable segments are determined by the products and services offered, primarily distinguished between banking and trust operations. They are also distinguished by the level of information provided to the chief operating decision makers in the Company, who use such information to review performance of various components of the business, which are then aggregated. Loans, investments, and deposits provide the revenues in the banking operation, and trust service fees provide the revenue in trust operations. NAI is included in others. All operations are domestic. | |||||||||||||||||||||||||||||
Significant segment totals are reconciled to the financial statements as follows: | |||||||||||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
30-Sep-13 | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 591 | $ | 39,627 | $ | 85 | $ | 40,303 | |||||||||||||||||||||
Securities available for sale | 4,675 | 433,330 | 122 | 438,127 | |||||||||||||||||||||||||
Loans held for sale | 0 | 1,016 | 0 | 1,016 | |||||||||||||||||||||||||
Net loans | 0 | 603,980 | 0 | 603,980 | |||||||||||||||||||||||||
Premises and equipment, net | 97 | 17,400 | 70 | 17,567 | |||||||||||||||||||||||||
Goodwill and other intangibles | 5,738 | 0 | 4,808 | 10,546 | |||||||||||||||||||||||||
Other assets | 562 | 35,293 | 725 | 36,580 | |||||||||||||||||||||||||
Total Assets | $ | 11,663 | $ | 1,130,646 | $ | 5,810 | $ | 1,148,119 | |||||||||||||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||||||||||
Deposits, borrowings and other liabilities | $ | 640 | $ | 1,034,674 | $ | 281 | $ | 1,035,595 | |||||||||||||||||||||
Stockholders’ equity | 11,023 | 95,972 | 5,529 | 112,524 | |||||||||||||||||||||||||
Total Liabilities and Stockholders’ Equity | $ | 11,663 | $ | 1,130,646 | $ | 5,810 | $ | 1,148,119 | |||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 636 | $ | 37,191 | $ | (68 | ) | $ | 37,759 | ||||||||||||||||||||
Securities available for sale | 4,695 | 459,246 | 147 | 464,088 | |||||||||||||||||||||||||
Loans held for sale | 0 | 3,624 | 0 | 3,624 | |||||||||||||||||||||||||
Net loans | 0 | 578,963 | 0 | 578,963 | |||||||||||||||||||||||||
Premises and equipment, net | 100 | 18,329 | 0 | 18,429 | |||||||||||||||||||||||||
Goodwill and other intangibles | 6,032 | 0 | 0 | 6,032 | |||||||||||||||||||||||||
Other assets | 546 | 29,758 | 496 | 30,800 | |||||||||||||||||||||||||
Total Assets | $ | 12,009 | $ | 1,127,111 | $ | 575 | $ | 1,139,695 | |||||||||||||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||||||||||
Deposits, borrowings and other liabilities | $ | 302 | $ | 1,022,092 | $ | (3,491 | ) | $ | 1,018,903 | ||||||||||||||||||||
Stockholders’ equity | 11,707 | 105,019 | 4,066 | 120,792 | |||||||||||||||||||||||||
Total Liabilities and Stockholders’ Equity | $ | 12,009 | $ | 1,127,111 | $ | 575 | $ | 1,139,695 | |||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
For the Three Months Ended September 30, 2013 | |||||||||||||||||||||||||||||
Net interest income | $ | 11 | $ | 8,840 | $ | (3 | ) | $ | 8,848 | ||||||||||||||||||||
Provision for loan losses | 0 | 340 | 0 | 340 | |||||||||||||||||||||||||
Service fees, security gains and other noninterest income | 1,389 | 2,489 | 295 | 4,173 | |||||||||||||||||||||||||
Noninterest expense | 1,213 | 8,774 | 939 | 10,926 | |||||||||||||||||||||||||
Income before taxes | 187 | 2,215 | (647 | ) | 1,755 | ||||||||||||||||||||||||
Income taxes | 65 | 298 | (220 | ) | 143 | ||||||||||||||||||||||||
Net Income | $ | 122 | $ | 1,917 | $ | (427 | ) | $ | 1,612 | ||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
For the Nine Months Ended September 30, 2013 | |||||||||||||||||||||||||||||
Net interest income | $ | 34 | $ | 26,831 | $ | (10 | ) | $ | 26,855 | ||||||||||||||||||||
Provision for loan losses | 0 | 765 | 0 | 765 | |||||||||||||||||||||||||
Service fees, security gains and other noninterest income | 4,167 | 5,781 | 325 | 10,273 | |||||||||||||||||||||||||
Noninterest expense | 3,711 | 24,406 | 1,719 | 29,836 | |||||||||||||||||||||||||
Income before taxes | 490 | 7,441 | (1,404 | ) | 6,527 | ||||||||||||||||||||||||
Income taxes | 170 | 1,349 | (477 | ) | 1,042 | ||||||||||||||||||||||||
Net Income | $ | 320 | $ | 6,092 | $ | (927 | ) | $ | 5,485 | ||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
For the Three Months Ended September 30, 2012 | |||||||||||||||||||||||||||||
Net interest income | $ | 13 | $ | 9,091 | $ | (3 | ) | $ | 9,101 | ||||||||||||||||||||
Provision for loan losses | 0 | 325 | 0 | 325 | |||||||||||||||||||||||||
Service fees, security gains and other noninterest income | 1,347 | 1,973 | 47 | 3,367 | |||||||||||||||||||||||||
Noninterest expense | 1,215 | 7,373 | 308 | 8,896 | |||||||||||||||||||||||||
Income before taxes | 145 | 3,366 | (264 | ) | 3,247 | ||||||||||||||||||||||||
Income taxes | 51 | 797 | (90 | ) | 758 | ||||||||||||||||||||||||
Net Income | $ | 94 | $ | 2,569 | $ | (174 | ) | $ | 2,489 | ||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
For the Nine Months Ended September 30, 2012 | |||||||||||||||||||||||||||||
Net interest income | $ | 35 | $ | 27,624 | $ | (17 | ) | $ | 27,642 | ||||||||||||||||||||
Provision for loan losses | 0 | 725 | 0 | 725 | |||||||||||||||||||||||||
Service fees, security gains and other noninterest income | 4,166 | 4,728 | 58 | 8,952 | |||||||||||||||||||||||||
Noninterest expense | 3,742 | 21,793 | 809 | 26,344 | |||||||||||||||||||||||||
Income before taxes | 459 | 9,834 | (768 | ) | 9,525 | ||||||||||||||||||||||||
Income taxes | 161 | 2,330 | (261 | ) | 2,230 | ||||||||||||||||||||||||
Net Income | $ | 298 | $ | 7,504 | $ | (507 | ) | $ | 7,295 | ||||||||||||||||||||
Business_Combination
Business Combination | 9 Months Ended | ||||
Sep. 30, 2013 | |||||
Business Combination | ' | ||||
Business Combination: | |||||
On July 1, 2013, the Company completed the acquisition of all outstanding stock of the retirement planning consultancy National Associates, Inc. of Cleveland, Ohio. The transaction involved both cash and stock totaling $4.4 million, including up to $1.5 million of future payments, contingent upon NAI meeting income performance targets, with an estimated fair value at the acquisition date of $920,000. The fair market value of the contingent consideration was determined using the Monte Carlo Simulation. The simulation’s key assumptions included a two year period with an estimated volatility of 20%. Expected EBITDA had a base of 6% with a maximum 12% and a discount rate of 11.9%. The acquisition is part of the Company’s plan to increase the levels of noninterest income and to complement the existing retirement services currently being offered. Acquisition-related costs of $9 thousand and $270 thousand are included in the Company’s consolidated income statements for the three and nine month periods ended September 30, 2013. | |||||
Goodwill of $2.6 million, which is recorded on the balance sheet of NAI, arising from the acquisition consisted largely of synergies and the cost savings resulting from the combining of the operations of the companies. The goodwill is not expected to be deductible for income tax purposes. The fair value of other intangible assets of $2.3 million is related to client relationships, company name and noncompetition agreements. The following table summarizes the consideration paid for NAI and the amounts of the assets acquired and liabilities assumed. All amounts are subject to certain adjustments contained in the purchase agreement. | |||||
(In Thousands of Dollars) | |||||
Consideration | |||||
Cash | $ | 2,100 | |||
Stock | 1,400 | ||||
Contingent consideration | 920 | ||||
Fair value of total consideration transferred | 4,420 | ||||
Assets acquired and liabilities assumed | |||||
Cash | 28 | ||||
Accounts receivable | 300 | ||||
Premises and equipment | 50 | ||||
Other assets | 1 | ||||
Total assets acquired | 379 | ||||
Liabilities assumed | 81 | ||||
Net assets acquired | $ | 298 | |||
Assets and liabilities arising from acquisition | |||||
Identified intangible assets | 2,290 | ||||
Deferred tax liability | (802 | ) | |||
Goodwill | 2,634 | ||||
Net assets acquired from acquisition | $ | 4,420 | |||
NAI contributed $279 thousand of gross revenues to the Company with a resulting net loss of $98 thousand during the three month period ended September 30, 2013. Net income of the Company would not have been materially affected if the acquisition occurred at the beginning of the nine month period ended September 30, 2013. |
Subsequent_Event
Subsequent Event | 9 Months Ended |
Sep. 30, 2013 | |
Subsequent Event | ' |
Subsequent Event: | |
Management of the Company has focused on increasing the levels of noninterest income and reducing the level of noninterest expenses. In addition to the acquisition of NAI, another step in this process was the decision to close two retail branch locations in Leetonia and Warren, Ohio. With declining branch transaction counts and banking trends driving customers towards online banking, the two branches were underutilized. Management is evaluating the financial statement impact of the closures but does not expect losses, if any, to be material. Efficiencies will be gained as these branches sit in close proximity to other branch locations. The two branches were closed on October 1, 2013. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Principles of Consolidation | ' |
Principles of Consolidation: | |
Farmers National Banc Corp. (“Company”) is a one-bank holding company registered under the Bank Holding Company Act of 1956, as amended. The Company provides full banking services through its nationally chartered subsidiary, The Farmers National Bank of Canfield (“Bank”). The Company provides trust services through its subsidiary, Farmers Trust Company (“Trust”), and insurance services through the Bank’s subsidiary, Farmers National Insurance. On July 1, 2013 the Company acquired National Associates, Inc. (“NAI”), a retirement plan consulting firm located in Cleveland, Ohio. Therefore the Company now provides retirement consulting services through NAI. The consolidated financial statements include the accounts of the Company, the Bank and its subsidiary, along with the Trust and NAI. All significant intercompany balances and transactions have been eliminated in the consolidation. | |
Basis of Presentation | ' |
Basis of Presentation: | |
The unaudited condensed consolidated financial statements have been prepared in conformity with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. The financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s 2012 Annual Report to Shareholders included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012. The interim consolidated financial statements include all adjustments (consisting of only normal recurring items) that, in the opinion of management, are necessary for a fair presentation of the financial position and results of operations for the periods presented. The results of operations for the interim periods disclosed herein are not necessarily indicative of the results that may be expected for a full year. Certain items included in the prior period financial statements were reclassified to conform to the current period presentation. There was no effect on net income or total stockholders’ equity. | |
Estimates | ' |
Estimates: | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The allowance for loan losses, deferred tax assets, carrying amount of goodwill and fair values of financial instruments are particularly subject to change. | |
Segments | ' |
Segments: | |
The Company provides a broad range of financial services to individuals and companies in northeastern Ohio. While the Company’s chief decision makers monitor the revenue streams of the various products and services, operations are managed and financial performance is primarily aggregated and reported in two lines of business, the Bank segment and the Trust segment. The NAI segment was not considered material at September 30, 2013 and was therefore not presented as a separate segment. | |
Comprehensive Income (Loss) | ' |
Comprehensive Income (Loss): | |
Comprehensive income (loss) consists of net income and other comprehensive income (loss). Other comprehensive income (loss) consists of unrealized gains and losses on securities available for sale and changes in the funded status of the post-retirement health plan, which are recognized as separate components of equity, net of tax effects. For the three and nine month periods ended September 30, 2013, there was no change in the funded status of the plan. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements: | |
In February 2013, the Fair Accounting Standards Board (“FASB”) issued Accounting Standards Update 2013-02 (the “ASU”) with the primary objective of improving the reporting of reclassifications out of accumulated other comprehensive income (“AOCI”). For significant reclassifications that are required to be presented in their entirety in net income in the same reporting period by U.S. Generally Accepted Accounting Principles (U.S. GAAP), the ASU requires an entity to report the effect of these reclassifications out of AOCI on the respective line items of net income either on the face of the statement that reports net income or in the financial statement notes. For AOCI items that are not reclassified to net income in their entirety, presentation in the financial statement notes is required. The Company has adopted this ASU beginning with periods ended March 31, 2013, by adding an additional footnote disclosure to the consolidated financial statements. |
Securities_Tables
Securities (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||
Summary the Amortized Cost and Fair Value of Available-for-Sale Investment Securities Corresponding Amounts of Unrealized Gains and Losses | ' | ||||||||||||||||||||||||||||||||||||||||||
The following table summarizes the amortized cost and fair value of the available-for-sale investment securities portfolio at September 30, 2013 and December 31, 2012 and the corresponding amounts of unrealized gains and losses recognized in accumulated other comprehensive income: | |||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Amortized | Gross | Gross | Fair Value | |||||||||||||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 54,751 | $ | 889 | $ | (404 | ) | $ | 55,236 | ||||||||||||||||||||||||||||||||||
State and political subdivisions | 106,937 | 1,889 | (2,551 | ) | 106,275 | ||||||||||||||||||||||||||||||||||||||
Corporate bonds | 1,541 | 1 | (17 | ) | 1,525 | ||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities - residential | 223,966 | 1,591 | (4,437 | ) | 221,120 | ||||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 31,336 | 156 | (1,864 | ) | 29,628 | ||||||||||||||||||||||||||||||||||||||
Small business administration | 26,153 | 2 | (1,933 | ) | 24,222 | ||||||||||||||||||||||||||||||||||||||
Equity securities | 60 | 64 | (3 | ) | 121 | ||||||||||||||||||||||||||||||||||||||
Totals | $ | 444,744 | $ | 4,592 | $ | (11,209 | ) | $ | 438,127 | ||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Amortized | Gross | Gross | Fair Value | |||||||||||||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | |||||||||||||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 66,378 | $ | 1,601 | $ | (1 | ) | $ | 67,978 | ||||||||||||||||||||||||||||||||||
State and political subdivisions | 90,466 | 5,067 | (245 | ) | 95,288 | ||||||||||||||||||||||||||||||||||||||
Corporate bonds | 2,123 | 12 | (7 | ) | 2,128 | ||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities - residential | 231,582 | 5,112 | (476 | ) | 236,218 | ||||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 40,333 | 336 | (74 | ) | 40,595 | ||||||||||||||||||||||||||||||||||||||
Small business administration | 21,432 | 74 | (62 | ) | 21,444 | ||||||||||||||||||||||||||||||||||||||
Equity securities | 139 | 303 | (5 | ) | 437 | ||||||||||||||||||||||||||||||||||||||
Totals | $ | 452,453 | $ | 12,505 | $ | (870 | ) | $ | 464,088 | ||||||||||||||||||||||||||||||||||
Amortized Cost and Fair Value of the Debt Securities Maturity | ' | ||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Amortized | Fair | |||||||||||||||||||||||||||||||||||||||||
Cost | Value | ||||||||||||||||||||||||||||||||||||||||||
Maturity | |||||||||||||||||||||||||||||||||||||||||||
Within one year | $ | 13,179 | $ | 13,303 | |||||||||||||||||||||||||||||||||||||||
One to five years | 79,638 | 80,478 | |||||||||||||||||||||||||||||||||||||||||
Five to ten years | 50,514 | 49,774 | |||||||||||||||||||||||||||||||||||||||||
Beyond ten years | 19,898 | 19,481 | |||||||||||||||||||||||||||||||||||||||||
Mortgage-backed, CMO and SBA securities | 281,455 | 274,970 | |||||||||||||||||||||||||||||||||||||||||
Total | $ | 444,684 | $ | 438,006 | |||||||||||||||||||||||||||||||||||||||
Investment Securities with Unrealized Losses | ' | ||||||||||||||||||||||||||||||||||||||||||
The following table summarizes the investment securities with unrealized losses at September 30, 2013 and December 31, 2012, aggregated by major security type and length of time in a continuous unrealized loss position. Unrealized losses for small business administration securities rounded to less than $1 thousand in 2013 and 2012. In addition, unrealized losses for mortgage-backed securities – residential, rounded to less than $1 thousand in 2012. | |||||||||||||||||||||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Longer | Total | |||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||||||||||||||||||||
Value | Losses | Value | Losses | Value | Losses | ||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||
Available-for-sale | |||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 21,226 | $ | (404 | ) | $ | 0 | $ | 0 | $ | 21,226 | $ | (404 | ) | |||||||||||||||||||||||||||||
State and political subdivisions | 36,377 | (2,551 | ) | 0 | 0 | 36,377 | (2,551 | ) | |||||||||||||||||||||||||||||||||||
Corporate bonds | 1,275 | (17 | ) | 0 | 0 | 1,275 | (17 | ) | |||||||||||||||||||||||||||||||||||
Mortgage-backed securities – residential | 95,361 | (3,005 | ) | 31,293 | (1,432 | ) | 126,654 | (4,437 | ) | ||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 21,306 | (1,864 | ) | 0 | 0 | 21,306 | (1,864 | ) | |||||||||||||||||||||||||||||||||||
Small business administration | 24,121 | (1,933 | ) | 8 | 0 | 24,129 | (1,933 | ) | |||||||||||||||||||||||||||||||||||
Equity securities | 0 | 0 | 9 | (3 | ) | 9 | (3 | ) | |||||||||||||||||||||||||||||||||||
Total | $ | 199,666 | $ | (9,774 | ) | $ | 31,310 | $ | (1,435 | ) | $ | 230,976 | $ | (11,209 | ) | ||||||||||||||||||||||||||||
Less Than 12 Months | 12 Months or Longer | Total | |||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | |||||||||||||||||||||||||||||||||||||
Value | Losses | Value | Losses | Value | Losses | ||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||
Available-for-sale | |||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 5,490 | $ | (1 | ) | $ | 0 | $ | 0 | $ | 5,490 | $ | (1 | ) | |||||||||||||||||||||||||||||
State and political subdivisions | 12,079 | (245 | ) | 0 | 0 | 12,079 | (245 | ) | |||||||||||||||||||||||||||||||||||
Corporate bonds | 887 | (7 | ) | 0 | 0 | 887 | (7 | ) | |||||||||||||||||||||||||||||||||||
Mortgage-backed securities – residential | 97,598 | (476 | ) | 52 | 0 | 97,650 | (476 | ) | |||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 23,132 | (74 | ) | 0 | 0 | 23,132 | (74 | ) | |||||||||||||||||||||||||||||||||||
Small business administration | 7,853 | (62 | ) | 37 | 0 | 7,890 | (62 | ) | |||||||||||||||||||||||||||||||||||
Equity securities | 0 | 0 | 8 | (5 | ) | 8 | (5 | ) | |||||||||||||||||||||||||||||||||||
Total | $ | 147,039 | $ | (865 | ) | $ | 97 | $ | (5 | ) | $ | 147,136 | $ | (870 | ) | ||||||||||||||||||||||||||||
Loans_Tables
Loans (Tables) | 9 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Loan Balances | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||
Loan balances were as follows: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | September 30, | December 31, | ||||||||||||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 84,484 | $ | 95,208 | ||||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 96,630 | 83,405 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other | 19,888 | 22,729 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 108,758 | 97,112 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 139,581 | 132,665 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 26,151 | 24,110 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Indirect | 120,607 | 116,471 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Direct | 10,526 | 11,160 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other | 2,606 | 1,767 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 609,231 | 584,627 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net deferred loan costs | 2,118 | 1,965 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | (7,369 | ) | (7,629 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Net loans | $ | 603,980 | $ | 578,963 | ||||||||||||||||||||||||||||||||||||||||||||||||
Activity in the Allowance for Loan Losses by Portfolio Segment | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||
The following tables present the activity in the allowance for loan losses by portfolio segment for the three and nine month periods ended September 30, 2013 and 2012: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 3,050 | $ | 1,431 | $ | 1,751 | $ | 1,180 | $ | 178 | $ | 7,590 | ||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | (213 | ) | (14 | ) | 171 | 398 | (2 | ) | 340 | |||||||||||||||||||||||||||||||||||||||||||
Loans charged off | (219 | ) | 0 | (135 | ) | (561 | ) | 0 | (915 | ) | ||||||||||||||||||||||||||||||||||||||||||
Recoveries | 33 | 38 | 26 | 257 | 0 | 354 | ||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 2,651 | $ | 1,455 | $ | 1,813 | $ | 1,274 | $ | 176 | $ | 7,369 | ||||||||||||||||||||||||||||||||||||||||
Nine Months Ended September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 3,392 | $ | 1,453 | $ | 1,569 | $ | 951 | $ | 264 | $ | 7,629 | ||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | (606 | ) | (87 | ) | 508 | 1,038 | (88 | ) | 765 | |||||||||||||||||||||||||||||||||||||||||||
Loans charged off | (300 | ) | (80 | ) | (303 | ) | (1,351 | ) | 0 | (2,034 | ) | |||||||||||||||||||||||||||||||||||||||||
Recoveries | 165 | 169 | 39 | 636 | 0 | 1,009 | ||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 2,651 | $ | 1,455 | $ | 1,813 | $ | 1,274 | $ | 176 | $ | 7,369 | ||||||||||||||||||||||||||||||||||||||||
Three Months Ended September 30, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 4,626 | $ | 1,752 | $ | 1,607 | $ | 1,020 | $ | 43 | $ | 9,048 | ||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | (142 | ) | 205 | 33 | 99 | 130 | 325 | |||||||||||||||||||||||||||||||||||||||||||||
Loans charged off | (446 | ) | (187 | ) | (49 | ) | (256 | ) | 0 | (938 | ) | |||||||||||||||||||||||||||||||||||||||||
Recoveries | 23 | 9 | 21 | 137 | 0 | 190 | ||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 4,061 | $ | 1,779 | $ | 1,612 | $ | 1,000 | $ | 173 | $ | 8,625 | ||||||||||||||||||||||||||||||||||||||||
Nine Months Ended September 30, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | 4,880 | $ | 1,529 | $ | 1,802 | $ | 972 | $ | 637 | $ | 9,820 | ||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | (87 | ) | 610 | 414 | 252 | (464 | ) | 725 | ||||||||||||||||||||||||||||||||||||||||||||
Loans charged off | (814 | ) | (400 | ) | (657 | ) | (703 | ) | 0 | (2,574 | ) | |||||||||||||||||||||||||||||||||||||||||
Recoveries | 82 | 40 | 53 | 479 | 0 | 654 | ||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | 4,061 | $ | 1,779 | $ | 1,612 | $ | 1,000 | $ | 173 | $ | 8,625 | ||||||||||||||||||||||||||||||||||||||||
Allowance for Loan Losses and the Recorded Investment in Loans by Portfolio Segment and Based on Impairment Method | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||
The following tables present the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of September 30, 2013 and December 31, 2012. The recorded investment in loans includes the unpaid principal balance and unamortized loan origination fees and costs, but excludes accrued interest receivable, which is not considered to be material: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending allowance balance attributable to loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 245 | $ | 279 | $ | 0 | $ | 0 | $ | 0 | $ | 524 | ||||||||||||||||||||||||||||||||||||||||
Collectively evaluated for impairment | 2,406 | 1,176 | 1,813 | 1,274 | 176 | 6,845 | ||||||||||||||||||||||||||||||||||||||||||||||
Total ending allowance balance | $ | 2,651 | $ | 1,455 | $ | 1,813 | $ | 1,274 | $ | 176 | $ | 7,369 | ||||||||||||||||||||||||||||||||||||||||
Loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 7,173 | $ | 2,625 | $ | 2,398 | $ | 0 | $ | 0 | $ | 12,196 | ||||||||||||||||||||||||||||||||||||||||
Loans collectively evaluated for impairment | 192,999 | 106,133 | 162,804 | 137,217 | 0 | 599,153 | ||||||||||||||||||||||||||||||||||||||||||||||
Total ending loans balance | $ | 200,172 | $ | 108,758 | $ | 165,202 | $ | 137,217 | $ | 0 | $ | 611,349 | ||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Commercial | Commercial | Residential | Consumer | Unallocated | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | Real Estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending allowance balance attributable to loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 129 | $ | 51 | $ | 0 | $ | 0 | $ | 0 | $ | 180 | ||||||||||||||||||||||||||||||||||||||||
Collectively evaluated for impairment | 3,263 | 1,402 | 1,569 | 951 | 264 | 7,449 | ||||||||||||||||||||||||||||||||||||||||||||||
Total ending allowance balance | $ | 3,392 | $ | 1,453 | $ | 1,569 | $ | 951 | $ | 264 | $ | 7,629 | ||||||||||||||||||||||||||||||||||||||||
Loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 8,535 | $ | 1,852 | $ | 989 | $ | 0 | $ | 0 | $ | 11,376 | ||||||||||||||||||||||||||||||||||||||||
Loans collectively evaluated for impairment | 192,116 | 95,260 | 155,193 | 132,647 | 0 | 575,216 | ||||||||||||||||||||||||||||||||||||||||||||||
Total ending loans balance | $ | 200,651 | $ | 97,112 | $ | 156,182 | $ | 132,647 | $ | 0 | $ | 586,592 | ||||||||||||||||||||||||||||||||||||||||
Loans Individually Evaluated for Impairment by Class of Loans | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||
The following tables present information related to impaired loans by class of loans as of September 30, 2013 and December 31, 2012: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Unpaid | Recorded | Allowance for | |||||||||||||||||||||||||||||||||||||||||||||||||
Principal | Investment | Loan Losses | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance | Allocated | |||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 2,554 | $ | 2,423 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 518 | 418 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 2,091 | 2,057 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 2,261 | 2,147 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 261 | 251 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 7,685 | 7,296 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | 2,963 | 2,727 | 220 | |||||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 1,605 | 1,605 | 25 | |||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 568 | 568 | 279 | |||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 5,136 | 4,900 | 524 | |||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 12,821 | $ | 12,196 | $ | 524 | ||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Unpaid | Recorded | Allowance for | |||||||||||||||||||||||||||||||||||||||||||||||||
Principal | Investment | Loan Losses | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance | Allocated | |||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 3,916 | $ | 3,481 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 560 | 461 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 1,250 | 1,192 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 971 | 989 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 6,697 | 6,123 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | 2,207 | 2,169 | 59 | |||||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 2,560 | 2,424 | 70 | |||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 948 | 660 | 51 | |||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 5,715 | 5,253 | 180 | |||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 12,412 | $ | 11,376 | $ | 180 | ||||||||||||||||||||||||||||||||||||||||||||||
Average Recorded Investment | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||
The following table presents the average recorded investment in impaired loans by class for the three and nine month periods ended September 30, 2013 and 2012: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Average Recorded Investment for | Average Recorded Investment for | ||||||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 2,557 | $ | 1,558 | $ | 2,533 | $ | 974 | ||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 421 | 219 | 454 | 458 | ||||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 152 | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 1,597 | 934 | 1,485 | 960 | ||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 2,125 | 769 | 1,349 | 718 | ||||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 215 | 0 | 192 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 6,915 | 3,480 | 6,013 | 3,262 | ||||||||||||||||||||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | 2,498 | 4,241 | 2,714 | 4,391 | ||||||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 1,612 | 2,717 | 1,816 | 2,384 | ||||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 91 | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 253 | 688 | 295 | 495 | ||||||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 4,363 | 7,646 | 4,825 | 7,361 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 11,278 | $ | 11,126 | $ | 10,838 | $ | 10,623 | ||||||||||||||||||||||||||||||||||||||||||||
Schedule of Investment in Nonaccrual and Loans Past Due 90 Days or More Still on Accrual by Class of Loans | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||
The following table presents the recorded investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans as of September 30, 2013 and December 31, 2012: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Nonaccrual | Loans Past | Nonaccrual | Loans Past | ||||||||||||||||||||||||||||||||||||||||||||||||
Due 90 Days | Due 90 Days | |||||||||||||||||||||||||||||||||||||||||||||||||||
or More Still | or More Still | |||||||||||||||||||||||||||||||||||||||||||||||||||
Accruing | Accruing | |||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 2,933 | $ | 0 | $ | 3,116 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 416 | 0 | 799 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 2,143 | 0 | 1,081 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 2,607 | 618 | 2,342 | 197 | ||||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 286 | 0 | 294 | 236 | ||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Indirect | 0 | 82 | 0 | 143 | ||||||||||||||||||||||||||||||||||||||||||||||||
Direct | 0 | 14 | 0 | 19 | ||||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 7 | 0 | 1 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 8,385 | $ | 721 | $ | 7,632 | $ | 596 | ||||||||||||||||||||||||||||||||||||||||||||
Schedule of Investment in Past Due Loans | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||
The following table presents the aging of the recorded investment in past due loans as of September 30, 2013 and December 31, 2012 by class of loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | 30-59 | 60-89 | 90 Days or | Total Past | Loans Not | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Days Past | Days | More Past | Due | Past Due | ||||||||||||||||||||||||||||||||||||||||||||||||
Due | Past Due | Due and | ||||||||||||||||||||||||||||||||||||||||||||||||||
Nonaccrual | ||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 48 | $ | 8 | $ | 2,933 | $ | 2,989 | $ | 81,146 | $ | 84,135 | ||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 17 | 0 | 416 | 433 | 95,798 | 96,231 | ||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 0 | 19,806 | 19,806 | ||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 0 | 50 | 2,143 | 2,193 | 106,565 | 108,758 | ||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 206 | 0 | 3,225 | 3,431 | 135,620 | 139,051 | ||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 26 | 0 | 286 | 312 | 25,839 | 26,151 | ||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Indirect | 1,376 | 248 | 82 | 1,706 | 122,379 | 124,085 | ||||||||||||||||||||||||||||||||||||||||||||||
Direct | 109 | 17 | 14 | 140 | 10,386 | 10,526 | ||||||||||||||||||||||||||||||||||||||||||||||
Other | 26 | 12 | 7 | 45 | 2,561 | 2,606 | ||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,808 | $ | 335 | $ | 9,106 | $ | 11,249 | $ | 600,100 | $ | 611,349 | ||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | 30-59 | 60-89 | 90 Days or | Total Past | Loans Not | Total | ||||||||||||||||||||||||||||||||||||||||||||||
Days Past | Days | More Past | Due | Past Due | ||||||||||||||||||||||||||||||||||||||||||||||||
Due | Past Due | Due and | ||||||||||||||||||||||||||||||||||||||||||||||||||
Nonaccrual | ||||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 259 | $ | 0 | $ | 3,116 | $ | 3,375 | $ | 91,506 | $ | 94,881 | ||||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 0 | 0 | 799 | 799 | 82,320 | 83,119 | ||||||||||||||||||||||||||||||||||||||||||||||
Other | 0 | 0 | 0 | 0 | 22,651 | 22,651 | ||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 233 | 15 | 1,081 | 1,329 | 95,783 | 97,112 | ||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1-4 family residential | 718 | 352 | 2,539 | 3,609 | 128,463 | 132,072 | ||||||||||||||||||||||||||||||||||||||||||||||
Home equity lines of credit | 183 | 82 | 530 | 795 | 23,315 | 24,110 | ||||||||||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Indirect | 1,351 | 319 | 143 | 1,813 | 117,907 | 119,720 | ||||||||||||||||||||||||||||||||||||||||||||||
Direct | 144 | 18 | 19 | 181 | 10,979 | 11,160 | ||||||||||||||||||||||||||||||||||||||||||||||
Other | 15 | 13 | 1 | 29 | 1,738 | 1,767 | ||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 2,903 | $ | 799 | $ | 8,228 | $ | 11,930 | $ | 574,662 | $ | 586,592 | ||||||||||||||||||||||||||||||||||||||||
Troubled_Debt_Restructurings_T
Troubled Debt Restructurings (Tables) | 9 Months Ended | ||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||
Schedule of Loans By Class Modified as Troubled Debt Restructurings | ' | ||||||||||||||||||
The following table presents loans by class modified as troubled debt restructurings that occurred during the three and nine month periods ended September 30, 2013 and 2012: | |||||||||||||||||||
Three Months Ended September 30, 2013 | |||||||||||||||||||
(In Thousands of Dollars) | Number of | Pre-Modification | Post-Modification | ||||||||||||||||
Loans | Outstanding Recorded | Outstanding Recorded | |||||||||||||||||
Investment | Investment | ||||||||||||||||||
Troubled Debt Restructurings: | |||||||||||||||||||
Residential real estate | |||||||||||||||||||
1-4 family residential | 1 | $ | 10 | $ | 10 | ||||||||||||||
HELOC | 1 | 56 | 56 | ||||||||||||||||
Total | 2 | $ | 66 | $ | 66 | ||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||||
Number of | Pre-Modification | Post-Modification | |||||||||||||||||
Loans | Outstanding Recorded | Outstanding Recorded | |||||||||||||||||
Investment | Investment | ||||||||||||||||||
Troubled Debt Restructurings: | |||||||||||||||||||
Commercial real estate | |||||||||||||||||||
Owner occupied | 2 | $ | 226 | $ | 239 | ||||||||||||||
Commercial | 5 | 649 | 682 | ||||||||||||||||
Residential real estate | |||||||||||||||||||
1-4 family residential | 2 | 18 | 18 | ||||||||||||||||
HELOC | 5 | 214 | 214 | ||||||||||||||||
Total | 14 | $ | 1,107 | $ | 1,153 | ||||||||||||||
Three Months Ended September 30, 2012 | |||||||||||||||||||
Number of | Pre-Modification | Post-Modification | |||||||||||||||||
Loans | Outstanding Recorded | Outstanding Recorded | |||||||||||||||||
Investment | Investment | ||||||||||||||||||
Troubled Debt Restructurings: | |||||||||||||||||||
Commercial real estate | |||||||||||||||||||
Owner occupied | 1 | $ | 356 | $ | 374 | ||||||||||||||
Commercial | 1 | 74 | 100 | ||||||||||||||||
Residential real estate | |||||||||||||||||||
1-4 family residential | 3 | 234 | 234 | ||||||||||||||||
Total | 5 | $ | 664 | $ | 708 | ||||||||||||||
Nine Months Ended September 30, 2012 | |||||||||||||||||||
Number of | Pre-Modification | Post-Modification | |||||||||||||||||
Loans | Outstanding Recorded | Outstanding Recorded | |||||||||||||||||
Investment | Investment | ||||||||||||||||||
Troubled Debt Restructurings: | |||||||||||||||||||
Commercial real estate | |||||||||||||||||||
Owner occupied | 3 | $ | 1,143 | $ | 1,166 | ||||||||||||||
Non-owner occupied | 3 | 2,376 | 2,419 | ||||||||||||||||
Commercial | 1 | 74 | 100 | ||||||||||||||||
Residential real estate | |||||||||||||||||||
1-4 family residential | 4 | 286 | 286 | ||||||||||||||||
Total | 11 | $ | 3,879 | $ | 3,971 | ||||||||||||||
Credit_Quality_Indicators_Tabl
Credit Quality Indicators (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Risk Category of Loans by Class of Loans | ' | ||||||||||||||||||||||||||||||||||||||||||||||||||
As of September 30, 2013 and December 31, 2012, and based on the most recent analysis performed, the risk category of loans by class of loans is as follows: | |||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Pass | Special | Sub- | Doubtful | Not Rated | Total | |||||||||||||||||||||||||||||||||||||||||||||
Mention | standard | ||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 70,512 | $ | 7,419 | $ | 6,204 | $ | 0 | $ | 0 | $ | 84,135 | |||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 87,290 | 5,993 | 2,948 | 0 | 0 | 96,231 | |||||||||||||||||||||||||||||||||||||||||||||
Other | 19,459 | 0 | 347 | 0 | 0 | 19,806 | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 102,417 | 2,363 | 3,978 | 0 | 0 | 108,758 | |||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 279,678 | $ | 15,775 | $ | 13,477 | $ | 0 | $ | 0 | $ | 308,930 | |||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Pass | Special | Sub- | Doubtful | Not Rated | Total | |||||||||||||||||||||||||||||||||||||||||||||
Mention | standard | ||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||||||||||||||||||||||||||||
Owner occupied | $ | 78,327 | $ | 5,954 | $ | 10,600 | $ | 0 | $ | 0 | $ | 94,881 | |||||||||||||||||||||||||||||||||||||||
Non-owner occupied | 72,270 | 6,519 | 4,330 | 0 | 0 | 83,119 | |||||||||||||||||||||||||||||||||||||||||||||
Other | 17,855 | 4,433 | 363 | 0 | 0 | 22,651 | |||||||||||||||||||||||||||||||||||||||||||||
Commercial | 89,312 | 3,891 | 3,909 | 0 | 0 | 97,112 | |||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 257,764 | $ | 20,797 | $ | 19,202 | $ | 0 | $ | 0 | $ | 297,763 | |||||||||||||||||||||||||||||||||||||||
Investment in Residential, Consumer and Indirect Auto Loans Based on Payment Activity | ' | ||||||||||||||||||||||||||||||||||||||||||||||||||
The following table presents the recorded investment in residential, consumer indirect and direct auto loans based on payment activity as of September 30, 2013 and December 31, 2012. Nonperforming loans are loans past due 90 days or more and still accruing interest and nonaccrual loans. | |||||||||||||||||||||||||||||||||||||||||||||||||||
Residential Real Estate | Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | 1-4 Family | Home | Indirect | Direct | Other | ||||||||||||||||||||||||||||||||||||||||||||||
Residential | Equity Lines | ||||||||||||||||||||||||||||||||||||||||||||||||||
of Credit | |||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Performing | $ | 135,826 | $ | 25,865 | $ | 124,003 | $ | 10,512 | $ | 2,599 | |||||||||||||||||||||||||||||||||||||||||
Nonperforming | 3,225 | 286 | 82 | 14 | 7 | ||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 139,051 | $ | 26,151 | $ | 124,085 | $ | 10,526 | $ | 2,606 | |||||||||||||||||||||||||||||||||||||||||
Residential Real Estate | Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | 1-4 Family | Home | Indirect | Direct | Other | ||||||||||||||||||||||||||||||||||||||||||||||
Residential | Equity Lines | ||||||||||||||||||||||||||||||||||||||||||||||||||
of Credit | |||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Performing | $ | 129,533 | $ | 23,580 | $ | 119,577 | $ | 11,141 | $ | 1,766 | |||||||||||||||||||||||||||||||||||||||||
Nonperforming | 2,539 | 530 | 143 | 19 | 1 | ||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 132,072 | $ | 24,110 | $ | 119,720 | $ | 11,160 | $ | 1,767 | |||||||||||||||||||||||||||||||||||||||||
Interest_Rate_Swaps_Tables
Interest Rate Swaps (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Summary Information about Interest-Rate Swaps | ' | |||||||||||
Summary information about these interest-rate swaps at periods ended September 30, 2013 and December 31, 2012 is as follows: | ||||||||||||
(In Thousands of Dollars) | September 30, 2013 | December 31, 2012 | ||||||||||
Notional amounts | $ | 16,548 | $ | 7,060 | ||||||||
Weighted average fixed pay rate on interest-rate swaps | 4.19 | % | 4.07 | % | ||||||||
Weighted average variable receive rate on interest-rate swaps | 3.08 | % | 2.99 | % | ||||||||
Weighted average maturity (years) | 4.3 | 5.8 | ||||||||||
Fair value of combined interest-rate swaps | $ | 160 | $ | 120 | ||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Computation of Basic and Diluted Earnings Per Share | ' | |||||||||||||||||||
The computation of basic and diluted earnings per share is shown in the following table: | ||||||||||||||||||||
(In Thousands, except Share and Per Share Data) | Three Months Ended | Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Basic EPS computation | ||||||||||||||||||||
Numerator – Net income | $ | 1,612 | $ | 2,489 | $ | 5,485 | $ | 7,295 | ||||||||||||
Denominator – Weighted average shares outstanding | 18,775,980 | 18,802,269 | 18,772,664 | 18,789,449 | ||||||||||||||||
Basic earnings per share | $ | . 09 | $ | .13 | $ | .29 | $ | .39 | ||||||||||||
Diluted EPS computation | ||||||||||||||||||||
Numerator – Net income | $ | 1,612 | $ | 2,489 | $ | 5,485 | $ | 7,295 | ||||||||||||
Denominator – Weighted average shares outstanding for basic earnings per share | 18,775,980 | 18,802,269 | 18,772,664 | 18,789,449 | ||||||||||||||||
Effect of Stock Options | 0 | 0 | 0 | 0 | ||||||||||||||||
Weighted averages shares for diluted earnings per share | 18,775,980 | 18,802,269 | 18,772,664 | 18,789,449 | ||||||||||||||||
Diluted earnings per share | $ | . 09 | $ | .13 | $ | .29 | $ | . 39 | ||||||||||||
Other_Comprehensive_Income_Los1
Other Comprehensive Income (Loss) (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Schedule of Other Comprehensive Income (Loss) | ' | |||||||||||||||
The following table represents the detail of other comprehensive income (loss) for the three and nine month periods ended September 30, 2013 and 2012. | ||||||||||||||||
Three months ended September 30, 2013 | ||||||||||||||||
(In Thousands of Dollars) | Pre-tax | Tax | After-tax | |||||||||||||
Unrealized holding losses on available-for-sale securities during the period | $ | (5,939 | ) | $ | 2,077 | $ | (3,862 | ) | ||||||||
Reclassification adjustment for (gains) losses included in net income (1) | (597 | ) | 209 | (388 | ) | |||||||||||
Net unrealized losses on available-for-sale securities | $ | (6,536 | ) | $ | 2,286 | $ | (4,250 | ) | ||||||||
Nine months ended September 30, 2013 | ||||||||||||||||
(In Thousands of Dollars) | Pre-tax | Tax | After-tax | |||||||||||||
Unrealized holding losses on available-for-sale securities during the period | $ | (17,399 | ) | $ | 6,090 | $ | (11,309 | ) | ||||||||
Reclassification adjustment for (gains) losses included in net income (1) | (853 | ) | 298 | (555 | ) | |||||||||||
Net unrealized losses on available-for-sale securities | $ | (18,252 | ) | $ | 6,388 | $ | (11,864 | ) | ||||||||
Three months ended September 30, 2012 | ||||||||||||||||
(In Thousands of Dollars) | Pre-tax | Tax | After-tax | |||||||||||||
Unrealized holding gains on available-for-sale securities during the period | $ | 695 | $ | (243 | ) | $ | 452 | |||||||||
Reclassification adjustment for (gains) losses included in net income (1) | (473 | ) | 166 | (307 | ) | |||||||||||
Net unrealized gains on available-for-sale securities | $ | 222 | $ | (77 | ) | $ | 145 | |||||||||
Nine months ended September 30, 2012 | ||||||||||||||||
(In Thousands of Dollars) | Pre-tax | Tax | After-tax | |||||||||||||
Unrealized holding gains on available-for-sale securities during the period | $ | 2,438 | $ | (853 | ) | $ | 1,585 | |||||||||
Reclassification adjustment for (gains) losses included in net income (1) | (473 | ) | 166 | (307 | ) | |||||||||||
Net unrealized gains on available-for-sale securities | $ | 1,965 | $ | (687 | ) | $ | 1,278 | |||||||||
(1) Pre-tax reclassification adjustments relating to available-for-sale securities are reported in security gains and the tax impact is included in income tax expense on the consolidated statements of income. |
Fair_Value_Tables
Fair Value (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||||||||
Assets Measured at Fair Value on Recurring Basis | ' | ||||||||||||||||||||||||||||||||||
Assets measured at fair value on a recurring basis, including financial assets for which the Company has elected the fair value option, are summarized below: | |||||||||||||||||||||||||||||||||||
Fair Value Measurements at | |||||||||||||||||||||||||||||||||||
September 30, 2013 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying | Quoted Prices | Significant | Significant | |||||||||||||||||||||||||||||||
Value | in Active | Other | Unobservable | ||||||||||||||||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||||||||||||||||
Assets | (Level 2) | ||||||||||||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||||||||||||
Financial Assets | |||||||||||||||||||||||||||||||||||
Investment securities available-for sale | |||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 55,236 | $ | 0 | $ | 55,236 | $ | 0 | |||||||||||||||||||||||||||
State and political subdivisions | 106,275 | 0 | 106,275 | 0 | |||||||||||||||||||||||||||||||
Corporate bonds | 1,525 | 0 | 1,525 | 0 | |||||||||||||||||||||||||||||||
Mortgage-backed securities-residential | 221,120 | 0 | 221,109 | 11 | |||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 29,628 | 0 | 29,628 | 0 | |||||||||||||||||||||||||||||||
Small business administration | 24,222 | 0 | 24,222 | 0 | |||||||||||||||||||||||||||||||
Equity securities | 121 | 121 | 0 | 0 | |||||||||||||||||||||||||||||||
Total investment securities | $ | 438,127 | $ | 121 | $ | 437,995 | $ | 11 | |||||||||||||||||||||||||||
Yield maintenance provisions | $ | 160 | $ | 0 | $ | 160 | $ | 0 | |||||||||||||||||||||||||||
Financial Liabilities | |||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 160 | $ | 0 | $ | 160 | $ | 0 | |||||||||||||||||||||||||||
Fair Value Measurements at | |||||||||||||||||||||||||||||||||||
December 31, 2012 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying | Quoted Prices | Significant | Significant | |||||||||||||||||||||||||||||||
Value | in Active | Other | Unobservable | ||||||||||||||||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||||||||||||||||
Assets | (Level 2) | ||||||||||||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||||||||||||
Financial Assets | |||||||||||||||||||||||||||||||||||
Investment securities available-for sale | |||||||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored entities | $ | 67,978 | $ | 0 | $ | 67,978 | $ | 0 | |||||||||||||||||||||||||||
State and political subdivisions | 95,288 | 0 | 95,288 | 0 | |||||||||||||||||||||||||||||||
Corporate bonds | 2,128 | 0 | 2,128 | 0 | |||||||||||||||||||||||||||||||
Mortgage-backed securities-residential | 236,218 | 0 | 236,207 | 11 | |||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 40,595 | 0 | 40,595 | 0 | |||||||||||||||||||||||||||||||
Small business administration | 21,444 | 0 | 21,444 | 0 | |||||||||||||||||||||||||||||||
Equity securities | 437 | 437 | 0 | 0 | |||||||||||||||||||||||||||||||
Total investment securities | $ | 464,088 | $ | 437 | $ | 463,640 | $ | 11 | |||||||||||||||||||||||||||
Yield maintenance provisions | $ | 120 | $ | 0 | $ | 120 | $ | 0 | |||||||||||||||||||||||||||
Financial Liabilities | |||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 120 | $ | 0 | $ | 120 | $ | 0 | |||||||||||||||||||||||||||
Reconciliation for All Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs | ' | ||||||||||||||||||||||||||||||||||
The table below presents a reconciliation for all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3): | |||||||||||||||||||||||||||||||||||
Investment Securities | |||||||||||||||||||||||||||||||||||
Available-for-sale | |||||||||||||||||||||||||||||||||||
(Level 3) | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Beginning balance | $ | 11 | $ | 11 | $ | 11 | $ | 12 | |||||||||||||||||||||||||||
Total unrealized gains or losses: | |||||||||||||||||||||||||||||||||||
Included in other comprehensive income or loss | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||
Repayments | 0 | 0 | 0 | (1 | ) | ||||||||||||||||||||||||||||||
Transfer in and/or out of Level 3 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||
Ending balance | $ | 11 | $ | 11 | $ | 11 | $ | 11 | |||||||||||||||||||||||||||
Assets Measured at Fair Value on Non-Recurring Basis | ' | ||||||||||||||||||||||||||||||||||
Assets measured at fair value on a non-recurring basis are summarized below: | |||||||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||||||
at September 30, 2013 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying Value | Quoted Prices | Significant | Significant | |||||||||||||||||||||||||||||||
in Active | Other | Unobservable | |||||||||||||||||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||||||||||||||||
Identical Assets | Inputs | (Level 3) | |||||||||||||||||||||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||||||||||||
Impaired loans | |||||||||||||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||||||||||||
Owner occupied | $ | 2,370 | $ | 0 | $ | 0 | $ | 2,370 | |||||||||||||||||||||||||||
Non-owner occupied | 418 | 0 | 0 | 418 | |||||||||||||||||||||||||||||||
Commercial | 703 | 0 | 0 | 703 | |||||||||||||||||||||||||||||||
1 – 4 family residential | 409 | 0 | 0 | 409 | |||||||||||||||||||||||||||||||
HELOC | 96 | 0 | 0 | 96 | |||||||||||||||||||||||||||||||
Other real estate owned | |||||||||||||||||||||||||||||||||||
1 – 4 family residential | 33 | 0 | 0 | 33 | |||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||||||
at December 31, 2012 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying Value | Quoted Prices | Significant | Significant | |||||||||||||||||||||||||||||||
in Active | Other | Unobservable | |||||||||||||||||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||||||||||||||||
Identical Assets | Inputs | (Level 3) | |||||||||||||||||||||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||||||||||||
Impaired loans | |||||||||||||||||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||||||||||||
Owner occupied | $ | 928 | $ | 0 | $ | 0 | $ | 928 | |||||||||||||||||||||||||||
Non-owner occupied | 775 | 0 | 0 | 775 | |||||||||||||||||||||||||||||||
Commercial | 869 | 0 | 0 | 869 | |||||||||||||||||||||||||||||||
1 – 4 family residential | 43 | 0 | 0 | 43 | |||||||||||||||||||||||||||||||
Other real estate owned | |||||||||||||||||||||||||||||||||||
1 – 4 family residential | 57 | 0 | 0 | 57 | |||||||||||||||||||||||||||||||
Fair Value Measurements for Financial Instruments | ' | ||||||||||||||||||||||||||||||||||
The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at period ended September 30, 2013 and December 31, 2012: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Fair value | Valuation | Unobservable Input(s) | Range | |||||||||||||||||||||||||||||||
30-Sep-13 | Technique(s) | (Weighted Average) | |||||||||||||||||||||||||||||||||
Impaired loans | |||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 2,585 | Sales | Adjustment for | -0.9053 | ||||||||||||||||||||||||||||||
comparison | differences between | (-3.43%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
203 | Income | Adjustment for | -0.2657 | ||||||||||||||||||||||||||||||||
approach | differences in net | (-5.96%) | |||||||||||||||||||||||||||||||||
operating income | |||||||||||||||||||||||||||||||||||
Commercial | 703 | Sales | Adjustment for | -0.5859 | |||||||||||||||||||||||||||||||
comparison | differences between | -21.49% | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
Residential | 505 | Sales | Adjustment for | -0.7026 | |||||||||||||||||||||||||||||||
comparison | differences between | (-9.75%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Fair value | Valuation | Unobservable Input(s) | Range | |||||||||||||||||||||||||||||||
31-Dec-12 | Technique(s) | (Weighted Average) | |||||||||||||||||||||||||||||||||
Impaired loans | |||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 1,548 | Sales | Adjustment for | -11.30% - 14.12% | ||||||||||||||||||||||||||||||
comparison | differences between | (-4.38%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
155 | Income | Adjustment for | -28.36% - 19.40% | ||||||||||||||||||||||||||||||||
approach | differences in net | (-5.47%) | |||||||||||||||||||||||||||||||||
operating income | |||||||||||||||||||||||||||||||||||
Commercial | 869 | Sales | Adjustment for | -45.19% - 20.19% | |||||||||||||||||||||||||||||||
comparison | differences between | (-27.05%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
Residential | 43 | Sales | Adjustment for | -46.81% - 23.45% | |||||||||||||||||||||||||||||||
comparison | differences between | (-36.40%) | |||||||||||||||||||||||||||||||||
comparable sales | |||||||||||||||||||||||||||||||||||
Carrying Amounts and Estimated Fair Values of Financial Instruments | ' | ||||||||||||||||||||||||||||||||||
The carrying amounts and estimated fair values of financial instruments not previously disclosed at September 30, 2013 and December 31, 2012 are as follows: | |||||||||||||||||||||||||||||||||||
Fair Value Measurements at | |||||||||||||||||||||||||||||||||||
September 30, 2013 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||
Amount | |||||||||||||||||||||||||||||||||||
Financial assets | |||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 40,303 | $ | 13,690 | $ | 26,613 | $ | 0 | $ | 40,303 | |||||||||||||||||||||||||
Restricted stock | 4,224 | n/a | n/a | n/a | n/a | ||||||||||||||||||||||||||||||
Loans held for sale | 1,016 | 0 | 1,034 | 0 | 1,034 | ||||||||||||||||||||||||||||||
Loans, net | 603,980 | 0 | 0 | 610,718 | 610,718 | ||||||||||||||||||||||||||||||
Accrued interest receivable | 3,783 | 0 | 2,173 | 1,610 | 3,783 | ||||||||||||||||||||||||||||||
Financial liabilities | |||||||||||||||||||||||||||||||||||
Deposits | 903,410 | 675,349 | 229,627 | 0 | 904,976 | ||||||||||||||||||||||||||||||
Short-term borrowings | 98,243 | 0 | 98,243 | 0 | 98,243 | ||||||||||||||||||||||||||||||
Long-term borrowings | 20,079 | 0 | 20,872 | 0 | 20,872 | ||||||||||||||||||||||||||||||
Accrued interest payable | 455 | 2 | 453 | 0 | 455 | ||||||||||||||||||||||||||||||
Fair Value Measurements at | |||||||||||||||||||||||||||||||||||
December 31, 2012 Using: | |||||||||||||||||||||||||||||||||||
(In Thousands of Dollars) | Carrying | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||
Amount | |||||||||||||||||||||||||||||||||||
Financial assets | |||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 37,759 | $ | 14,209 | $ | 23,550 | $ | 0 | $ | 37,759 | |||||||||||||||||||||||||
Restricted stock | 4,224 | n/a | n/a | n/a | n/a | ||||||||||||||||||||||||||||||
Loans held for sale | 3,624 | 0 | 3,691 | 0 | 3,691 | ||||||||||||||||||||||||||||||
Loans, net | 578,963 | 0 | 0 | 586,359 | 586,359 | ||||||||||||||||||||||||||||||
Accrued interest receivable | 3,679 | 0 | 2,051 | 1,628 | 3,679 | ||||||||||||||||||||||||||||||
Financial liabilities | |||||||||||||||||||||||||||||||||||
Deposits | 919,009 | 683,660 | 240,830 | 0 | 924,490 | ||||||||||||||||||||||||||||||
Short-term borrowings | 79,886 | 0 | 79,886 | 0 | 79,886 | ||||||||||||||||||||||||||||||
Long-term borrowings | 10,423 | 0 | 11,690 | 0 | 11,690 | ||||||||||||||||||||||||||||||
Accrued interest payable | 479 | 2 | 477 | 0 | 479 | ||||||||||||||||||||||||||||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||
Schedule of Segment Reporting Information | ' | ||||||||||||||||||||||||||||
Significant segment totals are reconciled to the financial statements as follows: | |||||||||||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
30-Sep-13 | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 591 | $ | 39,627 | $ | 85 | $ | 40,303 | |||||||||||||||||||||
Securities available for sale | 4,675 | 433,330 | 122 | 438,127 | |||||||||||||||||||||||||
Loans held for sale | 0 | 1,016 | 0 | 1,016 | |||||||||||||||||||||||||
Net loans | 0 | 603,980 | 0 | 603,980 | |||||||||||||||||||||||||
Premises and equipment, net | 97 | 17,400 | 70 | 17,567 | |||||||||||||||||||||||||
Goodwill and other intangibles | 5,738 | 0 | 4,808 | 10,546 | |||||||||||||||||||||||||
Other assets | 562 | 35,293 | 725 | 36,580 | |||||||||||||||||||||||||
Total Assets | $ | 11,663 | $ | 1,130,646 | $ | 5,810 | $ | 1,148,119 | |||||||||||||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||||||||||
Deposits, borrowings and other liabilities | $ | 640 | $ | 1,034,674 | $ | 281 | $ | 1,035,595 | |||||||||||||||||||||
Stockholders’ equity | 11,023 | 95,972 | 5,529 | 112,524 | |||||||||||||||||||||||||
Total Liabilities and Stockholders’ Equity | $ | 11,663 | $ | 1,130,646 | $ | 5,810 | $ | 1,148,119 | |||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 636 | $ | 37,191 | $ | (68 | ) | $ | 37,759 | ||||||||||||||||||||
Securities available for sale | 4,695 | 459,246 | 147 | 464,088 | |||||||||||||||||||||||||
Loans held for sale | 0 | 3,624 | 0 | 3,624 | |||||||||||||||||||||||||
Net loans | 0 | 578,963 | 0 | 578,963 | |||||||||||||||||||||||||
Premises and equipment, net | 100 | 18,329 | 0 | 18,429 | |||||||||||||||||||||||||
Goodwill and other intangibles | 6,032 | 0 | 0 | 6,032 | |||||||||||||||||||||||||
Other assets | 546 | 29,758 | 496 | 30,800 | |||||||||||||||||||||||||
Total Assets | $ | 12,009 | $ | 1,127,111 | $ | 575 | $ | 1,139,695 | |||||||||||||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||||||||||
Deposits, borrowings and other liabilities | $ | 302 | $ | 1,022,092 | $ | (3,491 | ) | $ | 1,018,903 | ||||||||||||||||||||
Stockholders’ equity | 11,707 | 105,019 | 4,066 | 120,792 | |||||||||||||||||||||||||
Total Liabilities and Stockholders’ Equity | $ | 12,009 | $ | 1,127,111 | $ | 575 | $ | 1,139,695 | |||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
For the Three Months Ended September 30, 2013 | |||||||||||||||||||||||||||||
Net interest income | $ | 11 | $ | 8,840 | $ | (3 | ) | $ | 8,848 | ||||||||||||||||||||
Provision for loan losses | 0 | 340 | 0 | 340 | |||||||||||||||||||||||||
Service fees, security gains and other noninterest income | 1,389 | 2,489 | 295 | 4,173 | |||||||||||||||||||||||||
Noninterest expense | 1,213 | 8,774 | 939 | 10,926 | |||||||||||||||||||||||||
Income before taxes | 187 | 2,215 | (647 | ) | 1,755 | ||||||||||||||||||||||||
Income taxes | 65 | 298 | (220 | ) | 143 | ||||||||||||||||||||||||
Net Income | $ | 122 | $ | 1,917 | $ | (427 | ) | $ | 1,612 | ||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
For the Nine Months Ended September 30, 2013 | |||||||||||||||||||||||||||||
Net interest income | $ | 34 | $ | 26,831 | $ | (10 | ) | $ | 26,855 | ||||||||||||||||||||
Provision for loan losses | 0 | 765 | 0 | 765 | |||||||||||||||||||||||||
Service fees, security gains and other noninterest income | 4,167 | 5,781 | 325 | 10,273 | |||||||||||||||||||||||||
Noninterest expense | 3,711 | 24,406 | 1,719 | 29,836 | |||||||||||||||||||||||||
Income before taxes | 490 | 7,441 | (1,404 | ) | 6,527 | ||||||||||||||||||||||||
Income taxes | 170 | 1,349 | (477 | ) | 1,042 | ||||||||||||||||||||||||
Net Income | $ | 320 | $ | 6,092 | $ | (927 | ) | $ | 5,485 | ||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
For the Three Months Ended September 30, 2012 | |||||||||||||||||||||||||||||
Net interest income | $ | 13 | $ | 9,091 | $ | (3 | ) | $ | 9,101 | ||||||||||||||||||||
Provision for loan losses | 0 | 325 | 0 | 325 | |||||||||||||||||||||||||
Service fees, security gains and other noninterest income | 1,347 | 1,973 | 47 | 3,367 | |||||||||||||||||||||||||
Noninterest expense | 1,215 | 7,373 | 308 | 8,896 | |||||||||||||||||||||||||
Income before taxes | 145 | 3,366 | (264 | ) | 3,247 | ||||||||||||||||||||||||
Income taxes | 51 | 797 | (90 | ) | 758 | ||||||||||||||||||||||||
Net Income | $ | 94 | $ | 2,569 | $ | (174 | ) | $ | 2,489 | ||||||||||||||||||||
(In Thousands of Dollars) | Trust | Bank | Eliminations | Consolidated | |||||||||||||||||||||||||
Segment | Segment | and Others | Totals | ||||||||||||||||||||||||||
For the Nine Months Ended September 30, 2012 | |||||||||||||||||||||||||||||
Net interest income | $ | 35 | $ | 27,624 | $ | (17 | ) | $ | 27,642 | ||||||||||||||||||||
Provision for loan losses | 0 | 725 | 0 | 725 | |||||||||||||||||||||||||
Service fees, security gains and other noninterest income | 4,166 | 4,728 | 58 | 8,952 | |||||||||||||||||||||||||
Noninterest expense | 3,742 | 21,793 | 809 | 26,344 | |||||||||||||||||||||||||
Income before taxes | 459 | 9,834 | (768 | ) | 9,525 | ||||||||||||||||||||||||
Income taxes | 161 | 2,330 | (261 | ) | 2,230 | ||||||||||||||||||||||||
Net Income | $ | 298 | $ | 7,504 | $ | (507 | ) | $ | 7,295 | ||||||||||||||||||||
Business_Combinations_Tables
Business Combinations (Tables) | 9 Months Ended | ||||
Sep. 30, 2013 | |||||
Summary of Consideration Paid and Amounts of Assets and Liabilities Assumed | ' | ||||
Goodwill of $2.6 million, which is recorded on the balance sheet of NAI, arising from the acquisition consisted largely of synergies and the cost savings resulting from the combining of the operations of the companies. The goodwill is not expected to be deductible for income tax purposes. The fair value of other intangible assets of $2.3 million is related to client relationships, company name and noncompetition agreements. The following table summarizes the consideration paid for NAI and the amounts of the assets acquired and liabilities assumed. All amounts are subject to certain adjustments contained in the purchase agreement. | |||||
(In Thousands of Dollars) | |||||
Consideration | |||||
Cash | $ | 2,100 | |||
Stock | 1,400 | ||||
Contingent consideration | 920 | ||||
Fair value of total consideration transferred | 4,420 | ||||
Assets acquired and liabilities assumed | |||||
Cash | 28 | ||||
Accounts receivable | 300 | ||||
Premises and equipment | 50 | ||||
Other assets | 1 | ||||
Total assets acquired | 379 | ||||
Liabilities assumed | 81 | ||||
Net assets acquired | $ | 298 | |||
Assets and liabilities arising from acquisition | |||||
Identified intangible assets | 2,290 | ||||
Deferred tax liability | (802 | ) | |||
Goodwill | 2,634 | ||||
Net assets acquired from acquisition | $ | 4,420 | |||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Details Textual) | 9 Months Ended |
Sep. 30, 2013 | |
Segment | |
Segments (Textual) [Abstract] | ' |
Operating segments of business | 2 |
Securities_Details
Securities (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Amortized cost and fair value of available-for-sale investment securities | ' | ' |
Amortized Cost | $444,744 | $452,453 |
Gross Unrealized Gains | 4,592 | 12,505 |
Gross Unrealized Losses | -11,209 | -870 |
Fair Value | 438,127 | 464,088 |
U.S. Treasury and U.S. government sponsored entities | ' | ' |
Amortized cost and fair value of available-for-sale investment securities | ' | ' |
Amortized Cost | 54,751 | 66,378 |
Gross Unrealized Gains | 889 | 1,601 |
Gross Unrealized Losses | -404 | -1 |
Fair Value | 55,236 | 67,978 |
State and political subdivisions | ' | ' |
Amortized cost and fair value of available-for-sale investment securities | ' | ' |
Amortized Cost | 106,937 | 90,466 |
Gross Unrealized Gains | 1,889 | 5,067 |
Gross Unrealized Losses | -2,551 | -245 |
Fair Value | 106,275 | 95,288 |
Corporate bonds | ' | ' |
Amortized cost and fair value of available-for-sale investment securities | ' | ' |
Amortized Cost | 1,541 | 2,123 |
Gross Unrealized Gains | 1 | 12 |
Gross Unrealized Losses | -17 | -7 |
Fair Value | 1,525 | 2,128 |
Mortgage-backed securities - residential | ' | ' |
Amortized cost and fair value of available-for-sale investment securities | ' | ' |
Amortized Cost | 223,966 | 231,582 |
Gross Unrealized Gains | 1,591 | 5,112 |
Gross Unrealized Losses | -4,437 | -476 |
Fair Value | 221,120 | 236,218 |
Collateralized mortgage obligations | ' | ' |
Amortized cost and fair value of available-for-sale investment securities | ' | ' |
Amortized Cost | 31,336 | 40,333 |
Gross Unrealized Gains | 156 | 336 |
Gross Unrealized Losses | -1,864 | -74 |
Fair Value | 29,628 | 40,595 |
Small business administration | ' | ' |
Amortized cost and fair value of available-for-sale investment securities | ' | ' |
Amortized Cost | 26,153 | 21,432 |
Gross Unrealized Gains | 2 | 74 |
Gross Unrealized Losses | -1,933 | -62 |
Fair Value | 24,222 | 21,444 |
Equity securities | ' | ' |
Amortized cost and fair value of available-for-sale investment securities | ' | ' |
Amortized Cost | 60 | 139 |
Gross Unrealized Gains | 64 | 303 |
Gross Unrealized Losses | -3 | -5 |
Fair Value | $121 | $437 |
Securities_Details_1
Securities (Details 1) (USD $) | Sep. 30, 2013 |
In Thousands, unless otherwise specified | |
Amortized cost and fair value of the debt securities maturity | ' |
Amortized Cost, Within one year | $13,179 |
Amortized Cost, One to five years | 79,638 |
Amortized Cost, Five to ten years | 50,514 |
Amortized Cost, Beyond ten years | 19,898 |
Amortized Cost, Mortgage-backed, CMO and SBA securities | 281,455 |
Amortized Cost, Total | 444,684 |
Fair Value, Within one year | 13,303 |
Fair Value, One to five years | 80,478 |
Fair Value, Five to ten years | 49,774 |
Fair Value, Beyond ten years | 19,481 |
Fair Value, Mortgage-backed, CMO and SBA securities | 274,970 |
Fair Value, Total | $438,006 |
Securities_Details_2
Securities (Details 2) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investment securities with unrealized losses | ' | ' |
Fair Value, Less Than 12 Months | $199,666 | $147,039 |
Unrealized Losses, Less Than 12 Months | -9,774 | -865 |
Fair Value, 12 Months or Longer | 31,310 | 97 |
Unrealized Losses, 12 Months or Longer | -1,435 | -5 |
Fair Value, Total | 230,976 | 147,136 |
Unrealized Losses, Total | -11,209 | -870 |
U.S. Treasury and U.S. government sponsored entities | ' | ' |
Investment securities with unrealized losses | ' | ' |
Fair Value, Less Than 12 Months | 21,226 | 5,490 |
Unrealized Losses, Less Than 12 Months | -404 | -1 |
Fair Value, 12 Months or Longer | 0 | 0 |
Unrealized Losses, 12 Months or Longer | 0 | 0 |
Fair Value, Total | 21,226 | 5,490 |
Unrealized Losses, Total | -404 | -1 |
State and political subdivisions | ' | ' |
Investment securities with unrealized losses | ' | ' |
Fair Value, Less Than 12 Months | 36,377 | 12,079 |
Unrealized Losses, Less Than 12 Months | -2,551 | -245 |
Fair Value, 12 Months or Longer | 0 | 0 |
Unrealized Losses, 12 Months or Longer | 0 | 0 |
Fair Value, Total | 36,377 | 12,079 |
Unrealized Losses, Total | -2,551 | -245 |
Corporate bonds | ' | ' |
Investment securities with unrealized losses | ' | ' |
Fair Value, Less Than 12 Months | 1,275 | 887 |
Unrealized Losses, Less Than 12 Months | -17 | -7 |
Fair Value, 12 Months or Longer | 0 | 0 |
Unrealized Losses, 12 Months or Longer | 0 | 0 |
Fair Value, Total | 1,275 | 887 |
Unrealized Losses, Total | -17 | -7 |
Mortgage-backed securities - residential | ' | ' |
Investment securities with unrealized losses | ' | ' |
Fair Value, Less Than 12 Months | 95,361 | 97,598 |
Unrealized Losses, Less Than 12 Months | -3,005 | -476 |
Fair Value, 12 Months or Longer | 31,293 | 52 |
Unrealized Losses, 12 Months or Longer | -1,432 | 0 |
Fair Value, Total | 126,654 | 97,650 |
Unrealized Losses, Total | -4,437 | -476 |
Collateralized mortgage obligations | ' | ' |
Investment securities with unrealized losses | ' | ' |
Fair Value, Less Than 12 Months | 21,306 | 23,132 |
Unrealized Losses, Less Than 12 Months | -1,864 | -74 |
Fair Value, 12 Months or Longer | 0 | 0 |
Unrealized Losses, 12 Months or Longer | 0 | 0 |
Fair Value, Total | 21,306 | 23,132 |
Unrealized Losses, Total | -1,864 | -74 |
Small business administration | ' | ' |
Investment securities with unrealized losses | ' | ' |
Fair Value, Less Than 12 Months | 24,121 | 7,853 |
Unrealized Losses, Less Than 12 Months | -1,933 | -62 |
Fair Value, 12 Months or Longer | 8 | 37 |
Unrealized Losses, 12 Months or Longer | 0 | 0 |
Fair Value, Total | 24,129 | 7,890 |
Unrealized Losses, Total | -1,933 | -62 |
Equity securities | ' | ' |
Investment securities with unrealized losses | ' | ' |
Fair Value, Less Than 12 Months | 0 | 0 |
Unrealized Losses, Less Than 12 Months | 0 | 0 |
Fair Value, 12 Months or Longer | 9 | 8 |
Unrealized Losses, 12 Months or Longer | -3 | -5 |
Fair Value, Total | 9 | 8 |
Unrealized Losses, Total | ($3) | ($5) |
Securities_Details_Textual
Securities (Details Textual) (USD $) | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | |
Securities | Securities | Securities | Securities | Mortgage-backed securities - residential | Small business administration | Small business administration | |
Securities (Additional Textual) [Abstract] | ' | ' | ' | ' | ' | ' | ' |
Proceeds from the sale | $54,700,000 | ' | $55,600,000 | ' | ' | ' | ' |
Gross gains realized | 738,000 | 671,000 | 994,000 | 671,000 | ' | ' | ' |
Gross losses realized | 141,000 | 198,000 | 141,000 | 198,000 | ' | ' | ' |
Proceeds from sale of investment securities | 56,500,000 | ' | 56,500,000 | ' | ' | ' | ' |
Number of Securities sales | ' | 0 | ' | 0 | ' | ' | ' |
Number of securities | 389 | ' | 389 | ' | ' | ' | ' |
Number of securities with unrealized loss position | 103 | ' | 103 | ' | ' | ' | ' |
Securities (Textual) [Abstract] | ' | ' | ' | ' | ' | ' | ' |
Unrealized losses for Mortgage-backed securities residential | ' | ' | ' | ' | $1,000 | $1,000 | $1,000 |
Loans_Details
Loans (Details) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||||
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Subtotal | $609,231 | ' | $584,627 | ' | ' | ' |
Net deferred loan costs | 2,118 | ' | 1,965 | ' | ' | ' |
Allowance for loan losses | -7,369 | -7,590 | -7,629 | -8,625 | -9,048 | -9,820 |
NET LOANS | 603,980 | ' | 578,963 | ' | ' | ' |
Commercial real estate, Owner occupied | ' | ' | ' | ' | ' | ' |
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Commercial real estate | 84,484 | ' | 95,208 | ' | ' | ' |
Commercial real estate, Non-owner occupied | ' | ' | ' | ' | ' | ' |
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Commercial real estate | 96,630 | ' | 83,405 | ' | ' | ' |
Commercial real estate, Other | ' | ' | ' | ' | ' | ' |
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Commercial real estate | 19,888 | ' | 22,729 | ' | ' | ' |
Commercial | ' | ' | ' | ' | ' | ' |
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Commercial | 108,758 | ' | 97,112 | ' | ' | ' |
Allowance for loan losses | -1,455 | -1,431 | -1,453 | -1,779 | -1,752 | -1,529 |
Residential real estate, 1-4 family residential | ' | ' | ' | ' | ' | ' |
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Residential real estate | 139,581 | ' | 132,665 | ' | ' | ' |
Residential real estate, Home equity lines of credit | ' | ' | ' | ' | ' | ' |
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Residential real estate | 26,151 | ' | 24,110 | ' | ' | ' |
Consumer, Indirect | ' | ' | ' | ' | ' | ' |
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Consumer | 120,607 | ' | 116,471 | ' | ' | ' |
Consumer, Direct | ' | ' | ' | ' | ' | ' |
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Consumer | 10,526 | ' | 11,160 | ' | ' | ' |
Consumer, Other | ' | ' | ' | ' | ' | ' |
Schedule of loan balances | ' | ' | ' | ' | ' | ' |
Consumer | $2,606 | ' | $1,767 | ' | ' | ' |
Loans_Details_1
Loans (Details 1) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Allowance for loan losses | ' | ' | ' | ' |
Beginning balance | $7,590 | $9,048 | $7,629 | $9,820 |
Provision for loan losses | 340 | 325 | 765 | 725 |
Loans charged off | -915 | -938 | -2,034 | -2,574 |
Recoveries | 354 | 190 | 1,009 | 654 |
Ending balance | 7,369 | 8,625 | 7,369 | 8,625 |
Commercial Real Estate | ' | ' | ' | ' |
Allowance for loan losses | ' | ' | ' | ' |
Beginning balance | 3,050 | 4,626 | 3,392 | 4,880 |
Provision for loan losses | -213 | -142 | -606 | -87 |
Loans charged off | -219 | -446 | -300 | -814 |
Recoveries | 33 | 23 | 165 | 82 |
Ending balance | 2,651 | 4,061 | 2,651 | 4,061 |
Commercial | ' | ' | ' | ' |
Allowance for loan losses | ' | ' | ' | ' |
Beginning balance | 1,431 | 1,752 | 1,453 | 1,529 |
Provision for loan losses | -14 | 205 | -87 | 610 |
Loans charged off | 0 | -187 | -80 | -400 |
Recoveries | 38 | 9 | 169 | 40 |
Ending balance | 1,455 | 1,779 | 1,455 | 1,779 |
Residential Real Estate | ' | ' | ' | ' |
Allowance for loan losses | ' | ' | ' | ' |
Beginning balance | 1,751 | 1,607 | 1,569 | 1,802 |
Provision for loan losses | 171 | 33 | 508 | 414 |
Loans charged off | -135 | -49 | -303 | -657 |
Recoveries | 26 | 21 | 39 | 53 |
Ending balance | 1,813 | 1,612 | 1,813 | 1,612 |
Consumer | ' | ' | ' | ' |
Allowance for loan losses | ' | ' | ' | ' |
Beginning balance | 1,180 | 1,020 | 951 | 972 |
Provision for loan losses | 398 | 99 | 1,038 | 252 |
Loans charged off | -561 | -256 | -1,351 | -703 |
Recoveries | 257 | 137 | 636 | 479 |
Ending balance | 1,274 | 1,000 | 1,274 | 1,000 |
Unallocated | ' | ' | ' | ' |
Allowance for loan losses | ' | ' | ' | ' |
Beginning balance | 178 | 43 | 264 | 637 |
Provision for loan losses | -2 | 130 | -88 | -464 |
Loans charged off | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Ending balance | $176 | $173 | $176 | $173 |
Loans_Details_2
Loans (Details 2) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||||
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | $524 | ' | $180 | ' | ' | ' |
Collectively evaluated for impairment | 6,845 | ' | 7,449 | ' | ' | ' |
Total ending allowance balance | 7,369 | 7,590 | 7,629 | 8,625 | 9,048 | 9,820 |
Loans: | ' | ' | ' | ' | ' | ' |
Loans individually evaluated for impairment | 12,196 | ' | 11,376 | ' | ' | ' |
Loans collectively evaluated for impairment | 599,153 | ' | 575,216 | ' | ' | ' |
Loans | 611,349 | ' | 586,592 | ' | ' | ' |
Commercial Real Estate | ' | ' | ' | ' | ' | ' |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 245 | ' | 129 | ' | ' | ' |
Collectively evaluated for impairment | 2,406 | ' | 3,263 | ' | ' | ' |
Total ending allowance balance | 2,651 | 3,050 | 3,392 | 4,061 | 4,626 | 4,880 |
Loans: | ' | ' | ' | ' | ' | ' |
Loans individually evaluated for impairment | 7,173 | ' | 8,535 | ' | ' | ' |
Loans collectively evaluated for impairment | 192,999 | ' | 192,116 | ' | ' | ' |
Loans | 200,172 | ' | 200,651 | ' | ' | ' |
Commercial | ' | ' | ' | ' | ' | ' |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 279 | ' | 51 | ' | ' | ' |
Collectively evaluated for impairment | 1,176 | ' | 1,402 | ' | ' | ' |
Total ending allowance balance | 1,455 | 1,431 | 1,453 | 1,779 | 1,752 | 1,529 |
Loans: | ' | ' | ' | ' | ' | ' |
Loans individually evaluated for impairment | 2,625 | ' | 1,852 | ' | ' | ' |
Loans collectively evaluated for impairment | 106,133 | ' | 95,260 | ' | ' | ' |
Loans | 108,758 | ' | 97,112 | ' | ' | ' |
Residential Real Estate | ' | ' | ' | ' | ' | ' |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 0 | ' | 0 | ' | ' | ' |
Collectively evaluated for impairment | 1,813 | ' | 1,569 | ' | ' | ' |
Total ending allowance balance | 1,813 | 1,751 | 1,569 | 1,612 | 1,607 | 1,802 |
Loans: | ' | ' | ' | ' | ' | ' |
Loans individually evaluated for impairment | 2,398 | ' | 989 | ' | ' | ' |
Loans collectively evaluated for impairment | 162,804 | ' | 155,193 | ' | ' | ' |
Loans | 165,202 | ' | 156,182 | ' | ' | ' |
Consumer | ' | ' | ' | ' | ' | ' |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 0 | ' | 0 | ' | ' | ' |
Collectively evaluated for impairment | 1,274 | ' | 951 | ' | ' | ' |
Total ending allowance balance | 1,274 | 1,180 | 951 | 1,000 | 1,020 | 972 |
Loans: | ' | ' | ' | ' | ' | ' |
Loans individually evaluated for impairment | 0 | ' | 0 | ' | ' | ' |
Loans collectively evaluated for impairment | 137,217 | ' | 132,647 | ' | ' | ' |
Loans | 137,217 | ' | 132,647 | ' | ' | ' |
Unallocated | ' | ' | ' | ' | ' | ' |
Ending allowance balance attributable to loans: | ' | ' | ' | ' | ' | ' |
Individually evaluated for impairment | 0 | ' | 0 | ' | ' | ' |
Collectively evaluated for impairment | 176 | ' | 264 | ' | ' | ' |
Total ending allowance balance | 176 | 178 | 264 | 173 | 43 | 637 |
Loans: | ' | ' | ' | ' | ' | ' |
Loans individually evaluated for impairment | 0 | ' | 0 | ' | ' | ' |
Loans collectively evaluated for impairment | 0 | ' | 0 | ' | ' | ' |
Loans | $0 | ' | $0 | ' | ' | ' |
Loans_Details_3
Loans (Details 3) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Unpaid Principal Balance | ' | ' |
Unpaid Principal Balance | $12,821 | $12,412 |
Recorded Investment | ' | ' |
Recorded Investment | 12,196 | 11,376 |
Allowance for Loan Losses Allocated | ' | ' |
Allowance for Loan Losses Allocated | 524 | 180 |
Commercial real estate, Owner occupied | ' | ' |
Unpaid Principal Balance | ' | ' |
Unpaid Principal Balance, With no related allowance recorded | 2,554 | 3,916 |
Unpaid Principal Balance, With an allowance recorded | 2,963 | 2,207 |
Recorded Investment | ' | ' |
Recorded Investment, With no related allowance recorded | 2,423 | 3,481 |
Recorded Investment, With an allowance recorded | 2,727 | 2,169 |
Allowance for Loan Losses Allocated | ' | ' |
Allowance for Loan Losses Allocated | 220 | 59 |
Commercial real estate, Non-owner occupied | ' | ' |
Unpaid Principal Balance | ' | ' |
Unpaid Principal Balance, With no related allowance recorded | 518 | 560 |
Unpaid Principal Balance, With an allowance recorded | 1,605 | 2,560 |
Recorded Investment | ' | ' |
Recorded Investment, With no related allowance recorded | 418 | 461 |
Recorded Investment, With an allowance recorded | 1,605 | 2,424 |
Allowance for Loan Losses Allocated | ' | ' |
Allowance for Loan Losses Allocated | 25 | 70 |
Commercial | ' | ' |
Unpaid Principal Balance | ' | ' |
Unpaid Principal Balance, With no related allowance recorded | 2,091 | 1,250 |
Unpaid Principal Balance, With an allowance recorded | 568 | 948 |
Recorded Investment | ' | ' |
Recorded Investment, With no related allowance recorded | 2,057 | 1,192 |
Recorded Investment, With an allowance recorded | 568 | 660 |
Allowance for Loan Losses Allocated | ' | ' |
Allowance for Loan Losses Allocated | 279 | 51 |
Residential real estate, 1-4 family residential | ' | ' |
Unpaid Principal Balance | ' | ' |
Unpaid Principal Balance, With no related allowance recorded | 2,261 | 971 |
Recorded Investment | ' | ' |
Recorded Investment, With no related allowance recorded | 2,147 | 989 |
Residential real estate, Home equity lines of credit | ' | ' |
Unpaid Principal Balance | ' | ' |
Unpaid Principal Balance, With no related allowance recorded | 261 | ' |
Recorded Investment | ' | ' |
Recorded Investment, With no related allowance recorded | 251 | ' |
No Related Allowance | ' | ' |
Unpaid Principal Balance | ' | ' |
Unpaid Principal Balance, With no related allowance recorded | 7,685 | 6,697 |
Recorded Investment | ' | ' |
Recorded Investment, With no related allowance recorded | 7,296 | 6,123 |
Allowance | ' | ' |
Unpaid Principal Balance | ' | ' |
Unpaid Principal Balance, With an allowance recorded | 5,136 | 5,715 |
Recorded Investment | ' | ' |
Recorded Investment, With an allowance recorded | 4,900 | 5,253 |
Allowance for Loan Losses Allocated | ' | ' |
Allowance for Loan Losses Allocated | $524 | $180 |
Loans_Details_4
Loans (Details 4) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Average recorded investment | ' | ' | ' | ' |
Average Recorded Investment | $11,278 | $11,126 | $10,838 | $10,623 |
Commercial real estate, Owner occupied | ' | ' | ' | ' |
Average recorded investment | ' | ' | ' | ' |
Average Recorded Investment, With no related allowance recorded | 2,557 | 1,558 | 2,533 | 974 |
Average Recorded Investment, With an allowance recorded | 2,498 | 4,241 | 2,714 | 4,391 |
Commercial real estate, Non-owner occupied | ' | ' | ' | ' |
Average recorded investment | ' | ' | ' | ' |
Average Recorded Investment, With no related allowance recorded | 421 | 219 | 454 | 458 |
Average Recorded Investment, With an allowance recorded | 1,612 | 2,717 | 1,816 | 2,384 |
Commercial real estate, Other | ' | ' | ' | ' |
Average recorded investment | ' | ' | ' | ' |
Average Recorded Investment, With no related allowance recorded | 0 | 0 | 0 | 152 |
Average Recorded Investment, With an allowance recorded | 0 | 0 | 0 | 91 |
Commercial | ' | ' | ' | ' |
Average recorded investment | ' | ' | ' | ' |
Average Recorded Investment, With no related allowance recorded | 1,597 | 934 | 1,485 | 960 |
Average Recorded Investment, With an allowance recorded | 253 | 688 | 295 | 495 |
Residential real estate, 1-4 family residential | ' | ' | ' | ' |
Average recorded investment | ' | ' | ' | ' |
Average Recorded Investment, With no related allowance recorded | 2,125 | 769 | 1,349 | 718 |
Residential real estate, Home equity lines of credit | ' | ' | ' | ' |
Average recorded investment | ' | ' | ' | ' |
Average Recorded Investment, With no related allowance recorded | 215 | 0 | 192 | 0 |
No Related Allowance | ' | ' | ' | ' |
Average recorded investment | ' | ' | ' | ' |
Average Recorded Investment | 6,915 | 3,480 | 6,013 | 3,262 |
Allowance | ' | ' | ' | ' |
Average recorded investment | ' | ' | ' | ' |
Average Recorded Investment | $4,363 | $7,646 | $4,825 | $7,361 |
Loans_Details_5
Loans (Details 5) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | $8,385 | $7,632 |
Loans Past Due 90 Days or More Still Accruing | 721 | 596 |
Commercial real estate, Owner occupied | ' | ' |
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | 2,933 | 3,116 |
Loans Past Due 90 Days or More Still Accruing | 0 | 0 |
Commercial real estate, Non-owner occupied | ' | ' |
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | 416 | 799 |
Loans Past Due 90 Days or More Still Accruing | 0 | 0 |
Commercial real estate, Other | ' | ' |
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | 0 | 0 |
Loans Past Due 90 Days or More Still Accruing | 0 | 0 |
Commercial | ' | ' |
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | 2,143 | 1,081 |
Loans Past Due 90 Days or More Still Accruing | 0 | 0 |
Residential real estate, 1-4 family residential | ' | ' |
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | 2,607 | 2,342 |
Loans Past Due 90 Days or More Still Accruing | 618 | 197 |
Residential real estate, Home equity lines of credit | ' | ' |
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | 286 | 294 |
Loans Past Due 90 Days or More Still Accruing | 0 | 236 |
Consumer, Indirect | ' | ' |
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | 0 | 0 |
Loans Past Due 90 Days or More Still Accruing | 82 | 143 |
Consumer, Direct | ' | ' |
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | 0 | 0 |
Loans Past Due 90 Days or More Still Accruing | 14 | 19 |
Consumer, Other | ' | ' |
Schedule of investment in nonaccrual and loans past due 90 days or more still on accrual by class of loans | ' | ' |
Nonaccrual | 0 | 0 |
Loans Past Due 90 Days or More Still Accruing | $7 | $1 |
Loans_Details_6
Loans (Details 6) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | $1,808 | $2,903 |
60-89 Days Past Due | 335 | 799 |
90 Days or More Past Due and Nonaccrual | 9,106 | 8,228 |
Total Past Due | 11,249 | 11,930 |
Loans Not Past Due | 600,100 | 574,662 |
Total ending loans balance | 611,349 | 586,592 |
Commercial real estate, Owner occupied | ' | ' |
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | 48 | 259 |
60-89 Days Past Due | 8 | 0 |
90 Days or More Past Due and Nonaccrual | 2,933 | 3,116 |
Total Past Due | 2,989 | 3,375 |
Loans Not Past Due | 81,146 | 91,506 |
Total ending loans balance | 84,135 | 94,881 |
Commercial real estate, Non-owner occupied | ' | ' |
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | 17 | 0 |
60-89 Days Past Due | 0 | 0 |
90 Days or More Past Due and Nonaccrual | 416 | 799 |
Total Past Due | 433 | 799 |
Loans Not Past Due | 95,798 | 82,320 |
Total ending loans balance | 96,231 | 83,119 |
Commercial real estate, Other | ' | ' |
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | 0 | 0 |
60-89 Days Past Due | 0 | 0 |
90 Days or More Past Due and Nonaccrual | 0 | 0 |
Total Past Due | 0 | 0 |
Loans Not Past Due | 19,806 | 22,651 |
Total ending loans balance | 19,806 | 22,651 |
Commercial | ' | ' |
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | 0 | 233 |
60-89 Days Past Due | 50 | 15 |
90 Days or More Past Due and Nonaccrual | 2,143 | 1,081 |
Total Past Due | 2,193 | 1,329 |
Loans Not Past Due | 106,565 | 95,783 |
Total ending loans balance | 108,758 | 97,112 |
Residential real estate, 1-4 family residential | ' | ' |
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | 206 | 718 |
60-89 Days Past Due | 0 | 352 |
90 Days or More Past Due and Nonaccrual | 3,225 | 2,539 |
Total Past Due | 3,431 | 3,609 |
Loans Not Past Due | 135,620 | 128,463 |
Total ending loans balance | 139,051 | 132,072 |
Residential real estate, Home equity lines of credit | ' | ' |
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | 26 | 183 |
60-89 Days Past Due | 0 | 82 |
90 Days or More Past Due and Nonaccrual | 286 | 530 |
Total Past Due | 312 | 795 |
Loans Not Past Due | 25,839 | 23,315 |
Total ending loans balance | 26,151 | 24,110 |
Consumer, Indirect | ' | ' |
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | 1,376 | 1,351 |
60-89 Days Past Due | 248 | 319 |
90 Days or More Past Due and Nonaccrual | 82 | 143 |
Total Past Due | 1,706 | 1,813 |
Loans Not Past Due | 122,379 | 117,907 |
Total ending loans balance | 124,085 | 119,720 |
Consumer, Direct | ' | ' |
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | 109 | 144 |
60-89 Days Past Due | 17 | 18 |
90 Days or More Past Due and Nonaccrual | 14 | 19 |
Total Past Due | 140 | 181 |
Loans Not Past Due | 10,386 | 10,979 |
Total ending loans balance | 10,526 | 11,160 |
Consumer, Other | ' | ' |
Schedule of investment in past due loans | ' | ' |
30-59 Days Past Due | 26 | 15 |
60-89 Days Past Due | 12 | 13 |
90 Days or More Past Due and Nonaccrual | 7 | 1 |
Total Past Due | 45 | 29 |
Loans Not Past Due | 2,561 | 1,738 |
Total ending loans balance | $2,606 | $1,767 |
Troubled_Debt_Restructurings_D
Troubled Debt Restructurings (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Loan | Loan | Loan | Loan | |
Schedule of loans by class modified as troubled debt restructurings | ' | ' | ' | ' |
Number of Loans | 2 | 5 | 14 | 11 |
Pre-Modification Outstanding Recorded Investment | $66 | $664 | $1,107 | $3,879 |
Post-Modification Outstanding Recorded Investment | 66 | 708 | 1,153 | 3,971 |
Residential real estate, 1-4 family residential | ' | ' | ' | ' |
Schedule of loans by class modified as troubled debt restructurings | ' | ' | ' | ' |
Number of Loans | 1 | 3 | 2 | 4 |
Pre-Modification Outstanding Recorded Investment | 10 | 234 | 18 | 286 |
Post-Modification Outstanding Recorded Investment | 10 | 234 | 18 | 286 |
Residential real estate, Home equity lines of credit | ' | ' | ' | ' |
Schedule of loans by class modified as troubled debt restructurings | ' | ' | ' | ' |
Number of Loans | 1 | ' | 5 | ' |
Pre-Modification Outstanding Recorded Investment | 56 | ' | 214 | ' |
Post-Modification Outstanding Recorded Investment | 56 | ' | 214 | ' |
Commercial real estate, Owner occupied | ' | ' | ' | ' |
Schedule of loans by class modified as troubled debt restructurings | ' | ' | ' | ' |
Number of Loans | ' | 1 | 2 | 3 |
Pre-Modification Outstanding Recorded Investment | ' | 356 | 226 | 1,143 |
Post-Modification Outstanding Recorded Investment | ' | 374 | 239 | 1,166 |
Commercial Loan | ' | ' | ' | ' |
Schedule of loans by class modified as troubled debt restructurings | ' | ' | ' | ' |
Number of Loans | ' | 1 | 5 | 1 |
Pre-Modification Outstanding Recorded Investment | ' | 74 | 649 | 74 |
Post-Modification Outstanding Recorded Investment | ' | 100 | 682 | 100 |
Commercial real estate, Non-owner occupied | ' | ' | ' | ' |
Schedule of loans by class modified as troubled debt restructurings | ' | ' | ' | ' |
Number of Loans | ' | ' | ' | 3 |
Pre-Modification Outstanding Recorded Investment | ' | ' | ' | 2,376 |
Post-Modification Outstanding Recorded Investment | ' | ' | ' | $2,419 |
Troubled_Debt_Restructurings_D1
Troubled Debt Restructurings (Details Textual) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
Loans | |||||
Troubled Debt Restructuring (Additional Textual) [Abstract] | ' | ' | ' | ' | ' |
Total troubled debt restructurings | ' | ' | $8,300,000 | ' | $7,600,000 |
Specific reserves to customers | 187,000 | ' | 187,000 | ' | 155,000 |
Commitments to lend additional amounts to borrowers classified as troubled debt restructurings | 16,000 | ' | 16,000 | ' | 0 |
Allowance adjustment charge offs | 1,000 | ' | 17,000 | ' | ' |
Increase in the allowance for loan losses as a result of the allowance | 3,000 | ' | 3,000 | ' | ' |
Decrease in allowance for loan losses | ' | $161,000 | ' | $161,000 | ' |
Payment default loan period due to borrower death | ' | ' | ' | '12 months | ' |
Loans modified as trouble debt restructuring loan | ' | ' | ' | 2 | ' |
Minimum | ' | ' | ' | ' | ' |
Troubled Debt Restructuring (Textual) [Abstract] | ' | ' | ' | ' | ' |
Reduction of the notes stated interest rate | 0.25% | ' | 0.25% | ' | ' |
Maturity period loans | ' | ' | '3 months | ' | ' |
Maximum | ' | ' | ' | ' | ' |
Troubled Debt Restructuring (Textual) [Abstract] | ' | ' | ' | ' | ' |
Reduction of the notes stated interest rate | 3.25% | ' | 3.25% | ' | ' |
Maturity period loans | ' | ' | '126 months | ' | ' |
Credit_Quality_Indicators_Deta
Credit Quality Indicators (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | $308,930 | $297,763 |
Pass | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 279,678 | 257,764 |
Special Mention | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 15,775 | 20,797 |
Sub-standard | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 13,477 | 19,202 |
Doubtful | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 0 |
Not Rated | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 0 |
Commercial real estate, Owner occupied | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 84,135 | 94,881 |
Commercial real estate, Owner occupied | Pass | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 70,512 | 78,327 |
Commercial real estate, Owner occupied | Special Mention | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 7,419 | 5,954 |
Commercial real estate, Owner occupied | Sub-standard | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 6,204 | 10,600 |
Commercial real estate, Owner occupied | Doubtful | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 0 |
Commercial real estate, Owner occupied | Not Rated | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 0 |
Commercial real estate, Non-owner occupied | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 96,231 | 83,119 |
Commercial real estate, Non-owner occupied | Pass | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 87,290 | 72,270 |
Commercial real estate, Non-owner occupied | Special Mention | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 5,993 | 6,519 |
Commercial real estate, Non-owner occupied | Sub-standard | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 2,948 | 4,330 |
Commercial real estate, Non-owner occupied | Doubtful | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 0 |
Commercial real estate, Non-owner occupied | Not Rated | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 0 |
Commercial real estate, Other | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 19,806 | 22,651 |
Commercial real estate, Other | Pass | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 19,459 | 17,855 |
Commercial real estate, Other | Special Mention | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 4,433 |
Commercial real estate, Other | Sub-standard | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 347 | 363 |
Commercial real estate, Other | Doubtful | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 0 |
Commercial real estate, Other | Not Rated | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 0 |
Commercial | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 108,758 | 97,112 |
Commercial | Pass | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 102,417 | 89,312 |
Commercial | Special Mention | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 2,363 | 3,891 |
Commercial | Sub-standard | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 3,978 | 3,909 |
Commercial | Doubtful | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | 0 | 0 |
Commercial | Not Rated | ' | ' |
Risk category of loans by class of loans | ' | ' |
Total risk category of loans by class of loans | $0 | $0 |
Credit_Quality_Indicators_Deta1
Credit Quality Indicators (Details 1) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | $611,349 | $586,592 |
Residential real estate, 1-4 family residential | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 139,051 | 132,072 |
Residential real estate, Home equity lines of credit | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 26,151 | 24,110 |
Consumer, Indirect | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 124,085 | 119,720 |
Consumer, Direct | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 10,526 | 11,160 |
Consumer, Other | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 2,606 | 1,767 |
Performing | Residential real estate, 1-4 family residential | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 135,826 | 129,533 |
Performing | Residential real estate, Home equity lines of credit | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 25,865 | 23,580 |
Performing | Consumer, Indirect | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 124,003 | 119,577 |
Performing | Consumer, Direct | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 10,512 | 11,141 |
Performing | Consumer, Other | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 2,599 | 1,766 |
Nonperforming | Residential real estate, 1-4 family residential | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 3,225 | 2,539 |
Nonperforming | Residential real estate, Home equity lines of credit | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 286 | 530 |
Nonperforming | Consumer, Indirect | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 82 | 143 |
Nonperforming | Consumer, Direct | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | 14 | 19 |
Nonperforming | Consumer, Other | ' | ' |
Investment in residential, consumer and indirect auto loans based on payment activity | ' | ' |
Loans | $7 | $1 |
Credit_Quality_Indicators_Deta2
Credit Quality Indicators (Details Textual) (USD $) | Sep. 30, 2013 |
In Thousands, unless otherwise specified | |
Credit Quality Indicators (Textual) [Abstract] | ' |
Maximum commercial loan and commercial real estate relationships | $300 |
Interest_Rate_Swaps_Details
Interest Rate Swaps (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Summary information about interesrt-rate swaps | ' | ' |
Weighted average fixed pay rate on interest-rate swaps | 4.19% | 4.07% |
Weighted average variable receive rate on interest-rate swaps | 3.08% | 2.99% |
Weighted average maturity (years) | '4 years 3 months 18 days | '5 years 9 months 18 days |
Fair value of combined interest-rate swaps | $160 | $120 |
Interest Rate Swap | ' | ' |
Summary information about interesrt-rate swaps | ' | ' |
Notional amounts | $16,548 | $7,060 |
Interest_Rate_Swaps_Details_Te
Interest Rate Swaps (Details Textual) (Interest Rate Swap, USD $) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2013 | Sep. 30, 2013 | |
Interest Rate Swap | ' | ' |
Interest Rate Swaps (Textual) [Abstract] | ' | ' |
Net Gain or Loss recognized in earnings | $0 | $0 |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Basic EPS computation | ' | ' | ' | ' |
NET INCOME | $1,612 | $2,489 | $5,485 | $7,295 |
Denominator – Weighted average shares outstanding | 18,775,980 | 18,802,269 | 18,772,664 | 18,789,449 |
Basic earnings per share | $0.09 | $0.13 | $0.29 | $0.39 |
Diluted EPS computation | ' | ' | ' | ' |
NET INCOME | $1,612 | $2,489 | $5,485 | $7,295 |
Denominator – Weighted average shares outstanding | 18,775,980 | 18,802,269 | 18,772,664 | 18,789,449 |
Effect of Stock Options | 0 | 0 | 0 | 0 |
Weighted averages shares for diluted earnings per share | 18,775,980 | 18,802,269 | 18,772,664 | 18,789,449 |
Diluted earnings per share | $0.09 | $0.13 | $0.29 | $0.39 |
Earnings_Per_Share_Details_Tex
Earnings Per Share (Details Textual) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Disclosure Earnings Per Share Details Textual [Line Items] | ' | ' | ' | ' |
Stock options not considered in computing of diluted earnings per share | 5,000 | 5,000 | 5,000 | 5,000 |
Stock_Based_Compensation_Detai
Stock Based Compensation (Details Textual) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
Restricted Stock Award | ||||
Stock Based Compensation (Textual) [Abstract] | ' | ' | ' | ' |
Permits the award of shares to its directors and employees | 375,000 | 375,000 | ' | 500,000 |
Stock Based Compensation (Additional Textual) [Abstract] | ' | ' | ' | ' |
Shares awarded under equity plan | 0 | 0 | 0 | ' |
Vesting period under stock option plan | ' | '5 years | ' | ' |
Contractual terms of options granted | ' | '10 years | ' | ' |
Outstanding options under stock option plan | 5,000 | 5,000 | ' | ' |
Intrinsic Value of outstanding options | $0 | $0 | ' | ' |
Income tax benefit recorded against income for stock option plan | $0 | $0 | ' | ' |
Other_Comprehensive_Income_Los2
Other Comprehensive Income (Loss) (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Disclosure Other Comprehensive Income Loss Detail [Line Items] | ' | ' | ' | ' | ||||
Net unrealized holding gains (losses) on available for sale securities | ($5,939) | $695 | ($17,399) | $2,438 | ||||
Reclassification adjustment for (gains) losses realized in income | -597 | [1] | -473 | [1] | -853 | [1] | -473 | [1] |
Net unrealized gains (losses) on available-for-sale securities, before tax | -6,536 | 222 | -18,252 | 1,965 | ||||
Unrealized holding gains (losses) on available-for-sale securities during the period, tax | 2,077 | -243 | 6,090 | -853 | ||||
Reclassification adjustment for (gains) losses included in net income, tax | 209 | [1] | 166 | [1] | 298 | [1] | 166 | [1] |
Income tax effect | 2,286 | -77 | 6,388 | -687 | ||||
Unrealized holding gains (losses) on available-for-sale securities during the period, net of tax | -3,862 | 452 | -11,309 | 1,585 | ||||
Reclassification adjustment for (gains) losses included in net income, net of tax | -388 | [1] | -307 | [1] | -555 | [1] | -307 | [1] |
Net unrealized gains (losses) on available-for-sale securities, net of tax | ($4,250) | $145 | ($11,864) | $1,278 | ||||
[1] | Pre-tax reclassification adjustments relating to available-for-sale securities are reported in security gains and the tax impact is included in income tax expense on the consolidated statements of income. |
Fair_Value_Details
Fair Value (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | $438,127 | $464,088 |
Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 438,127 | 464,088 |
Yield maintenance provisions | 160 | 120 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 121 | 437 |
Yield maintenance provisions | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 437,995 | 463,640 |
Yield maintenance provisions | 160 | 120 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 11 | 11 |
Yield maintenance provisions | 0 | 0 |
U.S. Treasury and U.S. government sponsored entities | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 55,236 | 67,978 |
U.S. Treasury and U.S. government sponsored entities | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 55,236 | 67,978 |
U.S. Treasury and U.S. government sponsored entities | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
U.S. Treasury and U.S. government sponsored entities | Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 55,236 | 67,978 |
U.S. Treasury and U.S. government sponsored entities | Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
State and political subdivisions | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 106,275 | 95,288 |
State and political subdivisions | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 106,275 | 95,288 |
State and political subdivisions | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
State and political subdivisions | Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 106,275 | 95,288 |
State and political subdivisions | Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Corporate bonds | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 1,525 | 2,128 |
Corporate bonds | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 1,525 | 2,128 |
Corporate bonds | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Corporate bonds | Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 1,525 | 2,128 |
Corporate bonds | Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Mortgage-backed securities - residential | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 221,120 | 236,218 |
Mortgage-backed securities - residential | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 221,120 | 236,218 |
Mortgage-backed securities - residential | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Mortgage-backed securities - residential | Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 221,109 | 236,207 |
Mortgage-backed securities - residential | Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 11 | 11 |
Collateralized mortgage obligations | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 29,628 | 40,595 |
Collateralized mortgage obligations | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 29,628 | 40,595 |
Collateralized mortgage obligations | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Collateralized mortgage obligations | Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 29,628 | 40,595 |
Collateralized mortgage obligations | Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Small business administration | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 24,222 | 21,444 |
Small business administration | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 24,222 | 21,444 |
Small business administration | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Small business administration | Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 24,222 | 21,444 |
Small business administration | Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Equity securities | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 121 | 437 |
Equity securities | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 121 | 437 |
Equity securities | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 121 | 437 |
Equity securities | Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Equity securities | Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Securities available for sale | 0 | 0 |
Interest Rate Swap | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Derivative assets | 160 | 120 |
Interest Rate Swap | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Derivative assets | 0 | 0 |
Interest Rate Swap | Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Derivative assets | 160 | 120 |
Interest Rate Swap | Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Assets measured at fair value on a recurring basis | ' | ' |
Derivative assets | $0 | $0 |
Fair_Value_Details_1
Fair Value (Details 1) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Reconciliation for all assets measured at fair value on a recurring basis using significant unobservable inputs | ' | ' | ' | ' |
Beginning balance | $11 | $11 | $11 | $12 |
Total unrealized gains or losses: | ' | ' | ' | ' |
Included in other comprehensive income or loss | 0 | 0 | 0 | 0 |
Repayments | 0 | 0 | 0 | -1 |
Transfer in and/or out of Level 3 | 0 | 0 | 0 | 0 |
Ending balance | $11 | $11 | $11 | $11 |
Fair_Value_Details_2
Fair Value (Details 2) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | $12,196 | $11,376 |
Commercial real estate, Owner occupied | Nonrecurring | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 2,370 | 928 |
Commercial real estate, Owner occupied | Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
Commercial real estate, Owner occupied | Nonrecurring | Significant Other Observable Inputs (Level 2) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
Commercial real estate, Owner occupied | Nonrecurring | Significant Unobservable Inputs (Level 3) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 2,370 | 928 |
Commercial real estate, Non-owner occupied | Nonrecurring | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 418 | 775 |
Commercial real estate, Non-owner occupied | Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
Commercial real estate, Non-owner occupied | Nonrecurring | Significant Other Observable Inputs (Level 2) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
Commercial real estate, Non-owner occupied | Nonrecurring | Significant Unobservable Inputs (Level 3) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 418 | 775 |
Commercial | Nonrecurring | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 703 | 869 |
Commercial | Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
Commercial | Nonrecurring | Significant Other Observable Inputs (Level 2) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
Commercial | Nonrecurring | Significant Unobservable Inputs (Level 3) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 703 | 869 |
1-4 family residential, Residential | Nonrecurring | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 409 | 43 |
1-4 family residential, Residential | Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
1-4 family residential, Residential | Nonrecurring | Significant Other Observable Inputs (Level 2) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
1-4 family residential, Residential | Nonrecurring | Significant Unobservable Inputs (Level 3) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 409 | 43 |
HELOC | Nonrecurring | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 96 | ' |
HELOC | Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | ' |
HELOC | Nonrecurring | Significant Other Observable Inputs (Level 2) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | ' |
HELOC | Nonrecurring | Significant Unobservable Inputs (Level 3) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 96 | ' |
Residential real estate, 1-4 family residential | Nonrecurring | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 33 | 57 |
Residential real estate, 1-4 family residential | Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
Residential real estate, 1-4 family residential | Nonrecurring | Significant Other Observable Inputs (Level 2) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | 0 | 0 |
Residential real estate, 1-4 family residential | Nonrecurring | Significant Unobservable Inputs (Level 3) | ' | ' |
Fair value assets measured on non-recurring basis | ' | ' |
Recorded Investment | $33 | $57 |
Fair_Value_Details_3
Fair Value (Details 3) (USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Sales comparison Valuation | Commercial Real Estate | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Fair value | $2,585 | $1,548 |
Fair Value Measurements Valuation Technique(s) Description | 'Salescomparison | 'Sales comparison |
Sales comparison Valuation | Commercial Real Estate | Minimum | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | -42.96% | -11.30% |
Sales comparison Valuation | Commercial Real Estate | Maximum | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | 47.57% | 14.12% |
Sales comparison Valuation | Commercial Real Estate | Weighted Average | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | -3.43% | -4.38% |
Sales comparison Valuation | Commercial | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Fair value | 703 | 869 |
Fair Value Measurements Valuation Technique(s) Description | 'Salescomparison | 'Sales comparison |
Sales comparison Valuation | Commercial | Minimum | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | -25.56% | -45.19% |
Sales comparison Valuation | Commercial | Maximum | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | 33.03% | 20.19% |
Sales comparison Valuation | Commercial | Weighted Average | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | -21.49% | -27.05% |
Sales comparison Valuation | 1-4 family residential, Residential | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Fair value | 505 | 43 |
Fair Value Measurements Valuation Technique(s) Description | 'Salescomparison | 'Sales comparison |
Sales comparison Valuation | 1-4 family residential, Residential | Minimum | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | -46.81% | -46.81% |
Sales comparison Valuation | 1-4 family residential, Residential | Maximum | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | 23.45% | 23.45% |
Sales comparison Valuation | 1-4 family residential, Residential | Weighted Average | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | -9.75% | -36.40% |
Income Approach Valuation | Commercial Real Estate | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Fair value | $203 | $155 |
Fair Value Measurements Valuation Technique(s) Description | 'Incomeapproach | 'Income approach |
Income Approach Valuation | Commercial Real Estate | Minimum | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | -13.64% | ' |
Income Approach Valuation | Commercial Real Estate | Maximum | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | 12.93% | 19.40% |
Income Approach Valuation | Commercial Real Estate | Weighted Average | ' | ' |
Fair value measurements for financial instruments | ' | ' |
Adjustment for differences between comparable sales, Percent | -5.96% | -5.47% |
Fair_Value_Details_4
Fair Value (Details 4) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Financial assets | ' | ' | ' | ' |
Cash and cash equivalents, Carrying Amount | $40,303 | $37,759 | $79,494 | $52,422 |
Restricted stock, Carrying Amount | 4,224 | 4,224 | ' | ' |
Loans held for sale, Carrying Amount | 1,016 | 3,624 | ' | ' |
Loans, net, Carrying Amount | 603,980 | 578,963 | ' | ' |
Accrued interest receivable, Carrying Amount | 3,783 | 3,679 | ' | ' |
Cash and cash equivalents, Fair Value | 40,303 | 37,759 | ' | ' |
Loans held for sale, Fair Value | 1,034 | 3,691 | ' | ' |
Loans, net, Fair Value | 610,718 | 586,359 | ' | ' |
Accrued interest receivable, Fair Value | 3,783 | 3,679 | ' | ' |
Financial liabilities | ' | ' | ' | ' |
Deposits, Carrying Amount | 903,410 | 919,009 | ' | ' |
Short-term borrowings, Carrying Amount | 98,243 | 79,886 | ' | ' |
Long-term borrowings | 20,079 | 10,423 | ' | ' |
Accrued interest payable, Carrying Amount | 455 | 479 | ' | ' |
Deposits, Fair Value | 904,976 | 924,490 | ' | ' |
Short-term borrowings, Fair Value | 98,243 | 79,886 | ' | ' |
Long-term borrowings, Fair Value | 20,872 | 11,690 | ' | ' |
Accrued interest payable, Fair value | 455 | 479 | ' | ' |
Level 1 | ' | ' | ' | ' |
Financial assets | ' | ' | ' | ' |
Cash and cash equivalents, Fair Value | 13,690 | 14,209 | ' | ' |
Loans held for sale, Fair Value | 0 | 0 | ' | ' |
Loans, net, Fair Value | 0 | 0 | ' | ' |
Accrued interest receivable, Fair Value | 0 | 0 | ' | ' |
Financial liabilities | ' | ' | ' | ' |
Deposits, Fair Value | 675,349 | 683,660 | ' | ' |
Short-term borrowings, Fair Value | 0 | 0 | ' | ' |
Long-term borrowings, Fair Value | 0 | 0 | ' | ' |
Accrued interest payable, Fair value | 2 | 2 | ' | ' |
Level 2 | ' | ' | ' | ' |
Financial assets | ' | ' | ' | ' |
Cash and cash equivalents, Fair Value | 26,613 | 23,550 | ' | ' |
Loans held for sale, Fair Value | 1,034 | 3,691 | ' | ' |
Loans, net, Fair Value | 0 | 0 | ' | ' |
Accrued interest receivable, Fair Value | 2,173 | 2,051 | ' | ' |
Financial liabilities | ' | ' | ' | ' |
Deposits, Fair Value | 229,627 | 240,830 | ' | ' |
Short-term borrowings, Fair Value | 98,243 | 79,886 | ' | ' |
Long-term borrowings, Fair Value | 20,872 | 11,690 | ' | ' |
Accrued interest payable, Fair value | 453 | 477 | ' | ' |
Level 3 | ' | ' | ' | ' |
Financial assets | ' | ' | ' | ' |
Cash and cash equivalents, Fair Value | 0 | 0 | ' | ' |
Loans held for sale, Fair Value | 0 | 0 | ' | ' |
Loans, net, Fair Value | 610,718 | 586,359 | ' | ' |
Accrued interest receivable, Fair Value | 1,610 | 1,628 | ' | ' |
Financial liabilities | ' | ' | ' | ' |
Deposits, Fair Value | 0 | 0 | ' | ' |
Short-term borrowings, Fair Value | 0 | 0 | ' | ' |
Long-term borrowings, Fair Value | 0 | 0 | ' | ' |
Accrued interest payable, Fair value | $0 | $0 | ' | ' |
Fair_Value_Details_Textual
Fair Value (Details Textual) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
Fair Value (Textual) [Abstract] | ' | ' | ' | ' | ' |
Impaired loans carried at fair value | $4,400,000 | ' | $4,400,000 | ' | $2,600,000 |
Impaired loans collateral dependent loans valuation allowance | 450,000 | ' | 450,000 | ' | 25,000 |
Additional provision for loan losses | 431,000 | 246,000 | 714,000 | 665,000 | ' |
Troubled debt restructurings not carried at fair value | ' | ' | $2,300,000 | ' | $4,300,000 |
Maximum maturity period of short term borrowings | ' | ' | '90 days | ' | ' |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Dec. 31, 2011 |
ASSETS | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents, Carrying Amount | $40,303 | $79,494 | $40,303 | $79,494 | $37,759 | $52,422 |
Securities available for sale | 438,127 | ' | 438,127 | ' | 464,088 | ' |
Loans held for sale | 1,016 | ' | 1,016 | ' | 3,624 | ' |
Loans, net, Carrying Amount | 603,980 | ' | 603,980 | ' | 578,963 | ' |
Premises and equipment, net | 17,567 | ' | 17,567 | ' | 18,429 | ' |
Goodwill and other intangibles | 10,546 | ' | 10,546 | ' | 6,032 | ' |
Other assets | 36,580 | ' | 36,580 | ' | 30,800 | ' |
Total Assets | 1,148,119 | ' | 1,148,119 | ' | 1,139,695 | ' |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ' | ' | ' | ' | ' | ' |
Deposits, borrowings and other liabilities | 1,035,595 | ' | 1,035,595 | ' | 1,018,903 | ' |
Stockholders’ equity | 112,524 | ' | 112,524 | ' | 120,792 | ' |
Total Liabilities and Stockholders’ Equity | 1,148,119 | ' | 1,148,119 | ' | 1,139,695 | ' |
Net interest income | 8,848 | 9,101 | 26,855 | 27,642 | ' | ' |
Provision for loan losses | 340 | 325 | 765 | 725 | ' | ' |
Service fees, security gains and other noninterest income | 4,173 | 3,367 | 10,273 | 8,952 | ' | ' |
Noninterest expense | 10,926 | 8,896 | 29,836 | 26,344 | ' | ' |
Income before taxes | 1,755 | 3,247 | 6,527 | 9,525 | ' | ' |
INCOME TAXES | 143 | 758 | 1,042 | 2,230 | ' | ' |
NET INCOME | 1,612 | 2,489 | 5,485 | 7,295 | ' | ' |
Trust Segment | ' | ' | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents, Carrying Amount | 591 | ' | 591 | ' | 636 | ' |
Securities available for sale | 4,675 | ' | 4,675 | ' | 4,695 | ' |
Loans held for sale | 0 | ' | 0 | ' | 0 | ' |
Loans, net, Carrying Amount | 0 | ' | 0 | ' | 0 | ' |
Premises and equipment, net | 97 | ' | 97 | ' | 100 | ' |
Goodwill and other intangibles | 5,738 | ' | 5,738 | ' | 6,032 | ' |
Other assets | 562 | ' | 562 | ' | 546 | ' |
Total Assets | 11,663 | ' | 11,663 | ' | 12,009 | ' |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ' | ' | ' | ' | ' | ' |
Deposits, borrowings and other liabilities | 640 | ' | 640 | ' | 302 | ' |
Stockholders’ equity | 11,023 | ' | 11,023 | ' | 11,707 | ' |
Total Liabilities and Stockholders’ Equity | 11,663 | ' | 11,663 | ' | 12,009 | ' |
Net interest income | 11 | 13 | 34 | 35 | ' | ' |
Provision for loan losses | 0 | 0 | 0 | 0 | ' | ' |
Service fees, security gains and other noninterest income | 1,389 | 1,347 | 4,167 | 4,166 | ' | ' |
Noninterest expense | 1,213 | 1,215 | 3,711 | 3,742 | ' | ' |
Income before taxes | 187 | 145 | 490 | 459 | ' | ' |
INCOME TAXES | 65 | 51 | 170 | 161 | ' | ' |
NET INCOME | 122 | 94 | 320 | 298 | ' | ' |
Bank Segment | ' | ' | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents, Carrying Amount | 39,627 | ' | 39,627 | ' | 37,191 | ' |
Securities available for sale | 433,330 | ' | 433,330 | ' | 459,246 | ' |
Loans held for sale | 1,016 | ' | 1,016 | ' | 3,624 | ' |
Loans, net, Carrying Amount | 603,980 | ' | 603,980 | ' | 578,963 | ' |
Premises and equipment, net | 17,400 | ' | 17,400 | ' | 18,329 | ' |
Goodwill and other intangibles | 0 | ' | 0 | ' | 0 | ' |
Other assets | 35,293 | ' | 35,293 | ' | 29,758 | ' |
Total Assets | 1,130,646 | ' | 1,130,646 | ' | 1,127,111 | ' |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ' | ' | ' | ' | ' | ' |
Deposits, borrowings and other liabilities | 1,034,674 | ' | 1,034,674 | ' | 1,022,092 | ' |
Stockholders’ equity | 95,972 | ' | 95,972 | ' | 105,019 | ' |
Total Liabilities and Stockholders’ Equity | 1,130,646 | ' | 1,130,646 | ' | 1,127,111 | ' |
Net interest income | 8,840 | 9,091 | 26,831 | 27,624 | ' | ' |
Provision for loan losses | 340 | 325 | 765 | 725 | ' | ' |
Service fees, security gains and other noninterest income | 2,489 | 1,973 | 5,781 | 4,728 | ' | ' |
Noninterest expense | 8,774 | 7,373 | 24,406 | 21,793 | ' | ' |
Income before taxes | 2,215 | 3,366 | 7,441 | 9,834 | ' | ' |
INCOME TAXES | 298 | 797 | 1,349 | 2,330 | ' | ' |
NET INCOME | 1,917 | 2,569 | 6,092 | 7,504 | ' | ' |
Eliminations And Others | ' | ' | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents, Carrying Amount | 85 | ' | 85 | ' | -68 | ' |
Securities available for sale | 122 | ' | 122 | ' | 147 | ' |
Loans held for sale | 0 | ' | 0 | ' | 0 | ' |
Loans, net, Carrying Amount | 0 | ' | 0 | ' | 0 | ' |
Premises and equipment, net | 70 | ' | 70 | ' | 0 | ' |
Goodwill and other intangibles | 4,808 | ' | 4,808 | ' | 0 | ' |
Other assets | 725 | ' | 725 | ' | 496 | ' |
Total Assets | 5,810 | ' | 5,810 | ' | 575 | ' |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ' | ' | ' | ' | ' | ' |
Deposits, borrowings and other liabilities | 281 | ' | 281 | ' | -3,491 | ' |
Stockholders’ equity | 5,529 | ' | 5,529 | ' | 4,066 | ' |
Total Liabilities and Stockholders’ Equity | 5,810 | ' | 5,810 | ' | 575 | ' |
Net interest income | -3 | -3 | -10 | -17 | ' | ' |
Provision for loan losses | 0 | 0 | 0 | 0 | ' | ' |
Service fees, security gains and other noninterest income | 295 | 47 | 325 | 58 | ' | ' |
Noninterest expense | 939 | 308 | 1,719 | 809 | ' | ' |
Income before taxes | -647 | -264 | -1,404 | -768 | ' | ' |
INCOME TAXES | -220 | -90 | -477 | -261 | ' | ' |
NET INCOME | ($427) | ($174) | ($927) | ($507) | ' | ' |
Business_Combination_Details_T
Business Combination (Details Textual) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
Business Acquisition [Line Items] | ' | ' | ' | ' | ' |
Merger related costs | $9,000 | $0 | $270,000 | $0 | ' |
Goodwill | 6,343,000 | ' | 6,343,000 | ' | 3,709,000 |
Net loss | 1,612,000 | 2,489,000 | 5,485,000 | 7,295,000 | ' |
National Associates Inc. | ' | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' | ' |
Fair value of total consideration transferred | ' | ' | 4,420,000 | ' | ' |
Contingent future payments | 1,400,000 | ' | 1,400,000 | ' | ' |
Contingent consideration | 920,000 | ' | 920,000 | ' | ' |
Fair value assumptions, expected term period | ' | ' | '2 years | ' | ' |
Fair value assumptions, expected volatility rate | ' | ' | 20.00% | ' | ' |
Fair value inputs, earnings before interest, taxes, depreciation, and amortization discount rate | ' | ' | 11.90% | ' | ' |
Merger related costs | 9,000 | ' | 270,000 | ' | ' |
Business Acquisition, Effective Date of Acquisition | ' | ' | 1-Jul-13 | ' | ' |
Goodwill | 2,634,000 | ' | 2,634,000 | ' | ' |
Fair value of other intangible assets | 2,290,000 | ' | 2,290,000 | ' | ' |
Revenues | ' | ' | 279,000 | ' | ' |
Net loss | ' | ' | $98,000 | ' | ' |
National Associates Inc. | Minimum | ' | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' | ' |
Fair value inputs, earnings before interest, taxes, depreciation, and amortization | ' | ' | 6.00% | ' | ' |
National Associates Inc. | Maximum | ' | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' | ' |
Fair value inputs, earnings before interest, taxes, depreciation, and amortization | ' | ' | 12.00% | ' | ' |
Business_Combination_Detail
Business Combination (Detail) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 |
National Associates Inc. | |||
Consideration | ' | ' | ' |
Cash | ' | ' | $2,100,000 |
Stock | ' | ' | 1,400,000 |
Contingent consideration | ' | ' | 920,000 |
Fair value of total consideration transferred | ' | ' | 4,420,000 |
Assets acquired and liabilities assumed | ' | ' | ' |
Cash | ' | ' | 28,000 |
Accounts receivable | ' | ' | 300,000 |
Premises and equipment | ' | ' | 50,000 |
Other assets | ' | ' | 1,000 |
Total assets acquired | ' | ' | 379,000 |
Liabilities assumed | ' | ' | 81,000 |
Net assets acquired | ' | ' | 298,000 |
Assets and liabilities arising from acquisition | ' | ' | ' |
Identified intangible assets | ' | ' | 2,290,000 |
Deferred tax liability | ' | ' | -802,000 |
Goodwill | 6,343,000 | 3,709,000 | 2,634,000 |
Net assets acquired from acquisition | ' | ' | $4,420,000 |