Penns Woods Bancorp (PWOD) 10-K 10 Mar 16 2015 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2015	Mar. 01, 2016	Jun. 30, 2015
Document and Entity Information
Entity Registrant Name	PENNS WOODS BANCORP INC
Entity Central Index Key	716,605
Document Type	10-K
Document Period End Date	Dec. 31, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float			$ 210,101,151
Entity Common Stock, Shares Outstanding		4,738,166
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	FY

CONSOLIDATED BALANCE SHEET

CONSOLIDATED BALANCE SHEET - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
ASSETS:
Noninterest-bearing balances	$ 22,044	$ 19,403
Interest-bearing deposits in other financial institutions	752	505
Total cash and cash equivalents	22,796	19,908
Investment securities available for sale, at fair value	176,157	232,213
Investment securities, trading	73	0
Loans held for sale	757	550
Loans	1,045,207	915,579
Allowance for loan losses	(12,044)	(10,579)
Loans, net	1,033,163	905,000
Premises and equipment, net	21,830	21,109
Accrued interest receivable	3,686	3,912
Bank-owned life insurance	26,667	25,959
Investment in limited partnerships	899	1,560
Goodwill	17,104	17,104
Intangibles	1,240	1,456
Deferred tax asset	8,990	8,101
Other assets	6,695	8,139
TOTAL ASSETS	1,320,057	1,245,011
LIABILITIES:
Interest-bearing deposits	751,797	738,041
Noninterest-bearing deposits	280,083	243,378
Total deposits	1,031,880	981,419
Short-term borrowings	46,638	40,818
Long-term borrowings	91,025	71,176
Accrued interest payable	426	381
Other liabilities	13,809	15,250
TOTAL LIABILITIES	1,183,778	1,109,044
SHAREHOLDERS’ EQUITY:
Preferred stock, no par value, 3,000,000 shares authorized; no shares issued	0	0
Common stock, par value $8.33, 15,000,000 shares authorized; 5,004,984 and 5,002,649 shares issued	41,708	41,688
Additional paid-in capital	49,992	49,896
Retained earnings	58,038	53,107
Accumulated other comprehensive loss:
Net unrealized gain on available for sale securities	258	2,930
Defined benefit plan	(4,057)	(4,597)
Treasury stock at cost, 257,852 and 197,834 shares	(9,660)	(7,057)
TOTAL SHAREHOLDERS’ EQUITY	136,279	135,967
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$ 1,320,057	$ 1,245,011

CONSOLIDATED BALANCE SHEET (Par

CONSOLIDATED BALANCE SHEET (Parenthetical) - $ / shares	Dec. 31, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Preferred stock, shares authorized (in shares)	3,000,000	3,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 8.33	$ 8.33
Common stock, shares authorized (in shares)	15,000,000	15,000,000
Common stock, shares issued (in shares)	5,004,984	5,002,649
Treasury stock, shares (in shares)	257,852	197,834

CONSOLIDATED STATEMENT OF INCOM

CONSOLIDATED STATEMENT OF INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
INTEREST AND DIVIDEND INCOME:
Loans, including fees	$ 39,134	$ 36,495	$ 32,353
Investment securities:
Taxable	3,426	5,111	6,034
Tax-exempt	2,795	3,453	4,602
Dividend and other interest income	769	547	310
TOTAL INTEREST AND DIVIDEND INCOME	46,124	45,606	43,299
INTEREST EXPENSE:
Deposits	3,129	2,995	3,221
Short-term borrowings	116	54	81
Long-term borrowings	1,974	1,913	1,962
TOTAL INTEREST EXPENSE	5,219	4,962	5,264
NET INTEREST INCOME	40,905	40,644	38,035
PROVISION FOR LOAN LOSSES	2,300	2,850	2,275
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES	38,605	37,794	35,760
NON-INTEREST INCOME:
Service charges	2,383	2,419	2,307
Securities gains, available for sale	2,592	3,515	2,417
Securities losses, trading	(22)	0	0
Bank-owned life insurance	720	923	677
Gain on sale of loans	1,743	1,803	1,438
Insurance commissions	781	1,146	1,084
Brokerage commissions	1,064	1,077	1,018
Other	3,504	3,625	3,101
TOTAL NON-INTEREST INCOME	12,765	14,508	12,042
NON-INTEREST EXPENSE:
Salaries and employee benefits	17,023	17,273	15,415
Occupancy	2,248	2,301	1,905
Furniture and equipment	2,622	2,536	1,815
Pennsylvania shares tax	954	907	864
Amortization of investment in limited partnerships	661	661	661
Federal Deposit Insurance Corporation deposit insurance	867	746	594
Marketing	612	532	517
Intangible amortization	311	345	213
Other	8,438	8,589	8,283
TOTAL NON-INTEREST EXPENSE	33,736	33,890	30,267
INCOME BEFORE INCOME TAX PROVISION	17,634	18,412	17,535
INCOME TAX PROVISION	3,736	3,804	3,451
NET INCOME	$ 13,898	$ 14,608	$ 14,084
EARNINGS PER SHARE - BASIC AND DILUTED (in dollars per share)	$ 2.91	$ 3.03	$ 3.19
WEIGHTED AVERAGE SHARES OUTSTANDING - BASIC AND DILUTED (in shares)	4,772,239	4,816,149	4,410,626
DIVIDENDS PER SHARE (in dollars per share)	$ 1.88	$ 1.88	$ 2.13

CONSOLIDATED STATEMENT OF COMPR

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Statement of Comprehensive Income [Abstract]
Net Income	$ 13,898	$ 14,608	$ 14,084
Other comprehensive (loss) income:
Change in unrealized gain (loss) on available for sale securities	(1,457)	11,242	(16,270)
Tax effect	495	(3,822)	5,532
Net realized gain included in net income	(2,592)	(3,515)	(2,417)
Tax effect	882	1,195	822
Amortization (accretion) of unrecognized pension and post-retirement items	817	(2,837)	3,155
Tax effect	(277)	964	(1,073)
Total other comprehensive (loss) income	(2,132)	3,227	(10,251)
Comprehensive income	$ 11,766	$ 17,835	$ 3,833

CONSOLIDATED STATEMENT OF CHANG

CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Total	COMMON STOCK	ADDITIONAL PAID-IN CAPITAL	RETAINED EARNINGS	ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME	TREASURY STOCK
Balance (in shares) at Dec. 31, 2012		4,019,112
Balance at Dec. 31, 2012	$ 93,726	$ 33,492	$ 18,157	$ 43,030	$ 5,357	$ (6,310)
Increase (Decrease) in Stockholders' Equity
Net income	14,084			14,084
Other comprehensive income (loss)	(10,251)				(10,251)
Dividends declared	(9,560)			(9,560)
Common shares issued for acquisition of Luzerne National Bank Corporation (in shares)		978,977
Common shares issued for acquisition of Luzerne National Bank Corporation	39,736	$ 8,158	31,578
Common shares issued for employee stock purchase plan (in shares)		1,840
Common shares issued for employee stock purchase plan	80	$ 15	65
Balance (in shares) at Dec. 31, 2013		4,999,929
Balance at Dec. 31, 2013	127,815	$ 41,665	49,800	47,554	(4,894)	(6,310)
Increase (Decrease) in Stockholders' Equity
Net income	14,608			14,608
Other comprehensive income (loss)	3,227				3,227
Dividends declared	(9,055)			(9,055)
Common shares issued for employee stock purchase plan (in shares)		2,720
Common shares issued for employee stock purchase plan	119	$ 23	96
Purchase of treasury stock	(747)					(747)
Balance (in shares) at Dec. 31, 2014		5,002,649
Balance at Dec. 31, 2014	135,967	$ 41,688	49,896	53,107	(1,667)	(7,057)
Increase (Decrease) in Stockholders' Equity
Net income	13,898			13,898
Other comprehensive income (loss)	(2,132)				(2,132)
Dividends declared	(8,967)			(8,967)
Common shares issued for employee stock purchase plan (in shares)		2,335
Common shares issued for employee stock purchase plan	116	$ 20	96
Purchase of treasury stock	(2,603)					(2,603)
Balance (in shares) at Dec. 31, 2015		5,004,984
Balance at Dec. 31, 2015	$ 136,279	$ 41,708	$ 49,992	$ 58,038	$ (3,799)	$ (9,660)

CONSOLIDATED STATEMENT OF CHAN7

CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Statement of Stockholders' Equity [Abstract]
Dividends declared (in dollars per share)	$ 1.88	$ 1.88
Purchase of treasury stock (in shares)	60,018	17,238

CONSOLIDATED STATEMENT OF CASH

CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
OPERATING ACTIVITIES:
Net Income	$ 13,898	$ 14,608	$ 14,084
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	3,366	3,078	1,448
Amortization of intangible assets	311	345	213
Provision for loan losses	2,300	2,850	2,275
Accretion and amortization of investment security discounts and premiums	873	672	69
Securities gains, net	(2,592)	(3,515)	(2,417)
Originations of loans held for sale	(56,058)	(51,119)	(51,512)
Proceeds of loans held for sale	57,594	53,998	55,098
Gain on sale of loans	(1,743)	(1,803)	(1,438)
Net securities losses, trading	22	0	0
Proceeds from sales of trading securities	709	0	0
Purchases of trading securities	(804)	0	0
Earnings on bank-owned life insurance	(720)	(923)	(677)
Decrease in deferred tax asset	209	124	123
Other, net	(1,630)	423	61
Net cash provided by operating activities	15,735	18,738	17,327
Investment securities available for sale:
Proceeds from sales	65,672	102,145	79,114
Proceeds from calls and maturities	22,859	13,354	16,359
Purchases	(32,776)	(47,902)	(90,179)
Net increase in loans	(130,803)	(101,816)	(55,953)
Acquisition of bank premises and equipment	(2,285)	(2,795)	(4,918)
Proceeds from the sale of foreclosed assets	1,868	1,059	143
Purchase of bank-owned life insurance	(30)	(30)	(981)
Proceeds from bank-owned life insurance death benefit	0	367	0
Proceeds from redemption of regulatory stock	10,790	3,955	3,239
Purchases of regulatory stock	(12,818)	(4,583)	(2,384)
Acquisition, net of cash acquired	0	0	17,487
Net cash used for investing activities	(77,523)	(36,246)	(38,073)
FINANCING ACTIVITIES:
Net increase (decrease) in interest-bearing deposits	13,756	(17,584)	34,114
Net increase in noninterest-bearing deposits	36,705	26,001	19,906
Proceeds from long-term borrowings	30,625	0	452
Repayment of long-term borrowings	(10,776)	(26)	(5,528)
Net increase (decrease) in short-term borrowings	5,820	14,102	(9,254)
Dividends paid	(8,967)	(9,055)	(9,560)
Issuance of common stock	116	119	80
Purchase of treasury stock	(2,603)	(747)	0
Net cash provided by financing activities	64,676	12,810	30,210
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	2,888	(4,698)	9,464
CASH AND CASH EQUIVALENTS, BEGINNING	19,908	24,606	15,142
CASH AND CASH EQUIVALENTS, ENDING	22,796	19,908	24,606
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Interest paid	5,174	4,986	5,225
Income taxes paid	2,933	3,750	3,998
Transfer of loans to foreclosed real estate	$ 340	$ 2,166	470
Non-cash assets acquired:
Securities available for sale			21,783
Loans			250,377
Premises and equipment, net			8,014
Accrued interest receivable			726
Bank-owned life insurance			7,419
Intangibles			2,015
Other assets			2,636
Goodwill			14,072
Noncash Assets Acquired			307,042
Liabilities assumed:
Deferred tax liability			76
Interest-bearing deposits			194,438
Noninterest-bearing deposits			82,518
Short-term borrowings			2,766
Accrued interest payable			103
Other liabilities			4,892
Noncash Liabilities Assumed			284,793
Net non-cash assets acquired			22,249
Cash and cash equivalents acquired			$ 20,363

OPERATIONS AND SUMMARY OF SIGNI

OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation The accompanying consolidated financial statements include the accounts of Penns Woods Bancorp, Inc. and its wholly owned subsidiaries, Jersey Shore State Bank (“JSSB”), Luzerne Bank ("Luzerne" collectively with JSSB "Banks"), Woods Real Estate Development Co., Inc., Woods Investment Company, Inc., and The M Group Inc. D/B/A The Comprehensive Financial Group (“The M Group”), a wholly owned subsidiary of JSSB, (collectively, the “Company”). All significant intercompany balances and transactions have been eliminated. Nature of Business The Banks engage in a full-service commercial banking business, making available to the community a wide range of financial services including, but not limited to, installment loans, credit cards, mortgage and home equity loans, lines of credit, construction financing, farm loans, community development loans, loans to non-profit entities and local government, and various types of demand and time deposits including, but not limited to, checking accounts, savings accounts, money market deposit accounts, certificates of deposit, and IRAs. Deposits are insured by the Federal Deposit Insurance Corporation (“FDIC”) to the extent provided by law. The financial services are provided by the Banks to individuals, partnerships, non-profit organizations, and corporations through their twenty-three offices located in Clinton, Lycoming, Centre, Montour, Union, and Luzerne Counties, Pennsylvania. Woods Real Estate Development Co., Inc. engages in real estate transactions on behalf of Penns Woods Bancorp, Inc. and the Banks. Woods Investment Company, Inc., a Delaware holding company, is engaged in investing activities. The M Group engages in securities brokerage and financial planning services, which include the sale of life insurance products, annuities, and estate planning services. Operations are managed and financial performance is evaluated on a corporate-wide basis. Accordingly, all financial service operations are considered by management to be aggregated in one reportable operating segment. Use of Estimates The preparation of financial statements 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 Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses, valuation of net deferred tax assets, impairment of goodwill, other than temporary impairment of debt and equity securities, fair value of financial instruments, and the valuation of real estate acquired through, or in lieu of, foreclosure on settlement of debt. Cash and Cash Equivalents Cash and cash equivalents include cash on hand and in banks and federal funds sold. Interest-earning deposits mature within 90 days and are carried at cost. Net cash flows are reported for loan, deposit, and short-term borrowing transactions. Restrictions on Cash and Cash Equivalents Based on deposit levels, the Banks must maintain cash and other reserves with the Federal Reserve Bank of Philadelphia (FRB). Investment Securities Investment securities are classified at the time of purchase, based on management’s intention and ability, as securities held to maturity, securities available for sale, or securities held for trading. Debt securities acquired with the intent and ability to hold to maturity are stated at cost, adjusted for amortization of premium and accretion of discount, which are computed using the interest method and recognized as adjustments of interest income. Certain other debt securities have been classified as available for sale to serve principally as a source of liquidity. Unrealized holding gains and losses for available for sale securities are reported as a separate component of shareholders’ equity, net of tax, until realized. Unrealized holding gains and losses for equity securities held for trading are recognized as a separate component within the income statement. Realized security gains and losses are computed using the specific identification method for debt securities and the average cost method for marketable equity securities. Interest and dividends on investment securities are recognized as income when earned. Securities are periodically reviewed for other-than-temporary impairment based upon a number of factors, including, but not limited to, the length of time and extent to which the fair value has been less than cost, the financial condition of the underlying issuer, the ability of the issuer to meet contractual obligations, the likelihood of the security’s ability to recover any decline in its fair value, whether it is more likely than not that the Company would be required to sell the security before its anticipated recovery in fair value, and a review of the Company’s capital adequacy, interest rate risk position, and liquidity. The assessment of a security’s ability to recover any decline in fair value, the ability of the issuer to meet contractual obligations, and management’s intent and ability requires considerable judgment. A decline in value that is considered to be other-than-temporary is recorded as a loss within non-interest income in the Consolidated Statement of Income. Investment securities fair values are based on observed market prices. Certain investment securities do not have observed bid prices and their fair value is based on instruments with similar risk elements. Since regulatory stock is redeemable at par, the Company carries it at cost. Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff generally are stated at the principal amount outstanding, net of deferred fees and discounts, unamortized loan fees and costs, and the allowance for loan losses. Interest on loans is recognized as income when earned on the accrual method. The Company’s general policy has been to stop accruing interest on loans when it is determined a reasonable doubt exists as to the collectability of additional interest. Income is subsequently recognized only to the extent that cash payments are received provided the loan is not delinquent in payment and, in management’s judgment, the borrower has the ability and intent to make future principal payments. Otherwise, payments are applied to the unpaid principal balance of the loan. Loans are restored to accrual status if certain conditions are met, including but not limited to, the repayment of all unpaid interest and scheduled principal due, ongoing performance consistent with the contractual agreement, and the future expectation of continued, timely payments. Loan origination and commitment fees as well as certain direct loan origination costs are being deferred and amortized as an adjustment to the related loan’s yield over the contractual lives of the related loans. Allowance for Loan Losses The allowance for loan losses represents the amount which management estimates is adequate to provide for probable losses inherent in its loan portfolio, as of the Consolidated Balance Sheet date. The allowance method is used in providing for loan losses. Accordingly, all loan losses are charged to the allowance and all recoveries are credited to it. The allowance for loan losses is established through a provision for loan losses charged to operations. The provision for loan losses is based upon management’s quarterly review of the loan portfolio. The purpose of the review is to assess loan quality, identify impaired loans, analyze delinquencies, ascertain loan growth, evaluate potential charge-offs and recoveries, and assess general economic conditions in the markets served. An external independent loan review is also performed annually for the Bank. Management remains committed to an aggressive program of problem loan identification and resolution. The allowance is calculated by applying loss factors to outstanding loans by type, excluding loans for which a specific allowance has been determined. Loss factors are based on management’s consideration of the nature of the portfolio segments, changes in mix and volume of the loan portfolio, historical loan loss experience, and general economic conditions. In addition, management considers industry standards and trends with respect to nonperforming loans and its knowledge and experience with specific lending segments. Although management believes that it uses the best information available to make such determinations and that the allowance for loan losses is adequate at December 31, 2015, future adjustments could be necessary if circumstances or economic conditions differ substantially from the assumptions used in making the initial determinations. A downturn in the local economy, rising unemployment, or negative performance trends in financial information from borrowers could be indicators of subsequent increased levels of nonperforming assets and possible charge-offs, which would normally require increased loan loss provisions. An integral part of the periodic regulatory examination process is the review of the adequacy of the Banks' loan loss allowance. The regulatory agencies could require the Banks, based on their evaluation of information available at the time of their examination, to provide additional loan loss provisions to further supplement the allowance. Impaired loans are commercial and commercial real estate loans for which it is probable the Banks will not be able to collect all amounts due according to the contractual terms of the loan agreement. The Banks individually evaluate such loans for impairment and do not aggregate loans by major risk classifications. The definition of “impaired loans” is not the same as the definition of “nonaccrual loans,” although the two categories overlap. The Banks may choose to place a loan on nonaccrual status due to payment delinquency or uncertain collectability, while not classifying the loan as impaired if the loan is not a commercial or commercial real estate loan. Factors considered by management in determining impairment include payment status and collateral value. The amount of impairment for these types of loans is determined by the difference between the present value of the expected cash flows related to the loan, using the original interest rate, and its recorded value, or as a practical expedient in the case of collateralized loans, the difference between the fair value of the collateral and the recorded amount of the loans. When foreclosure is probable, impairment is measured based on the fair value of the collateral. Mortgage loans on one-to-four family properties and all consumer loans are large groups of smaller-balance homogeneous loans and are measured for impairment collectively. Loans that experience insignificant payment delays, which are defined as 90 days or less, generally are not classified as impaired. Management determines the significance of payment delays on a case-by-case basis taking into consideration all circumstances surrounding the loan and the borrower including the length of the delay, the borrower’s prior payment record, and the amount of shortfall in relation to the principal and interest owed. Loan Charge-off Policies Loans are generally fully or partially charged down to the fair value of collateral securing the asset when: • management judges the asset to be uncollectible; • repayment is deemed to be protracted beyond reasonable time frames; • the asset has been classified as a loss by either the internal loan review process or external examiners; • the borrower has filed bankruptcy and the loss becomes evident due to a lack of assets; or • the loan is 180 days past due unless both well secured and in the process of collection. Troubled Debt Restructurings In situations where, for economic or legal reasons related to a borrower’s financial difficulties, management may grant a concession for other than an insignificant period of time to the borrower that would not otherwise be considered, the related loan is classified as a troubled debt restructuring (TDR). Management strives to identify borrowers in financial difficulty early and work with them to modify to more affordable terms before their loan reaches nonaccrual status. These modified terms may include rate reductions, principal forgiveness, payment forbearance, and other actions intended to minimize the economic loss and to avoid foreclosure or repossession of the collateral. In cases where borrowers are granted new terms that provide for a reduction of either interest or principal, management measures any impairment on the restructuring as noted above for impaired loans. In addition to the allowance for the pooled portfolios, management has developed a separate allowance for loans that are identified as impaired through a TDR. These loans are excluded from pooled loss forecasts and a separate reserve is provided under the accounting guidance for loan impairment. Consumer loans whose terms have been modified in a TDR are also individually analyzed for estimated impairment. Loans Held for Sale In general, fixed rate residential mortgage loans originated by the Banks are held for sale and are carried at cost due to their short holding period, which can range from less than two weeks to a maximum of thirty days. Sold loans are not serviced by the Banks. Proceeds from the sale of loans in excess of the carrying value are accounted for as a gain. Total gains on the sale of loans are shown as a component of non-interest income within the Consolidated Statement of Income. Foreclosed Assets Foreclosed assets are carried at the lower of cost or fair value less estimated selling costs. Prior to foreclosure, the value of the underlying loan is written down to the fair value of the real estate to be acquired by a charge to the allowance for loan losses, if necessary. Any subsequent write-downs are charged against operating expenses. Net operating expenses and gains and losses realized from disposition are included in non-interest expense and income, respectively, within the Consolidated Statement of Income. Premises and Equipment Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Depreciation is computed using straight-line and accelerated methods over the estimated useful lives of the related assets, which range from five to ten years for furniture, fixtures, and equipment and fifteen to forty years for buildings and improvements. Costs incurred for routine maintenance and repairs are charged to operations as incurred. Costs of major additions and improvements are capitalized. Bank-Owned Life Insurance The Company has purchased life insurance policies on certain officers and directors. Bank-owned life insurance is recorded at its cash surrender value, or the amount that can be realized. Increases in the cash surrender value are recognized as a component of non-interest income within the Consolidated Statement of Income. Goodwill The Company performs an annual impairment analysis of goodwill for its purchased subsidiaries, Luzerne and The M Group. Based on the fair value of these reporting units, estimated using the expected present value of future cash flows, no impairment of goodwill was recognized in 2015 , 2014 , or 2013 . Intangible Assets At December 31, 2015 , the Company had intangible assets of $1,240,000 as a result of the acquisition of Luzerne National Bank Corporation, which is net of accumulated amortization of $774,000 . These intangible assets will continue to be amortized using the sum-of-the-years digits method of amortization over ten years. Investments in Limited Partnerships The Company is a limited partner in four partnerships at December 31, 2015 that provide low income elderly housing in the Company’s geographic market area. The carrying value of the Company’s investments in limited partnerships was $ 899,000 at December 31, 2015 and $1,560,000 at December 31, 2014 . The investments are being amortized over the ten -year tax credit receipt period utilizing the straight-line method. The partnerships are amortized once the projects reach the level of occupancy needed to begin the ten year tax credit recognition period. Amortization of limited partnership investments amounted to $661,000 in 2015 , 2014 , and 2013 . Off-Balance Sheet Financial Instruments In the ordinary course of business, the Company enters into off-balance sheet financial instruments. Those instruments consist of commitments to extend credit and standby letters of credit. When those instruments are funded or become payable, the Company reports the amounts in its financial statements. Marketing Cost Marketing costs are generally expensed as incurred. Income Taxes The Company prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Benefits from tax positions should be recognized in the financial statements only when it is more likely than not that the tax position will be sustained upon examination by the appropriate taxing authority that would have full knowledge of all relevant information. A tax position that meets the more-likely-than-not recognition threshold is measured at the largest amount of benefit that is greater than fifty percent likely of being realized upon ultimate settlement. Tax positions that previously failed to meet the more-likely-than-not recognition threshold should be recognized in the first subsequent financial reporting period in which that threshold is met. Previously recognized tax positions that no longer meet the more-likely-than-not recognition threshold should be derecognized in the first subsequent financial reporting period in which that threshold is no longer met. Deferred tax assets and liabilities result from temporary differences in financial and income tax methods of accounting, and are reflected at currently enacted income tax rates applicable to the period in which the deferred tax assets or liabilities are expected to be realized or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. The Company analyzed its deferred tax asset position and determined that there was not a need for a valuation allowance due to the Company’s ability to generate future ordinary and capital taxable income. The Company when applicable recognizes interest and penalties on income taxes as a component of income tax provision. Earnings Per Share The Company provides dual presentation of basic and diluted earnings per share. Basic earnings per share is calculated utilizing net income as reported in the numerator and weighted average shares outstanding in the denominator. The computation of diluted earnings per share differs in that the dilutive effects of any stock options are adjusted in the denominator. Employee Benefits Pension and employee benefits include contributions, determined actuarially, to a defined benefit retirement plan covering the eligible employees of JSSB. The plan is funded on a current basis to the extent that it is deductible under existing federal tax regulations. Pension and other employee benefits also include contributions to a defined contribution Section 401(k) plan covering eligible employees. Contributions matching those made by eligible employees are funded throughout the year. In addition, an elective contribution may be made annually at the discretion of the board of directors for the employees of JSSB with contributions being made in 2015 and 2014. The M Group Products and Income Recognition The M Group product line is comprised primarily of annuities, life insurance, and mutual funds. The revenues generated from life insurance sales are commission only, as The M Group does not underwrite the policies. Life insurance sales include permanent and term policies with the majority of the policies written being permanent. Term life insurance policies are written for 10 , 15 , 20 , and 30 year terms with the majority of the policies being written for 20 years. None of these products are offered as an integral part of lending activities. Commissions from the sale of annuities are recognized at the time notice is received from the third party broker/dealer or an insurance company that the transaction has been accepted and approved, which is also the time when commission income is received. Life insurance commissions are recognized at varying points based on the payment option chosen by the customer. Commissions from monthly and annual payment plans are recognized at the start of each annual period for the life insurance, while quarterly and semi-annual premium payments are recognized quarterly and semi-annually when the earnings process is complete. For example, semi-annual payments on the first of January and July would result in commission income recognition on the first of January and July, while payments on the first of January, April, July, and October would result in commission income recognition on those dates. The potential for chargebacks only exists for those policies on a monthly payment plan since income is recognized at the beginning of the annual coverage period versus at the time of each monthly payment. No liability is maintained for chargebacks as these are removed from income at the time of the occurrence. Accumulated Other Comprehensive Income (Loss) The Company is required to present accumulated other comprehensive income (loss) in a full set of general-purpose financial statements for all periods presented. Accumulated other comprehensive income (loss) is comprised of unrealized holding gains (losses) on the available for sale securities portfolio and the unrecognized components of net periodic benefit costs of the defined benefit pension plan. Segment Reporting The Company has determined that its only reportable segment is Community Banking. Reclassification of Comparative Amounts Certain items previously reported have been reclassified to conform to the current year’s reporting format. Such reclassifications did not affect net income or shareholders’ equity. Recent Accounting Pronouncements In January 2014, FASB issued ASU 2014-01, Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects. The amendments in this update permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense (benefit). The amendments in this update should be applied retrospectively to all periods presented. A reporting entity that uses the effective yield method to account for its investments in qualified affordable housing projects before the date of adoption may continue to apply the effective yield method for those preexisting investments. The amendments in this update are effective for public business entities for annual periods and interim reporting periods within those annual periods, beginning after December 15, 2014. Early adoption is permitted. This ASU did not have an impact on the Company’s financial statements. In January 2014, the FASB issued ASU 2014-04, Receivables - Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. The amendments in this update clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor, and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction. The amendments in this update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. An entity can elect to adopt the amendments in this update using either a modified retrospective transition method or a prospective transition method. The Company has provided the necessary disclosures in Note 6. Loan Credit Quality and Related Allowance for Loan Losses. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (a new revenue recognition standard). The update’s core principle is that a company will recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In addition, this update specifies the accounting for certain costs to obtain or fulfill a contract with a customer and expands disclosure requirements for revenue recognition. This update is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently evaluating the impact the adoption of the standard will have on the Company’s financial position or results of operations. In June 2014, the FASB issued ASU 2014-11, Transfers and Servicing (Topic 860): Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures . The amendments in this update change the accounting for repurchase-to-maturity transactions to secured borrowing accounting. For repurchase financing arrangements, the amendments require separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty, which will result in secured borrowing accounting for the repurchase agreement. The amendments also require enhanced disclosures. The accounting changes in this update are effective for the first interim or annual period beginning after December 15, 2014. An entity is required to present changes in accounting for transactions outstanding on the effective date as a cumulative-effect adjustment to retained earnings as of the beginning of the period of adoption. Earlier application is prohibited. The disclosure for certain transactions accounted for as a sale is required to be presented for interim and annual periods beginning after December 15, 2014, and the disclosure for repurchase agreements, securities lending transactions, and repurchase-to-maturity transactions accounted for as secured borrowings is required to be presented for annual periods beginning after December 15, 2014, and for interim periods beginning after March 15, 2015. The disclosures are not required to be presented for comparative periods before the effective date. This update did not have an impact on the Company’s financial statements. In June 2014, the FASB issued ASU 2014-12, Compensation-Stock Compensation (Topic 718): Accounting for Share-Based Payments when the Terms of an Award Provide that a Performance Target Could Be Achieved After the Requisite Service Period . The amendments require that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. The amendments in this update are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Earlier adoption is permitted. Entities may apply the amendments in this update either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. If retrospective transition is adopted, the cumulative effect of applying this update as of the beginning of the earliest annual period presented in the financial statements should be recognized as an adjustment to the opening retained earnings balance at that date. Additionally, if retrospective transition is adopted, an entity may use hindsight in measuring and recognizing the compensation cost. This ASU did not have a significant impact on the Company’s financial statements. In August 2014, the FASB issued ASU 2014-14, Receivables - Troubled Debt Restructurings by Creditors (Subtopic 310-40) . The amendments in this update require that a mortgage loan be de-recognized and that a separate other receivable be recognized upon foreclosure if the following conditions are met: (1) the loan has a government guarantee that is not separable from the loan before foreclosure, (2) at the time of foreclosure, the creditor has the intent to convey the real estate property to the guarantor and make a claim on the guarantee, and the creditor has the ability to recover under that claim, and (3) at the time of foreclosure, any amount of the claim that is determined on the basis of the fair value of the real estate is fixed. Upon foreclosure, the separate other receivable should be measured based on the amount of the loan balance (principal and interest) expected to be recovered from the guarantor. The amendments in this update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. This ASU did not have a significant impact on the Company’s financial statements. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements - Going Concern (Subtopic 205-40) . The amendments in this update provide guidance in accounting principles generally accepted in the United States of America about management's responsibility to evaluate whether there is substantial doubt about an entity's ability to continue as a going concern and to provide related footnote disclosures. The amendments in this update are effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. This ASU is not expected to have a significant impact on the Company’s financial statements. In November 2014, the FASB issued ASU 2014-17, Business Combinations (Topic 805): Pushdown Accounting. The amendments in this update apply to the separate financial statements of an acquired entity and its subsidiaries that are a business or nonprofit activity (either public or nonpublic) upon the occurrence of an event in which an acquirer (an individual or an entity) obtains control of the acquired entity. An acquired entity may elect the option to apply pushdown accounting in the reporting period in which the change-in-control event occurs. If pushdown accounting is not applied in the reporting period in which the change-in-control event occurs, an acquired entity will have the option to elect to apply pushdown accounting in a subsequent reporting period to the acquired entity's most recent change-in-control event. The amendments in this update are effective on November 18, 2014. After the effective date, an acquired entity can make an election to apply the guidance to future change-in-control events or to its most recent change-in-control event. This update will not have an impact on the Company’s financial statements. In January 2015, the FASB issued ASU 2015-01, Income Statement -Extraordinary and Unusual Items, as part of its initiative to reduce complexity in accounting standards. This update eliminates from GAAP the concept of extraordinary items. The amendments in this update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. A report

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	12 Months Ended
	Dec. 31, 2015
Equity [Abstract]
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The changes in accumulated other comprehensive income (loss) by component shown net of tax as of December 31, 2015 and 2014 were as follows: Twelve Months Ended December 31, 2015 Twelve Months Ended December 31, 2014 (In Thousands) Net Unrealized Gain (Loss) on Available Defined Benefit Plan Total Net Unrealized Gain (Loss) on Available Defined Total Beginning balance $ 2,930 $ (4,597 ) $ (1,667 ) $ (2,169 ) $ (2,725 ) $ (4,894 ) Other comprehensive (loss) income before reclassifications (962 ) 435 (527 ) 7,419 (2,010 ) 5,409 Amounts reclassified from accumulated other comprehensive (loss) income (1,710 ) 105 (1,605 ) (2,320 ) 138 (2,182 ) Net current-period other comprehensive income (loss) (2,672 ) 540 (2,132 ) 5,099 (1,872 ) 3,227 Ending balance $ 258 $ (4,057 ) $ (3,799 ) $ 2,930 $ (4,597 ) $ (1,667 ) The reclassifications out of accumulated other comprehensive income as of December 31, 2015 and 2014 were as follows: (In Thousands) Amount Reclassified from Accumulated Other Comprehensive Income Details about Accumulated Other Comprehensive Income Components Twelve Months Ended Affected Line Item in the Consolidated Statement of Income December 31, 2015 December 31, 2014 Net realized gain on available for sale securities $ (2,592 ) $ (3,515 ) Securities gains, net Income tax effect 882 1,195 Income tax provision (1,710 ) (2,320 ) Net of tax Net unrecognized pension costs 159 209 Salaries and employee benefits Income tax effect (54 ) (71 ) Income tax provision $ 105 $ 138 Net of tax

PER SHARE DATA

PER SHARE DATA	12 Months Ended
	Dec. 31, 2015
Earnings Per Share [Abstract]
PER SHARE DATA	PER SHARE DATA There are no convertible securities which would affect the denominator in calculating basic and dilutive earnings per share; therefore, net income as presented on the consolidated statement of income will be used as the numerator. The following table sets forth the composition of the weighted average common shares (denominator) used in the basic and dilutive per share computation. Year Ended December 31, 2015 2014 2013 Weighted average common shares issued 5,003,691 5,001,171 4,591,222 Average treasury stock shares (231,452 ) (185,022 ) (180,596 ) Weighted average common shares used to calculate basic and diluted earnings per share 4,772,239 4,816,149 4,410,626 There were 38,750 stock options issued during the third quarter of 2015 with 34,750 outstanding at December 31, 2015. The outstanding stock options did not impact diluted earnings per share as the strike price of the options was greater than the market price. There were no stock options outstanding during 2014 and 2013 .

INVESTMENT SECURITIES

INVESTMENT SECURITIES	12 Months Ended
	Dec. 31, 2015
Investments, Debt and Equity Securities [Abstract]
INVESTMENT SECURITIES	INVESTMENT SECURITIES The amortized cost and fair values of investment securities at December 31, 2015 and 2014 are as follows: 2015 (In Thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available for sale (AFS) U.S. Government and agency securities $ 3,586 $ — $ (37 ) $ 3,549 Mortgage-backed securities 9,785 284 (60 ) 10,009 Asset-backed securities 1,960 — (20 ) 1,940 State and political securities 84,992 1,797 (234 ) 86,555 Other debt securities 59,832 185 (2,245 ) 57,772 Total debt securities 160,155 2,266 (2,596 ) 159,825 Financial institution equity securities 10,397 1,100 (14 ) 11,483 Other equity securities 5,214 70 (435 ) 4,849 Total equity securities 15,611 1,170 (449 ) 16,332 Total investment securities AFS $ 175,766 $ 3,436 $ (3,045 ) $ 176,157 2014 (In Thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available for sale (AFS) U.S. Government and agency securities $ 3,953 $ — $ (112 ) $ 3,841 Mortgage-backed securities 12,240 485 (28 ) 12,697 Asset-backed securities 2,468 27 (3 ) 2,492 State and political securities 104,820 3,885 (589 ) 108,116 Other debt securities 89,736 1,026 (1,299 ) 89,463 Total debt securities 213,217 5,423 (2,031 ) 216,609 Financial institution equity securities 8,823 1,110 (18 ) 9,915 Other equity securities 5,733 84 (128 ) 5,689 Total equity securities 14,556 1,194 (146 ) 15,604 Total investment securities AFS $ 227,773 $ 6,617 $ (2,177 ) $ 232,213 The amortized cost and fair values of trading investment securities at December 31, 2015 are as follows. There were no trading securities at December 31, 2014. 2015 (In Thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Trading Financial institution equity securities $ 78 $ — $ (5 ) $ 73 Total trading securities $ 78 $ — $ (5 ) $ 73 The following tables show the Company’s gross unrealized losses and fair value, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position, at December 31, 2015 and 2014 . 2015 Less than Twelve Months Twelve Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized (In Thousands) Value Losses Value Losses Value Losses Available for Sale (AFS) U.S. Government and agency securities $ — $ — $ 3,549 $ (37 ) $ 3,549 $ (37 ) Mortgage-backed securities 6,081 (60 ) — — 6,081 (60 ) Asset-backed securities 1,626 (16 ) 314 (4 ) 1,940 (20 ) State and political securities 7,345 (47 ) 1,656 (187 ) 9,001 (234 ) Other debt securities 24,381 (530 ) 22,547 (1,715 ) 46,928 (2,245 ) Total debt securities 39,433 (653 ) 28,066 (1,943 ) 67,499 (2,596 ) Financial institution equity securities — — 53 (14 ) 53 (14 ) Other equity securities 2,363 (277 ) 1,001 (158 ) 3,364 (435 ) Total equity securities 2,363 (277 ) 1,054 (172 ) 3,417 (449 ) Total Investment Securities AFS $ 41,796 $ (930 ) $ 29,120 $ (2,115 ) $ 70,916 $ (3,045 ) 2014 Less than Twelve Months Twelve Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized (In Thousands) Value Losses Value Losses Value Losses Available for Sale (AFS) U.S. Government and agency securities $ — $ — $ 3,841 $ (112 ) $ 3,841 $ (112 ) Mortgage-backed securities 6,741 (28 ) — — 6,741 (28 ) Asset-backed securities — — 519 (3 ) 519 (3 ) State and political securities 8,243 (14 ) 6,382 (575 ) 14,625 (589 ) Other debt securities 23,174 (718 ) 29,266 (581 ) 52,440 (1,299 ) Total debt securities 38,158 (760 ) 40,008 (1,271 ) 78,166 (2,031 ) Financial institution equity securities 407 (18 ) — — 407 (18 ) Other equity securities 1,837 (100 ) 773 (28 ) 2,610 (128 ) Total equity securities 2,244 (118 ) 773 (28 ) 3,017 (146 ) Total Investment Securities AFS $ 40,402 $ (878 ) $ 40,781 $ (1,299 ) $ 81,183 $ (2,177 ) At December 31, 2015 there were 44 individual securities in a continuous unrealized loss position for less than twelve months and 21 individual securities in a continuous unrealized loss position for greater than twelve months. The Company reviews its position quarterly and has asserted that at December 31, 2015 and 2014 , the declines outlined in the above table represent temporary declines and the Company does not intend to sell and does not believe they will be required to sell these securities before recovery of their cost basis, which may be at maturity. The Company has concluded that any impairment of its investment securities portfolio is not other than temporary but is the result of interest rate changes that are not expected to result in the non-collection of principal and interest during the period. The amortized cost and fair value of debt securities at December 31, 2015 , by contractual maturity, are shown below. Expected maturities may differ from contractual maturities since borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. (In Thousands) Amortized Cost Fair Value Due in one year or less $ 1,835 $ 1,843 Due after one year to five years 32,085 31,926 Due after five years to ten years 88,554 87,311 Due after ten years 37,681 38,745 Total $ 160,155 $ 159,825 Total gross proceeds from sales of securities available for sale were $65,672,000 , $102,145,000 , and $79,114,000 for 2015 , 2014 , and 2013 , respectively. The following table represents gross realized gains and losses on those transactions: Year Ended December 31, (In Thousands) 2015 2014 2013 Gross realized gains: U.S. Government and agency securities $ — $ 59 $ — Mortgage-backed securities — 89 — State and political securities 1,571 2,327 2,076 Other debt securities 825 622 490 Financial institution equity securities 183 710 241 Other equity securities 132 491 340 Total gross realized gains $ 2,711 $ 4,298 $ 3,147 Gross realized losses: U.S. Government and agency securities $ — $ 45 $ — Mortgage-backed securities — — 92 State and political securities 22 412 611 Other debt securities 54 209 27 Financial institution equity securities — — — Other equity securities 43 117 — Total gross realized losses $ 119 $ 783 $ 730 There were no impairment charges included in gross realized losses for the years ended December 31, 2015 , 2014 , and 2013 . Investment securities with a carrying value of approximately $131,089,000 and $128,501,000 at December 31, 2015 and 2014 , respectively, were pledged to secure certain deposits, repurchase agreements, and for other purposes as required by law. There is no concentration of investments that exceed ten percent of shareholders’ equity for any individual issuer, excluding those guaranteed by the U.S. Government.

FEDERAL HOME LOAN BANK STOCK

FEDERAL HOME LOAN BANK STOCK	12 Months Ended
	Dec. 31, 2015
Federal Home Loan Banks [Abstract]
FEDERAL HOME LOAN BANK STOCK	FEDERAL HOME LOAN BANK STOCK The Banks are members of the Federal Home Loan Bank (“FHLB”) of Pittsburgh and as such, is required to maintain a minimum investment in stock of the FHLB that varies with the level of advances outstanding with the FHLB. The stock is bought from and sold to the FHLB based upon its $100 par value. The stock does not have a readily determinable fair value and as such is classified as restricted stock, carried at cost and evaluated for impairment as necessary. The stock’s value is determined by the ultimate recoverability of the par value rather than by recognizing temporary declines. The determination of whether the par value will ultimately be recovered is influenced by criteria such as the following: (a) the significance of the decline in net assets of the FHLB as compared to the capital stock amount and the length of time this situation has persisted (b) commitments by the FHLB to make payments required by law or regulation and the level of such payments in relation to the operating performance (c) the impact of legislative and regulatory changes on the customer base of the FHLB and (d) the liquidity position of the FHLB. Management evaluated the stock and concluded that the stock was not impaired for the periods presented herein. Management considered that the FHLB maintains regulatory capital ratios in excess of all regulatory capital requirements, liquidity appears adequate, new shares of FHLB stock continue to change hands at the $100 par value, and the payment of dividends.

LOAN CREDIT QUALITY AND RELATED

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES	12 Months Ended
	Dec. 31, 2015
Loans and Leases Receivable Disclosure [Abstract]
LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES	LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES Management segments the Banks' loan portfolio to a level that enables risk and performance monitoring according to similar risk characteristics. Loans are segmented based on the underlying collateral characteristics. Categories include commercial, financial, and agricultural, real estate, and installment loans to individuals. Real estate loans are further segmented into three categories: residential, commercial, and construction. The following table presents the related aging categories of loans, by segment, as of December 31, 2015 and 2014 : 2015 (In Thousands) Current Past Due 30 To 89 Days Past Due 90 & Still Accruing Non-Accrual Total Commercial, financial, and agricultural $ 162,312 $ 164 $ — $ 1,596 $ 164,072 Real estate mortgage: Residential 517,753 6,827 714 889 526,183 Commercial 295,784 720 265 5,770 302,539 Construction 26,545 67 — 212 26,824 Installment loans to individuals 26,572 429 — — 27,001 1,028,966 $ 8,207 $ 979 $ 8,467 1,046,619 Net deferred loan fees and discounts (1,412 ) (1,412 ) Allowance for loan losses (12,044 ) (12,044 ) Loans, net $ 1,015,510 $ 1,033,163 2014 (In Thousands) Current Past Due 30 To 89 Days Past Due 90 & Still Accruing Non-Accrual Total Commercial, financial, and agricultural $ 122,624 $ 773 $ — $ 759 $ 124,156 Real estate mortgage: Residential 450,503 6,078 332 847 457,760 Commercial 279,731 1,819 54 9,744 291,348 Construction 21,485 — — 511 21,996 Installment loans to individuals 21,125 383 1 — 21,509 895,468 $ 9,053 $ 387 $ 11,861 916,769 Net deferred loan fees and discounts (1,190 ) (1,190 ) Allowance for loan losses (10,579 ) (10,579 ) Loans, net $ 883,699 $ 905,000 Purchased loans acquired are recorded at fair value on their purchase date without a carryover of the related allowance for loan losses. Upon acquisition, the Company evaluated whether each acquired loan (regardless of size) was within the scope of ASC 310-30. Purchased credit-impaired loans are loans that have evidence of credit deterioration since origination and it is probable at the date of acquisition that the Company will not collect all contractually required principal and interest payments. The fair value of purchased credit-impaired loans, on the acquisition date, was determined, primarily based on the fair value of loan collateral. The carrying value of purchased loans acquired with deteriorated credit quality was $341,000 at December 31, 2015 . On the acquisition date, the preliminary estimate of the unpaid principal balance for all loans evidencing credit impairment acquired in the Luzerne acquisition was $1,211,000 and the estimated fair value of the loans was $878,000 . Total contractually required payments on these loans, including interest, at the acquisition date was $1,783,000 . However, the Company’s preliminary estimate of expected cash flows was $941,000 . At such date, the Company established a credit risk related non-accretable discount (a discount representing amounts which are not expected to be collected from the customer nor liquidation of collateral) of $842,000 relating to these impaired loans, reflected in the recorded net fair value. Such amount is reflected as a non-accretable fair value adjustment to loans. The Company further estimated the timing and amount of expected cash flows in excess of the estimated fair value and established an accretable discount of $63,000 on the acquisition date relating to these impaired loans. The carrying value of the loans acquired and accounted for in accordance with ASC 310-30, was determined by projecting discounted contractual cash flows. The table below presents the components of the purchase accounting adjustments related to the purchased impaired loans acquired in the Luzerne acquisition as of June 1, 2013: (In Thousands) June 1, 2013 Unpaid principal balance $ 1,211 Interest 572 Contractual cash flows 1,783 Non-accretable discount (842 ) Expected cash flows 941 Accretable discount (63 ) Estimated fair value $ 878 The amortizable yield for purchased credit-impaired loans was fully amortized during 2014. Changes in the amortizable yield for purchased credit-impaired loans were as follows for the twelve months ended December 31, 2014 (In Thousands) December 31, 2014 Balance at beginning of period $ 35 Accretion (35 ) Balance at end of period $ — The following table presents additional information regarding loans acquired with specific evidence of deterioration in credit quality under ASC 310-30: (In Thousands) December 31, 2015 December 31, 2014 Outstanding balance $ 441 $ 449 Carrying amount 341 349 The following table presents the interest income if interest had been recorded based on the original loan agreement terms and rate of interest for non-accrual loans and interest income recognized on a cash basis for non-accrual loans as of December 31, 2015 , 2014 , and 2013 : Year Ended December 31, 2015 2014 2013 (In Thousands) Interest Income That Would Have Been Recorded Based on Original Term and Rate Interest Income Recorded on a Cash Basis Interest Income That Would Have Been Recorded Based on Original Term and Rate Interest Income Recorded on a Cash Basis Interest Income That Would Have Been Recorded Based on Original Term and Rate Interest Income Recorded on a Cash Basis Commercial, financial, and agricultural $ 48 $ 53 $ 42 $ 33 $ 7 $ 3 Real estate mortgage: Residential 53 38 63 34 41 20 Commercial 281 54 600 264 447 251 Construction 16 — 63 2 88 56 $ 398 $ 145 $ 768 $ 333 $ 583 $ 330 Impaired Loans Impaired loans are loans for which it is probable the Banks will not be able to collect all amounts due according to the contractual terms of the loan agreement. The Banks individually evaluate such loans for impairment and do not aggregate loans by major risk classifications. The definition of “impaired loans” is not the same as the definition of “non-accrual loans,” although the two categories overlap. The Banks may choose to place a loan on non-accrual status due to payment delinquency or uncertain collectability, while not classifying the loan as impaired. Factors considered by management in determining impairment include payment status and collateral value. The amount of impairment for these types of loans is determined by the difference between the present value of the expected cash flows related to the loan, using the original interest rate, and its recorded value, or as a practical expedient in the case of collateralized loans, the difference between the fair value of the collateral and the recorded amount of the loan. When foreclosure is probable, impairment is measured based on the fair value of the collateral. Management evaluates individual loans in all of the commercial segments for possible impairment if the loan is greater than $100,000 and if the loan is either on non-accrual status or has a risk rating of substandard or worse. Management may also elect to measure an individual loan for impairment if less than $100,000 on a case by case basis. Mortgage loans on one-to-four family properties and all consumer loans are large groups of smaller-balance homogeneous loans and are measured for impairment collectively with the exception of loans identified as troubled debt restructurings. Loans that experience insignificant payment delays, which are defined as 90 days or less, generally are not classified as impaired. Management determines the significance of payment delays on a case-by-case basis taking into consideration all circumstances surrounding the loan and the borrower including the length of the delay, the borrower’s prior payment record, and the amount of shortfall in relation to the principal and interest owed. Interest income for impaired loans is recorded consistent to the Banks' policy on non-accrual loans. The following table presents the recorded investment, unpaid principal balance, and related allowance of impaired loans by segment as of December 31, 2015 and 2014 : 2015 (In Thousands) Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Commercial, financial, and agricultural $ 319 $ 319 $ — Real estate mortgage: Residential 1,142 1,142 — Commercial 1,735 1,785 — Construction 212 212 — 3,408 3,458 — With an allowance recorded: Commercial, financial, and agricultural 150 150 75 Real estate mortgage: Residential 1,573 1,703 376 Commercial 10,752 10,752 1,653 Construction — — — 12,475 12,605 2,104 Total: Commercial, financial, and agricultural 469 469 75 Real estate mortgage: Residential 2,715 2,845 376 Commercial 12,487 12,537 1,653 Construction 212 212 — $ 15,883 $ 16,063 $ 2,104 2014 (In Thousands) Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Commercial, financial, and agricultural $ 439 $ 439 $ — Real estate mortgage: Residential 139 139 — Commercial 3,228 3,228 — Construction 716 716 — 4,522 4,522 — With an allowance recorded: Commercial, financial, and agricultural 673 673 298 Real estate mortgage: Residential 1,327 1,449 147 Commercial 10,745 10,889 1,581 Construction 309 309 67 13,054 13,320 2,093 Total: Commercial, financial, and agricultural 1,112 1,112 298 Real estate mortgage: Residential 1,466 1,588 147 Commercial 13,973 14,117 1,581 Construction 1,025 1,025 67 $ 17,576 $ 17,842 $ 2,093 The following table presents the average recorded investment in impaired loans and related interest income recognized for December 31, 2015 , 2014 , and 2013 : 2015 (In Thousands) Average Investment in Impaired Loans Interest Income Recognized on an Accrual Basis on Impaired Loans Interest Income Recognized on a Cash Basis on Impaired Loans Commercial, financial, and agricultural $ 1,031 $ 21 $ 10 Real estate mortgage: Residential 2,570 72 47 Commercial 17,529 342 80 Construction 865 1 53 $ 21,995 $ 436 $ 190 2014 (In Thousands) Average Investment in Impaired Loans Interest Income Recognized on an Accrual Basis on Impaired Loans Interest Income Recognized on a Cash Basis on Impaired Loans Commercial, financial, and agricultural $ 763 $ 26 $ 25 Real estate mortgage: Residential 1,245 46 20 Commercial 10,987 130 101 Construction 1,086 17 89 $ 14,081 $ 219 $ 235 2013 (In Thousands) Average Investment in Impaired Loans Interest Income Recognized on an Accrual Basis on Impaired Loans Interest Income Recognized on a Cash Basis on Impaired Loans Commercial, financial, and agricultural $ 538 $ 26 $ — Real estate mortgage: Residential 1,581 62 25 Commercial 8,605 183 95 Construction 2,651 1 569 $ 13,375 $ 272 $ 689 Additional funds totaling $20,000 are committed to be advanced in connection with impaired loans. Modifications The loan portfolio also includes certain loans that have been modified in a Troubled Debt Restructuring (TDR), where economic concessions have been granted to borrowers who have experienced or are expected to experience financial difficulties. These concessions typically result from loss mitigation activities and could include reductions in the interest rate, payment extensions, forgiveness of principal, forbearance, or other actions. Certain TDRs are classified as nonperforming at the time of restructure and may only be returned to performing status after considering the borrower’s sustained repayment performance for a reasonable period, generally six months. Loan modifications that are considered TDRs completed during the twelve months ended December 31, 2015 and 2014 were as follows: Year Ended December 31, 2015 2014 (In Thousands, Except Number of Contracts) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial, financial, and agricultural 4 $ 213 $ 213 3 $ 620 $ 620 Real estate mortgage: Residential 11 962 962 3 392 392 Commercial 6 1,013 1,013 3 636 636 Construction 1 398 398 — — — Total 22 $ 2,586 $ 2,586 9 $ 1,648 $ 1,648 Of the twenty-two new troubled debt restructurings granted for the year ended December 31, 2015, seven loans totaling $1,008,000 were granted payment concessions, four loans totaling $183,000 were granted term concessions, two loans totaling $287,000 were granted rate concessions, and nine loans totaling 1,108,000 were granted concessions due to other default. Of the nine new troubled debt restructurings granted for the year ended December 31, 2014, five loans totaling $1,142,000 were granted term concessions, three loans totaling $288,000 were granted payment concessions, and one loan totaling 218,000 was granted a rate concession. Loan modifications considered troubled debt restructurings made during the twelve months previous to December 31, 2015, that have defaulted during the twelve month period ending December 31, 2015 were as follows: Year Ended December 31, 2015 (In Thousands, Except Number of Contracts) Number of Contracts Recorded Investment Commercial, financial, and agricultural 1 $ 106 Real estate mortgage: Residential 6 374 Commercial 1 242 Total 8 $ 722 There was one commercial real estate loan modifications considered a troubled debt restructurings made during the twelve months previous to December 31, 2014 that defaulted during the twelve month period ending December 31, 2014. However, that loan was paid off in the fourth quarter of 2014. Internal Risk Ratings Management uses a ten point internal risk rating system to monitor the credit quality of the overall loan portfolio. The first six categories are considered not criticized, and are aggregated as “Pass” rated. The criticized rating categories utilized by management generally follow bank regulatory definitions. The Special Mention category includes assets that are currently protected but are potentially weak, resulting in an undue and unwarranted credit risk, but not to the point of justifying a Substandard classification. Loans in the Substandard category have well-defined weaknesses that jeopardize the liquidation of the debt, and have a distinct possibility that some loss will be sustained if the weaknesses are not corrected. All loans greater than 90 days past due are evaluated for Substandard classification. Loans in the Doubtful category exhibit the same weaknesses found in the Substandard loans, however, the weaknesses are more pronounced. Such loans are static and collection in full is improbable. However, these loans are not yet rated as loss because certain events may occur which would salvage the debt. Loans classified Loss are considered uncollectible and charge-off is imminent. To help ensure that risk ratings are accurate and reflect the present and future capacity of borrowers to repay a loan as agreed, the Banks have a structured loan rating process with several layers of internal and external oversight. Generally, consumer and residential mortgage loans are included in the pass category unless a specific action, such as bankruptcy, repossession, or death occurs to raise awareness of a possible credit event. An external annual loan review of large commercial relationships is performed, as well as a sample of smaller transactions. During 2015, the threshold for the annual loan review was commercial relationships $1,100,000 or greater for JSSB and $1,450,000 or greater for Luzerne. Confirmation of the appropriate risk category is included in the review. Detailed reviews, including plans for resolution, are performed on loans classified as Substandard, Doubtful, or Loss on a quarterly basis. The following table presents the credit quality categories identified above as of December 31, 2015 and 2014 : 2015 Commercial and Real Estate Mortgages Installment Loans (In Thousands) Agricultural Residential Commercial Construction to Individuals Totals Pass $ 160,734 $ 522,853 $ 277,248 $ 26,612 $ 27,001 $ 1,014,448 Special Mention 1,669 823 8,625 — — 11,117 Substandard 1,669 2,507 16,666 212 — 21,054 Total $ 164,072 $ 526,183 $ 302,539 $ 26,824 $ 27,001 $ 1,046,619 2014 Commercial and Real Estate Mortgages Installment Loans (In Thousands) Agricultural Residential Commercial Construction to Individuals Totals Pass $ 118,210 $ 454,885 $ 256,444 $ 20,927 $ 21,509 $ 871,975 Special Mention 3,186 2,384 16,262 445 — 22,277 Substandard 2,760 491 18,642 624 — 22,517 Total $ 124,156 $ 457,760 $ 291,348 $ 21,996 $ 21,509 $ 916,769 Allowance for Loan Losses An allowance for loan losses (“ALL”) is maintained to absorb losses from the loan portfolio. The ALL is based on management’s continuing evaluation of the risk characteristics and credit quality of the loan portfolio, assessment of current economic conditions, diversification and size of the portfolio, adequacy of collateral, past and anticipated future loss experience, and the amount of non-performing loans. The Banks' methodology for determining the ALL is based on the requirements of ASC Section 310-10-35 for loans individually evaluated for impairment (previously discussed) and ASC Subtopic 450-20 for loans collectively evaluated for impairment, as well as the Interagency Policy Statements on the Allowance for Loan and Lease Losses and other bank regulatory guidance. The total of the two components represents the Banks' ALL. Loans that are collectively evaluated for impairment are analyzed with general allowances being made as appropriate. Allowances are segmented based on collateral characteristics previously disclosed, and consistent with credit quality monitoring. Loans that are collectively evaluated for impairment are grouped into two classes for evaluation. A general allowance is determined for “Pass” rated credits, while a separate pool allowance is provided for “Criticized” rated credits that are not individually evaluated for impairment. For the general allowances historical loss trends are used in the estimation of losses in the current portfolio. These historical loss amounts are modified by other qualitative factors. A historical charge-off factor is calculated utilizing a twelve quarter moving average. However, management may adjust the moving average time frame by up to four quarters to adjust for variances in the economic cycle. Management has identified a number of additional qualitative factors which it uses to supplement the historical charge-off factor because these factors are likely to cause estimated credit losses associated with the existing loan pools to differ from historical loss experience. The additional factors that are evaluated quarterly and updated using information obtained from internal, regulatory, and governmental sources are: national and local economic trends and conditions; levels of and trends in delinquency rates and non-accrual loans; trends in volumes and terms of loans; effects of changes in lending policies; experience, ability, and depth of lending staff; value of underlying collateral; and concentrations of credit from a loan type, industry, and/or geographic standpoint. Loans in the criticized pools, which possess certain qualities or characteristics that may lead to collection and loss issues, are closely monitored by management and subject to additional qualitative factors. Management also monitors industry loss factors by loan segment for applicable adjustments to actual loss experience. Management reviews the loan portfolio on a quarterly basis in order to make appropriate and timely adjustments to the ALL. When information confirms all or part of specific loans to be uncollectible, these amounts are promptly charged off against the ALL. Activity in the allowance is presented for the twelve months ended December 31, 2015 and 2014 : 2015 Commercial and Agricultural Real Estate Mortgages Installment Loans to Individual (In Thousands) Residential Commercial Construction Unallocated Totals Beginning Balance $ 1,124 $ 3,755 $ 4,205 $ 786 $ 245 $ 464 $ 10,579 Charge-offs (283 ) (49 ) (743 ) (46 ) (240 ) — (1,361 ) Recoveries 176 81 182 23 64 — 526 Provision 515 1,329 573 (603 ) 174 312 2,300 Ending Balance $ 1,532 $ 5,116 $ 4,217 $ 160 $ 243 $ 776 $ 12,044 2014 Commercial and Agricultural Real Estate Mortgages Installment Loans to Individuals (In Thousands) Residential Commercial Construction Unallocated Totals Beginning Balance $ 474 $ 3,917 $ 4,079 $ 741 $ 139 $ 794 $ 10,144 Charge-offs (289 ) (65 ) (2,038 ) — (142 ) — (2,534 ) Recoveries 18 15 — 22 64 — 119 Provision 921 (112 ) 2,164 23 184 (330 ) 2,850 Ending Balance $ 1,124 $ 3,755 $ 4,205 $ 786 $ 245 $ 464 $ 10,579 The Company grants commercial, industrial, residential, and installment loans to customers throughout north-central and north-eastern Pennsylvania. Although the Company has a diversified loan portfolio at December 31, 2015 and 2014 , a substantial portion of its debtors’ ability to honor their contracts is dependent on the economic conditions within this region. The Company has a concentration of loans at December 31, 2015 and 2014 as follows: 2015 2014 Owners of residential rental properties 16.21 % 16.01 % Owners of commercial rental properties 14.22 % 14.67 % The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of December 31, 2015 and 2014 : 2015 Commercial and Agricultural Real Estate Mortgages Installment Loans to Individuals Unallocated Totals (In Thousands) Residential Commercial Construction Allowance for Loan Losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 75 $ 376 $ 1,653 $ — $ — $ — $ 2,104 Collectively evaluated for impairment 1,457 4,740 2,564 160 243 776 9,940 Total ending allowance balance $ 1,532 $ 5,116 $ 4,217 $ 160 $ 243 $ 776 $ 12,044 Loans: Individually evaluated for impairment $ 469 $ 2,374 $ 12,487 $ 212 $ — $ 15,542 Loans acquired with deteriorated credit quality — 341 — — — 341 Collectively evaluated for impairment 163,603 523,468 290,052 26,612 27,001 1,030,736 Total ending loans balance $ 164,072 $ 526,183 $ 302,539 $ 26,824 $ 27,001 $ 1,046,619 2014 Commercial and Agricultural Real Estate Mortgages Installment Loans to Individuals (In Thousands) Residential Commercial Construction Unallocated Totals Allowance for Loan Losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 298 $ 147 $ 1,581 $ 67 $ — $ — $ 2,093 Collectively evaluated for impairment 826 3,608 2,624 719 245 464 8,486 Total ending allowance balance $ 1,124 3,755 $ 4,205 $ 786 $ 245 $ 464 $ 10,579 Loans: Individually evaluated for impairment $ 1,112 $ 1,117 $ 13,973 $ 1,025 $ — $ 17,227 Loans acquired with deteriorated credit quality — 349 — — — 349 Collectively evaluated for impairment 123,044 456,294 277,375 20,971 21,509 899,193 Total ending loans balance $ 124,156 457,760 $ 291,348 $ 21,996 $ 21,509 $ 916,769

PREMISES AND EQUIPMENT

PREMISES AND EQUIPMENT	12 Months Ended
	Dec. 31, 2015
Property, Plant and Equipment [Abstract]
PREMISES AND EQUIPMENT	PREMISES AND EQUIPMENT Major classifications of premises and equipment are summarized as follows at December 31, 2015 and 2014 : (In Thousands) 2015 2014 Land $ 5,764 $ 5,759 Premises 16,074 14,767 Furniture and equipment 8,231 7,435 Leasehold improvements 1,462 1,351 Total 31,531 29,312 Less accumulated depreciation and amortization 9,701 8,203 Net premises and equipment $ 21,830 $ 21,109 Depreciation and amortization related to premises and equipment for the years ended 2015 , 2014 , and 2013 was $1,564,000 , $1,494,000 , and $1,054,000 , respectively.

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES	12 Months Ended
	Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLES	GOODWILL AND OTHER INTANGIBLES As of December 31, 2015 and 2014 goodwill had a gross carrying value of $17,380,000 and accumulated amortization of $276,000 resulting in a net carrying amount of $17,104,000 . The gross carrying amount of goodwill is tested for impairment in the third quarter of each fiscal year. Based on the fair value of the reporting unit, estimated using the expected present value of future cash flows, there was no evidence of impairment of the carrying amount at December 31, 2015 or 2014 . Identifiable intangibles are amortized to their estimated residual values over the expected useful lives. Such lives are also periodically reassessed to determine if any amortization period adjustments are required. Since the acquisition, no such adjustments were recorded. The identifiable intangible assets consist of a core deposit intangible and a trade name intangible which are being amortized on an accelerated basis, and also book of business intangible that is being amortized on a straightline basis over the useful life of such assets. The gross carrying amount of the core deposit intangible, the trade name intangible, and the book of business intangible at December 31, 2015 was $1,072,000 , $ 76,000 , and $92,000 respectively, with $521,000 , $37,000 , and $3,000 accumulated amortization as of that date. As of December 31, 2015 , the estimated future amortization expense for the core deposit and trade name intangible was: (In Thousands) Core Deposit Intangible Trade Name Intangible Book of Business Intangible 2016 254 18 10 2017 220 15 10 2018 185 13 10 2019 151 11 10 2020 117 8 10 2021 83 6 10 2022 48 4 10 2023 14 1 10 2024 — — 10 2025 — — 2 $ 1,072 $ 76 $ 92

TIME DEPOSITS

TIME DEPOSITS	12 Months Ended
	Dec. 31, 2015
Banking and Thrift [Abstract]
TIME DEPOSITS	TIME DEPOSITS Time deposits of $250,000 or more totaled approximately $28,953,000 on December 31, 2015 and $26,468,000 on December 31, 2014 . Interest expense on time deposits of $100,000 or more was approximately $1,112,000 , $875,000 , and $841,000 , for the years ended December 31, 2015 , 2014 , and 2013 , respectively. At December 31, 2015 , the scheduled maturities on time deposits of $100,000 or more are as follows: (In Thousands) 2015 Three months or less $ 12,006 Three months to six months 5,863 Six months to twelve months 17,036 Over twelve months 71,687 Total $ 106,592 Total time deposit maturities are as follows at December 31, 2015 : (In Thousands) 2015 2016 $ 81,010 2017 55,318 2018 51,104 2019 24,796 2020 7,093 Thereafter 2,056 Total $ 221,377

SHORT-TERM BORROWINGS

SHORT-TERM BORROWINGS	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
SHORT-TERM BORROWINGS	SHORT-TERM BORROWINGS Short-term borrowings consist of securities sold under agreements to repurchase and primarily FHLB advances, which generally represent overnight or less than six month borrowings. In addition to the outstanding balances noted below, the Banks also have additional lines of credit totaling $35,413,000 available from correspondent banks other than the FHLB. The outstanding balances and related information for short-term borrowings are summarized as follows at December 31, 2015 , 2014 , and 2013 : (In Thousands) 2015 2014 2013 Repurchase Agreements: Balance at year end $ 18,334 $ 13,987 $ 12,391 Maximum amount outstanding at any month end 18,614 18,801 16,632 Average balance outstanding during the year 15,834 16,350 16,839 Weighted-average interest rate: At year end 0.21 % 0.23 % 0.28 % Paid during the year 0.21 % 0.22 % 0.40 % Overnight: Balance at year end $ 28,304 $ 26,831 $ 14,325 Maximum amount outstanding at any month end 42,760 26,831 21,350 Average balance outstanding during the year 23,075 5,992 5,508 Weighted-average interest rate: At year end 0.43 % 0.27 % 0.25 % Paid during the year 0.36 % 0.30 % 0.31 % We utilize securities sold under agreements to repurchase to facilitate the needs of our customers and to facilitate secured short-term funding needs. Securities sold under agreements to repurchase are stated at the amount of cash received in connection with the transaction. We monitor collateral levels on a continuous basis. We may be required to provide additional collateral based on the fair value of the underlying securities. Securities pledged as collateral under repurchase agreements are maintained with our safekeeping agents. The remaining contractual maturity of repurchase agreements in the consolidated balance sheets as of December 31, 2015 and December 31, 2014 is presented in the following tables. 2015 2014 Remaining Contractual Maturity of the Agreements (In Thousands) Overnight and Continuous Overnight and Continuous Repurchase Agreements: U.S. Government and agency securities $ 3,586 $ 3,953 Mortgage-back securities 8,368 4,526 Asset-backed securities 1,960 2,468 State and political securities 8,015 7,070 Other debt securities 2,155 2,218 Total carrying value of collateral pledged $ 24,084 $ 20,235 Total liability recognized for repurchase agreements $ 18,334 $ 13,987

LONG-TERM BORROWINGS

LONG-TERM BORROWINGS	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
LONG-TERM BORROWINGS	LONG-TERM BORROWINGS The following represents outstanding long-term borrowings with the FHLB by contractual maturities at December 31, 2015 and 2014 : (In Thousands) Weighted Average Interest Rate Stated Interest Rate Range Description Maturity 2015 2014 From To 2015 2014 Variable 2015 — % 3.97 % 3.97 % 3.97 % $ — $ 10,000 Variable 2017 4.22 % 4.22 % 4.15 % 4.28 % 20,000 20,000 Variable 2018 3.18 % 3.18 % 3.18 % 3.18 % 10,000 10,000 Total Variable 3.87 % 3.90 % 30,000 40,000 Fixed 2015 — % 6.92 % 6.92 % 6.92 % — 750 Fixed 2016 0.75 % 0.75 % 0.75 % 0.75 % 5,000 5,000 Fixed 2017 0.91 % 0.91 % 0.90 % 0.97 % 25,000 25,000 Fixed 2018 1.13 % — % 1.13 % 1.13 % 2,000 — Fixed 2019 1.55 % — % 1.54 % 1.55 % 7,292 — Fixed 2020 1.70 % — % 1.62 % 1.79 % 18,333 — Fixed 2022 2.04 % — % 2.04 % 2.04 % 3,000 — Total Fixed 1.28 % 1.03 % 60,625 30,750 Total 2.14 % 2.65 % $ 90,625 $ 70,750 (In Thousands) Year Ending December 31, Amount Weighted Average Rate 2016 5,000 0.75 % 2017 45,000 2.38 % 2018 12,000 2.84 % 2019 7,292 1.55 % Thereafter 21,333 1.75 % $ 90,625 2.14 % The terms of the convertible borrowings allow the FHLB to convert the interest rate to an adjustable rate based on the three month London Interbank Offered Rate (“LIBOR”) at a predetermined anniversary date of the borrowing’s origination, ranging from three months to five years. If the FHLB converts the interest rate on one of the predetermined dates, the Bank has the ability to pay off the debt on the conversion date and quarterly thereafter without incurring the customary pre-payment penalty. The Banks maintain a credit arrangement which includes a revolving line of credit with the FHLB. Under this credit arrangement, at December 31, 2015 JSSB has a remaining borrowing capacity of $236,434,000 and Luzerne has a remaining capacity of $145,476,000 , which are subject to annual renewal and typically incur no service charges. Under terms of a blanket agreement, collateral for the FHLB borrowings must be secured by certain qualifying assets of each Bank which consist principally of first mortgage loans and mortgage-backed securities. In December 2012, JSSB entered in to a capital lease on a piece of land in Lewisburg, Pennsylvania. The carrying amount of the land as of December 31, 2015 and 2014 was $827,000 . The present value of minimum lease payments at December 31, 2015 and 2014 was $400,000 and $426,000 . The following is a schedule showing the future minimum lease payments under the capital lease by years and the present value of the minimum lease payments as of December 31, 2015. The interest rate related to the lease obligation is 2.75% and the maturity date is October 2023. (In Thousands) Lease Payment Interest Present Value of Minimum Lease Payment 2016 $ 38 $ 11 $ 27 2017 38 10 28 2018 38 9 29 2019 38 9 29 2020 38 8 30 Thereafter 276 19 257 $ 466 $ 66 $ 400

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The following temporary differences gave rise to the net deferred tax asset position at December 31, 2015 and 2014 : (In Thousands) 2015 2014 Deferred tax assets: Allowance for loan losses $ 3,976 $ 3,380 Deferred compensation 1,696 1,579 Defined Pension 1,525 2,172 Deferred Loan fees and discounts 272 256 Investment securities allowance 517 487 Low income housing credit carryforward 1,181 2,034 Capital loss carryforward — 98 Other 1,696 1,578 Total 10,863 11,584 Deferred tax liabilities: Unrealized gain on available for sale securities 133 1,510 Investment security accretion 231 262 Depreciation 478 734 Amortization 1,031 977 Total 1,873 3,483 Deferred tax asset, net $ 8,990 $ 8,101 The current low income housing credit carryforward will expire in 2031. The Company fully anticipates being able to use the carry-forward. No valuation allowance was established at December 31, 2015 and 2014 , because of the Company’s ability to carry back capital losses to recover taxes paid in previous years and certain tax strategies, together with the anticipated future taxable income as evidenced by the Company’s earning potential. The Corporation is no longer subject to federal, state, and local examinations by tax authorities for years before 2012. The provision or benefit for income taxes is comprised of the following for the year ended December 31, 2015 , 2014 , and 2013 : (In Thousands) 2015 2014 2013 Currently payable $ 3,527 $ 3,680 $ 3,328 Deferred benefit 209 124 123 Total provision $ 3,736 $ 3,804 $ 3,451 A reconciliation between the expected income tax or benefit and the effective income tax rate on income before income tax provision or benefit follows for the year ended December 31, 2015 , 2014 , and 2013 : 2015 2014 2013 (In Thousands) Amount % Amount % Amount % Provision at expected rate $ 5,996 34.00 % $ 6,260 34.00 % $ 5,962 34.00 % (Decrease) increase in tax resulting from: Tax-exempt income (1,492 ) (8.46 ) (1,673 ) (9.09 ) (1,933 ) (11.02 ) Tax credits (737 ) (4.17 ) (737 ) (4.00 ) (737 ) (4.20 ) Other, net (31 ) (0.18 ) (46 ) (0.25 ) 159 0.90 Effective income tax provision and rate $ 3,736 21.19 % $ 3,804 20.66 % $ 3,451 19.68 %

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS	12 Months Ended
	Dec. 31, 2015
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]
EMPLOYEE BENEFIT PLANS	EMPLOYEE BENEFIT PLANS Defined Benefit Pension Plan The Company has a noncontributory defined benefit pension plan (the “Plan”) for all employees meeting certain age and length of service requirements that were hired prior to January 1, 2004, at which time entrance into the Plan was frozen. The benefit accrual for the Plan was subsequently frozen at December 31, 2014. Benefits are based primarily on years of service and the average annual compensation during the highest five consecutive years within the final ten years of employment - up until December 31, 2014 when the benefit accrual was frozen. The following table sets forth the obligation and funded status as of December 31, 2015 and 2014 : (In Thousands) 2015 2014 Change in benefit obligation: Benefit obligation at beginning of year $ 23,450 $ 18,186 Service cost — 484 Interest cost 757 859 Actuarial gain (144 ) 277 Benefits paid (639 ) (1,660 ) Curtailment gain (3,155 ) — Other, change in actuarial assumptions (1,322 ) 5,304 Benefit obligation at end of year $ 18,947 $ 23,450 Change in plan assets: Fair value of plan assets at beginning of year $ 13,906 $ 14,258 Actual return on plan assets 25 487 Employer contribution 965 850 Benefits paid (704 ) (1,736 ) Adjustment to fair value of plan assets 31 47 Fair value of plan assets at end of year 14,223 13,906 Funded status $ (4,724 ) $ (9,544 ) Accounts recognized on balance sheet as: Total liabilities $ (4,724 ) $ (9,544 ) Amounts not yet recognized as a component of net periodic pension cost: Amounts recognized in accumulated other comprehensive income (loss) consist of: Net loss $ 6,267 $ 6,965 The accumulated benefit obligation for the Plan was $18,947,000 and $20,296,000 at December 31, 2015 and 2014 , respectively. Components of Net Periodic Cost and Other Amounts Recognized in Other Comprehensive Income (loss) as of December 31, 2015 , 2014 , and 2013 are as follows: (In Thousands) 2015 2014 2013 Net periodic pension cost: Service cost $ 64 $ 560 $ 638 Interest cost 757 859 770 Expected return on plan assets (983 ) (1,153 ) (985 ) Amortization of prior service cost — — 25 Amortization of unrecognized net loss 159 209 479 Net periodic benefit cost $ (3 ) $ 475 $ 927 Assumptions Weighted-average assumptions used to determine benefit obligations at December 31, 2015 , 2014 , and 2013 : 2015 2014 2013 Discount rate 4.17 % 3.83 % 4.75 % Rate of compensation increase N/A 3.00 % 3.00 % Weighted-average assumptions used to determine net periodic cost for years ended December 31, 2015 , 2014 , and 2013 : 2015 2014 2013 Discount rate 3.83 % 4.75 % 4.00 % Expected long-term return on plan assets 7.00 % 8.00 % 8.00 % Rate of compensation increase N/A 3.00 % 3.00 % The expected long-term rate of return was estimated using market benchmarks by which the plan assets would outperform the market value in the future, based on historical experience adjusted for changes in asset allocation and expectations for overall lower future returns on similar investments compared to past periods. Plan Assets The Plan’s weighted-average asset allocations at December 31, 2015 and 2014 by asset category are as follows: Asset Category 2015 2014 Cash 8.56 % 11.54 % Fixed income securities 10.33 % 12.46 % Equity 61.73 % 76.00 % Inflation Hedges/Real Assets 5.03 % — % Hedged Strategies 14.35 % — % Total 100.00 % 100.00 % The investment objective for the Plan is to maximize total return with tolerance for slightly above average risk, meaning the fund is able to tolerate short-term volatility to achieve above-average returns over the long term. Asset allocation favors equities, with target allocation of approximately 62% equity securities, 15.0% fixed income securities, 10% inflation hedges/real assets, 10% hedged strategies, and 2.5% cash. Due to volatility in the market, the target allocation is not always desirable and asset allocations will fluctuate between the acceptable ranges. The equity portfolio’s exposure is primarily in mid and large capitalization domestic equities with limited exposure to small capitalization and international stocks. It is management’s intent to give the investment managers flexibility, within the overall guidelines, with respect to investment decisions and their timing. However, certain investments require specific review and approval by management. Management is also informed of anticipated, significant modifications of any previously approved investment, or anticipated use of derivatives to execute investment strategies. The following table sets forth by level, within the fair value hierarchy detailed in Note 21 - Fair Value Measurements, the Plan’s assets at fair value as of December 31, 2015 and 2014 : 2015 (In Thousands) Level I Level II Level III Total Assets: Cash and cash equivalents $ 1,218 $ — $ — $ 1,218 Mutual funds - taxable fixed income 1,467 — — 1,467 Mutual funds - domestic equity 8,150 — — 8,150 Mutual funds - international equity 631 — — 631 Inflation Hedges/Real Assets 715 — — 715 Hedged Strategies 2,042 — — 2,042 Total assets at fair value $ 14,223 $ — $ — $ 14,223 2014 (In Thousands) Level I Level II Level III Total Assets: Cash and cash equivalents $ 1,606 $ — $ — $ 1,606 Mutual funds - taxable fixed income 1,732 — — 1,732 Mutual funds - domestic equity 8,372 — — 8,372 Mutual funds - international equity 2,196 — — 2,196 Total assets at fair value $ 13,906 $ — $ — $ 13,906 The following future benefit payments that reflect expected future service, as appropriate, are expected to be paid: (In Thousands) 2016 $ 783 2017 799 2018 812 2019 848 2020 882 Thereafter 4,734 $ 8,858 The company expects to contribute a minimum of $500,000 to its Pension Plan in 2016 . 401(k) Savings Plan The Company also offers a 401(k) savings plan in which eligible participating employees may elect to contribute up to a maximum percentage allowable not to exceed the limits of Code Sections 401(k), 404, and 415. The Company may make matching contributions equal to a discretionary percentage that is determined by the Board of Directors. Participants are at all times fully vested in their contributions and vest over a period of five years regarding the employer contribution. Contribution expense was approximately $230,000 , $171,000 , and $132,000 for the years ended December 31, 2015 , 2014 , and 2013 , respectively. Deferred Compensation Plan The Company has a deferred compensation plan whereby participating directors elect to forego directors’ fees paid in cash. Under this plan, the Company will make payments for a ten -year period beginning at the later of age 65 or ceasing to be a director in most cases or at death, if earlier, at which time payments would be made to their designated beneficiaries. To fund benefits under the deferred compensation plan, the Company has acquired bank-owned life insurance policies on the lives of the participating directors for which insurance benefits are payable to the Company. The Company incurred expenses related to the plan of $252,000 , $235,000 , and $169,000 for the years ended December 31, 2015 , 2014 , and 2013 , respectively. Benefits paid under the plan were approximately $103,000 , $88,000 , and $57,000 in 2015 , 2014 , and 2013 , respectively.

STOCK OPTIONS

STOCK OPTIONS	12 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock Options	STOCK OPTIONS In 2014, the Company adopted the 2014 Equity Incentive Plan designed to help the Company attract, retain, and motivate employees and non-employee directors. Incentive stock options, non-qualified stock options, and restricted stock may be granted as part of the plan. On August 27, 2015, the Company issued 38,750 stock options to a group of employees. Each option granted has a strike price of $42.03 and is exercisable after five years following the date of the grant of such options. The options expire ten years following the date of the grant of such options. A summary of stock option activity is presented below: 2015 Shares Weighted Average Exercise Price Outstanding, beginning of year — — Granted 38,750 $ 42.03 Exercised — — Forfeited (4,000 ) 42.03 Outstanding, end of year 34,750 $ 42.03 The estimated fair value of options, including the effect of estimated forfeitures, is recognized as expense on a straightline basis over the options’ vesting periods while ensuring that the cumulative amount of compensation cost recognized at least equals the value of the vested portion of the award at that date. The Company determines the fair value of options granted using the Black-Scholes option-pricing model. The risk-free interest rate is based on the United States Treasury bond with a similar term to the expected life of the options at the grant date. Expected volatility was estimated based on the adjusted historic volatility of the Company’s shares. The expected life was estimated to equal the contractual life of the options. The dividend yield rate was based upon recent historical dividends paid on shares. The following assumptions were used in determining the fair value of share options granted: 2015 Risk-free interest rate 1.63 % Expected volatility 31.58 % Expected dividend yield 4.22 % Expected life 7.51 years Weighted average grant date fair value per option $ 3.96 For the year ended December 31, 2015, recorded $19,000 in total share-based compensation expense. The compensation expense is recorded as part of the non-interest expenses in the Consolidated Statement of Income. As at December 31, 2015, total unrecognized compensation costs related to non-vested options was $119,000 which is expected to be recognized over a period of 4.66 years.

EMPLOYEE STOCK PURCHASE PLAN

EMPLOYEE STOCK PURCHASE PLAN	12 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
EMPLOYEE STOCK PURCHASE PLAN	EMPLOYEE STOCK PURCHASE PLAN The Company maintains a Penns Woods Bancorp, Inc. Employee Stock Purchase Plan (“Plan”). The Plan is intended to encourage employee participation in the ownership and economic progress of the Company. The Plan allows for up to 1,000,000 shares to be purchased by employees. The purchase price of the shares is 95% of market value with an employee eligible to purchase up to the lesser of 15% of base compensation or $12,000 in market value annually. There were 2,335 and 2,720 shares issued under the plan for the years ended December 31, 2015 and 2014 , respectively.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2015
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	RELATED PARTY TRANSACTIONS Certain directors and executive officers of the Company and the Bank, including their immediate families and companies in which they are principal owners (more than ten percent), are indebted to the Company. Such indebtedness was incurred in the ordinary course of business on the same terms and at those rates prevailing at the time for comparable transactions with others. A summary of loan activity with executive officers, directors, principal shareholders, and associates of such persons is listed below for the years ended December 31, 2015 and 2014 : (In Thousands) Beginning Balance New Loans Repayments Ending Balance 2014 $ 10,955 $ 7,920 $ (9,929 ) $ 8,946 2015 $ 8,946 $ 8,693 $ (8,381 ) $ 9,258 Deposits from related parties held by the Banks amounted to $13,330,000 at December 31, 2015 and $10,703,000 at December 31, 2014 .

COMMITMENTS AND CONTINGENT LIAB

COMMITMENTS AND CONTINGENT LIABILITIES	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENT LIABILITIES	COMMITMENTS AND CONTINGENT LIABILITIES The following schedule shows future minimum rental payments under operating leases with noncancellable terms in excess of one year as of December 31, 2015 : (In Thousands) 2016 $ 482 2017 429 2018 365 2019 248 2020 228 Thereafter 823 Total $ 2,575 The Company’s operating lease obligations represent short and long-term lease and rental payments for facilities and equipment. Total rental expense for all operating leases for the years ended December 31, 2015 , 2014 , and 2013 were $591,000 , $523,000 and $493,000 . The Company is subject to lawsuits and claims arising out of its business. There are no such legal proceedings or claims currently pending or threatened other than those encountered during the normal course of business.

OFF-BALANCE SHEET RISK

OFF-BALANCE SHEET RISK	12 Months Ended
	Dec. 31, 2015
Off Balance Sheet Risk
OFF-BALANCE SHEET RISK	OFF-BALANCE SHEET RISK The Company is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. These instruments involve, to varying degrees, elements of credit, interest rate, or liquidity risk in excess of the amount recognized in the Consolidated Balance Sheet. The contract amounts of these instruments express the extent of involvement the Company has in particular classes of financial instruments. The Company’s exposure to credit loss from nonperformance by the other party to the financial instruments for commitments to extend credit and standby letters of credit is represented by the contractual amount of these instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. The Company may require collateral or other security to support financial instruments with off-balance sheet credit risk. Financial instruments whose contract amounts represent credit risk are as follows at December 31, 2015 and 2014 : (In Thousands) 2015 2014 Commitments to extend credit $ 241,936 $ 235,940 Standby letters of credit 4,786 7,490 Commitments to extend credit are legally binding agreements to lend to customers. Commitments generally have fixed expiration dates or other termination clauses and may require payment of fees. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future liquidity requirements. The Company evaluates each customer’s credit worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company, on an extension of credit is based on management’s credit assessment of the counterparty. Standby letters of credit represent conditional commitments issued by the Company to guarantee the performance of a customer to a third party. These instruments are issued primarily to support bid or performance related contracts. The coverage period for these instruments is typically a one year period with an annual renewal option subject to prior approval by management. Fees earned from the issuance of these letters are recognized upon expiration of the coverage period. For secured letters of credit, the collateral is typically Bank deposit instruments or customer business assets.

CAPITAL REQUIREMENTS

CAPITAL REQUIREMENTS	12 Months Ended
	Dec. 31, 2015
Banking and Thrift [Abstract]
CAPITAL REQUIREMENTS	CAPITAL REQUIREMENTS Federal regulations require the Company and the Banks to maintain minimum amounts of capital. Specifically, each is required to maintain certain minimum dollar amounts and ratios of Common Equity Tier 1, Total, and Tier 1 capital to risk-weighted assets and of Tier 1 capital to average total assets. In addition to the capital requirements, the Federal Deposit Insurance Corporation Improvement Act (“FDICIA”) established five capital categories ranging from “well capitalized” to “critically undercapitalized.” Should any institution fail to meet the requirements to be considered “adequately capitalized,” it would become subject to a series of increasingly restrictive regulatory actions. As of December 31, 2015 and 2014 , the FDIC categorized the Banks as well capitalized under the regulatory framework for prompt corrective action. To be classified as a well capitalized financial institution, common equity tier I risk-based, tier I risked-based, total risk-based, and tier I leverage capital ratios must be at least 6.5% , 8% , 10% , and 5% , respectively. The Company’s and the Banks' actual capital ratios are presented in the following tables, which shows that the Company and both Banks met all regulatory capital requirements. Consolidated Company 2015 2014 (In Thousands) Amount Ratio Amount Ratio Common Equity Tier I Capital (to Risk-weighted Assets) Actual $ 121,665 11.24 % N/A N/A For Capital Adequacy Purposes 48,722 4.50 % N/A N/A To Be Well Capitalized 70,377 6.50 % N/A N/A Total Capital (to Risk-weighted Assets) Actual $ 134,067 12.38 % $ 123,371 12.65 % For Capital Adequacy Purposes 86,617 8.00 % 78,019 8.00 % To Be Well Capitalized 108,272 10.00 % 97,524 10.00 % Tier I Capital (to Risk-weighted Assets) Actual $ 121,665 11.24 % $ 112,290 11.51 % For Capital Adequacy Purposes 64,963 6.00 % 39,010 4.00 % To Be Well Capitalized 86,617 8.00 % 58,514 6.00 % Tier I Capital (to Average Assets) Actual $ 121,665 9.38 % $ 112,290 9.27 % For Capital Adequacy Purposes 51,862 4.00 % 48,476 4.00 % To Be Well Capitalized 64,828 5.00 % 60,595 5.00 % Jersey Shore State Bank 2015 2014 (In Thousands) Amount Ratio Amount Ratio Common Equity Tier I Capital (to Risk-weighted Assets) Actual $ 82,682 10.70 % N/A N/A For Capital Adequacy Purposes 34,773 4.50 % N/A N/A To Be Well Capitalized 50,227 6.50 % N/A N/A Total Capital (to Risk-weighted Assets) Actual $ 92,036 11.91 % $ 83,183 12.30 % For Capital Adequacy Purposes 61,818 8.00 % 54,086 8.00 % To Be Well Capitalized 77,272 10.00 % 67,608 10.00 % Tier I Capital (to Risk-weighted Assets) Actual $ 82,682 10.70 % $ 74,730 11.05 % For Capital Adequacy Purposes 46,363 6.00 % 27,043 4.00 % To Be Well Capitalized 61,818 8.00 % 40,565 6.00 % Tier I Capital (to Average Assets) Actual $ 82,682 8.66 % $ 74,730 8.50 % For Capital Adequacy Purposes 38,175 4.00 % 35,175 4.00 % To Be Well Capitalized 47,719 5.00 % 43,968 5.00 % Luzerne Bank 2015 2014 (In Thousands) Amount Ratio Common Equity Tier I Capital (to Risk-weighted Assets) Actual $ 30,549 10.66 % N/A N/A For Capital Adequacy Purposes 12,901 4.50 % N/A N/A To Be Well Capitalized 18,635 6.50 % N/A N/A Total Capital (to Risk-weighted Assets) Actual $ 33,274 11.61 % $ 29,856 10.23 % For Capital Adequacy Purposes 22,935 8.00 % 23,341 8.00 % To Be Well Capitalized 28,669 10.00 % 29,176 10.00 % Tier I Capital (to Risk-weighted Assets) Actual $ 30,549 10.66 % $ 27,886 9.56 % For Capital Adequacy Purposes 17,201 6.00 % 11,670 4.00 % To Be Well Capitalized 22,935 8.00 % 17,506 6.00 % Tier I Capital (to Average Assets) Actual $ 30,549 8.90 % $ 27,886 8.56 % For Capital Adequacy Purposes 13,725 4.00 % 13,032 4.00 % To Be Well Capitalized 17,157 5.00 % 16,289 5.00 %

REGULATORY RESTRICTIONS

REGULATORY RESTRICTIONS	12 Months Ended
	Dec. 31, 2015
Disclosure of Restrictions on Dividends, Loans and Advances Disclosure [Abstract]
REGULATORY RESTRICTIONS	REGULATORY RESTRICTIONS The Pennsylvania Banking Code restricts the availability of capital funds for payment of dividends by all state-chartered banks. Accordingly, at December 31, 2015 , the balance in the additional paid in capital account totaling $11,657,000 for JSSB and $42,214,000 for Luzerne Bank is unavailable for dividends. The Banks are subject to regulatory restrictions, which limit the ability to loan funds to Penns Woods Bancorp, Inc. At December 31, 2015 , the regulatory lending limit amounted to approximately $16,985,000 . Cash and Due from Banks Jersey Shore State Bank and Luzerne Bank had no reserve requirements by the district Federal Reserve Bank at December 31, 2015 or 2014 ; however, if they did they would be reported with cash and due from banks. The required reserves are computed by applying prescribed ratios to the classes of average deposit balances. These are held in the form of cash on hand and a balance maintained directly with the Federal Reserve Bank.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	FAIR VALUE MEASUREMENTS The following disclosures show the hierarchal disclosure framework associated with the level of pricing observations utilized in measuring assets and liabilities at fair value. The three broad levels of pricing observations are as follows: Level I: Quoted prices are available in active markets for identical assets or liabilities as of the reported date. Level II: Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reported date. The nature of these assets and liabilities includes items for which quoted prices are available but traded less frequently, and items that are fair valued using other financial instruments, the parameters of which can be directly observed. Level III: Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable. This hierarchy requires the use of observable market data when available. The following table presents the assets reported on the balance sheet at their fair value on a recurring basis as of December 31, 2015 and 2014 , by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. 2015 (In Thousands) Level I Level II Level III Total Assets measured on a recurring basis: Investment securities, available for sale: U.S. Government and agency securities $ — $ 3,549 $ — $ 3,549 Mortgage-backed securities — 10,009 — 10,009 Asset-backed securities — 1,940 — 1,940 State and political securities — 86,555 — 86,555 Other debt securities — 57,772 — 57,772 Financial institution equity securities 11,483 — — 11,483 Other equity securities 4,849 — — 4,849 Investment securities, trading: Financial institution equity securities 73 — — 73 Total assets measured on a recurring basis $ 16,405 $ 159,825 $ — $ 176,230 2014 (In Thousands) Level I Level II Level III Total Assets measured on a recurring basis: Investment securities, available for sale: U.S. Government and agency securities $ — $ 3,841 $ — $ 3,841 Mortgage-backed securities — 12,697 — 12,697 Asset-backed securities — 2,492 — 2,492 State and political securities — 108,116 — 108,116 Other debt securities — 89,463 — 89,463 Financial institution equity securities 9,915 — — 9,915 Other equity securities 5,689 — — 5,689 Total assets measured on a recurring basis $ 15,604 $ 216,609 $ — $ 232,213 The following table presents the assets reported on the balance sheet at their fair value on a non-recurring basis as of December 31, 2015 and 2014 , by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. 2015 (In Thousands) Level I Level II Level III Total Assets measured on a non-recurring basis: Impaired loans $ — $ — $ 13,779 $ 13,779 Other real estate owned — — 1,696 1,696 Total assets measured on a non-recurring basis $ — $ — $ 15,475 $ 15,475 2014 (In Thousands) Level I Level II Level III Total Assets measured on a non-recurring basis: Impaired loans $ — $ — $ 15,483 $ 15,483 Other real estate owned — — 3,241 3,241 Total assets measured on a non-recurring basis $ — $ — $ 18,724 $ 18,724 The following table provides a listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques as of December 31, 2015 and 2014 : 2015 Quantitative Information About Level III Fair Value Measurements (In Thousands) Fair Value Valuation Technique(s) Unobservable Inputs Range Weighted Average Impaired loans $ 5,696 Discounted cash flow Temporary reduction in payment amount 0 to (70)% (17 )% Probability of default —% 8,083 Appraisal of collateral Appraisal adjustments (1) 0 to (20)% (15 )% Other real estate owned $ 1,696 Appraisal of collateral (1) 2014 Quantitative Information About Level III Fair Value Measurements (In Thousands) Fair Value Valuation Technique(s) Unobservable Inputs Range Weighted Average Impaired loans $ 4,749 Discounted cash flow Temporary reduction in payment amount 0 to (91)% (12 )% Probability of default —% 10,734 Appraisal of collateral Appraisal adjustments (1) 0 to (20)% (15 )% Other real estate owned $ 3,241 Appraisal of collateral (1) (1) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The significant unobservable inputs used in the fair value measurement of the Company’s impaired loans using the discounted cash flow valuation technique include temporary changes in payment amounts and the probability of default. Significant increases (decreases) in payment amounts would result in significantly higher (lower) fair value measurements. The probability of default is 0% for impaired loans using the discounted cash flow valuation technique because all defaulted impaired loans are valued using the appraisal of collateral valuation technique. The significant unobservable input used in the fair value measurement of the Company’s impaired loans using the appraisal of collateral valuation technique include appraisal adjustments, which are adjustments to appraisals by management for qualitative factors such as economic conditions and estimated liquidation expenses. The significant unobservable input used in the fair value measurement of the Company’s other real estate owned are the same inputs used to value impaired loans using the appraisal of collateral valuation technique.

FAIR VALUE OF FINANCIAL INSTRUM

FAIR VALUE OF FINANCIAL INSTRUMENTS	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
FAIR VALUE OF FINANCIAL INSTRUMENTS	FAIR VALUE OF FINANCIAL INSTRUMENTS The Company is required to disclose fair values for its financial instruments. Fair values are made at a specific point in time, based on relevant market information and information about the financial instrument. These fair values do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. Also, it is the Company’s general practice and intention to hold most of its financial instruments to maturity and not to engage in trading or sales activities. Because no market exists for a significant portion of the Company’s financial instruments, fair values are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These fair values are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions can significantly affect the fair values. Fair values have been determined by the Company using historical data and an estimation methodology suitable for each category of financial instruments. The Company’s fair values, methods, and assumptions are set forth below for the Company’s other financial instruments. As certain assets and liabilities, such as deferred tax assets, premises and equipment, and many other operational elements of the Company, are not considered financial instruments but have value, the fair value of financial instruments would not represent the full market value of the Company. The fair values of the Company’s financial instruments are as follows at December 31, 2015 and 2014 : Fair Value Measurements at December 31, 2015 (In Thousands) Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level I) Significant Other Observable Inputs (Level II) Significant Unobservable Inputs (Level III) Financial assets: Cash and cash equivalents $ 22,796 $ 22,796 $ 22,796 $ — $ — Investment securities: Available for sale 176,157 176,157 16,332 159,825 — Trading 73 73 73 Loans held for sale 757 757 757 — — Loans, net 1,033,163 1,045,140 — — 1,045,140 Bank-owned life insurance 26,667 26,667 26,667 — — Accrued interest receivable 3,686 3,686 3,686 — — Financial liabilities: Interest-bearing deposits $ 751,797 $ 729,685 $ 509,206 $ — $ 220,479 Noninterest-bearing deposits 280,083 280,083 280,083 — — Short-term borrowings 46,638 46,638 46,638 — — Long-term borrowings 91,025 91,783 — — 91,783 Accrued interest payable 426 426 426 — — Fair Value Measurements at December 31, 2014 (In Thousands) Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level I) Significant Other Observable Inputs (Level II) Significant Unobservable Inputs (Level III) Financial assets: Cash and cash equivalents $ 19,908 $ 19,908 $ 19,908 $ — $ — Investment securities: Available for sale 232,213 232,213 15,604 216,609 — Loans held for sale 550 550 550 — — Loans, net 905,000 916,597 — — 916,597 Bank-owned life insurance 25,959 25,959 25,959 — — Accrued interest receivable 3,912 3,912 3,912 — — Financial liabilities: Interest-bearing deposits $ 738,041 $ 722,724 $ 506,875 $ — $ 215,849 Noninterest-bearing deposits 243,378 243,378 243,378 — — Short-term borrowings 40,818 40,818 40,818 — — Long-term borrowings 71,176 73,084 — — 73,084 Accrued interest payable 381 381 381 — — Cash and Cash Equivalents, Loans Held for Sale, Accrued Interest Receivable, Short-term Borrowings, and Accrued Interest Payable: The fair value is equal to the carrying value. Investment Securities: The fair value of investment securities available for sale is equal to the available quoted market price. If no quoted market price is available, fair value is determined by using the quoted market price for similar securities. Regulatory stocks’ fair value is equal to the carrying value. Loans: Fair values are determined for portfolios of loans with similar financial characteristics. Loans are segregated by type such as commercial, commercial real estate, residential real estate, construction real estate, and other consumer. Each loan category is further segmented into fixed and adjustable rate interest terms and by performing and nonperforming categories. The fair value of performing loans is calculated by discounting scheduled cash flows through the estimated maturity using market discount rates that reflect the credit and interest rate risk inherent in the loan. The estimate of maturity is based on the Company’s historical experience with repayments for each loan classification, modified, as required, by an estimate of the effect of current economic and lending conditions. Fair value for significant nonperforming loans is based on recent external appraisals. If appraisals are not available, estimated cash flows are discounted using a rate commensurate with the risk associated with the estimated cash flows. Assumptions regarding credit risk, cash flows, and discounted rates are judgmentally determined using available market information and specific borrower information. Bank-Owned Life Insurance: The fair value is equal to the cash surrender value of the life insurance policies. Deposits: The fair value of deposits with no stated maturity, such as noninterest-bearing demand deposits, savings, NOW, and money market accounts, is equal to the amount payable on demand as of December 31, 2015 and 2014 . The fair value of certificates of deposit is based on the discounted value of contractual cash flows. The fair values above do not include the benefit that results from the low-cost funding provided by the deposit liabilities compared to the cost of borrowing funds in the market, commonly referred to as the core deposit intangible. Long Term Borrowings: The fair value of long term borrowings is based on the discounted value of contractual cash flows. Commitments to Extend Credit, Standby Letters of Credit, and Financial Guarantees Written: There is no material difference between the notional amount and the fair value of off-balance sheet items at December 31, 2015 and 2014 . The contractual amounts of unfunded commitments and letters of credit are presented in Note 17.

PARENT COMPANY ONLY FINANCIAL S

PARENT COMPANY ONLY FINANCIAL STATEMENTS	12 Months Ended
	Dec. 31, 2015
Condensed Financial Information of Parent Company Only Disclosure [Abstract]
PARENT COMPANY ONLY FINANCIAL STATEMENTS	PARENT COMPANY ONLY FINANCIAL STATEMENTS Condensed financial information for Penns Woods Bancorp, Inc. follows: CONDENSED BALANCE SHEET, DECEMBER 31, (In Thousands) 2015 2014 ASSETS: Cash $ 263 $ 1,299 Investment in subsidiaries: Bank 127,126 125,524 Non-bank 8,332 8,900 Other assets 705 380 Total Assets $ 136,426 $ 136,103 LIABILITIES AND SHAREHOLDERS’ EQUITY: Other liabilities $ 147 $ 136 Shareholders’ equity 136,279 135,967 Total liability and shareholders’ equity $ 136,426 $ 136,103 CONDENSED STATEMENT OF INCOME FOR THE YEARS ENDED DECEMBER 31, (In Thousands) 2015 2014 2013 Operating income: Dividends from subsidiaries $ 11,367 $ 10,080 $ 14,836 Security gains — 3 — Equity in undistributed earnings of subsidiaries 3,167 5,261 346 Operating expenses (636 ) (736 ) (1,098 ) Net income $ 13,898 $ 14,608 $ 14,084 Comprehensive income $ 11,766 $ 17,835 $ 3,833 CONDENSED STATEMENT OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, (In Thousands) 2015 2014 2013 OPERATING ACTIVITIES: Net income $ 13,898 $ 14,608 $ 14,084 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed earnings of subsidiaries (3,167 ) (5,261 ) (346 ) Other, net (313 ) (50 ) 97 Net cash provided by operating activities 10,418 9,297 13,835 INVESTING ACTIVITIES: Outlays for business acquisitions — — (2,876 ) FINANCING ACTIVITIES: Dividends paid (8,967 ) (9,055 ) (9,560 ) Issuance of common stock 116 118 80 Purchase of treasury stock (2,603 ) (747 ) — Net cash used for financing activities (11,454 ) (9,684 ) (9,480 ) NET (DECREASE) INCREASE IN CASH (1,036 ) (387 ) 1,479 CASH, BEGINNING OF YEAR 1,299 1,686 207 CASH, END OF YEAR $ 263 $ 1,299 $ 1,686

CONSOLIDATED QUARTERLY FINANCIA

CONSOLIDATED QUARTERLY FINANCIAL DATA (UNAUDITED)	12 Months Ended
	Dec. 31, 2015
Quarterly Financial Information Disclosure [Abstract]
CONSOLIDATED QUARTERLY FINANCIAL DATA (UNAUDITED)	CONSOLIDATED QUARTERLY FINANCIAL DATA (UNAUDITED) (In Thousands, Except Per Share Data) For the Three Months Ended 2015 March 31, June 30, Sept. 30, Dec. 31, Interest income $ 11,397 $ 11,529 $ 11,523 $ 11,675 Interest expense 1,286 1,307 1,289 1,337 Net interest income 10,111 10,222 10,234 10,338 Provision for loan losses 700 600 520 480 Non-interest income, excluding securities gains 2,599 2,535 2,644 2,417 Securities gains (losses), net 661 522 493 894 Non-interest expense 8,468 8,421 8,530 8,317 Income before income tax provision 4,203 4,258 4,321 4,852 Income tax provision 848 825 957 1,106 Net income $ 3,355 $ 3,433 $ 3,364 $ 3,746 Earnings per share - basic and diluted $ 0.70 $ 0.72 $ 0.71 $ 0.79 (In Thousands, Except Per Share Data) For the Three Months Ended 2014 March 31, June 30, Sept. 30, Dec. 31, Interest income $ 11,329 $ 11,357 $ 11,460 $ 11,460 Interest expense 1,242 1,226 1,242 1,252 Net interest income 10,087 10,131 10,218 10,208 Provision for loan losses 485 300 460 1,605 Non-interest income, excluding securities gains 2,818 2,442 2,779 2,954 Securities gains (losses), net 393 487 2,145 490 Non-interest expense 8,643 8,422 8,313 8,512 Income before income tax provision 4,170 4,338 6,369 3,535 Income tax provision 701 875 1,576 652 Net income $ 3,469 $ 3,463 $ 4,793 $ 2,883 Earnings per share - basic and diluted $ 0.72 $ 0.72 $ 0.99 $ 0.60

ACQUISITION OF LUZERNE NATIONAL

ACQUISITION OF LUZERNE NATIONAL BANK CORPORATION	12 Months Ended
	Dec. 31, 2015
Business Combinations [Abstract]
ACQUISITION OF LUZERNE NATIONAL BANK CORPORATION	ACQUISITION OF LUZERNE NATIONAL BANK CORPORATION On June 1, 2013, the Company closed on a merger transaction pursuant to which Penns Woods Bancorp, Inc. acquired Luzerne National Bank Corporation in a stock and cash transaction. The acquisition extended the Company’s footprint into Luzerne and Lackawanna Counties, Pennsylvania. Luzerne National Bank Corporation was the holding company for Luzerne Bank, a Pennsylvania bank that conducted its business from a main office in Luzerne, Pennsylvania with eight branch offices in Luzerne County and one loan production office in Lackawanna County, all in northeastern Pennsylvania. Since June 1, 2013, the loan production office in Lackawanna County has been closed. Under the terms of the merger agreement, the Company acquired all of the outstanding shares of Luzerne National Bank Corporation for a total purchase price of approximately $42,612,000 . As a result of the acquisition, the Company issued 978,977 common shares, or 20.62% of the total shares outstanding as of December 31, 2015 , to former shareholders of Luzerne National Bank Corporation. Luzerne Bank is operating as an independent bank under the Penns Woods Bancorp, Inc. umbrella. The acquired assets and assumed liabilities were measured at estimated fair values. Management made significant estimates and exercised significant judgment in accounting for the acquisition. Management measured loan fair values based on loan file reviews, appraised collateral values, expected cash flows, and historical loss factors of Luzerne Bank. Real estate acquired through foreclosure was primarily valued based on appraised collateral values. The Company also recorded an identifiable intangible asset representing the core deposit base of Luzerne Bank based on management’s evaluation of the cost of such deposits relative to alternative funding sources. The Company also recorded an identifiable intangible asset representing the trade name of Luzerne Bank based on management’s evaluation of the value of the name in the market. Management used significant estimates including the average lives of depository accounts, future interest rate levels, and the cost of servicing various depository products. Management used market quotations to determine the fair value of investment securities. The business combination resulted in the acquisition of loans with and without evidence of credit quality deterioration. Luzerne Bank’s loans were deemed impaired at the acquisition date if the Company did not expect to receive all contractually required cash flows due to concerns about credit quality. Such loans were fair valued and the difference between contractually required payments at the acquisition date and cash flows expected to be collected was recorded as a non-accretable difference. At the acquisition date, the Company recorded $1,211,000 of purchased credit-impaired loans subject to a non-accretable difference of $842,000 . The method of measuring carrying value of purchased loans differs from loans originated by the Company (originated loans), and as such, the Company identifies purchased loans and purchased loans with a credit quality discount and originated loans at amortized cost. Luzerne’s loans without evidence of credit deterioration were fair valued by discounting both expected principal and interest cash flows using an observable discount rate for similar instruments that a market participant would consider in determining fair value. Additionally, consideration was given to management’s best estimates of default rates and payment speeds. At acquisition, Luzerne’s loan portfolio without evidence of deterioration totaled $249,789,000 and was recorded at a fair value of $249,500,000 . The following table summarizes the purchase of Luzerne National Bank Corporation as of June 1, 2013: (In Thousands, Except Per Share Data) Purchase Price Consideration in Common Stock Luzerne National Bank Corporation common shares settled for stock 630,216 Exchange Ratio 1.5534 Penns Woods Bancorp, Inc. shares issued 978,977 Value assigned to Penns Woods Bancorp, Inc. common share $ 40.59 Purchase price assigned to Luzerne National Bank Corporation common shares exchanged for Penns Woods Bancorp, Inc. $ 39,736 Purchase Price Consideration - Cash for Common Stock Luzerne National Bank Corporation shares exchanged for cash 46,480 Purchase price paid to each Luzerne National Bank Corporation common share exchanged for cash $ 61.86 Purchase price assigned to Luzerne National Bank Corporation common shares exchanged for cash 2,876 Total Purchase Price 42,612 Net Assets Acquired: Luzerne National Bank Corporation shareholders’ equity $ 27,371 Adjustments to reflect assets acquired at fair value: Investments 33 Loans Interest rate 2,680 General credit (3,206 ) Specific credit - non-amortizing (58 ) Specific credit - amortizing (40 ) Core deposit intangible 1,882 Trade name intangible 133 Owned premises 1,138 Leased premises contracts 122 Deferred tax assets (603 ) Adjustments to reflect liabilities acquired at fair value: Time deposits (912 ) 28,540 Goodwill resulting from merger $ 14,072 Results of operations for Luzerne National Bank Corporation prior to the acquisition date are not included in the Consolidated Statement of Income. Due to the significant amount of fair value adjustments, historical results of Luzerne National Bank Corporation are not relevant to the Company’s results of operations. Therefore, no pro forma information is presented.

OPERATIONS AND SUMMARY OF SIG34

OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements include the accounts of Penns Woods Bancorp, Inc. and its wholly owned subsidiaries, Jersey Shore State Bank (“JSSB”), Luzerne Bank ("Luzerne" collectively with JSSB "Banks"), Woods Real Estate Development Co., Inc., Woods Investment Company, Inc., and The M Group Inc. D/B/A The Comprehensive Financial Group (“The M Group”), a wholly owned subsidiary of JSSB, (collectively, the “Company”). All significant intercompany balances and transactions have been eliminated.
Use of Estimates	Use of Estimates The preparation of financial statements 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 Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for loan losses, valuation of net deferred tax assets, impairment of goodwill, other than temporary impairment of debt and equity securities, fair value of financial instruments, and the valuation of real estate acquired through, or in lieu of, foreclosure on settlement of debt.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents include cash on hand and in banks and federal funds sold. Interest-earning deposits mature within 90 days and are carried at cost. Net cash flows are reported for loan, deposit, and short-term borrowing transactions.
Restrictions on Cash and Cash Equivalents	Restrictions on Cash and Cash Equivalents Based on deposit levels, the Banks must maintain cash and other reserves with the Federal Reserve Bank of Philadelphia (FRB).
Investment Securities	Investment Securities Investment securities are classified at the time of purchase, based on management’s intention and ability, as securities held to maturity, securities available for sale, or securities held for trading. Debt securities acquired with the intent and ability to hold to maturity are stated at cost, adjusted for amortization of premium and accretion of discount, which are computed using the interest method and recognized as adjustments of interest income. Certain other debt securities have been classified as available for sale to serve principally as a source of liquidity. Unrealized holding gains and losses for available for sale securities are reported as a separate component of shareholders’ equity, net of tax, until realized. Unrealized holding gains and losses for equity securities held for trading are recognized as a separate component within the income statement. Realized security gains and losses are computed using the specific identification method for debt securities and the average cost method for marketable equity securities. Interest and dividends on investment securities are recognized as income when earned. Securities are periodically reviewed for other-than-temporary impairment based upon a number of factors, including, but not limited to, the length of time and extent to which the fair value has been less than cost, the financial condition of the underlying issuer, the ability of the issuer to meet contractual obligations, the likelihood of the security’s ability to recover any decline in its fair value, whether it is more likely than not that the Company would be required to sell the security before its anticipated recovery in fair value, and a review of the Company’s capital adequacy, interest rate risk position, and liquidity. The assessment of a security’s ability to recover any decline in fair value, the ability of the issuer to meet contractual obligations, and management’s intent and ability requires considerable judgment. A decline in value that is considered to be other-than-temporary is recorded as a loss within non-interest income in the Consolidated Statement of Income. Investment securities fair values are based on observed market prices. Certain investment securities do not have observed bid prices and their fair value is based on instruments with similar risk elements. Since regulatory stock is redeemable at par, the Company carries it a
Loans	Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff generally are stated at the principal amount outstanding, net of deferred fees and discounts, unamortized loan fees and costs, and the allowance for loan losses. Interest on loans is recognized as income when earned on the accrual method. The Company’s general policy has been to stop accruing interest on loans when it is determined a reasonable doubt exists as to the collectability of additional interest. Income is subsequently recognized only to the extent that cash payments are received provided the loan is not delinquent in payment and, in management’s judgment, the borrower has the ability and intent to make future principal payments. Otherwise, payments are applied to the unpaid principal balance of the loan. Loans are restored to accrual status if certain conditions are met, including but not limited to, the repayment of all unpaid interest and scheduled principal due, ongoing performance consistent with the contractual agreement, and the future expectation of continued, timely payments. Loan origination and commitment fees as well as certain direct loan origination costs are being deferred and amortized as an adjustment to the related loan’s yield over the contractual lives of the related loans.
Allowance for Loan Losses	Allowance for Loan Losses The allowance for loan losses represents the amount which management estimates is adequate to provide for probable losses inherent in its loan portfolio, as of the Consolidated Balance Sheet date. The allowance method is used in providing for loan losses. Accordingly, all loan losses are charged to the allowance and all recoveries are credited to it. The allowance for loan losses is established through a provision for loan losses charged to operations. The provision for loan losses is based upon management’s quarterly review of the loan portfolio. The purpose of the review is to assess loan quality, identify impaired loans, analyze delinquencies, ascertain loan growth, evaluate potential charge-offs and recoveries, and assess general economic conditions in the markets served. An external independent loan review is also performed annually for the Bank. Management remains committed to an aggressive program of problem loan identification and resolution. The allowance is calculated by applying loss factors to outstanding loans by type, excluding loans for which a specific allowance has been determined. Loss factors are based on management’s consideration of the nature of the portfolio segments, changes in mix and volume of the loan portfolio, historical loan loss experience, and general economic conditions. In addition, management considers industry standards and trends with respect to nonperforming loans and its knowledge and experience with specific lending segments. Although management believes that it uses the best information available to make such determinations and that the allowance for loan losses is adequate at December 31, 2015, future adjustments could be necessary if circumstances or economic conditions differ substantially from the assumptions used in making the initial determinations. A downturn in the local economy, rising unemployment, or negative performance trends in financial information from borrowers could be indicators of subsequent increased levels of nonperforming assets and possible charge-offs, which would normally require increased loan loss provisions. An integral part of the periodic regulatory examination process is the review of the adequacy of the Banks' loan loss allowance. The regulatory agencies could require the Banks, based on their evaluation of information available at the time of their examination, to provide additional loan loss provisions to further supplement the allowance. Impaired loans are commercial and commercial real estate loans for which it is probable the Banks will not be able to collect all amounts due according to the contractual terms of the loan agreement. The Banks individually evaluate such loans for impairment and do not aggregate loans by major risk classifications. The definition of “impaired loans” is not the same as the definition of “nonaccrual loans,” although the two categories overlap. The Banks may choose to place a loan on nonaccrual status due to payment delinquency or uncertain collectability, while not classifying the loan as impaired if the loan is not a commercial or commercial real estate loan. Factors considered by management in determining impairment include payment status and collateral value. The amount of impairment for these types of loans is determined by the difference between the present value of the expected cash flows related to the loan, using the original interest rate, and its recorded value, or as a practical expedient in the case of collateralized loans, the difference between the fair value of the collateral and the recorded amount of the loans. When foreclosure is probable, impairment is measured based on the fair value of the collateral. Mortgage loans on one-to-four family properties and all consumer loans are large groups of smaller-balance homogeneous loans and are measured for impairment collectively. Loans that experience insignificant payment delays, which are defined as 90 days or less, generally are not classified as impaired. Management determines the significance of payment delays on a case-by-case basis taking into consideration all circumstances surrounding the loan and the borrower including the length of the delay, the borrower’s prior payment record, and the amount of shortfall in relation to the principal and interest owed.
Loan Charge-off Policies	Loan Charge-off Policies Loans are generally fully or partially charged down to the fair value of collateral securing the asset when: • management judges the asset to be uncollectible; • repayment is deemed to be protracted beyond reasonable time frames; • the asset has been classified as a loss by either the internal loan review process or external examiners; • the borrower has filed bankruptcy and the loss becomes evident due to a lack of assets; or • the loan is 180 days past due unless both well secured and in the process of collection.
Troubled Debt Restructurings	Troubled Debt Restructurings In situations where, for economic or legal reasons related to a borrower’s financial difficulties, management may grant a concession for other than an insignificant period of time to the borrower that would not otherwise be considered, the related loan is classified as a troubled debt restructuring (TDR). Management strives to identify borrowers in financial difficulty early and work with them to modify to more affordable terms before their loan reaches nonaccrual status. These modified terms may include rate reductions, principal forgiveness, payment forbearance, and other actions intended to minimize the economic loss and to avoid foreclosure or repossession of the collateral. In cases where borrowers are granted new terms that provide for a reduction of either interest or principal, management measures any impairment on the restructuring as noted above for impaired loans. In addition to the allowance for the pooled portfolios, management has developed a separate allowance for loans that are identified as impaired through a TDR. These loans are excluded from pooled loss forecasts and a separate reserve is provided under the accounting guidance for loan impairment. Consumer loans whose terms have been modified in a TDR are also individually analyzed for estimated impairment.
Loans Held for Sale	Loans Held for Sale In general, fixed rate residential mortgage loans originated by the Banks are held for sale and are carried at cost due to their short holding period, which can range from less than two weeks to a maximum of thirty days. Sold loans are not serviced by the Banks. Proceeds from the sale of loans in excess of the carrying value are accounted for as a gain. Total gains on the sale of loans are shown as a component of non-interest income within the Consolidated Statement of Income.
Foreclosed Assets	Foreclosed Assets Foreclosed assets are carried at the lower of cost or fair value less estimated selling costs. Prior to foreclosure, the value of the underlying loan is written down to the fair value of the real estate to be acquired by a charge to the allowance for loan losses, if necessary. Any subsequent write-downs are charged against operating expenses. Net operating expenses and gains and losses realized from disposition are included in non-interest expense and income, respectively, within the Consolidated Statement of Income.
Premises and Equipment	Premises and Equipment Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Depreciation is computed using straight-line and accelerated methods over the estimated useful lives of the related assets, which range from five to ten years for furniture, fixtures, and equipment and fifteen to forty years for buildings and improvements. Costs incurred for routine maintenance and repairs are charged to operations as incurred. Costs of major additions and improvements are capitalized.
Bank-Owned Life Insurance	Bank-Owned Life Insurance The Company has purchased life insurance policies on certain officers and directors. Bank-owned life insurance is recorded at its cash surrender value, or the amount that can be realized. Increases in the cash surrender value are recognized as a component of non-interest income within the Consolidated Statement of Income.
Goodwill	Goodwill The Company performs an annual impairment analysis of goodwill for its purchased subsidiaries, Luzerne and The M Group.
Intangible Assets	Intangible Assets At December 31, 2015 , the Company had intangible assets of $1,240,000 as a result of the acquisition of Luzerne National Bank Corporation, which is net of accumulated amortization of $774,000 . These intangible assets will continue to be amortized using the sum-of-the-years digits method of amortization over ten years.
Investments in Limited Partnerships	Investments in Limited Partnerships The Company is a limited partner in four partnerships at December 31, 2015 that provide low income elderly housing in the Company’s geographic market area. The carrying value of the Company’s investments in limited partnerships was $ 899,000 at December 31, 2015 and $1,560,000 at December 31, 2014 . The investments are being amortized over the ten -year tax credit receipt period utilizing the straight-line method.
Off-Balance Sheet Financial Instruments	Off-Balance Sheet Financial Instruments In the ordinary course of business, the Company enters into off-balance sheet financial instruments. Those instruments consist of commitments to extend credit and standby letters of credit. When those instruments are funded or become payable, the Company reports the amounts in its financial statements.
Marketing Cost	Marketing Cost Marketing costs are generally expensed as incurred.
Income Taxes	Income Taxes The Company prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Benefits from tax positions should be recognized in the financial statements only when it is more likely than not that the tax position will be sustained upon examination by the appropriate taxing authority that would have full knowledge of all relevant information. A tax position that meets the more-likely-than-not recognition threshold is measured at the largest amount of benefit that is greater than fifty percent likely of being realized upon ultimate settlement. Tax positions that previously failed to meet the more-likely-than-not recognition threshold should be recognized in the first subsequent financial reporting period in which that threshold is met. Previously recognized tax positions that no longer meet the more-likely-than-not recognition threshold should be derecognized in the first subsequent financial reporting period in which that threshold is no longer met. Deferred tax assets and liabilities result from temporary differences in financial and income tax methods of accounting, and are reflected at currently enacted income tax rates applicable to the period in which the deferred tax assets or liabilities are expected to be realized or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. The Company analyzed its deferred tax asset position and determined that there was not a need for a valuation allowance due to the Company’s ability to generate future ordinary and capital taxable income. The Company when applicable recognizes interest and penalties on income taxes as a component of income tax provision.
Earnings Per Share	Earnings Per Share The Company provides dual presentation of basic and diluted earnings per share. Basic earnings per share is calculated utilizing net income as reported in the numerator and weighted average shares outstanding in the denominator. The computation of diluted earnings per share differs in that the dilutive effects of any stock options are adjusted in the denominator.
Employee Benefits	Employee Benefits Pension and employee benefits include contributions, determined actuarially, to a defined benefit retirement plan covering the eligible employees of JSSB. The plan is funded on a current basis to the extent that it is deductible under existing federal tax regulations. Pension and other employee benefits also include contributions to a defined contribution Section 401(k) plan covering eligible employees. Contributions matching those made by eligible employees are funded throughout the year. In addition, an elective contribution may be made annually at the discretion of the board of directors for the employees of JSSB with contributions being made in 2015 and 2014.
The M Group Products and Income Recognition	The M Group Products and Income Recognition The M Group product line is comprised primarily of annuities, life insurance, and mutual funds. The revenues generated from life insurance sales are commission only, as The M Group does not underwrite the policies. Life insurance sales include permanent and term policies with the majority of the policies written being permanent. Term life insurance policies are written for 10 , 15 , 20 , and 30 year terms with the majority of the policies being written for 20 years. None of these products are offered as an integral part of lending activities. Commissions from the sale of annuities are recognized at the time notice is received from the third party broker/dealer or an insurance company that the transaction has been accepted and approved, which is also the time when commission income is received. Life insurance commissions are recognized at varying points based on the payment option chosen by the customer. Commissions from monthly and annual payment plans are recognized at the start of each annual period for the life insurance, while quarterly and semi-annual premium payments are recognized quarterly and semi-annually when the earnings process is complete. For example, semi-annual payments on the first of January and July would result in commission income recognition on the first of January and July, while payments on the first of January, April, July, and October would result in commission income recognition on those dates. The potential for chargebacks only exists for those policies on a monthly payment plan since income is recognized at the beginning of the annual coverage period versus at the time of each monthly payment. No liability is maintained for chargebacks as these are removed from income at the time of the occurrence.
Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss) The Company is required to present accumulated other comprehensive income (loss) in a full set of general-purpose financial statements for all periods presented. Accumulated other comprehensive income (loss) is comprised of unrealized holding gains (losses) on the available for sale securities portfolio and the unrecognized components of net periodic benefit costs of the defined benefit pension plan.
Segment Reporting	Segment Reporting The Company has determined that its only reportable segment is Community Banking.
Reclassification of Comparative Amounts	Reclassification of Comparative Amounts Certain items previously reported have been reclassified to conform to the current year’s reporting format. Such reclassifications did not affect net income or shareholders’ equity.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In January 2014, FASB issued ASU 2014-01, Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects. The amendments in this update permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense (benefit). The amendments in this update should be applied retrospectively to all periods presented. A reporting entity that uses the effective yield method to account for its investments in qualified affordable housing projects before the date of adoption may continue to apply the effective yield method for those preexisting investments. The amendments in this update are effective for public business entities for annual periods and interim reporting periods within those annual periods, beginning after December 15, 2014. Early adoption is permitted. This ASU did not have an impact on the Company’s financial statements. In January 2014, the FASB issued ASU 2014-04, Receivables - Troubled Debt Restructurings by Creditors (Subtopic 310-40): Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure. The amendments in this update clarify that an in substance repossession or foreclosure occurs, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendments require interim and annual disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor, and (2) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure according to local requirements of the applicable jurisdiction. The amendments in this update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. An entity can elect to adopt the amendments in this update using either a modified retrospective transition method or a prospective transition method. The Company has provided the necessary disclosures in Note 6. Loan Credit Quality and Related Allowance for Loan Losses. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (a new revenue recognition standard). The update’s core principle is that a company will recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In addition, this update specifies the accounting for certain costs to obtain or fulfill a contract with a customer and expands disclosure requirements for revenue recognition. This update is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently evaluating the impact the adoption of the standard will have on the Company’s financial position or results of operations. In June 2014, the FASB issued ASU 2014-11, Transfers and Servicing (Topic 860): Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures . The amendments in this update change the accounting for repurchase-to-maturity transactions to secured borrowing accounting. For repurchase financing arrangements, the amendments require separate accounting for a transfer of a financial asset executed contemporaneously with a repurchase agreement with the same counterparty, which will result in secured borrowing accounting for the repurchase agreement. The amendments also require enhanced disclosures. The accounting changes in this update are effective for the first interim or annual period beginning after December 15, 2014. An entity is required to present changes in accounting for transactions outstanding on the effective date as a cumulative-effect adjustment to retained earnings as of the beginning of the period of adoption. Earlier application is prohibited. The disclosure for certain transactions accounted for as a sale is required to be presented for interim and annual periods beginning after December 15, 2014, and the disclosure for repurchase agreements, securities lending transactions, and repurchase-to-maturity transactions accounted for as secured borrowings is required to be presented for annual periods beginning after December 15, 2014, and for interim periods beginning after March 15, 2015. The disclosures are not required to be presented for comparative periods before the effective date. This update did not have an impact on the Company’s financial statements. In June 2014, the FASB issued ASU 2014-12, Compensation-Stock Compensation (Topic 718): Accounting for Share-Based Payments when the Terms of an Award Provide that a Performance Target Could Be Achieved After the Requisite Service Period . The amendments require that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. The amendments in this update are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Earlier adoption is permitted. Entities may apply the amendments in this update either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. If retrospective transition is adopted, the cumulative effect of applying this update as of the beginning of the earliest annual period presented in the financial statements should be recognized as an adjustment to the opening retained earnings balance at that date. Additionally, if retrospective transition is adopted, an entity may use hindsight in measuring and recognizing the compensation cost. This ASU did not have a significant impact on the Company’s financial statements. In August 2014, the FASB issued ASU 2014-14, Receivables - Troubled Debt Restructurings by Creditors (Subtopic 310-40) . The amendments in this update require that a mortgage loan be de-recognized and that a separate other receivable be recognized upon foreclosure if the following conditions are met: (1) the loan has a government guarantee that is not separable from the loan before foreclosure, (2) at the time of foreclosure, the creditor has the intent to convey the real estate property to the guarantor and make a claim on the guarantee, and the creditor has the ability to recover under that claim, and (3) at the time of foreclosure, any amount of the claim that is determined on the basis of the fair value of the real estate is fixed. Upon foreclosure, the separate other receivable should be measured based on the amount of the loan balance (principal and interest) expected to be recovered from the guarantor. The amendments in this update are effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2014. This ASU did not have a significant impact on the Company’s financial statements. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements - Going Concern (Subtopic 205-40) . The amendments in this update provide guidance in accounting principles generally accepted in the United States of America about management's responsibility to evaluate whether there is substantial doubt about an entity's ability to continue as a going concern and to provide related footnote disclosures. The amendments in this update are effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. This ASU is not expected to have a significant impact on the Company’s financial statements. In November 2014, the FASB issued ASU 2014-17, Business Combinations (Topic 805): Pushdown Accounting. The amendments in this update apply to the separate financial statements of an acquired entity and its subsidiaries that are a business or nonprofit activity (either public or nonpublic) upon the occurrence of an event in which an acquirer (an individual or an entity) obtains control of the acquired entity. An acquired entity may elect the option to apply pushdown accounting in the reporting period in which the change-in-control event occurs. If pushdown accounting is not applied in the reporting period in which the change-in-control event occurs, an acquired entity will have the option to elect to apply pushdown accounting in a subsequent reporting period to the acquired entity's most recent change-in-control event. The amendments in this update are effective on November 18, 2014. After the effective date, an acquired entity can make an election to apply the guidance to future change-in-control events or to its most recent change-in-control event. This update will not have an impact on the Company’s financial statements. In January 2015, the FASB issued ASU 2015-01, Income Statement -Extraordinary and Unusual Items, as part of its initiative to reduce complexity in accounting standards. This update eliminates from GAAP the concept of extraordinary items. The amendments in this update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. A reporting entity may apply the amendments prospectively. A reporting entity also may apply the amendments retrospectively to all prior periods presented in the financial statements. Early adoption is permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. This update is not expected to have a significant impact on the Company’s financial statements. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810) . The amendments in this update affect reporting entities that are required to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under the revised consolidation model. Specifically, the amendments (1) Modify the evaluation of whether limited partnerships and similar legal entities are variable interest entities (VIEs) or voting interest entities; (2) Eliminate the presumption that a general partner should consolidate a limited partnership; (3) Affect the consolidation analysis of reporting entities that are involved with VIEs, particularly those that have fee arrangements and related party relationships; (4) Provide a scope exception from consolidation guidance for reporting entities with interests in legal entities that are required to comply with or operate in accordance with requirements that are similar to those in Rule 2a-7 of the Investment Company Act of 1940 for registered money market funds. The amendments in this update are effective for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. The Company is currently evaluating the impact the adoption of the standard will have on the Company’s financial position or results of operations. In April 2015, the FASB issued ASU 2015-03, Interest-Imputation of Interest (Subtopic 835-30) , as part of its initiative to reduce complexity in accounting standards. To simplify presentation of debt issuance costs, the amendments in this update require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in this update. For public business entities, the amendments in this update are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. An entity should apply the new guidance on a retrospective basis, wherein the balance sheet of each individual period presented should be adjusted to reflect the period-specific effects of applying the new guidance. This update is not expected to have a significant impact on the Company’s financial statements. In April 2015, the FASB issued ASU 2015-04, Compensation-Retirement Benefits (Topic 715) , as part of its initiative to reduce complexity in accounting standards. For an entity with a fiscal year-end that does not coincide with a month-end, the amendments in this update provide a practical expedient that permits the entity to measure defined benefit plan assets and obligations using the month-end that is closest to the entity's fiscal year-end and apply that practical expedient consistently from year to year. The practical expedient should be applied consistently to all plans if an entity has more than one plan. The amendments in this update are effective for public business entities for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Earlier application is permitted. This update is not expected to have a significant impact on the Company’s financial statements. In April 2015, the FASB issued ASU 2015-05, Intangible - Goodwill and Other Internal Use Software (Topic 350-40) , as part of its initiative to reduce complexity in accounting standards. This guidance will help entities evaluate the accounting for fees paid by a customer in a cloud computing arrangement. The amendments in this update provide guidance to customers about whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. For public business entities, the Board decided that the amendments will be effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2015. Early adoption is permitted for all entities. This update is not expected to have a significant impact on the Company’s financial statements. In May 2015, the FASB issued ASU 2015-07, Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) . The update applies to reporting entities that elect to measure the fair value of an investment using the net asset value per share (or its equivalent) practical expedient. Under the amendments in this update, investments for which fair value is measured at net asset value per share (or its equivalent) using the practical expedient should not be categorized in the fair value hierarchy. Removing those investments from the fair value hierarchy not only eliminates the diversity in practice resulting from the way in which investments measured at net asset value per share (or its equivalent) with future redemption dates are classified, but also ensures that all investments categorized in the fair value hierarchy are classified using a consistent approach. Investments that calculate net asset value per share (or its equivalent), but for which the practical expedient is not applied will continue to be included in the fair value hierarchy. A reporting entity should continue to disclose information on investments for which fair value is measured at net asset value (or its equivalent) as a practical expedient to help users understand the nature and risks of the investments and whether the investments, if sold, are probable of being sold at amounts different from net asset value. The amendments in this update are effective for public business entities for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. For all other entities, the amendments in this update are effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. A reporting entity should apply the amendments retrospectively to all periods presented. The retrospective approach requires that an investment for which fair value is measured using the net asset value per share practical expedient be removed from the fair value hierarchy in all periods presented in an entity's financial statements. Earlier application is permitted. This update is not expected to have a significant impact on the Company’s financial statements. In May 2015, the FASB issued ASU 2015-08, Business Combinations - Pushdown Accounting - Amendment to SEC Paragraphs Pursuant to Staff Accounting Bulletin No. 115 . This ASU was issued to amend various SEC paragraphs pursuant to the issuance of Staff Accounting Bulletin No. 115. This update is not expected to have a significant impact on the Company’s financial statements. In June 2015, the FASB issued ASU 2015-10, Technical Corrections and Improvements . The amendments in this update represent changes to clarify the Codification, correct unintended application of guidance, or make minor improvements to the Codification that are not expected to have a significant effect on current accounting practice or create a significant administrative cost to most entities. Transition guidance varies based on the amendments in this update. The amendments in this update that require transition guidance are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted, including adoption in an interim period. All other amendments will be effective upon the issuance of this update. This update is not expected to have a significant impact on the Company’s financial statements. In August 2015, the FASB issued ASU 2015-14, Revenue from Contract with Customers (Topic 606) . The amendments in this update defer the effective date of ASU 2014-09 for all entities by one year. Public business entities, certain not-for-profit entities, and certain employee benefit plans should apply the guidance in ASU 2014-09 to annual reporting periods beginning after December 15, 2017, including interim reporting periods within that reporting period. The Company is evaluating the effect of adopting this new accounting update. In August 2015, the FASB issued ASU 2015-15, Interest-Imputation of Interest (Subtopic 835-30) Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting . This ASU adds SEC paragraphs pursuant to the SEC Staff Announcement at the June 18, 2015 Emerging Issues Task Force meeting about the presentation and subsequent measurement of debt issuance costs associated with line-of-credit arrangements. This update is not expected to have a significant impact on the Company’s financial statements. In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805) . The amendments in this update require that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments in this update require that the acquirer record, in the same period's financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The amendments in this update require an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. For public business entities, the amendments in this update are effective for fiscal years beginning after December 15, 2015, including interim periods within those fiscal years. This update is not expected to have a significant impact on the Company’s financial statements. In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes . The amendments in this Update require that deferred tax liabilities and assets be classified as noncurrent in a classified statement of financial position. The amendments in this Update apply to all entities that present a classified statement of financial position. For public business entities, the amendments in this Update are effective for financial statements issued for annual periods beginning after December 15, 2016, and interim periods within those annual periods. For all other entities, the amendments in this Update are effective for financial statements issued for annual periods beginning after December 15, 2017, and interim periods within annual periods beginning after December 15, 2018. Earlier application is permitted for all entities as of the beginning of an interim or annual reporting period. The amendments in this Update may be applied either prospectively to all deferred tax liabilities and assets or retrospectively to all periods presented. This Update is not expected to have a significant impact on the Company’s financial statements. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities . This Update applies to all entities that hold financial assets or owe financial liabilities and is intended to provide more useful information on the recognition, measurement, presentation, and disclosure of financial instruments. Among other things, this Update (a) requires equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income; (b) simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment; (c) eliminates the requirement to disclose the fair value of financial instruments measured at amortized cost for entities that are not public business entities; (d) eliminates the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; (e) requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; (f) requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments; (g) requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (that is, securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements; and (h) clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. For public business entities, the amendments in this Update are effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. For all other entities including not-for-profit entities and employee benefit plans within the scope of Topics 960 through 965 on plan accounting, the amendments in this Update are effective for fiscal years beginning after December 15, 2018, and interim periods within fiscal years beginning after December 15, 2019. All entities that are not public business entities may adopt the amendments in this Update earlier as of the fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company is currently evaluating the impact the adoption of the standard will have on the Company’s financial position or results of operations.

ACCUMULATED OTHER COMPREHENSI35

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	12 Months Ended
	Dec. 31, 2015
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)	The changes in accumulated other comprehensive income (loss) by component shown net of tax as of December 31, 2015 and 2014 were as follows: Twelve Months Ended December 31, 2015 Twelve Months Ended December 31, 2014 (In Thousands) Net Unrealized Gain (Loss) on Available Defined Benefit Plan Total Net Unrealized Gain (Loss) on Available Defined Total Beginning balance $ 2,930 $ (4,597 ) $ (1,667 ) $ (2,169 ) $ (2,725 ) $ (4,894 ) Other comprehensive (loss) income before reclassifications (962 ) 435 (527 ) 7,419 (2,010 ) 5,409 Amounts reclassified from accumulated other comprehensive (loss) income (1,710 ) 105 (1,605 ) (2,320 ) 138 (2,182 ) Net current-period other comprehensive income (loss) (2,672 ) 540 (2,132 ) 5,099 (1,872 ) 3,227 Ending balance $ 258 $ (4,057 ) $ (3,799 ) $ 2,930 $ (4,597 ) $ (1,667 )
Reclassification out of Accumulated Other Comprehensive Income	The reclassifications out of accumulated other comprehensive income as of December 31, 2015 and 2014 were as follows: (In Thousands) Amount Reclassified from Accumulated Other Comprehensive Income Details about Accumulated Other Comprehensive Income Components Twelve Months Ended Affected Line Item in the Consolidated Statement of Income December 31, 2015 December 31, 2014 Net realized gain on available for sale securities $ (2,592 ) $ (3,515 ) Securities gains, net Income tax effect 882 1,195 Income tax provision (1,710 ) (2,320 ) Net of tax Net unrecognized pension costs 159 209 Salaries and employee benefits Income tax effect (54 ) (71 ) Income tax provision $ 105 $ 138 Net of tax

PER SHARE DATA (Tables)

PER SHARE DATA (Tables)	12 Months Ended
	Dec. 31, 2015
Earnings Per Share [Abstract]
Schedule of weighted average common shares (denominator) used in the basic and dilutive earnings per share computation	The following table sets forth the composition of the weighted average common shares (denominator) used in the basic and dilutive per share computation. Year Ended December 31, 2015 2014 2013 Weighted average common shares issued 5,003,691 5,001,171 4,591,222 Average treasury stock shares (231,452 ) (185,022 ) (180,596 ) Weighted average common shares used to calculate basic and diluted earnings per share 4,772,239 4,816,149 4,410,626

INVESTMENT SECURITIES (Tables)

INVESTMENT SECURITIES (Tables)	12 Months Ended
	Dec. 31, 2015
Investments, Debt and Equity Securities [Abstract]
Schedule of amortized cost and fair values of investment securities	The amortized cost and fair values of investment securities at December 31, 2015 and 2014 are as follows: 2015 (In Thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available for sale (AFS) U.S. Government and agency securities $ 3,586 $ — $ (37 ) $ 3,549 Mortgage-backed securities 9,785 284 (60 ) 10,009 Asset-backed securities 1,960 — (20 ) 1,940 State and political securities 84,992 1,797 (234 ) 86,555 Other debt securities 59,832 185 (2,245 ) 57,772 Total debt securities 160,155 2,266 (2,596 ) 159,825 Financial institution equity securities 10,397 1,100 (14 ) 11,483 Other equity securities 5,214 70 (435 ) 4,849 Total equity securities 15,611 1,170 (449 ) 16,332 Total investment securities AFS $ 175,766 $ 3,436 $ (3,045 ) $ 176,157 2014 (In Thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available for sale (AFS) U.S. Government and agency securities $ 3,953 $ — $ (112 ) $ 3,841 Mortgage-backed securities 12,240 485 (28 ) 12,697 Asset-backed securities 2,468 27 (3 ) 2,492 State and political securities 104,820 3,885 (589 ) 108,116 Other debt securities 89,736 1,026 (1,299 ) 89,463 Total debt securities 213,217 5,423 (2,031 ) 216,609 Financial institution equity securities 8,823 1,110 (18 ) 9,915 Other equity securities 5,733 84 (128 ) 5,689 Total equity securities 14,556 1,194 (146 ) 15,604 Total investment securities AFS $ 227,773 $ 6,617 $ (2,177 ) $ 232,213
Trading securities	The amortized cost and fair values of trading investment securities at December 31, 2015 are as follows. There were no trading securities at December 31, 2014. 2015 (In Thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Trading Financial institution equity securities $ 78 $ — $ (5 ) $ 73 Total trading securities $ 78 $ — $ (5 ) $ 73
Schedule of gross unrealized losses and fair value	The following tables show the Company’s gross unrealized losses and fair value, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position, at December 31, 2015 and 2014 . 2015 Less than Twelve Months Twelve Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized (In Thousands) Value Losses Value Losses Value Losses Available for Sale (AFS) U.S. Government and agency securities $ — $ — $ 3,549 $ (37 ) $ 3,549 $ (37 ) Mortgage-backed securities 6,081 (60 ) — — 6,081 (60 ) Asset-backed securities 1,626 (16 ) 314 (4 ) 1,940 (20 ) State and political securities 7,345 (47 ) 1,656 (187 ) 9,001 (234 ) Other debt securities 24,381 (530 ) 22,547 (1,715 ) 46,928 (2,245 ) Total debt securities 39,433 (653 ) 28,066 (1,943 ) 67,499 (2,596 ) Financial institution equity securities — — 53 (14 ) 53 (14 ) Other equity securities 2,363 (277 ) 1,001 (158 ) 3,364 (435 ) Total equity securities 2,363 (277 ) 1,054 (172 ) 3,417 (449 ) Total Investment Securities AFS $ 41,796 $ (930 ) $ 29,120 $ (2,115 ) $ 70,916 $ (3,045 ) 2014 Less than Twelve Months Twelve Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized (In Thousands) Value Losses Value Losses Value Losses Available for Sale (AFS) U.S. Government and agency securities $ — $ — $ 3,841 $ (112 ) $ 3,841 $ (112 ) Mortgage-backed securities 6,741 (28 ) — — 6,741 (28 ) Asset-backed securities — — 519 (3 ) 519 (3 ) State and political securities 8,243 (14 ) 6,382 (575 ) 14,625 (589 ) Other debt securities 23,174 (718 ) 29,266 (581 ) 52,440 (1,299 ) Total debt securities 38,158 (760 ) 40,008 (1,271 ) 78,166 (2,031 ) Financial institution equity securities 407 (18 ) — — 407 (18 ) Other equity securities 1,837 (100 ) 773 (28 ) 2,610 (128 ) Total equity securities 2,244 (118 ) 773 (28 ) 3,017 (146 ) Total Investment Securities AFS $ 40,402 $ (878 ) $ 40,781 $ (1,299 ) $ 81,183 $ (2,177 )
Schedule of amortized cost and fair value of debt securities by contractual maturity	The amortized cost and fair value of debt securities at December 31, 2015 , by contractual maturity, are shown below. Expected maturities may differ from contractual maturities since borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. (In Thousands) Amortized Cost Fair Value Due in one year or less $ 1,835 $ 1,843 Due after one year to five years 32,085 31,926 Due after five years to ten years 88,554 87,311 Due after ten years 37,681 38,745 Total $ 160,155 $ 159,825
Schedule of gross realized gains and losses	The following table represents gross realized gains and losses on those transactions: Year Ended December 31, (In Thousands) 2015 2014 2013 Gross realized gains: U.S. Government and agency securities $ — $ 59 $ — Mortgage-backed securities — 89 — State and political securities 1,571 2,327 2,076 Other debt securities 825 622 490 Financial institution equity securities 183 710 241 Other equity securities 132 491 340 Total gross realized gains $ 2,711 $ 4,298 $ 3,147 Gross realized losses: U.S. Government and agency securities $ — $ 45 $ — Mortgage-backed securities — — 92 State and political securities 22 412 611 Other debt securities 54 209 27 Financial institution equity securities — — — Other equity securities 43 117 — Total gross realized losses $ 119 $ 783 $ 730

LOAN CREDIT QUALITY AND RELAT38

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES (Tables)	12 Months Ended
	Dec. 31, 2015
Loans and Leases Receivable Disclosure [Abstract]
Schedule of related aging categories of loans by segment	The following table presents the related aging categories of loans, by segment, as of December 31, 2015 and 2014 : 2015 (In Thousands) Current Past Due 30 To 89 Days Past Due 90 & Still Accruing Non-Accrual Total Commercial, financial, and agricultural $ 162,312 $ 164 $ — $ 1,596 $ 164,072 Real estate mortgage: Residential 517,753 6,827 714 889 526,183 Commercial 295,784 720 265 5,770 302,539 Construction 26,545 67 — 212 26,824 Installment loans to individuals 26,572 429 — — 27,001 1,028,966 $ 8,207 $ 979 $ 8,467 1,046,619 Net deferred loan fees and discounts (1,412 ) (1,412 ) Allowance for loan losses (12,044 ) (12,044 ) Loans, net $ 1,015,510 $ 1,033,163 2014 (In Thousands) Current Past Due 30 To 89 Days Past Due 90 & Still Accruing Non-Accrual Total Commercial, financial, and agricultural $ 122,624 $ 773 $ — $ 759 $ 124,156 Real estate mortgage: Residential 450,503 6,078 332 847 457,760 Commercial 279,731 1,819 54 9,744 291,348 Construction 21,485 — — 511 21,996 Installment loans to individuals 21,125 383 1 — 21,509 895,468 $ 9,053 $ 387 $ 11,861 916,769 Net deferred loan fees and discounts (1,190 ) (1,190 ) Allowance for loan losses (10,579 ) (10,579 ) Loans, net $ 883,699 $ 905,000
Schedule of components of the purchase accounting adjustments related to the purchased impaired loans acquired in the Luzerne acquisition	The table below presents the components of the purchase accounting adjustments related to the purchased impaired loans acquired in the Luzerne acquisition as of June 1, 2013: (In Thousands) June 1, 2013 Unpaid principal balance $ 1,211 Interest 572 Contractual cash flows 1,783 Non-accretable discount (842 ) Expected cash flows 941 Accretable discount (63 ) Estimated fair value $ 878
Schedule of accretable discount on loans acquired with deteriorated credit quality	Changes in the amortizable yield for purchased credit-impaired loans were as follows for the twelve months ended December 31, 2014 (In Thousands) December 31, 2014 Balance at beginning of period $ 35 Accretion (35 ) Balance at end of period $ —
Schedule of additional information regarding loans acquired and accounted	The following table presents additional information regarding loans acquired with specific evidence of deterioration in credit quality under ASC 310-30: (In Thousands) December 31, 2015 December 31, 2014 Outstanding balance $ 441 $ 449 Carrying amount 341 349
Schedule of interest income if interest had been recorded based on the original loan agreement terms and rate of interest for non-accrual loans and interest income recognized on a cash basis for non-accrual loans	The following table presents the interest income if interest had been recorded based on the original loan agreement terms and rate of interest for non-accrual loans and interest income recognized on a cash basis for non-accrual loans as of December 31, 2015 , 2014 , and 2013 : Year Ended December 31, 2015 2014 2013 (In Thousands) Interest Income That Would Have Been Recorded Based on Original Term and Rate Interest Income Recorded on a Cash Basis Interest Income That Would Have Been Recorded Based on Original Term and Rate Interest Income Recorded on a Cash Basis Interest Income That Would Have Been Recorded Based on Original Term and Rate Interest Income Recorded on a Cash Basis Commercial, financial, and agricultural $ 48 $ 53 $ 42 $ 33 $ 7 $ 3 Real estate mortgage: Residential 53 38 63 34 41 20 Commercial 281 54 600 264 447 251 Construction 16 — 63 2 88 56 $ 398 $ 145 $ 768 $ 333 $ 583 $ 330
Schedule of recorded investment, unpaid principal balance, and related allowance of impaired loans by segment	The following table presents the recorded investment, unpaid principal balance, and related allowance of impaired loans by segment as of December 31, 2015 and 2014 : 2015 (In Thousands) Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Commercial, financial, and agricultural $ 319 $ 319 $ — Real estate mortgage: Residential 1,142 1,142 — Commercial 1,735 1,785 — Construction 212 212 — 3,408 3,458 — With an allowance recorded: Commercial, financial, and agricultural 150 150 75 Real estate mortgage: Residential 1,573 1,703 376 Commercial 10,752 10,752 1,653 Construction — — — 12,475 12,605 2,104 Total: Commercial, financial, and agricultural 469 469 75 Real estate mortgage: Residential 2,715 2,845 376 Commercial 12,487 12,537 1,653 Construction 212 212 — $ 15,883 $ 16,063 $ 2,104 2014 (In Thousands) Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Commercial, financial, and agricultural $ 439 $ 439 $ — Real estate mortgage: Residential 139 139 — Commercial 3,228 3,228 — Construction 716 716 — 4,522 4,522 — With an allowance recorded: Commercial, financial, and agricultural 673 673 298 Real estate mortgage: Residential 1,327 1,449 147 Commercial 10,745 10,889 1,581 Construction 309 309 67 13,054 13,320 2,093 Total: Commercial, financial, and agricultural 1,112 1,112 298 Real estate mortgage: Residential 1,466 1,588 147 Commercial 13,973 14,117 1,581 Construction 1,025 1,025 67 $ 17,576 $ 17,842 $ 2,093
Schedule of average recorded investment in impaired loans and related interest income recognized	The following table presents the average recorded investment in impaired loans and related interest income recognized for December 31, 2015 , 2014 , and 2013 : 2015 (In Thousands) Average Investment in Impaired Loans Interest Income Recognized on an Accrual Basis on Impaired Loans Interest Income Recognized on a Cash Basis on Impaired Loans Commercial, financial, and agricultural $ 1,031 $ 21 $ 10 Real estate mortgage: Residential 2,570 72 47 Commercial 17,529 342 80 Construction 865 1 53 $ 21,995 $ 436 $ 190 2014 (In Thousands) Average Investment in Impaired Loans Interest Income Recognized on an Accrual Basis on Impaired Loans Interest Income Recognized on a Cash Basis on Impaired Loans Commercial, financial, and agricultural $ 763 $ 26 $ 25 Real estate mortgage: Residential 1,245 46 20 Commercial 10,987 130 101 Construction 1,086 17 89 $ 14,081 $ 219 $ 235 2013 (In Thousands) Average Investment in Impaired Loans Interest Income Recognized on an Accrual Basis on Impaired Loans Interest Income Recognized on a Cash Basis on Impaired Loans Commercial, financial, and agricultural $ 538 $ 26 $ — Real estate mortgage: Residential 1,581 62 25 Commercial 8,605 183 95 Construction 2,651 1 569 $ 13,375 $ 272 $ 689
Schedule of loan modifications that are considered TDRs	Loan modifications that are considered TDRs completed during the twelve months ended December 31, 2015 and 2014 were as follows: Year Ended December 31, 2015 2014 (In Thousands, Except Number of Contracts) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial, financial, and agricultural 4 $ 213 $ 213 3 $ 620 $ 620 Real estate mortgage: Residential 11 962 962 3 392 392 Commercial 6 1,013 1,013 3 636 636 Construction 1 398 398 — — — Total 22 $ 2,586 $ 2,586 9 $ 1,648 $ 1,648 Of the twenty-two new troubled debt restructurings granted for the year ended December 31, 2015, seven loans totaling $1,008,000 were granted payment concessions, four loans totaling $183,000 were granted term concessions, two loans totaling $287,000 were granted rate concessions, and nine loans totaling 1,108,000 were granted concessions due to other default. Of the nine new troubled debt restructurings granted for the year ended December 31, 2014, five loans totaling $1,142,000 were granted term concessions, three loans totaling $288,000 were granted payment concessions, and one loan totaling 218,000 was granted a rate concession. Loan modifications considered troubled debt restructurings made during the twelve months previous to December 31, 2015, that have defaulted during the twelve month period ending December 31, 2015 were as follows: Year Ended December 31, 2015 (In Thousands, Except Number of Contracts) Number of Contracts Recorded Investment Commercial, financial, and agricultural 1 $ 106 Real estate mortgage: Residential 6 374 Commercial 1 242 Total 8 $ 722
Schedule of credit quality categories	The following table presents the credit quality categories identified above as of December 31, 2015 and 2014 : 2015 Commercial and Real Estate Mortgages Installment Loans (In Thousands) Agricultural Residential Commercial Construction to Individuals Totals Pass $ 160,734 $ 522,853 $ 277,248 $ 26,612 $ 27,001 $ 1,014,448 Special Mention 1,669 823 8,625 — — 11,117 Substandard 1,669 2,507 16,666 212 — 21,054 Total $ 164,072 $ 526,183 $ 302,539 $ 26,824 $ 27,001 $ 1,046,619 2014 Commercial and Real Estate Mortgages Installment Loans (In Thousands) Agricultural Residential Commercial Construction to Individuals Totals Pass $ 118,210 $ 454,885 $ 256,444 $ 20,927 $ 21,509 $ 871,975 Special Mention 3,186 2,384 16,262 445 — 22,277 Substandard 2,760 491 18,642 624 — 22,517 Total $ 124,156 $ 457,760 $ 291,348 $ 21,996 $ 21,509 $ 916,769
Schedule of activity in the allowance	Activity in the allowance is presented for the twelve months ended December 31, 2015 and 2014 : 2015 Commercial and Agricultural Real Estate Mortgages Installment Loans to Individual (In Thousands) Residential Commercial Construction Unallocated Totals Beginning Balance $ 1,124 $ 3,755 $ 4,205 $ 786 $ 245 $ 464 $ 10,579 Charge-offs (283 ) (49 ) (743 ) (46 ) (240 ) — (1,361 ) Recoveries 176 81 182 23 64 — 526 Provision 515 1,329 573 (603 ) 174 312 2,300 Ending Balance $ 1,532 $ 5,116 $ 4,217 $ 160 $ 243 $ 776 $ 12,044 2014 Commercial and Agricultural Real Estate Mortgages Installment Loans to Individuals (In Thousands) Residential Commercial Construction Unallocated Totals Beginning Balance $ 474 $ 3,917 $ 4,079 $ 741 $ 139 $ 794 $ 10,144 Charge-offs (289 ) (65 ) (2,038 ) — (142 ) — (2,534 ) Recoveries 18 15 — 22 64 — 119 Provision 921 (112 ) 2,164 23 184 (330 ) 2,850 Ending Balance $ 1,124 $ 3,755 $ 4,205 $ 786 $ 245 $ 464 $ 10,579
Schedule of concentration of loan	The Company has a concentration of loans at December 31, 2015 and 2014 as follows: 2015 2014 Owners of residential rental properties 16.21 % 16.01 % Owners of commercial rental properties 14.22 % 14.67 %
Schedule of allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method	The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of December 31, 2015 and 2014 : 2015 Commercial and Agricultural Real Estate Mortgages Installment Loans to Individuals Unallocated Totals (In Thousands) Residential Commercial Construction Allowance for Loan Losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 75 $ 376 $ 1,653 $ — $ — $ — $ 2,104 Collectively evaluated for impairment 1,457 4,740 2,564 160 243 776 9,940 Total ending allowance balance $ 1,532 $ 5,116 $ 4,217 $ 160 $ 243 $ 776 $ 12,044 Loans: Individually evaluated for impairment $ 469 $ 2,374 $ 12,487 $ 212 $ — $ 15,542 Loans acquired with deteriorated credit quality — 341 — — — 341 Collectively evaluated for impairment 163,603 523,468 290,052 26,612 27,001 1,030,736 Total ending loans balance $ 164,072 $ 526,183 $ 302,539 $ 26,824 $ 27,001 $ 1,046,619 2014 Commercial and Agricultural Real Estate Mortgages Installment Loans to Individuals (In Thousands) Residential Commercial Construction Unallocated Totals Allowance for Loan Losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 298 $ 147 $ 1,581 $ 67 $ — $ — $ 2,093 Collectively evaluated for impairment 826 3,608 2,624 719 245 464 8,486 Total ending allowance balance $ 1,124 3,755 $ 4,205 $ 786 $ 245 $ 464 $ 10,579 Loans: Individually evaluated for impairment $ 1,112 $ 1,117 $ 13,973 $ 1,025 $ — $ 17,227 Loans acquired with deteriorated credit quality — 349 — — — 349 Collectively evaluated for impairment 123,044 456,294 277,375 20,971 21,509 899,193 Total ending loans balance $ 124,156 457,760 $ 291,348 $ 21,996 $ 21,509 $ 916,769

PREMISES AND EQUIPMENT (Tables)

PREMISES AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2015
Property, Plant and Equipment [Abstract]
Summary of major classifications of premises and equipment	Major classifications of premises and equipment are summarized as follows at December 31, 2015 and 2014 : (In Thousands) 2015 2014 Land $ 5,764 $ 5,759 Premises 16,074 14,767 Furniture and equipment 8,231 7,435 Leasehold improvements 1,462 1,351 Total 31,531 29,312 Less accumulated depreciation and amortization 9,701 8,203 Net premises and equipment $ 21,830 $ 21,109

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES GOODWILL AND OTHER INTANGIBLES (Tables)	12 Months Ended
	Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense	As of December 31, 2015 , the estimated future amortization expense for the core deposit and trade name intangible was: (In Thousands) Core Deposit Intangible Trade Name Intangible Book of Business Intangible 2016 254 18 10 2017 220 15 10 2018 185 13 10 2019 151 11 10 2020 117 8 10 2021 83 6 10 2022 48 4 10 2023 14 1 10 2024 — — 10 2025 — — 2 $ 1,072 $ 76 $ 92

TIME DEPOSITS (Tables)

TIME DEPOSITS (Tables)	12 Months Ended
	Dec. 31, 2015
Banking and Thrift [Abstract]
Schedule of maturities on time deposits of $100,000 or more	At December 31, 2015 , the scheduled maturities on time deposits of $100,000 or more are as follows: (In Thousands) 2015 Three months or less $ 12,006 Three months to six months 5,863 Six months to twelve months 17,036 Over twelve months 71,687 Total $ 106,592
Schedule of total time deposit maturities	(In Thousands) 2015 2016 $ 81,010 2017 55,318 2018 51,104 2019 24,796 2020 7,093 Thereafter 2,056 Total $ 221,377

SHORT-TERM BORROWINGS (Tables)

SHORT-TERM BORROWINGS (Tables)	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
Summary of outstanding balances and related information for short-term borrowings	The outstanding balances and related information for short-term borrowings are summarized as follows at December 31, 2015 , 2014 , and 2013 : (In Thousands) 2015 2014 2013 Repurchase Agreements: Balance at year end $ 18,334 $ 13,987 $ 12,391 Maximum amount outstanding at any month end 18,614 18,801 16,632 Average balance outstanding during the year 15,834 16,350 16,839 Weighted-average interest rate: At year end 0.21 % 0.23 % 0.28 % Paid during the year 0.21 % 0.22 % 0.40 % Overnight: Balance at year end $ 28,304 $ 26,831 $ 14,325 Maximum amount outstanding at any month end 42,760 26,831 21,350 Average balance outstanding during the year 23,075 5,992 5,508 Weighted-average interest rate: At year end 0.43 % 0.27 % 0.25 % Paid during the year 0.36 % 0.30 % 0.31 %
Schedule of Securities Financing Transactions	The remaining contractual maturity of repurchase agreements in the consolidated balance sheets as of December 31, 2015 and December 31, 2014 is presented in the following tables. 2015 2014 Remaining Contractual Maturity of the Agreements (In Thousands) Overnight and Continuous Overnight and Continuous Repurchase Agreements: U.S. Government and agency securities $ 3,586 $ 3,953 Mortgage-back securities 8,368 4,526 Asset-backed securities 1,960 2,468 State and political securities 8,015 7,070 Other debt securities 2,155 2,218 Total carrying value of collateral pledged $ 24,084 $ 20,235 Total liability recognized for repurchase agreements $ 18,334 $ 13,987

LONG-TERM BORROWINGS (Tables)

LONG-TERM BORROWINGS (Tables)	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
Schedule of outstanding long-term borrowings with the FHLB by contractual maturities	The following represents outstanding long-term borrowings with the FHLB by contractual maturities at December 31, 2015 and 2014 : (In Thousands) Weighted Average Interest Rate Stated Interest Rate Range Description Maturity 2015 2014 From To 2015 2014 Variable 2015 — % 3.97 % 3.97 % 3.97 % $ — $ 10,000 Variable 2017 4.22 % 4.22 % 4.15 % 4.28 % 20,000 20,000 Variable 2018 3.18 % 3.18 % 3.18 % 3.18 % 10,000 10,000 Total Variable 3.87 % 3.90 % 30,000 40,000 Fixed 2015 — % 6.92 % 6.92 % 6.92 % — 750 Fixed 2016 0.75 % 0.75 % 0.75 % 0.75 % 5,000 5,000 Fixed 2017 0.91 % 0.91 % 0.90 % 0.97 % 25,000 25,000 Fixed 2018 1.13 % — % 1.13 % 1.13 % 2,000 — Fixed 2019 1.55 % — % 1.54 % 1.55 % 7,292 — Fixed 2020 1.70 % — % 1.62 % 1.79 % 18,333 — Fixed 2022 2.04 % — % 2.04 % 2.04 % 3,000 — Total Fixed 1.28 % 1.03 % 60,625 30,750 Total 2.14 % 2.65 % $ 90,625 $ 70,750
Schedule of outstanding long-term borrowings with the FHLB by contractual maturities and Weighted-Average Rate	(In Thousands) Year Ending December 31, Amount Weighted Average Rate 2016 5,000 0.75 % 2017 45,000 2.38 % 2018 12,000 2.84 % 2019 7,292 1.55 % Thereafter 21,333 1.75 % $ 90,625 2.14 %
Schedule of Future Minimum Lease Payments for Capital Leases	(In Thousands) Lease Payment Interest Present Value of Minimum Lease Payment 2016 $ 38 $ 11 $ 27 2017 38 10 28 2018 38 9 29 2019 38 9 29 2020 38 8 30 Thereafter 276 19 257 $ 466 $ 66 $ 400

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Schedule of temporary differences giving rise to the net deferred tax asset position	The following temporary differences gave rise to the net deferred tax asset position at December 31, 2015 and 2014 : (In Thousands) 2015 2014 Deferred tax assets: Allowance for loan losses $ 3,976 $ 3,380 Deferred compensation 1,696 1,579 Defined Pension 1,525 2,172 Deferred Loan fees and discounts 272 256 Investment securities allowance 517 487 Low income housing credit carryforward 1,181 2,034 Capital loss carryforward — 98 Other 1,696 1,578 Total 10,863 11,584 Deferred tax liabilities: Unrealized gain on available for sale securities 133 1,510 Investment security accretion 231 262 Depreciation 478 734 Amortization 1,031 977 Total 1,873 3,483 Deferred tax asset, net $ 8,990 $ 8,101
Schedule of provision or benefit for income taxes	The provision or benefit for income taxes is comprised of the following for the year ended December 31, 2015 , 2014 , and 2013 : (In Thousands) 2015 2014 2013 Currently payable $ 3,527 $ 3,680 $ 3,328 Deferred benefit 209 124 123 Total provision $ 3,736 $ 3,804 $ 3,451
Schedule of reconciliation between the expected income tax or benefit and the effective income tax rate on income before income tax provision or benefit	A reconciliation between the expected income tax or benefit and the effective income tax rate on income before income tax provision or benefit follows for the year ended December 31, 2015 , 2014 , and 2013 : 2015 2014 2013 (In Thousands) Amount % Amount % Amount % Provision at expected rate $ 5,996 34.00 % $ 6,260 34.00 % $ 5,962 34.00 % (Decrease) increase in tax resulting from: Tax-exempt income (1,492 ) (8.46 ) (1,673 ) (9.09 ) (1,933 ) (11.02 ) Tax credits (737 ) (4.17 ) (737 ) (4.00 ) (737 ) (4.20 ) Other, net (31 ) (0.18 ) (46 ) (0.25 ) 159 0.90 Effective income tax provision and rate $ 3,736 21.19 % $ 3,804 20.66 % $ 3,451 19.68 %

EMPLOYEE BENEFIT PLANS (Tables)

EMPLOYEE BENEFIT PLANS (Tables)	12 Months Ended
	Dec. 31, 2015
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]
Schedule of obligation and funded status	The following table sets forth the obligation and funded status as of December 31, 2015 and 2014 : (In Thousands) 2015 2014 Change in benefit obligation: Benefit obligation at beginning of year $ 23,450 $ 18,186 Service cost — 484 Interest cost 757 859 Actuarial gain (144 ) 277 Benefits paid (639 ) (1,660 ) Curtailment gain (3,155 ) — Other, change in actuarial assumptions (1,322 ) 5,304 Benefit obligation at end of year $ 18,947 $ 23,450 Change in plan assets: Fair value of plan assets at beginning of year $ 13,906 $ 14,258 Actual return on plan assets 25 487 Employer contribution 965 850 Benefits paid (704 ) (1,736 ) Adjustment to fair value of plan assets 31 47 Fair value of plan assets at end of year 14,223 13,906 Funded status $ (4,724 ) $ (9,544 ) Accounts recognized on balance sheet as: Total liabilities $ (4,724 ) $ (9,544 ) Amounts not yet recognized as a component of net periodic pension cost: Amounts recognized in accumulated other comprehensive income (loss) consist of: Net loss $ 6,267 $ 6,965
Schedule of components of the net periodic benefit cost of the domestic non-contributory defined benefit plan	Components of Net Periodic Cost and Other Amounts Recognized in Other Comprehensive Income (loss) as of December 31, 2015 , 2014 , and 2013 are as follows: (In Thousands) 2015 2014 2013 Net periodic pension cost: Service cost $ 64 $ 560 $ 638 Interest cost 757 859 770 Expected return on plan assets (983 ) (1,153 ) (985 ) Amortization of prior service cost — — 25 Amortization of unrecognized net loss 159 209 479 Net periodic benefit cost $ (3 ) $ 475 $ 927
Schedule of weighted-average assumptions used to determine benefit obligations and net periodic cost	Weighted-average assumptions used to determine benefit obligations at December 31, 2015 , 2014 , and 2013 : 2015 2014 2013 Discount rate 4.17 % 3.83 % 4.75 % Rate of compensation increase N/A 3.00 % 3.00 % Weighted-average assumptions used to determine net periodic cost for years ended December 31, 2015 , 2014 , and 2013 : 2015 2014 2013 Discount rate 3.83 % 4.75 % 4.00 % Expected long-term return on plan assets 7.00 % 8.00 % 8.00 % Rate of compensation increase N/A 3.00 % 3.00 %
Schedule of plan's weighted-average asset allocations by asset category	The Plan’s weighted-average asset allocations at December 31, 2015 and 2014 by asset category are as follows: Asset Category 2015 2014 Cash 8.56 % 11.54 % Fixed income securities 10.33 % 12.46 % Equity 61.73 % 76.00 % Inflation Hedges/Real Assets 5.03 % — % Hedged Strategies 14.35 % — % Total 100.00 % 100.00 %
Schedule setting forth by level, within the fair value hierarchy the Plan's assets at fair value	The following table sets forth by level, within the fair value hierarchy detailed in Note 21 - Fair Value Measurements, the Plan’s assets at fair value as of December 31, 2015 and 2014 : 2015 (In Thousands) Level I Level II Level III Total Assets: Cash and cash equivalents $ 1,218 $ — $ — $ 1,218 Mutual funds - taxable fixed income 1,467 — — 1,467 Mutual funds - domestic equity 8,150 — — 8,150 Mutual funds - international equity 631 — — 631 Inflation Hedges/Real Assets 715 — — 715 Hedged Strategies 2,042 — — 2,042 Total assets at fair value $ 14,223 $ — $ — $ 14,223 2014 (In Thousands) Level I Level II Level III Total Assets: Cash and cash equivalents $ 1,606 $ — $ — $ 1,606 Mutual funds - taxable fixed income 1,732 — — 1,732 Mutual funds - domestic equity 8,372 — — 8,372 Mutual funds - international equity 2,196 — — 2,196 Total assets at fair value $ 13,906 $ — $ — $ 13,906
Schedule of future benefit payments that reflect expected future service, as appropriate, expected to be paid	The following future benefit payments that reflect expected future service, as appropriate, are expected to be paid: (In Thousands) 2016 $ 783 2017 799 2018 812 2019 848 2020 882 Thereafter 4,734 $ 8,858

STOCK OPTIONS (Tables)

STOCK OPTIONS (Tables)	12 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock options activity	A summary of stock option activity is presented below: 2015 Shares Weighted Average Exercise Price Outstanding, beginning of year — — Granted 38,750 $ 42.03 Exercised — — Forfeited (4,000 ) 42.03 Outstanding, end of year 34,750 $ 42.03
Stock option valuation assumptions	The following assumptions were used in determining the fair value of share options granted: 2015 Risk-free interest rate 1.63 % Expected volatility 31.58 % Expected dividend yield 4.22 % Expected life 7.51 years Weighted average grant date fair value per option $ 3.96

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	12 Months Ended
	Dec. 31, 2015
Related Party Transactions [Abstract]
Summary of loan activity with executive officers, directors, principal shareholders, and associates of such persons	A summary of loan activity with executive officers, directors, principal shareholders, and associates of such persons is listed below for the years ended December 31, 2015 and 2014 : (In Thousands) Beginning Balance New Loans Repayments Ending Balance 2014 $ 10,955 $ 7,920 $ (9,929 ) $ 8,946 2015 $ 8,946 $ 8,693 $ (8,381 ) $ 9,258

COMMITMENTS AND CONTINGENT LI48

COMMITMENTS AND CONTINGENT LIABILITIES (Tables)	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Schedule of future minimum rental payments under operating leases with noncancellable terms in excess of one year	The following schedule shows future minimum rental payments under operating leases with noncancellable terms in excess of one year as of December 31, 2015 : (In Thousands) 2016 $ 482 2017 429 2018 365 2019 248 2020 228 Thereafter 823 Total $ 2,575

OFF-BALANCE SHEET RISK (Tables)

OFF-BALANCE SHEET RISK (Tables)	12 Months Ended
	Dec. 31, 2015
Off Balance Sheet Risk
Schedule of Financial instruments whose contract amounts represent credit risk	Financial instruments whose contract amounts represent credit risk are as follows at December 31, 2015 and 2014 : (In Thousands) 2015 2014 Commitments to extend credit $ 241,936 $ 235,940 Standby letters of credit 4,786 7,490

CAPITAL REQUIREMENTS (Tables)

CAPITAL REQUIREMENTS (Tables)	12 Months Ended
	Dec. 31, 2015
Banking and Thrift [Abstract]
Schedule of the Company's and the Bank's actual capital ratios showing that both met all regulatory capital requirements	The Company’s and the Banks' actual capital ratios are presented in the following tables, which shows that the Company and both Banks met all regulatory capital requirements. Consolidated Company 2015 2014 (In Thousands) Amount Ratio Amount Ratio Common Equity Tier I Capital (to Risk-weighted Assets) Actual $ 121,665 11.24 % N/A N/A For Capital Adequacy Purposes 48,722 4.50 % N/A N/A To Be Well Capitalized 70,377 6.50 % N/A N/A Total Capital (to Risk-weighted Assets) Actual $ 134,067 12.38 % $ 123,371 12.65 % For Capital Adequacy Purposes 86,617 8.00 % 78,019 8.00 % To Be Well Capitalized 108,272 10.00 % 97,524 10.00 % Tier I Capital (to Risk-weighted Assets) Actual $ 121,665 11.24 % $ 112,290 11.51 % For Capital Adequacy Purposes 64,963 6.00 % 39,010 4.00 % To Be Well Capitalized 86,617 8.00 % 58,514 6.00 % Tier I Capital (to Average Assets) Actual $ 121,665 9.38 % $ 112,290 9.27 % For Capital Adequacy Purposes 51,862 4.00 % 48,476 4.00 % To Be Well Capitalized 64,828 5.00 % 60,595 5.00 % Jersey Shore State Bank 2015 2014 (In Thousands) Amount Ratio Amount Ratio Common Equity Tier I Capital (to Risk-weighted Assets) Actual $ 82,682 10.70 % N/A N/A For Capital Adequacy Purposes 34,773 4.50 % N/A N/A To Be Well Capitalized 50,227 6.50 % N/A N/A Total Capital (to Risk-weighted Assets) Actual $ 92,036 11.91 % $ 83,183 12.30 % For Capital Adequacy Purposes 61,818 8.00 % 54,086 8.00 % To Be Well Capitalized 77,272 10.00 % 67,608 10.00 % Tier I Capital (to Risk-weighted Assets) Actual $ 82,682 10.70 % $ 74,730 11.05 % For Capital Adequacy Purposes 46,363 6.00 % 27,043 4.00 % To Be Well Capitalized 61,818 8.00 % 40,565 6.00 % Tier I Capital (to Average Assets) Actual $ 82,682 8.66 % $ 74,730 8.50 % For Capital Adequacy Purposes 38,175 4.00 % 35,175 4.00 % To Be Well Capitalized 47,719 5.00 % 43,968 5.00 % Luzerne Bank 2015 2014 (In Thousands) Amount Ratio Common Equity Tier I Capital (to Risk-weighted Assets) Actual $ 30,549 10.66 % N/A N/A For Capital Adequacy Purposes 12,901 4.50 % N/A N/A To Be Well Capitalized 18,635 6.50 % N/A N/A Total Capital (to Risk-weighted Assets) Actual $ 33,274 11.61 % $ 29,856 10.23 % For Capital Adequacy Purposes 22,935 8.00 % 23,341 8.00 % To Be Well Capitalized 28,669 10.00 % 29,176 10.00 % Tier I Capital (to Risk-weighted Assets) Actual $ 30,549 10.66 % $ 27,886 9.56 % For Capital Adequacy Purposes 17,201 6.00 % 11,670 4.00 % To Be Well Capitalized 22,935 8.00 % 17,506 6.00 % Tier I Capital (to Average Assets) Actual $ 30,549 8.90 % $ 27,886 8.56 % For Capital Adequacy Purposes 13,725 4.00 % 13,032 4.00 % To Be Well Capitalized 17,157 5.00 % 16,289 5.00 %

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
Schedule of assets reported on the balance sheet at their fair value on a recurring basis	The following table presents the assets reported on the balance sheet at their fair value on a recurring basis as of December 31, 2015 and 2014 , by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. 2015 (In Thousands) Level I Level II Level III Total Assets measured on a recurring basis: Investment securities, available for sale: U.S. Government and agency securities $ — $ 3,549 $ — $ 3,549 Mortgage-backed securities — 10,009 — 10,009 Asset-backed securities — 1,940 — 1,940 State and political securities — 86,555 — 86,555 Other debt securities — 57,772 — 57,772 Financial institution equity securities 11,483 — — 11,483 Other equity securities 4,849 — — 4,849 Investment securities, trading: Financial institution equity securities 73 — — 73 Total assets measured on a recurring basis $ 16,405 $ 159,825 $ — $ 176,230 2014 (In Thousands) Level I Level II Level III Total Assets measured on a recurring basis: Investment securities, available for sale: U.S. Government and agency securities $ — $ 3,841 $ — $ 3,841 Mortgage-backed securities — 12,697 — 12,697 Asset-backed securities — 2,492 — 2,492 State and political securities — 108,116 — 108,116 Other debt securities — 89,463 — 89,463 Financial institution equity securities 9,915 — — 9,915 Other equity securities 5,689 — — 5,689 Total assets measured on a recurring basis $ 15,604 $ 216,609 $ — $ 232,213
Schedule of assets reported on the consolidated balance sheet at their fair value on a non-recurring basis	The following table presents the assets reported on the balance sheet at their fair value on a non-recurring basis as of December 31, 2015 and 2014 , by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. 2015 (In Thousands) Level I Level II Level III Total Assets measured on a non-recurring basis: Impaired loans $ — $ — $ 13,779 $ 13,779 Other real estate owned — — 1,696 1,696 Total assets measured on a non-recurring basis $ — $ — $ 15,475 $ 15,475 2014 (In Thousands) Level I Level II Level III Total Assets measured on a non-recurring basis: Impaired loans $ — $ — $ 15,483 $ 15,483 Other real estate owned — — 3,241 3,241 Total assets measured on a non-recurring basis $ — $ — $ 18,724 $ 18,724
Schedule of listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques	The following table provides a listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques as of December 31, 2015 and 2014 : 2015 Quantitative Information About Level III Fair Value Measurements (In Thousands) Fair Value Valuation Technique(s) Unobservable Inputs Range Weighted Average Impaired loans $ 5,696 Discounted cash flow Temporary reduction in payment amount 0 to (70)% (17 )% Probability of default —% 8,083 Appraisal of collateral Appraisal adjustments (1) 0 to (20)% (15 )% Other real estate owned $ 1,696 Appraisal of collateral (1) 2014 Quantitative Information About Level III Fair Value Measurements (In Thousands) Fair Value Valuation Technique(s) Unobservable Inputs Range Weighted Average Impaired loans $ 4,749 Discounted cash flow Temporary reduction in payment amount 0 to (91)% (12 )% Probability of default —% 10,734 Appraisal of collateral Appraisal adjustments (1) 0 to (20)% (15 )% Other real estate owned $ 3,241 Appraisal of collateral (1) (1) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses.

FAIR VALUE OF FINANCIAL INSTR52

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
Schedule of fair values of financial instruments	The fair values of the Company’s financial instruments are as follows at December 31, 2015 and 2014 : Fair Value Measurements at December 31, 2015 (In Thousands) Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level I) Significant Other Observable Inputs (Level II) Significant Unobservable Inputs (Level III) Financial assets: Cash and cash equivalents $ 22,796 $ 22,796 $ 22,796 $ — $ — Investment securities: Available for sale 176,157 176,157 16,332 159,825 — Trading 73 73 73 Loans held for sale 757 757 757 — — Loans, net 1,033,163 1,045,140 — — 1,045,140 Bank-owned life insurance 26,667 26,667 26,667 — — Accrued interest receivable 3,686 3,686 3,686 — — Financial liabilities: Interest-bearing deposits $ 751,797 $ 729,685 $ 509,206 $ — $ 220,479 Noninterest-bearing deposits 280,083 280,083 280,083 — — Short-term borrowings 46,638 46,638 46,638 — — Long-term borrowings 91,025 91,783 — — 91,783 Accrued interest payable 426 426 426 — — Fair Value Measurements at December 31, 2014 (In Thousands) Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level I) Significant Other Observable Inputs (Level II) Significant Unobservable Inputs (Level III) Financial assets: Cash and cash equivalents $ 19,908 $ 19,908 $ 19,908 $ — $ — Investment securities: Available for sale 232,213 232,213 15,604 216,609 — Loans held for sale 550 550 550 — — Loans, net 905,000 916,597 — — 916,597 Bank-owned life insurance 25,959 25,959 25,959 — — Accrued interest receivable 3,912 3,912 3,912 — — Financial liabilities: Interest-bearing deposits $ 738,041 $ 722,724 $ 506,875 $ — $ 215,849 Noninterest-bearing deposits 243,378 243,378 243,378 — — Short-term borrowings 40,818 40,818 40,818 — — Long-term borrowings 71,176 73,084 — — 73,084 Accrued interest payable 381 381 381 — —

PARENT COMPANY ONLY FINANCIAL53

PARENT COMPANY ONLY FINANCIAL STATEMENTS (Tables)	12 Months Ended
	Dec. 31, 2015
Condensed Financial Information of Parent Company Only Disclosure [Abstract]
Condensed Balance Sheet	CONDENSED BALANCE SHEET, DECEMBER 31, (In Thousands) 2015 2014 ASSETS: Cash $ 263 $ 1,299 Investment in subsidiaries: Bank 127,126 125,524 Non-bank 8,332 8,900 Other assets 705 380 Total Assets $ 136,426 $ 136,103 LIABILITIES AND SHAREHOLDERS’ EQUITY: Other liabilities $ 147 $ 136 Shareholders’ equity 136,279 135,967 Total liability and shareholders’ equity $ 136,426 $ 136,103
Condensed Income Statement	CONDENSED STATEMENT OF INCOME FOR THE YEARS ENDED DECEMBER 31, (In Thousands) 2015 2014 2013 Operating income: Dividends from subsidiaries $ 11,367 $ 10,080 $ 14,836 Security gains — 3 — Equity in undistributed earnings of subsidiaries 3,167 5,261 346 Operating expenses (636 ) (736 ) (1,098 ) Net income $ 13,898 $ 14,608 $ 14,084 Comprehensive income $ 11,766 $ 17,835 $ 3,833
Condensed Cash Flow Statement	CONDENSED STATEMENT OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, (In Thousands) 2015 2014 2013 OPERATING ACTIVITIES: Net income $ 13,898 $ 14,608 $ 14,084 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed earnings of subsidiaries (3,167 ) (5,261 ) (346 ) Other, net (313 ) (50 ) 97 Net cash provided by operating activities 10,418 9,297 13,835 INVESTING ACTIVITIES: Outlays for business acquisitions — — (2,876 ) FINANCING ACTIVITIES: Dividends paid (8,967 ) (9,055 ) (9,560 ) Issuance of common stock 116 118 80 Purchase of treasury stock (2,603 ) (747 ) — Net cash used for financing activities (11,454 ) (9,684 ) (9,480 ) NET (DECREASE) INCREASE IN CASH (1,036 ) (387 ) 1,479 CASH, BEGINNING OF YEAR 1,299 1,686 207 CASH, END OF YEAR $ 263 $ 1,299 $ 1,686

CONSOLIDATED QUARTERLY FINANC54

CONSOLIDATED QUARTERLY FINANCIAL DATA (UNAUDITED) (Tables)	12 Months Ended
	Dec. 31, 2015
Quarterly Financial Information Disclosure [Abstract]
Schedule of consolidated quarterly financial data	(In Thousands, Except Per Share Data) For the Three Months Ended 2015 March 31, June 30, Sept. 30, Dec. 31, Interest income $ 11,397 $ 11,529 $ 11,523 $ 11,675 Interest expense 1,286 1,307 1,289 1,337 Net interest income 10,111 10,222 10,234 10,338 Provision for loan losses 700 600 520 480 Non-interest income, excluding securities gains 2,599 2,535 2,644 2,417 Securities gains (losses), net 661 522 493 894 Non-interest expense 8,468 8,421 8,530 8,317 Income before income tax provision 4,203 4,258 4,321 4,852 Income tax provision 848 825 957 1,106 Net income $ 3,355 $ 3,433 $ 3,364 $ 3,746 Earnings per share - basic and diluted $ 0.70 $ 0.72 $ 0.71 $ 0.79 (In Thousands, Except Per Share Data) For the Three Months Ended 2014 March 31, June 30, Sept. 30, Dec. 31, Interest income $ 11,329 $ 11,357 $ 11,460 $ 11,460 Interest expense 1,242 1,226 1,242 1,252 Net interest income 10,087 10,131 10,218 10,208 Provision for loan losses 485 300 460 1,605 Non-interest income, excluding securities gains 2,818 2,442 2,779 2,954 Securities gains (losses), net 393 487 2,145 490 Non-interest expense 8,643 8,422 8,313 8,512 Income before income tax provision 4,170 4,338 6,369 3,535 Income tax provision 701 875 1,576 652 Net income $ 3,469 $ 3,463 $ 4,793 $ 2,883 Earnings per share - basic and diluted $ 0.72 $ 0.72 $ 0.99 $ 0.60

ACQUISITION OF LUZERNE NATION55

ACQUISITION OF LUZERNE NATIONAL BANK CORPORATION (Tables)	12 Months Ended
	Dec. 31, 2015
Business Combinations [Abstract]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	(In Thousands, Except Per Share Data) Purchase Price Consideration in Common Stock Luzerne National Bank Corporation common shares settled for stock 630,216 Exchange Ratio 1.5534 Penns Woods Bancorp, Inc. shares issued 978,977 Value assigned to Penns Woods Bancorp, Inc. common share $ 40.59 Purchase price assigned to Luzerne National Bank Corporation common shares exchanged for Penns Woods Bancorp, Inc. $ 39,736 Purchase Price Consideration - Cash for Common Stock Luzerne National Bank Corporation shares exchanged for cash 46,480 Purchase price paid to each Luzerne National Bank Corporation common share exchanged for cash $ 61.86 Purchase price assigned to Luzerne National Bank Corporation common shares exchanged for cash 2,876 Total Purchase Price 42,612 Net Assets Acquired: Luzerne National Bank Corporation shareholders’ equity $ 27,371 Adjustments to reflect assets acquired at fair value: Investments 33 Loans Interest rate 2,680 General credit (3,206 ) Specific credit - non-amortizing (58 ) Specific credit - amortizing (40 ) Core deposit intangible 1,882 Trade name intangible 133 Owned premises 1,138 Leased premises contracts 122 Deferred tax assets (603 ) Adjustments to reflect liabilities acquired at fair value: Time deposits (912 ) 28,540 Goodwill resulting from merger $ 14,072

OPERATIONS AND SUMMARY OF SIG56

OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Nature of Business, Loan Charge-off Policies, and Loans Held for Sale (Details)	12 Months Ended
	Dec. 31, 2015segmentoffice
Accounting Policies [Abstract]
Number of offices | office	23
Number of reportable segments	1
Number of operating segments	1
Number of days loan is past due unless both well secured and in process of collection	180 days
Minimum
Loans held for sale
Short holding period for loans held for sale (less than 2 weeks)	14 days
Maximum
Loans held for sale
Short holding period for loans held for sale (less than 2 weeks)	30 days

OPERATIONS AND SUMMARY OF SIG57

OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Premises and Equipment, Goodwill, Intangible Assets, and Investments in Limited Partnerships (Details)	12 Months Ended
	Dec. 31, 2015USD ($)partnership	Dec. 31, 2014USD ($)	Dec. 31, 2013USD ($)
Premises and equipment
Goodwill impairment loss	$ 0	$ 0	$ 0
Investment in Limited Partnerships
Number of partnerships held by entity | partnership	4
Carrying value of investments in limited partnerships	$ 899,000	1,560,000
Tax credit receipt period over which investment in the partnership entered into after 2004 are being fully amortized	10 years
Amortization of investment in limited partnerships	$ 661,000	$ 661,000	$ 661,000
Furniture, fixtures, and equipment | Minimum
Premises and equipment
Estimated useful lives (in years)	5 years
Furniture, fixtures, and equipment | Maximum
Premises and equipment
Estimated useful lives (in years)	10 years
Buildings and improvements | Minimum
Premises and equipment
Estimated useful lives (in years)	15 years
Buildings and improvements | Maximum
Premises and equipment
Estimated useful lives (in years)	40 years
Luzerne National Bank Corporation
Finite-Lived Intangible Assets [Line Items]
Intangible assets net	$ 1,240,000
Accumulated amortization	$ 774,000
Useful life (in years)	10 years

OPERATIONS AND SUMMARY OF SIG58

OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - The M Group Products and Income Recognition (Details) - The M Group	12 Months Ended
	Dec. 31, 2015
The M Group products and income recognition
Term life insurance policies, term one (in years)	10 years
Term life insurance policies, term two (in years)	15 years
Term life insurance policies, term three (in years)	20 years
Term life insurance policies, term four (in years)	30 years
Term for which majority of the term life insurance policies are written (in years)	20 years

ACCUMULATED OTHER COMPREHENSI59

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Changes in AOCI(L) by Component (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Increase (Decrease) in Stockholders' Equity
Beginning balance	$ (1,667)	$ (4,894)
Other comprehensive (loss) income before reclassifications	(527)	5,409
Amounts reclassified from accumulated other comprehensive (loss) income	(1,605)	(2,182)
Net current-period other comprehensive income (loss)	(2,132)	3,227
Ending balance	(3,799)	(1,667)
Net Unrealized Gain (Loss) on Available for Sale Securities
Increase (Decrease) in Stockholders' Equity
Beginning balance	2,930	(2,169)
Other comprehensive (loss) income before reclassifications	(962)	7,419
Amounts reclassified from accumulated other comprehensive (loss) income	(1,710)	(2,320)
Net current-period other comprehensive income (loss)	(2,672)	5,099
Ending balance	258	2,930
Defined Benefit Plan
Increase (Decrease) in Stockholders' Equity
Beginning balance	(4,597)	(2,725)
Other comprehensive (loss) income before reclassifications	435	(2,010)
Amounts reclassified from accumulated other comprehensive (loss) income	105	138
Net current-period other comprehensive income (loss)	540	(1,872)
Ending balance	$ (4,057)	$ (4,597)

ACCUMULATED OTHER COMPREHENSI60

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Reclassifications out of AOCI(L) (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Accumulated Other Comprehensive Income (Loss) [Line Items]
Salaries and employee benefits									$ (17,023)	$ (17,273)	$ (15,415)
Income tax provision	$ (1,106)	$ (957)	$ (825)	$ (848)	$ (652)	$ (1,576)	$ (875)	$ (701)	(3,736)	(3,804)	$ (3,451)
Amount Reclassified from Accumulated Other Comprehensive Income | Net Unrealized Gain (Loss) on Available for Sale Securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Securities gains, net									(2,592)	(3,515)
Income tax provision									882	1,195
Net of tax									(1,710)	(2,320)
Amount Reclassified from Accumulated Other Comprehensive Income | Defined Benefit Plan
Accumulated Other Comprehensive Income (Loss) [Line Items]
Salaries and employee benefits									159	209
Income tax provision									(54)	(71)
Net of tax									$ 105	$ 138

PER SHARE DATA (Details)

PER SHARE DATA (Details) - shares	Aug. 27, 2015	Sep. 30, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Earnings Per Share [Abstract]
Weighted average common shares issued			5,003,691	5,001,171	4,591,222
Average treasury stock shares			(231,452)	(185,022)	(180,596)
Weighted average common shares used to calculate basic and diluted earnings per share			4,772,239	4,816,149	4,410,626
Grants in period (in shares)	38,750	38,750	38,750
Options outstanding (in shares)			34,750	0	0

INVESTMENT SECURITIES - Amortiz

INVESTMENT SECURITIES - Amortized Cost and Fair Values of Investments (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Available for sale (AFS)
Amortized Cost	$ 175,766	$ 227,773
Gross Unrealized Gains	3,436	6,617
Gross Unrealized Losses	(3,045)	(2,177)
Fair Value	176,157	232,213
U.S. Government and agency securities
Available for sale (AFS)
Amortized Cost	3,586	3,953
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(37)	(112)
Fair Value	3,549	3,841
Mortgage-backed securities
Available for sale (AFS)
Amortized Cost	9,785	12,240
Gross Unrealized Gains	284	485
Gross Unrealized Losses	(60)	(28)
Fair Value	10,009	12,697
Asset-backed securities
Available for sale (AFS)
Amortized Cost	1,960	2,468
Gross Unrealized Gains	0	27
Gross Unrealized Losses	(20)	(3)
Fair Value	1,940	2,492
State and political securities
Available for sale (AFS)
Amortized Cost	84,992	104,820
Gross Unrealized Gains	1,797	3,885
Gross Unrealized Losses	(234)	(589)
Fair Value	86,555	108,116
Other debt securities
Available for sale (AFS)
Amortized Cost	59,832	89,736
Gross Unrealized Gains	185	1,026
Gross Unrealized Losses	(2,245)	(1,299)
Fair Value	57,772	89,463
Total debt securities
Available for sale (AFS)
Amortized Cost	160,155	213,217
Gross Unrealized Gains	2,266	5,423
Gross Unrealized Losses	(2,596)	(2,031)
Fair Value	159,825	216,609
Financial institution equity securities
Available for sale (AFS)
Amortized Cost	10,397	8,823
Gross Unrealized Gains	1,100	1,110
Gross Unrealized Losses	(14)	(18)
Fair Value	11,483	9,915
Other equity securities
Available for sale (AFS)
Amortized Cost	5,214	5,733
Gross Unrealized Gains	70	84
Gross Unrealized Losses	(435)	(128)
Fair Value	4,849	5,689
Total equity securities
Available for sale (AFS)
Amortized Cost	15,611	14,556
Gross Unrealized Gains	1,170	1,194
Gross Unrealized Losses	(449)	(146)
Fair Value	$ 16,332	$ 15,604

INVESTMENT SECURITIES - Amort63

INVESTMENT SECURITIES - Amortized Cost and Fair Value of Trading Securities (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Schedule of Trading Securities and Other Trading Assets [Line Items]
Amortized Cost	$ 78
Gross Unrealized Gains	0
Gross Unrealized Losses	(5)
Fair Value	73	$ 0
Total equity securities
Schedule of Trading Securities and Other Trading Assets [Line Items]
Amortized Cost	78
Gross Unrealized Gains	0
Gross Unrealized Losses	(5)
Fair Value	$ 73

INVESTMENT SECURITIES - Gross U

INVESTMENT SECURITIES - Gross Unrealized Gains (Losses) and Fair Value by Length of Time (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Investment securities
Fair Value, Less than Twelve Months	$ 41,796	$ 40,402
Gross Unrealized Losses, Less than Twelve Months	(930)	(878)
Fair value, Twelve Months or Greater	29,120	40,781
Gross Unrealized Losses, Twelve Months or Greater	(2,115)	(1,299)
Fair Value, Total	70,916	81,183
Gross Unrealized Losses, Total	(3,045)	(2,177)
U.S. Government and agency securities
Investment securities
Fair Value, Less than Twelve Months	0	0
Gross Unrealized Losses, Less than Twelve Months	0	0
Fair value, Twelve Months or Greater	3,549	3,841
Gross Unrealized Losses, Twelve Months or Greater	(37)	(112)
Fair Value, Total	3,549	3,841
Gross Unrealized Losses, Total	(37)	(112)
Mortgage-backed securities
Investment securities
Fair Value, Less than Twelve Months	6,081	6,741
Gross Unrealized Losses, Less than Twelve Months	(60)	(28)
Fair value, Twelve Months or Greater	0	0
Gross Unrealized Losses, Twelve Months or Greater	0	0
Fair Value, Total	6,081	6,741
Gross Unrealized Losses, Total	(60)	(28)
Asset-backed securities
Investment securities
Fair Value, Less than Twelve Months	1,626	0
Gross Unrealized Losses, Less than Twelve Months	(16)	0
Fair value, Twelve Months or Greater	314	519
Gross Unrealized Losses, Twelve Months or Greater	(4)	(3)
Fair Value, Total	1,940	519
Gross Unrealized Losses, Total	(20)	(3)
State and political securities
Investment securities
Fair Value, Less than Twelve Months	7,345	8,243
Gross Unrealized Losses, Less than Twelve Months	(47)	(14)
Fair value, Twelve Months or Greater	1,656	6,382
Gross Unrealized Losses, Twelve Months or Greater	(187)	(575)
Fair Value, Total	9,001	14,625
Gross Unrealized Losses, Total	(234)	(589)
Other debt securities
Investment securities
Fair Value, Less than Twelve Months	24,381	23,174
Gross Unrealized Losses, Less than Twelve Months	(530)	(718)
Fair value, Twelve Months or Greater	22,547	29,266
Gross Unrealized Losses, Twelve Months or Greater	(1,715)	(581)
Fair Value, Total	46,928	52,440
Gross Unrealized Losses, Total	(2,245)	(1,299)
Total debt securities
Investment securities
Fair Value, Less than Twelve Months	39,433	38,158
Gross Unrealized Losses, Less than Twelve Months	(653)	(760)
Fair value, Twelve Months or Greater	28,066	40,008
Gross Unrealized Losses, Twelve Months or Greater	(1,943)	(1,271)
Fair Value, Total	67,499	78,166
Gross Unrealized Losses, Total	(2,596)	(2,031)
Financial institution equity securities
Investment securities
Fair Value, Less than Twelve Months	0	407
Gross Unrealized Losses, Less than Twelve Months	0	(18)
Fair value, Twelve Months or Greater	53	0
Gross Unrealized Losses, Twelve Months or Greater	(14)	0
Fair Value, Total	53	407
Gross Unrealized Losses, Total	(14)	(18)
Other equity securities
Investment securities
Fair Value, Less than Twelve Months	2,363	1,837
Gross Unrealized Losses, Less than Twelve Months	(277)	(100)
Fair value, Twelve Months or Greater	1,001	773
Gross Unrealized Losses, Twelve Months or Greater	(158)	(28)
Fair Value, Total	3,364	2,610
Gross Unrealized Losses, Total	(435)	(128)
Total equity securities
Investment securities
Fair Value, Less than Twelve Months	2,363	2,244
Gross Unrealized Losses, Less than Twelve Months	(277)	(118)
Fair value, Twelve Months or Greater	1,054	773
Gross Unrealized Losses, Twelve Months or Greater	(172)	(28)
Fair Value, Total	3,417	3,017
Gross Unrealized Losses, Total	$ (449)	$ (146)

INVESTMENT SECURITIES - Additio

INVESTMENT SECURITIES - Additional Information (Details)	12 Months Ended
	Dec. 31, 2015USD ($)security	Dec. 31, 2014USD ($)	Dec. 31, 2013USD ($)
Investments, Debt and Equity Securities [Abstract]
Number of individual securities that were in a continuous unrealized loss position for less than twelve months | security	44
Number of individual securities that were in a continuous unrealized loss position for greater than twelve months | security	21
Gross proceeds from sales of securities	$ 65,672,000	$ 102,145,000	$ 79,114,000
Impairment charges	0	0	$ 0
Carrying value of investment securities pledged	$ 131,089,000	$ 128,501,000

INVESTMENT SECURITIES - Amort66

INVESTMENT SECURITIES - Amortized Cost and Fair Value of Debt Securities by Contractual Maturity (Details) $ in Thousands	Dec. 31, 2015USD ($)
Available for Sale, Amortized Cost
Due in one year or less	$ 1,835
Due after one year to five years	32,085
Due after five years to ten years	88,554
Due after ten years	37,681
Total amortized cost	160,155
Available for Sale, Fair Value
Due in one year or less	1,843
Due after one year to five years	31,926
Due after five years to ten years	87,311
Due after ten years	38,745
Fair Value	$ 159,825

INVESTMENT SECURITIES - Realize

INVESTMENT SECURITIES - Realized Gains and Losses on Sales of Securities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Gross realized gains and losses
Gross realized gains	$ 2,711	$ 4,298	$ 3,147
Gross realized losses	119	783	730
U.S. Government and agency securities
Gross realized gains and losses
Gross realized gains	0	59	0
Gross realized losses	0	45	0
Mortgage-backed securities
Gross realized gains and losses
Gross realized gains	0	89	0
Gross realized losses	0	0	92
State and political securities
Gross realized gains and losses
Gross realized gains	1,571	2,327	2,076
Gross realized losses	22	412	611
Other debt securities
Gross realized gains and losses
Gross realized gains	825	622	490
Gross realized losses	54	209	27
Financial institution equity securities
Gross realized gains and losses
Gross realized gains	183	710	241
Gross realized losses	0	0	0
Other equity securities
Gross realized gains and losses
Gross realized gains	132	491	340
Gross realized losses	$ 43	$ 117	$ 0

FEDERAL HOME LOAN BANK STOCK (D

FEDERAL HOME LOAN BANK STOCK (Details)	Dec. 31, 2015$ / shares
Federal Home Loan Banks [Abstract]
FHLB stock (in dollars per share)	$ 100

LOAN CREDIT QUALITY AND RELAT69

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Additional Information (Details)	12 Months Ended
	Dec. 31, 2015USD ($)categoryclassloancontractcomponent	Dec. 31, 2014USD ($)loancontract	Dec. 31, 2013USD ($)	Jun. 01, 2013USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid principal balance	$ 16,063,000	$ 17,842,000		$ 1,211,000
Estimated fair value				878,000
Contractual cash flows				1,783,000
Expected cash flows				941,000
Non-accretable discount				842,000
Accretable discount		$ 0	$ 35,000	63,000
Minimum amount to evaluate individual loans for possible impairment	100,000
Maximum amount to evaluate individual loans for possible impairment on a case by case basis	$ 100,000
Payment delays period up to which loans are not classified as impaired, maximum (in days)	90 days
Amount committed to be advanced in connection with impaired loans	$ 20,000
Period to classify TDR non performing loans to performing (in months)	6 months
Number of TDRs granted | loan	22	9
Number of loans granted payment concessions | loan	7	3
Loans granted payment concessions, amount	$ 1,008,000	$ 288,000
Number of loans granted term concessions | loan	4	5
Loans granted term concessions, amount	$ 183,000	$ 1,142,000
Number of loans granted rate concessions | loan	2	1
Loans granted rate concessions, amount	$ 287,000	$ 218,000
Number of loans granted concessions due to other default | loan	9
Loans granted concessions due to other default, amount	$ 1,108,000
Number of loan modifications, subsequently defaulted | contract	8
Number of categories considered not criticized and rated as Pass | category	6
Minimum period after which loans are considered as substandard (in days)	90 days
Minimum amount after which external annual loan review is performed		800,000
The total number of components that represents the allowance for loan losses | component	2
The number of classes that groups of loans are collectively evaluated for impairment | class	2
Period considered for quarter moving average which used in calculating historical charge off (in months)	36 months
Adjustment of period considered for quarter moving average which used in calculating historical charge off (in months)	12 months
Luzerne National Bank Corporation
Accounts, Notes, Loans and Financing Receivable [Line Items]
Minimum amount after which external annual loan review is performed	$ 1,450,000
Jersey Shore State Bank
Accounts, Notes, Loans and Financing Receivable [Line Items]
Minimum amount after which external annual loan review is performed	1,100,000
Receivables Acquired with Deteriorated Credit Quality
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired with deteriorated credit quality	$ 341,000	349,000
Real Estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of categories in which real estate loans are segmented | category	3
Purchased Loans | Luzerne National Bank Corporation
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid principal balance				1,211,000
Estimated fair value				878,000
Contractual cash flows				1,783,000
Expected cash flows				941,000
Non-accretable discount				842,000
Accretable discount				$ 63,000
Commercial Real Estate Mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid principal balance	$ 12,537,000	$ 14,117,000
Number of loan modifications, subsequently defaulted | contract	1	1
Commercial Real Estate Mortgage | Receivables Acquired with Deteriorated Credit Quality
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans acquired with deteriorated credit quality	$ 0	$ 0

LOAN CREDIT QUALITY AND RELAT70

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Aging Category of Loans, by Segment (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Aging categories of loans by segment
Current	$ 1,028,966	$ 895,468
Past Due 30 To 89 Days	8,207	9,053
Past Due 90 Days Or More & Still Accruing	979	387
Non-Accrual	8,467	11,861
Total	1,046,619	916,769
Net deferred loan fees and discounts	(1,412)	(1,190)
Allowance for loan losses	(12,044)	(10,579)	$ (10,144)
Current loans, net	1,015,510	883,699
Loans, net	1,033,163	905,000
Commercial, Financial, and Agricultural
Aging categories of loans by segment
Current	162,312	122,624
Past Due 30 To 89 Days	164	773
Past Due 90 Days Or More & Still Accruing	0	0
Non-Accrual	1,596	759
Total	164,072	124,156
Allowance for loan losses	(1,532)	(1,124)	(474)
Residential Real Estate Mortgages
Aging categories of loans by segment
Current	517,753	450,503
Past Due 30 To 89 Days	6,827	6,078
Past Due 90 Days Or More & Still Accruing	714	332
Non-Accrual	889	847
Total	526,183	457,760
Allowance for loan losses	(5,116)	(3,755)	(3,917)
Commercial Real Estate Mortgage
Aging categories of loans by segment
Current	295,784	279,731
Past Due 30 To 89 Days	720	1,819
Past Due 90 Days Or More & Still Accruing	265	54
Non-Accrual	5,770	9,744
Total	302,539	291,348
Allowance for loan losses	(4,217)	(4,205)	(4,079)
Construction Real Estate Mortgage
Aging categories of loans by segment
Current	26,545	21,485
Past Due 30 To 89 Days	67	0
Past Due 90 Days Or More & Still Accruing	0	0
Non-Accrual	212	511
Total	26,824	21,996
Allowance for loan losses	(160)	(786)	(741)
Installment Loans to Individuals
Aging categories of loans by segment
Current	26,572	21,125
Past Due 30 To 89 Days	429	383
Past Due 90 Days Or More & Still Accruing	0	1
Non-Accrual	0	0
Total	27,001	21,509
Allowance for loan losses	$ (243)	$ (245)	$ (139)

LOAN CREDIT QUALITY AND RELAT71

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Components of Purchase Accounting Adjustments (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Jun. 01, 2013
Components of the purchase accounting adjustments related to the purchased impaired loans acquired
Unpaid principal balance	$ 16,063	$ 17,842		$ 1,211
Interest				572
Contractual cash flows				1,783
Non-accretable discount				(842)
Expected cash flows				941
Accretable discount		$ 0	$ (35)	(63)
Estimated fair value				$ 878

LOAN CREDIT QUALITY AND RELAT72

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Changes in Amortizable Yield for Purchased Credit-impaired Loans (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2014USD ($)
Changes in the amortizable yield for purchased credit-impaired loans
Balance at beginning of period	$ 35
Accretion	(35)
Balance at end of period	$ 0

LOAN CREDIT QUALITY AND RELAT73

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Additional Information Regarding Loans Acquired (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Accounts, Notes, Loans and Financing Receivable [Line Items]
Outstanding balance	$ 441,000	$ 449,000
Receivables Acquired with Deteriorated Credit Quality
Accounts, Notes, Loans and Financing Receivable [Line Items]
Carrying amount	$ 341,000	$ 349,000

LOAN CREDIT QUALITY AND RELAT74

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Interest Income if Interest Would Have Been Recorded (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Loan credit quality and related allowance for loan losses
Interest Income That Would Have Been Recorded Based on Original Term and Rate	$ 398	$ 768	$ 583
Interest Income Recorded on a Cash Basis	145	333	330
Commercial, Financial, and Agricultural
Loan credit quality and related allowance for loan losses
Interest Income That Would Have Been Recorded Based on Original Term and Rate	48	42	7
Interest Income Recorded on a Cash Basis	53	33	3
Residential Real Estate Mortgages
Loan credit quality and related allowance for loan losses
Interest Income That Would Have Been Recorded Based on Original Term and Rate	53	63	41
Interest Income Recorded on a Cash Basis	38	34	20
Commercial Real Estate Mortgage
Loan credit quality and related allowance for loan losses
Interest Income That Would Have Been Recorded Based on Original Term and Rate	281	600	447
Interest Income Recorded on a Cash Basis	54	264	251
Construction Real Estate Mortgage
Loan credit quality and related allowance for loan losses
Interest Income That Would Have Been Recorded Based on Original Term and Rate	16	63	88
Interest Income Recorded on a Cash Basis	$ 0	$ 2	$ 56

LOAN CREDIT QUALITY AND RELAT75

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Recorded Investment, Unpaid Principal Balance, and Related Allowance of Impaired Loans by Segment (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Jun. 01, 2013
Credit Quality and Related Allowance for Loan Losses
Recorded Investment, With no related allowance recorded	$ 3,408	$ 4,522
Unpaid Principal Balance, With no related allowance recorded	3,458	4,522
Recorded Investment, With an allowance recorded	12,475	13,054
Unpaid Principal Balance, With an allowance recorded	12,605	13,320
Recorded Investment	15,883	17,576
Unpaid Principal Balance	16,063	17,842	$ 1,211
Related Allowance	2,104	2,093
Commercial, Financial, and Agricultural
Credit Quality and Related Allowance for Loan Losses
Recorded Investment, With no related allowance recorded	319	439
Unpaid Principal Balance, With no related allowance recorded	319	439
Recorded Investment, With an allowance recorded	150	673
Unpaid Principal Balance, With an allowance recorded	150	673
Recorded Investment	469	1,112
Unpaid Principal Balance	469	1,112
Related Allowance	75	298
Residential Real Estate Mortgages
Credit Quality and Related Allowance for Loan Losses
Recorded Investment, With no related allowance recorded	1,142	139
Unpaid Principal Balance, With no related allowance recorded	1,142	139
Recorded Investment, With an allowance recorded	1,573	1,327
Unpaid Principal Balance, With an allowance recorded	1,703	1,449
Recorded Investment	2,715	1,466
Unpaid Principal Balance	2,845	1,588
Related Allowance	376	147
Commercial Real Estate Mortgage
Credit Quality and Related Allowance for Loan Losses
Recorded Investment, With no related allowance recorded	1,735	3,228
Unpaid Principal Balance, With no related allowance recorded	1,785	3,228
Recorded Investment, With an allowance recorded	10,752	10,745
Unpaid Principal Balance, With an allowance recorded	10,752	10,889
Recorded Investment	12,487	13,973
Unpaid Principal Balance	12,537	14,117
Related Allowance	1,653	1,581
Construction Real Estate Mortgage
Credit Quality and Related Allowance for Loan Losses
Recorded Investment, With no related allowance recorded	212	716
Unpaid Principal Balance, With no related allowance recorded	212	716
Recorded Investment, With an allowance recorded	0	309
Unpaid Principal Balance, With an allowance recorded	0	309
Recorded Investment	212	1,025
Unpaid Principal Balance	212	1,025
Related Allowance	$ 0	$ 67

LOAN CREDIT QUALITY AND RELAT76

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Average Recorded Investment in Impaired Loans (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average Investment in Impaired Loans	$ 21,995	$ 14,081	$ 13,375
Interest Income Recognized on an Accrual Basis on Impaired Loans	436	219	272
Interest Income Recognized on a Cash Basis on Impaired Loans	190	235	689
Commercial, Financial, and Agricultural
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average Investment in Impaired Loans	1,031	763	538
Interest Income Recognized on an Accrual Basis on Impaired Loans	21	26	26
Interest Income Recognized on a Cash Basis on Impaired Loans	10	25	0
Residential Real Estate Mortgages
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average Investment in Impaired Loans	2,570	1,245	1,581
Interest Income Recognized on an Accrual Basis on Impaired Loans	72	46	62
Interest Income Recognized on a Cash Basis on Impaired Loans	47	20	25
Commercial Real Estate Mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average Investment in Impaired Loans	17,529	10,987	8,605
Interest Income Recognized on an Accrual Basis on Impaired Loans	342	130	183
Interest Income Recognized on a Cash Basis on Impaired Loans	80	101	95
Construction Real Estate Mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Average Investment in Impaired Loans	865	1,086	2,651
Interest Income Recognized on an Accrual Basis on Impaired Loans	1	17	1
Interest Income Recognized on a Cash Basis on Impaired Loans	$ 53	$ 89	$ 569

LOAN CREDIT QUALITY AND RELAT77

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Loan Modifications Considered TDRs (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2015USD ($)contract	Dec. 31, 2014USD ($)contract
Troubled debt restructurings
Number of Contracts | contract	22	9
Pre-Modification Outstanding Recorded Investment	$ 2,586	$ 1,648
Post-Modification Outstanding Recorded Investment	$ 2,586	$ 1,648
Number of loan modifications, subsequently defaulted | contract	8
Recorded investment, subsequently defaulted	$ 722
Commercial, Financial, and Agricultural
Troubled debt restructurings
Number of Contracts | contract	4	3
Pre-Modification Outstanding Recorded Investment	$ 213	$ 620
Post-Modification Outstanding Recorded Investment	$ 213	$ 620
Number of loan modifications, subsequently defaulted | contract	1
Recorded investment, subsequently defaulted	$ 106
Residential Real Estate Mortgages
Troubled debt restructurings
Number of Contracts | contract	11	3
Pre-Modification Outstanding Recorded Investment	$ 962	$ 392
Post-Modification Outstanding Recorded Investment	$ 962	$ 392
Number of loan modifications, subsequently defaulted | contract	6
Recorded investment, subsequently defaulted	$ 374
Commercial Real Estate Mortgage
Troubled debt restructurings
Number of Contracts | contract	6	3
Pre-Modification Outstanding Recorded Investment	$ 1,013	$ 636
Post-Modification Outstanding Recorded Investment	$ 1,013	$ 636
Number of loan modifications, subsequently defaulted | contract	1	1
Recorded investment, subsequently defaulted	$ 242
Construction Real Estate Mortgage
Troubled debt restructurings
Number of Contracts | contract	1	0
Pre-Modification Outstanding Recorded Investment	$ 398	$ 0
Post-Modification Outstanding Recorded Investment	$ 398	$ 0

LOAN CREDIT QUALITY AND RELAT78

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Credit Quality Categories (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Credit quality categories
Total	$ 1,046,619	$ 916,769
Commercial, Financial, and Agricultural
Credit quality categories
Total	164,072	124,156
Residential Real Estate Mortgages
Credit quality categories
Total	526,183	457,760
Commercial Real Estate Mortgage
Credit quality categories
Total	302,539	291,348
Construction Real Estate Mortgage
Credit quality categories
Total	26,824	21,996
Installment Loans to Individuals
Credit quality categories
Total	27,001	21,509
Pass
Credit quality categories
Total	1,014,448	871,975
Pass | Commercial, Financial, and Agricultural
Credit quality categories
Total	160,734	118,210
Pass | Residential Real Estate Mortgages
Credit quality categories
Total	522,853	454,885
Pass | Commercial Real Estate Mortgage
Credit quality categories
Total	277,248	256,444
Pass | Construction Real Estate Mortgage
Credit quality categories
Total	26,612	20,927
Pass | Installment Loans to Individuals
Credit quality categories
Total	27,001	21,509
Special Mention
Credit quality categories
Total	11,117	22,277
Special Mention | Commercial, Financial, and Agricultural
Credit quality categories
Total	1,669	3,186
Special Mention | Residential Real Estate Mortgages
Credit quality categories
Total	823	2,384
Special Mention | Commercial Real Estate Mortgage
Credit quality categories
Total	8,625	16,262
Special Mention | Construction Real Estate Mortgage
Credit quality categories
Total	0	445
Special Mention | Installment Loans to Individuals
Credit quality categories
Total	0	0
Substandard
Credit quality categories
Total	21,054	22,517
Substandard | Commercial, Financial, and Agricultural
Credit quality categories
Total	1,669	2,760
Substandard | Residential Real Estate Mortgages
Credit quality categories
Total	2,507	491
Substandard | Commercial Real Estate Mortgage
Credit quality categories
Total	16,666	18,642
Substandard | Construction Real Estate Mortgage
Credit quality categories
Total	212	624
Substandard | Installment Loans to Individuals
Credit quality categories
Total	$ 0	$ 0

LOAN CREDIT QUALITY AND RELAT79

LOAN CREDIT QUALITY AND RELATED ALLOWANCE FOR LOAN LOSSES - Allowance Activity (Details) - USD ($)	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2015	Dec. 31, 2014
Changes in allowance
Balance at the beginning of the period				$ 10,579,000				$ 10,144,000	$ 10,579,000	$ 10,144,000
Charge-offs									(1,361,000)	(2,534,000)
Recoveries									526,000	119,000
Provision for loan losses	$ 480,000	$ 520,000	$ 600,000	700,000	$ 1,605,000	$ 460,000	$ 300,000	485,000	2,300,000	2,850,000	$ 2,275,000
Balance at the end of the period	12,044,000				10,579,000				12,044,000	10,579,000	10,144,000
Allowance for Loan Losses:
Individually evaluated for impairment												$ 2,104,000	$ 2,093,000
Collectively evaluated for impairment												9,940,000	8,486,000
Total ending allowance balance	12,044,000			10,579,000	10,579,000			10,144,000	10,579,000	10,144,000	10,144,000	12,044,000	10,579,000
Loans
Individually evaluated for impairment												15,542,000	17,227,000
Collectively evaluated for impairment												1,030,736,000	899,193,000
Total												1,046,619,000	916,769,000
Commercial, Financial, and Agricultural
Changes in allowance
Balance at the beginning of the period				1,124,000				474,000	1,124,000	474,000
Charge-offs									(283,000)	(289,000)
Recoveries									176,000	18,000
Provision for loan losses									515,000	921,000
Balance at the end of the period	1,532,000				1,124,000				1,532,000	1,124,000	474,000
Allowance for Loan Losses:
Individually evaluated for impairment												75,000	298,000
Collectively evaluated for impairment												1,457,000	826,000
Total ending allowance balance	1,532,000			1,124,000	1,124,000			474,000	1,124,000	474,000	474,000	1,532,000	1,124,000
Loans
Individually evaluated for impairment												469,000	1,112,000
Collectively evaluated for impairment												163,603,000	123,044,000
Total												164,072,000	124,156,000
Residential Real Estate Mortgages
Changes in allowance
Balance at the beginning of the period				3,755,000				3,917,000	3,755,000	3,917,000
Charge-offs									(49,000)	(65,000)
Recoveries									81,000	15,000
Provision for loan losses									1,329,000	(112,000)
Balance at the end of the period	5,116,000				3,755,000				5,116,000	3,755,000	3,917,000
Allowance for Loan Losses:
Individually evaluated for impairment												376,000	147,000
Collectively evaluated for impairment												4,740,000	3,608,000
Total ending allowance balance	5,116,000			3,755,000	3,755,000			3,917,000	$ 3,755,000	$ 3,917,000	3,917,000	5,116,000	3,755,000
Loans
Individually evaluated for impairment												2,374,000	1,117,000
Collectively evaluated for impairment												523,468,000	456,294,000
Total												526,183,000	457,760,000
Residential Real Estate Mortgages | Financing receivable | Owners of rental properties
Changes in allowance
Concentration of loans (as a percent)									16.21%	16.01%
Commercial Real Estate Mortgage
Changes in allowance
Balance at the beginning of the period				4,205,000				4,079,000	$ 4,205,000	$ 4,079,000
Charge-offs									(743,000)	(2,038,000)
Recoveries									182,000	0
Provision for loan losses									573,000	2,164,000
Balance at the end of the period	4,217,000				4,205,000				4,217,000	4,205,000	4,079,000
Allowance for Loan Losses:
Individually evaluated for impairment												1,653,000	1,581,000
Collectively evaluated for impairment												2,564,000	2,624,000
Total ending allowance balance	4,217,000			4,205,000	4,205,000			4,079,000	$ 4,205,000	$ 4,079,000	4,079,000	4,217,000	4,205,000
Loans
Individually evaluated for impairment												12,487,000	13,973,000
Collectively evaluated for impairment												290,052,000	277,375,000
Total												302,539,000	291,348,000
Commercial Real Estate Mortgage | Financing receivable | Owners of rental properties
Changes in allowance
Concentration of loans (as a percent)									14.22%	14.67%
Construction Real Estate Mortgage
Changes in allowance
Balance at the beginning of the period				786,000				741,000	$ 786,000	$ 741,000
Charge-offs									(46,000)	0
Recoveries									23,000	22,000
Provision for loan losses									(603,000)	23,000
Balance at the end of the period	160,000				786,000				160,000	786,000	741,000
Allowance for Loan Losses:
Individually evaluated for impairment												0	67,000
Collectively evaluated for impairment												160,000	719,000
Total ending allowance balance	160,000			786,000	786,000			741,000	786,000	741,000	741,000	160,000	786,000
Loans
Individually evaluated for impairment												212,000	1,025,000
Collectively evaluated for impairment												26,612,000	20,971,000
Total												26,824,000	21,996,000
Installment Loans to Individuals
Changes in allowance
Balance at the beginning of the period				245,000				139,000	245,000	139,000
Charge-offs									(240,000)	(142,000)
Recoveries									64,000	64,000
Provision for loan losses									174,000	184,000
Balance at the end of the period	243,000				245,000				243,000	245,000	139,000
Allowance for Loan Losses:
Individually evaluated for impairment												0	0
Collectively evaluated for impairment												243,000	245,000
Total ending allowance balance	243,000			245,000	245,000			139,000	245,000	139,000	139,000	243,000	245,000
Loans
Individually evaluated for impairment												0	0
Collectively evaluated for impairment												27,001,000	21,509,000
Total												27,001,000	21,509,000
Unallocated
Changes in allowance
Balance at the beginning of the period				464,000				794,000	464,000	794,000
Charge-offs									0	0
Recoveries									0	0
Provision for loan losses									312,000	(330,000)
Balance at the end of the period	776,000				464,000				776,000	464,000	794,000
Allowance for Loan Losses:
Individually evaluated for impairment												0	0
Collectively evaluated for impairment												776,000	464,000
Total ending allowance balance	$ 776,000			$ 464,000	$ 464,000			$ 794,000	$ 464,000	$ 794,000	$ 794,000	776,000	464,000
Receivables Acquired with Deteriorated Credit Quality
Loans
Loans acquired with deteriorated credit quality												341,000	349,000
Receivables Acquired with Deteriorated Credit Quality | Commercial, Financial, and Agricultural
Loans
Loans acquired with deteriorated credit quality												0	0
Receivables Acquired with Deteriorated Credit Quality | Residential Real Estate Mortgages
Loans
Loans acquired with deteriorated credit quality												341,000	349,000
Receivables Acquired with Deteriorated Credit Quality | Commercial Real Estate Mortgage
Loans
Loans acquired with deteriorated credit quality												0	0
Receivables Acquired with Deteriorated Credit Quality | Construction Real Estate Mortgage
Loans
Loans acquired with deteriorated credit quality												0	0
Receivables Acquired with Deteriorated Credit Quality | Installment Loans to Individuals
Loans
Loans acquired with deteriorated credit quality												$ 0	$ 0

PREMISES AND EQUIPMENT (Details

PREMISES AND EQUIPMENT (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
PREMISES AND EQUIPMENT
Gross premises and equipment	$ 31,531	$ 29,312
Less accumulated depreciation and amortization	9,701	8,203
Net premises and equipment	21,830	21,109
Depreciation and amortization	3,366	3,078	$ 1,448
Land
PREMISES AND EQUIPMENT
Gross premises and equipment	5,764	5,759
Premises
PREMISES AND EQUIPMENT
Gross premises and equipment	16,074	14,767
Furniture and equipment
PREMISES AND EQUIPMENT
Gross premises and equipment	8,231	7,435
Leasehold improvements
PREMISES AND EQUIPMENT
Gross premises and equipment	1,462	1,351
Premises and Equipment
PREMISES AND EQUIPMENT
Depreciation and amortization	$ 1,564	$ 1,494	$ 1,054

GOODWILL AND OTHER INTANGIBLE81

GOODWILL AND OTHER INTANGIBLES - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Goodwill and Intangible Assets Disclosure [Abstract]
Gross carrying value	$ 17,380,000	$ 17,380,000
Accumulated amortization	276,000	276,000
Goodwill	17,104,000	17,104,000
Goodwill impairment loss	0	$ 0	$ 0
Core Deposits
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	1,072,000
Accumulated amortization	521,000
Trade Names
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	76,000
Accumulated amortization	37,000
Book of Business
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	92,000
Accumulated amortization	$ 3,000

GOODWILL AND OTHER INTANGIBLE82

GOODWILL AND OTHER INTANGIBLES - Future Amortization Expense (Details) $ in Thousands	Dec. 31, 2015USD ($)
Core Deposits
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
2,016	$ 254
2,017	220
2,018	185
2,019	151
2,020	117
2,021	83
2,022	48
2,023	14
2,024	0
2,025	0
Total	1,072
Trade Names
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
2,016	18
2,017	15
2,018	13
2,019	11
2,020	8
2,021	6
2,022	4
2,023	1
2,024	0
2,025	0
Total	76
Book of Business
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
2,016	10
2,017	10
2,018	10
2,019	10
2,020	10
2,021	10
2,022	10
2,023	10
2,024	10
2,025	2
Total	$ 92

TIME DEPOSITS (Details)

TIME DEPOSITS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Banking and Thrift [Abstract]
Time deposits of $250,000 or more	$ 28,953	$ 26,468
Interest expense related to time deposits of $100,000 or more	1,112	$ 875	$ 841
Scheduled maturities on time deposits of $100,000 or more
Three months or less	12,006
Three months to six months	5,863
Six months to twelve months	17,036
Over twelve months	71,687
Total	106,592
Total time deposit maturities
2,016	81,010
2,017	55,318
2,018	51,104
2,019	24,796
2,020	7,093
Thereafter	2,056
Total	$ 221,377

SHORT-TERM BORROWINGS - Schedul

SHORT-TERM BORROWINGS - Schedule of Short-term borrowings (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
SHORT-TERM BORROWINGS
Balance at year end	$ 46,638	$ 40,818
Line of Credit
SHORT-TERM BORROWINGS
Additional lines of credit available from correspondent banks other than the FHLB	35,413
Repurchase Agreements
SHORT-TERM BORROWINGS
Balance at year end	18,334	13,987	$ 12,391
Maximum amount outstanding at any month end	18,614	18,801	16,632
Average balance outstanding during the year	$ 15,834	$ 16,350	$ 16,839
Weighted-average interest rate: At year end (as a percent)	0.21%	0.23%	0.28%
Weighted-average interest rate: Paid during the year (as a percent)	0.21%	0.22%	0.40%
Open Repo Plus
SHORT-TERM BORROWINGS
Balance at year end	$ 28,304	$ 26,831	$ 14,325
Maximum amount outstanding at any month end	42,760	26,831	21,350
Average balance outstanding during the year	$ 23,075	$ 5,992	$ 5,508
Weighted-average interest rate: At year end (as a percent)	0.43%	0.27%	0.25%
Weighted-average interest rate: Paid during the year (as a percent)	0.36%	0.30%	0.31%

SHORT-TERM BORROWINGS - Contrac

SHORT-TERM BORROWINGS - Contractual Maturity of Repurchase Agreements (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
SHORT-TERM BORROWINGS
Short-term borrowings	$ 46,638	$ 40,818
Repurchase Agreements
SHORT-TERM BORROWINGS
Short-term borrowings	18,334	13,987	$ 12,391
Overnight and Continuous
SHORT-TERM BORROWINGS
Securities borrowed, gross including not subject to master netting arrangement	24,084	20,235
Overnight and Continuous | US Treasury and Government
SHORT-TERM BORROWINGS
Securities borrowed, gross including not subject to master netting arrangement	3,586	3,953
Overnight and Continuous | Collateralized Mortgage Backed Securities [Member]
SHORT-TERM BORROWINGS
Securities borrowed, gross including not subject to master netting arrangement	8,368	4,526
Overnight and Continuous | Asset-backed securities
SHORT-TERM BORROWINGS
Securities borrowed, gross including not subject to master netting arrangement	1,960	2,468
Overnight and Continuous | State and political securities
SHORT-TERM BORROWINGS
Securities borrowed, gross including not subject to master netting arrangement	8,015	7,070
Overnight and Continuous | Other debt securities
SHORT-TERM BORROWINGS
Securities borrowed, gross including not subject to master netting arrangement	$ 2,155	$ 2,218

LONG-TERM BORROWINGS - Long-ter

LONG-TERM BORROWINGS - Long-term Borrowings with FHLB by Contractual Maturities (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	2.14%	2.65%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 90,625	$ 70,750
Outstanding amount of long-term borrowings with the FHLB by contractual maturities
2,016	5,000
2,017	45,000
2,018	12,000
2,019	7,292
Thereafter	21,333
Total	$ 90,625
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
2016 (as a percent)	0.75%
2017 (as a percent)	2.38%
2018 (as percent)	2.84%
2019 (as a percent)	1.55%
Thereafter (as percent)	1.75%
Weighted-Average Interest Rate (as a percent)	2.14%	2.65%
Variable
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	3.87%	3.90%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 30,000	$ 40,000
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	3.87%	3.90%
Variable | 2015
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	0.00%	3.97%
Stated Interest Rate Range From (as a percent)	3.97%	3.97%
Stated Interest Rate Range To (as a percent)	3.97%	3.97%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 0	$ 10,000
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	0.00%	3.97%
Variable | 2017
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	4.22%	4.22%
Stated Interest Rate Range From (as a percent)	4.15%	4.15%
Stated Interest Rate Range To (as a percent)	4.28%	4.28%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 20,000	$ 20,000
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	4.22%	4.22%
Variable | 2018
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	3.18%	3.18%
Stated Interest Rate Range From (as a percent)	3.18%	3.18%
Stated Interest Rate Range To (as a percent)	3.18%	3.18%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 10,000	$ 10,000
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	3.18%	3.18%
Fixed
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	1.28%	1.03%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 60,625	$ 30,750
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	1.28%	1.03%
Fixed | 2015
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	0.00%	6.92%
Stated Interest Rate Range From (as a percent)	6.92%	6.92%
Stated Interest Rate Range To (as a percent)	6.92%	6.92%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 0	$ 750
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	0.00%	6.92%
Fixed | 2016
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	0.75%	0.75%
Stated Interest Rate Range From (as a percent)	0.75447%	0.75447%
Stated Interest Rate Range To (as a percent)	0.75447%	0.75447%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 5,000	$ 5,000
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	0.75%	0.75%
Fixed | 2017
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	0.91%	0.91%
Stated Interest Rate Range From (as a percent)	0.896%	0.896%
Stated Interest Rate Range To (as a percent)	0.96549%	0.96549%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 25,000	$ 25,000
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	0.91%	0.91%
Fixed | 2018
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	1.13%	0.00%
Stated Interest Rate Range From (as a percent)	1.13354%
Stated Interest Rate Range To (as a percent)	1.13354%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 2,000	$ 0
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	1.13%	0.00%
Fixed | 2019
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	1.55%	0.00%
Stated Interest Rate Range From (as a percent)	1.54%
Stated Interest Rate Range To (as a percent)	1.55%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 7,292	$ 0
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	1.55%	0.00%
Fixed | 2020
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	1.70%	0.00%
Stated Interest Rate Range From (as a percent)	1.62%
Stated Interest Rate Range To (as a percent)	1.79%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 18,333	$ 0
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	1.70%	0.00%
Fixed | 2022
LONG-TERM BORROWINGS
Weighted-Average Interest Rate (as a percent)	2.04%	0.00%
Stated Interest Rate Range From (as a percent)	2.0421%
Stated Interest Rate Range To (as a percent)	2.0421%
Outstanding long-term borrowings with the FHLB by contractual maturities	$ 3,000	$ 0
Weighted-Average Rate of outstanding long-term borrowings with the FHLB by contractual maturities
Weighted-Average Interest Rate (as a percent)	2.04%	0.00%

LONG-TERM BORROWINGS - Addition

LONG-TERM BORROWINGS - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
LONG-TERM BORROWINGS
FHLB adjustable rate as per the terms of convertible borrowings	three month London Interbank Offered Rate
Capital lease, carrying amount of land	$ 827	$ 827
Present value of minimum lease payments	$ 400	$ 426
Capital Lease Obligations
LONG-TERM BORROWINGS
Interest rate for capital lease obligation	2.75%
Revolving line of credit with the FHLB | Luzerne Bank
LONG-TERM BORROWINGS
Remaining borrowing capacity	$ 236,434
Revolving line of credit with the FHLB | Jersey Shore State Bank
LONG-TERM BORROWINGS
Remaining borrowing capacity	$ 145,476
Minimum
LONG-TERM BORROWINGS
Conversion term of FHLB loans	3 months
Maximum
LONG-TERM BORROWINGS
Conversion term of FHLB loans	5 years

LONG-TERM BORROWINGS - Future M

LONG-TERM BORROWINGS - Future Minimum Lease Payments (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Lease Payment
2,016	$ 38
2,017	38
2,018	38
2,019	38
2,020	38
Thereafter	276
Capital leases, future minimum payments due	466
Interest
2,016	11
2,017	10
2,018	9
2,019	9
2,020	8
Thereafter	19
Capital leases, future interest payments due	66
Present Value of Minimum Lease Payment
2,016	27
2,017	28
2,018	29
2,019	29
2,020	30
Thereafter	257
Present value of minimum lease payments	$ 400	$ 426

INCOME TAXES - Schedule of Defe

INCOME TAXES - Schedule of Deferred Tax Assets (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Deferred tax assets:
Allowance for loan losses	$ 3,976,000	$ 3,380,000
Deferred compensation	1,696,000	1,579,000
Defined Pension	1,525,000	2,172,000
Deferred Loan fees and discounts	272,000	256,000
Investment securities allowance	517,000	487,000
Low income housing credit carryforward	1,181,000	2,034,000
Capital loss carryforward	0	98,000
Other	1,696,000	1,578,000
Total deferred tax assets	10,863,000	11,584,000
Deferred tax liabilities:
Unrealized gain on available for sale securities	133,000	1,510,000
Investment security accretion	231,000	262,000
Depreciation	478,000	734,000
Amortization	1,031,000	977,000
Total deferred tax liabilities	1,873,000	3,483,000
Deferred tax asset, net	8,990,000	8,101,000
Valuation allowance	$ 0	$ 0

INCOME TAXES - Schedule of Comp

INCOME TAXES - Schedule of Components of Income Tax Expense (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Provision or benefit for income taxes
Currently payable									$ 3,527	$ 3,680	$ 3,328
Deferred benefit									209	124	123
Total provision	$ 1,106	$ 957	$ 825	$ 848	$ 652	$ 1,576	$ 875	$ 701	$ 3,736	$ 3,804	$ 3,451

INCOME TAXES - Schedule of Effe

INCOME TAXES - Schedule of Effective Income Tax Rate (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Effective Income Tax Rate Reconciliation, Amount:
Provision at expected rate									$ 5,996	$ 6,260	$ 5,962
Decrease in tax resulting from:
Tax-exempt income									(1,492)	(1,673)	(1,933)
Tax credits									(737)	(737)	(737)
Other, net									(31)	(46)	159
Total provision	$ 1,106	$ 957	$ 825	$ 848	$ 652	$ 1,576	$ 875	$ 701	$ 3,736	$ 3,804	$ 3,451
Effective Income Tax Rate Reconciliation, Percent:
Provision at expected rate (as a percent)									34.00%	34.00%	34.00%
Decrease in tax resulting from:
Tax-exempt income (as a percent)									(8.46%)	(9.09%)	(11.02%)
Tax credits (as a percent)									(4.17%)	(4.00%)	(4.20%)
Other, net (as a percent)									(0.18%)	(0.25%)	0.90%
Effective income tax provision (benefit) and rate (as a percent)									21.19%	20.66%	19.68%

EMPLOYEE BENEFIT PLANS - Additi

EMPLOYEE BENEFIT PLANS - Additional Information (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2015USD ($)age	Dec. 31, 2014USD ($)	Dec. 31, 2013USD ($)
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Number of consecutive years of service and average annual compensation on which benefits are based (in years)	5 years
Period of employment considered for benefit payments (in years)	10 years
Accumulated benefit obligation	$ 18,947	$ 20,296
Vesting period regarding employer contribution (in years)	5 years
Contribution expense	$ 230	171	$ 132
Period for which the Company will make payments under the Deferred Compensation Plan (in years)	10 years
Threshold age of employees under the plan for company to make payments | age	65
Expenses incurred related to the plan	$ 252	235	169
Benefits paid under the plan	103	$ 88	$ 57
Minimum
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Expected contribution to Pension Plan	$ 500
Equity
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Target allocation (as a percent)	62.00%
Fixed income securities
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Target allocation (as a percent)	15.00%
Inflation Hedges/Real Assets
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Target allocation (as a percent)	10.00%
Hedged Strategies
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Target allocation (as a percent)	10.00%
Cash
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Target allocation (as a percent)	2.50%

EMPLOYEE BENEFIT PLANS - Obliga

EMPLOYEE BENEFIT PLANS - Obligation and Funded Status (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Change in benefit obligation:
Benefit obligation at beginning of year	$ 23,450	$ 18,186
Service cost	0	484
Interest cost	757	859	$ 770
Actuarial gain	(144)	277
Benefits paid	(639)	(1,660)
Curtailment gain	(3,155)	0
Other, change in actuarial assumptions	1,322	(5,304)
Benefit obligation at end of year	18,947	23,450	18,186
Change in plan assets:
Fair value of plan assets at beginning of year	13,906	14,258
Actual return on plan assets	25	487
Employer contribution	965	850
Benefits paid	(704)	(1,736)
Adjustment to fair value of plan assets	31	47
Fair value of plan assets at end of year	14,223	13,906	$ 14,258
Funded status	(4,724)	(9,544)
Accounts recognized on balance sheet as:
Total liabilities	(4,724)	(9,544)
Amounts recognized in accumulated other comprehensive income (loss) consist of:
Net loss	$ 6,267	$ 6,965

EMPLOYEE BENEFIT PLANS - Net Pe

EMPLOYEE BENEFIT PLANS - Net Periodic Costs and Other Amounts Recognized (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Components of Net Periodic Cost and Other Amounts Recognized in other Comprehensive Income, Net periodic pension cost:
Service cost	$ 64	$ 560	$ 638
Interest cost	757	859	770
Expected return on plan assets	(983)	(1,153)	(985)
Amortization of prior service cost	0	0	25
Amortization of unrecognized net loss	159	209	479
Net periodic benefit cost	$ (3)	$ 475	$ 927

EMPLOYEE BENEFIT PLANS - Assump

EMPLOYEE BENEFIT PLANS - Assumptions (Details)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract]
Discount rate (as a percent)	4.17%	3.83%	4.75%
Rate of compensation increase (as a percent)		3.00%	3.00%
Weighted-average assumptions used to determine net periodic cost
Discount rate (as a percent)	3.83%	4.75%	4.00%
Expected long-term return on plan assets (as a percent)	7.00%	8.00%	8.00%
Rate of compensation increase (as a percent)		3.00%	3.00%

EMPLOYEE BENEFIT PLANS - Weight

EMPLOYEE BENEFIT PLANS - Weighted Average Asset Allocations (Details)	Dec. 31, 2015	Dec. 31, 2014
Plan's asset allocations by asset category
Weighted-average asset allocations by asset category (as a percent)	100.00%	100.00%
Cash
Plan's asset allocations by asset category
Weighted-average asset allocations by asset category (as a percent)	8.56%	11.54%
Fixed income securities
Plan's asset allocations by asset category
Weighted-average asset allocations by asset category (as a percent)	10.33%	12.46%
Equity
Plan's asset allocations by asset category
Weighted-average asset allocations by asset category (as a percent)	61.73%	76.00%
Inflation Hedges/Real Assets
Plan's asset allocations by asset category
Weighted-average asset allocations by asset category (as a percent)	5.03%	0.00%
Hedged Strategies
Plan's asset allocations by asset category
Weighted-average asset allocations by asset category (as a percent)	14.35%	0.00%

EMPLOYEE BENEFIT PLANS - Fair V

EMPLOYEE BENEFIT PLANS - Fair Value Hierarchy (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	$ 14,223	$ 13,906	$ 14,258
Level 1
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	14,223	13,906
Cash and cash equivalents
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	1,218	1,606
Cash and cash equivalents | Level 1
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	1,218	1,606
Mutual funds - taxable fixed income
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	1,467	1,732
Mutual funds - taxable fixed income | Level 1
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	1,467	1,732
Mutual funds - domestic equity
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	8,150	8,372
Mutual funds - domestic equity | Level 1
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	8,150	8,372
Mutual funds - international equity
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	631	2,196
Mutual funds - international equity | Level 1
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	631	$ 2,196
Inflation Hedges/Real Assets
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	715
Inflation Hedges/Real Assets | Level 1
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	715
Hedged Strategies
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	2,042
Hedged Strategies | Level 1
Defined Benefit Plan Disclosure [Line Items]
Assets at fair value	$ 2,042

EMPLOYEE BENEFIT PLANS - Future

EMPLOYEE BENEFIT PLANS - Future Benefit Payments (Details) $ in Thousands	Dec. 31, 2015USD ($)
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]
2,016	$ 783
2,017	799
2,018	812
2,019	848
2,020	882
Thereafter	4,734
Total	$ 8,858

STOCK OPTIONS - Additional Info

STOCK OPTIONS - Additional Information (Details) - USD ($)	Aug. 27, 2015	Sep. 30, 2015	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Grants in period (in shares)	38,750	38,750	38,750
Granted (in dollars per share)	$ 42.03		$ 42.03
Allocated share-based compensation expense			$ 19,000
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period (in years)	5 years
Expiration period (in years)	10 years
Nonvested awards, compensation cost not yet recognized			$ 119,000
Period for recognition (in years)			4 years 7 months 28 days

STOCK OPTIONS - Stock Option Ac

STOCK OPTIONS - Stock Option Activity (Details) - $ / shares	Aug. 27, 2015	Sep. 30, 2015	Dec. 31, 2015	Dec. 31, 2014
Shares
Outstanding, beginning of year (in shares)			0
Granted (in shares)	38,750	38,750	38,750
Exercised (in shares)			0
Forfeited (in shares)			(4,000)
Outstanding, end of year (in shares)			34,750
Weighted Average Exercise Price
Outstanding (in dollars per share)			$ 42.03	$ 0
Granted (in dollars per share)	$ 42.03		42.03
Exercised (in dollars per share)			0
Forfeited (in dollars per share)			$ 42.03

STOCK OPTIONS - Stock Option As

STOCK OPTIONS - Stock Option Assumptions (Details) - Employee Stock Option	12 Months Ended
	Dec. 31, 2015$ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-free interest rate	1.63%
Expected volatility	31.58%
Expected dividend yield	4.22%
Expected life (in years)	7 years 6 months 4 days
Weighted average grant date fair value per option (in dollars per share)	$ 3.96

EMPLOYEE STOCK PURCHASE PLAN (D

EMPLOYEE STOCK PURCHASE PLAN (Details) - Employee Stock Purchase Plan ("Plan") - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares allowed to be purchased by employees (in shares)	1,000,000
Purchase price of the shares with respect to market value	95.00%
Maximum percentage of base compensation	15.00%
Maximum market value	$ 12,000
Number of shares issued under the plan (in shares)	2,335	2,720

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - Directors and executive officers - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
RELATED PARTY TRANSACTIONS
Threshold ownership interest for principal owners (more than)	10.00%
Loan activity with executive officers, directors, principal shareholders, and associates of such persons
Beginning Balance	$ 8,946	$ 10,955
New Loans	8,693	7,920
Repayments	(8,381)	(9,929)
Ending Balance	9,258	8,946
Deposits from related parties	$ 13,330	$ 10,703

COMMITMENTS AND CONTINGENT L104

COMMITMENTS AND CONTINGENT LIABILITIES (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Future minimum rental payments under operating leases with noncancellable terms in excess of one year
2,016	$ 482
2,017	429
2,018	365
2,019	248
2,020	228
Thereafter	823
Total	2,575
Rental expense for all operating leases	$ 591	$ 523	$ 493

OFF-BALANCE SHEET RISK (Details

OFF-BALANCE SHEET RISK (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Commitments to extend credit
Off Balance Sheet Risk
Contract amounts representing credit risk	$ 241,936	$ 235,940
Standby letters of credit
Off Balance Sheet Risk
Contract amounts representing credit risk	$ 4,786	$ 7,490
Coverage period for instrument (in years)	1 year

CAPITAL REQUIREMENTS (Details)

CAPITAL REQUIREMENTS (Details) $ in Thousands	Dec. 31, 2015USD ($)category	Dec. 31, 2014USD ($)
Banking and Thrift [Abstract]
Capital categories established by FDICIA (in categories) | category	5
Common Equity Tier I Capital (to Risk-weighted Assets), Ratio
To Be Well Capitalized (as a percent)	6.50%
Total Capital (to Risk-weighted Assets), Ratio
To Be Well Capitalized (as a percent)	10.00%
Tier I Capital (to Risk-weighted Assets), Ratio
To Be Well Capitalized (as a percent)	8.00%
Tier I Capital (to Average Assets), Ratio
To Be Well Capitalized (as a percent)	5.00%
Consolidated Company
Common Equity Tier I Capital (to Risk-weighted Assets), Amount
Actual	$ 121,665
For Capital Adequacy Purposes	48,722
To Be Well Capitalized	$ 70,377
Common Equity Tier I Capital (to Risk-weighted Assets), Ratio
Actual (as a percent)	11.24%
For Capital Adequacy Purposes (as a percent)	4.50%
To Be Well Capitalized (as a percent)	6.50%
Total Capital (to Risk-weighted Assets), Amount
Actual	$ 134,067	$ 123,371
For Capital Adequacy Purposes	86,617	78,019
To Be Well Capitalized	$ 108,272	$ 97,524
Total Capital (to Risk-weighted Assets), Ratio
Actual (as a percent)	12.38%	12.65%
For Capital Adequacy Purposes (as a percent)	8.00%	8.00%
To Be Well Capitalized (as a percent)	10.00%	10.00%
Tier I Capital (to Risk-weighted Assets), Amount
Actual	$ 121,665	$ 112,290
For Capital Adequacy Purposes	64,963	39,010
To Be Well Capitalized	$ 86,617	$ 58,514
Tier I Capital (to Risk-weighted Assets), Ratio
Actual (as a percent)	11.24%	11.51%
For Capital Adequacy Purposes (as a percent)	6.00%	4.00%
To Be Well Capitalized (as a percent)	8.00%	6.00%
Tier I Capital (to Average Assets), Amount
Actual	$ 121,665	$ 112,290
For Capital Adequacy Purposes	51,862	48,476
To Be Well Capitalized	$ 64,828	$ 60,595
Tier I Capital (to Average Assets), Ratio
Actual (as a percent)	9.38%	9.27%
For Capital Adequacy Purposes (as a percent)	4.00%	4.00%
To Be Well Capitalized (as a percent)	5.00%	5.00%
Jersey Shore State Bank
Common Equity Tier I Capital (to Risk-weighted Assets), Amount
Actual	$ 82,682
For Capital Adequacy Purposes	34,773
To Be Well Capitalized	$ 50,227
Common Equity Tier I Capital (to Risk-weighted Assets), Ratio
Actual (as a percent)	10.70%
For Capital Adequacy Purposes (as a percent)	4.50%
To Be Well Capitalized (as a percent)	6.50%
Total Capital (to Risk-weighted Assets), Amount
Actual	$ 92,036	$ 83,183
For Capital Adequacy Purposes	61,818	54,086
To Be Well Capitalized	$ 77,272	$ 67,608
Total Capital (to Risk-weighted Assets), Ratio
Actual (as a percent)	11.91%	12.30%
For Capital Adequacy Purposes (as a percent)	8.00%	8.00%
To Be Well Capitalized (as a percent)	10.00%	10.00%
Tier I Capital (to Risk-weighted Assets), Amount
Actual	$ 82,682	$ 74,730
For Capital Adequacy Purposes	46,363	27,043
To Be Well Capitalized	$ 61,818	$ 40,565
Tier I Capital (to Risk-weighted Assets), Ratio
Actual (as a percent)	10.70%	11.05%
For Capital Adequacy Purposes (as a percent)	6.00%	4.00%
To Be Well Capitalized (as a percent)	8.00%	6.00%
Tier I Capital (to Average Assets), Amount
Actual	$ 82,682	$ 74,730
For Capital Adequacy Purposes	38,175	35,175
To Be Well Capitalized	$ 47,719	$ 43,968
Tier I Capital (to Average Assets), Ratio
Actual (as a percent)	8.66%	8.50%
For Capital Adequacy Purposes (as a percent)	4.00%	4.00%
To Be Well Capitalized (as a percent)	5.00%	5.00%
Luzerne Bank
Common Equity Tier I Capital (to Risk-weighted Assets), Amount
Actual	$ 30,549
For Capital Adequacy Purposes	12,901
To Be Well Capitalized	$ 18,635
Common Equity Tier I Capital (to Risk-weighted Assets), Ratio
Actual (as a percent)	10.66%
For Capital Adequacy Purposes (as a percent)	4.50%
To Be Well Capitalized (as a percent)	6.50%
Total Capital (to Risk-weighted Assets), Amount
Actual	$ 33,274	$ 29,856
For Capital Adequacy Purposes	22,935	23,341
To Be Well Capitalized	$ 28,669	$ 29,176
Total Capital (to Risk-weighted Assets), Ratio
Actual (as a percent)	11.61%	10.23%
For Capital Adequacy Purposes (as a percent)	8.00%	8.00%
To Be Well Capitalized (as a percent)	10.00%	10.00%
Tier I Capital (to Risk-weighted Assets), Amount
Actual	$ 30,549	$ 27,886
For Capital Adequacy Purposes	17,201	11,670
To Be Well Capitalized	$ 22,935	$ 17,506
Tier I Capital (to Risk-weighted Assets), Ratio
Actual (as a percent)	10.66%	9.56%
For Capital Adequacy Purposes (as a percent)	6.00%	4.00%
To Be Well Capitalized (as a percent)	8.00%	6.00%
Tier I Capital (to Average Assets), Amount
Actual	$ 30,549	$ 27,886
For Capital Adequacy Purposes	13,725	13,032
To Be Well Capitalized	$ 17,157	$ 16,289
Tier I Capital (to Average Assets), Ratio
Actual (as a percent)	8.90%	8.56%
For Capital Adequacy Purposes (as a percent)	4.00%	4.00%
To Be Well Capitalized (as a percent)	5.00%	5.00%

REGULATORY RESTRICTIONS (Detail

REGULATORY RESTRICTIONS (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Pennsylvania Banking Code
REGULATORY RESTRICTIONS
Regulatory lending limit	$ 16,985,000
Jersey Shore State Bank
Cash and Due from Banks
Reserves required by the district Federal Reserve Bank included in cash and due from banks	0	$ 0
Jersey Shore State Bank | Pennsylvania Banking Code
REGULATORY RESTRICTIONS
Balance in the additional paid in capital account unavailable for dividends	11,657,000
Luzerne National Bank Corporation
Cash and Due from Banks
Reserves required by the district Federal Reserve Bank included in cash and due from banks	0	$ 0
Luzerne National Bank Corporation | Pennsylvania Banking Code
REGULATORY RESTRICTIONS
Balance in the additional paid in capital account unavailable for dividends	$ 42,214,000

FAIR VALUE MEASUREMENTS - Fair

FAIR VALUE MEASUREMENTS - Fair Value on a Recurring and Non-recurring Basis (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Fair Value Measurements
Investment securities available for sale, at fair value	$ 176,157	$ 232,213
Investment securities, trading	73	0
U.S. Government and agency securities
Fair Value Measurements
Investment securities available for sale, at fair value	3,549	3,841
Mortgage-backed securities
Fair Value Measurements
Investment securities available for sale, at fair value	10,009	12,697
Asset-backed securities
Fair Value Measurements
Investment securities available for sale, at fair value	1,940	2,492
State and political securities
Fair Value Measurements
Investment securities available for sale, at fair value	86,555	108,116
Other debt securities
Fair Value Measurements
Investment securities available for sale, at fair value	57,772	89,463
Financial institution equity securities
Fair Value Measurements
Investment securities available for sale, at fair value	11,483	9,915
Equity
Fair Value Measurements
Investment securities available for sale, at fair value	16,332	15,604
Investment securities, trading	73
Level 1
Fair Value Measurements
Investment securities available for sale, at fair value	16,332	15,604
Investment securities, trading	73
Level 2
Fair Value Measurements
Investment securities available for sale, at fair value	159,825	216,609
Recurring
Fair Value Measurements
Total assets	176,230	232,213
Recurring | U.S. Government and agency securities
Fair Value Measurements
Investment securities available for sale, at fair value	3,549	3,841
Recurring | Mortgage-backed securities
Fair Value Measurements
Investment securities available for sale, at fair value	10,009	12,697
Recurring | Asset-backed securities
Fair Value Measurements
Investment securities available for sale, at fair value	1,940	2,492
Recurring | State and political securities
Fair Value Measurements
Investment securities available for sale, at fair value	86,555	108,116
Recurring | Other debt securities
Fair Value Measurements
Investment securities available for sale, at fair value	57,772	89,463
Recurring | Financial institution equity securities
Fair Value Measurements
Investment securities available for sale, at fair value	11,483	9,915
Investment securities, trading	73
Recurring | Equity
Fair Value Measurements
Investment securities available for sale, at fair value	4,849	5,689
Recurring | Level 1
Fair Value Measurements
Total assets	16,405	15,604
Recurring | Level 1 | Financial institution equity securities
Fair Value Measurements
Investment securities available for sale, at fair value	11,483	9,915
Investment securities, trading	73
Recurring | Level 1 | Equity
Fair Value Measurements
Investment securities available for sale, at fair value	4,849	5,689
Recurring | Level 2
Fair Value Measurements
Total assets	159,825	216,609
Recurring | Level 2 | U.S. Government and agency securities
Fair Value Measurements
Investment securities available for sale, at fair value	3,549	3,841
Recurring | Level 2 | Mortgage-backed securities
Fair Value Measurements
Investment securities available for sale, at fair value	10,009	12,697
Recurring | Level 2 | Asset-backed securities
Fair Value Measurements
Investment securities available for sale, at fair value	1,940	2,492
Recurring | Level 2 | State and political securities
Fair Value Measurements
Investment securities available for sale, at fair value	86,555	108,116
Recurring | Level 2 | Other debt securities
Fair Value Measurements
Investment securities available for sale, at fair value	57,772	89,463
Non-recurring
Fair Value Measurements
Total assets	15,475	18,724
Non-recurring | Impaired loans
Fair Value Measurements
Total assets	13,779	15,483
Non-recurring | Other real estate owned
Fair Value Measurements
Total assets	1,696	3,241
Non-recurring | Level 3
Fair Value Measurements
Total assets	15,475	18,724
Non-recurring | Level 3 | Impaired loans
Fair Value Measurements
Total assets	13,779	15,483
Non-recurring | Level 3 | Other real estate owned
Fair Value Measurements
Total assets	$ 1,696	$ 3,241

FAIR VALUE MEASUREMENTS - List

FAIR VALUE MEASUREMENTS - List of Significant Unobservable Inputs (Details) - Non-recurring - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Fair Value	$ 15,475	$ 18,724
Impaired loans
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Fair Value	13,779	15,483
Other real estate owned
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Fair Value	1,696	3,241
Level 3
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Fair Value	15,475	18,724
Level 3 | Impaired loans
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Fair Value	$ 13,779	$ 15,483
Probability of default (as a percent)	0.00%	0.00%
Level 3 | Impaired loans | Discounted cash flow
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Fair Value	$ 5,696	$ 4,749
Level 3 | Impaired loans | Discounted cash flow | Minimum
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Temporary reduction in payment amount (as a percent)	0.00%	0.00%
Level 3 | Impaired loans | Discounted cash flow | Maximum
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Temporary reduction in payment amount (as a percent)	(70.00%)	(91.00%)
Level 3 | Impaired loans | Discounted cash flow | Weighted Average
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Temporary reduction in payment amount (as a percent)	(17.00%)	(12.00%)
Level 3 | Impaired loans | Appraisal of collateral
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Fair Value	$ 8,083	$ 10,734
Level 3 | Impaired loans | Appraisal of collateral | Minimum
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Appraisal adjustments (as a percent)	0.00%	0.00%
Level 3 | Impaired loans | Appraisal of collateral | Maximum
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Appraisal adjustments (as a percent)	(20.00%)	(20.00%)
Level 3 | Impaired loans | Appraisal of collateral | Weighted Average
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Appraisal adjustments (as a percent)	(15.00%)	(15.00%)
Level 3 | Other real estate owned
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Fair Value	$ 1,696	$ 3,241
Level 3 | Other real estate owned | Appraisal of collateral
Listing of significant unobservable inputs used in the fair value measurement process for items valued utilizing level III techniques
Fair Value	$ 1,696	$ 3,241

FAIR VALUE OF FINANCIAL INST110

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Investment securities
Investment securities available for sale, at fair value	$ 176,157	$ 232,213
Investment securities, trading	73	0
Bank-owned life insurance	26,667	25,959
Accrued interest receivable	3,686	3,912
Financial liabilities
Interest-bearing deposits	751,797	738,041
Noninterest-bearing deposits	280,083	243,378
Quoted Prices in Active Markets for Identical Assets (Level I)
Financial assets
Cash and cash equivalents	22,796	19,908
Investment securities
Investment securities available for sale, at fair value	16,332	15,604
Investment securities, trading	73
Loans held for sale	757	550
Bank-owned life insurance	26,667	25,959
Accrued interest receivable	3,686	3,912
Financial liabilities
Interest-bearing deposits	509,206	506,875
Noninterest-bearing deposits	280,083	243,378
Short-term borrowings	46,638	40,818
Accrued interest payable	426	381
Significant Other Observable Inputs (Level II)
Investment securities
Investment securities available for sale, at fair value	159,825	216,609
Significant Unobservable Inputs (Level III)
Investment securities
Loans, net	1,045,140	916,597
Financial liabilities
Interest-bearing deposits	220,479	215,849
Long-term borrowings	91,783	73,084
Carrying Value
Financial assets
Cash and cash equivalents	22,796	19,908
Investment securities
Investment securities available for sale, at fair value	176,157	232,213
Investment securities, trading	73
Loans held for sale	757	550
Loans, net	1,033,163	905,000
Bank-owned life insurance	26,667	25,959
Accrued interest receivable	3,686	3,912
Financial liabilities
Interest-bearing deposits	751,797	738,041
Noninterest-bearing deposits	280,083	243,378
Short-term borrowings	46,638	40,818
Long-term borrowings	91,025	71,176
Accrued interest payable	426	381
Fair Value
Financial assets
Cash and cash equivalents	22,796	19,908
Investment securities
Investment securities available for sale, at fair value	176,157	232,213
Investment securities, trading	73
Loans held for sale	757	550
Loans, net	1,045,140	916,597
Bank-owned life insurance	26,667	25,959
Accrued interest receivable	3,686	3,912
Financial liabilities
Interest-bearing deposits	729,685	722,724
Noninterest-bearing deposits	280,083	243,378
Short-term borrowings	46,638	40,818
Long-term borrowings	91,783	73,084
Accrued interest payable	$ 426	$ 381

PARENT COMPANY ONLY FINANCIA111

PARENT COMPANY ONLY FINANCIAL STATEMENTS - Condensed Balance Sheet (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Investment in subsidiaries:
Other assets	$ 6,695	$ 8,139
TOTAL ASSETS	1,320,057	1,245,011
LIABILITIES AND SHAREHOLDERS’ EQUITY:
Other liabilities	13,809	15,250
Shareholders’ equity	136,279	135,967	$ 127,815	$ 93,726
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	1,320,057	1,245,011
Penns Woods Bancorp, Inc
ASSETS:
Cash	263	1,299
Investment in subsidiaries:
Bank	127,126	125,524
Non-bank	8,332	8,900
Other assets	705	380
TOTAL ASSETS	136,426	136,103
LIABILITIES AND SHAREHOLDERS’ EQUITY:
Other liabilities	147	136
Shareholders’ equity	136,279	135,967
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$ 136,426	$ 136,103

PARENT COMPANY ONLY FINANCIA112

PARENT COMPANY ONLY FINANCIAL STATEMENTS - Condensed Income Statement (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Operating income:
Security gains	$ 894	$ 493	$ 522	$ 661	$ 490	$ 2,145	$ 487	$ 393
NET INCOME	$ 3,746	$ 3,364	$ 3,433	$ 3,355	$ 2,883	$ 4,793	$ 3,463	$ 3,469	$ 13,898	$ 14,608	$ 14,084
Comprehensive income									11,766	17,835	3,833
Penns Woods Bancorp, Inc
Operating income:
Dividends from subsidiaries									11,367	10,080	14,836
Security gains									0	3	0
Equity in undistributed earnings of subsidiaries									3,167	5,261	346
Operating expenses									(636)	(736)	(1,098)
NET INCOME									13,898	14,608	14,084
Comprehensive income									$ 11,766	$ 17,835	$ 3,833

PARENT COMPANY ONLY FINANCIA113

PARENT COMPANY ONLY FINANCIAL STATEMENTS - Condensed Cash Flows (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
OPERATING ACTIVITIES:
Net income	$ 3,746	$ 3,364	$ 3,433	$ 3,355	$ 2,883	$ 4,793	$ 3,463	$ 3,469	$ 13,898	$ 14,608	$ 14,084
Adjustments to reconcile net income to net cash provided by operating activities:
Other, net									(1,630)	423	61
Net cash provided by operating activities									15,735	18,738	17,327
INVESTING ACTIVITIES:
Outlays for business acquisitions									0	0	17,487
FINANCING ACTIVITIES:
Dividends paid									(8,967)	(9,055)	(9,560)
Issuance of common stock									116	119	80
Purchase of treasury stock									(2,603)	(747)	0
Net cash provided by financing activities									64,676	12,810	30,210
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS									2,888	(4,698)	9,464
CASH AND CASH EQUIVALENTS, BEGINNING				19,908				24,606	19,908	24,606	15,142
CASH AND CASH EQUIVALENTS, ENDING	22,796				19,908				22,796	19,908	24,606
Penns Woods Bancorp, Inc
OPERATING ACTIVITIES:
Net income									13,898	14,608	14,084
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed earnings of subsidiaries									(3,167)	(5,261)	(346)
Other, net									(313)	(50)	97
Net cash provided by operating activities									10,418	9,297	13,835
INVESTING ACTIVITIES:
Outlays for business acquisitions									0	0	(2,876)
FINANCING ACTIVITIES:
Dividends paid									(8,967)	(9,055)	(9,560)
Issuance of common stock									116	118	80
Purchase of treasury stock									(2,603)	(747)	0
Net cash provided by financing activities									(11,454)	(9,684)	(9,480)
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS									(1,036)	(387)	1,479
CASH AND CASH EQUIVALENTS, BEGINNING				$ 1,299				$ 1,686	1,299	1,686	207
CASH AND CASH EQUIVALENTS, ENDING	$ 263				$ 1,299				$ 263	$ 1,299	$ 1,686

CONSOLIDATED QUARTERLY FINAN114

CONSOLIDATED QUARTERLY FINANCIAL DATA (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Quarterly Financial Information Disclosure [Abstract]
Interest income	$ 11,675	$ 11,523	$ 11,529	$ 11,397	$ 11,460	$ 11,460	$ 11,357	$ 11,329
Interest expense	1,337	1,289	1,307	1,286	1,252	1,242	1,226	1,242	$ 5,219	$ 4,962	$ 5,264
NET INTEREST INCOME	10,338	10,234	10,222	10,111	10,208	10,218	10,131	10,087	40,905	40,644	38,035
Provision for loan losses	480	520	600	700	1,605	460	300	485	2,300	2,850	2,275
Non-interest income, excluding securities gains	2,417	2,644	2,535	2,599	2,954	2,779	2,442	2,818	12,765	14,508	12,042
Security gains	894	493	522	661	490	2,145	487	393
Non-interest expense	8,317	8,530	8,421	8,468	8,512	8,313	8,422	8,643	33,736	33,890	30,267
INCOME BEFORE INCOME TAX PROVISION	4,852	4,321	4,258	4,203	3,535	6,369	4,338	4,170	17,634	18,412	17,535
Income tax provision	1,106	957	825	848	652	1,576	875	701	3,736	3,804	3,451
NET INCOME	$ 3,746	$ 3,364	$ 3,433	$ 3,355	$ 2,883	$ 4,793	$ 3,463	$ 3,469	$ 13,898	$ 14,608	$ 14,084
Earnings per share - basic and diluted (in dollars per share)	$ 0.79	$ 0.71	$ 0.72	$ 0.70	$ 0.60	$ 0.99	$ 0.72	$ 0.72	$ 2.91	$ 3.03	$ 3.19

ACQUISITION OF LUZERNE NATIO115

ACQUISITION OF LUZERNE NATIONAL BANK CORPORATION (Details) $ / shares in Units, $ in Thousands	Jun. 01, 2013USD ($)loan_officebranch_office$ / sharesshares	Dec. 31, 2015USD ($)shares	Dec. 31, 2014USD ($)
Acquisition of Luzerne National Bank Corporation
Purchased credit-impaired loans		$ 15,883	$ 17,576
Loan portfolio without evidence of deterioration		1,033,163	905,000
Adjustments to reflect liabilities acquired at fair value:
Goodwill resulting from merger		$ 17,104	$ 17,104
Luzerne National Bank Corporation
Acquisition of Luzerne National Bank Corporation
Number of branch offices acquired | branch_office	8
Number of loan production offices acquired | loan_office	1
Percentage of the total shares outstanding, issued		20.62%
Purchased credit-impaired loans	$ 1,211
Non-accretable difference on purchased credit-impaired loans	842
Loan portfolio without evidence of deterioration	249,789
Loan portfolio without evidence of deterioration at fair value	$ 249,500
Purchase Price Consideration in Common Stock
Luzerne National Bank Corporation common shares settled for stock (in shares) | shares	630,216
Exchange Ratio	1.5534
Penns Woods Bancorp, Inc. shares issued (in shares) | shares	978,977	978,977
Value assigned to Penns Woods Bancorp, Inc. common share (in dollars per share) | $ / shares	$ 40.59
Purchase price assigned to Luzerne National Bank Corporation common shares exchanged for Penns Woods Bancorp, Inc.	$ 39,736
Purchase Price Consideration - Cash for Common Stock
Luzerne National Bank Corporation shares exchanged for cash (in shares) | shares	46,480
Purchase price paid to each Luzerne National Bank Corporation common share exchanged for cash (in dollars per share) | $ / shares	$ 61.86
Purchase price assigned to Luzerne National Bank Corporation common shares exchanged for cash	$ 2,876
Purchase price	42,612
Net Assets Acquired:
Luzerne National Bank Corporation shareholders’ equity	27,371
Adjustments to reflect assets acquired at fair value:
Investments	33
Loans
Interest rate	2,680
General credit	(3,206)
Specific credit - non-amortizing	(58)
Specific credit - amortizing	(40)
Core deposit intangible	1,882
Trade name intangible	133
Owned premises	1,138
Leased premises contracts	122
Deferred tax assets	(603)
Adjustments to reflect liabilities acquired at fair value:
Time deposits	(912)
Net assets acquired	28,540
Goodwill resulting from merger	$ 14,072