Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2016 | Aug. 01, 2016 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | BAR HARBOR BANKSHARES | |
Entity Central Index Key | 743,367 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 6,032,894 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Assets | ||
Cash and cash equivalents | $ 25,867 | $ 9,720 |
Securities available for sale, at fair value | 532,590 | 504,969 |
Federal Home Loan Bank stock | 26,713 | 21,479 |
Loans | 1,049,022 | 990,070 |
Allowance for loan losses | (9,891) | (9,439) |
Loans, net of allowance for loan losses | 1,039,131 | 980,631 |
Premises and equipment, net | 22,951 | 20,674 |
Goodwill | 4,935 | 4,935 |
Bank owned life insurance | 24,131 | 23,747 |
Other assets | 11,231 | 13,900 |
TOTAL ASSETS | 1,687,549 | 1,580,055 |
Liabilities | ||
Demand and other non-interest bearing deposits | 84,123 | 86,577 |
NOW accounts | 159,015 | 160,394 |
Savings and money market deposits | 289,820 | 299,087 |
Time deposits | 456,858 | 396,729 |
Total deposits | 989,816 | 942,787 |
Short-term borrowings | 345,478 | 333,909 |
Long-term advances from Federal Home Loan Bank | 174,624 | 135,882 |
Junior subordinated debentures | 5,000 | 5,000 |
Other liabilities | 7,400 | 8,325 |
TOTAL LIABILITIES | 1,522,318 | 1,425,903 |
Shareholders' equity | ||
Capital stock, par value $2.00; authorized 20,000,000 and 10,000,000 shares; issued 6,788,407 shares at June 30, 2016 and December 31, 2015, respectively | 13,577 | 13,577 |
Surplus | 22,249 | 21,624 |
Retained earnings | 127,672 | 122,260 |
Accumulated other comprehensive income: | ||
Prior service cost and unamortized net actuarial losses on employee benefit plans, net of tax of ($222) and ($249), at June 30, 2016 and December 31, 2015, respectively | (412) | (463) |
Net unrealized appreciation on securities available for sale, net of tax of $$6,020 and $2,828, at June 30, 2016 and December 31, 2015, respectively | 11,180 | 5,251 |
Portion of OTTI attributable to non-credit gains, net of tax of $73 and $249, at June 30, 2016 and December 31, 2015, respectively | 135 | 462 |
Net unrealized depreciation on derivative instruments, net of tax of ($1,299) and ($873), at June 30, 2016 and December 31, 2015, respectively | (2,412) | (1,621) |
Total accumulated other comprehensive income | 8,491 | 3,629 |
Less: cost of 758,722 and 778,196 shares of treasury stock at June 30, 2016 and December 31, 2015, respectively | (6,758) | (6,938) |
TOTAL SHAREHOLDERS' EQUITY | 165,231 | 154,152 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 1,687,549 | $ 1,580,055 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Consolidated Balance Sheets [Abstract] | ||
Capital stock, par value | $ 2 | $ 2 |
Capital stock, shares authorized | 20,000,000 | 10,000,000 |
Capital stock, shares issued | 6,788,407 | 6,788,407 |
Prior service cost and unamortized net actuarial losses on employee benefit plans, tax | $ (222) | $ (249) |
Net unrealized appreciation on securities available for sale, tax | 6,020 | 2,828 |
Portion of OTTI attributable to non-credit gains, tax | 73 | 249 |
Net unrealized depreciation on derivative instruments, tax | $ (1,299) | $ (873) |
Treasury stock, shares | 758,722 | 778,196 |
Consolidated Statements Of Inco
Consolidated Statements Of Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Interest and dividend income: | ||||
Interest and fees on loans | $ 10,249 | $ 9,645 | $ 20,332 | $ 19,322 |
Interest on securities | 3,900 | 3,732 | 7,805 | 7,494 |
Dividend on FHLB stock | 205 | 95 | 381 | 189 |
Total interest and dividend income | 14,354 | 13,472 | 28,518 | 27,005 |
Interest expense: | ||||
Deposits | 1,599 | 1,460 | 3,176 | 2,913 |
Short-term borrowings | 532 | 253 | 982 | 492 |
Long-term debt | 841 | 873 | 1,642 | 1,716 |
Total interest expense | 2,972 | 2,586 | 5,800 | 5,121 |
Net interest income | 11,382 | 10,886 | 22,718 | 21,884 |
Provision for loan losses | 150 | 400 | 615 | 895 |
Net interest income after provision for loan losses | 11,232 | 10,486 | 22,103 | 20,989 |
Non-interest income: | ||||
Trust and other financial services | 955 | 985 | 1,903 | 1,930 |
Service charges on deposit accounts | 252 | 255 | 463 | 453 |
Debit card income | 430 | 402 | 830 | 768 |
Net securities gains | 1,699 | 587 | 3,135 | 1,206 |
Other operating income | 278 | 274 | 611 | 488 |
Total non-interest income | 3,614 | 2,503 | 6,942 | 4,845 |
Non-interest expense: | ||||
Salaries and employee benefits | 4,799 | 4,269 | 9,816 | 8,621 |
Occupancy expense | 594 | 567 | 1,163 | 1,147 |
Furniture and equipment expense | 558 | 580 | 1,147 | 1,145 |
Debit card expenses | 120 | 112 | 237 | 208 |
FDIC insurance assessments | 218 | 210 | 435 | 411 |
Other operating expense | 2,442 | 1,863 | 3,930 | 3,402 |
Total non-interest expense | 8,731 | 7,601 | 16,728 | 14,934 |
Income before income taxes | 6,115 | 5,388 | 12,317 | 10,900 |
Income taxes | 1,804 | 1,515 | 3,600 | 3,146 |
Net income | $ 4,311 | $ 3,873 | $ 8,717 | $ 7,754 |
Per Common Share Data: | ||||
Basic earnings per share | $ 0.72 | $ 0.65 | $ 1.45 | $ 1.30 |
Diluted earnings per share | $ 0.71 | $ 0.64 | $ 1.43 | $ 1.28 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Consolidated Statements Of Comprehensive Income [Abstract] | ||||
Net income | $ 4,311 | $ 3,873 | $ 8,717 | $ 7,754 |
Other comprehensive income: | ||||
Net unrealized appreciation (depreciation) on securities available for sale, net of tax | 2,854 | (4,288) | 7,640 | (2,414) |
Less reclassification adjustment for net gains related to securities available for sale included in net income, net of tax | (1,105) | (382) | (2,038) | (784) |
Net unrealized (depreciation) appreciation on interest rate derivatives, net of tax | (327) | 227 | (791) | (162) |
Net amortization of prior service cost and actuarial loss for supplemental executive retirement plan, net of related tax | 4 | 6 | 9 | 13 |
Actuarial gains on supplemental executive retirement plan, net of related tax | 42 | |||
Total other comprehensive income (loss) | 1,426 | (4,437) | 4,862 | (3,347) |
Total comprehensive income (loss) | $ 5,737 | $ (564) | $ 13,579 | $ 4,407 |
Consolidated Statements Of Com6
Consolidated Statements Of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Consolidated Statements Of Comprehensive Income [Abstract] | ||||
Net unrealized appreciation (depreciation) on securities available for sale, tax | $ 1,537 | $ (2,308) | $ 4,114 | $ (1,299) |
Reclassification adjustment for net gains related to securities available for sale included in net income, tax | (595) | (205) | (1,098) | (422) |
Net unrealized (depreciation) appreciation on interest rate derivatives, tax | (176) | 122 | (426) | (87) |
Net amortization of prior service cost and actuarial loss for supplemental executive retirement plan, tax | 2 | 3 | 5 | 5 |
Actuarial gains on supplemental executive retirement plan, tax | $ 0 | $ 0 | $ 23 | $ 0 |
Consolidated Statements Of Chan
Consolidated Statements Of Changes In Shareholders' Equity - USD ($) $ in Thousands | Capital Stock [Member] | Surplus [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] | Total |
Balance at Dec. 31, 2014 | $ 13,577 | $ 20,905 | $ 113,149 | $ 6,691 | $ (8,035) | $ 146,287 |
Net income | 7,754 | 7,754 | ||||
Total other comprehensive (loss) income | (3,347) | (3,347) | ||||
Dividend declared: | ||||||
Common stock | (2,952) | (2,952) | ||||
Purchase of Treasury Stock | (8) | (8) | ||||
Stock options exercised, including related tax effects | 99 | (1) | 633 | 731 | ||
Recognition of stock based compensation expense | 191 | 191 | ||||
Restricted stock grants | (64) | 64 | ||||
Balance at Jun. 30, 2015 | 13,577 | 21,131 | 117,950 | 3,344 | (7,346) | 148,656 |
Balance at Dec. 31, 2015 | 13,577 | 21,624 | 122,260 | 3,629 | (6,938) | 154,152 |
Net income | 8,717 | 8,717 | ||||
Total other comprehensive (loss) income | 4,862 | 4,862 | ||||
Dividend declared: | ||||||
Common stock | (3,219) | (3,219) | ||||
Purchase of Treasury Stock | (481) | (481) | ||||
Stock options exercised, including related tax effects | 92 | (86) | 349 | 355 | ||
Recognition of stock based compensation expense | 845 | 845 | ||||
Restricted stock grants | (312) | 312 | ||||
Balance at Jun. 30, 2016 | $ 13,577 | $ 22,249 | $ 127,672 | $ 8,491 | $ (6,758) | $ 165,231 |
Consolidated Statements Of Cha8
Consolidated Statements Of Changes In Shareholders' Equity (Parenthetical) - $ / shares | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Consolidated Statements Of Changes In Shareholders' Equity [Abstract] | ||
Common stock dividends, per share | $ 0.27 | $ 0.495 |
Purchase of Treasury Stock, shares | 14,950 | 221 |
Stock options exercised, shares | 14,804 | 35,312 |
Restricted stock grants, shares | 19,620 | 3,540 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Cash flows from operating activities: | ||
Net income | $ 8,717 | $ 7,754 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization of premises and equipment | 788 | 861 |
Amortization of core deposit intangible | 46 | 46 |
Provision for loan losses | 615 | 895 |
Net securities gains | (3,135) | (1,206) |
Net amortization of bond premiums and discounts | 1,273 | 1,302 |
Recognition of stock based compensation expense | 845 | 191 |
Gains on sale of other real estate owned | (64) | |
Net income from bank owned life insurance | (384) | (270) |
Net change in other assets | (1,133) | (30,306) |
Net change in other liabilities | (925) | (891) |
Net cash provided by (used in) operating activities | 6,707 | (21,688) |
Cash flows from investing activities: | ||
Purchases of securities available for sale | (110,269) | (89,314) |
Proceeds from maturities, calls and principal paydowns of mortgage-backed securities | 48,472 | 54,257 |
Proceeds from sales of securities available for sale | 44,656 | 20,428 |
Purchases of Bank Owned Life Insurance | 15,000 | |
Net increase in Federal Home Loan Bank stock | (5,234) | (2,239) |
Net increase in total loans originated | (9,319) | (42,550) |
Purchases of loans | (49,796) | (22,435) |
Proceeds from sale of other real estate owned | 110 | |
Capital expenditures | (3,065) | (1,313) |
Net cash used in investing activities | (84,555) | (68,056) |
Cash flows from financing activities: | ||
Net increase in deposits | 47,029 | 32,067 |
Net (decrease) increase in securities sold under repurchase agreements and fed funds purchased | (6,431) | 11,654 |
Proceeds from Federal Home Loan Bank advances | 63,750 | 66,493 |
Repayments of Federal Home Loan Bank advances | (7,008) | (11,003) |
Purchases of Treasury Stock | (481) | (8) |
Proceeds from stock option exercises, including excess tax benefits | 355 | 731 |
Payments of dividends | (3,219) | (2,952) |
Net cash provided by financing activities | 93,995 | 96,982 |
Net increase in cash and cash equivalents | 16,147 | 7,238 |
Cash and cash equivalents at beginning of period | 9,720 | 9,800 |
Cash and cash equivalents at end of period | 25,867 | 17,038 |
Supplemental disclosures of cash flow information: | ||
Interest | 5,766 | 5,146 |
Income taxes | 3,926 | 2,495 |
Schedule of noncash investing activities: | ||
Transfers from loans to other real estate owned | ||
Restricted stock grants | $ 312 | $ 64 |
Basis Of Presentation
Basis Of Presentation | 6 Months Ended |
Jun. 30, 2016 | |
Basis Of Presentation [Abstract] | |
Basis Of Presentation | Note 1: Basis of Presentation The accompanying consolidated interim financial statements are unaudited. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. All inter-company transactions have been eliminated in consolidation. Amounts in the prior period financial statements are reclassified whenever necessary to conform to current period presentation. The net income reported for the three and six months ended June 30, 2016, is not necessarily indicative of the results that may be expected for the year ending December 31, 2016, or any other interim periods. The consolidated balance sheet at December 31, 2015, has been derived from audited consolidated financial statements at that date. The accompanying unaudited interim consolidated financial statements have been prepared in accordance with United States ("U.S.") generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X (17 CFR Part 210). Accordingly, they do not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. For further information, please refer to the consolidated financial statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2015, and notes thereto. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 2: Subsequent Event On July 19, 2016 27.5 2.0 7.8 August 15, 2016 September 15, 2016 twenty |
Merger And Acquisition Activity
Merger And Acquisition Activity | 6 Months Ended |
Jun. 30, 2016 | |
Merger And Acquisition Activity [Abstract] | |
Merger And Acquisition Activity | Note 3: Merger and Acquisition Activity On May 5, 2016 143 At closing, the combined institution is expected to have approximately $ 3.3 2.4 2.2 2.0 350 49 Included in the Company's second quarter and year-to-date non-interest expense was $ 492 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Note 4: Recent Accounting Pronouncements ASU 2015-01, "Income Statement - Extraordinary and Unusual Items (Subtopic 225-20) – Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items." ASU 2015-01 eliminates from U.S. GAAP the concept of extraordinary items, which, among other things, required an entity to segregate extraordinary items considered to be unusual and infrequent from the results of ordinary operations and show the item separately in the income statement, net of tax, after income from continuing operations. ASU 2015-01 became effective for us on January 1, 2016 and did not have a significant impact on the Company's financial statements. ASU 2015-16, "Business Combinations (Topic 805) – Simplifying the Accounting for Measurement-Period Adjustments." ASU 2015-16 requires that adjustments to provisional amounts that are identified during the measurement period of a business combination be recognized in the reporting period in which the adjustment amounts are determined. Furthermore, the income statement effects of such adjustments, if any, must be calculated as if the accounting had been completed at the acquisition date. Any amounts that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date should be recorded in current-period earnings. Under previous guidance, adjustments to provisional amounts identified during the measurement period were to be recognized retrospectively. ASU 2015-16 became effective for us on January 1, 2016 and did not have a significant impact on the Company's financial statements. ASU 2016-01 "Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities ," which updates certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The new guidance requires equity investments to be measured at fair value with changes in fair value recognized in net income, excluding equity investments that are consolidated or accounted for under the equity method of accounting. The new guidance allows equity investments without readily determinable fair values to be measured at cost minus impairment, with a qualitative assessment required to identify impairment. The new guidance also requires public companies to use exit prices to measure the fair value of financial instruments, eliminates the disclosure requirements related to measurement assumptions for the fair value of instruments measured at amortized cost and requires separate presentation of financial assets and liabilities based on form and measurement category. In addition, for liabilities measured at fair value under the fair value option, the changes in fair value due to changes in instrument-specific credit risk should be recognized in OCI. This guidance is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years. The Company is currently evaluating this guidance to determine the impact on its consolidated financial statements. ASU 2016-02, Leases (Topic 842) . The guidance in this ASU supersedes the leasing guidance in Topic 840, Leases . Under the new guidance, lessees are required to recognize lease assets and lease liabilities on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The Company is currently evaluating this guidance to determine the impact on its consolidated financial statements. ASU 2016-05"Derivatives and Hedging (Topic 815) Effect of Derivative Contract Novations on Existing Hedge Accounting Relationships." ASU 2016-05 clarifies that a change in the counterparty to a derivative instrument that has been designated as the hedging instrument under ASC Topic 815 does not, in and of itself, require dedesignation of that hedging relationship provided that all other hedge accounting criteria continue to be met. ASU 2016-05 will be effective for us on January 1, 2017 and is not expected to have a significant impact on the Company's our financial statements. ASU 2016-07, "Investments - Equity Method and Joint Ventures (Topic 323): Simplifying the Transition to the Equity Method of Accounting." The amendments affect all entities that have an investment that becomes qualified for the equity method of accounting as a result of an increase in the level of ownership interest or degree of influence. ASU 2016-07 simplifies the transition to the equity method of accounting by eliminating retroactive adjustment of the investment when an investment qualifies for use of the equity method, among other things. ASU 2016-07 will be effective for the Company on January 1, 2017 and is not expected to have a significant impact on our financial statements. ASU 2016-09, "Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting." Under ASU 2016-09 all excess tax benefits and tax deficiencies related to share-based payment awards should be recognized as income tax expense or benefit in the income statement during the period in which they occur. Previously, such amounts were recorded in the pool of excess tax benefits included in additional paid-in capital, if such pool was available. Because excess tax benefits are no longer recognized in additional paid-in capital, the assumed proceeds from applying the treasury stock method when computing earnings per share should exclude the amount of excess tax benefits that would have previously been recognized in additional paid-in capital. Additionally, excess tax benefits should be classified along with other income tax cash flows as an operating activity rather than a financing activity, as was previously the case. ASU 2016-09 also provides that an entity can make an entity-wide accounting policy election to either estimate the number of awards that are expected to vest (current GAAP) or account for forfeitures when they occur. ASU 2016-09 changes the threshold to qualify for equity classification (rather than as a liability) to permit withholding up to the maximum statutory tax rates (rather than the minimum as was previously the case) in the applicable jurisdictions. ASU 2016-09 will be effective on January 1, 2017 and is not expected to have a significant impact on the Company's financial statements. ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . ASU 2016-13, was issued to provide financial statement users with information about expected credit losses on financial instruments and other commitments to extend credit rather than the current "incurred loss" model. For public business entities, the new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is currently evaluating this guidance to determine the impact on its consolidated financial statements. |
Management's Use Of Estimates
Management's Use Of Estimates | 6 Months Ended |
Jun. 30, 2016 | |
Management's Use Of Estimates [Abstract] | |
Management's Use Of Estimates | Note 5: Management's Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near-term relate to the determination of the allowance for loan losses, other-than-temporary impairments on securities, income tax estimates, and the valuation of intangible assets Allowance for Loan Losses: The allowance for loan losses (the "allowance") is a significant accounting estimate used in the preparation of the Company's consolidated financial statements. The allowance is available to absorb losses inherent in the current loan portfolio and is maintained at a level that, in management's judgment, is appropriate for the amount of risk inherent in the loan portfolio, given past and present conditions. The allowance is increased by provisions charged to operating expense and by recoveries on loans previously charged off, and is decreased by loans charged off as uncollectible. Arriving at an appropriate level of allowance for loan losses involves a high degree of judgment. The determination of the adequacy of the allowance and provisioning for estimated losses is evaluated regularly based on review of loans, with particular emphasis on non-performing and other loans that management believes warrant special consideration. The ongoing evaluation process includes a formal analysis, which considers among other factors: the character and size of the loan portfolio, business and economic conditions, real estate market conditions, collateral values, changes in product offerings or loan terms, changes in underwriting and/or collection policies, loan growth, previous charge-off experience, delinquency trends, non-performing loan trends, the performance of individual loans in relation to contract terms, and estimated fair values of collateral. The allowance for loan losses consists of allowances established for specific loans including impaired loans; allowances for pools of loans based on historical charge-offs by loan types; and supplemental allowances that adjust historical loss experience to reflect current economic conditions, industry specific risks, and other observable data. While management uses available information to recognize losses on loans, changing economic conditions and the economic prospects of the borrowers may necessitate future additions or reductions to the allowance. In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Bank's allowance, which also may necessitate future additions or reductions to the allowance, based on information available to them at the time of their examination. Other-Than-Temporary Impairments on Investment Securities : One of the significant estimates relating to securities is the evaluation of other-than-temporary impairment ("OTTI"). If a decline in the fair value of a security is judged to be other-than-temporary, and management does not intend to sell the security and believes it is more-likely-than-not the Company will not be required to sell the security prior to recovery of cost or amortized cost, the portion of the total impairment attributable to the credit loss is recognized in earnings, and the remaining difference between the security's amortized cost basis and its fair value is included in other comprehensive income. For impaired available for sale debt securities that management intends to sell, or where management believes it is more-likely-than-not that the Company will be required to sell, an OTTI charge is recognized in earnings equal to the difference between fair value and cost or amortized cost basis of the security. The fair value of the OTTI security becomes its new cost basis. The evaluation of securities for impairments is a quantitative and qualitative process, which is subject to risks and uncertainties and is intended to determine whether declines in the fair value of securities should be recognized in current period earnings. The risks and uncertainties include changes in general economic conditions, the issuer's financial condition and/or future prospects, the effects of changes in interest rates or credit spreads and the expected recovery period of unrealized losses. The Company has a security monitoring process that identifies securities that, due to certain characteristics, as described below, are subjected to an enhanced analysis on a quarterly basis. Securities that are in an unrealized loss position are reviewed at least quarterly to determine if an OTTI is present based on certain quantitative and qualitative factors and measures. The primary factors considered in evaluating whether a decline in value of securities is other-than-temporary include: (a) the cause of the impairment; (b) the financial condition, credit rating and future prospects of the issuer; (c) whether the underlying debtor is current on contractually obligated interest and principal payments In addition, for securitized financial assets with contractual cash flows, such as private label mortgage-backed securities ("MBS"), the Company periodically updates its best estimate of cash flows over the life of the security. The Company's best estimate of cash flows is based upon assumptions consistent with the current economic environment, similar to those the Company believes market participants would use. Estimating future cash flows is a quantitative and qualitative process that incorporates information received from third party sources along with certain assumptions and judgments regarding the future performance of the underlying collateral. In addition, projections of expected future cash flows may change based upon new information regarding the performance of the underlying collateral. Income Taxes: The Company uses the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. If current available information indicates that it is more-likely-than-not that deferred tax assets will not be realized, a valuation allowance is established. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Significant management judgment is required in determining income tax expense and deferred tax assets and liabilities. As of June 30, 2016 and December 31, 2015, there was no Goodwill and Identifiable Intangible Assets: In connection with acquisitions, the Company generally records as assets on its consolidated financial statements both goodwill and identifiable intangible assets, such as core deposit intangibles. The Company evaluates whether the carrying value of its goodwill has become impaired, in which case the value is reduced through a charge to its earnings. Goodwill is evaluated for impairment at least annually, or upon a triggering event using certain fair value techniques. Goodwill impairment testing is performed at the segment (or "reporting unit") level. Goodwill is assigned to reporting units at the date the goodwill is initially recorded. Once goodwill has been assigned to the reporting units, it no longer retains its association with a particular acquisition, and all of the activities within a reporting unit, whether acquired or organically grown, are available to support the value of the goodwill. Goodwill represents the excess of the purchase price over the fair value of net assets acquired in accordance with the purchase method of accounting for business combinations. Goodwill is not amortized but, instead, is subject to impairment tests on at least an annual basis or more frequently if an event occurs or circumstances change that reduce the fair value of a reporting unit below its carrying amount. The Company completes its annual goodwill impairment test as of December 31 of each year. The impairment testing process is conducted by assigning assets and goodwill to each reporting unit. Currently, the Company's goodwill is evaluated at the entity level as there is only one reporting unit. The Company first assesses certain qualitative factors to determine if it is more-likely-than-not that the fair value of the reporting unit is less than its carrying value. If it is more-likely-than-not that the fair value of the reporting unit is less than the carrying value, then the fair value of each reporting unit is compared to the recorded book value ("step one"). If the fair value of the reporting unit exceeds its carrying value, goodwill is not considered impaired and "step two" is not considered necessary. If the carrying value of a reporting unit exceeds its fair value, the impairment test continues ("step two") by comparing the carrying value of the reporting unit's goodwill to the implied fair value of goodwill. The implied fair value is computed by adjusting all assets and liabilities of the reporting unit to current fair value with the offset adjustment to goodwill. The adjusted goodwill balance is the implied fair value of the goodwill. An impairment charge is recognized if the carrying fair value of goodwill exceeds the implied fair value of goodwill. At December 31, 2015, there was no indication of impairment that led the Company to believe it needed to perform a two-step test. Any changes in the estimates used by the Company to determine the carrying value of its goodwill, or which otherwise adversely affect their value or estimated lives, would adversely affect the Company's consolidated results of operations. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 6: Earnings Per Share Basic earnings per share excludes dilution and is computed by dividing income available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company, such as the Company's dilutive stock options and awards. The following is a reconciliation of basic and diluted earnings per share for the three and six months ended June 30, 2016, and 2015: Three Months Ended Six Months Ended June 30, June 30, 2016 2015 2016 2015 Net income $ 4,311 $ 3,873 $ 8,717 $ 7,754 Weighted average common shares outstanding Basic 6,021,316 5,973,758 6,015,257 5,963,704 Effect of dilutive employee stock options 64,985 90,655 68,110 86,418 Diluted 6,086,301 6,064,413 6,083,367 6,050,122 Anti-dilutive options excluded from earnings per share calculation 75,763 10,950 80,263 11,197 Per Common Share Data: Basic earnings per share $ 0.72 $ 0.65 $ 1.45 $ 1.30 Diluted earnings per share $ 0.71 $ 0.64 $ 1.43 $ 1.28 |
Securities Available For Sale
Securities Available For Sale | 6 Months Ended |
Jun. 30, 2016 | |
Securities Available For Sale [Abstract] | |
Securities Available For Sale | Not The following tables summarize the securities available for sale portfolio as of June 30, 2016, and December 31, 2015: June 30, 2016 Gross Gross Amortized Unrealized Unrealized Estimated Available for Sale: Cost Gains Losses Fair Value Mortgage-backed securities: US Government-sponsored enterprises $ 323,684 $ 9,693 $ 397 $ 332,980 US Government agency 80,472 1,993 97 82,368 Private label 1,128 218 19 1,327 Obligations of states and political subdivisions thereof 109,898 6,108 91 115,915 Total $ 515,182 $ 18,012 $ 604 $ 532,590 December 31, 2015 Gross Gross Amortized Unrealized Unrealized Estimated Available for Sale: Cost Gains Losses Fair Value Mortgage-backed securities: US Government-sponsored enterprises $ 304,106 $ 5,042 $ 2,155 $ 306,993 US Government agency 78,408 1,269 547 79,130 Private label 2,713 762 11 3,464 Obligations of states and political subdivisions thereof 110,952 4,758 328 115,382 Total $ 496,179 $ 11,831 $ 3,041 $ 504,969 Securities Maturity Distribution: The following table summarizes the maturity distribution of the amortized cost and estimated fair value of securities available for sale as of June 30, 2016. Actual maturities may differ from the final maturities noted below because issuers may have the right to prepay or call certain securities. In the case of MBS, actual maturities may also differ from expected maturities due to the amortizing nature of the underlying mortgage collateral, and the fact that borrowers have the right to prepay. Amortized Estimated Securities Available for Sale Cost Fair Value Due one year or less $ 167 $ 168 Due after one year through five years 5,592 5,732 Due after five years through ten years 13,889 14,762 Due after ten years 495,534 511,928 Total $ 515,182 $ 532,590 Securities Impairment: As a part of the Company's ongoing security monitoring process, the Company identifies securities in an unrealized loss position that could potentially be OTTI. For the three and six months ended June 30, 2016 and 2015, the Company did not have any OTTI losses recognized in earnings (before taxes). Upon initial impairment of a security, total OTTI losses represent the excess of the amortized cost over the fair value. For subsequent impairments of the same security, total OTTI losses represent additional credit losses and or declines in fair value subsequent to the previously recorded OTTI losses, if applicable. Unrealized OTTI losses recognized in accumulated other comprehensive income ("OCI") represent the non-credit component of OTTI losses on debt securities. Net impairment losses recognized in earnings represent the credit component of OTTI losses on debt securities. As of June 30, 2016, the Company held four 48 135 462 The OTTI losses previously recognized in earnings represented management's best estimate of credit losses inherent in the securities based on discounted, bond-specific future cash flow projections using assumptions about cash flows associated with the pools of mortgage loans underlying each security. In estimating those cash flows the Company takes a variety of factors into consideration including, but not limited to, loan level credit characteristics, current delinquency and non-performing loan rates, current levels of subordination and credit support, recent default rates and future constant default rate estimates, original and current loan to collateral value ratios, recent collateral loss severities and future collateral loss severity estimates, recent and historical conditional prepayment rates and future conditional prepayment rate assumptions, and other estimates of future collateral performance. Despite elevated levels of delinquencies, defaults and losses in the underlying residential mortgage loan collateral, given credit enhancements resulting from the structures of the individual securities, the Company expects that as of June 30, 2016, it will recover the amortized cost basis of its private label MBS as depicted in the continuously unrealized loss table below and has therefore concluded that such securities were not OTTI as of that date. Nevertheless, given recent market conditions, it is possible that adverse changes in repayment performance and fair value could occur in future periods that would change the Company's current best estimates. The following table displays the beginning balance of OTTI related to historical credit losses on debt securities held by the Company at the beginning of the current reporting period, as well as changes in credit losses recognized in pre-tax earnings for the three and six months ending June 30, 2016, and 2015. 2016 2015 Estimated credit losses as of March 31, $ 2,793 $ 3,413 Additions for credit losses for securities on which OTTI has been previously recognized -- -- Additions for credit losses for securities on which OTTI has not been previously recognized -- -- Reductions for securities sold or paid off during the period 1,096 233 Estimated credit losses as of June 30, $ 1,697 $ 3,180 Estimated credit losses as of prior year-end, $ 3,180 $ 3,413 Additions for credit losses for securities on which OTTI has been previously recognized -- -- Additions for credit losses for securities on which OTTI has not been previously recognized -- -- Reductions for securities sold or paid off during the period 1,483 233 Estimated credit losses as of June 30, $ 1,697 $ 3,180 As of June 30, 2016, based on a review of the remaining securities in the securities portfolio, the Company concluded that it expects to recover its amortized cost basis for such securities. This conclusion was based on the issuers' continued satisfaction of the securities obligations in accordance with their contractual terms and the expectation that they will continue to do so through the maturity of the security, the expectation that the Company will receive the entire amount of future contractual cash flows, as well as the evaluation of the fundamentals of the issuers' financial condition and other objective evidence. Accordingly, the Company concluded that any declines in the values of those securities were temporary and that any additional OTTI charges were not appropriate at June 30, 2016. T he following table summarizes the fair value of securities with continuous unrealized losses for less than 12 months and those that have been in a continuous unrealized loss position for 12 months or longer as of June 30, 2016 and December 31, 2015. All securities referenced are debt securities. Less than 12 months 12 months or longer Total Estimated Estimated Estimated June 30, 2016 Fair Number of Unrealized Fair Number of Unrealized Fair Number of Unrealized Value Investments Losses Value Investments Losses Value Investments Losses Description of Securities: Mortgage-backed securities: US Government- sponsored enterprises $ 35,865 42 $ 224 $ 9,678 22 $ 173 $ 45,543 64 $ 397 US Government agency 7,619 11 27 4,920 16 70 12,539 27 97 Private label 198 2 10 159 5 9 357 7 19 Obligations of states and political subdivisions thereof 2,426 5 7 5,077 11 84 7,503 16 91 Total $ 46,108 60 $ 268 $ 19,834 54 $ 336 $ 65,942 114 $ 604 Less than 12 months 12 months or longer Total Estimated Estimated Estimated December 31, 2015 Fair Number of Unrealized Fair Number of Unrealized Fair Number of Unrealized Value Investments Losses Value Investments Losses Value Investments Losses Description of Securities: Mortgage-backed securities: US Government- sponsored enterprises $ 112,770 142 $ 1,342 $ 23,646 33 $ 813 $ 136,416 175 $ 2,155 US Government agency 20,201 30 326 11,232 22 221 31,433 52 547 Private label 235 2 2 178 5 9 413 7 11 Obligations of states and political subdivisions thereof 14,853 25 210 3,700 11 118 18,553 36 328 Total $ 148,059 199 $ 1,880 $ 38,756 71 $ 1,161 $ 186,815 270 $ 3,041 For securities with unrealized losses, the following information was considered in determining that the impairments were not other-than-temporary: Mortgage-backed securities issued by U.S. Government-sponsored enterprises : As of June 30, 2016, the total unrealized losses on these securities amounted to $ 397 2,155 at December 31, 2015. All of these securities were credit rated "AA+" by the agencies. Company management believes these securities have minimal credit risk, as these Government-sponsored enterprises play a vital role in the nation's financial markets. Management's analysis indicates that the unrealized losses at June 30, 2016 were attributed to changes in current market yields and pricing spreads for similar securities since the date the underlying securities were purchased, and does not consider these securities to be OTTI at June 30, 2016. Mortgage-backed securities issued by U.S. Government agencies: As of June 30, 2016, the total unrealized losses on these securities amounted to $ 97 547 December 31, 2015. All of these securities were credit rated "AA+" by the major credit rating agencies. Management's analysis indicates that these securities bear little or no credit risk because they are backed by the full faith and credit of the United States. The Company attributes the unrealized losses at June 30, 2016 to changes in current market yields and pricing spreads for similar securities since the date the underlying securities were purchased, and does not consider these securities to be OTTI at June 30, 2016. Private label mortgage-backed securities : As of June 30, 2016 , the total unrealized losses on the Bank's private label MBS amounted to $ 19 11 Company attributes the unrealized losses at June 30, 2016 to the current illiquid market for non-agency MBS, risk-related market pricing discounts for non-agency MBS and credit rating downgrades on certain private label MBS owned by the Company. Based upon the foregoing considerations and the expectation that the Company will receive all of the future contractual cash flows related to amortized cost on these securities, the Company does not consider there to be any additional OTTI with respect to these securities at June 30, 2016. Obligations of states of the U.S. and political subdivisions thereof : As of June 30, 2016 , the total unrealized losses on the Bank's municipal securities amounted to $ 91 $ 328 obligation bonds and to a lesser extent, revenue bonds. General obligation bonds carry less risk, as they are supported by the full faith, credit and taxing authority of the issuing government and in the cases of school districts, are additionally supported by state aid. Revenue bonds are generally backed by municipal revenue streams generated through user fees or lease payments associated with specific municipal projects that have been financed. Municipal bonds are frequently supported with insurance, which guarantees that, in the event the issuer experiences financial problems, the insurer will step in and assume payment of both principal and interest. Historically, insurance support has strengthened an issuer's underlying credit rating to "AAA" or "AA" status. Starting in 2008, many of the insurance companies providing municipal bond insurance experienced financial difficulties and, accordingly, were downgraded by at least one of the major credit rating agencies. Consequently, a portion of the Bank's municipal bond portfolio was downgraded by at least one of the major credit rating agencies. Notwithstanding the credit rating downgrades, at June 30, 2016, the Bank's municipal bond portfolio did not contain any below investment grade securities as reported by major credit rating agencies. In addition, at June 30, 2016, all municipal bond issuers were current on contractually obligated interest and principal payments. The Company attributes the unrealized losses in municipal bonds at June 30, 2016 to changes in current market yields and pricing spreads for similar securities since the date the underlying securities were purchased and, to a lesser extent, changes in credit ratings on certain securities. The Company also attributes the unrealized losses to ongoing media attention and market concerns about municipal budget deficits and the prolonged recovery from the national economic recession and the impact it might have on the future financial stability of municipalities throughout the country. Notwithstanding the foregoing considerations, the Company does not consider these municipal securities to be other-than-temporarily impaired at June 30, 2016. At June 30, 2016, the Company had no intent to sell nor believed it is more-likely-than-not that it would be required to sell any of its impaired securities as identified and discussed immediately above, and therefore did not consider these securities to be other than temporarily impaired as of that date. Securities Gains and Losses: The following table summarizes realized gains and losses on securities available for sale for the three and six months ended June 30, 2016 and 2015. Proceeds Other from Sale of Than Securities Temporary Available Realized Realized Impairment for Sale Gains Losses Losses Net Three months ended June 30, 2016 $ 23,142 $ 1,699 $ --- $ --- $ 1,699 2015 $ 11,487 $ 587 $ --- $ --- $ 587 Six months ended June 30, 2016 $ 44,655 $ 3,135 $ --- $ --- $ 3,135 2015 $ 20,428 $ 1,206 $ --- $ --- $ 1,206 Visa Class B Common Shares: The Bank was a member of the Visa USA payment network and was issued Class B shares in connection with the Visa Reorganization and the Visa Inc. initial public offering in March 2008. The Visa Class B shares are transferable only under limited circumstances until they can be converted into shares of the publicly traded class of Visa stock. This conversion cannot happen until the settlement of certain litigation, which is indemnified by Visa members. Since its initial public offering, Visa has funded a litigation reserve based upon a change in the conversion ratio of Visa Class B shares into Visa Class A shares. At its discretion, Visa may continue to increase the conversion rate in connection with any settlements in excess of amounts then in escrow for that purpose and reduce the conversion rate to the extent that it adds any funds to the escrow in the future. Based on the existing transfer restriction and the uncertainty of the litigation, the Company has recorded its Visa Class B shares on its statements of condition at zero value for all reporting periods since 2008. At June 30, 2016, the Bank owned 11,623 1.648 19,158 |
Loans And Allowance For Loan Lo
Loans And Allowance For Loan Losses | 6 Months Ended |
Jun. 30, 2016 | |
Loans And Allowance For Loan Losses [Abstract] | |
Loans And Allowance For Loan Losses | 90 Days 30-59 60-89 90 Days Past Due June 30, 2016 Days Days or Total Total Non and Past Due Past Due Greater Past Due Current Loans Accrual Accruing Commercial real estate mortgages $ 844 $ 103 $ 333 $ 1,280 388,753 $ 390,033 $ 1,087 $ --- Commercial and industrial 4 30 190 224 80,525 80,749 190 -- Commercial construction and land development -- -- 813 813 24,654 25,467 813 -- Agricultural and other loans to farmers 13 -- 81 94 32,987 33,081 -- 81 Residential real estate mortgages 1,488 753 991 3,232 443,701 446,933 3,157 -- Home equity 31 15 10 56 49,274 49,330 134 -- Other consumer loans 34 1 2 37 6,909 6,946 91 -- Tax exempt -- -- -- -- 16,352 16,352 -- -- Total $ 2,414 $ 902 $ 2,420 $ 5,736 $ 1,043,155 $ 1,048,891 $ 5,472 $ 81
>90 Days December 31, 2015 30-59 60-89 90 Days Past Due Days Days or Total Total Non and Past Due Past Due Greater Past Due Current Loans Accrual Accruing Commercial real estate mortgages $ 99 $ 287 $ 241 $ 627 $ 370,375 $ 371,002 $ 1,279 $ --- Commercial and industrial 9 1 271 281 79,630 79,911 292 -- Commercial construction and land development -- -- 1,111 1,111 23,815 24,926 1,111 -- Agricultural and other loans to farmers 12 70 3 85 30,918 31,003 16 3 Residential real estate mortgages 1,313 452 1,299 3,064 403,588 406,652 3,452 25 Home equity 245 -- 797 1,042 50,488 51,530 820 -- Other consumer loans 66 -- -- 66 9,632 9,698 10 -- Tax exempt -- -- -- -- 15,244 15,244 -- -- Total $ 1,744 $ 810 $ 3,722 $ 6,276 $ 983,690 $ 989,966 $ 6,980 $ 28
Impaired Loans: Impaired loans are all commercial loans for which the Company believes it is probable that it will be unable to collect all amounts due according to the contractual terms of the loan agreement, as well as all loans modified into a TDR, if any. Allowances for losses on impaired loans are determined by the lower of the present value of the expected cash flows related to the loan, using the original contractual interest rate, and its recorded value, or in the case of collateral dependent loans, the lower of the fair value of the collateral, less estimated costs to dispose, and the recorded amount of the loans. When foreclosure is probable, impairment is measured based on the fair value of the collateral less estimated cost to sell.
Details of impaired loans as of June 30, 2016 and December 31, 2015 follows:
June 30, 2016 December 31, 2015 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance With no related allowance: Commercial real estate mortgages $ 1,900 $ 1,900 $ --- $ 1,692 $ 1,736 $ --- Commercial and industrial 89 89 - 202 352 - Commercial construction and land development - - - - - - Agricultural and other loans to farmers 127 127 - 106 106 - Residential real estate loans 1,214 1,330 - 1,332 1,362 - Home equity loans 17 17 - 18 18 - Other consumer - - - - - - Subtotal $ 3,347 $ 3,463 $ --- $ 3,350 $ 3,574 $ - With an allowance: Commercial real estate mortgages $ 536 $ 536 $ 43 $ 531 $ 531 $ 43 Commercial and industrial 220 370 175 224 374 175 Commercial construction and land development 813 2,738 60 1,111 3,036 58 Agricultural and other loans to farmers - - - - - - Residential real estate loans 512 628 92 515 515 97 Home equity loans - - - - - - Other consumer 7 7 - 8 8 - Subtotal $ 2,088 $ 4,279 $ 370 $ 2,389 $ 4,464 $ 373 Total $ 5,435 $ 7,742 $ 370 $ 5,739 $ 8,038 $ 373
Details of impaired loans for the three and six months ended June 30, 2016 and 2015 follows:
June 30, 2016 June 30, 2015 Three Months Ended Six Months Ended Three Months Ended Six Months Ended Average Average Average Average Recorded Interest Recorded Interest Recorded Interest Recorded Interest Investment Recorded Investment Recorded Investment Recorded Investment Recorded With no related allowance: Commercial real estate mortgages $ 1,850 $ 32 $ 1,859 $ 53 $ 2,413 $ 7 $ 2,698 $ 14 Commercial and industrial 92 2 94 4 441 3 446 5 Commercial construction And land development - - - - 1,260 - 1,260 - Agricultural and other loans to farmers 128 3 135 5 113 2 118 4 Residential real estate mortgages 1,214 17 1,146 38 1,498 13 1,483 25 Home equity loans 16 - 17 1 18 - 19 1 Other consumer - - - - - - - - Subtotal $ 3,300 $ 54 $ 3,251 $ 101 $ 5,743 $ 25 $ 6,024 $ 49 With an allowance: Commercial real estate mortgages $ 482 $ --- $ 443 $ --- $ 955 $ --- $ 955 $ --- Commercial and industrial 221 - 222 - 170 - 170 - Commercial construction and land development 865 - 988 - - - - - Agricultural and other loans to farmers - - - - 54 - 54 - Residential real estate mortgages 513 - 514 - 184 - 183 - Home equity loans - - - - - - - - Other consumer 7 - 8 - 10 - 10 - Subtotal $ 2,088 $ --- $ 2,175 $ --- $ 1,373 $ --- $ 1,372 $ --- Total $ 5,388 $ 54 $ 5,426 $ 101 $ 7,116 $ 25 $ 7,396 $ 49
Credit Quality Indicators/Classified Loans: In monitoring the credit quality of the portfolio, management applies a credit quality indicator to all categories of commercial loans. These credit quality indicators range from one through nine, with a higher number correlating to increasing risk of loss. These ratings are used as inputs to the calculation of the allowance for loan losses.
Consistent with regulatory guidelines, the Bank provides for the classification of loans which are considered to be of lesser quality as substandard, doubtful, or loss (7, 8 and 9, respectively). The Bank considers a loan substandard if it is inadequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged, if any. Substandard loans have a well-defined weakness that jeopardizes liquidation of the debt. Substandard loans include those loans where there is the distinct possibility of some loss of principal, if the deficiencies are not corrected. Loans that the Bank classifies as doubtful have all of the weaknesses inherent in those loans that are classified as substandard but also have the added characteristic that the weaknesses present make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The possibility of loss is high but because of certain important and reasonably specific pending factors which may work to the advantage and strengthening of the loan, its classification as loss is deferred until its more exact status is determined. Pending factors include proposed merger, acquisition, or liquidation procedures, capital injection, perfecting liens on additional collateral and refinancing plans. The entire amount of the loan might not be classified as doubtful when collection of a specific portion appears highly probable. Loans are generally not classified doubtful for an extended period of time (i.e., over one year). Loans that the Bank classifies as losses are those considered uncollectible and of such little value that their continuance as an asset is not warranted and the uncollectible amounts are charged-off. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be affected in the future. Losses are taken in the period in which they are determined to be uncollectible
Loans that do not expose the Bank to risk sufficient to warrant classification in one of the aforementioned categories, but which possess some weaknesses, are designated "as other assets especially mentioned" special mention. A special mention loan has potential weaknesses that deserve management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the asset or in the institution's credit position at some future date. This might include loans which the lending officer may be unable to supervise properly because of: (i) lack of expertise, inadequate loan agreement; (ii) the poor condition of or lack of control over collateral; (iii) failure to obtain proper documentation or any other deviations from prudent lending practices. Economic or market conditions which may, in the future, affect the obligor may warrant special mention of the asset. Loans for which an adverse trend in the borrower's operations or an imbalanced position in the balance sheet which has not reached a point where the liquidation is jeopardized may be included in this classification. Special mention loans are not adversely classified and do not expose an institution to sufficient risks to warrant classification. The following tables summarize the commercial loan portfolio as of June 30, 2016, and December 31, 2015, by credit quality indicator. Credit quality indicators are reassessed for each applicable commercial loan at least annually, or upon receipt and analysis of the borrower's financial statements, when applicable. Consumer loans, which principally consist of residential mortgage loans, are not rated, but are evaluated for credit quality after origination based on delinquency status (see past due loan aging table above).
Commercial Agricultural Commercial Commercial construction and other real estate and and land loans to June 30, 2016 mortgages industrial development farmers Total Pass $ 364,130 $ 76,628 $ 24,654 $ 32,507 $ 497,919 Other Assets Especially Mentioned 10,381 1,838 -- 289 12,508 Substandard 15,509 2,281 813 285 18,888 Doubtful -- -- -- -- -- Loss 13 2 -- -- 15 Total $ 390,033 $ 80,749 $ 25,467 $ 33,081 $ 529,330
Commercial Agricultural Commercial Commercial construction and other real estate and and land loans to December 31, 2015 mortgages industrial development farmers Total Pass $ 345,197 $ 74,771 $ 23,460 $ 30,688 $ 474,116 Other Assets Especially Mentioned 7,381 2,349 355 168 10,253 Substandard 18,424 2,790 1,111 147 22,472 Doubtful -- -- -- -- -- Loss -- 1 -- -- 1 Total $ 371,002 $ 79,911 $ 24,926 $ 31,003 $ 506,842
Allowance for Loan Losses: The allowance for loan losses (the "allowance") is a reserve established through a provision for loan losses (the "provision") charged to expense, which represents management's best estimate of probable losses that have been incurred within the existing portfolio of loans. The allowance, in the judgment of management, is necessary to provide for estimated loan losses and risks inherent in the loan portfolio. The Bank's allowance for loan loss methodology includes allowance allocations calculated in accordance with ASC Topic 310, "Receivables" and allowance allocations calculated in accordance with ASC Topic 450, "Contingencies." Accordingly, the methodology is based on historical loss experience by type of credit and internal risk grade, homogeneous risk pools and specific loss allocations, with qualitative factor adjustments for current events and conditions. The allowance calculation also includes an estimated adjustment for a Loss Emergence Period, which improves the Bank's ability to more accurately forecast probable losses that may exist in the loan portfolio that have not yet emerged into "problem loan" status. The Bank's process for determining the appropriate level of the allowance is designed to account for credit deterioration as it occurs. The provision reflects loan quality trends, including the levels of and trends related to non-accrual loans, past due loans, potential problem loans, criticized loans and net charge-offs or recoveries, and the overall size of the loan portfolio, among other factors. The provision also reflects the totality of actions taken on all loans for a particular period. In other words, the amount of the provision reflects not only the necessary increases in the allowance related to newly identified criticized loans, but it also reflects actions taken related to other loans including, among other things, any necessary increases or decreases in required allowances for specific loans or loan pools.
The level of the allowance reflects management's continuing evaluation of industry concentrations, specific credit risks, loan loss experience, current loan portfolio quality, present economic, political and regulatory conditions and unidentified losses inherent in the current loan portfolio. While management utilizes its best judgment and information available, the ultimate adequacy of the allowance is dependent upon a variety of factors beyond the Bank's control, including, among other things, the performance of the Bank's loan portfolio, the economy, changes in interest rates and the view of the regulatory authorities toward loan classifications. The Bank's allowance for loan losses consists of three principal elements: (i) specific valuation allowances determined in accordance with ASC Topic 310 based on probable losses on specific loans; (ii) historical valuation allowances determined in accordance with ASC Topic 450 based on historical loan loss experience for similar loans with similar characteristics and trends, adjusted, as necessary, to reflect the impact of current conditions; and (iii) general valuation allowances determined in accordance with ASC Topic 450 based on general economic conditions and other qualitative risk factors both internal and external to the Bank. The allowances established for probable losses on specific loans are based on a regular analysis and evaluation of problem loans. Loans are classified based on an internal credit risk grading process that evaluates, among other things: (i) the obligor's ability to repay; (ii) the underlying collateral, if any; and (iii) the economic environment and industry in which the borrower operates. This analysis is performed at the relationship level for all commercial loans. When a loan has a classification of substandard or worse, the Bank analyzes the loan to determine whether the loan is impaired and, if impaired, the need to specifically allocate a portion of the allowance to the loan. Specific valuation allowances are determined by analyzing the borrower's ability to repay amounts contractually owed, collateral deficiencies, the relative risk grade of the loan and economic conditions affecting the borrower's industry, among other observable considerations. Historical valuation allowances are calculated based on the historical loss experience of specific types of loans and the internal risk grade of such loans at the time they were charged-off. The Bank calculates historical loss ratios for pools of similar loans with similar characteristics based on the proportion of actual net charge-offs experienced to the total loan balance in the pool The historical loss ratios are updated quarterly based on this net charge-off experience
The general valuation allowance is determined by making adjustments to the historical valuation allowances (above), where adjustments are based on general economic conditions and other qualitative risk factors both internal and external to the Bank. Such qualitative factor adjustments are determined by evaluating, among other things: (i) changes in lending policies and procedures; (ii) economic and business conditions; (iii) changes in the volume and nature of the loan portfolio; (iv) experience, ability and depth of lending management and staff; (v) changes in asset quality and problem loan trends; (vi) quality of internal controls and effectiveness of loan review; (vii) concentrations of credit; (viii) external factors, including changes in competition, legal, and regulatory matters; and (ix) real estate market conditions and valuations of collateral. Management evaluates the degree of risk that each one of these components has on the quality of the loan portfolio on a quarterly basis. The results are then used to determine an appropriate general valuation allowance.
Once established, the general valuation allowance is then modified by the Loss Emergence Period established for each pool of homogeneous loans. Loans identified as losses by management, external loan review and/or bank examiners, are charged-off. Furthermore, consumer loan accounts are charged-off based on regulatory requirements.
The following tables detail activity in the allowance for loan losses by portfolio segment for the three and six months ended June 30, 2016, and 2015 and twelve months ended December 31, 2015. The tables also provide details regarding the Bank's recorded investment in loans related to each balance in the allowance for loan losses by portfolio segment and disaggregated on the basis of the Bank's impairment methodology. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.
Three Months Commercial Ended Commercial Construction June 30, 2016 Commercial and and land Residential Home Tax Real Estate Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,667 $ 1,233 $ 231 $ 365 $ 2,621 $ 108 $ 539 $ 50 $ 9,814 Charged Off - -- (1 ) - -- - -- (91 ) (7 ) - -- - -- (99 ) Recoveries 7 3 - -- - -- 8 7 1 - -- 26 Provision (9 ) 32 (36 ) 18 145 (8 ) 7 1 150 Ending Balance $ 4,665 $ 1,267 $ 195 $ 383 $ 2,683 $ 100 $ 547 $ 51 $ 9,891
Commercial Six Months Ended Construction June 30, 2016 Commercial Commercial and land Residential Home Tax Real Estate and Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,246 $ 1,236 $ 184 $ 307 $ 2,747 $ 111 $ 561 $ 47 $ 9,439 Charged Off (34 ) (90 ) - -- - -- (122 ) (17 ) - -- - -- (263 ) Recoveries 13 4 - -- 40 28 13 2 - -- 100 Provision 440 117 11 36 30 (7 ) (16 ) 4 615 Ending Balance $ 4,665 $ 1,267 $ 195 $ 383 $ 2,683 $ 100 $ 547 $ 51 $ 9,891 of which: Amount for loans individually evaluated for impairment $ 43 $ 175 $ 60 $ --- $ 54 $ 38 $ --- $ --- $ 370 Amount for loans collectively evaluated for impairment $ 4,622 $ 1,092 $ 135 $ 383 $ 2,629 $ 62 $ 547 $ 51 $ 9,521 Loans individually Evaluated for impairment $ 2,436 $ 309 $ 813 $ 127 $ 1,540 $ 7 $ 203 $ --- $ 5,435 Loans collectively Evaluated for impairment $ 387,597 $ 80,440 $ 24,654 $ 32,954 $ 445,393 $ 6,939 $ 49,127 $ 16,352 $ 1,043,456
Commercial Three Months Construction Ended June 30, Commercial Commercial and land Residential Home Tax 2015 Real Estate and Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,500 $ 1,074 $ 107 $ 334 2,875 $ 145 $ 367 $ 76 $ 9,478 Charged Off (181 ) (213 ) - -- - -- (70 ) (14 ) (311 ) - -- (789 ) Recoveries 5 1 - -- - -- - -- 4 - -- - -- 10 Provision (35 ) 285 38 38 (320 ) (25 ) 416 3 400 Ending Balance $ 4,289 $ 1,147 $ 145 $ 372 $ 2,485 $ 110 $ 472 $ 79 $ 9,099
Commercial Construction Six Months Ended Commercial Commercial and land Residential Home Tax June 30, 2015 Real Estate and Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,468 $ 929 $ 145 $ 277 $ 2,714 $ 94 $ 271 $ 71 $ 8,969 Charged Off (206 ) (288 ) -- (18 ) (70 ) (25 ) (351 ) -- (958 ) Recoveries 39 2 -- 12 129 11 -- -- 193 Provision (12 ) 504 -- 101 (288 ) 30 552 8 895 Ending Balance $ 4,289 $ 1,147 $ 145 $ 372 $ 2,485 $ 110 $ 472 $ 79 $ 9,099 of which: Amount for loans individually evaluated for impairment $ 419 $ 169 $ --- $ 47 $ 40 $ --- $ 1 $ - $ 676 Amount for loans collectively evaluated for impairment $ 3,870 $ 978 $ 145 $ 325 $ 2,445 $ 110 $ 471 $ 79 $ 8,423 Loans individually evaluated for impairment $ 2,992 $ 469 $ 1,260 $ 166 $ 1,180 $ 9 $ --- $ ---- $ 6,076 Loans collectively Evaluated for impairment $ 351,137 $ 87,733 $ 33,160 $ 33,368 $ 392,575 $ 11,132 $ 51,794 $ 16,146 $ 977,045
Commercial Twelve Months Commercial Construction Ended Commercial and and land Residential Home Tax December 31, 2015 Real Estate Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,468 $ 929 $ 145 $ 277 $ 2,714 $ 94 $ 271 $ 71 $ 8,969 Charged Off (667 ) (323 ) --- (72 ) (70 ) (111 ) (376 ) -- (1,619 ) Recoveries 98 36 --- 18 129 22 1 -- 304 Provision 347 594 39 84 (26 ) 106 665 (24 ) 1,785 Ending Balance $ 4,246 $ 1,236 $ 184 $ 307 $ 2,747 $ 111 $ 561 $ 47 $ 9,439 of which: Amount for loans individually evaluated for impairment $ 43 $ 175 $ 58 $ --- $ 97 $ --- $ --- $ --- $ 373 Amount for loans collectively evaluated for impairment $ 4,203 $ 1,061 $ 126 $ 307 $ 2,650 $ 111 $ 561 $ 47 $ 9,066 Loans individually evaluated for impairment $ 2,223 $ 426 $ 1,111 $ 106 $ 1,847 $ 8 $ 18 $ --- $ 5,739 Loans collectively evaluated for impairment $ 368,779 $ 79,485 $ 23,815 $ 30,897 $ 404,805 $ 9,690 $ 51,512 $ 15,244 $ 984,227 Loan Concentrations: Because of the Company's proximity to Acadia National Park, a large part of the economic activity in the Bank's area is generated from the hospitality business associated with tourism. At June 30, 2016, and December 31, 2015, loans to the lodging industry amounted to approximately $ 123,595 98,231 " id="sjs-B4" xml:space="preserve">Note 8: Loans and Allowance for Loan Losses Loans are carried at the principal amounts outstanding adjusted by partial charge-offs and net deferred loan origination costs or fees. Interest on loans is accrued and credited to income based on the principal amount of loans outstanding. Residential real estate and home equity loans are generally placed on non-accrual status when reaching 90 days past due, or in process of foreclosure, or sooner if judged appropriate by management. Consumer loans are generally placed on non-accrual status when reaching 90 days or more past due, or sooner if management determines there is a reason to doubt full collectability of all outstanding principal and interest. Secured consumer loans are written down to realizable value and unsecured consumer loans are charged-off upon reaching 120 90 six Commercial real estate and commercial business loans are considered impaired when it becomes probable the Bank will not be able to collect all amounts due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status and collateral value. In considering loans for evaluation of impairment, management generally excludes smaller balance, homogeneous loans, residential mortgage loans, home equity loans, and all consumer loans, unless such loans were restructured in a troubled debt restructuring. These loans are collectively evaluated for risk of loss. Loan origination, commitment fees and direct loan origination costs are deferred, and the net amount is amortized as an adjustment of the related loans' yield, using the level yield method over the estimated lives of the related loans. The Company's lending activities are principally conducted in downeast, midcoast and central Maine. The following table summarizes the composition of the loan portfolio as of June 30, 2016, and December 31, 2015: LOAN PORTFOLIO SUMMARY June 30, December 31, 2016 2015 Commercial real estate mortgages $ 390,033 $ 371,002 Commercial and industrial 80,749 79,911 Commercial construction and land development 25,467 24,926 Agricultural and other loans to farmers 33,081 31,003 Total commercial loans 529,330 506,842 Residential real estate mortgages 446,933 408,401 Home equity loans 49,330 51,530 Other consumer loans 6,946 7,949 Total consumer loans 503,209 467,880 Tax exempt loans 16,352 15,244 Net deferred loan costs and fees 131 104 Total loans 1,049,022 990,070 Allowance for loan losses (9,891 ) (9,439 ) Total loans net of allowance for loan losses $ 1,039,131 $ 980,631 Loan Origination/Risk Management: The Bank has certain lending policies and procedures in place that are designed to maximize loan income within an acceptable level of risk. The Bank's board of directors reviews and approves these policies and procedures on a regular basis. A reporting system supplements the review process by providing management and the board with frequent reports related to loan production, loan quality, concentrations of credit, loan delinquencies and non-performing loans and potential problem loans. The Bank seeks to diversify the loan portfolio as a means of managing risk associated with fluctuations in economic conditions. Commercial Real Estate Mortgages : The Bank's commercial real estate mortgage loans are collateralized by liens on real estate, typically have variable interest rates and amortize over a 15 20 31 Commercial and Industrial Loans : Commercial and industrial loans are underwritten after evaluating and understanding the borrower's ability to operate profitably, and prudently expand its business. Commercial and industrial loans are primarily made in the Bank's market areas and are underwritten on the basis of the borrower's ability to service the debt from income. These loans typically have variable interest rates and amortize over a period of less than 10 years. As a general practice, the Bank takes as collateral a lien on available real estate, equipment or other assets owned by the borrower and obtains a personal guaranty of the borrower(s) or principal(s). Working capital loans are primarily collateralized by short-term assets whereas term loans are primarily collateralized by long-term assets. The risk in commercial and industrial loans is principally due to the type of collateral securing these loans. The increased risk also derives from the expectation that commercial and industrial loans generally will be serviced principally from the operations of the business, and, if not successful, these loans are primarily secured by tangible, non-real estate collateral. Construction and Land Development Loans : The Bank makes loans to finance the construction of residential and non-residential properties. Construction loans generally are collateralized by first liens on real estate with terms of six to twenty-four months. The Bank conducts periodic inspections, either directly or through an agent, prior to approval of periodic draws on these loans. Underwriting guidelines similar to those described immediately above are also used in the Bank's construction lending activities. Construction loans involve additional risks attributable to the fact that loan funds are advanced against a project under construction and the project is of uncertain value prior to its completion. Because of uncertainties inherent in estimating construction costs, the market value of the completed project and the effects of governmental regulation on real property, it can be difficult to accurately evaluate the total funds required to complete a project and the related loan to value ratio. As a result of these uncertainties, construction lending often involves the disbursement of substantial funds with repayment dependent, in part, on the success of the ultimate project rather than the ability of a borrower or guarantor to repay the loan. In many cases the success of the project can also depend upon the financial support/strength of the sponsorship. If the Bank is forced to foreclose on a project prior to completion, there is no assurance that the Bank will be able to recover the entire unpaid portion of the loan. In addition, the Bank may be required to fund additional amounts to complete a project and may have to hold the property for an indeterminate period of time. While the Bank has underwriting procedures designed to identify what it believes to be acceptable levels of risks in construction lending, no assurance can be given that these procedures will prevent losses from the risks described above. Residential Real Estate Mortgage Loans : The Bank originates and purchases first-lien, adjustable-rate and fixed-rate, one-to-four-family residential real estate loans for the construction, purchase or refinancing of residential property. These loans are principally collateralized by owner-occupied properties, and to a lesser extent second homes and vacation properties, and are amortized over 10 30 (" FHLMC") with servicing rights retained. This practice allows the Bank to better manage interest rate risk and liquidity risk. In an effort to manage risk of loss and strengthen secondary market liquidity opportunities, management typically uses secondary market underwriting, appraisal, and servicing guidelines for all loans, including those held in its portfolio. Loans on one-to-four-family residential real estate are mostly originated in amounts of no more than 80 Home Equity Loans : The Bank originates home equity lines of credit and second mortgage loans (loans which are secured by a junior lien position on one-to-four-family residential real estate). Home equity loans are mostly originated in amounts of no more than 85 Non-performing Loans: The following table sets forth information regarding non-accruing loans and accruing loans 90 days or more overdue at June 30, 2016, and December 31, 2015. TOTAL NON-PERFORMING LOANS June 30, December 31, 2016 2015 Commercial real estate mortgages $ 1,087 $ 1,279 Commercial and industrial loans 190 292 Commercial construction and land development 813 1,111 Agricultural and other loans to farmers -- 16 Total commercial loans 2,090 2,698 Residential real estate mortgages 3,157 3,452 Home equity loans 134 820 Other consumer loans 91 10 Total consumer loans 3,382 4,282 Total non-accrual loans 5,472 6,980 Accruing loans contractually past due 90 days or more 81 28 Total non-performing loans $ 5,553 $ 7,008 Troubled Debt Restructures: A Troubled Debt Restructure ("TDR") results from a modification of a loan to a borrower who is experiencing financial difficulty in which the Bank grants a concession to the debtor that it would not otherwise consider but for the debtor's financial difficulties. Financial difficulty arises when a debtor is bankrupt or contractually past due, or is likely to become so, based upon its ability to pay. A concession represents an accommodation not generally available to other customers, which may include a below-market interest rate, deferment of principal payments, extension of maturity dates, etc. Such accommodations extended to customers who are not experiencing financial difficulty do not result in TDR classification. Troubled debt restructurings and related delinquency trends in general are considered in management's evaluation of the allowance for loan losses and the related determination of the provision for loan losses. Summary information pertaining to the TDRs that occurred during the three and six months ended June 30, 2016 and 2015 follows: For the Three Months Ended For the Six Months Ended June 30, 2016 June 30, 2016 Pre Post Pre Post Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number Recorded Recorded Number Recorded Recorded of Loans Investment Investment of Loans Investment Investment Commercial real estate mortgages 1 $ 30 $ 30 3 $ 425 $ 418 Agricultural and other loans to farmers -- -- -- 2 30 25 Total commercial loans 1 30 30 5 455 443 Total 1 $ 30 $ 30 5 $ 455 $ 443 For the Three Months Ended For the Six Months Ended June 30, 2015 June 30, 2015 Pre Post Pre Post Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number Recorded Recorded Number Recorded Recorded of Loans Investment Investment of Loans Investment Investment Agricultural and other loans to farmers -- $ --- $ --- 1 $ 18 $ 17 Total commercial loans -- -- -- 1 18 17 Residential real estate mortgages 2 $ 795 $ 794 3 $ 1,267 $ 1,266 Total consumer loans 2 795 794 3 1,267 1,266 Total 2 $ 795 $ 794 4 $ 1,285 $ 1,283 The following tables show the Bank's post-modification balance of TDRs listed by type of modification for TDRs that occurred during the three and six months ended June 30, 2016 and 2015: June 30, 2016 June 30, 2015 Three Six Three Six Months Months Months Months Ended Ended Ended Ended Extended maturity and adjusted interest rate $ -- $ -- $ -- $ 489 Extended maturity and adjusted payment -- 413 -- -- Adjusted payment -- -- 607 607 Adjusted payment and capitalized interest -- -- 187 187 Other concessions 30 30 -- -- Total $ 30 $ 443 $ 794 $ 1,283 As of June 30, 2016, the Bank had $ 3,387 21 ten eight four four one six 879 none As of December 31, 2015, the Bank had $ 3,162 17 seven eight four two one six 826 none During the six months ended June 30, 2016, one 40 no Past due loans: Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. The following tables set forth information regarding past due loans at June 30, 2016, and December 31, 2015. Amounts shown exclude deferred loan origination fees and costs. >90 Days 30-59 60-89 90 Days Past Due June 30, 2016 Days Days or Total Total Non and Past Due Past Due Greater Past Due Current Loans Accrual Accruing Commercial real estate mortgages $ 844 $ 103 $ 333 $ 1,280 388,753 $ 390,033 $ 1,087 $ --- Commercial and industrial 4 30 190 224 80,525 80,749 190 -- Commercial construction and land development -- -- 813 813 24,654 25,467 813 -- Agricultural and other loans to farmers 13 -- 81 94 32,987 33,081 -- 81 Residential real estate mortgages 1,488 753 991 3,232 443,701 446,933 3,157 -- Home equity 31 15 10 56 49,274 49,330 134 -- Other consumer loans 34 1 2 37 6,909 6,946 91 -- Tax exempt -- -- -- -- 16,352 16,352 -- -- Total $ 2,414 $ 902 $ 2,420 $ 5,736 $ 1,043,155 $ 1,048,891 $ 5,472 $ 81 >90 Days December 31, 2015 30-59 60-89 90 Days Past Due Days Days or Total Total Non and Past Due Past Due Greater Past Due Current Loans Accrual Accruing Commercial real estate mortgages $ 99 $ 287 $ 241 $ 627 $ 370,375 $ 371,002 $ 1,279 $ --- Commercial and industrial 9 1 271 281 79,630 79,911 292 -- Commercial construction and land development -- -- 1,111 1,111 23,815 24,926 1,111 -- Agricultural and other loans to farmers 12 70 3 85 30,918 31,003 16 3 Residential real estate mortgages 1,313 452 1,299 3,064 403,588 406,652 3,452 25 Home equity 245 -- 797 1,042 50,488 51,530 820 -- Other consumer loans 66 -- -- 66 9,632 9,698 10 -- Tax exempt -- -- -- -- 15,244 15,244 -- -- Total $ 1,744 $ 810 $ 3,722 $ 6,276 $ 983,690 $ 989,966 $ 6,980 $ 28 Impaired Loans: Impaired loans are all commercial loans for which the Company believes it is probable that it will be unable to collect all amounts due according to the contractual terms of the loan agreement, as well as all loans modified into a TDR, if any. Allowances for losses on impaired loans are determined by the lower of the present value of the expected cash flows related to the loan, using the original contractual interest rate, and its recorded value, or in the case of collateral dependent loans, the lower of the fair value of the collateral, less estimated costs to dispose, and the recorded amount of the loans. When foreclosure is probable, impairment is measured based on the fair value of the collateral less estimated cost to sell. Details of impaired loans as of June 30, 2016 and December 31, 2015 follows: June 30, 2016 December 31, 2015 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance With no related allowance: Commercial real estate mortgages $ 1,900 $ 1,900 $ --- $ 1,692 $ 1,736 $ --- Commercial and industrial 89 89 - 202 352 - Commercial construction and land development - - - - - - Agricultural and other loans to farmers 127 127 - 106 106 - Residential real estate loans 1,214 1,330 - 1,332 1,362 - Home equity loans 17 17 - 18 18 - Other consumer - - - - - - Subtotal $ 3,347 $ 3,463 $ --- $ 3,350 $ 3,574 $ - With an allowance: Commercial real estate mortgages $ 536 $ 536 $ 43 $ 531 $ 531 $ 43 Commercial and industrial 220 370 175 224 374 175 Commercial construction and land development 813 2,738 60 1,111 3,036 58 Agricultural and other loans to farmers - - - - - - Residential real estate loans 512 628 92 515 515 97 Home equity loans - - - - - - Other consumer 7 7 - 8 8 - Subtotal $ 2,088 $ 4,279 $ 370 $ 2,389 $ 4,464 $ 373 Total $ 5,435 $ 7,742 $ 370 $ 5,739 $ 8,038 $ 373 Details of impaired loans for the three and six months ended June 30, 2016 and 2015 follows: June 30, 2016 June 30, 2015 Three Months Ended Six Months Ended Three Months Ended Six Months Ended Average Average Average Average Recorded Interest Recorded Interest Recorded Interest Recorded Interest Investment Recorded Investment Recorded Investment Recorded Investment Recorded With no related allowance: Commercial real estate mortgages $ 1,850 $ 32 $ 1,859 $ 53 $ 2,413 $ 7 $ 2,698 $ 14 Commercial and industrial 92 2 94 4 441 3 446 5 Commercial construction And land development - - - - 1,260 - 1,260 - Agricultural and other loans to farmers 128 3 135 5 113 2 118 4 Residential real estate mortgages 1,214 17 1,146 38 1,498 13 1,483 25 Home equity loans 16 - 17 1 18 - 19 1 Other consumer - - - - - - - - Subtotal $ 3,300 $ 54 $ 3,251 $ 101 $ 5,743 $ 25 $ 6,024 $ 49 With an allowance: Commercial real estate mortgages $ 482 $ --- $ 443 $ --- $ 955 $ --- $ 955 $ --- Commercial and industrial 221 - 222 - 170 - 170 - Commercial construction and land development 865 - 988 - - - - - Agricultural and other loans to farmers - - - - 54 - 54 - Residential real estate mortgages 513 - 514 - 184 - 183 - Home equity loans - - - - - - - - Other consumer 7 - 8 - 10 - 10 - Subtotal $ 2,088 $ --- $ 2,175 $ --- $ 1,373 $ --- $ 1,372 $ --- Total $ 5,388 $ 54 $ 5,426 $ 101 $ 7,116 $ 25 $ 7,396 $ 49 Credit Quality Indicators/Classified Loans: In monitoring the credit quality of the portfolio, management applies a credit quality indicator to all categories of commercial loans. These credit quality indicators range from one through nine, with a higher number correlating to increasing risk of loss. These ratings are used as inputs to the calculation of the allowance for loan losses. Consistent with regulatory guidelines, the Bank provides for the classification of loans which are considered to be of lesser quality as substandard, doubtful, or loss (7, 8 and 9, respectively). The Bank considers a loan substandard if it is inadequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged, if any. Substandard loans have a well-defined weakness that jeopardizes liquidation of the debt. Substandard loans include those loans where there is the distinct possibility of some loss of principal, if the deficiencies are not corrected. Loans that the Bank classifies as doubtful have all of the weaknesses inherent in those loans that are classified as substandard but also have the added characteristic that the weaknesses present make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The possibility of loss is high but because of certain important and reasonably specific pending factors which may work to the advantage and strengthening of the loan, its classification as loss is deferred until its more exact status is determined. Pending factors include proposed merger, acquisition, or liquidation procedures, capital injection, perfecting liens on additional collateral and refinancing plans. The entire amount of the loan might not be classified as doubtful when collection of a specific portion appears highly probable. Loans are generally not classified doubtful for an extended period of time (i.e., over one year). Loans that the Bank classifies as losses are those considered uncollectible and of such little value that their continuance as an asset is not warranted and the uncollectible amounts are charged-off. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be affected in the future. Losses are taken in the period in which they are determined to be uncollectible Loans that do not expose the Bank to risk sufficient to warrant classification in one of the aforementioned categories, but which possess some weaknesses, are designated "as other assets especially mentioned" special mention. A special mention loan has potential weaknesses that deserve management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the asset or in the institution's credit position at some future date. This might include loans which the lending officer may be unable to supervise properly because of: (i) lack of expertise, inadequate loan agreement; (ii) the poor condition of or lack of control over collateral; (iii) failure to obtain proper documentation or any other deviations from prudent lending practices. Economic or market conditions which may, in the future, affect the obligor may warrant special mention of the asset. Loans for which an adverse trend in the borrower's operations or an imbalanced position in the balance sheet which has not reached a point where the liquidation is jeopardized may be included in this classification. Special mention loans are not adversely classified and do not expose an institution to sufficient risks to warrant classification. The following tables summarize the commercial loan portfolio as of June 30, 2016, and December 31, 2015, by credit quality indicator. Credit quality indicators are reassessed for each applicable commercial loan at least annually, or upon receipt and analysis of the borrower's financial statements, when applicable. Consumer loans, which principally consist of residential mortgage loans, are not rated, but are evaluated for credit quality after origination based on delinquency status (see past due loan aging table above). Commercial Agricultural Commercial Commercial construction and other real estate and and land loans to June 30, 2016 mortgages industrial development farmers Total Pass $ 364,130 $ 76,628 $ 24,654 $ 32,507 $ 497,919 Other Assets Especially Mentioned 10,381 1,838 -- 289 12,508 Substandard 15,509 2,281 813 285 18,888 Doubtful -- -- -- -- -- Loss 13 2 -- -- 15 Total $ 390,033 $ 80,749 $ 25,467 $ 33,081 $ 529,330 Commercial Agricultural Commercial Commercial construction and other real estate and and land loans to December 31, 2015 mortgages industrial development farmers Total Pass $ 345,197 $ 74,771 $ 23,460 $ 30,688 $ 474,116 Other Assets Especially Mentioned 7,381 2,349 355 168 10,253 Substandard 18,424 2,790 1,111 147 22,472 Doubtful -- -- -- -- -- Loss -- 1 -- -- 1 Total $ 371,002 $ 79,911 $ 24,926 $ 31,003 $ 506,842 Allowance for Loan Losses: The allowance for loan losses (the "allowance") is a reserve established through a provision for loan losses (the "provision") charged to expense, which represents management's best estimate of probable losses that have been incurred within the existing portfolio of loans. The allowance, in the judgment of management, is necessary to provide for estimated loan losses and risks inherent in the loan portfolio. The Bank's allowance for loan loss methodology includes allowance allocations calculated in accordance with ASC Topic 310, "Receivables" and allowance allocations calculated in accordance with ASC Topic 450, "Contingencies." Accordingly, the methodology is based on historical loss experience by type of credit and internal risk grade, homogeneous risk pools and specific loss allocations, with qualitative factor adjustments for current events and conditions. The allowance calculation also includes an estimated adjustment for a Loss Emergence Period, which improves the Bank's ability to more accurately forecast probable losses that may exist in the loan portfolio that have not yet emerged into "problem loan" status. The Bank's process for determining the appropriate level of the allowance is designed to account for credit deterioration as it occurs. The provision reflects loan quality trends, including the levels of and trends related to non-accrual loans, past due loans, potential problem loans, criticized loans and net charge-offs or recoveries, and the overall size of the loan portfolio, among other factors. The provision also reflects the totality of actions taken on all loans for a particular period. In other words, the amount of the provision reflects not only the necessary increases in the allowance related to newly identified criticized loans, but it also reflects actions taken related to other loans including, among other things, any necessary increases or decreases in required allowances for specific loans or loan pools. The level of the allowance reflects management's continuing evaluation of industry concentrations, specific credit risks, loan loss experience, current loan portfolio quality, present economic, political and regulatory conditions and unidentified losses inherent in the current loan portfolio. While management utilizes its best judgment and information available, the ultimate adequacy of the allowance is dependent upon a variety of factors beyond the Bank's control, including, among other things, the performance of the Bank's loan portfolio, the economy, changes in interest rates and the view of the regulatory authorities toward loan classifications. The Bank's allowance for loan losses consists of three principal elements: (i) specific valuation allowances determined in accordance with ASC Topic 310 based on probable losses on specific loans; (ii) historical valuation allowances determined in accordance with ASC Topic 450 based on historical loan loss experience for similar loans with similar characteristics and trends, adjusted, as necessary, to reflect the impact of current conditions; and (iii) general valuation allowances determined in accordance with ASC Topic 450 based on general economic conditions and other qualitative risk factors both internal and external to the Bank. The allowances established for probable losses on specific loans are based on a regular analysis and evaluation of problem loans. Loans are classified based on an internal credit risk grading process that evaluates, among other things: (i) the obligor's ability to repay; (ii) the underlying collateral, if any; and (iii) the economic environment and industry in which the borrower operates. This analysis is performed at the relationship level for all commercial loans. When a loan has a classification of substandard or worse, the Bank analyzes the loan to determine whether the loan is impaired and, if impaired, the need to specifically allocate a portion of the allowance to the loan. Specific valuation allowances are determined by analyzing the borrower's ability to repay amounts contractually owed, collateral deficiencies, the relative risk grade of the loan and economic conditions affecting the borrower's industry, among other observable considerations. Historical valuation allowances are calculated based on the historical loss experience of specific types of loans and the internal risk grade of such loans at the time they were charged-off. The Bank calculates historical loss ratios for pools of similar loans with similar characteristics based on the proportion of actual net charge-offs experienced to the total loan balance in the pool The historical loss ratios are updated quarterly based on this net charge-off experience The general valuation allowance is determined by making adjustments to the historical valuation allowances (above), where adjustments are based on general economic conditions and other qualitative risk factors both internal and external to the Bank. Such qualitative factor adjustments are determined by evaluating, among other things: (i) changes in lending policies and procedures; (ii) economic and business conditions; (iii) changes in the volume and nature of the loan portfolio; (iv) experience, ability and depth of lending management and staff; (v) changes in asset quality and problem loan trends; (vi) quality of internal controls and effectiveness of loan review; (vii) concentrations of credit; (viii) external factors, including changes in competition, legal, and regulatory matters; and (ix) real estate market conditions and valuations of collateral. Management evaluates the degree of risk that each one of these components has on the quality of the loan portfolio on a quarterly basis. The results are then used to determine an appropriate general valuation allowance. Once established, the general valuation allowance is then modified by the Loss Emergence Period established for each pool of homogeneous loans. Loans identified as losses by management, external loan review and/or bank examiners, are charged-off. Furthermore, consumer loan accounts are charged-off based on regulatory requirements. The following tables detail activity in the allowance for loan losses by portfolio segment for the three and six months ended June 30, 2016, and 2015 and twelve months ended December 31, 2015. The tables also provide details regarding the Bank's recorded investment in loans related to each balance in the allowance for loan losses by portfolio segment and disaggregated on the basis of the Bank's impairment methodology. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories. Three Months Commercial Ended Commercial Construction June 30, 2016 Commercial and and land Residential Home Tax Real Estate Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,667 $ 1,233 $ 231 $ 365 $ 2,621 $ 108 $ 539 $ 50 $ 9,814 Charged Off - -- (1 ) - -- - -- (91 ) (7 ) - -- - -- (99 ) Recoveries 7 3 - -- - -- 8 7 1 - -- 26 Provision (9 ) 32 (36 ) 18 145 (8 ) 7 1 150 Ending Balance $ 4,665 $ 1,267 $ 195 $ 383 $ 2,683 $ 100 $ 547 $ 51 $ 9,891 Commercial Six Months Ended Construction June 30, 2016 Commercial Commercial and land Residential Home Tax Real Estate and Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,246 $ 1,236 $ 184 $ 307 $ 2,747 $ 111 $ 561 $ 47 $ 9,439 Charged Off (34 ) (90 ) - -- - -- (122 ) (17 ) - -- - -- (263 ) Recoveries 13 4 - -- 40 28 13 2 - -- 100 Provision 440 117 11 36 30 (7 ) (16 ) 4 615 Ending Balance $ 4,665 $ 1,267 $ 195 $ 383 $ 2,683 $ 100 $ 547 $ 51 $ 9,891 of which: Amount for loans individually evaluated for impairment $ 43 $ 175 $ 60 $ --- $ 54 $ 38 $ --- $ --- $ 370 Amount for loans collectively evaluated for impairment $ 4,622 $ 1,092 $ 135 $ 383 $ 2,629 $ 62 $ 547 $ 51 $ 9,521 Loans individually Evaluated for impairment $ 2,436 $ 309 $ 813 $ 127 $ 1,540 $ 7 $ 203 $ --- $ 5,435 Loans collectively Evaluated for impairment $ 387,597 $ 80,440 $ 24,654 $ 32,954 $ 445,393 $ 6,939 $ 49,127 $ 16,352 $ 1,043,456 Commercial Three Months Construction Ended June 30, Commercial Commercial and land Residential Home Tax 2015 Real Estate and Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,500 $ 1,074 $ 107 $ 334 2,875 $ 145 $ 367 $ 76 $ 9,478 Charged Off (181 ) (213 ) - -- - -- (70 ) (14 ) (311 ) - -- (789 ) Recoveries 5 1 - -- - -- - -- 4 - -- - -- 10 Provision (35 ) 285 38 38 (320 ) (25 ) 416 3 400 Ending Balance $ 4,289 $ 1,147 $ 145 $ 372 $ 2,485 $ 110 $ 472 $ 79 $ 9,099 Commercial Construction Six Months Ended Commercial Commercial and land Residential Home Tax June 30, 2015 Real Estate and Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,468 $ 929 $ 145 $ 277 $ 2,714 $ 94 $ 271 $ 71 $ 8,969 Charged Off (206 ) (288 ) -- (18 ) (70 ) (25 ) (351 ) -- (958 ) Recoveries 39 2 -- 12 129 11 -- -- 193 Provision (12 ) 504 -- 101 (288 ) 30 552 8 895 Ending Balance $ 4,289 $ 1,147 $ 145 $ 372 $ 2,485 $ 110 $ 472 $ 79 $ 9,099 of which: Amount for loans individually evaluated for impairment $ 419 $ 169 $ --- $ 47 $ 40 $ --- $ 1 $ - $ 676 Amount for loans collectively evaluated for impairment $ 3,870 $ 978 $ 145 $ 325 $ 2,445 $ 110 $ 471 $ 79 $ 8,423 Loans individually evaluated for impairment $ 2,992 $ 469 $ 1,260 $ 166 $ 1,180 $ 9 $ --- $ ---- $ 6,076 Loans collectively Evaluated for impairment $ 351,137 $ 87,733 $ 33,160 $ 33,368 $ 392,575 $ 11,132 $ 51,794 $ 16,146 $ 977,045 Commercial Twelve Months Commercial Construction Ended Commercial and and land Residential Home Tax December 31, 2015 Real Estate Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,468 $ 929 $ 145 $ 277 $ 2,714 $ 94 $ 271 $ 71 $ 8,969 Charged Off (667 ) (323 ) --- (72 ) (70 ) (111 ) (376 ) -- (1,619 ) Recoveries 98 36 --- 18 129 22 1 -- 304 Provision 347 594 39 84 (26 ) 106 665 (24 ) 1,785 Ending Balance $ 4,246 $ 1,236 $ 184 $ 307 $ 2,747 $ 111 $ 561 $ 47 $ 9,439 of which: Amount for loans individually evaluated for impairment $ 43 $ 175 $ 58 $ --- $ 97 $ --- $ --- $ --- $ 373 Amount for loans collectively evaluated for impairment $ 4,203 $ 1,061 $ 126 $ 307 $ 2,650 $ 111 $ 561 $ 47 $ 9,066 Loans individually evaluated for impairment $ 2,223 $ 426 $ 1,111 $ 106 $ 1,847 $ 8 $ 18 $ --- $ 5,739 Loans collectively evaluated for impairment $ 368,779 $ 79,485 $ 23,815 $ 30,897 $ 404,805 $ 9,690 $ 51,512 $ 15,244 $ 984,227 Loan Concentrations: Because of the Company's proximity to Acadia National Park, a large part of the economic activity in the Bank's area is generated from the hospitality business associated with tourism. At June 30, 2016, and December 31, 2015, loans to the lodging industry amounted to approximately $ 123,595 98,231 |
Other Real Estate Owned
Other Real Estate Owned | 6 Months Ended |
Jun. 30, 2016 | |
Other Real Estate Owned [Abstract] | |
Other Real Estate Owned | Note 9: Other Real Estate Owned Other real estate owned ("OREO") is classified in Other Assets on the Company's balance sheet. The Company's OREO activity for the six months ended June 30, 2016 and 2015 are presented below: 2016 2015 Balance at beginning of year $ 256 $ 523 Additions - - Disposals - (110 ) Writedowns (47 ) (20 ) Balance at end of period $ 209 $ 393 The Company's OREO portfolio by property type is presented in the table below as of June 30, 2016 and December 31, 2015: 2016 2015 Number Number of Carrying of Carrying properties value properties value Residential 2 $ 119 3 $ 143 Commercial 1 90 2 250 Total 3 $ 209 5 $ 393 The Company's net gains and losses on OREO properties are presented within non-interest expense on the consolidated statements of income. The Company recorded net gains and losses on OREO properties for the three and six months ended June 30, 2016 and 2015 as follows: June 30, 2016 June 30, 2015 Three Six Three Six Months Months Months Months Ended Ended Ended Ended Net (losses) gains on OREO $ (47 ) $ (47 ) $ 44 $ 44 At June 30, 2016, the Bank had consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings were in process according to local requirements of the applicable jurisdictions totaling $ 2,937 4,575 |
Reclassifications Out Of Accumu
Reclassifications Out Of Accumulated Other Comprehensive Income | 6 Months Ended |
Jun. 30, 2016 | |
Reclassifications Out Of Accumulated Other Comprehensive Income [Abstract] | |
Reclassifications Out Of Accumulated Other Comprehensive Income | Note 10: Reclassifications Out of Accumulated Other Comprehensive Income The following table summarizes the reclassifications out of Accumulated Other Comprehensive Income for the six months ended June 30, 2016 and 2015. Amount Reclassified from Accumulated Other Comprehensive Income Six Months Six Months Affected Line Item in the Details about Accumulated Ended Ended Statement Where Net Other Comprehensive Income June 30, 2016 June 30, 2015 Income is Presented Realized gains and losses on available-for-sale securities $ 3,135 $ 1,206 Net securities gains Tax (expense) or benefit (1,097 ) (422 ) Provision for income taxes Net of tax $ 2,038 $ 784 Net income Amortization of prior service cost and actuarial loss for supplemental executive retirement plan $ (14 ) $ (19 ) Salaries and benefits Tax (expense) or benefit 5 6 Provision for income taxes Net of tax $ (9 ) $ (13 ) Net income Total reclassification for the period $ 2,029 $ 771 |
Financial Derivative Instrument
Financial Derivative Instruments | 6 Months Ended |
Jun. 30, 2016 | |
Financial Derivative Instruments [Abstract] | |
Financial Derivative Instruments | Note 11: Financial Derivative Instruments As part of its overall asset and liability management strategy, the Bank periodically uses derivative instruments to minimize significant unplanned fluctuations in earnings and cash flows caused by interest rate volatility. The Bank's interest rate risk management strategy involves modifying the re-pricing characteristics of certain assets or liabilities so that changes in interest rates do not have a significant effect on net interest income. The Company recognizes its derivative instruments on the consolidated balance sheet at fair value. On the date the derivative instrument is entered into, the Bank designates whether the derivative is part of a hedging relationship (i.e., cash flow or fair value hedge). The Bank formally documents relationships between hedging instruments and hedged items, as well as its risk management objective and strategy for undertaking hedge transactions. The Bank also assesses, both at the hedge's inception and on an ongoing basis, whether the derivatives used in hedging transactions are highly effective in offsetting the changes in cash flows or fair values of hedged items. Changes in fair value of derivative instruments that are highly effective and qualify as cash flow hedges are recorded in other comprehensive income or loss. Any ineffective portion is recorded in earnings. The Bank discontinues hedge accounting when it is determined that the derivative is no longer highly effective in offsetting changes of the hedged risk on the hedged item, or management determines that the designation of the derivative as a hedging instrument is no longer appropriate. In 2014, interest rate cap agreements were purchased to limit the Bank's exposure to rising interest rates on four rolling, three-month borrowings indexed to three month LIBOR. Under the terms of the agreements, the Bank paid total premiums of $ 4,566 3.00 3.00 At June 30, 2016, the Bank had four 90,000 The details of the Bank's financial derivative instruments as of June 30, 2016 are summarized below: Interest Rate Cap Agreements Notional Termination 3-Month LIBOR Premium Unamortized Fair Amount Date Strike Rate Paid Premium Value $ 25,000 06/02/21 3.00 % $ 922 $ 915 $ 76 $ 20,000 06/04/24 3.00 % $ 1,470 $ 1,466 $ 284 $ 20,000 10/21/21 3.00 % $ 632 $ 631 $ 83 $ 25,000 10/21/24 3.00 % $ 1,542 $ 1,541 $ 399 At June 30, 2016, the total fair value of the interest rate cap agreements was $ 842 2,069 The premiums paid on the interest rate cap agreements are being recognized as increases in interest expense over the duration of the agreements using the caplet method. For the three and six months ended June 30, 2016, $ 3 11 134 A summary of the hedging related balances as of June 30, 2016 and December 31, 2015 follows: June 30, 2016 Gross Net of Tax Unrealized loss on interest rate caps $ (3,711 ) $ (2,412 ) Unamortized premium on interest rate caps 4,553 2,959 Total $ 842 $ 547 December 31, 2015 Gross Net of Tax Unrealized loss on interest rate caps $ (2,495 ) $ (1,621 ) Unamortized premium on interest rate caps $ 4,564 2,966 Total $ 2,069 $ 1,345 |
Retirement Benefit Plans
Retirement Benefit Plans | 6 Months Ended |
Jun. 30, 2016 | |
Retirement Benefit Plans [Abstract] | |
Retirement Benefit Plans | Note 12: Retirement Benefit Plans The Company has non-qualified supplemental executive retirement agreements with certain retired officers. The agreements provide supplemental retirement benefits payable in installments over a period of years upon retirement or death. The Company recognized the net present value of payments associated with the agreements over the service periods of the participating officers. Interest costs continue to be recognized on the benefit obligations. The Company also has a supplemental executive retirement agreement with a certain current executive officer. This agreement provides a stream of future payments in accordance with a defined vesting schedule upon retirement, termination, or upon a change of control. The following tables summarize the net periodic benefit costs for the three and six months ended June 30, 2016, and 2015: Supplemental Executive Retirement Plans Three Months Ended June 30, 2016 2015 Service cost $ 18 $ 19 Interest cost 32 31 Actuarial loss on supplemental executive retirement plan 7 8 Net periodic benefit cost $ 57 $ 58 Supplemental Executive Retirement Plans Six Months Ended June 30, 2016 2015 Service cost $ 36 $ 36 Interest cost 64 62 Actuarial loss on supplemental executive retirement plan 14 19 Net periodic benefit cost $ 114 $ 117 The Company is expected to recognize $ 228 291 150 |
Commitments And Contingent Liab
Commitments And Contingent Liabilities | 6 Months Ended |
Jun. 30, 2016 | |
Commitments And Contingent Liabilities [Abstract] | |
Commitments And Contingent Liabilities | Note 13: Commitments and Contingent Liabilities The Bank is a party to financial instruments in the normal course of business to meet financing needs of its customers. These financial instruments include commitments to extend credit, unused lines of credit, and standby letters of credit. Commitments to originate loans, including unused lines of credit, are agreements to lend to a customer provided there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank uses the same credit policy to make such commitments as it uses for on-balance-sheet items, such as loans. The Bank evaluates each customer's creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Bank upon extension of credit, is based on management's credit evaluation of the borrower. The Bank guarantees the obligations or performance of customers by issuing standby letters of credit to third parties. These standby letters of credit are primarily issued in support of third party debt or obligations. The risk involved in issuing standby letters of credit is essentially the same as the credit risk involved in extending loan facilities to customers, and they are subject to the same credit origination, portfolio maintenance and management procedures in effect to monitor other credit and off-balance sheet instruments. Exposure to credit loss in the event of non-performance by the counter-party to the financial instrument for standby letters of credit is represented by the contractual amount of those instruments. Typically, these standby letters of credit have terms of five years or less and expire unused; therefore, the total amounts do not necessarily represent future cash requirements. The following table summarizes the contractual amounts of commitments and contingent liabilities as of June 30, 2016, and December 31, 2015: June 30, December 31, 2016 2015 Commitments to originate loans $ 25,047 $ 41,529 Unused lines of credit $ 93,974 $ 97,283 Un-advanced portions of construction loans $ 24,180 $ 12,719 Standby letters of credit $ 385 $ 385 As of June 30, 2016, and December 31, 2015, the fair value of the standby letters of credit was not significant to the Company's consolidated financial statements. |
Goodwill And Other Intangible A
Goodwill And Other Intangible Assets | 6 Months Ended |
Jun. 30, 2016 | |
Goodwill And Other Intangible Assets [Abstract] | |
Goodwill And Other Intangible Assets | Note 14: Goodwill and Other Intangible Assets Goodwill: Goodwill totaled $ 4,935 1,777 Core Deposit Intangible Asset: The Company has a finite-lived intangible asset capitalized on its consolidated balance sheet in the form of a core deposit intangible asset related to the Border Trust Company acquisition. The core deposit intangible is being amortized over an estimated useful life of eight and one-half years and is included in other assets on the Company's consolidated balance sheet. At June 30, 2016, and December 31, 2015, the balance of the core deposit intangible asset amounted to $ 424 470 June 30, December 31, 2016 2015 Gross carrying amount $ 783 $ 783 Less: accumulated amortization 359 313 Net carrying amount $ 424 $ 470 Amortization expense on the finite-lived intangible assets is expected to total $92 for each year from 2016 through 2020, then $8 for 2021. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | Note 15: Fair Value Measurements The Company measures fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability shall not be adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are (i) independent, (ii) knowledgeable, (iii) able to transact, and (iv) willing to transact. The Company's fair value measurements employ valuation techniques that are consistent with the market approach, the income approach and/or the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets and liabilities. The income approach uses valuation techniques to convert future amounts, such as cash flows or earnings, to a single present amount on a discounted basis. The cost approach is based on the amount that currently would be required to replace the servicing capacity of an asset (replacement cost). Valuation techniques are consistently applied. Inputs to valuation techniques refer to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable, meaning those that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources, or unobservable, meaning those that reflect the reporting entity's own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The Company uses a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets (Level 1 measurements) for identical assets or liabilities and the lowest priority to unobservable inputs (Level 3 measurements). The fair value hierarchy is as follows: Level 1 Level 2 Level 3 The level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The most significant instruments that the Company values are securities, all of which fall into Level 2 in the fair value hierarchy. The securities in the available for sale portfolio are priced by independent providers. In obtaining such valuation information from third parties, the Company has evaluated their valuation methodologies used to develop the fair values in order to determine whether valuations are appropriately placed within the fair value hierarchy and whether the valuations are representative of an exit price in the Company's principal markets. The Company's principal markets for its securities portfolios are the secondary institutional markets, with an exit price that is predominantly reflective of bid level pricing in those markets. Additionally, the Company periodically tests the reasonableness of the prices provided by these third parties by obtaining fair values from other independent providers and by obtaining desk bids from a variety of institutional brokers. A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. Securities Available for Sale: All securities and major categories of securities classified as available for sale are reported at fair value utilizing Level 2 inputs. For these securities, the Company obtains fair value measurements from independent pricing providers. The fair value measurements used by the pricing providers consider observable data that may include dealer quotes, market maker quotes and live trading systems. If quoted prices are not readily available, fair values are determined using matrix pricing models, or other model-based valuation techniques requiring observable inputs other than quoted prices such as market pricing spreads, credit information, callable features, cash flows, the U.S. Treasury yield curve, trade execution data, market consensus prepayment speeds, default rates, and the securities' terms and conditions, among other things. The foregoing valuation methodologies may produce fair value calculations that may not be fully indicative of net realizable value or reflective of future fair values. While Company management believes these valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. The following tables summarize financial assets and financial liabilities measured at fair value on a recurring basis as of June 30, 2016, and December 31, 2015, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: Level 1 Level 2 Level 3 Total Fair June 30, 2016 Inputs Inputs Inputs Value Securities available for sale: Mortgage-backed securities: US Government-sponsored enterprises $ --- $ 332,980 $ --- $ 332,980 US Government agencies $ --- $ 82,368 $ --- $ 82,368 Private label $ --- $ 1,327 $ --- $ 1,327 Obligations of states and political subdivisions thereof $ --- $ 115,915 $ --- $ 115,915 Derivative assets $ --- $ 842 $ --- $ 842 Level 1 Level 2 Level 3 Total Fair December 31, 2015 Inputs Inputs Inputs Value Securities available for sale: Mortgage-backed securities: US Government-sponsored enterprises $ --- $ 306,993 $ --- $ 306,993 US Government agencies $ --- $ 79,130 $ --- $ 79,130 Private label $ --- $ 3,464 $ --- $ 3,464 Obligations of states and political subdivisions thereof $ --- $ 115,382 $ --- $ 115,382 Derivative assets $ --- $ 2,069 $ --- $ 2,069 The following tables present the carrying value of certain financial assets and financial liabilities measured at fair value on a non-recurring basis, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value. Level 1 Level 2 Level 3 Fair As of June 30, 2016 Inputs Inputs Inputs Value Loss Other real estate owned $ --- $ --- $ 209 $ 209 $ 47 Collateral dependent impaired loans $ --- $ --- $ 2,769 $ 2,769 $ --- Level 1 Level 2 Level 3 As of December 31, 2015 Inputs Inputs Inputs Fair Value Loss Other real estate owned $ --- $ --- $ 256 $ 256 $ 27 Collateral dependent impaired loans $ --- $ --- $ 1,999 $ 1,999 $ --- The Company had total collateral dependent impaired loans with carrying values of $ 2,769 1,999 307 312 10 30 In estimating the fair value of OREO, the Company generally uses market appraisals less estimated costs to dispose of the property, which generally range from 10% to 30% of appraised value. Management may also make adjustments to reflect estimated fair value declines, or may apply other discounts to appraised values for unobservable factors resulting from its knowledge of the property or consideration of broker quotes. The appraisers use a market, income, and/or a cost approach in determining the value of the collateral. Therefore they have been categorized as a Level 3 measurement. There were no transfers between levels during the periods presented. |
Fair Value Of Financial Instrum
Fair Value Of Financial Instruments | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Of Financial Instruments [Abstract] | |
Fair Value Of Financial Instruments | Note 16: Fair Value of Financial Instruments The Company discloses fair value information about financial instruments for which it is practicable to estimate fair value. Fair value estimates are made as of a specific point in time based on the characteristics of the financial instruments and relevant market information. Where available, quoted market prices are used. In other cases, fair values are based on estimates using present value or other valuation techniques. These techniques involve uncertainties and are significantly affected by the assumptions used and judgments made regarding risk characteristics of various financial instruments, discount rates, estimates of future cash flows, future expected loss experience and other factors. Changes in assumptions could significantly affect these estimates. Derived fair value estimates cannot be substantiated by comparison to independent markets and, in certain cases, could not be realized in an immediate sale of the instrument. Fair value estimates are based on existing financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Accordingly, the aggregate fair value amounts presented do not purport to represent the underlying market value of the Company. The following describes the methods and significant assumptions used by the Company in estimating the fair values of significant financial instruments: Cash and Cash Equivalents: For cash and cash equivalents, including cash and due from banks and other short-term investments with maturities of 90 days or less, the carrying amounts reported on the consolidated balance sheet approximate fair values. Federal Home Loan Bank Stock: For Federal Home Loan Bank stock, the carrying amounts report on the consolidated balance sheet approximate fair values. Loans: For variable rate loans that re-price frequently and have no significant change in credit risk, fair values are based on carrying values. The fair value of other loans is estimated by discounting the future cash flows using the current rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities. Deposits : The fair value of deposits with no stated maturity is equal to the carrying amount. The fair value of time deposits is based on the discounted value of contractual cash flows, applying interest rates currently being offered on wholesale funding products of similar maturities. The fair value estimates for deposits do not include the benefit that results from the low-cost funding provided by the deposit liabilities compared to the cost of alternative forms of funding ("deposit base intangibles"). Borrowings: For borrowings that mature or re-price in 90 days or less, carrying value approximates fair value. The fair value of the Company's remaining borrowings is estimated by using discounted cash flows based on current rates available for similar types of borrowing arrangements taking into account any optionality. Accrued Interest Receivable and Payable: The carrying amounts of accrued interest receivable and payable approximate their fair values. Off-Balance Sheet Financial Instruments: The Company's off-balance sheet instruments consist of loan commitments and standby letters of credit. Fair values for standby letters of credit were insignificant. A summary of the carrying values and estimated fair values of the Company's significant financial instruments at June 30, 2016 and December 31, 2015, follows: Carrying Level 1 Level 2 Level 3 Total June 30, 2016 Value Inputs Inputs Inputs Fair Value Financial Assets: Cash and cash equivalents $ 25,867 $ 25,867 $ - -- $ - -- $ 25,867 Federal Home Loan Bank stock 26,713 - -- 26,713 - -- 26,713 Loans, net 1,039,131 - -- - -- 1,041,964 1,041,964 Interest receivable 6,252 - -- 6,252 - -- 6,252 Financial liabilities: Deposits (with no stated maturity) $ 532,958 $ - -- $ 532,958 $ - -- $ 532,958 Time deposits 456,858 - -- 461,990 - -- 461,990 Borrowings 525,102 - -- 526,690 - -- 526,690 Interest payable 562 - -- 562 - -- 562 Carrying Level 1 Level 2 Level 3 Total December 31, 2015 Value Inputs Inputs Inputs Fair Value Financial Assets: Cash and cash equivalents $ 9,720 $ 9,720 $ -- $ -- $ 9,720 Federal Home Loan Bank stock 21,479 -- 21,479 -- 21,479 Loans, net 980,631 -- -- 975,610 975,610 Interest receivable 5,420 -- 5,420 -- 5,420 Financial liabilities: Deposits (with no stated maturity) $ 546,058 $ -- $ 546,058 $ -- $ 546,058 Time deposits 396,729 -- 399,146 -- 399,146 Borrowings 474,791 -- 473,404 -- 473,404 Interest payable 527 -- 527 -- 527 |
Management's Use Of Estimates (
Management's Use Of Estimates (Policy) | 6 Months Ended |
Jun. 30, 2016 | |
Management's Use Of Estimates [Abstract] | |
Allowance For Loan Losses | Allowance for Loan Losses: The allowance for loan losses (the "allowance") is a significant accounting estimate used in the preparation of the Company's consolidated financial statements. The allowance is available to absorb losses inherent in the current loan portfolio and is maintained at a level that, in management's judgment, is appropriate for the amount of risk inherent in the loan portfolio, given past and present conditions. The allowance is increased by provisions charged to operating expense and by recoveries on loans previously charged off, and is decreased by loans charged off as uncollectible. Arriving at an appropriate level of allowance for loan losses involves a high degree of judgment. The determination of the adequacy of the allowance and provisioning for estimated losses is evaluated regularly based on review of loans, with particular emphasis on non-performing and other loans that management believes warrant special consideration. The ongoing evaluation process includes a formal analysis, which considers among other factors: the character and size of the loan portfolio, business and economic conditions, real estate market conditions, collateral values, changes in product offerings or loan terms, changes in underwriting and/or collection policies, loan growth, previous charge-off experience, delinquency trends, non-performing loan trends, the performance of individual loans in relation to contract terms, and estimated fair values of collateral. The allowance for loan losses consists of allowances established for specific loans including impaired loans; allowances for pools of loans based on historical charge-offs by loan types; and supplemental allowances that adjust historical loss experience to reflect current economic conditions, industry specific risks, and other observable data. While management uses available information to recognize losses on loans, changing economic conditions and the economic prospects of the borrowers may necessitate future additions or reductions to the allowance. In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Bank's allowance, which also may necessitate future additions or reductions to the allowance, based on information available to them at the time of their examination. |
Other-Than-Temporary Impairments On Investment Securities | Other-Than-Temporary Impairments on Investment Securities : One of the significant estimates relating to securities is the evaluation of other-than-temporary impairment ("OTTI"). If a decline in the fair value of a security is judged to be other-than-temporary, and management does not intend to sell the security and believes it is more-likely-than-not the Company will not be required to sell the security prior to recovery of cost or amortized cost, the portion of the total impairment attributable to the credit loss is recognized in earnings, and the remaining difference between the security's amortized cost basis and its fair value is included in other comprehensive income. For impaired available for sale debt securities that management intends to sell, or where management believes it is more-likely-than-not that the Company will be required to sell, an OTTI charge is recognized in earnings equal to the difference between fair value and cost or amortized cost basis of the security. The fair value of the OTTI security becomes its new cost basis. The evaluation of securities for impairments is a quantitative and qualitative process, which is subject to risks and uncertainties and is intended to determine whether declines in the fair value of securities should be recognized in current period earnings. The risks and uncertainties include changes in general economic conditions, the issuer's financial condition and/or future prospects, the effects of changes in interest rates or credit spreads and the expected recovery period of unrealized losses. The Company has a security monitoring process that identifies securities that, due to certain characteristics, as described below, are subjected to an enhanced analysis on a quarterly basis. Securities that are in an unrealized loss position are reviewed at least quarterly to determine if an OTTI is present based on certain quantitative and qualitative factors and measures. The primary factors considered in evaluating whether a decline in value of securities is other-than-temporary include: (a) the cause of the impairment; (b) the financial condition, credit rating and future prospects of the issuer; (c) whether the underlying debtor is current on contractually obligated interest and principal payments In addition, for securitized financial assets with contractual cash flows, such as private label mortgage-backed securities ("MBS"), the Company periodically updates its best estimate of cash flows over the life of the security. The Company's best estimate of cash flows is based upon assumptions consistent with the current economic environment, similar to those the Company believes market participants would use. Estimating future cash flows is a quantitative and qualitative process that incorporates information received from third party sources along with certain assumptions and judgments regarding the future performance of the underlying collateral. In addition, projections of expected future cash flows may change based upon new information regarding the performance of the underlying collateral. |
Income Taxes | Income Taxes: The Company uses the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. If current available information indicates that it is more-likely-than-not that deferred tax assets will not be realized, a valuation allowance is established. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Significant management judgment is required in determining income tax expense and deferred tax assets and liabilities. As of June 30, 2016 and December 31, 2015, there was no |
Goodwill And Identifiable Intangible Assets | Goodwill and Identifiable Intangible Assets: In connection with acquisitions, the Company generally records as assets on its consolidated financial statements both goodwill and identifiable intangible assets, such as core deposit intangibles. The Company evaluates whether the carrying value of its goodwill has become impaired, in which case the value is reduced through a charge to its earnings. Goodwill is evaluated for impairment at least annually, or upon a triggering event using certain fair value techniques. Goodwill impairment testing is performed at the segment (or "reporting unit") level. Goodwill is assigned to reporting units at the date the goodwill is initially recorded. Once goodwill has been assigned to the reporting units, it no longer retains its association with a particular acquisition, and all of the activities within a reporting unit, whether acquired or organically grown, are available to support the value of the goodwill. Goodwill represents the excess of the purchase price over the fair value of net assets acquired in accordance with the purchase method of accounting for business combinations. Goodwill is not amortized but, instead, is subject to impairment tests on at least an annual basis or more frequently if an event occurs or circumstances change that reduce the fair value of a reporting unit below its carrying amount. The Company completes its annual goodwill impairment test as of December 31 of each year. The impairment testing process is conducted by assigning assets and goodwill to each reporting unit. Currently, the Company's goodwill is evaluated at the entity level as there is only one reporting unit. The Company first assesses certain qualitative factors to determine if it is more-likely-than-not that the fair value of the reporting unit is less than its carrying value. If it is more-likely-than-not that the fair value of the reporting unit is less than the carrying value, then the fair value of each reporting unit is compared to the recorded book value ("step one"). If the fair value of the reporting unit exceeds its carrying value, goodwill is not considered impaired and "step two" is not considered necessary. If the carrying value of a reporting unit exceeds its fair value, the impairment test continues ("step two") by comparing the carrying value of the reporting unit's goodwill to the implied fair value of goodwill. The implied fair value is computed by adjusting all assets and liabilities of the reporting unit to current fair value with the offset adjustment to goodwill. The adjusted goodwill balance is the implied fair value of the goodwill. An impairment charge is recognized if the carrying fair value of goodwill exceeds the implied fair value of goodwill. At December 31, 2015, there was no indication of impairment that led the Company to believe it needed to perform a two-step test. Any changes in the estimates used by the Company to determine the carrying value of its goodwill, or which otherwise adversely affect their value or estimated lives, would adversely affect the Company's consolidated results of operations. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Reconciliation Of Basic And Diluted Earnings Per Share | Three Months Ended Six Months Ended June 30, June 30, 2016 2015 2016 2015 Net income $ 4,311 $ 3,873 $ 8,717 $ 7,754 Weighted average common shares outstanding Basic 6,021,316 5,973,758 6,015,257 5,963,704 Effect of dilutive employee stock options 64,985 90,655 68,110 86,418 Diluted 6,086,301 6,064,413 6,083,367 6,050,122 Anti-dilutive options excluded from earnings per share calculation 75,763 10,950 80,263 11,197 Per Common Share Data: Basic earnings per share $ 0.72 $ 0.65 $ 1.45 $ 1.30 Diluted earnings per share $ 0.71 $ 0.64 $ 1.43 $ 1.28 |
Securities Available For Sale (
Securities Available For Sale (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Securities Available For Sale [Abstract] | |
Summary Of Securities Available For Sale | June 30, 2016 Gross Gross Amortized Unrealized Unrealized Estimated Available for Sale: Cost Gains Losses Fair Value Mortgage-backed securities: US Government-sponsored enterprises $ 323,684 $ 9,693 $ 397 $ 332,980 US Government agency 80,472 1,993 97 82,368 Private label 1,128 218 19 1,327 Obligations of states and political subdivisions thereof 109,898 6,108 91 115,915 Total $ 515,182 $ 18,012 $ 604 $ 532,590 December 31, 2015 Gross Gross Amortized Unrealized Unrealized Estimated Available for Sale: Cost Gains Losses Fair Value Mortgage-backed securities: US Government-sponsored enterprises $ 304,106 $ 5,042 $ 2,155 $ 306,993 US Government agency 78,408 1,269 547 79,130 Private label 2,713 762 11 3,464 Obligations of states and political subdivisions thereof 110,952 4,758 328 115,382 Total $ 496,179 $ 11,831 $ 3,041 $ 504,969 |
Summary Of Maturities Distribution Of The Amortized Cost And Estimated Fair Value Of Securities Available For Sale | Amortized Estimated Securities Available for Sale Cost Fair Value Due one year or less $ 167 $ 168 Due after one year through five years 5,592 5,732 Due after five years through ten years 13,889 14,762 Due after ten years 495,534 511,928 Total $ 515,182 $ 532,590 |
Schedule Of OTTI Related To Historical Estimated Credit Losses On Debt Securities And Changes In Estimated Credit Losses Recognized In Pre-Tax Earnings | 2016 2015 Estimated credit losses as of March 31, $ 2,793 $ 3,413 Additions for credit losses for securities on which OTTI has been previously recognized -- -- Additions for credit losses for securities on which OTTI has not been previously recognized -- -- Reductions for securities sold or paid off during the period 1,096 233 Estimated credit losses as of June 30, $ 1,697 $ 3,180 Estimated credit losses as of prior year-end, $ 3,180 $ 3,413 Additions for credit losses for securities on which OTTI has been previously recognized -- -- Additions for credit losses for securities on which OTTI has not been previously recognized -- -- Reductions for securities sold or paid off during the period 1,483 233 Estimated credit losses as of June 30, $ 1,697 $ 3,180 |
Summary Of Fair Value Of Securities With Continuous Unrealized Losses | Less than 12 months 12 months or longer Total Estimated Estimated Estimated June 30, 2016 Fair Number of Unrealized Fair Number of Unrealized Fair Number of Unrealized Value Investments Losses Value Investments Losses Value Investments Losses Description of Securities: Mortgage-backed securities: US Government- sponsored enterprises $ 35,865 42 $ 224 $ 9,678 22 $ 173 $ 45,543 64 $ 397 US Government agency 7,619 11 27 4,920 16 70 12,539 27 97 Private label 198 2 10 159 5 9 357 7 19 Obligations of states and political subdivisions thereof 2,426 5 7 5,077 11 84 7,503 16 91 Total $ 46,108 60 $ 268 $ 19,834 54 $ 336 $ 65,942 114 $ 604 Less than 12 months 12 months or longer Total Estimated Estimated Estimated December 31, 2015 Fair Number of Unrealized Fair Number of Unrealized Fair Number of Unrealized Value Investments Losses Value Investments Losses Value Investments Losses Description of Securities: Mortgage-backed securities: US Government- sponsored enterprises $ 112,770 142 $ 1,342 $ 23,646 33 $ 813 $ 136,416 175 $ 2,155 US Government agency 20,201 30 326 11,232 22 221 31,433 52 547 Private label 235 2 2 178 5 9 413 7 11 Obligations of states and political subdivisions thereof 14,853 25 210 3,700 11 118 18,553 36 328 Total $ 148,059 199 $ 1,880 $ 38,756 71 $ 1,161 $ 186,815 270 $ 3,041 |
Summary Of Realized Gains And Losses And Other-Than-Temporary Impairment Losses On Securities | Proceeds Other from Sale of Than Securities Temporary Available Realized Realized Impairment for Sale Gains Losses Losses Net Three months ended June 30, 2016 $ 23,142 $ 1,699 $ --- $ --- $ 1,699 2015 $ 11,487 $ 587 $ --- $ --- $ 587 Six months ended June 30, 2016 $ 44,655 $ 3,135 $ --- $ --- $ 3,135 2015 $ 20,428 $ 1,206 $ --- $ --- $ 1,206 |
Loans And Allowance For Loan 29
Loans And Allowance For Loan Losses (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Loans And Allowance For Loan Losses [Abstract] | |
Summary Of Composition Of Loan Portfolio | June 30, December 31, 2016 2015 Commercial real estate mortgages $ 390,033 $ 371,002 Commercial and industrial 80,749 79,911 Commercial construction and land development 25,467 24,926 Agricultural and other loans to farmers 33,081 31,003 Total commercial loans 529,330 506,842 Residential real estate mortgages 446,933 408,401 Home equity loans 49,330 51,530 Other consumer loans 6,946 7,949 Total consumer loans 503,209 467,880 Tax exempt loans 16,352 15,244 Net deferred loan costs and fees 131 104 Total loans 1,049,022 990,070 Allowance for loan losses (9,891 ) (9,439 ) Total loans net of allowance for loan losses $ 1,039,131 $ 980,631 |
Summary Of Non-Performing Loans | June 30, December 31, 2016 2015 Commercial real estate mortgages $ 1,087 $ 1,279 Commercial and industrial loans 190 292 Commercial construction and land development 813 1,111 Agricultural and other loans to farmers -- 16 Total commercial loans 2,090 2,698 Residential real estate mortgages 3,157 3,452 Home equity loans 134 820 Other consumer loans 91 10 Total consumer loans 3,382 4,282 Total non-accrual loans 5,472 6,980 Accruing loans contractually past due 90 days or more 81 28 Total non-performing loans $ 5,553 $ 7,008 |
Summary Of Troubled Debt Restructures | For the Three Months Ended For the Six Months Ended June 30, 2016 June 30, 2016 Pre Post Pre Post Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number Recorded Recorded Number Recorded Recorded of Loans Investment Investment of Loans Investment Investment Commercial real estate mortgages 1 $ 30 $ 30 3 $ 425 $ 418 Agricultural and other loans to farmers -- -- -- 2 30 25 Total commercial loans 1 30 30 5 455 443 Total 1 $ 30 $ 30 5 $ 455 $ 443 For the Three Months Ended For the Six Months Ended June 30, 2015 June 30, 2015 Pre Post Pre Post Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number Recorded Recorded Number Recorded Recorded of Loans Investment Investment of Loans Investment Investment Agricultural and other loans to farmers -- $ --- $ --- 1 $ 18 $ 17 Total commercial loans -- -- -- 1 18 17 Residential real estate mortgages 2 $ 795 $ 794 3 $ 1,267 $ 1,266 Total consumer loans 2 795 794 3 1,267 1,266 Total 2 $ 795 $ 794 4 $ 1,285 $ 1,283 |
Summary Of Post-Modification Balance of Troubled Debt Restructurings | June 30, 2016 June 30, 2015 Three Six Three Six Months Months Months Months Ended Ended Ended Ended Extended maturity and adjusted interest rate $ -- $ -- $ -- $ 489 Extended maturity and adjusted payment -- 413 -- -- Adjusted payment -- -- 607 607 Adjusted payment and capitalized interest -- -- 187 187 Other concessions 30 30 -- -- Total $ 30 $ 443 $ 794 $ 1,283 |
Schedule Of Past Due Loans | >90 Days June 30, 2016 30-59 60-89 90 Days Past Due Days Days or Total Total Non and Past Due Past Due Greater Past Due Current Loans Accrual Accruing Commercial real estate mortgages $ 844 $ 103 $ 333 $ 1,280 388,753 $ 390,033 $ 1,087 $ --- Commercial and industrial 4 30 190 224 80,525 80,749 190 -- Commercial construction and land development -- -- 813 813 24,654 25,467 813 -- Agricultural and other loans to farmers 13 -- 81 94 32,987 33,081 -- 81 Residential real estate mortgages 1,488 753 991 3,232 443,701 446,933 3,157 -- Home equity 31 15 10 56 49,274 49,330 134 -- Other consumer loans 34 1 2 37 6,909 6,946 91 -- Tax exempt -- -- -- -- 16,352 16,352 -- -- Total $ 2,414 $ 902 $ 2,420 $ 5,736 $ 1,043,155 $ 1,048,891 $ 5,472 $ 81 >90 Days December 31, 2015 30-59 60-89 90 Days Past Due Days Days or Total Total Non and Past Due Past Due Greater Past Due Current Loans Accrual Accruing Commercial real estate mortgages $ 99 $ 287 $ 241 $ 627 $ 370,375 $ 371,002 $ 1,279 $ --- Commercial and industrial 9 1 271 281 79,630 79,911 292 -- Commercial construction and land development -- -- 1,111 1,111 23,815 24,926 1,111 -- Agricultural and other loans to farmers 12 70 3 85 30,918 31,003 16 3 Residential real estate mortgages 1,313 452 1,299 3,064 403,588 406,652 3,452 25 Home equity 245 -- 797 1,042 50,488 51,530 820 -- Other consumer loans 66 -- -- 66 9,632 9,698 10 -- Tax exempt -- -- -- -- 15,244 15,244 -- -- Total $ 1,744 $ 810 $ 3,722 $ 6,276 $ 983,690 $ 989,966 $ 6,980 $ 28 |
Schedule Of Impaired Loans | Details of impaired loans as of June 30, 2016 and December 31, 2015 follows: June 30, 2016 December 31, 2015 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance With no related allowance: Commercial real estate mortgages $ 1,900 $ 1,900 $ --- $ 1,692 $ 1,736 $ --- Commercial and industrial 89 89 - 202 352 - Commercial construction and land development - - - - - - Agricultural and other loans to farmers 127 127 - 106 106 - Residential real estate loans 1,214 1,330 - 1,332 1,362 - Home equity loans 17 17 - 18 18 - Other consumer - - - - - - Subtotal $ 3,347 $ 3,463 $ --- $ 3,350 $ 3,574 $ - With an allowance: Commercial real estate mortgages $ 536 $ 536 $ 43 $ 531 $ 531 $ 43 Commercial and industrial 220 370 175 224 374 175 Commercial construction and land development 813 2,738 60 1,111 3,036 58 Agricultural and other loans to farmers - - - - - - Residential real estate loans 512 628 92 515 515 97 Home equity loans - - - - - - Other consumer 7 7 - 8 8 - Subtotal $ 2,088 $ 4,279 $ 370 $ 2,389 $ 4,464 $ 373 Total $ 5,435 $ 7,742 $ 370 $ 5,739 $ 8,038 $ 373 Details of impaired loans for the three and six months ended June 30, 2016 and 2015 follows: June 30, 2016 June 30, 2015 Three Months Ended Six Months Ended Three Months Ended Six Months Ended Average Average Average Average Recorded Interest Recorded Interest Recorded Interest Recorded Interest Investment Recorded Investment Recorded Investment Recorded Investment Recorded With no related allowance: Commercial real estate mortgages $ 1,850 $ 32 $ 1,859 $ 53 $ 2,413 $ 7 $ 2,698 $ 14 Commercial and industrial 92 2 94 4 441 3 446 5 Commercial construction And land development - - - - 1,260 - 1,260 - Agricultural and other loans to farmers 128 3 135 5 113 2 118 4 Residential real estate mortgages 1,214 17 1,146 38 1,498 13 1,483 25 Home equity loans 16 - 17 1 18 - 19 1 Other consumer - - - - - - - - Subtotal $ 3,300 $ 54 $ 3,251 $ 101 $ 5,743 $ 25 $ 6,024 $ 49 With an allowance: Commercial real estate mortgages $ 482 $ --- $ 443 $ --- $ 955 $ --- $ 955 $ --- Commercial and industrial 221 - 222 - 170 - 170 - Commercial construction and land development 865 - 988 - - - - - Agricultural and other loans to farmers - - - - 54 - 54 - Residential real estate mortgages 513 - 514 - 184 - 183 - Home equity loans - - - - - - - - Other consumer 7 - 8 - 10 - 10 - Subtotal $ 2,088 $ --- $ 2,175 $ --- $ 1,373 $ --- $ 1,372 $ --- Total $ 5,388 $ 54 $ 5,426 $ 101 $ 7,116 $ 25 $ 7,396 $ 49 |
Schedule Of Loans With Credit Quality Indicators | Commercial Agricultural Commercial Commercial construction and other real estate and and land loans to June 30, 2016 mortgages industrial development farmers Total Pass $ 364,130 $ 76,628 $ 24,654 $ 32,507 $ 497,919 Other Assets Especially Mentioned 10,381 1,838 - 289 12,508 Substandard 15,509 2,281 813 285 18,888 Doubtful - - - - - Loss 13 2 - - 15 Total $ 390,033 $ 80,749 $ 25,467 $ 33,081 $ 529,330 Commercial Agricultural Commercial Commercial construction and other real estate and and land loans to December 31, 2015 mortgages industrial development farmers Total Pass $ 345,197 $ 74,771 $ 23,460 $ 30,688 $ 474,116 Other Assets Especially Mentioned 7,381 2,349 355 168 10,253 Substandard 18,424 2,790 1,111 147 22,472 Doubtful - - - - - Loss - 1 - - 1 Total $ 371,002 $ 79,911 $ 24,926 $ 31,003 $ 506,842 |
Schedule Of Allowance For Loan Losses By Portfolio Segment | Commercial Three Months Commercial Construction Ended Commercial and and land Residential Home Tax June 30, 2016 Real Estate Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,667 $ 1,233 $ 231 $ 365 $ 2,621 $ 108 $ 539 $ 50 $ 9,814 Charged Off -- (1 ) -- -- (91 ) (7 ) -- -- (99 ) Recoveries 7 3 -- -- 8 7 1 -- 26 Provision (9 ) 32 (36 ) 18 145 (8 ) 7 1 150 Ending Balance $ 4,665 $ 1,267 $ 195 $ 383 $ 2,683 $ 100 $ 547 $ 51 $ 9,891 Commercial Construction Six Months Ended Commercial Commercial and land Residential Home Tax June 30, 2016 Real Estate and Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,246 $ 1,236 $ 184 $ 307 $ 2,747 $ 111 $ 561 $ 47 $ 9,439 Charged Off (34 ) (90 ) -- -- (122 ) (17 ) -- -- (263 ) Recoveries 13 4 -- 40 28 13 2 -- 100 Provision 440 117 11 36 30 (7 ) (16 ) 4 615 Ending Balance $ 4,665 $ 1,267 $ 195 $ 383 $ 2,683 $ 100 $ 547 $ 51 $ 9,891 of which: Amount for loans individually evaluated for impairment $ 43 $ 175 $ 60 $ --- $ 54 $ 38 $ --- $ -- $ 370 Amount for loans collectively evaluated for impairment $ 4,622 $ 1,092 $ 135 $ 383 $ 2,629 $ 62 $ 547 $ 51 $ 9,521 Loans individually Evaluated for impairment $ 2,436 $ 309 $ 813 $ 127 $ 1,540 $ 7 $ 203 $ -- $ 5,435 Loans collectively Evaluated for impairment $ 387,597 $ 80,440 $ 24,654 $ 32,954 $ 445,393 $ 6,939 $ 49,127 $ 16,352 $ 1,043,456 Commercial Three Months Construction Ended Commercial Commercial and land Residential Home Tax June 30, 2015 Real Estate and Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,500 $ 1,074 $ 107 $ 334 2,875 $ 145 $ 367 $ 76 $ 9,478 Charged Off (181 ) (213 ) -- -- (70 ) (14 ) (311 ) -- (789 ) Recoveries 5 1 -- -- -- 4 -- -- 10 Provision (35 ) 285 38 38 (320 ) (25 ) 416 3 400 Ending Balance $ 4,289 $ 1,147 $ 145 $ 372 $ 2,485 $ 110 $ 472 $ 79 $ 9,099 Commercial Construction Six Months Ended Commercial Commercial and land Residential Home Tax June 30, 2015 Real Estate and Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,468 $ 929 $ 145 $ 277 $ 2,714 $ 94 $ 271 $ 71 $ 8,969 Charged Off (206 ) (288 ) -- (18 ) (70 ) (25 ) (351 ) -- (958 ) Recoveries 39 2 -- 12 129 11 -- -- 193 Provision (12 ) 504 -- 101 (288 ) 30 552 8 895 Ending Balance $ 4,289 $ 1,147 $ 145 $ 372 $ 2,485 $ 110 $ 472 $ 79 $ 9,099 of which: Amount for loans individually evaluated for impairment $ 419 $ 169 $ --- $ 47 $ 40 $ --- $ 1 $ - $ 676 Amount for loans collectively evaluated for impairment $ 3,870 $ 978 $ 145 $ 325 $ 2,445 $ 110 $ 471 $ 79 $ 8,423 Loans individually evaluated for impairment $ 2,992 $ 469 $ 1,260 $ 166 $ 1,180 $ 9 $ --- $ ---- $ 6,076 Loans collectively Evaluated for impairment $ 351,137 $ 87,733 $ 33,160 $ 33,368 $ 392,575 $ 11,132 $ 51,794 $ 16,146 $ 977,045 Commercial Twelve Months Commercial Construction Ended Commercial and and land Residential Home Tax December 31, 2015 Real Estate Industrial development Agricultural Real Estate Consumer Equity Exempt Total Beginning Balance $ 4,468 $ 929 $ 145 $ 277 $ 2,714 $ 94 $ 271 $ 71 $ 8,969 Charged Off (667 ) (323 ) --- (72 ) (70 ) (111 ) (376 ) -- (1,619 ) Recoveries 98 36 --- 18 129 22 1 -- 304 Provision 347 594 39 84 (26 ) 106 665 (24 ) 1,785 Ending Balance $ 4,246 $ 1,236 $ 184 $ 307 $ 2,747 $ 111 $ 561 $ 47 $ 9,439 of which: Amount for loans individually evaluated for impairment $ 43 $ 175 $ 58 $ --- $ 97 $ --- $ --- $ --- $ 373 Amount for loans collectively evaluated for impairment $ 4,203 $ 1,061 $ 126 $ 307 $ 2,650 $ 111 $ 561 $ 47 $ 9,066 Loans individually evaluated for impairment $ 2,223 $ 426 $ 1,111 $ 106 $ 1,847 $ 8 $ 18 $ --- $ 5,739 Loans collectively evaluated for impairment $ 368,779 $ 79,485 $ 23,815 $ 30,897 $ 404,805 $ 9,690 $ 51,512 $ 15,244 $ 984,227 |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Other Real Estate Owned [Abstract] | |
Schedule Of OREO Activity | 2016 2015 Balance at beginning of year $ 256 $ 523 Additions - - Disposals - (110 ) Writedowns (47 ) (20 ) Balance at end of period $ 209 $ 393 |
Schedule Of OREO Portfolio By Property Type | 2016 2015 Number Number of Carrying of Carrying properties value properties value Residential 2 $ 119 3 $ 143 Commercial 1 90 2 250 Total 3 $ 209 5 $ 393 |
Net Gains And Losses On OREO Properties | June 30, 2016 June 30, 2015 Three Six Three Six Months Months Months Months Ended Ended Ended Ended Net (losses) gains on OREO $ (47 ) $ (47 ) $ 44 $ 44 |
Reclassifications Out Of Accu31
Reclassifications Out Of Accumulated Other Comprehensive Income (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Reclassifications Out Of Accumulated Other Comprehensive Income [Abstract] | |
Summary Of Reclassifications Out Of Accumulated Other Comprehensive Income | Amount Reclassified from Accumulated Other Comprehensive Income Six Months Six Months Affected Line Item in the Details about Accumulated Ended Ended Statement Where Net Other Comprehensive Income June 30, 2016 June 30, 2015 Income is Presented Realized gains and losses on available-for-sale securities $ 3,135 $ 1,206 Net securities gains Tax (expense) or benefit (1,097 ) (422 ) Provision for income taxes Net of tax $ 2,038 $ 784 Net income Amortization of prior service cost and actuarial loss for supplemental executive retirement plan $ (14 ) $ (19 ) Salaries and benefits Tax (expense) or benefit 5 6 Provision for income taxes Net of tax $ (9 ) $ (13 ) Net income Total reclassification for the period $ 2,029 $ 771 |
Financial Derivative Instrume32
Financial Derivative Instruments (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Financial Derivative Instruments [Abstract] | |
Schedule of Notional Amounts of Outstanding Derivative Positions | Notional Termination 3-Month LIBOR Premium Unamortized Fair Amount Date Strike Rate Paid Premium Value $ 25,000 06/02/21 3.00 % $ 922 $ 915 $ 76 $ 20,000 06/04/24 3.00 % $ 1,470 $ 1,466 $ 284 $ 20,000 10/21/21 3.00 % $ 632 $ 631 $ 83 $ 25,000 10/21/24 3.00 % $ 1,542 $ 1,541 $ 399 |
Schedule of Interest Rate Derivatives | Gross Net of Tax June 30, 2016 Unrealized loss on interest rate caps $ (3,711 ) $ (2,412 ) Unamortized premium on interest rate caps 4,553 2,959 Total $ 842 $ 547 December 31, 2015 Unrealized loss on interest rate caps $ (2,495 ) $ (1,621 ) Unamortized premium on interest rate caps 4,564 2,966 Total $ 2,069 $ 1,345 |
Retirement Benefit Plans (Table
Retirement Benefit Plans (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Retirement Benefit Plans [Abstract] | |
Schedule Of Components Of Net Periodic Benefit Cost | Supplemental Executive Retirement Plans Three Months Ended June 30, 2016 2015 Service cost $ 18 $ 19 Interest cost 32 31 Actuarial loss on supplemental executive retirement plan 7 8 Net periodic benefit cost $ 57 $ 58 Six Months Ended June 30, Service cost $ 36 $ 36 Interest cost 64 62 Actuarial loss on supplemental executive retirement plan 14 19 Net periodic benefit cost $ 114 $ 117 |
Commitments And Contingent Li34
Commitments And Contingent Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Commitments And Contingent Liabilities [Abstract] | |
Schedule Of Contractual Amounts Of Commitments And Contingent Liabilities | June 30, December 31, 2016 2015 Commitments to originate loans $ 25,047 $ 41,529 Unused lines of credit $ 93,974 $ 97,283 Un-advanced portions of construction loans $ 24,180 $ 12,719 Standby letters of credit $ 385 $ 385 |
Goodwill And Other Intangible35
Goodwill And Other Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Goodwill And Other Intangible Assets [Abstract] | |
Schedule Of Core Deposits Intangible Assets | June 30, December 31, 2016 2015 Gross carrying amount $ 783 $ 783 Less: accumulated amortization 359 313 Net carrying amount $ 424 $ 470 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Measurements [Abstract] | |
Financial Assets And Financial Liabilities Measured At Fair Value On A Recurring Basis | Level 1 Level 2 Level 3 Total Fair June 30, 2016 Inputs Inputs Inputs Value Securities available for sale: Mortgage-backed securities: US Government-sponsored enterprises $ --- $ 332,980 $ --- $ 332,980 US Government agencies $ --- $ 82,368 $ --- $ 82,368 Private label $ --- $ 1,327 $ --- $ 1,327 Obligations of states and political subdivisions thereof $ --- $ 115,915 $ --- $ 115,915 Derivative assets $ --- $ 842 $ --- $ 842 Level 1 Level 2 Level 3 Total Fair December 31, 2015 Inputs Inputs Inputs Value Securities available for sale: Mortgage-backed securities: US Government-sponsored enterprises $ --- $ 306,993 $ --- $ 306,993 US Government agencies $ --- $ 79,130 $ --- $ 79,130 Private label $ --- $ 3,464 $ --- $ 3,464 Obligations of states and political subdivisions thereof $ --- $ 115,382 $ --- $ 115,382 Derivative assets $ --- $ 2,069 $ --- $ 2,069 |
Financial Assets And Financial Liabilities Measured At Fair Value On A Non-Recurring Basis | Level 1 Level 2 Level 3 As of June 30, 2016 Inputs Inputs Inputs Fair Value Loss Other real estate owned $ --- $ --- $ 209 $ 209 $ 47 Collateral dependent impaired loans $ --- $ --- $ 2,769 $ 2,769 $ --- Level 1 Level 2 Level 3 As of December 31, 2015 Inputs Inputs Inputs Fair Value Loss Other real estate owned $ --- $ --- $ 256 $ 256 $ 27 Collateral dependent impaired loans $ --- $ --- $ 1,999 $ 1,999 $ --- |
Fair Value Of Financial Instr37
Fair Value Of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Fair Value Of Financial Instruments [Abstract] | |
Summary Of The Carrying Values And Estimated Fair Values Of Financial Instruments | Carrying Level 1 Level 2 Level 3 Total June 30, 2016 Value Inputs Inputs Inputs Fair Value Financial Assets: Cash and cash equivalents $ 25,867 $ 25,867 $ -- $ -- $ 25,867 Federal Home Loan Bank stock 26,713 -- 26,713 -- 26,713 Loans, net 1,039,131 -- -- 1,041,964 1,041,964 Interest receivable 6,252 -- 6,252 -- 6,252 Financial liabilities: Deposits (with no stated maturity) $ 532,958 $ -- $ 532,958 $ -- $ 532,958 Time deposits 456,858 -- 461,990 -- 461,990 Borrowings 525,102 -- 526,690 -- 526,690 Interest payable 562 -- 562 -- 562 Carrying Level 1 Level 2 Level 3 Total December 31, 2015 Value Inputs Inputs Inputs Fair Value Financial Assets: Cash and cash equivalents $ 9,720 $ 9,720 $ -- $ -- $ 9,720 Federal Home Loan Bank stock 21,479 -- 21,479 -- 21,479 Loans, net 980,631 -- -- 975,610 975,610 Interest receivable 5,420 -- 5,420 -- 5,420 Financial liabilities: Deposits (with no stated maturity) $ 546,058 $ -- $ 546,058 $ -- $ 546,058 Time deposits 396,729 -- 399,146 -- 399,146 Borrowings 474,791 -- 473,404 -- 473,404 Interest payable 527 -- 527 -- 527 |
Subsequent Events (Narrative) (
Subsequent Events (Narrative) (Details) - Subsequent Event [Member] | Jul. 19, 2016USD ($)item$ / shares |
Business Acquisition [Line Items] | |
Dividends payable, date declared | Jul. 19, 2016 |
Dividends payable, cents per share | $ / shares | $ 27.5 |
Dividends payable, increase in cents | $ | $ 2 |
Dividends payable, increase in percentage | 7.80% |
Dividends payable, date of record | Aug. 15, 2016 |
Dividends payable, date to be paid | Sep. 15, 2016 |
Dividends payable, number of consecutive quarters increase quarterly cash dividend | item | 21 |
Merger And Acquisition Activi39
Merger And Acquisition Activity (Narrative) (Details) - Lake Sunapee Bank Group [Member] $ in Thousands | May 05, 2016USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2016USD ($)item |
Business Acquisition [Line Items] | |||
Date of acquisition agreement | May 5, 2016 | ||
Acquisition, all-stock transaction value | $ 143,000 | ||
Acquisition, pro forma market cap | 350,000 | ||
Number of branches | item | 49 | ||
Acquisition, non-recurring expenses | $ 492 | $ 492 | |
Assets [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition, assets acquired | 3,300,000 | ||
Assets Under Management [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition, assets acquired | 2,000,000 | ||
Loans [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition, liabilities assumed | 2,400,000 | ||
Deposits [Member] | |||
Business Acquisition [Line Items] | |||
Acquisition, assets acquired | $ 2,200,000 |
Management's Use Of Estimates40
Management's Use Of Estimates (Narrative) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Management's Use Of Estimates [Abstract] | ||
Deferred tax assets, valuation allowance | $ 0 | $ 0 |
Earnings Per Share (Reconciliat
Earnings Per Share (Reconciliation Of Basic And Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 4,311 | $ 3,873 | $ 8,717 | $ 7,754 |
Weighted average common shares outstanding | ||||
Basic | 6,021,316 | 5,973,758 | 6,015,257 | 5,963,704 |
Effect of dilutive employee stock options | 64,985 | 90,655 | 68,110 | 86,418 |
Diluted | 6,086,301 | 6,064,413 | 6,083,367 | 6,050,122 |
Anti-dilutive options excluded from earnings per share calculation | 75,763 | 10,950 | 80,263 | 11,197 |
Per Common Share Data: | ||||
Basic earnings per share | $ 0.72 | $ 0.65 | $ 1.45 | $ 1.30 |
Diluted earnings per share | $ 0.71 | $ 0.64 | $ 1.43 | $ 1.28 |
Securities Available For Sale42
Securities Available For Sale (Narrative) (Details) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2016USD ($)securityshares | Dec. 31, 2015USD ($) | |
Schedule of Available for sale Securities [Line Items] | ||
Unrealized gain, net of tax | $ 135 | $ 462 |
Unrealized losses on securities | 604 | 3,041 |
US Government-Sponsored Enterprises [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Unrealized losses on securities | 397 | 2,155 |
US Government Agencies [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Unrealized losses on securities | $ 97 | 547 |
Private Label [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Private-label MBS (debt securities), amount held | security | 4 | |
Amortized cost included OTTI losses | $ 48 | |
Unrealized losses on securities | 19 | 11 |
Obligations Of States And Political Subdivisions Thereof [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Unrealized losses on securities | $ 91 | $ 328 |
Bar Harbor Bank & Trust [Member] | Visa Class B [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Number of Visa Class shares owned | shares | 11,623 | |
Bar Harbor Bank & Trust [Member] | Visa Class A [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Number of Visa Class shares owned | shares | 19,158 | |
Conversion ratio, Visa Class | 1.648 |
Securities Available For Sale43
Securities Available For Sale (Summary Of Securities Available For Sale) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Schedule of Available for sale Securities [Line Items] | ||
Available for Sale, Amortized Cost | $ 515,182 | $ 496,179 |
Available for Sale, Gross Unrealized Gains | 18,012 | 11,831 |
Available for Sale, Gross Unrealized Losses | 604 | 3,041 |
Available for Sale, Estimated Fair Value | 532,590 | 504,969 |
US Government-Sponsored Enterprises [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Available for Sale, Amortized Cost | 323,684 | 304,106 |
Available for Sale, Gross Unrealized Gains | 9,693 | 5,042 |
Available for Sale, Gross Unrealized Losses | 397 | 2,155 |
Available for Sale, Estimated Fair Value | 332,980 | 306,993 |
US Government Agencies [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Available for Sale, Amortized Cost | 80,472 | 78,408 |
Available for Sale, Gross Unrealized Gains | 1,993 | 1,269 |
Available for Sale, Gross Unrealized Losses | 97 | 547 |
Available for Sale, Estimated Fair Value | 82,368 | 79,130 |
Private Label [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Available for Sale, Amortized Cost | 1,128 | 2,713 |
Available for Sale, Gross Unrealized Gains | 218 | 762 |
Available for Sale, Gross Unrealized Losses | 19 | 11 |
Available for Sale, Estimated Fair Value | 1,327 | 3,464 |
Obligations Of States And Political Subdivisions Thereof [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Available for Sale, Amortized Cost | 109,898 | 110,952 |
Available for Sale, Gross Unrealized Gains | 6,108 | 4,758 |
Available for Sale, Gross Unrealized Losses | 91 | 328 |
Available for Sale, Estimated Fair Value | $ 115,915 | $ 115,382 |
Securities Available For Sale44
Securities Available For Sale (Summary Of Maturities Distribution Of The Amortized Cost And Estimated Fair Value Of Securities Available For Sale) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Securities Available For Sale [Abstract] | ||
Amortized Cost, Due one year or less | $ 167 | |
Amortized Cost, Due after one year through five years | 5,592 | |
Amortized Cost, Due after five years through ten years | 13,889 | |
Amortized Cost, Due after ten years | 495,534 | |
Securities Available for Sale, Amortized Cost | 515,182 | $ 496,179 |
Estimated Fair Value, Due one year or less | 168 | |
Estimated Fair Value, Due after one year through five years | 5,732 | |
Estimated Fair Value, Due after five years through ten years | 14,762 | |
Estimated Fair Value, Due after ten years | 511,928 | |
Securities Available for Sale, Estimated Fair Value | $ 532,590 | $ 504,969 |
Securities Available For Sale45
Securities Available For Sale (Schedule Of OTTI Related To Historical Estimated Credit Losses On Debt Securities And Changes In Estimated Credit Losses Recognized In Pre-Tax Earnings) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Securities Available For Sale [Abstract] | ||||
Estimated credit losses as of prior year-end, | $ 2,793 | $ 3,413 | $ 3,180 | $ 3,413 |
Additions for credit losses for securities on which OTTI has been previously recognized | ||||
Additions for credit losses for securities on which OTTI has not been previously recognized | ||||
Reductions for securities paid off during the period | 1,096 | 233 | 1,483 | 233 |
Estimated credit losses as of | $ 1,697 | $ 3,180 | $ 1,697 | $ 3,180 |
Securities Available For Sale46
Securities Available For Sale (Summary Of Fair Value Of Securities With Continuous Unrealized Losses) (Details) $ in Thousands | Jun. 30, 2016USD ($)security | Dec. 31, 2015USD ($)security |
Schedule of Available for sale Securities [Line Items] | ||
Securities with continuous unrealized losses, Less than 12 months, Estimated Fair Value | $ 46,108 | $ 148,059 |
Securities with continuous unrealized losses, Less than 12 months, Number of Investments | security | 60 | 199 |
Securities with continuous unrealized losses, Less than 12 months, Unrealized Losses | $ 268 | $ 1,880 |
Securities with continuous unrealized losses, 12 months or longer, Estimated Fair Value | $ 19,834 | $ 38,756 |
Securities with continuous unrealized losses, 12 months or longer, Number of Investments | security | 54 | 71 |
Securities with continuous unrealized losses, 12 months or longer, Unrealized Losses | $ 336 | $ 1,161 |
Securities with continuous unrealized losses, Total, Estimated Fair Value | $ 65,942 | $ 186,815 |
Securities with continuous unrealized losses, Total, Number of Investments | security | 114 | 270 |
Securities with continuous unrealized losses, Total, Unrealized Losses | $ 604 | $ 3,041 |
US Government-Sponsored Enterprises [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Securities with continuous unrealized losses, Less than 12 months, Estimated Fair Value | $ 35,865 | $ 112,770 |
Securities with continuous unrealized losses, Less than 12 months, Number of Investments | security | 42 | 142 |
Securities with continuous unrealized losses, Less than 12 months, Unrealized Losses | $ 224 | $ 1,342 |
Securities with continuous unrealized losses, 12 months or longer, Estimated Fair Value | $ 9,678 | $ 23,646 |
Securities with continuous unrealized losses, 12 months or longer, Number of Investments | security | 22 | 33 |
Securities with continuous unrealized losses, 12 months or longer, Unrealized Losses | $ 173 | $ 813 |
Securities with continuous unrealized losses, Total, Estimated Fair Value | $ 45,543 | $ 136,416 |
Securities with continuous unrealized losses, Total, Number of Investments | security | 64 | 175 |
Securities with continuous unrealized losses, Total, Unrealized Losses | $ 397 | $ 2,155 |
US Government Agencies [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Securities with continuous unrealized losses, Less than 12 months, Estimated Fair Value | $ 7,619 | $ 20,201 |
Securities with continuous unrealized losses, Less than 12 months, Number of Investments | security | 11 | 30 |
Securities with continuous unrealized losses, Less than 12 months, Unrealized Losses | $ 27 | $ 326 |
Securities with continuous unrealized losses, 12 months or longer, Estimated Fair Value | $ 4,920 | $ 11,232 |
Securities with continuous unrealized losses, 12 months or longer, Number of Investments | security | 16 | 22 |
Securities with continuous unrealized losses, 12 months or longer, Unrealized Losses | $ 70 | $ 221 |
Securities with continuous unrealized losses, Total, Estimated Fair Value | $ 12,539 | $ 31,433 |
Securities with continuous unrealized losses, Total, Number of Investments | security | 27 | 52 |
Securities with continuous unrealized losses, Total, Unrealized Losses | $ 97 | $ 547 |
Private Label [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Securities with continuous unrealized losses, Less than 12 months, Estimated Fair Value | $ 198 | $ 235 |
Securities with continuous unrealized losses, Less than 12 months, Number of Investments | security | 2 | 2 |
Securities with continuous unrealized losses, Less than 12 months, Unrealized Losses | $ 10 | $ 2 |
Securities with continuous unrealized losses, 12 months or longer, Estimated Fair Value | $ 159 | $ 178 |
Securities with continuous unrealized losses, 12 months or longer, Number of Investments | security | 5 | 5 |
Securities with continuous unrealized losses, 12 months or longer, Unrealized Losses | $ 9 | $ 9 |
Securities with continuous unrealized losses, Total, Estimated Fair Value | $ 357 | $ 413 |
Securities with continuous unrealized losses, Total, Number of Investments | security | 7 | 7 |
Securities with continuous unrealized losses, Total, Unrealized Losses | $ 19 | $ 11 |
Obligations Of States And Political Subdivisions Thereof [Member] | ||
Schedule of Available for sale Securities [Line Items] | ||
Securities with continuous unrealized losses, Less than 12 months, Estimated Fair Value | $ 2,426 | $ 14,853 |
Securities with continuous unrealized losses, Less than 12 months, Number of Investments | security | 5 | 25 |
Securities with continuous unrealized losses, Less than 12 months, Unrealized Losses | $ 7 | $ 210 |
Securities with continuous unrealized losses, 12 months or longer, Estimated Fair Value | $ 5,077 | $ 3,700 |
Securities with continuous unrealized losses, 12 months or longer, Number of Investments | security | 11 | 11 |
Securities with continuous unrealized losses, 12 months or longer, Unrealized Losses | $ 84 | $ 118 |
Securities with continuous unrealized losses, Total, Estimated Fair Value | $ 7,503 | $ 18,553 |
Securities with continuous unrealized losses, Total, Number of Investments | security | 16 | 36 |
Securities with continuous unrealized losses, Total, Unrealized Losses | $ 91 | $ 328 |
Securities Available For Sale47
Securities Available For Sale (Summary Of Realized Gains And Losses And Other-Than-Temporary Impairment Losses On Securities) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Securities Available For Sale [Abstract] | ||||
Proceeds from Sale of Securities Available for Sale | $ 23,142 | $ 11,487 | $ 44,655 | $ 20,428 |
Realized Gains | 1,699 | 587 | 3,135 | 1,206 |
Net | $ 1,699 | $ 587 | $ 3,135 | $ 1,206 |
Loans And Allowance For Loan 48
Loans And Allowance For Loan Losses (Narrative) (Details) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2016USD ($)loan | Jun. 30, 2015USD ($)loan | Dec. 31, 2015USD ($)loan | Dec. 31, 2014USD ($) | |
Loans And Allowance For Loan Losses [Line Items] | ||||
Period of delinquency after which a loan is placed on non-accruals status | 90 days | |||
Loans charge off period | 120 days | |||
Loan returned to accrual status, performance required, months | 6 months | |||
Number of TDRs classified as non-accrual | loan | 6 | 6 | ||
Number of defaulted loans that had been modified as TDRs | loan | 1 | 0 | ||
Modified troubled debt restructurings resulting in default | $ 40 | |||
Number of relationships to loans classified as troubled debt restructurings | loan | 21 | 17 | ||
Loans | $ 529,330 | $ 506,842 | ||
Loans to relationships classified as TDRs, Total | 3,387 | 3,162 | ||
Accruing loans contractually past due 30 days or more, total amount | 0 | 0 | ||
Default amounts on loans that had been modified as TDRs | 879 | 826 | ||
Total other real estate owned | $ 209 | $ 393 | $ 256 | $ 523 |
Minimum [Member] | Commercial Real Estate Mortgages [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of years for which principally collateralized loans are amortized | 15 years | |||
Minimum [Member] | Residential Real Estate Mortgages [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of years for which principally collateralized loans are amortized | 10 years | |||
Maximum [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Percentage of appraised value of residential real estate loans | 80.00% | |||
Maximum [Member] | Commercial Real Estate Mortgages [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of years for which principally collateralized loans are amortized | 20 years | |||
Maximum [Member] | Residential Real Estate Mortgages [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of years for which principally collateralized loans are amortized | 30 years | |||
Home Equity Loans [Member] | Maximum [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Combined loan-to-value ratio | 85.00% | |||
Commercial Real Estate [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of loans, classified as TDRs, to relationships | loan | 10 | 7 | ||
Real Estate Secured [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of loans, classified as TDRs, to relationships | loan | 8 | 8 | ||
Commercial And Industrial [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of loans, classified as TDRs, to relationships | loan | 4 | 4 | ||
Loans | $ 80,749 | $ 79,911 | ||
Commercial And Industrial [Member] | Maximum [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of years for which principally collateralized loans are amortized | 10 years | |||
Commercial Construction And Land Development [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Loans | $ 25,467 | $ 24,926 | ||
Commercial Construction And Land Development [Member] | Minimum [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of months for which principally collateralized loans are amortized | 6 months | |||
Commercial Construction And Land Development [Member] | Maximum [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of months for which principally collateralized loans are amortized | 24 months | |||
Agricultural And Other Loans To Farmers [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of loans, classified as TDRs, to relationships | loan | 4 | 2 | ||
Other Consumer Loans [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Number of loans, classified as TDRs, to relationships | loan | 1 | 1 | ||
Lodging And Hospitality Industry [Member] | ||||
Loans And Allowance For Loan Losses [Line Items] | ||||
Percentage of commercial real estate mortgage portfolio | 31.00% | |||
Loans | $ 123,595 | $ 98,231 |
Loans And Allowance For Loan 49
Loans And Allowance For Loan Losses (Summary Of Composition Of Loan Portfolio) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Net deferred loan costs and fees | $ 131 | $ 104 |
Total loans | 1,049,022 | 990,070 |
Allowance for loan losses | (9,891) | (9,439) |
Loans, net of allowance for loan losses | 1,039,131 | 980,631 |
Commercial Real Estate Mortgages [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | 390,033 | 371,002 |
Commercial And Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | 80,749 | 79,911 |
Commercial Construction And Land Development [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | 25,467 | 24,926 |
Agricultural And Other Loans To Farmers [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | 33,081 | 31,003 |
Commercial Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | 529,330 | 506,842 |
Residential Real Estate Mortgages [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | 446,933 | 408,401 |
Home Equity Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | 49,330 | 51,530 |
Other Consumer Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | 6,946 | 7,949 |
Consumer Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | 503,209 | 467,880 |
Tax Exempt Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases receivable, gross | $ 16,352 | $ 15,244 |
Loans And Allowance For Loan 50
Loans And Allowance For Loan Losses (Summary Of Non Performing Loans) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total non-accrual loans | $ 5,472 | $ 6,980 |
Accruing loans contractually past due 90 days or more | 81 | 28 |
Non-Performing [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total commercial loans | 2,090 | 2,698 |
Total consumer loans | 3,382 | 4,282 |
Total non-accrual loans | 5,472 | 6,980 |
Accruing loans contractually past due 90 days or more | 81 | 28 |
Total non-performing loans | 5,553 | 7,008 |
Commercial Real Estate Mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total non-accrual loans | 1,087 | 1,279 |
Accruing loans contractually past due 90 days or more | ||
Commercial Real Estate Mortgages [Member] | Non-Performing [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total commercial loans | 1,087 | 1,279 |
Commercial And Industrial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total non-accrual loans | 190 | 292 |
Accruing loans contractually past due 90 days or more | ||
Commercial And Industrial [Member] | Non-Performing [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total commercial loans | 190 | 292 |
Commercial Construction And Land Development [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total non-accrual loans | 813 | 1,111 |
Accruing loans contractually past due 90 days or more | ||
Commercial Construction And Land Development [Member] | Non-Performing [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total commercial loans | 813 | 1,111 |
Agriculture And Other Loans To Farmers [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total non-accrual loans | 16 | |
Accruing loans contractually past due 90 days or more | 81 | 3 |
Agriculture And Other Loans To Farmers [Member] | Non-Performing [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total commercial loans | 16 | |
Residential Real Estate Mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total non-accrual loans | 3,157 | 3,452 |
Accruing loans contractually past due 90 days or more | 25 | |
Residential Real Estate Mortgages [Member] | Non-Performing [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total consumer loans | 3,157 | 3,452 |
Home Equity Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total non-accrual loans | 134 | 820 |
Accruing loans contractually past due 90 days or more | ||
Home Equity Loans [Member] | Non-Performing [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total consumer loans | 134 | 820 |
Other Consumer Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total non-accrual loans | 91 | 10 |
Accruing loans contractually past due 90 days or more | ||
Other Consumer Loans [Member] | Non-Performing [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total consumer loans | $ 91 | $ 10 |
Loans And Allowance For Loan 51
Loans And Allowance For Loan Losses (Summary Of Troubled Debt Restructures) (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016USD ($)loan | Jun. 30, 2015USD ($)loan | Jun. 30, 2016USD ($)loan | Jun. 30, 2015USD ($)loan | |
Financing Receivable, Modifications [Line Items] | ||||
Number of Loans | loan | 1 | 2 | 5 | 4 |
Pre-Modification Outstanding Recorded Investment | $ 30 | $ 795 | $ 455 | $ 1,285 |
Post-Modification Outstanding Recorded Investment | $ 30 | $ 794 | $ 443 | $ 1,283 |
Commercial Real Estate Mortgages [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of Loans | loan | 1 | 3 | ||
Pre-Modification Outstanding Recorded Investment | $ 30 | $ 425 | ||
Post-Modification Outstanding Recorded Investment | $ 30 | $ 418 | ||
Agriculture And Other Loans To Farmers [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of Loans | loan | 2 | 1 | ||
Pre-Modification Outstanding Recorded Investment | $ 30 | $ 18 | ||
Post-Modification Outstanding Recorded Investment | $ 25 | $ 17 | ||
Commercial Loans [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of Loans | loan | 1 | 5 | 1 | |
Pre-Modification Outstanding Recorded Investment | $ 30 | $ 455 | $ 18 | |
Post-Modification Outstanding Recorded Investment | $ 30 | $ 443 | $ 17 | |
Residential Real Estate Mortgages [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of Loans | loan | 2 | 3 | ||
Pre-Modification Outstanding Recorded Investment | $ 795 | $ 1,267 | ||
Post-Modification Outstanding Recorded Investment | $ 794 | $ 1,266 | ||
Consumer Loans [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of Loans | loan | 2 | 3 | ||
Pre-Modification Outstanding Recorded Investment | $ 795 | $ 1,267 | ||
Post-Modification Outstanding Recorded Investment | $ 794 | $ 1,266 |
Loans And Allowance For Loan 52
Loans And Allowance For Loan Losses (Summary Of Post-Modification Balance of Troubled Debt Restructurings) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Loans And Allowance For Loan Losses [Abstract] | ||||
Extended maturity and adjusted interest rate | $ 489 | |||
Extended maturity and adjusted payment | $ 413 | |||
Adjusted payment | $ 607 | 607 | ||
Adjusted payment and capitalize interest | 187 | 187 | ||
Other concessions | $ 30 | 30 | ||
Total | $ 30 | $ 794 | $ 443 | $ 1,283 |
Loans And Allowance For Loan 53
Loans And Allowance For Loan Losses (Schedule Of Past Due Loans) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 5,736 | $ 6,276 |
Current | 1,043,155 | 983,690 |
Total Loans | 1,048,891 | 989,966 |
Non-Accrual | 5,472 | 6,980 |
Greater Than 90 Days Past Due and Accruing | 81 | 28 |
30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 2,414 | 1,744 |
60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 902 | 810 |
90 Days Or Greater [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 2,420 | 3,722 |
Commercial Real Estate Mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,280 | 627 |
Current | 388,753 | 370,375 |
Total Loans | 390,033 | 371,002 |
Non-Accrual | 1,087 | 1,279 |
Greater Than 90 Days Past Due and Accruing | ||
Commercial Real Estate Mortgages [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 844 | 99 |
Commercial Real Estate Mortgages [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 103 | 287 |
Commercial Real Estate Mortgages [Member] | 90 Days Or Greater [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 333 | 241 |
Commercial And Industrial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 224 | 281 |
Current | 80,525 | 79,630 |
Total Loans | 80,749 | 79,911 |
Non-Accrual | 190 | 292 |
Greater Than 90 Days Past Due and Accruing | ||
Commercial And Industrial [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 4 | 9 |
Commercial And Industrial [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 30 | 1 |
Commercial And Industrial [Member] | 90 Days Or Greater [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 190 | 271 |
Commercial Construction And Land Development [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 813 | 1,111 |
Current | 24,654 | 23,815 |
Total Loans | 25,467 | 24,926 |
Non-Accrual | 813 | 1,111 |
Greater Than 90 Days Past Due and Accruing | ||
Commercial Construction And Land Development [Member] | 90 Days Or Greater [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 813 | 1,111 |
Agriculture And Other Loans To Farmers [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 94 | 85 |
Current | 32,987 | 30,918 |
Total Loans | 33,081 | 31,003 |
Non-Accrual | 16 | |
Greater Than 90 Days Past Due and Accruing | 81 | 3 |
Agriculture And Other Loans To Farmers [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 13 | 12 |
Agriculture And Other Loans To Farmers [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 70 | |
Agriculture And Other Loans To Farmers [Member] | 90 Days Or Greater [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 81 | 3 |
Residential Real Estate Mortgages [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 3,232 | 3,064 |
Current | 443,701 | 403,588 |
Total Loans | 446,933 | 406,652 |
Non-Accrual | 3,157 | 3,452 |
Greater Than 90 Days Past Due and Accruing | 25 | |
Residential Real Estate Mortgages [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1,488 | 1,313 |
Residential Real Estate Mortgages [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 753 | 452 |
Residential Real Estate Mortgages [Member] | 90 Days Or Greater [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 991 | 1,299 |
Home Equity Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 56 | 1,042 |
Current | 49,274 | 50,488 |
Total Loans | 49,330 | 51,530 |
Non-Accrual | 134 | 820 |
Greater Than 90 Days Past Due and Accruing | ||
Home Equity Loans [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 31 | 245 |
Home Equity Loans [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 15 | |
Home Equity Loans [Member] | 90 Days Or Greater [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 10 | 797 |
Other Consumer Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 37 | 66 |
Current | 6,909 | 9,632 |
Total Loans | 6,946 | 9,698 |
Non-Accrual | 91 | 10 |
Greater Than 90 Days Past Due and Accruing | ||
Other Consumer Loans [Member] | 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 34 | 66 |
Other Consumer Loans [Member] | 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 1 | |
Other Consumer Loans [Member] | 90 Days Or Greater [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 2 | |
Tax Exempt [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 16,352 | 15,244 |
Total Loans | 16,352 | $ 15,244 |
Greater Than 90 Days Past Due and Accruing |
Loans And Allowance For Loan 54
Loans And Allowance For Loan Losses (Schedule Of Impaired Loans) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans, with no related allowance, Recorded Investment | $ 3,347 | $ 3,347 | $ 3,350 | ||
Impaired loans, with no related allowance, Unpaid Principal Balance | 3,463 | 3,463 | 3,574 | ||
Impaired loans, with related allowance, Recorded Investment | 2,088 | 2,088 | 2,389 | ||
Impaired loans, with related allowance, Unpaid Principal Balance | 4,279 | 4,279 | 4,464 | ||
Impaired Financing Receivable, Recorded Investment | 5,435 | 5,435 | 5,739 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 7,742 | 7,742 | 8,038 | ||
Impaired loans, Related Allowance | 370 | 370 | 373 | ||
Impaired loans, with no related allowance, Average Recorded Investment | 3,300 | $ 5,743 | 3,251 | $ 6,024 | |
Impaired loans, with no related allowance, Interest Recorded | 54 | 25 | 101 | 49 | |
Impaired loans, with related allowance, Average Recorded Investment | 2,088 | 1,373 | 2,175 | 1,372 | |
Impaired loans, with related allowance, Interest Recorded | |||||
Impaired loans, Average Recorded Investment, Total | 5,388 | 7,116 | 5,426 | 7,396 | |
Impaired loans, Interest Recorded, Total | 54 | 25 | 101 | 49 | |
Commercial Real Estate Mortgages [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans, with no related allowance, Recorded Investment | 1,900 | 1,900 | 1,692 | ||
Impaired loans, with no related allowance, Unpaid Principal Balance | 1,900 | 1,900 | 1,736 | ||
Impaired loans, with related allowance, Recorded Investment | 536 | 536 | 531 | ||
Impaired loans, with related allowance, Unpaid Principal Balance | 536 | 536 | 531 | ||
Impaired loans, Related Allowance | 43 | 43 | 43 | ||
Impaired loans, with no related allowance, Average Recorded Investment | 1,850 | 2,413 | 1,859 | 2,698 | |
Impaired loans, with no related allowance, Interest Recorded | 32 | 7 | 53 | 14 | |
Impaired loans, with related allowance, Average Recorded Investment | 482 | 955 | 443 | 955 | |
Impaired loans, with related allowance, Interest Recorded | |||||
Commercial And Industrial [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans, with no related allowance, Recorded Investment | 89 | 89 | 202 | ||
Impaired loans, with no related allowance, Unpaid Principal Balance | 89 | 89 | 352 | ||
Impaired loans, with related allowance, Recorded Investment | 220 | 220 | 224 | ||
Impaired loans, with related allowance, Unpaid Principal Balance | 370 | 370 | 374 | ||
Impaired loans, Related Allowance | 175 | 175 | 175 | ||
Impaired loans, with no related allowance, Average Recorded Investment | 92 | 441 | 94 | 446 | |
Impaired loans, with no related allowance, Interest Recorded | 2 | 3 | 4 | 5 | |
Impaired loans, with related allowance, Average Recorded Investment | 221 | 170 | 222 | 170 | |
Impaired loans, with related allowance, Interest Recorded | |||||
Commercial Construction And Land Development [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans, with related allowance, Recorded Investment | 813 | 813 | 1,111 | ||
Impaired loans, with related allowance, Unpaid Principal Balance | 2,738 | 2,738 | 3,036 | ||
Impaired loans, Related Allowance | 60 | 60 | 58 | ||
Impaired loans, with no related allowance, Average Recorded Investment | 1,260 | 1,260 | |||
Impaired loans, with no related allowance, Interest Recorded | |||||
Impaired loans, with related allowance, Average Recorded Investment | 865 | 988 | |||
Impaired loans, with related allowance, Interest Recorded | |||||
Agriculture And Other Loans To Farmers [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans, with no related allowance, Recorded Investment | 127 | 127 | 106 | ||
Impaired loans, with no related allowance, Unpaid Principal Balance | 127 | 127 | 106 | ||
Impaired loans, with no related allowance, Average Recorded Investment | 128 | 113 | 135 | 118 | |
Impaired loans, with no related allowance, Interest Recorded | 3 | 2 | 5 | 4 | |
Impaired loans, with related allowance, Average Recorded Investment | 54 | 54 | |||
Impaired loans, with related allowance, Interest Recorded | |||||
Residential Real Estate Loans [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans, with no related allowance, Recorded Investment | 1,214 | 1,214 | 1,332 | ||
Impaired loans, with no related allowance, Unpaid Principal Balance | 1,330 | 1,330 | 1,362 | ||
Impaired loans, with related allowance, Recorded Investment | 512 | 512 | 515 | ||
Impaired loans, with related allowance, Unpaid Principal Balance | 628 | 628 | 515 | ||
Impaired loans, Related Allowance | 92 | 92 | 97 | ||
Impaired loans, with no related allowance, Average Recorded Investment | 1,214 | 1,498 | 1,146 | 1,483 | |
Impaired loans, with no related allowance, Interest Recorded | 17 | 13 | 38 | 25 | |
Impaired loans, with related allowance, Average Recorded Investment | 513 | 184 | 514 | 183 | |
Impaired loans, with related allowance, Interest Recorded | |||||
Home Equity Loans [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans, with no related allowance, Recorded Investment | 17 | 17 | 18 | ||
Impaired loans, with no related allowance, Unpaid Principal Balance | 17 | 17 | 18 | ||
Impaired loans, with no related allowance, Average Recorded Investment | 16 | 18 | 17 | 19 | |
Impaired loans, with no related allowance, Interest Recorded | 1 | 1 | |||
Impaired loans, with related allowance, Interest Recorded | |||||
Other Consumer Loans [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans, with no related allowance, Recorded Investment | |||||
Impaired loans, with no related allowance, Unpaid Principal Balance | |||||
Impaired loans, with related allowance, Recorded Investment | 7 | 7 | 8 | ||
Impaired loans, with related allowance, Unpaid Principal Balance | 7 | 7 | 8 | ||
Impaired loans, Related Allowance | |||||
Impaired loans, with no related allowance, Interest Recorded | |||||
Impaired loans, with related allowance, Average Recorded Investment | 7 | $ 10 | $ 8 | $ 10 | |
Impaired loans, with related allowance, Interest Recorded |
Loans And Allowance For Loan 55
Loans And Allowance For Loan Losses (Schedule Of Loans With Credit Quality Indicators) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | $ 529,330 | $ 506,842 |
Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 497,919 | 474,116 |
Other Assets Especially Mentioned [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 12,508 | 10,253 |
Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 18,888 | 22,472 |
Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | ||
Loss [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 15 | 1 |
Commercial Real Estate Mortgages [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 390,033 | 371,002 |
Commercial Real Estate Mortgages [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 364,130 | 345,197 |
Commercial Real Estate Mortgages [Member] | Other Assets Especially Mentioned [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 10,381 | 7,381 |
Commercial Real Estate Mortgages [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 15,509 | 18,424 |
Commercial Real Estate Mortgages [Member] | Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | ||
Commercial Real Estate Mortgages [Member] | Loss [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 13 | |
Commercial And Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 80,749 | 79,911 |
Commercial And Industrial [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 76,628 | 74,771 |
Commercial And Industrial [Member] | Other Assets Especially Mentioned [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 1,838 | 2,349 |
Commercial And Industrial [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 2,281 | 2,790 |
Commercial And Industrial [Member] | Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | ||
Commercial And Industrial [Member] | Loss [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 2 | 1 |
Commercial Construction And Land Development [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 25,467 | 24,926 |
Commercial Construction And Land Development [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 24,654 | 23,460 |
Commercial Construction And Land Development [Member] | Other Assets Especially Mentioned [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 355 | |
Commercial Construction And Land Development [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 813 | 1,111 |
Commercial Construction And Land Development [Member] | Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | ||
Commercial Construction And Land Development [Member] | Loss [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | ||
Agriculture And Other Loans To Farmers [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 33,081 | 31,003 |
Agriculture And Other Loans To Farmers [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 32,507 | 30,688 |
Agriculture And Other Loans To Farmers [Member] | Other Assets Especially Mentioned [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 289 | 168 |
Agriculture And Other Loans To Farmers [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | 285 | 147 |
Agriculture And Other Loans To Farmers [Member] | Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan | ||
Agriculture And Other Loans To Farmers [Member] | Loss [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Commercial loan |
Loans And Allowance For Loan 56
Loans And Allowance For Loan Losses (Schedule Of Allowance For Loan Losses By Portfolio Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | $ 9,814 | $ 9,478 | $ 9,439 | $ 8,969 | $ 8,969 |
Charged off | (99) | (789) | (263) | (958) | (1,619) |
Recoveries | 26 | 10 | 100 | 193 | 304 |
Provision | 150 | 400 | 615 | 895 | 1,785 |
Ending Balance | 9,891 | 9,099 | 9,891 | 9,099 | 9,439 |
Amount for loans individually evaluated for impairment | 370 | 676 | 370 | 676 | 373 |
Amount for loans collectively evaluated for impairment | 9,521 | 8,423 | 9,521 | 8,423 | 9,066 |
Loans individually evaluated for impairment | 5,435 | 6,076 | 5,435 | 6,076 | 5,739 |
Loans collectively evaluated for impairment | 1,043,456 | 977,045 | 1,043,456 | 977,045 | 984,227 |
Commercial Real Estate Mortgages [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 4,667 | 4,500 | 4,246 | 4,468 | 4,468 |
Charged off | (181) | (34) | (206) | (667) | |
Recoveries | 7 | 5 | 13 | 39 | 98 |
Provision | (9) | (35) | 440 | (12) | 347 |
Ending Balance | 4,665 | 4,289 | 4,665 | 4,289 | 4,246 |
Amount for loans individually evaluated for impairment | 43 | 419 | 43 | 419 | 43 |
Amount for loans collectively evaluated for impairment | 4,622 | 3,870 | 4,622 | 3,870 | 4,203 |
Loans individually evaluated for impairment | 2,436 | 2,992 | 2,436 | 2,992 | 2,223 |
Loans collectively evaluated for impairment | 387,597 | 351,137 | 387,597 | 351,137 | 368,779 |
Commercial And Industrial [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 1,233 | 1,074 | 1,236 | 929 | 929 |
Charged off | (1) | (213) | (90) | (288) | (323) |
Recoveries | 3 | 1 | 4 | 2 | 36 |
Provision | 32 | 285 | 117 | 504 | 594 |
Ending Balance | 1,267 | 1,147 | 1,267 | 1,147 | 1,236 |
Amount for loans individually evaluated for impairment | 175 | 169 | 175 | 169 | 175 |
Amount for loans collectively evaluated for impairment | 1,092 | 978 | 1,092 | 978 | 1,061 |
Loans individually evaluated for impairment | 309 | 469 | 309 | 469 | 426 |
Loans collectively evaluated for impairment | 80,440 | 87,733 | 80,440 | 87,733 | 79,485 |
Commercial Construction And Land Development [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 231 | 107 | 184 | 145 | 145 |
Charged off | |||||
Recoveries | |||||
Provision | (36) | 38 | 11 | 39 | |
Ending Balance | 195 | 145 | 195 | 145 | 184 |
Amount for loans individually evaluated for impairment | 60 | 60 | 58 | ||
Amount for loans collectively evaluated for impairment | 135 | 145 | 135 | 145 | 126 |
Loans individually evaluated for impairment | 813 | 1,260 | 813 | 1,260 | 1,111 |
Loans collectively evaluated for impairment | 24,654 | 33,160 | 24,654 | 33,160 | 23,815 |
Agriculture And Other Loans To Farmers [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 365 | 334 | 307 | 277 | 277 |
Charged off | (18) | (72) | |||
Recoveries | 40 | 12 | 18 | ||
Provision | 18 | 38 | 36 | 101 | 84 |
Ending Balance | 383 | 372 | 383 | 372 | 307 |
Amount for loans individually evaluated for impairment | 47 | 47 | |||
Amount for loans collectively evaluated for impairment | 383 | 325 | 383 | 325 | 307 |
Loans individually evaluated for impairment | 127 | 166 | 127 | 166 | 106 |
Loans collectively evaluated for impairment | 32,954 | 33,368 | 32,954 | 33,368 | 30,897 |
Residential Real Estate Mortgages [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 2,621 | 2,875 | 2,747 | 2,714 | 2,714 |
Charged off | (91) | (70) | (122) | (70) | (70) |
Recoveries | 8 | 28 | 129 | 129 | |
Provision | 145 | (320) | 30 | (288) | (26) |
Ending Balance | 2,683 | 2,485 | 2,683 | 2,485 | 2,747 |
Amount for loans individually evaluated for impairment | 54 | 40 | 54 | 40 | 97 |
Amount for loans collectively evaluated for impairment | 2,629 | 2,445 | 2,629 | 2,445 | 2,650 |
Loans individually evaluated for impairment | 1,540 | 1,180 | 1,540 | 1,180 | 1,847 |
Loans collectively evaluated for impairment | 445,393 | 392,575 | 445,393 | 392,575 | 404,805 |
Consumer Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 108 | 145 | 111 | 94 | 94 |
Charged off | (7) | (14) | (17) | (25) | (111) |
Recoveries | 7 | 4 | 13 | 11 | 22 |
Provision | (8) | (25) | (7) | 30 | 106 |
Ending Balance | 100 | 110 | 100 | 110 | 111 |
Amount for loans individually evaluated for impairment | 38 | 38 | |||
Amount for loans collectively evaluated for impairment | 62 | 110 | 62 | 110 | 111 |
Loans individually evaluated for impairment | 7 | 9 | 7 | 9 | 8 |
Loans collectively evaluated for impairment | 6,939 | 11,132 | 6,939 | 11,132 | 9,690 |
Home Equity Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 539 | 367 | 561 | 271 | 271 |
Charged off | (311) | (351) | (376) | ||
Recoveries | 1 | 2 | 1 | ||
Provision | 7 | 416 | (16) | 552 | 665 |
Ending Balance | 547 | 472 | 547 | 472 | 561 |
Amount for loans individually evaluated for impairment | 1 | 1 | |||
Amount for loans collectively evaluated for impairment | 547 | 471 | 547 | 471 | 561 |
Loans individually evaluated for impairment | 203 | 203 | 18 | ||
Loans collectively evaluated for impairment | 49,127 | 51,794 | 49,127 | 51,794 | 51,512 |
Tax Exempt [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Beginning Balance | 50 | 76 | 47 | 71 | 71 |
Charged off | |||||
Recoveries | |||||
Provision | 1 | 4 | 8 | (24) | |
Ending Balance | 51 | 79 | 51 | 79 | 47 |
Amount for loans collectively evaluated for impairment | 51 | 79 | 51 | 79 | 47 |
Loans collectively evaluated for impairment | $ 16,352 | $ 16,146 | $ 16,352 | $ 16,146 | $ 15,244 |
Other Real Estate Owned (Narrat
Other Real Estate Owned (Narrative) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Other Real Estate Owned [Abstract] | ||
Real estate loans under foreclosure | $ 2,937 | $ 4,575 |
Other Real Estate Owned (Schedu
Other Real Estate Owned (Schedule Of OREO Activity) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Other Real Estate Owned [Abstract] | ||
Balance at beginning of year | $ 256 | $ 523 |
Additions | ||
Disposals | (110) | |
Writedowns | (47) | (20) |
Balance at end of period | $ 209 | $ 393 |
Other Real Estate Owned (Sche59
Other Real Estate Owned (Schedule Of OREO Portfolio By Property Type) (Details) $ in Thousands | Jun. 30, 2016USD ($)property | Dec. 31, 2015USD ($) | Jun. 30, 2015USD ($)property | Dec. 31, 2014USD ($) |
OREO By Property Type [Line Items] | ||||
Number of properties | property | 3 | 5 | ||
Carrying value, OREO | $ | $ 209 | $ 256 | $ 393 | $ 523 |
Residential [Member] | ||||
OREO By Property Type [Line Items] | ||||
Number of properties | property | 2 | 3 | ||
Carrying value, OREO | $ | $ 119 | $ 143 | ||
Commercial Real Estate Mortgages [Member] | ||||
OREO By Property Type [Line Items] | ||||
Number of properties | property | 1 | 2 | ||
Carrying value, OREO | $ | $ 90 | $ 250 |
Other Real Estate Owned (Net Ga
Other Real Estate Owned (Net Gains And Losses On OREO Properties) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Other Real Estate Owned [Abstract] | ||||
Net (losses) gains on OREO | $ (47) | $ 44 | $ (47) | $ 44 |
Reclassifications Out Of Accu61
Reclassifications Out Of Accumulated Other Comprehensive Income (Summary Of Reclassifications Out Of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net securities gains | $ 1,699 | $ 587 | $ 3,135 | $ 1,206 |
Salaries and benefits | (4,799) | (4,269) | (9,816) | (8,621) |
Provision for income taxes | 1,804 | 1,515 | 3,600 | 3,146 |
Net income | $ 4,311 | $ 3,873 | 8,717 | 7,754 |
Net income, net of tax | 2,029 | 771 | ||
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Accumulated Net Investment Gain Attributable To Parent [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net securities gains | 3,135 | 1,206 | ||
Provision for income taxes | (1,097) | (422) | ||
Net income | 2,038 | 784 | ||
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Amortization Of Prior Service Cost And Actuarial Loss For Supplemental Executive Retirement Plan [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Salaries and benefits | (14) | (19) | ||
Provision for income taxes | 5 | 6 | ||
Net income | $ (9) | $ (13) |
Financial Derivative Instrume62
Financial Derivative Instruments (Narrative) (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2016USD ($)contract | Jun. 30, 2016USD ($)contract | Dec. 31, 2014USD ($) | Dec. 31, 2015USD ($) | |
Derivative [Line Items] | ||||
Fair value | $ 842 | $ 842 | $ 2,069 | |
Amortization amount from premiums paid | $ 3 | $ 11 | ||
Interest Rate Cap [Member] | ||||
Derivative [Line Items] | ||||
Number of outstanding derivative instruments | contract | 4 | 4 | ||
Notional Amount | $ 90,000 | $ 90,000 | ||
Premium Paid | $ 4,566 | |||
Cap interest rate | 3.00% | |||
Effective percentage interest rate, maximum | 3.00% | |||
Fair value | 842 | 842 | $ 2,069 | |
Interest rate cash flow hedge gain (loss) to be reclassified during next 12 months | $ 134 | $ 134 |
Financial Derivative Instrume63
Financial Derivative Instruments (Schedule of Notional Amounts of Outstanding Derivative Positions) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | |
Derivative [Line Items] | ||
Unamortized Premium | $ 4,553 | $ 4,564 |
Fair value | 842 | $ 2,069 |
Interest Rate Cap 1 [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 25,000 | |
Termination Date | Jun. 2, 2021 | |
3-month LIBOR Strike Rate | 3.00% | |
Premium Paid | $ 922 | |
Unamortized Premium | 915 | |
Fair value | 76 | |
Interest Rate Cap 2 [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 20,000 | |
Termination Date | Jun. 4, 2024 | |
3-month LIBOR Strike Rate | 3.00% | |
Premium Paid | $ 1,470 | |
Unamortized Premium | 1,466 | |
Fair value | 284 | |
Interest Rate Cap 3 [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 20,000 | |
Termination Date | Oct. 21, 2021 | |
3-month LIBOR Strike Rate | 3.00% | |
Premium Paid | $ 632 | |
Unamortized Premium | 631 | |
Fair value | 83 | |
Interest Rate Cap 4 [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 25,000 | |
Termination Date | Oct. 21, 2024 | |
3-month LIBOR Strike Rate | 3.00% | |
Premium Paid | $ 1,542 | |
Unamortized Premium | 1,541 | |
Fair value | $ 399 |
Financial Derivative Instrume64
Financial Derivative Instruments (Schedule of Interest Rate Derivatives) (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2016 | Dec. 31, 2015 | |
Financial Derivative Instruments [Abstract] | ||
Unrealized losses on interest rate caps, Gross | $ (3,711) | $ (2,495) |
Unamortized premium on interest rate caps, Gross | 4,553 | 4,564 |
Total, Gross | 842 | 2,069 |
Unrealized losses on interest rate caps, Net of Tax | (2,412) | (1,621) |
Unamortized premium on interest rate caps, Net of Tax | 2,959 | 2,966 |
Total, Net of Tax | $ 547 | $ 1,345 |
Retirement Benefit Plans (Sched
Retirement Benefit Plans (Schedule Of Components Of Net Periodic Benefit Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Retirement Benefit Plans [Abstract] | ||||
Service cost | $ 18 | $ 19 | $ 36 | $ 36 |
Interest cost | 32 | 31 | 64 | 62 |
Actuarial loss on supplemental executive retirement plan, net of tax | 7 | 8 | 14 | 19 |
Net periodic benefit cost | $ 57 | $ 58 | 114 | $ 117 |
Recognized expense for the foregoing plans | 228 | |||
Expected contributions to forgoing plans | 291 | |||
Contributions to plans | $ 150 |
Commitments And Contingent Li66
Commitments And Contingent Liabilities (Narrative) (Details) | 6 Months Ended |
Jun. 30, 2016 | |
Maximum [Member] | |
Standby letters of credit terms, in years | 5 years |
Commitments And Contingent Li67
Commitments And Contingent Liabilities (Schedule Of Contractual Amounts Of Commitments And Contingent Liabilities) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Commitments To Originate Loans [Member] | ||
Long-term Purchase Commitment [Line Items] | ||
Contractual amount of commitment and contingent liability | $ 25,047 | $ 41,529 |
Unused Lines Of Credit [Member] | ||
Long-term Purchase Commitment [Line Items] | ||
Contractual amount of commitment and contingent liability | 93,974 | 97,283 |
Un-Advanced Portions Of Construction Loans [Member] | ||
Long-term Purchase Commitment [Line Items] | ||
Contractual amount of commitment and contingent liability | 24,180 | 12,719 |
Standby Letters Of Credit [Member] | ||
Long-term Purchase Commitment [Line Items] | ||
Contractual amount of commitment and contingent liability | $ 385 | $ 385 |
Goodwill And Other Intangible68
Goodwill And Other Intangible Assets (Narrative) (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2016 | Dec. 31, 2015 | Sep. 30, 2012 | |
Schedule Of Goodwill And Other Intangible Assets [Line Items] | |||
Goodwill | $ 4,935 | $ 4,935 | |
Core deposit intangible asset, estimated life | 8 years 6 months | ||
Balance of core deposit intangibles | $ 424 | $ 470 | |
Expected amortization for 2016 | 92 | ||
Expected amortization for 2017 | 92 | ||
Expected amortization for 2018 | 92 | ||
Expected amortization for 2019 | 92 | ||
Expected amortization for 2020 | 92 | ||
Expected amortization for 2021 | $ 8 | ||
Border Trust Company [Member] | |||
Schedule Of Goodwill And Other Intangible Assets [Line Items] | |||
Goodwill | $ 1,777 |
Goodwill And Other Intangible69
Goodwill And Other Intangible Assets (Schedule Of Core Deposits Intangible Assets) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Goodwill And Other Intangible Assets [Abstract] | ||
Gross carrying amount | $ 783 | $ 783 |
Less: accumulated amortization | 359 | 313 |
Net carrying amount | $ 424 | $ 470 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2016 | Dec. 31, 2015 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, allowance | $ 370 | $ 373 |
Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discounts for estimated costs to dispose and other considerations | 30.00% | |
Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discounts for estimated costs to dispose and other considerations | 10.00% | |
Collateral Dependent Impaired Loans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral dependent impaired loans with carrying values | $ 2,769 | 1,999 |
Impaired loans, allowance | $ 307 | $ 312 |
Fair Value Measurements (Financ
Fair Value Measurements (Financial Assets And Financial Liabilities Measured At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
US Government-Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | $ 332,980 | $ 306,993 |
US Government-Sponsored Enterprises [Member] | Level 2 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | 332,980 | 306,993 |
US Government Agencies [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | 82,368 | 79,130 |
US Government Agencies [Member] | Level 2 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | 82,368 | 79,130 |
Private Label [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | 1,327 | 3,464 |
Private Label [Member] | Level 2 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | 1,327 | 3,464 |
Obligations Of States And Political Subdivisions Thereof [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | 115,915 | 115,382 |
Obligations Of States And Political Subdivisions Thereof [Member] | Level 2 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | 115,915 | 115,382 |
Derivative Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | 842 | 2,069 |
Derivative Assets [Member] | Level 2 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets, at fair value on a recurring basis | $ 842 | $ 2,069 |
Fair Value Measurements (Fina72
Fair Value Measurements (Financial Assets And Financial Liabilities Measured At Fair Value On A Non-Recurring Basis) (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2016 | Dec. 31, 2015 | |
Other Real Estate Owned [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 209 | $ 256 |
Loss | 47 | 27 |
Other Real Estate Owned [Member] | Level 1 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | ||
Other Real Estate Owned [Member] | Level 2 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | ||
Other Real Estate Owned [Member] | Level 3 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 209 | 256 |
Collateral Dependent Impaired Loans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 2,769 | 1,999 |
Collateral Dependent Impaired Loans [Member] | Level 1 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | ||
Collateral Dependent Impaired Loans [Member] | Level 2 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | ||
Collateral Dependent Impaired Loans [Member] | Level 3 Inputs [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 2,769 | $ 1,999 |
Fair Value Of Financial Instr73
Fair Value Of Financial Instruments (Summary Of The Carrying Values And Estimated Fair Values Of Financial Instruments) (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Dec. 31, 2015 |
Financial Liabilities: | ||
Time deposits | $ 456,858 | $ 396,729 |
Level 1 Inputs [Member] | ||
Financial Assets: | ||
Cash and cash equivalents | 25,867 | 9,720 |
Level 2 Inputs [Member] | ||
Financial Assets: | ||
Federal Home Loan Bank stock | 26,713 | 21,479 |
Interest receivable | 6,252 | 5,420 |
Financial Liabilities: | ||
Deposits (with no stated maturity) | 532,958 | 546,058 |
Time deposits | 461,990 | 399,146 |
Borrowings | 526,690 | 473,404 |
Interest payable | 562 | 527 |
Level 3 Inputs [Member] | ||
Financial Assets: | ||
Loans, net | 1,041,964 | 975,610 |
Carrying Value [Member] | ||
Financial Assets: | ||
Cash and cash equivalents | 25,867 | 9,720 |
Federal Home Loan Bank stock | 26,713 | 21,479 |
Loans, net | 1,039,131 | 980,631 |
Interest receivable | 6,252 | 5,420 |
Financial Liabilities: | ||
Deposits (with no stated maturity) | 532,958 | 546,058 |
Time deposits | 456,858 | 396,729 |
Borrowings | 525,102 | 474,791 |
Interest payable | 562 | 527 |
Fair Value [Member] | ||
Financial Assets: | ||
Cash and cash equivalents | 25,867 | 9,720 |
Federal Home Loan Bank stock | 26,713 | 21,479 |
Loans, net | 1,041,964 | 975,610 |
Interest receivable | 6,252 | 5,420 |
Financial Liabilities: | ||
Deposits (with no stated maturity) | 532,958 | 546,058 |
Time deposits | 461,990 | 399,146 |
Borrowings | 526,690 | 473,404 |
Interest payable | $ 562 | $ 527 |