Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2014 | Apr. 30, 2014 | |
Document and Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 31-Mar-14 | ' |
Entity Registrant Name | 'FIRST UNITED CORP/MD/ | ' |
Entity Central Index Key | '0000763907 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Entity Voluntary Filers | 'No | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Common Stock, Shares Outstanding | ' | 6,210,587 |
Consolidated_Statements_of_Fin
Consolidated Statements of Financial Condition (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets | ' | ' |
Cash and due from banks | $34,521 | $32,895 |
Interest bearing deposits in banks | 9,287 | 10,168 |
Cash and cash equivalents | 43,808 | 43,063 |
Investment securities - available-for-sale (at fair value) | 361,465 | 336,589 |
Investment securities - held to maturity (fair value $2,444 at March 31, 2014 and $3,590 at December 31, 2013, respectively) | 2,860 | 3,900 |
Restricted investment in bank stock, at cost | 7,529 | 7,913 |
Loans | 814,037 | 810,240 |
Allowance for loan losses | -12,572 | -13,594 |
Net loans | 801,465 | 796,646 |
Premises and equipment, net | 26,628 | 26,905 |
Goodwill and other intangible assets, net | 11,004 | 11,004 |
Bank owned life insurance | 32,656 | 32,413 |
Deferred tax assets | 25,478 | 29,209 |
Other real estate owned | 15,613 | 17,031 |
Accrued interest receivable and other assets | 26,978 | 28,830 |
Total Assets | 1,355,484 | 1,333,503 |
Liabilities: | ' | ' |
Non-interest bearing deposits | 212,187 | 189,500 |
Interest bearing deposits | 788,842 | 787,903 |
Total deposits | 1,001,029 | 977,403 |
Short-term borrowings | 43,617 | 43,676 |
Long-term borrowings | 182,656 | 182,672 |
Accrued interest payable and other liabilities | 20,303 | 28,412 |
Total Liabilities | 1,247,605 | 1,232,163 |
Shareholders' Equity: | ' | ' |
Preferred stock - no par value; Authorized 2,000 shares of which 30 shares of Series A, $1,000 per share liquidation preference, 5% cumulative increasing to 9% cumulative on February 15, 2014, were issued and outstanding on March 31, 2014 and December 31, 2013 (discount of $0 and $6, respectively) | 30,000 | 29,994 |
Common Stock - par value $.01 per share; Authorized 25,000 shares; issued and outstanding 6,211 shares at March 31, 2014 and 6,199 share at December 31, 2013 | 62 | 62 |
Surplus | 21,684 | 21,661 |
Retained earnings | 74,747 | 73,836 |
Accumulated other comprehensive loss | -18,614 | -24,213 |
Total Shareholders' Equity | 107,879 | 101,340 |
Total Liabilities and Shareholders' Equity | $1,355,484 | $1,333,503 |
Consolidated_Statements_of_Fin1
Consolidated Statements of Financial Condition (parenthetical) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
Held-to-maturity Securities, Fair Value | $2,444 | $3,590 |
Preferred Stock, Shares Authorized | 2,000,000 | 2,000,000 |
Common Stock, Par or Stated Value Per Share | $0.01 | $0.01 |
Common Stock, Shares Authorized | 25,000,000 | 25,000,000 |
Common Stock, Shares, Issued | 6,211,000 | 6,211,000 |
Common Stock, Shares, Outstanding | 6,211,000 | 6,211,000 |
Series A Preferred Stock [Member] | ' | ' |
Preferred Stock, Liquidation Preference Per Share | $1,000 | $1,000 |
Preferred Stock, Shares Issued | 30,000 | 30,000 |
Preferred Stock, Shares Outstanding | 30,000 | 30,000 |
Preferred Stock, Discount on Shares | $0 | $6 |
Preferred Stock, Dividend Rate, Percentage | 9.00% | 5.00% |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Interest income | ' | ' |
Interest and fees on loans | $9,338 | $10,685 |
Interest on investment securities: Taxable | 1,988 | 1,142 |
Interest on investment securities: Exempt from federal income tax | 411 | 428 |
Total investment income | 2,399 | 1,570 |
Other | 17 | 33 |
Total interest income | 11,754 | 12,288 |
Interest expense | ' | ' |
Interest on deposits | 1,167 | 1,327 |
Interest on short-term borrowings | 14 | 14 |
Interest on long-term borrowings | 1,654 | 1,614 |
Total interest expense | 2,835 | 2,955 |
Net interest income | 8,919 | 9,333 |
Provision for loan losses | 364 | 865 |
Net interest income after provision for loan losses | 8,555 | 8,468 |
Other operating income | ' | ' |
Changes in fair value on impaired securities | 4,389 | 1,663 |
Portion of gain recognized in other comprehensive income (before taxes) | -4,389 | -1,663 |
Net securities impairment losses recognized in operations | 0 | 0 |
Net (losses)/gains - other | -63 | 329 |
Total net (losses)/gains | -63 | 329 |
Service charges | 709 | 886 |
Trust department | 1,252 | 1,199 |
Debit card income | 457 | 476 |
Bank owned life insurance | 243 | 249 |
Brokerage commissions | 205 | 162 |
Other | 174 | 257 |
Total other income | 3,040 | 3,229 |
Total other operating income | 2,977 | 3,558 |
Other operating expenses | ' | ' |
Salaries and employee benefits | 4,685 | 4,844 |
FDIC premiums | 391 | 451 |
Equipment | 655 | 642 |
Occupancy | 655 | 704 |
Data processing | 782 | 729 |
Other Real Estate Owned | 457 | 18 |
Other | 2,135 | 2,148 |
Total other operating expenses | 9,760 | 9,536 |
Income before income tax expense | 1,772 | 2,490 |
Applicable income tax expense | 414 | 568 |
Net Income | 1,358 | 1,922 |
Accumulated preferred stock dividends and discount accretion | -447 | -437 |
Net Income Available to Common Shareholders | $911 | $1,485 |
Basic and diluted net income per common share | $0.15 | $0.24 |
Weighted average number of basic and diluted shares outstanding | 6,211 | 6,199 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Consolidated Statements of Comprehensive Income/(Loss) [Abstract] | ' | ' |
Net Income | $1,358 | $1,922 |
Other comprehensive income/(loss), net of tax and reclassification adjustments: | ' | ' |
Net unrealized gains on investments with OTTI | 2,634 | 995 |
Net unrealized gains/(losses) on all other AFS securities | 3,036 | -265 |
Net unrealized gains on cash flow hedges | 55 | 60 |
Net unrealized (losses)/gains on Pension | -127 | 715 |
Net unrealized gains on SERP | 1 | 4 |
Other comprehensive income, net of tax | 5,599 | 1,509 |
Comprehensive income | $6,957 | $3,431 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Shareholders' Equity (USD $) | Preferred Stock [Member] | Common Stock [Member] | Surplus [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Loss [Member] | Total |
In Thousands | ||||||
Balance at Dec. 31, 2012 | $29,925 | $62 | $21,573 | $69,168 | ($21,823) | $98,905 |
Net income | ' | ' | ' | 6,446 | ' | 6,446 |
Other comprehensive income/(loss) | ' | ' | ' | ' | -2,390 | -2,390 |
Stock based compensation | ' | ' | 88 | ' | ' | 88 |
Preferred stock discount | 69 | ' | ' | -69 | ' | 0 |
Preferred stock dividends | ' | ' | ' | -1,709 | ' | -1,709 |
Balance at Dec. 31, 2013 | 29,994 | 62 | 21,661 | 73,836 | -24,213 | 101,340 |
Net income | ' | ' | ' | 1,358 | ' | 1,358 |
Other comprehensive income/(loss) | ' | ' | ' | ' | 5,599 | 5,599 |
Stock based compensation | ' | ' | 23 | ' | ' | 23 |
Preferred stock discount | 6 | ' | ' | -6 | ' | 0 |
Preferred stock dividends | ' | ' | ' | -441 | ' | -441 |
Balance at Mar. 31, 2014 | $30,000 | $62 | $21,684 | $74,747 | ($18,614) | $107,879 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Operating activities | ' | ' |
Net Income | $1,358 | $1,922 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Provision for loan losses | 364 | 865 |
Depreciation | 505 | 509 |
Stock compensation | 23 | 19 |
Gain on sales of other real estate owned | -25 | -7 |
Write-downs of other real estate owned | 371 | 20 |
Gain on loan sales | -8 | -79 |
Loss on disposal of fixed assets | 3 | 0 |
Net amortization of investment securities discounts and premiums | 34 | 395 |
Loss/(gain) on sales of investment securities - available-for-sale | 68 | -250 |
Amortization of deferred loan fees | -75 | -191 |
Decrease/(increase) in accrued interest receivable and other assets | 1,810 | -810 |
(Increase)/decrease in deferred tax benefit | -168 | 1 |
Increase/(decrease) in accrued interest payable and other liabilities | -8,457 | 364 |
Earnings on bank owned life insurance | -243 | -249 |
Net cash (used)/provided by operating activities | -4,440 | 2,509 |
Investing activities | ' | ' |
Proceeds from maturities/calls of investment securities available-for-sale | 14,283 | 13,381 |
Proceeds from maturities/calls of investment securities held-to-maturity | 1,040 | 0 |
Proceeds from sales of investment securities available-for-sale | 8,585 | 35,136 |
Purchases of investment securities available-for-sale | -38,399 | -63,611 |
Proceeds from sales of other real estate owned | 1,583 | 1,765 |
Proceeds from loan sales | 849 | 11,313 |
Net decrease in FHLB stock | 384 | 496 |
Net (increase)/decrease in loans | -6,460 | 2,777 |
Purchases of premises and equipment | -231 | -283 |
Net cash (used in)/provided by investing activities | -18,366 | 974 |
Financing activities | ' | ' |
Net increase/(decrease) in deposits | 23,626 | -1,084 |
Net decrease in short-term borrowings | -59 | -624 |
Payments on long-term borrowings | -16 | -15 |
Net cash provided by/(used in) financing activities | 23,551 | -1,723 |
Increase in cash and cash equivalents | 745 | 1,760 |
Cash and cash equivalents at beginning of the year | 43,063 | 83,068 |
Cash and cash equivalents at end of period | 43,808 | 84,828 |
Supplemental information | ' | ' |
Interest paid | 9,582 | 2,489 |
Non-cash investing activities: | ' | ' |
Transfers from loans to other real estate owned | $511 | $453 |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2014 | |
Basis of Presentation [Abstract] | ' |
Basis of Presentation | ' |
Note 1 – Basis of Presentation | |
The accompanying unaudited consolidated financial statements of First United Corporation and its consolidated subsidiaries, including First United Bank & Trust (the “Bank”), have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information, as required by the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 270, Interim Reporting, and with the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, they do not include all the information and footnotes required for annual financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation, consisting of normal recurring items, have been included. Operating results for the three months ended March 31, 2014 are not necessarily indicative of the results that may be expected for the full year or for any future interim period. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in First United Corporation’s Annual Report on Form 10-K for the year ended December 31, 2013. For purposes of comparability, certain prior period amounts have been reclassified to conform to the 2014 presentation. Such reclassifications had no impact on net income or equity. | |
First United Corporation has evaluated events and transactions occurring subsequent to the statement of financial condition date of March 31, 2014 for items that should potentially be recognized or disclosed in these financial statements as prescribed by ASC Topic 855, Subsequent Events. | |
As used in these notes to consolidated financial statements, First United Corporation and its consolidated subsidiaries are sometimes collectively referred to as the “Corporation”. | |
Earnings_Loss_Per_Common_Share
Earnings (Loss) Per Common Share | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Earnings Per Common Share [Abstract] | ' | ||||||||||
Earnings Per Common Share | ' | ||||||||||
Note 2 – Earnings Per Common Share | |||||||||||
Basic earnings per common share is derived by dividing net income available to common shareholders by the weighted-average number of common shares outstanding during the period and does not include the effect of any potentially dilutive common stock equivalents. Diluted earnings per share is derived by dividing net income available to common shareholders by the weighted-average number of shares outstanding, adjusted for the dilutive effect of outstanding common stock equivalents. No common stock equivalents were outstanding during the three months ended March 31, 2014 and 2013. | |||||||||||
The following table sets forth the calculation of basic and diluted earnings per common share for the three months ended March 31, 2014 and 2013: | |||||||||||
Three Months Ended March 31, | |||||||||||
2014 | 2013 | ||||||||||
Average | Per Share | Average | Per Share | ||||||||
(in thousands, except for per share amount) | Income | Shares | Amount | Income | Shares | Amount | |||||
Basic and Diluted Earnings Per Share: | |||||||||||
Net income | $ | 1,358 | $ | 1,922 | |||||||
Preferred stock dividends deferred | -441 | -420 | |||||||||
Discount accretion on preferred stock | -6 | -17 | |||||||||
Net income available to common shareholders | $ | 911 | 6,211 | $ | 0.15 | $ | 1,485 | 6,199 | $ | 0.24 | |
Net_LossesGains
Net (Losses)/Gains | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Net Gains [Abstract] | ' | ||||
Net (Losses)/Gains | ' | ||||
Note 3 – Net (Losses)/Gains | |||||
The following table summarizes the (loss)/gain activity for the three months ended March 31, 2014 and 2013: | |||||
Three months ended | |||||
March 31, | |||||
(in thousands) | 2014 | 2013 | |||
Net (losses)/gains – other: | |||||
Available-for-sale securities: | |||||
Realized gains | $ | 95 | $ | 412 | |
Realized losses | -163 | -162 | |||
Gain on sale of consumer loans | 8 | 79 | |||
Loss on disposal of fixed assets | -3 | 0 | |||
Net (losses)/gains – other | $ | -63 | $ | 329 | |
Cash_and_Cash_Equivalents
Cash and Cash Equivalents | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Cash and Cash Equivalents [Abstract] | ' | ||||
Cash and Cash Equivalents | ' | ||||
Note 4 – Cash and Cash Equivalents | |||||
Cash and due from banks, which represents vault cash in the retail offices and invested cash balances at the Federal Reserve, is carried at fair value. | |||||
March 31, | December 31, | ||||
(in thousands) | 2014 | 2013 | |||
Cash and due from banks, weighted average interest rate of 0.15% (at March 31, 2014) | $ | 34,521 | $ | 32,895 | |
Interest bearing deposits in banks, which represent funds invested at a correspondent bank, are carried at fair value and, as of March 31, 2014 and December 31, 2013, consisted of daily funds invested at the Federal Home Loan Bank (“FHLB”) of Atlanta, First Tennessee Bank (“FTN”), Merchants and Traders (“M&T”) and Community Bankers Bank (“CBB”). | |||||
March 31, | December 31, | ||||
(in thousands) | 2014 | 2013 | |||
FHLB daily investments, interest rate of 0.005% (at March 31, 2014) | $ | 1,293 | $ | 1,677 | |
FTN daily investments, interest rate of 0.06% (at March 31, 2014) | 850 | 1,350 | |||
M&T daily investments, interest rate of 0.22% (at March 31, 2014) | 5,045 | 5,043 | |||
M&T daily investments, interest rate of 0.20% (at March 31, 2014) | 1,009 | 1,008 | |||
CBB Fed Funds sold, interest rate of 0.22% (at March 31, 2014) | 1,090 | 1,090 | |||
$ | 9,287 | $ | 10,168 | ||
Investments
Investments | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Investments [Abstract] | ' | ||||||||||
Investments | ' | ||||||||||
Note 5 – Investments | |||||||||||
The investment portfolio is classified and accounted for based on the guidance of ASC Topic 320, Investments – Debt and Equity Securities. | |||||||||||
The amortized cost of debt securities classified as available-for-sale is adjusted for the amortization of premiums to the first call date, if applicable, or to maturity, and for the accretion of discounts to maturity, or, in the case of mortgage-backed securities, over the estimated life of the security. Such amortization and accretion is included in interest income from investments. Interest and dividends are included in interest income from investments. Gains and losses on the sale of securities are recorded using the specific identification method. | |||||||||||
The following table shows a comparison of amortized cost and fair values of investment securities at March 31, 2014 and December 31, 2013: | |||||||||||
(in thousands) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | OTTI in AOCI | ||||||
31-Mar-14 | |||||||||||
Available for Sale: | |||||||||||
U.S. Treasuries | $ | 23,500 | $ | 0 | $ | 0* | $ | 23,500 | $ | 0 | |
U.S. government agencies | 89,761 | 84 | 3,880 | 85,965 | 0 | ||||||
Residential mortgage-backed agencies | 113,815 | 347 | 3,710 | 110,452 | 0 | ||||||
Commercial mortgage-backed agencies | 39,296 | 63 | 1,021 | 38,338 | 0 | ||||||
Collateralized mortgage obligations | 29,498 | 75 | 573 | 29,000 | 0 | ||||||
Obligations of states and political subdivisions | 50,629 | 1,177 | 689 | 51,117 | 0 | ||||||
Collateralized debt obligations | 37,249 | 975 | 15,131 | 23,093 | 8,314 | ||||||
Total available for sale | $ | 383,748 | $ | 2,721 | $ | 25,004 | $ | 361,465 | $ | 8,314 | |
* DeMinimus | |||||||||||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 2,860 | $ | 0 | $ | 416 | $ | 2,444 | $ | 0 | |
31-Dec-13 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 97,242 | $ | 14 | $ | 5,221 | $ | 92,035 | $ | 0 | |
Residential mortgage-backed agencies | 116,933 | 334 | 4,823 | 112,444 | 0 | ||||||
Commercial mortgage-backed agencies | 31,025 | 14 | 1,134 | 29,905 | 0 | ||||||
Collateralized mortgage obligations | 30,468 | 84 | 1,162 | 29,390 | 0 | ||||||
Obligations of states and political subdivisions | 55,505 | 895 | 1,123 | 55,277 | 0 | ||||||
Collateralized debt obligations | 37,146 | 778 | 20,386 | 17,538 | 12,703 | ||||||
Total available for sale | $ | 368,319 | $ | 2,119 | $ | 33,849 | $ | 336,589 | $ | 12,703 | |
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 3,900 | $ | 249 | $ | 559 | $ | 3,590 | $ | 0 | |
Proceeds from sales of securities and the realized gains and losses are as follows: | |||||||||||
Three Months Ended | |||||||||||
March 31, | |||||||||||
(in thousands) | 2014 | 2013 | |||||||||
Proceeds | $ | 8,585 | $ | 35,136 | |||||||
Realized gains | 95 | 412 | |||||||||
Realized losses | 163 | 162 | |||||||||
The following table shows the Corporation’s securities with gross unrealized losses and fair values at March 31, 2014 and December 31, 2013, aggregated by investment category and the length of time that individual securities have been in a continuous unrealized loss position: | |||||||||||
Less than 12 months | 12 months or more | ||||||||||
(in thousands) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||
31-Mar-14 | |||||||||||
Available for Sale: | |||||||||||
U.S. Treasuries | $ | 12,000 | $ | 0* | $ | 0 | $ | 0 | |||
U.S. government agencies | 34,814 | 1,223 | 21,417 | 2,657 | |||||||
Residential mortgage-backed agencies | 22,928 | 937 | 52,347 | 2,773 | |||||||
Commercial mortgage-backed agencies | 25,570 | 634 | 4,732 | 387 | |||||||
Collateralized mortgage obligations | 20,448 | 573 | 0 | 0 | |||||||
Obligations of states and political subdivisions | 10,877 | 447 | 1,761 | 242 | |||||||
Collateralized debt obligations | 0 | 0 | 18,029 | 15,131 | |||||||
Total available for sale | $ | 126,637 | $ | 3,814 | $ | 98,286 | $ | 21,190 | |||
* DeMinimus | |||||||||||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 0 | $ | 0 | $ | 2,444 | $ | 416 | |||
31-Dec-13 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 62,962 | $ | 3,154 | $ | 13,996 | $ | 2,067 | |||
Residential mortgage-backed agencies | 60,781 | 1,801 | 46,570 | 3,022 | |||||||
Commercial mortgage-backed agencies | 21,889 | 1,134 | 0 | 0 | |||||||
Collateralized mortgage obligations | 21,201 | 1,149 | 3,051 | 13 | |||||||
Obligations of states and political subdivisions | 15,422 | 1,123 | 0 | 0 | |||||||
Collateralized debt obligations | 0 | 0 | 16,434 | 20,386 | |||||||
Total available for sale | $ | 182,255 | $ | 8,361 | $ | 80,051 | $ | 25,488 | |||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 0 | $ | 0 | $ | 2,301 | $ | 559 | |||
Management systematically evaluates securities for impairment on a quarterly basis. Management assesses whether (a) the Corporation has the intent to sell a security being evaluated and (b) it is more likely than not that the Corporation will be required to sell the security prior to its anticipated recovery. If neither applies, then declines in the fair values of securities below their cost that are considered other-than-temporary declines are split into two components. The first component is the loss attributable to declining credit quality. Credit losses are recognized in earnings as realized losses in the period in which the impairment determination is made. The second component consists of all other losses, which are recognized in other comprehensive loss. In estimating other-than-temporary impairment (“OTTI”) losses, management considers (1) the length of time and the extent to which the fair value has been less than cost, (2) adverse conditions specifically related to the security, an industry, or a geographic area, (3) the historic and implied volatility of the fair value of the security, (4) changes in the rating of the security by a rating agency, (5) recoveries or additional declines in fair value subsequent to the balance sheet date, (6) failure of the issuer of the security to make scheduled interest or principal payments, and (7) the payment structure of the debt security and the likelihood of the issuer being able to make payments that increase in the future. Management also monitors cash flow projections for securities that are considered beneficial interests under the guidance of ASC Subtopic 325-40, Investments – Other – Beneficial Interests in Securitized Financial Assets, (ASC Section 325-40-35). Further discussion about the evaluation of securities for impairment can be found in Item 2 of Part I of this report under the heading “Investment Securities”. | |||||||||||
Management believes that the valuation of certain securities is a critical accounting policy that requires significant estimates in preparation of its consolidated financial statements. Management utilizes an independent third party to prepare both the impairment valuations and fair value determinations for its collateralized debt obligation (“CDO”) portfolio consisting of pooled trust preferred securities. Based on management’s review of the assumptions and results of the third-party review, it does not believe that there were any material differences in the valuations between December 31, 2013 and March 31, 2014. | |||||||||||
U.S. Government Treasuries - One U.S. government treasury has been in an unrealized loss position for less than 12 months as of March 31, 2014. There were no U.S. government treasuries in an unrealized loss position for 12 months or more. | |||||||||||
U.S. Government Agencies - Six U.S. government agencies have been in an unrealized loss position for less than 12 months as of March 31, 2014. There were three U.S. government agencies in an unrealized loss position for 12 months or more. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell them before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014. | |||||||||||
Residential Mortgage-Backed Agencies - Ten residential mortgage-backed agencies have been in an unrealized loss position for less than 12 months as of March 31, 2014. There were eight residential mortgage-backed agency securities in an unrealized loss position for 12 months or more. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell the securities before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014. | |||||||||||
Commercial Mortgage-Backed Agencies - Eleven commercial mortgage-backed agencies have been in an unrealized loss position for less than 12 months as of March 31, 2014. There was one commercial mortgage-backed agency security in an unrealized loss position for 12 months or more. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell the securities before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014. | |||||||||||
Collateralized Mortgage Obligations - Three collateralized mortgage obligation securities at March 31, 2014 were in an unrealized loss position for 12 months or less. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell the securities before recovery of their amortized cost basis. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014. There were no collateralized mortgage obligation securities in an unrealized loss position for 12 months or more. | |||||||||||
Obligations of State and Political Subdivisions - Five securities have been in an unrealized loss position for less than 12 months at March 31, 2014. There were two securities that have been in an unrealized loss position for 12 months or more. These investments are of investment grade as determined by the major rating agencies and management reviews the ratings of the underlying issuers. The bonds continue to perform according to their contractual terms. The Corporation does not intend to sell these investments and it is not more likely than not that the Corporation will be required to sell the investments before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014. | |||||||||||
Collateralized Debt Obligations - The $15.1 million in unrealized losses greater than 12 months at March 31, 2014 relates to 14 pooled trust preferred securities that are included in the CDO portfolio. See Note 9 for a discussion of the methodology used by management to determine the fair values of these securities. Based upon a review of credit quality and the cash flow tests performed by the independent third party, management determined that there were no securities that had credit-related non-cash OTTI charges during the first three months of 2014. The unrealized losses on the remaining securities in the portfolio are primarily attributable to continued depression in market interest rates, marketability, liquidity and the current economic environment. | |||||||||||
The following table presents a cumulative roll-forward of the amount of non-cash OTTI charges related to credit losses which have been recognized in earnings for the trust preferred securities in the CDO portfolio held and not intended to be sold for the three months ended March 31, 2014 and 2013: | |||||||||||
Three Months Ended March 31, | |||||||||||
(in thousands) | 2014 | 2013 | |||||||||
Balance of credit-related OTTI at January 1 | $ | 13,422 | $ | 13,959 | |||||||
Reduction for increases in cash flows expected to be collected | -160 | -125 | |||||||||
Balance of credit-related OTTI at March 31 | $ | 13,262 | $ | 13,834 | |||||||
The amortized cost and estimated fair value of securities by contractual maturity at March 31, 2014 are shown in the following table. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to call or prepay obligations with or without call or prepayment penalties. | |||||||||||
31-Mar-14 | |||||||||||
(in thousands) | Amortized Cost | Fair Value | |||||||||
Contractual Maturity | |||||||||||
Available for sale: | |||||||||||
Due in one year or less | $ | 23,500 | $ | 23,500 | |||||||
Due after one year through five years | 30,407 | 30,188 | |||||||||
Due after five years through ten years | 67,845 | 67,107 | |||||||||
Due after ten years | 79,387 | 62,880 | |||||||||
201,139 | 183,675 | ||||||||||
Residential mortgage-backed agencies | 113,815 | 110,452 | |||||||||
Commercial mortgage-backed agencies | 39,296 | 38,338 | |||||||||
Collateralized mortgage obligations | 29,498 | 29,000 | |||||||||
$ | 383,748 | $ | 361,465 | ||||||||
Held to Maturity: | |||||||||||
Due after ten years | $ | 2,860 | $ | 2,444 | |||||||
Restricted_Investment_in_Bank_
Restricted Investment in Bank Stock | 3 Months Ended |
Mar. 31, 2014 | |
Restricted Investment in Bank Stock [Abstract] | ' |
Restricted Investment in Bank Stock | ' |
Note 6 - Restricted Investment in Bank Stock | |
Restricted stock, which represents required investments in the common stock of the FHLB of Atlanta, Atlantic Community Bankers Bank (“ACBB”) and CBB, is carried at cost and is considered a long-term investment. | |
Management evaluates the restricted stock for impairment in accordance with ASC Industry Topic 942, Financial Services – Depository and Lending, (ASC Section 942-325-35). Management’s evaluation of potential impairment is based on management’s assessment of the ultimate recoverability of the cost of the restricted stock rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability is influenced by criteria such as (a) the significance of the decline in net assets of the issuing bank as compared to the capital stock amount for that bank and the length of time this situation has persisted, (b) commitments by the issuing bank to make payments required by law or regulation and the level of such payments in relation to the operating performance of that bank, and (c) the impact of legislative and regulatory changes on institutions and, accordingly, on the customer base of the issuing bank. Management has evaluated the restricted stock for impairment and believes that no impairment charge is necessary as of March 31, 2014. | |
The Corporation recognizes dividends received on its restricted stock investments on a cash basis. For the three months ended March 31, 2014, dividends of $72,998 were recognized in earnings. For the comparable period of 2013, dividends of $50,517 were recognized in earnings. | |
Loans_and_Related_Allowance_fo
Loans and Related Allowance for Loan Losses | 3 Months Ended | ||||||||||||||
Mar. 31, 2014 | |||||||||||||||
Loans and Related Allowance for Loan Losses [Abstract] | ' | ||||||||||||||
Loans and Related Allowance for Loan Losses | ' | ||||||||||||||
Note 7 – Loans and Related Allowance for Loan Losses | |||||||||||||||
The following table summarizes the primary segments of the loan portfolio as of March 31, 2014 and December 31, 2013: | |||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
31-Mar-14 | |||||||||||||||
Total loans | $ | 259,837 | $ | 101,985 | $ | 78,724 | $ | 349,698 | $ | 23,793 | $ | 814,037 | |||
Individually evaluated for impairment | $ | 11,616 | $ | 10,379 | $ | 2,152 | $ | 7,578 | $ | 0 | $ | 31,725 | |||
Collectively evaluated for impairment | $ | 248,221 | $ | 91,606 | $ | 76,572 | $ | 342,120 | $ | 23,793 | $ | 782,312 | |||
31-Dec-13 | |||||||||||||||
Total loans | $ | 267,978 | $ | 107,250 | $ | 59,788 | $ | 350,906 | $ | 24,318 | $ | 810,240 | |||
Individually evaluated for impairment | $ | 11,740 | $ | 11,703 | $ | 2,299 | $ | 7,546 | $ | 21 | $ | 33,309 | |||
Collectively evaluated for impairment | $ | 256,238 | $ | 95,547 | $ | 57,489 | $ | 343,360 | $ | 24,297 | $ | 776,931 | |||
The segments of the Bank’s loan portfolio are disaggregated to a level that allows management to monitor risk and performance. The commercial real estate (“CRE”) loan segment is then segregated into two classes. Non-owner occupied CRE loans, which include loans secured by non-owner occupied, nonfarm, and nonresidential properties, generally have a greater risk profile than all other CRE loans, which include loans secured by farmland, multifamily structures and owner-occupied commercial structures. The acquisition and development (“A&D”) loan segment is segregated into two classes. One-to-four family residential construction loans are generally made to individuals for the acquisition of and/or construction on a lot or lots on which a residential dwelling is to be built. All other A&D loans are generally made to developers or investors for the purpose of acquiring, developing and constructing residential or commercial structures. A&D loans have a higher risk profile because the ultimate buyer, once development is completed, is generally not known at the time of the loan is made. The commercial and industrial (“C&I”) loan segment consists of loans made for the purpose of financing the activities of commercial customers. The residential mortgage loan segment is segregated into two classes. Amortizing term loans are primarily first lien loans. Home equity lines of credit are generally second lien loans. The consumer loan segment consists primarily of installment loans (direct and indirect) and overdraft lines of credit connected with customer deposit accounts. | |||||||||||||||
Management uses a 10-point internal risk rating system to monitor the credit quality of the overall loan portfolio. The first six categories are considered not criticized, and are aggregated as “Pass” rated. The criticized rating categories utilized by management generally follow bank regulatory definitions. The Special Mention category includes assets that are currently protected but are potentially weak, resulting in an undue and unwarranted credit risk, but not to the point of justifying a Substandard classification. Loans in the Substandard category have well-defined weaknesses that jeopardize the liquidation of the debt, and have a distinct possibility that some loss will be sustained if the weaknesses are not corrected. All loans greater than 90 days past due are considered Substandard. The portion of a specific allocation of the allowance for loan losses that management believes is associated with a pending event that could trigger loss in the short-term will be classified in the Doubtful category. Any portion of a loan that has been charged off is placed in the Loss category. | |||||||||||||||
To help ensure that risk ratings are accurate and reflect the present and future capacity of borrowers to repay a loan as agreed, the Bank has a structured loan rating process with several layers of internal and external oversight. Generally, consumer and residential mortgage loans are included in the Pass categories unless a specific action, such as bankruptcy, repossession, or death occurs to raise awareness of a possible credit event. The Bank’s Commercial Loan Officers are responsible for the timely and accurate risk rating of the loans in the commercial segments at origination and on an ongoing basis. The Bank’s experienced Credit Quality and Loan Review Department performs an annual review of all commercial relationships of $500,000 or greater. Confirmation of the appropriate risk grade is included as part of the review process on an ongoing basis. The Credit Quality and Loan Review Department continually reviews and assesses loans within the portfolio. In addition, the Bank engages an external consultant to conduct loan reviews on at least an annual basis. Generally, the external consultant reviews commercial relationships greater than $750,000 and/or criticized relationships greater than $500,000. Detailed reviews, including plans for resolution, are performed on loans classified as Substandard on a quarterly basis. Loans in the Special Mention and Substandard categories that are collectively evaluated for impairment are given separate consideration in the determination of the allowance. | |||||||||||||||
The following table presents the classes of the loan portfolio summarized by the aggregate Pass and the criticized categories of Special Mention and Substandard within the internal risk rating system as of March 31, 2014 and December 31, 2013: | |||||||||||||||
(in thousands) | Pass | Special Mention | Substandard | Total | |||||||||||
31-Mar-14 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 103,862 | $ | 9,171 | $ | 25,782 | $ | 138,815 | |||||||
All other CRE | 90,646 | 8,392 | 21,984 | 121,022 | |||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 10,095 | 0 | 2,070 | 12,165 | |||||||||||
All other A&D | 70,008 | 1,744 | 18,068 | 89,820 | |||||||||||
Commercial and industrial | 74,879 | 418 | 3,427 | 78,724 | |||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 262,992 | 839 | 11,104 | 274,935 | |||||||||||
Residential mortgage - home equity | 72,387 | 469 | 1,907 | 74,763 | |||||||||||
Consumer | 23,677 | 0 | 116 | 23,793 | |||||||||||
Total | $ | 708,546 | $ | 21,033 | $ | 84,458 | $ | 814,037 | |||||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 103,556 | $ | 9,243 | $ | 24,745 | $ | 137,544 | |||||||
All other CRE | 100,461 | 8,479 | 21,494 | 130,434 | |||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 8,764 | 0 | 4,497 | 13,261 | |||||||||||
All other A&D | 73,198 | 1,787 | 19,004 | 93,989 | |||||||||||
Commercial and industrial | 55,768 | 140 | 3,880 | 59,788 | |||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 261,735 | 752 | 11,980 | 274,467 | |||||||||||
Residential mortgage - home equity | 73,901 | 628 | 1,910 | 76,439 | |||||||||||
Consumer | 24,143 | 5 | 170 | 24,318 | |||||||||||
Total | $ | 701,526 | $ | 21,034 | $ | 87,680 | $ | 810,240 | |||||||
Management further monitors the performance and credit quality of the loan portfolio by analyzing the age of the portfolio as determined by the length of time a recorded payment is past due. A loan is considered to be past due when a payment has not been received for 30 days past its contractual due date. For all loan segments, the accrual of interest is discontinued when principal or interest is delinquent for 90 days or more unless the loan is well-secured and in the process of collection. All non-accrual loans are considered to be impaired. Interest payments received on non-accrual loans are applied as a reduction of the loan principal balance. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Corporation’s policy for recognizing interest income on impaired loans does not differ from its overall policy for interest recognition. | |||||||||||||||
The following table presents the classes of the loan portfolio summarized by the aging categories of performing loans and non-accrual loans as of March 31, 2014 and December 31, 2013: | |||||||||||||||
(in thousands) | Current | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days+ Past Due | Total Past Due and Accruing | Non-Accrual | Total Loans | ||||||||
31-Mar-14 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 137,655 | $ | 0 | $ | 263 | $ | 214 | $ | 477 | $ | 683 | $ | 138,815 | |
All other CRE | 114,118 | 54 | 204 | 0 | 258 | 6,646 | 121,022 | ||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 11,107 | 46 | 0 | 0 | 46 | 1,012 | 12,165 | ||||||||
All other A&D | 82,459 | 2,050 | 112 | 3 | 2,165 | 5,196 | 89,820 | ||||||||
Commercial and industrial | 78,323 | 327 | 0 | 33 | 360 | 41 | 78,724 | ||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 262,620 | 8,612 | 676 | 0 | 9,288 | 3,027 | 274,935 | ||||||||
Residential mortgage - home equity | 73,500 | 538 | 70 | 117 | 725 | 538 | 74,763 | ||||||||
Consumer | 23,360 | 357 | 68 | 8 | 433 | 0 | 23,793 | ||||||||
Total | $ | 783,142 | $ | 11,984 | $ | 1,393 | $ | 375 | $ | 13,752 | $ | 17,143 | $ | 814,037 | |
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 136,462 | $ | 191 | $ | 145 | $ | 65 | $ | 401 | $ | 681 | $ | 137,544 | |
All other CRE | 121,985 | 1,490 | 207 | 0 | 1,697 | 6,752 | 130,434 | ||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 12,018 | 0 | 139 | 0 | 139 | 1,104 | 13,261 | ||||||||
All other A&D | 88,071 | 1,075 | 33 | 282 | 1,390 | 4,528 | 93,989 | ||||||||
Commercial and industrial | 59,320 | 87 | 57 | 133 | 277 | 191 | 59,788 | ||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 259,239 | 8,258 | 2,541 | 634 | 11,433 | 3,795 | 274,467 | ||||||||
Residential mortgage - home equity | 74,917 | 656 | 439 | 96 | 1,191 | 331 | 76,439 | ||||||||
Consumer | 23,802 | 350 | 128 | 24 | 502 | 14 | 24,318 | ||||||||
Total | $ | 775,814 | $ | 12,107 | $ | 3,689 | $ | 1,234 | $ | 17,030 | $ | 17,396 | $ | 810,240 | |
Non-accrual loans which have been subject to a partial charge-off totaled $5.6 million as of March 31, 2014, compared to $1.9 million as of December 31, 2013. | |||||||||||||||
An allowance for loan losses (“ALL”) is maintained to absorb losses from the loan portfolio. The ALL is based on management’s continuing evaluation of the risk characteristics and credit quality of the loan portfolio, assessment of current economic conditions, diversification and size of the portfolio, adequacy of collateral, past and anticipated loss experience, and the amount of non-performing loans. | |||||||||||||||
The Bank’s methodology for determining the ALL is based on the requirements of ASC Section 310-10-35, Receivables-Overall-Subsequent Measurement, for loans individually evaluated for impairment and ASC Subtopic 450-20, Contingencies-Loss Contingencies, for loans collectively evaluated for impairment, as well as the Interagency Policy Statement on the Allowance for Loan and Lease Losses and other bank regulatory guidance. The total of the two components represents the Bank’s ALL. | |||||||||||||||
The following table summarizes the primary segments of the ALL, segregated by the amount required for loans individually evaluated for impairment and the amount required for loans collectively evaluated for impairment as of March 31, 2014 and December 31, 2013. | |||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
31-Mar-14 | |||||||||||||||
Total ALL | $ | 3,399 | $ | 3,896 | $ | 1,070 | $ | 3,962 | $ | 245 | $ | 12,572 | |||
Individually evaluated for impairment | $ | 226 | $ | 1,816 | $ | 0 | $ | 0 | $ | 0 | $ | 2,042 | |||
Collectively evaluated for impairment | $ | 3,173 | $ | 2,080 | $ | 1,070 | $ | 3,962 | $ | 245 | $ | 10,530 | |||
31-Dec-13 | |||||||||||||||
Total ALL | $ | 4,052 | $ | 4,172 | $ | 766 | $ | 4,320 | $ | 284 | $ | 13,594 | |||
Individually evaluated for impairment | $ | 236 | $ | 1,967 | $ | 0 | $ | 80 | $ | 0 | $ | 2,283 | |||
Collectively evaluated for impairment | $ | 3,816 | $ | 2,205 | $ | 766 | $ | 4,240 | $ | 284 | $ | 11,311 | |||
Management evaluates individual loans in all of the commercial segments for possible impairment if the loan (a) is greater than $500,000 or (b) is part of a relationship that is greater than $750,000 and is either (i) in nonaccrual status or (ii) risk-rated Substandard and greater than 60 days past due. Loans are considered to be impaired when, based on current information and events, it is probable that the Bank will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in evaluating impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. The Bank does not separately evaluate individual consumer and residential mortgage loans for impairment, unless such loans are part of a larger relationship that is impaired; otherwise loans in these segments are considered impaired when they are classified as non-accrual. | |||||||||||||||
Once the determination has been made that a loan is impaired, the determination of whether a specific allocation of the allowance is necessary is measured by comparing the recorded investment in the loan to the fair value of the loan using one of three methods: (a) the present value of expected future cash flows discounted at the loan’s effective interest rate; (b) the loan’s observable market price; or (c) the fair value of the collateral less selling costs. The method is selected on a loan-by-loan basis, with management primarily utilizing the fair value of collateral method. If the fair value of the collateral less selling costs method is utilized for collateral securing loans in the commercial segments, then an updated external appraisal is ordered on the collateral supporting the loan if the loan balance is greater than $500,000 and the existing appraisal is greater than 18 months old. If an appraisal is less than 12 months old (the age at which the internal appraisal grid begins) and if management believes that general market conditions in that geographic market have changed considerably, the property has deteriorated or perhaps lost an income stream, or a recent appraisal for a similar property indicates a significant change, then management may adjust the fair value indicated by the existing appraisal until a new appraisal is obtained. If the most recent appraisal is greater than 12 months old or if an updated appraisal has not been received and reviewed in time for the determination of estimated fair value at quarter (or year) end, then the estimated fair value of the collateral is determined by adjusting the existing appraisal by the appropriate percentage from an internally prepared appraisal discount grid. This grid considers the age of a third party appraisal and the geographic region where the collateral is located in order to discount an appraisal that is greater than 12 months old. The discount rates in the appraisal discount grid are updated quarterly to reflect the most current knowledge that management has available, including the results of current appraisals. If there is a delay in receiving an updated appraisal or if the appraisal is found to be deficient in our internal appraisal review process and re-ordered, then the Bank continues to use a discount factor from the appraisal discount grid based on the collateral location and current appraisal age in order to determine the estimated fair value. A specific allocation of the ALL is recorded if there is any deficiency in collateral value determined by comparing the estimated fair value to the recorded investment of the loan. When updated appraisals are received and reviewed, adjustments are made to the specific allocation as needed. | |||||||||||||||
The evaluation of the need and amount of a specific allocation of the ALL and whether a loan can be removed from impairment status is made on a quarterly basis. | |||||||||||||||
The following table presents impaired loans by class, segregated by those for which a specific allowance was required and those for which a specific allowance was not necessary as of March 31, 2014 and December 31, 2013: | |||||||||||||||
Impaired Loans with Specific Allowance | Impaired Loans with No Specific Allowance | Total Impaired Loans | |||||||||||||
(in thousands) | Recorded Investment | Related Allowances | Recorded Investment | Recorded Investment | Unpaid Principal Balance | ||||||||||
31-Mar-14 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 277 | $ | 79 | $ | 922 | $ | 1,199 | $ | 1,209 | |||||
All other CRE | 1,071 | 147 | 9,346 | 10,417 | 10,545 | ||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 1,053 | 308 | 1,018 | 2,071 | 2,319 | ||||||||||
All other A&D | 4,601 | 1,508 | 3,707 | 8,308 | 13,309 | ||||||||||
Commercial and industrial | 0 | 0 | 2,152 | 2,152 | 2,152 | ||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 280 | 0 | 6,511 | 6,791 | 7,305 | ||||||||||
Residential mortgage – home equity | 0 | 0 | 787 | 787 | 787 | ||||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | ||||||||||
Total impaired loans | $ | 7,282 | $ | 2,042 | $ | 24,443 | $ | 31,725 | $ | 37,626 | |||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 257 | $ | 59 | $ | 922 | $ | 1,179 | $ | 1,191 | |||||
All other CRE | 1,080 | 177 | 9,481 | 10,561 | 10,689 | ||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,651 | 634 | 7 | 2,658 | 2,704 | ||||||||||
All other A&D | 4,037 | 1,333 | 5,008 | 9,045 | 13,394 | ||||||||||
Commercial and industrial | 0 | 0 | 2,299 | 2,299 | 2,299 | ||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 988 | 80 | 5,979 | 6,967 | 7,372 | ||||||||||
Residential mortgage – home equity | 0 | 0 | 579 | 579 | 579 | ||||||||||
Consumer | 0 | 0 | 21 | 21 | 21 | ||||||||||
Total impaired loans | $ | 9,013 | $ | 2,283 | $ | 24,296 | $ | 33,309 | $ | 38,249 | |||||
Loans that are collectively evaluated for impairment are analyzed with general allowances being made as appropriate. For general allowances, historical loss trends are used in the estimation of losses in the current portfolio. These historical loss amounts are modified by other qualitative factors. | |||||||||||||||
The classes described above, which are based on the Federal call code assigned to each loan, provide the starting point for the ALL analysis. Management tracks the historical net charge-off activity (full and partial charge-offs, net of full and partial recoveries) at the call code level. A historical charge-off factor is calculated utilizing a defined number of consecutive historical quarters. Consumer pools currently utilize a rolling 12 quarters, while Commercial pools currently utilize a rolling eight quarters. | |||||||||||||||
“Pass” rated credits are segregated from “Criticized” credits for the application of qualitative factors. “Pass” pools for commercial and residential real estate are further segmented based upon the geographic location of the underlying collateral. There are seven geographic regions utilized – six that represent the Bank’s lending footprint and a seventh for all out-of-market credits. Different economic environments and resultant credit risks exist in each region that are acknowledged in the assignment of qualitative factors. Loans in the criticized pools, which possess certain qualities or characteristics that may lead to collection and loss issues, are closely monitored by management and subject to additional qualitative factors. | |||||||||||||||
Management supplements the historical charge-off factor with a number of additional qualitative factors that are likely to cause estimated credit losses associated with the existing loan pools to differ from historical loss experience. The additional factors, which are evaluated quarterly and updated using information obtained from internal, regulatory, and governmental sources, are: (a) national and local economic trends and conditions; (b) levels of and trends in delinquency rates and non-accrual loans; (c) trends in volumes and terms of loans; (d) effects of changes in lending policies; (e) experience, ability, and depth of lending staff; (f) value of underlying collateral; and (g) concentrations of credit from a loan type, industry and/or geographic standpoint. | |||||||||||||||
Management reviews the loan portfolio on a quarterly basis using a defined, consistently applied process in order to make appropriate and timely adjustments to the ALL. When information confirms all or part of specific loans to be uncollectible, these amounts are promptly charged off against the ALL. Residential mortgage and consumer loans are charged off after they are 120 days contractually past due. All other loans are charged off based on an evaluation of the facts and circumstances of each individual loan. When the Bank believes that its ability to collect is solely dependent on the liquidation of the collateral, a full or partial charge-off is recorded promptly to bring the recorded investment to an amount that the Bank believes is supported by an ability to collect on the collateral. The circumstances that may impact the Bank’s decision to charge-off all or a portion of a loan include default or non-payment by the borrower, scheduled foreclosure actions, and/or prioritization of the Bank’s claim in bankruptcy. There may be circumstances where, due to pending events, the Bank will place a specific allocation of the ALL on a loan for which a partial charge-off has been previously recognized. This specific allocation may be either charged off or removed depending upon the outcome of the pending event. Full or partial charge-offs are not recovered until full principal and interest on the loan have been collected, even if a subsequent appraisal supports a higher value. Loans with partial charge-offs remain in non-accrual status. Both full and partial charge-offs reduce the recorded investment of the loan and the ALL and are considered to be charge-offs for purposes of all credit loss metrics and trends, including the historical rolling charge-off rates used in the determination of the ALL. | |||||||||||||||
Activity in the ALL is presented for the three months ended March 31, 2014 and March 31, 2013: | |||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
ALL balance at January 1, 2014 | $ | 4,052 | $ | 4,172 | $ | 766 | $ | 4,320 | $ | 284 | $ | 13,594 | |||
Charge-offs | -21 | -819 | -152 | -468 | -179 | -1,639 | |||||||||
Recoveries | 10 | 12 | 3 | 49 | 179 | 253 | |||||||||
Provision | -642 | 531 | 453 | 61 | -39 | 364 | |||||||||
ALL balance at March 31, 2014 | $ | 3,399 | $ | 3,896 | $ | 1,070 | $ | 3,962 | $ | 245 | $ | 12,572 | |||
ALL balance at January 1, 2013 | $ | 5,206 | $ | 5,029 | $ | 906 | $ | 4,507 | $ | 399 | $ | 16,047 | |||
Charge-offs | 0 | -4 | -876 | -155 | -143 | -1,178 | |||||||||
Recoveries | 100 | 8 | 49 | 31 | 103 | 291 | |||||||||
Provision | 483 | -273 | 566 | 100 | -11 | 865 | |||||||||
ALL balance at March 31, 2013 | $ | 5,789 | $ | 4,760 | $ | 645 | $ | 4,483 | $ | 348 | $ | 16,025 | |||
The ALL is based on estimates, and actual losses may vary from current estimates. Management believes that the granularity of the homogeneous pools and the related historical loss ratios and other qualitative factors, as well as the consistency in the application of assumptions, result in an ALL that is representative of the risk found in the components of the portfolio at any given date. | |||||||||||||||
The following tables present the average recorded investment in impaired loans by class and related interest income recognized for the periods indicated: | |||||||||||||||
Three months ended | Three months ended | ||||||||||||||
31-Mar-14 | 31-Mar-13 | ||||||||||||||
(in thousands) | Average investment | Interest income recognized on an accrual basis | Interest income recognized on a cash basis | Average investment | Interest income recognized on an accrual basis | Interest income recognized on a cash basis | |||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 1,189 | $ | 7 | $ | 0 | $ | 5,274 | $ | 12 | $ | 0 | |||
All other CRE | 10,489 | 41 | 1 | 10,692 | 89 | 46 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,365 | 14 | 0 | 2,828 | 24 | 0 | |||||||||
All other A&D | 8,677 | 61 | 0 | 21,350 | 142 | 0 | |||||||||
Commercial and industrial | 2,226 | 26 | 2 | 3,432 | 35 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 6,879 | 54 | 9 | 3,947 | 19 | 2 | |||||||||
Residential mortgage – home equity | 683 | 3 | 1 | 573 | 6 | 0 | |||||||||
Consumer | 11 | 0 | 0 | 76 | 0 | 0 | |||||||||
Total | $ | 32,519 | $ | 206 | $ | 13 | $ | 48,172 | $ | 327 | $ | 48 | |||
In the normal course of business, the Bank modifies loan terms for various reasons. These reasons may include as a retention strategy, remaining competitive in the current interest rate environment, and re-amortizing or extending a loan term to better match the loan’s payment stream with the borrower’s cash flows. A modified loan is considered to be a troubled debt restructuring (“TDR”) when the Bank has determined that the borrower is troubled (i.e., experiencing financial difficulties). The Bank evaluates the probability that the borrower will be in payment default on any of its debt obligations in the foreseeable future without modification. To make this determination, the Bank performs a global financial review of the borrower and loan guarantors to assess their current ability to meet their financial obligations. | |||||||||||||||
When the Bank restructures a loan to a troubled borrower, the loan terms (i.e., interest rate, payment amount, amortization period, and/or maturity date) are modified in such a way as to enable the borrower to cover the modified debt service payments based on current financials and cash flow adequacy. If a borrower’s hardship is thought to be temporary, then modified terms are only offered for that time period. Where possible, the Bank obtains additional collateral and/or secondary payment sources at the time of the restructure in order to put the Bank in the best possible position if the borrower is not able to meet the modified terms. To date, the Bank has not forgiven any principal as a restructuring concession. The Bank will not offer modified terms if it believes that modifying the loan terms will only delay an inevitable permanent default. | |||||||||||||||
All loans designated as TDRs are considered impaired loans and may be in either accruing or non-accruing status. The Corporation’s policy for recognizing interest income on impaired loans does not differ from its overall policy for interest recognition. Accordingly, the accrual of interest is discontinued when principal or interest is delinquent for 90 days or more unless the loan is well-secured and in the process of collection. If the loan was accruing at the time of the modification, then it continues to be in accruing status subsequent to the modification. Non-accrual TDRs may return to accruing status when there has been sufficient payment performance for a period of at least six months. Loans may be removed from TDR status in the calendar year following the modification if the interest rate at the time of modification was consistent with the interest rate for a loan with comparable credit risk and the loan has performed according to its modified terms for at least six months. | |||||||||||||||
The volume and type of TDR activity is considered in the assessment of the local economic trends’ qualitative factor used in the determination of the ALL for loans that are evaluated collectively for impairment. | |||||||||||||||
There were 32 loans totaling $17.3 million and 31 loans totaling $17.9 million that were classified as TDRs at March 31, 2014 and December 31, 2013, respectively. The following tables present the volume and recorded investment at the time of modification of TDRs by class and type of modification that occurred during the periods indicated: | |||||||||||||||
Temporary Rate Modification | Extension of Maturity | Modification of Payment and Other Terms | |||||||||||||
(in thousands) | Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | |||||||||
Three months ended March 31, 2014 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | 0 | $ | 0 | 2 | $ | 277 | 0 | $ | 0 | ||||||
All other CRE | 0 | 0 | 0 | 0 | 1 | 454 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
All other A&D | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Commercial and industrial | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage – term | 1 | 90 | 0 | 0 | 0 | 0 | |||||||||
Residential mortgage – home equity | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Total | 1 | $ | 90 | 2 | $ | 277 | 1 | $ | 454 | ||||||
Temporary Rate | Modification of Payment | ||||||||||||||
Modification | Extension of Maturity | and Other Terms | |||||||||||||
Number of | Recorded | Number of | Recorded | Number of | Recorded | ||||||||||
(in thousands) | Contracts | Investment | Contracts | Investment | Contracts | Investment | |||||||||
Three months ended March 31, 2013 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | 0 | $ | 0 | 2 | $ | 268 | 0 | $ | 0 | ||||||
All other CRE | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
All other A&D | 0 | 0 | 2 | 252 | 0 | 0 | |||||||||
Commercial and industrial | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage – term | 1 | 172 | 0 | 0 | 0 | 0 | |||||||||
Residential mortgage – home equity | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Total | 1 | $ | 172 | 4 | $ | 520 | 0 | $ | 0 | ||||||
During the three months ended March 31, 2014, there were two new TDRs. In addition, two existing TDRs which had reached their previous modification maturity were re-modified. A $1,055 reduction of the ALL resulted from the movement of one loan being evaluated collectively for impairment to being evaluated individually for impairment. The remaining new TDR was impaired at the time of modification, resulting in no impact to the ALL as a result of the modification. There was no impact to the recorded investment relating to the transfer of these loans. | |||||||||||||||
During the three months ended March 31, 2014, one A&D loan totaling $1.4 million that was modified as a TDR within the previous 12 months was transferred to non-accrual, and is considered a payment default. | |||||||||||||||
During the three months ended March 31, 2013, there were three new TDRs. In addition, two existing TDRs which had reached their original modification maturity were re-modified. An $11,266 reduction of the ALL resulted from the movement of the three new loans being evaluated collectively for impairment to being evaluated individually for impairment. There was no impact to the recorded investment relating to the transfer of these loans. During the quarter ended March 31, 2013, there were no receivables modified as TDRs within the previous 12 months for which there was a payment default during the periods indicated | |||||||||||||||
Other_Real_Estate_Owned
Other Real Estate Owned | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Other Real Estate Owned [Abstract] | ' | ||||
Other Real Estate Owned | ' | ||||
Note 8 – Other Real Estate Owned | |||||
Other Real Estate Owned | |||||
The following table presents the components of OREO as of March 31, 2014 and December 31, 2013: | |||||
(in thousands) | 31-Mar-14 | 31-Dec-13 | |||
Commercial real estate | $ | 4,960 | $ | 5,306 | |
Acquisition and development | 9,008 | 10,509 | |||
Residential mortgage | 1,645 | 1,216 | |||
Total OREO | $ | 15,613 | $ | 17,031 | |
The following table presents the activity in the OREO valuation allowance for the three months ended March 31, 2014 and 2013: | |||||
For the three months ended | |||||
March 31, | |||||
(in thousands) | 2014 | 2013 | |||
Balance January 1 | $ | 4,047 | $ | 2,766 | |
Fair value write-down | 371 | 20 | |||
Sales of OREO | -748 | -607 | |||
Balance at end of period | $ | 3,670 | $ | 2,179 | |
The following table presents the components of OREO expenses, net for the three months ended March 31, 2014 and 2013: | |||||
For the three months ended | |||||
March 31, | |||||
(in thousands) | 2014 | 2013 | |||
Gains on real estate, net | $ | -25 | $ | -7 | |
Fair value write-down | 371 | 20 | |||
Expenses, net | 188 | 117 | |||
Rental and other income | -77 | -112 | |||
Total OREO expense, net | $ | 457 | $ | 18 | |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Fair Value of Financial Instruments [Abstract] | ' | ||||||||||
Fair Value of Financial Instruments | ' | ||||||||||
Note 9 – Fair Value of Financial Instruments | |||||||||||
The Corporation complies with the guidance of ASC Topic 820, Fair Value Measurements and Disclosures, which defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements required under other accounting pronouncements. The Corporation also follows the guidance on matters relating to all financial instruments found in ASC Subtopic 825-10, Financial Instruments – Overall. | |||||||||||
Fair value is defined as the price to sell an asset or to transfer a liability in an orderly transaction between willing market participants as of the measurement date. Fair value is best determined by values quoted through active trading markets. Active trading markets are characterized by numerous transactions of similar financial instruments between willing buyers and willing sellers. Because no active trading market exists for various types of financial instruments, many of the fair values disclosed were derived using present value discounted cash flows or other valuation techniques described below. As a result, the Corporation’s ability to actually realize these derived values cannot be assumed. | |||||||||||
The Corporation measures fair values based on the fair value hierarchy established in ASC Paragraph 820-10-35-37. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of inputs that may be used to measure fair value under the hierarchy are as follows: | |||||||||||
Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets and liabilities. This level is the most reliable source of valuation. | |||||||||||
Level 2: Quoted prices that are not active, or inputs that are observable either directly or indirectly, for substantially the full term of the asset or liability. Level 2 inputs include inputs other than quoted prices that are observable for the asset or liability (for example, interest rates and yield curves at commonly quoted intervals, volatilities, prepayment speeds, loss severities, credit risks, and default rates). It also includes inputs that are derived principally from or corroborated by observable market data by correlation or other means (market-corroborated inputs). Several sources are utilized for valuing these assets, including a contracted valuation service, Standard & Poor’s (“S&P”) evaluations and pricing services, and other valuation matrices. | |||||||||||
Level 3: Prices or valuation techniques that require inputs that are both significant to the valuation assumptions and not readily observable in the market (i.e. supported with little or no market activity). Level 3 instruments are valued based on the best available data, some of which is internally developed, and consider risk premiums that a market participant would require. | |||||||||||
The level established within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. | |||||||||||
The Corporation believes that its valuation techniques are appropriate and consistent with the techniques used by other market participants. However, the use of different methodologies and assumptions could result in a different estimate of fair values at the reporting date. The valuation techniques used by the Corporation to measure, on a recurring and non-recurring basis, the fair value of assets as of March 31, 2014 are discussed in the paragraphs that follow. | |||||||||||
Investments – The investment portfolio is classified and accounted for based on the guidance of ASC Topic 320, Investments – Debt and Equity Securities. | |||||||||||
The fair value of investments available-for-sale is determined using a market approach. As of March 31, 2014, the U.S. Government agencies, residential and commercial mortgage-backed securities, and municipal bonds segments are classified as Level 2 within the valuation hierarchy. Their fair values were determined based upon market-corroborated inputs and valuation matrices, which were obtained through third party data service providers or securities brokers through which the Corporation has historically transacted both purchases and sales of investment securities. | |||||||||||
The CDO segment, which consists of pooled trust preferred securities issued by banks, thrifts and insurance companies, is classified as Level 3 within the valuation hierarchy. At March 31, 2014, the Corporation owned 18 pooled trust preferred securities with an amortized cost of $37.2 million and a fair value of $23.1 million. The market for these securities at March 31, 2014 is not active and markets for similar securities are also not active. The inactivity was evidenced first by a significant widening of the bid-ask spread in the brokered markets in which these securities trade and then by a significant decrease in the volume of trades relative to historical levels. The new issue market is also inactive, as few CDOs have been issued since 2007. There are currently very few market participants who are willing to effect transactions in these securities. The market values for these securities or any securities other than those issued or guaranteed by the U.S. Department of the Treasury (the “Treasury”) are depressed relative to historical levels. Therefore, in the current market, a low market price for a particular bond may only provide evidence of stress in the credit markets in general rather than being an indicator of credit problems with a particular issue. Given the conditions in the current debt markets and the absence of observable transactions in the secondary and new issue markets, management has determined that (a) the few observable transactions and market quotations that are available are not reliable for the purpose of obtaining fair value at March 31, 2014, (b) an income valuation approach technique (i.e. present value) that maximizes the use of relevant observable inputs and minimizes the use of unobservable inputs will be equally or more representative of fair value than a market approach, and (c) the CDO segment is appropriately classified within Level 3 of the valuation hierarchy because management determined that significant adjustments were required to determine fair value at the measurement date. | |||||||||||
Management utilizes an independent third party to prepare both the evaluations of OTTI as well as the fair value determinations for its CDO portfolio. Management does not believe that there were any material differences in the OTTI evaluations and pricing between March 31, 2014 and December 31, 2013. | |||||||||||
The approach used by the third party to determine fair value involves several steps, including detailed credit and structural evaluation of each piece of collateral in each bond, default, recovery and prepayment/amortization probabilities for each piece of collateral in the bond, and discounted cash flow modeling. The discount rate methodology used by the third party combines a baseline current market yield for comparable corporate and structured credit products with adjustments based on evaluations of the differences found in structure and risks associated with actual and projected credit performance of each CDO being valued. Currently, the only active and liquid trading market that exists is for stand-alone trust preferred securities. Therefore, adjustments to the baseline discount rate are also made to reflect the additional leverage found in structured instruments. | |||||||||||
Derivative financial instruments (Cash flow hedge) – The Corporation’s open derivative positions are interest rate swaps that are classified as Level 3 within the valuation hierarchy. Open derivative positions are valued using externally developed pricing models based on observable market inputs provided by a third party and validated by management. The Corporation has considered counterparty credit risk in the valuation of its interest rate swap assets. | |||||||||||
Impaired loans – Loans included in the table below are those that are considered impaired with a specific allocation or with a partial charge-off, based upon the guidance of the loan impairment subsection of the Receivables Topic, ASC Section 310-10-35, under which the Corporation has measured impairment generally based on the fair value of the loan’s collateral. Fair value consists of the loan balance less its valuation allowance and is generally determined based on independent third-party appraisals of the collateral or discounted cash flows based upon the expected proceeds. These assets are included as Level 3 fair values based upon the lowest level of input that is significant to the fair value measurements. | |||||||||||
Other real estate owned – Other real estate owned included in the table below are considered impaired with specific write-downs. Fair value of other real estate owned is based on independent third-party appraisals of the properties. These values were determined based on the sales prices of similar properties in the approximate geographic area. These assets are included as Level 3 fair values based upon the lowest level of input that is significant to the fair value measurements. | |||||||||||
For Level 3 assets and liabilities measured at fair value on a recurring and non-recurring basis as of March 31, 2014, the significant unobservable inputs used in the fair value measurements were as follows: | |||||||||||
Fair Value at March 31, 2014 | Valuation Technique | Significant Unobservable Inputs | Significant Unobservable Input Value | ||||||||
Recurring: | |||||||||||
Investment Securities – available for sale | $ | 23,093 | Discounted Cash Flow | Discount Rate | Swap+17%; Range of Libor+ 6.00% to 18% | ||||||
Cash Flow Hedge | $ | -365 | Discounted Cash Flow | Reuters Third Party Market Quote | 99.9% (weighted avg 99.9%) | ||||||
Non-recurring: | |||||||||||
Impaired Loans | $ | 10,819 | Market Comparable Properties | Marketability Discount | 10% (1) (weighted avg 10%) | ||||||
OREO | $ | 960 | Market Comparable Properties | Marketability Discount | 10% (1) (weighted avg 10%) | ||||||
NOTE: | |||||||||||
-1 | Range would include discounts taken since appraisal and estimated values | ||||||||||
For assets measured at fair value on a recurring and non-recurring basis, the fair value measurements by level within the fair value hierarchy used at March 31, 2014 and December 31, 2013 are as follows: | |||||||||||
Fair Value Measurements at March 31, 2014 Using | |||||||||||
Assets Measured at Fair Value | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||
(in thousands) | 3/31/14 | (Level 1) | (Level 2) | (Level 3) | |||||||
Recurring: | |||||||||||
Investment securities available-for-sale: | |||||||||||
U.S. Treasuries | $ | 23,500 | $ | 23,500 | |||||||
U.S. government agencies | $ | 85,965 | $ | 85,965 | |||||||
Residential mortgage-backed agencies | $ | 110,452 | $ | 110,452 | |||||||
Commercial mortgage-backed agencies | $ | 38,338 | $ | 38,338 | |||||||
Collateralized mortgage obligations | $ | 29,000 | $ | 29,000 | |||||||
Obligations of states and political subdivisions | $ | 51,117 | $ | 51,117 | |||||||
Collateralized debt obligations | $ | 23,093 | $ | 23,093 | |||||||
Financial Derivative | $ | -365 | $ | -365 | |||||||
Non-recurring: | |||||||||||
Impaired loans | $ | 10,819 | $ | 10,819 | |||||||
Other real estate owned | $ | 960 | $ | 960 | |||||||
Fair Value Measurements at December 31, 2013 Using | |||||||||||
Assets Measured at Fair Value | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||
(in thousands) | 12/31/13 | (Level 1) | (Level 2) | (Level 3) | |||||||
Recurring: | |||||||||||
Investment securities available-for-sale: | |||||||||||
U.S. government agencies | $ | 92,035 | $ | 92,035 | |||||||
Residential mortgage-backed agencies | $ | 112,444 | $ | 112,444 | |||||||
Commercial mortgage-backed agencies | $ | 29,905 | $ | 29,905 | |||||||
Collateralized mortgage obligations | $ | 29,390 | $ | 29,390 | |||||||
Obligations of states and political subdivisions | $ | 55,277 | $ | 55,277 | |||||||
Collateralized debt obligations | $ | 17,538 | $ | 17,538 | |||||||
Financial Derivative | $ | -457 | $ | -457 | |||||||
Non-recurring: | |||||||||||
Impaired loans | $ | 8,613 | $ | 8,613 | |||||||
Other real estate owned | $ | 5,591 | $ | 5,591 | |||||||
There were no transfers of assets between any of the fair value hierarchy for the three-month periods ended March 31, 2014 and March 31, 2013. | |||||||||||
The following tables show a reconciliation of the beginning and ending balances for fair valued assets measured on a recurring basis using Level 3 significant unobservable inputs for the three months ended March 31, 2014 and 2013: | |||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||
(In thousands) | Investment Securities Available for Sale | Cash Flow Hedge | |||||||||
Beginning balance January 1, 2014 | $ | 17,538 | $ | -457 | |||||||
Total gains realized/unrealized: | |||||||||||
Included in other comprehensive income | 5,555 | 92 | |||||||||
Ending balance March 31, 2014 | $ | 23,093 | $ | -365 | |||||||
The amount of total gains or losses for the period | |||||||||||
included in earnings attributable to the change in | |||||||||||
realized/unrealized gains or losses related to assets | |||||||||||
still held at the reporting date | $ | 0 | $ | 0 | |||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||
(in thousands) | Investment Securities Available for Sale | Cash Flow Hedge | |||||||||
Beginning balance January 1, 2013 | $ | 11,442 | $ | -849 | |||||||
Total gains realized/unrealized: | |||||||||||
Included in other comprehensive income | 2,356 | 101 | |||||||||
Ending balance March 31, 2013 | $ | 13,798 | $ | -748 | |||||||
The amount of total gains or losses for the period | |||||||||||
included in earnings attributable to the change in | |||||||||||
realized/unrealized gains or losses related to assets | |||||||||||
still held at the reporting date | $ | 0 | $ | 0 | |||||||
Gains and losses (realized and unrealized) included in earnings for the periods identified above are reported in the Consolidated Statement of Operations in Other Operating Income. | |||||||||||
The disclosed fair values may vary significantly between institutions based on the estimates and assumptions used in the various valuation methodologies. The derived fair values are subjective in nature and involve uncertainties and significant judgment. Therefore, they cannot be determined with precision. Changes in the assumptions could significantly impact the derived estimates of fair value. Disclosure of non-financial assets such as buildings as well as certain financial instruments such as leases is not required. Accordingly, the aggregate fair values presented do not represent the underlying value of the Corporation. | |||||||||||
The following methods and assumptions were used by the Corporation to estimate its fair value disclosures for financial instruments: | |||||||||||
Cash and due from banks: The carrying amounts as reported in the statement of financial condition for cash and due from banks approximate their fair values. | |||||||||||
Interest bearing deposits in banks: The carrying amount of interest bearing deposits approximates their fair values. | |||||||||||
Securities held to maturity: Investments in debt securities classified as held to maturity are measured subsequently at amortized cost in the statement of financial position. These assets are included as Level 3 fair values based upon the lowest level of input that is significant to the fair value measurements. | |||||||||||
Restricted Investment in Bank stock: The carrying value of stock issued by the FHLB of Atlanta, ACBB and CBB approximates fair value based on the redemption provisions of the stock. | |||||||||||
Loans (excluding impaired loans with specific loss allowances): For variable-rate loans that re-price frequently or “in one year or less”, and with no significant change in credit risk, fair values are based on carrying values. Fair values for fixed-rate loans that do not re-price frequently are estimated using a discounted cash flow calculation that applies current market interest rates being offered on the various loan products. | |||||||||||
Deposits: The fair values disclosed for demand deposits (e.g., interest and non-interest checking, savings, and certain types of money market accounts, etc.) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amounts). Fair values for fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies interest rates currently being offered on the various certificates of deposit to the cash flow stream. | |||||||||||
Borrowed funds: The fair value of the Bank’s FHLB borrowings and junior subordinated debt is calculated based on the discounted value of contractual cash flows, using rates currently existing for borrowings with similar remaining maturities. The carrying amounts of federal funds purchased and securities sold under agreements to repurchase approximate their fair values. | |||||||||||
Accrued Interest: The carrying amount of accrued interest receivable and payable approximates their fair values. | |||||||||||
Off-Balance-Sheet Financial Instruments: In the normal course of business, the Bank makes commitments to extend credit and issues standby letters of credit. The Bank expects most of these commitments to expire without being drawn upon; therefore, the commitment amounts do not necessarily represent future cash requirements. Due to the uncertainty of cash flows and difficulty in the predicting the timing of such cash flows, fair values were not estimated for these instruments. | |||||||||||
The following tables present fair value information about financial instruments, whether or not recognized in the Consolidated Statement of Financial Condition, for which it is practicable to estimate that value. The actual carrying amounts and estimated fair values of the Corporation’s financial instruments that are included in the Consolidated Statement of Financial Condition are as follows: | |||||||||||
31-Mar-14 | Fair Value Measurements | ||||||||||
Carrying | Fair | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||
Financial Assets: | |||||||||||
Cash and due from banks | $ | 34,521 | $ | 34,521 | $ | 34,521 | |||||
Interest bearing deposits in banks | 9,287 | 9,287 | 9,287 | ||||||||
Investment securities - AFS | 361,465 | 361,465 | $ | 338,372 | $ | 23,093 | |||||
Investment securities - HTM | 2,860 | 2,444 | 2,444 | ||||||||
Restricted Bank stock | 7,529 | 7,529 | 7,529 | ||||||||
Loans, net | 801,465 | 804,234 | 804,234 | ||||||||
Accrued interest receivable | 3,789 | 3,789 | 3,789 | ||||||||
Financial Liabilities: | |||||||||||
Deposits – non-maturity | 684,197 | 684,197 | 684,197 | ||||||||
Deposits – time deposits | 316,832 | 322,994 | 322,994 | ||||||||
Short-term borrowed funds | 43,617 | 37,746 | 37,746 | ||||||||
Long-term borrowed funds | 182,656 | 188,644 | 188,644 | ||||||||
Accrued interest payable | 900 | 900 | 900 | ||||||||
Financial derivative | 365 | 365 | 365 | ||||||||
Off balance sheet financial instruments | 0 | 0 | 0 | ||||||||
31-Dec-13 | Fair Value Measurements | ||||||||||
Carrying | Fair | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||
Financial Assets: | |||||||||||
Cash and due from banks | $ | 32,895 | $ | 32,895 | $ | 32,895 | |||||
Interest bearing deposits in banks | 10,168 | 10,168 | 10,168 | ||||||||
Investment securities - AFS | 336,589 | 336,589 | $ | 319,051 | $ | 17,538 | |||||
Investment securities - HTM | 3,900 | 3,590 | 3,590 | ||||||||
Restricted Bank stock | 7,913 | 7,913 | 7,913 | ||||||||
Loans, net | 796,646 | 799,937 | 799,937 | ||||||||
Accrued interest receivable | 4,342 | 4,342 | 4,342 | ||||||||
Financial Liabilities: | |||||||||||
Deposits- non-maturity | 650,761 | 650,761 | 650,761 | ||||||||
Deposits- time deposits | 326,642 | 333,256 | 333,256 | ||||||||
Short-term borrowed funds | 43,676 | 43,676 | 43,676 | ||||||||
Long-term borrowed funds | 182,672 | 189,135 | 189,135 | ||||||||
Accrued interest payable | 7,647 | 7,647 | 7,647 | ||||||||
Financial derivative | 457 | 457 | 457 | ||||||||
Off balance sheet financial instruments | 0 | 0 | 0 | ||||||||
Loans are measured using a discounted cash flow method. The significant unobservable inputs used in the Level 3 fair value measurements of the Corporation’s loans included in the tables above are calculated based on the Corporation’s internal new volume rate. | |||||||||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 3 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Accumulated Other Comprehensive Loss [Abstract] | ' | ||||||||||||
Accumulated Other Comprehensive Loss | ' | ||||||||||||
Note 10 – Accumulated Other Comprehensive Loss | |||||||||||||
The following table presents the changes in each component of accumulated other comprehensive loss for the 12 months ended December 31, 2013 and the three month period ended March 31, 2014: | |||||||||||||
Investment | Investment | ||||||||||||
securities- | securities- | Cash Flow | Pension | ||||||||||
(in thousands) | with OTTI | all other | Hedge | Plan | SERP | Total | |||||||
Accumulated OCL, net: | |||||||||||||
Balance - January 1, 2013 | $ | -10,036 | $ | -2,966 | $ | -507 | $ | -8,262 | $ | -52 | $ | -21,823 | |
Other comprehensive income/(loss) before reclassifications | 2,735 | -8,279 | 233 | 2,871 | 102 | -2,338 | |||||||
Amounts reclassified from accumulated other comprehensive income | -322 | -47 | 0 | 303 | 14 | -52 | |||||||
Balance - December 31, 2013 | $ | -7,623 | $ | -11,292 | $ | -274 | $ | -5,088 | $ | 64 | $ | -24,213 | |
Other comprehensive income/(loss) before reclassifications | 2,730 | 2,995 | 55 | -179 | 0 | 5,601 | |||||||
Amounts reclassified from accumulated other comprehensive income | -96 | 41 | 0 | 52 | 1 | -2 | |||||||
Balance – March 31, 2014 | $ | -4,989 | $ | -8,256 | $ | -219 | $ | -5,215 | $ | 65 | $ | -18,614 | |
The following tables present the components of comprehensive income for the three months ended March 31, 2014 and 2013: | |||||||||||||
Components of Comprehensive Income (in thousands) | Before Tax Amount | Tax (Expense) Benefit | Net | ||||||||||
For the three months ended March 31, 2014 | |||||||||||||
Available for sale (AFS) securities with OTTI: | |||||||||||||
Unrealized holding gains | $ | 4,549 | $ | -1,819 | $ | 2,730 | |||||||
Less: accretable yield recognized in income | 160 | -64 | 96 | ||||||||||
Net unrealized gains on investments with OTTI | 4,389 | -1,755 | 2,634 | ||||||||||
Available for sale securities – all other: | |||||||||||||
Unrealized holding gains | 4,990 | -1,995 | 2,995 | ||||||||||
Less: losses recognized in income | -68 | 27 | -41 | ||||||||||
Net unrealized gains on all other AFS securities | 5,058 | -2,022 | 3,036 | ||||||||||
Cash flow hedges: | |||||||||||||
Unrealized holding gains | 92 | -37 | 55 | ||||||||||
Pension Plan: | |||||||||||||
Unrealized net actuarial loss | -298 | 119 | -179 | ||||||||||
Less: amortization of unrecognized loss | -93 | 37 | -56 | ||||||||||
Less: amortization of transition asset | 10 | -4 | 6 | ||||||||||
Less: amortization of prior service costs | -3 | 1 | -2 | ||||||||||
Net pension plan liability adjustment | -212 | 85 | -127 | ||||||||||
SERP: | |||||||||||||
Unrealized net actuarial loss | 0 | 0 | 0 | ||||||||||
Less: amortization of unrecognized gain | 4 | -1 | 3 | ||||||||||
Less: amortization of prior service costs | -5 | 1 | -4 | ||||||||||
Net SERP liability adjustment | 1 | 0 | 1 | ||||||||||
Other comprehensive income | $ | 9,328 | $ | -3,729 | $ | 5,599 | |||||||
Components of Comprehensive Income (in thousands) | Before Tax Amount | Tax (Expense) Benefit | Net | ||||||||||
For the three months ended March 31, 2013 | |||||||||||||
Available for sale (AFS) securities with OTTI: | |||||||||||||
Unrealized holding gains | $ | 1,788 | $ | -718 | $ | 1,070 | |||||||
Less: accretable yield recognized in income | 125 | -50 | 75 | ||||||||||
Net unrealized gains on investments with OTTI | 1,663 | -668 | 995 | ||||||||||
Available for sale securities – all other: | |||||||||||||
Unrealized holding losses | -195 | 79 | -116 | ||||||||||
Less: gains recognized in income | 250 | -101 | 149 | ||||||||||
Net unrealized gains on all other AFS securities | -445 | 180 | -265 | ||||||||||
Cash flow hedges: | |||||||||||||
Unrealized holding gains | 101 | -41 | 60 | ||||||||||
Pension Plan: | |||||||||||||
Unrealized net actuarial gain | 1,069 | -430 | 639 | ||||||||||
Less: amortization of unrecognized loss | -133 | 53 | -80 | ||||||||||
Less: amortization of transition asset | 10 | -4 | 6 | ||||||||||
Less: amortization of prior service costs | -3 | 1 | -2 | ||||||||||
Net pension plan liability adjustment | 1,195 | -480 | 715 | ||||||||||
SERP: | |||||||||||||
Unrealized net actuarial loss | 0 | 0 | 0 | ||||||||||
Less: amortization of unrecognized loss | -1 | 0 | -1 | ||||||||||
Less: amortization of prior service costs | -5 | 2 | -3 | ||||||||||
Net SERP liability adjustment | 6 | -2 | 4 | ||||||||||
Other comprehensive income | $ | 2,520 | $ | -1,011 | $ | 1,509 | |||||||
The following table presents the details of accumulated other comprehensive income components for the three months ended March 31, 2014: | |||||||||||||
Details of Accumulated Other Comprehensive Income Components (in thousands) | Amount Reclassified from Accumulated Other Comprehensive Income For the three months ended March 31, 2014 | Affected Line Item in the Statement Where Net Income is Presented | |||||||||||
Unrealized gains and losses on investment securities with OTTI: | |||||||||||||
Accretable Yield | $ | 160 | Interest income on taxable investment securities | ||||||||||
Taxes | -64 | Tax expense | |||||||||||
$ | 96 | Net of tax | |||||||||||
Unrealized gains and losses on available for sale investment securities - all others: | |||||||||||||
Losses on sales | $ | -68 | Net losses - other | ||||||||||
Taxes | 27 | Tax benefit | |||||||||||
$ | -41 | Net of tax | |||||||||||
Net pension plan liability adjustment: | |||||||||||||
Amortization of unrecognized loss | -93 | Salaries and employee benefits | |||||||||||
Amortization of transition asset | 10 | Salaries and employee benefits | |||||||||||
Amortization of prior service costs | -3 | Salaries and employee benefits | |||||||||||
Taxes | 34 | Tax benefit | |||||||||||
$ | -52 | Net of Tax | |||||||||||
Net SERP liability adjustment: | |||||||||||||
Amortization of unrecognized gain | 4 | Salaries and employee benefits | |||||||||||
Amortization of prior service costs | -5 | Salaries and employee benefits | |||||||||||
Taxes | 0 | Tax benefit | |||||||||||
$ | -1 | Net of Tax | |||||||||||
Total reclassifications for the period | $ | 2 | Net of tax | ||||||||||
Junior_Subordinated_Debentures
Junior Subordinated Debentures and Restrictions on Dividends | 3 Months Ended |
Mar. 31, 2014 | |
Junior Subordinated Debentures and Restrictions on Dividends [Abstract] | ' |
Junior Subordinated Debentures and Restrictions on Dividends | ' |
Note 11 – Junior Subordinated Debentures and Restrictions on Dividends | |
First United Corporation is the parent company to three statutory trust subsidiaries - First United Statutory Trust I and First United Statutory Trust II, both of which are Connecticut statutory trusts (“Trust I” and “Trust II”, respectively), and First United Statutory Trust III, a Delaware statutory trust (“Trust III” and, together with Trust I and Trust II, the “Trusts”). The Trusts were formed for the purposes of selling preferred securities to investors and using the proceeds to purchase junior subordinated debentures from First United Corporation (“TPS Debentures”) that would qualify as regulatory capital. | |
In March 2004, Trust I and Trust II issued preferred securities with an aggregate liquidation amount of $30.0 million to third-party investors and issued common equity with an aggregate liquidation amount of $.9 million to First United Corporation. Trust I and Trust II used the proceeds of these offerings to purchase an equal amount of TPS Debentures, as follows: | |
$20.6 million—floating rate payable quarterly based on three-month LIBOR plus 275 basis points (2.98% at March 31, 2014), maturing in 2034, became redeemable five years after issuance at First United Corporation’s option. | |
$10.3 million--floating rate payable quarterly based on three-month LIBOR plus 275 basis points (2.98% at March 31, 2014) maturing in 2034, became redeemable five years after issuance at First United Corporation’s option. | |
In December 2004, First United Corporation issued $5.0 million of junior subordinated debentures to third-party investors that were not tied to preferred securities. The debentures had a fixed rate of 5.88% for the first five years, payable quarterly, and converted to a floating rate in March 2010 based on the three month LIBOR plus 185 basis points (2.08% at March 31, 2014). The debentures mature in 2015, but became redeemable five years after issuance at First United Corporation’s option. | |
In December 2009, Trust III issued 9.875% fixed-rate preferred securities with an aggregate liquidation amount of approximately $7.0 million to private investors and issued common securities to First United Corporation with an aggregate liquidation amount of approximately $.2 million. Trust III used the proceeds of the offering to purchase approximately $7.2 million of 9.875% fixed-rate TPS Debentures. Interest on these TPS Debentures are payable quarterly, and the TPS Debentures mature in 2040 but are redeemable five years after issuance at First United Corporation’s option. | |
In January 2010, Trust III issued an additional $3.5 million of 9.875% fixed-rate preferred securities to private investors and issued common securities to First United Corporation with an aggregate liquidation amount of $.1 million. Trust III used the proceeds of the offering to purchase $3.6 million of 9.875% fixed-rate TPS Debentures. Interest on these TPS Debentures is payable quarterly and the TPS Debentures mature in 2040 but are redeemable five years after issuance at First United Corporation’s option. | |
The TPS Debentures issued to each of the Trusts represent the sole assets of that Trust, and payments of the TPS Debentures by First United Corporation are the only sources of cash flow for the Trust. First United Corporation has the right, without triggering a default, to defer interest on all of the TPS Debentures for up to 20 quarterly periods, in which case distributions on the preferred securities will also be deferred. During a deferral period, the Corporation may not pay dividends or distributions on, or repurchase, redeem or acquire any shares of its capital stock. | |
At the request of the Reserve Bank in December 2010, the Corporation’s Board of Directors elected to defer quarterly interest payments under the TPS Debentures beginning with the payments due in March 2011. In February 2014, the Corporation received approval from the Reserve Bank to terminate this deferral by making the quarterly interest payments due to the Trusts in March 2014. In connection with this deferral termination, deferred interest of approximately $1.024 million as well as $77,166 of current interest was paid to Trust I on March 17, 2014, deferred interest of approximately $2.048 million as well as $154,325 in current interest was paid to Trust II on March 17, 2014, and deferred interest of approximately $3.763 million as well as $266,650 in current interest was paid to Trust III on March 15, 2014. This approval was limited to the March 2014 payments, and the payment of quarterly interest due in any subsequent quarter will be contingent on the Corporation’s receipt of approval from the Reserve Bank to make that payment. In considering a request for approval, the Reserve Bank will consider, among other things, the Corporation’s financial condition and its quarterly results of operations. In April 2014, the Corporation received approval from the Federal Reserve Bank to pay the quarterly interest due on the TPS Debentures in June 2014. In addition to this pre-approval requirement, it should be noted that the Corporation’s ability to make future quarterly interest payments under the TPS Debentures will depend in large part on its receipt of dividends from the Bank, and the Bank may make dividend payments only with the prior approval of the Federal Deposit Insurance Corporation (the “FDIC”) and the Maryland Commissioner of Financial Regulation (the “Maryland Commissioner”). Although the FDIC and the Maryland Commissioner have authorized the Bank to pay dividends to the Corporation in an aggregate amount necessary for the Corporation to make the quarterly interest payments due in March 2014, June 2014, September 2014 and December 2014, that approval is subject to revocation by the FDIC and the Maryland Commissioner at any time if they determine that the Bank’s financial condition and/or results of operations do not support the payment of dividends. As a result of these limitations, no assurance can be given that the Corporation will make the quarterly interest payments due under the TPS Debentures in any future quarter. In the event that the Corporation and/or the Bank do not receive the approvals necessary for the Corporation to make future quarterly interest payments, the Corporation will have to again elect to defer interest payments. The terms of the TPS Debentures permit the Corporation to elect to defer payments of interest for up to 20 consecutive quarterly periods, provided that no event of default exists under the TPS Debentures at the time of the election. An election to defer interest payments is not considered a default under the TPS Debentures. | |
Interest payments on the $5.0 million junior subordinated debentures that were issued outside of trust preferred securities offerings cannot be, and have not been, deferred. | |
The terms of First United Corporation’s Fixed Rate Cumulative Perpetual Preferred Stock, Series A (“Series A Preferred Stock”) call for the payment, if declared by the Board of Directors of First United Corporation, of cash dividends on February 15th, May 15th, August 15th and November 15th of each year. On November 15, 2010, at the request of the Reserve Bank, the Board of Directors of First United Corporation voted to suspend quarterly cash dividends on the Series A Preferred Stock beginning with the dividend payment due November 15, 2010. Dividends of $.4 million per dividend period continue to accrue, and First United Corporation will be required to pay all accrued and unpaid dividends if and when the Board of Directors declares the next quarterly cash dividend. In April 2014, the Corporation received approval from the Reserve Bank to terminate this deferral by making the quarterly interest payments due to the Treasury in May 2014. Cumulative deferred dividends on the Series A Preferred Stock was approximately $5.8 million as of March 31, 2014. No assurance can be given that First United Corporation will make the quarterly interest payments due under the TPS Debentures in any future quarter. If First United Corporation and/or the Bank do not obtain the regulatory approvals necessary to permit First United Corporation to make a future quarterly interest payment, then First United Corporation would have to again elect to defer quarterly interest payments, which would result in a prohibition against paying any dividends or other distributions on the outstanding shares of First United Corporation’s common stock or its outstanding shares of Series A Preferred Stock during the deferral period. First United Corporation’s ability to pay cash dividends in the future will depend primarily on our earnings in future periods. | |
In December 2010, in connection with the above-mentioned deferral of dividends on the Series A Preferred Stock, the Board of Directors of First United Corporation voted to suspend the payment of quarterly cash dividends on the common stock starting in 2011. | |
Borrowed_Funds
Borrowed Funds | 3 Months Ended | |||||||||
Mar. 31, 2014 | ||||||||||
Borrowed Funds [Abstract] | ' | |||||||||
Borrowed Funds | ' | |||||||||
Note 12 – Borrowed Funds | ||||||||||
The following table summarizes short-term borrowings with original maturities of less than one year: | ||||||||||
(Dollars in thousands) | Three Months Ended March 31, 2014 | Year Ended December 31, 2013 | ||||||||
Securities sold under agreements to repurchase: | ||||||||||
Outstanding at end of period | $ | 43,617 | $ | 43,676 | ||||||
Weighted average interest rate at end of period | 0.13% | 0.14% | ||||||||
Maximum amount outstanding as of any month end | $ | 48,195 | $ | 61,354 | ||||||
Average amount outstanding | $ | 43,307 | $ | 47,777 | ||||||
Approximate weighted average rate during the period | 0.13% | 0.13% | ||||||||
At March 31, 2014, the repurchase agreements were secured by $64.9 million in available-for-sale investment securities. | ||||||||||
The following table summarizes long-term borrowings with original maturities exceeding one year: | ||||||||||
March 31, | December 31, | |||||||||
(In thousands) | 2014 | 2013 | ||||||||
FHLB advances, bearing fixed interest at rates ranging from 1.00% to 3.69% at March 31, 2014 | $ | 135,926 | $ | 135,942 | ||||||
Junior subordinated debt, bearing variable interest rates ranging from 2.08% to 2.98% at March 31, 2014 | 35,929 | 35,929 | ||||||||
Junior subordinated debt, bearing fixed interest rate of 9.88% at March 31, 2014 | 10,801 | 10,801 | ||||||||
Total long-term debt | $ | 182,656 | $ | 182,672 | ||||||
At March 31, 2014, the long-term FHLB advances were secured by $161.6 million in loans and $.6 million in investment securities. | ||||||||||
The contractual maturities of all long-term borrowings are as follows: | ||||||||||
31-Mar-14 | 31-Dec-13 | |||||||||
Fixed | Floating | |||||||||
(In thousands) | Rate | Rate | Total | Total | ||||||
Due in 2014 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||
Due in 2015 | 30,000 | 5,000 | 35,000 | 35,000 | ||||||
Due in 2016 | 0 | 0 | 0 | 0 | ||||||
Due in 2017 | 0 | 0 | 0 | 0 | ||||||
Due in 2018 | 70,000 | 0 | 70,000 | 70,000 | ||||||
Due in 2019 | 0 | 0 | 0 | 0 | ||||||
Thereafter | 46,727 | 30,929 | 77,656 | 77,672 | ||||||
Total long-term debt | $ | 146,727 | $ | 35,929 | $ | 182,656 | $ | 182,672 | ||
Pension_and_SERP_Plans
Pension and SERP Plans | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Pension and SERP Plans [Abstract] | ' | ||||
Pension and SERP Plans | ' | ||||
Note 13 - Pension and SERP Plans | |||||
The following tables present the components of the net periodic pension plan cost for First United Corporation’s Defined Benefit Pension Plan (the “Pension Plan”) and the Bank’s Supplemental Executive Retirement Plan (“SERP”) for the periods indicated: | |||||
Pension | For the three months ended | ||||
March 31, | |||||
(In thousands) | 2014 | 2013 | |||
Service cost | $ | 65 | $ | 57 | |
Interest cost | 366 | 330 | |||
Expected return on assets | -665 | -594 | |||
Amortization of transition asset | -10 | -10 | |||
Amortization of net actuarial loss | 93 | 133 | |||
Amortization of prior service cost | 3 | 3 | |||
Net pension credit included in employee benefits | $ | -148 | $ | -81 | |
SERP | For the three months ended | ||||
March 31, | |||||
(In thousands) | 2014 | 2013 | |||
Service cost | $ | 24 | $ | 30 | |
Interest cost | 57 | 64 | |||
Amortization of recognized (gain)/loss | -4 | 1 | |||
Amortization of prior service cost | 5 | 5 | |||
Net SERP expense included in employee benefits | $ | 82 | $ | 100 | |
Effective April 30, 2010, the Pension Plan was amended, resulting in a “soft freeze”. The effects of the amendment were to prohibit new entrants into the plan and to cease crediting additional years of service after that date. Effective January 1, 2013, the plan was amended to unfreeze the plan for those employees for whom the sum of (a) their ages, at their closest birthday, plus (b) years of service for vesting purposes equal 80 or greater. The “soft freeze” continues to apply to all other plan participants. Pension benefits for these participants will be managed through discretionary contributions to the 401(k) Profit Sharing Plan. The Corporation anticipates that the plan changes will have a minimal impact on the consolidated financial statements. | |||||
The Corporation will assess the need for future annual contributions to the pension plan based upon its funded status and an evaluation of the future benefits to be provided thereunder. The Corporation expects to fund the annual projected benefit payments for the SERP from operations. | |||||
Equity_Compensation_Plan_Infor
Equity Compensation Plan Information | 3 Months Ended |
Mar. 31, 2014 | |
Equity Compensation Plan Information [Abstract] | ' |
Equity Compensation Plan Information | ' |
Note 14 - Equity Compensation Plan Information | |
At the 2007 Annual Meeting of Shareholders, First United Corporation’s shareholders approved the First United Corporation Omnibus Equity Compensation Plan (the “Omnibus Plan”), which authorizes the issuance of up to 185,000 shares of common stock pursuant to the grant of stock options, stock appreciation rights, stock awards, stock units, performance units, dividend equivalents, and other stock-based awards to employees or directors. | |
On June 18, 2008, the Board of Directors of First United Corporation adopted a Long-Term Incentive Program (the “LTIP”). This program was adopted as a sub-plan of the Omnibus Plan to reward participants for increasing shareholder value, align executive interests with those of shareholders, and serve as a retention tool for key executives. Under the LTIP, participants are granted shares of restricted common stock of First United Corporation. The amount of an award is based on a specified percentage of the participant’s salary as of the date of grant. These shares will vest if the Corporation meets or exceeds certain performance thresholds. There were no grants of restricted stock outstanding at March 31, 2014. | |
The Corporation complies with the provisions of ASC Topic 718, Compensation-Stock Compensation, in measuring and disclosing stock compensation cost. The measurement objective in ASC Paragraph 718-10-30-6 requires public companies to measure the cost of employee services received in exchange for an award of equity instruments based on the grant date fair value of the award. The cost is recognized in expense over the period in which an employee is required to provide service in exchange for the award (the vesting period). The performance-related shares granted in connection with the LTIP are expensed ratably from the date that the likelihood of meeting the performance measures is probable through the end of a three year vesting period. | |
The American Recovery and Reinvestment Act of 2009 (the “Recovery Act”) imposes restrictions on the type and timing of bonuses and incentive compensation that may be accrued for or paid to certain employees of institutions like First United Corporation that participated in Treasury’s Capital Purchase Program. The Recovery Act generally limits bonuses and incentive compensation to grants of long-term restricted stock that, among other requirements, cannot fully vest until the Capital Purchase Program assistance is repaid. | |
Stock-based awards were made to non-employee directors in May 2013 pursuant to First United Corporation’s director compensation policy. Five thousand dollars of each director’s annual retainer is paid in shares of stock, with the remainder paid in cash. Beginning in 2011, each non-employee director was given the option to receive the remainder of his or her retainer, or any portion thereof, in shares of stock. A total of 11,304 fully-vested shares of common stock were issued to directors in 2013, which had a fair market value of $7.96 per share. Director stock compensation expense was $22,495 for the three months ended March 31, 2014 and $19,153 for the three months ended March 31, 2013. | |
Beginning in May 2014, non-employee directors are entitled to receive an annual retainer comprised of 1,000 shares of common stock and $10,000 in cash, although they may elect to receive additional shares of common stock in lieu of the cash portion of their retainers. In the case of such an election, the number of shares to be received will be determined by dividing the cash amount by the fair market value of a share of common stock (as defined in the Omnibus Plan). Prior to May 2014, non-employee directors received $5,000 in stock instead of the 1,000 shares of common stock discussed above. | |
Letters_of_Credit_and_Off_Bala
Letters of Credit and Off Balance Sheet Liabilities | 3 Months Ended |
Mar. 31, 2014 | |
Commitments and Contingent Liabilities [Abstract] | ' |
Letters of Credit and Off Balance Sheet Liabilities | ' |
Note 15 – Letters of Credit and Off Balance Sheet Liabilities | |
The Corporation does not issue any guarantees that would require liability recognition or disclosure other than the standby letters of credit issued by the Bank. Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. Generally, the Bank’s letters of credit are issued with expiration dates within one year. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. The Bank generally holds collateral and/or personal guarantees supporting these commitments. The Bank had $1.1 million of outstanding standby letters of credit at March 31, 2014 and December 31, 2013. Management believes that the proceeds obtained through a liquidation of collateral and the enforcement of guarantees would be sufficient to cover the potential amount of future payment required by the letters of credit. Management does not believe that the amount of the liability associated with guarantees under standby letters of credit outstanding at March 31, 2014 and December 31, 2013 is material. | |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Derivative Financial Instruments [Abstract] | ' | ||||||
Derivative Financial Instruments | ' | ||||||
Note 16 – Derivative Financial Instruments | |||||||
As a part of managing interest rate risk, the Bank entered into interest rate swap agreements to modify the re-pricing characteristics of certain interest-bearing liabilities. The Corporation has designated these interest rate swap agreements as cash flow hedges under the guidance of ASC Subtopic 815-30, Derivatives and Hedging – Cash Flow Hedges. Cash flow hedges have the effective portion of changes in the fair value of the derivative, net of taxes, recorded in net accumulated other comprehensive income. | |||||||
In July 2009, the Corporation entered into three interest rate swap contracts totaling $20.0 million notional amount, hedging future cash flows associated with floating rate trust preferred debt. As of March 31, 2014, swap contracts totaling $15.0 million notional amount remained, as the three-year $5.0 million contract matured on June 15, 2012. The five-year $10 million contract matures June 17, 2014 and the seven-year $5 million contract matures June 17, 2016. The fair value of the interest rate swap contracts was ($365) thousand at March 31, 2014 and ($457) thousand at December 31, 2013 and was reported in Other Liabilities on the Consolidated Statement of Financial Condition. Cash in the amount of $.85 million was posted as collateral as of March 31, 2014. | |||||||
For the three months ended March 31, 2014, the Corporation recorded an increase in the value of the derivatives of $92 thousand and the related deferred tax benefit of $37 thousand in net accumulated other comprehensive loss to reflect the effective portion of cash flow hedges. ASC Subtopic 815-30 requires this amount to be reclassified to earnings if the hedge becomes ineffective or is terminated. There was no hedge ineffectiveness recorded for the three months ending March 31, 2014. The Corporation does not expect any losses relating to these hedges to be reclassified into earnings within the next 12 months. | |||||||
Interest rate swap agreements are entered into with counterparties that meet established credit standards and the Corporation believes that the credit risk inherent in these contracts is not significant as of March 31, 2014. | |||||||
The table below discloses the impact of derivative financial instruments on the Corporation’s Consolidated Financial Statements for the three months ended March 31, 2014 and 2013. | |||||||
Derivative in Cash Flow Hedging Relationships | |||||||
(In thousands) | Amount of gain recognized in OCI on derivative (effective portion) | Amount of gain or (loss) reclassified from accumulated OCI into income (effective portion) (a) | Amount of gain or (loss) recognized in income or derivative (ineffective portion and amount excluded from effectiveness testing) (b) | ||||
Interest rate contracts: | |||||||
Three months ended: | |||||||
31-Mar-14 | $ | 55 | $ | 0 | $ | 0 | |
31-Mar-13 | 60 | 0 | 0 | ||||
Notes: | |||||||
(a) | Reported as interest expense | ||||||
Reported as other income | |||||||
Variable_Interest_Entities_VIE
Variable Interest Entities (VIE) | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Variable Interest Entities (VIE) [Abstract] | ' | ||||
Variable Interest Entities | ' | ||||
Note 17 – Variable Interest Entities (VIE) | |||||
As noted in Note 11, First United Corporation created the Trusts for the purposes of raising regulatory capital through the sale of mandatorily redeemable preferred capital securities to third party investors and common equity interests to First United Corporation. The Trusts are considered Variable Interest Entities (“VIEs”), but are not consolidated because First United Corporation is not the primary beneficiary of the Trusts. At March 31, 2014, the Corporation reported all of the $41.7 million of TPS Debentures issued in connection with these offerings as long-term borrowings (along with the $5.0 million of stand-alone junior subordinated debentures), and it reported its $1.3 million equity interest in the Trusts as “Other Assets”. | |||||
In November 2009, the Bank became a 99.99% limited partner in Liberty Mews Limited Partnership (the “Partnership”), a Maryland limited partnership formed for the purpose of acquiring, developing and operating low-income housing units in Garrett County, Maryland. The Partnership was financed with a total of $10.6 million of funding, including a $6.1 million equity contribution from the Bank as the limited partner. The Partnership used the proceeds from these sources to purchase the land and construct a 36-unit low income housing rental complex at a total cost of $10.6 million. The total assets of the Partnership were approximately $9.7 million at March 31, 2014 and December 31, 2013. | |||||
As of December 31, 2011, the Bank had made contributions to the Partnership totaling $6.1 million. The project was completed in June 2011, and the Bank is entitled to $8.4 million in federal investment tax credits over a 10-year period as long as certain qualifying hurdles are maintained. The Bank will also receive the benefit of tax operating losses from the Partnership to the extent of its capital contribution. The investment in the Partnership assists the Bank in achieving its community reinvestment initiatives. | |||||
Because the Partnership is considered to be a VIE, management performed an analysis to determine whether its involvement with the Partnership would lead it to determine that it must consolidate the Partnership. In performing its analysis, management evaluated the risks creating the variability in the Partnership and identified which activities most significantly impact the VIE’s economic performance. Finally, it examined each of the variable interest holders to determine which, if any, of the holders was the primary beneficiary based on their power to direct the most significant activities and their obligation to absorb potentially significant losses of the Partnership. | |||||
The Bank, as a limited partner, generally has no voting rights. The Bank is not in any way involved in the daily management of the Partnership and has no other rights that provide it with the power to direct the activities that most significantly impact the Partnership’s economic performance, which are to develop and operate the housing project in such a manner that complies with specific tax credit guidelines. As a limited partner, there is no recourse to the Bank by the creditors of the Partnership. The tax credits that result from the Bank’s investment in the Partnership are generally subject to recapture should the partnership fail to comply with the applicable government regulations. The Bank has not provided any financial or other support to the Partnership beyond its required capital contributions and does not anticipate providing such support in the future. Management currently believes that no material losses are probable as a result of the Bank’s investment in the Partnership. | |||||
On the basis of management’s analysis, the general partner is deemed to be the primary beneficiary of the Partnership. Because the Bank is not the primary beneficiary, the Partnership has not been included in the Corporation’s consolidated financial statements. | |||||
At March 31, 2014 and December 31, 2013, the Corporation included its total investment in the Partnership in “Other Assets” in its Consolidated Statement of Financial Condition. As of March 31, 2014, the Corporation’s commitment in the Partnership was fully funded. The following table presents details of the Bank’s involvement with the Partnership at the dates indicated: | |||||
March 31, | December 31, | ||||
(In thousands) | 2014 | 2013 | |||
Investment in LIHTC Partnership | |||||
Carrying amount on Balance Sheet of: | |||||
Investment (Other Assets) | $ | 4,845 | $ | 4,980 | |
Maximum exposure to loss | 4,845 | 4,980 | |||
Assets_and_Liabilities_Subject
Assets and Liabilities Subject to Enforceable Master Netting Agreements | 3 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Assets and Liabilities Subject to Enforceable Master Netting Arrangements [Abstract] | ' | ||||||||||||
Assets and Liabilities Subject to Enforceable Master Netting Arrangements | ' | ||||||||||||
Note 18 – Assets and Liabilities Subject to Enforceable Master Netting Arrangements | |||||||||||||
Interest Rate Swap Agreements (“Swap Agreements”) | |||||||||||||
The Corporation has entered into interest rate swap agreements to modify the re-pricing characteristics of certain interest-bearing liabilities as a part of managing interest rate risk. The swap agreements have been designated as cash flow hedges, and accordingly, the fair value of the interest rate swap contracts is reported in Other Liabilities on the Consolidated Statement of Financial Condition. The swap agreements were entered into with a third party financial institution. The Corporation is party to master netting arrangements with its financial institution counterparty; however the Corporation does not offset assets and liabilities under these arrangements for financial statement presentation purposes. The master netting arrangements provide for a single net settlement of all swap agreements, as well as collateral, in the event of default on, or termination of, any one contract. Collateral, in the form of cash, is posted by the Corporation as the counterparty with net liability positions in accordance with contract thresholds. See Note 16 to the Consolidated Financial Statements for more information. | |||||||||||||
Securities Sold Under Agreements to Repurchase (“Repurchase Agreements”) | |||||||||||||
The Bank enters into agreements under which it sells interests in U.S. Securities to certain customers subject to an obligation to repurchase, and on the part of the customers to resell, such interests. Under these arrangements, the Bank may transfer legal control over the assets but still retain effective control through an agreement that both entitles and obligates the Bank to repurchase the assets. As a result, these repurchase agreements are accounted for as collateralized financing arrangements (i.e. secured borrowings) and not as a sale and subsequent repurchase of securities. The obligation to repurchase the securities is reflected as a liability in the consolidated statement of condition, while the securities underlying the repurchase agreements remain in the respective investment securities asset accounts. There is no offsetting or netting of the investment securities assets with the repurchase agreement liabilities. In addition, as the Bank does not enter into reverse repurchase agreements, there is no such offsetting to be done with the repurchase agreements. The right of setoff for a repurchase agreement resembles a secured borrowing, whereby the collateral would be used to settle the fair value of the repurchase agreement should the Bank be in default (i.e. fails to repurchase the U.S. Securities on the maturity date of the agreement). The investment security collateral is held by a third party financial institution in the counterparty’s custodial account. | |||||||||||||
The following table presents the liabilities subject to an enforceable master netting arrangement or repurchase agreements as of March 31, 2014 and December 31, 2013. | |||||||||||||
Gross Amounts Not Offset in the Statement of Condition | |||||||||||||
(In thousands) | Gross Amounts of Recognized Liabilities | Gross Amounts Offset in the Statement of Condition | Net Amounts of Liabilities Presented in the Statement of Condition | Financial Instruments | Cash Collateral Pledged | Net Amount | |||||||
31-Mar-14 | |||||||||||||
Interest Rate Swap Agreements | $ | 365 | $ | 0 | $ | 365 | $ | -365 | $ | 0 | $ | 0 | |
Repurchase Agreements | $ | 43,617 | $ | 0 | $ | 43,617 | $ | -43,617 | $ | 0 | $ | 0 | |
31-Dec-13 | |||||||||||||
Interest Rate Swap Agreements | $ | 457 | $ | 0 | $ | 457 | $ | -457 | $ | 0 | $ | 0 | |
Repurchase Agreements | $ | 43,676 | $ | 0 | $ | 43,676 | $ | -43,676 | $ | 0 | $ | 0 | |
Adoption_of_New_Accounting_Sta
Adoption of New Accounting Standards and Effects of New Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2014 | |
Adoption of New Accounting Standards and Effects of New Accounting Pronouncements [Abstract] | ' |
New Accounting Pronouncements and Changes in Accounting Principles [Text Block] | ' |
Note 19 – Adoption of New Accounting Standards and Effects of New Accounting Pronouncements | |
In January 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-01, Accounting for Investments in Qualified Affordable Housing Projects, which provides amendments and guidance on accounting for investments by a reporting entity in flow-through limited liability entities that manage or invest in affordable housing projects that qualify for the low-income housing tax credit. The amendments permit reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. The amendments in ASU 2014-01 should be applied retrospectively to all periods presented. A reporting entity that uses the effective yield method to account for its investments in qualified affordable housing projects before the date of adoption may continue to apply the effective yield method for those preexisting investments. Additional disclosure requirements are applicable to all reporting entities, regardless of whether the election is made. ASU 2014-01 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014, with early adoption permitted. At December 31, 2013, the Corporation has a single investment in a flow-through limited liability entity that invests in an affordable housing project, for which it currently utilizes the effective yield method to account for its investment. The Corporation is evaluating whether to change its method of accounting as permitted by ASU 2014-01, but does not believe that the adoption of ASU 2014-01 will have a material impact on the Corporation’s financial condition and results of operations. | |
In January 2014, the FASB issued ASU 2014-04, Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure, which provides guidance clarifying when an in substance repossession or foreclosure occurs that would require a loan receivable to be derecognized and the real estate property recognized. ASU 2014-04 specifies the circumstances when a creditor should be considered to have received physical possession of the residential real estate property collateralizing a consumer mortgage loan, and requires interim and annual disclosure of both the amount of foreclosed residential real estate property held by the creditor and the recorded investment in consumer mortgage loans collateralized by residential real estate that are in the process of foreclosure. An entity can elect to adopt the amendments in ASU 2014-04 using either a modified or a retrospective transition method or a prospective transition method. ASU 2014-04 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014, with early adoption permitted. The Corporation is evaluating the provision of ASU 2014-04, but does not believe that the adoption of ASU 2014-04 will have a material impact on the Corporation’s financial condition and results of operations. | |
In July 2013, the FASB issued ASU 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, which provides guidance on financial statement presentation of an unrecognized tax benefit when a net operating loss (“NOL”) carryforward, a similar tax loss, or a tax credit carryforward exists. The ASU is intended to eliminate diversity in practice resulting from a lack of guidance on this topic in current GAAP. Under the ASU, an entity generally must present an unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements as a reduction to a deferred tax asset for an NOL carryforward, a similar tax loss, or a tax credit carryforward. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The adoption of this ASU is not expected to have a material impact on the Corporation’s financial condition and results of operations. | |
EarningsLoss_Per_Common_Share_
Earnings/(Loss) Per Common Share (Policy) | 3 Months Ended |
Mar. 31, 2014 | |
Earnings Per Common Share [Abstract] | ' |
Earnings Per Common Share [Policy Text Block] | ' |
Basic earnings per common share is derived by dividing net income available to common shareholders by the weighted-average number of common shares outstanding during the period and does not include the effect of any potentially dilutive common stock equivalents. Diluted earnings per share is derived by dividing net income available to common shareholders by the weighted-average number of shares outstanding, adjusted for the dilutive effect of outstanding common stock equivalents. No common stock equivalents were outstanding during the three months ended March 31, 2014 and 2013. | |
Cash_And_Cash_Equivalents_Poli
Cash And Cash Equivalents (Policy) | 3 Months Ended |
Mar. 31, 2014 | |
Cash and Cash Equivalents [Abstract] | ' |
Statement of Cash Flows [Policy Text Block] | ' |
Cash and due from banks, which represents vault cash in the retail offices and invested cash balances at the Federal Reserve, is carried at fair value. | |
Interest bearing deposits in banks, which represent funds invested at a correspondent bank, are carried at fair value | |
Investments_Policy
Investments (Policy) | 3 Months Ended |
Mar. 31, 2014 | |
Investments [Abstract] | ' |
Investments [Policy Text Block] | ' |
Management systematically evaluates securities for impairment on a quarterly basis. Management assesses whether (a) the Corporation has the intent to sell a security being evaluated and (b) it is more likely than not that the Corporation will be required to sell the security prior to its anticipated recovery. If neither applies, then declines in the fair values of securities below their cost that are considered other-than-temporary declines are split into two components. The first component is the loss attributable to declining credit quality. Credit losses are recognized in earnings as realized losses in the period in which the impairment determination is made. The second component consists of all other losses, which are recognized in other comprehensive loss. In estimating other-than-temporary impairment (“OTTI”) losses, management considers (1) the length of time and the extent to which the fair value has been less than cost, (2) adverse conditions specifically related to the security, an industry, or a geographic area, (3) the historic and implied volatility of the fair value of the security, (4) changes in the rating of the security by a rating agency, (5) recoveries or additional declines in fair value subsequent to the balance sheet date, (6) failure of the issuer of the security to make scheduled interest or principal payments, and (7) the payment structure of the debt security and the likelihood of the issuer being able to make payments that increase in the future. Management also monitors cash flow projections for securities that are considered beneficial interests under the guidance of ASC Subtopic 325-40, Investments – Other – Beneficial Interests in Securitized Financial Assets, (ASC Section 325-40-35). Further discussion about the evaluation of securities for impairment can be found in Item 2 of Part I of this report under the heading “Investment Securities”. | |
Restricted_Investment_in_Bank_1
Restricted Investment in Bank Stock (Policy) | 3 Months Ended |
Mar. 31, 2014 | |
Restricted Investment in Bank Stock [Abstract] | ' |
Restricted Investment in Bank Stock [Policy Text Block] | ' |
Management evaluates the restricted stock for impairment in accordance with ASC Industry Topic 942, Financial Services – Depository and Lending, (ASC Section 942-325-35). Management’s evaluation of potential impairment is based on management’s assessment of the ultimate recoverability of the cost of the restricted stock rather than by recognizing temporary declines in value. The determination of whether a decline affects the ultimate recoverability is influenced by criteria such as (a) the significance of the decline in net assets of the issuing bank as compared to the capital stock amount for that bank and the length of time this situation has persisted, (b) commitments by the issuing bank to make payments required by law or regulation and the level of such payments in relation to the operating performance of that bank, and (c) the impact of legislative and regulatory changes on institutions and, accordingly, on the customer base of the issuing bank. Management has evaluated the restricted stock for impairment and believes that no impairment charge is necessary as of March 31, 2014. | |
Loans_And_Related_Allowances_F
Loans And Related Allowances For Loan Losses (Policy) | 3 Months Ended |
Mar. 31, 2014 | |
Loans and Related Allowances for Loan Losses [Abstract] | ' |
Loan Status [Policy Text Block] | ' |
Management further monitors the performance and credit quality of the loan portfolio by analyzing the age of the portfolio as determined by the length of time a recorded payment is past due. A loan is considered to be past due when a payment has not been received for 30 days past its contractual due date. For all loan segments, the accrual of interest is discontinued when principal or interest is delinquent for 90 days or more unless the loan is well-secured and in the process of collection. All non-accrual loans are considered to be impaired. Interest payments received on non-accrual loans are applied as a reduction of the loan principal balance. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Corporation’s policy for recognizing interest income on impaired loans does not differ from its overall policy for interest recognition. | |
Impaired Loans Receivable [Policy Text Block] | ' |
Management evaluates individual loans in all of the commercial segments for possible impairment if the loan (a) is greater than $500,000 or (b) is part of a relationship that is greater than $750,000 and is either (i) in nonaccrual status or (ii) risk-rated Substandard and greater than 60 days past due. Loans are considered to be impaired when, based on current information and events, it is probable that the Bank will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in evaluating impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. The Bank does not separately evaluate individual consumer and residential mortgage loans for impairment, unless such loans are part of a larger relationship that is impaired; otherwise loans in these segments are considered impaired when they are classified as non-accrual. | |
Once the determination has been made that a loan is impaired, the determination of whether a specific allocation of the allowance is necessary is measured by comparing the recorded investment in the loan to the fair value of the loan using one of three methods: (a) the present value of expected future cash flows discounted at the loan’s effective interest rate; (b) the loan’s observable market price; or (c) the fair value of the collateral less selling costs. The method is selected on a loan-by-loan basis, with management primarily utilizing the fair value of collateral method. If the fair value of the collateral less selling costs method is utilized for collateral securing loans in the commercial segments, then an updated external appraisal is ordered on the collateral supporting the loan if the loan balance is greater than $500,000 and the existing appraisal is greater than 18 months old. If an appraisal is less than 12 months old (the age at which the internal appraisal grid begins) and if management believes that general market conditions in that geographic market have changed considerably, the property has deteriorated or perhaps lost an income stream, or a recent appraisal for a similar property indicates a significant change, then management may adjust the fair value indicated by the existing appraisal until a new appraisal is obtained. If the most recent appraisal is greater than 12 months old or if an updated appraisal has not been received and reviewed in time for the determination of estimated fair value at quarter (or year) end, then the estimated fair value of the collateral is determined by adjusting the existing appraisal by the appropriate percentage from an internally prepared appraisal discount grid. This grid considers the age of a third party appraisal and the geographic region where the collateral is located in order to discount an appraisal that is greater than 12 months old. The discount rates in the appraisal discount grid are updated quarterly to reflect the most current knowledge that management has available, including the results of current appraisals. If there is a delay in receiving an updated appraisal or if the appraisal is found to be deficient in our internal appraisal review process and re-ordered, then the Bank continues to use a discount factor from the appraisal discount grid based on the collateral location and current appraisal age in order to determine the estimated fair value. A specific allocation of the ALL is recorded if there is any deficiency in collateral value determined by comparing the estimated fair value to the recorded investment of the loan. When updated appraisals are received and reviewed, adjustments are made to the specific allocation as needed. | |
The evaluation of the need and amount of a specific allocation of the ALL and whether a loan can be removed from impairment status is made on a quarterly basis. | |
Allowance For Loan Losses [Policy Text Block] | ' |
The classes described above, which are based on the Federal call code assigned to each loan, provide the starting point for the ALL analysis. Management tracks the historical net charge-off activity (full and partial charge-offs, net of full and partial recoveries) at the call code level. A historical charge-off factor is calculated utilizing a defined number of consecutive historical quarters. Consumer pools currently utilize a rolling 12 quarters, while Commercial pools currently utilize a rolling eight quarters. | |
“Pass” rated credits are segregated from “Criticized” credits for the application of qualitative factors. “Pass” pools for commercial and residential real estate are further segmented based upon the geographic location of the underlying collateral. There are seven geographic regions utilized – six that represent the Bank’s lending footprint and a seventh for all out-of-market credits. Different economic environments and resultant credit risks exist in each region that are acknowledged in the assignment of qualitative factors. Loans in the criticized pools, which possess certain qualities or characteristics that may lead to collection and loss issues, are closely monitored by management and subject to additional qualitative factors. | |
Management supplements the historical charge-off factor with a number of additional qualitative factors that are likely to cause estimated credit losses associated with the existing loan pools to differ from historical loss experience. The additional factors, which are evaluated quarterly and updated using information obtained from internal, regulatory, and governmental sources, are: (a) national and local economic trends and conditions; (b) levels of and trends in delinquency rates and non-accrual loans; (c) trends in volumes and terms of loans; (d) effects of changes in lending policies; (e) experience, ability, and depth of lending staff; (f) value of underlying collateral; and (g) concentrations of credit from a loan type, industry and/or geographic standpoint. | |
Management reviews the loan portfolio on a quarterly basis using a defined, consistently applied process in order to make appropriate and timely adjustments to the ALL. When information confirms all or part of specific loans to be uncollectible, these amounts are promptly charged off against the ALL. Residential mortgage and consumer loans are charged off after they are 120 days contractually past due. All other loans are charged off based on an evaluation of the facts and circumstances of each individual loan. When the Bank believes that its ability to collect is solely dependent on the liquidation of the collateral, a full or partial charge-off is recorded promptly to bring the recorded investment to an amount that the Bank believes is supported by an ability to collect on the collateral. The circumstances that may impact the Bank’s decision to charge-off all or a portion of a loan include default or non-payment by the borrower, scheduled foreclosure actions, and/or prioritization of the Bank’s claim in bankruptcy. There may be circumstances where, due to pending events, the Bank will place a specific allocation of the ALL on a loan for which a partial charge-off has been previously recognized. This specific allocation may be either charged off or removed depending upon the outcome of the pending event. Full or partial charge-offs are not recovered until full principal and interest on the loan have been collected, even if a subsequent appraisal supports a higher value. Loans with partial charge-offs remain in non-accrual status. Both full and partial charge-offs reduce the recorded investment of the loan and the ALL and are considered to be charge-offs for purposes of all credit loss metrics and trends, including the historical rolling charge-off rates used in the determination of the ALL. | |
Troubled Debt Restructure [Policy Text Block] | ' |
In the normal course of business, the Bank modifies loan terms for various reasons. These reasons may include as a retention strategy, remaining competitive in the current interest rate environment, and re-amortizing or extending a loan term to better match the loan’s payment stream with the borrower’s cash flows. A modified loan is considered to be a troubled debt restructuring (“TDR”) when the Bank has determined that the borrower is troubled (i.e., experiencing financial difficulties). The Bank evaluates the probability that the borrower will be in payment default on any of its debt obligations in the foreseeable future without modification. To make this determination, the Bank performs a global financial review of the borrower and loan guarantors to assess their current ability to meet their financial obligations. | |
When the Bank restructures a loan to a troubled borrower, the loan terms (i.e., interest rate, payment amount, amortization period, and/or maturity date) are modified in such a way as to enable the borrower to cover the modified debt service payments based on current financials and cash flow adequacy. If a borrower’s hardship is thought to be temporary, then modified terms are only offered for that time period. Where possible, the Bank obtains additional collateral and/or secondary payment sources at the time of the restructure in order to put the Bank in the best possible position if the borrower is not able to meet the modified terms. To date, the Bank has not forgiven any principal as a restructuring concession. The Bank will not offer modified terms if it believes that modifying the loan terms will only delay an inevitable permanent default. | |
All loans designated as TDRs are considered impaired loans and may be in either accruing or non-accruing status. The Corporation’s policy for recognizing interest income on impaired loans does not differ from its overall policy for interest recognition. Accordingly, the accrual of interest is discontinued when principal or interest is delinquent for 90 days or more unless the loan is well-secured and in the process of collection. If the loan was accruing at the time of the modification, then it continues to be in accruing status subsequent to the modification. Non-accrual TDRs may return to accruing status when there has been sufficient payment performance for a period of at least six months. Loans may be removed from TDR status in the calendar year following the modification if the interest rate at the time of modification was consistent with the interest rate for a loan with comparable credit risk and the loan has performed according to its modified terms for at least six months. | |
The volume and type of TDR activity is considered in the assessment of the local economic trends’ qualitative factor used in the determination of the ALL for loans that are evaluated collectively for impairment. | |
Earnings_Per_Common_Share_Tabl
Earnings Per Common Share (Tables) | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Earnings Per Common Share [Abstract] | ' | ||||||||||
Basic and Diluted Earnings Per Share [Table Text Block] | ' | ||||||||||
following table sets forth the calculation of basic and diluted earnings per common share for the three months ended March 31, 2014 and 2013: | |||||||||||
Three Months Ended March 31, | |||||||||||
2014 | 2013 | ||||||||||
Average | Per Share | Average | Per Share | ||||||||
(in thousands, except for per share amount) | Income | Shares | Amount | Income | Shares | Amount | |||||
Basic and Diluted Earnings Per Share: | |||||||||||
Net income | $ | 1,358 | $ | 1,922 | |||||||
Preferred stock dividends deferred | -441 | -420 | |||||||||
Discount accretion on preferred stock | -6 | -17 | |||||||||
Net income available to common shareholders | $ | 911 | 6,211 | $ | 0.15 | $ | 1,485 | 6,199 | $ | 0.24 | |
Net_Gains_Tables
Net Gains (Tables) | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Net Gains [Abstract] | ' | ||||
Net Gains [Table Text Block] | ' | ||||
Three months ended | |||||
March 31, | |||||
(in thousands) | 2014 | 2013 | |||
Net (losses)/gains – other: | |||||
Available-for-sale securities: | |||||
Realized gains | $ | 95 | $ | 412 | |
Realized losses | -163 | -162 | |||
Gain on sale of consumer loans | 8 | 79 | |||
Loss on disposal of fixed assets | -3 | 0 | |||
Net (losses)/gains – other | $ | -63 | $ | 329 | |
Cash_And_Cash_Equivalents_Tabl
Cash And Cash Equivalents (Tables) | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Cash and Cash Equivalents [Abstract] | ' | ||||
Cash and Cash Equivalents [Table Text Block] | ' | ||||
March 31, | December 31, | ||||
(in thousands) | 2014 | 2013 | |||
Cash and due from banks, weighted average interest rate of 0.15% (at March 31, 2014) | $ | 34,521 | $ | 32,895 | |
Interest bearing deposits in banks, which represent funds invested at a correspondent bank, are carried at fair value and, as of March 31, 2014 and December 31, 2013, consisted of daily funds invested at the Federal Home Loan Bank (“FHLB”) of Atlanta, First Tennessee Bank (“FTN”), Merchants and Traders (“M&T”) and Community Bankers Bank (“CBB”). | |||||
March 31, | December 31, | ||||
(in thousands) | 2014 | 2013 | |||
FHLB daily investments, interest rate of 0.005% (at March 31, 2014) | $ | 1,293 | $ | 1,677 | |
FTN daily investments, interest rate of 0.06% (at March 31, 2014) | 850 | 1,350 | |||
M&T daily investments, interest rate of 0.22% (at March 31, 2014) | 5,045 | 5,043 | |||
M&T daily investments, interest rate of 0.20% (at March 31, 2014) | 1,009 | 1,008 | |||
CBB Fed Funds sold, interest rate of 0.22% (at March 31, 2014) | 1,090 | 1,090 | |||
$ | 9,287 | $ | 10,168 | ||
Investments_Tables
Investments (Tables) | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Investments [Abstract] | ' | ||||||||||
Unrealized Gain (Loss) on Investments [Table Text Block] | ' | ||||||||||
The following table shows a comparison of amortized cost and fair values of investment securities at March 31, 2014 and December 31, 2013: | |||||||||||
(in thousands) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | OTTI in AOCI | ||||||
31-Mar-14 | |||||||||||
Available for Sale: | |||||||||||
U.S. Treasuries | $ | 23,500 | $ | 0 | $ | 0* | $ | 23,500 | $ | 0 | |
U.S. government agencies | 89,761 | 84 | 3,880 | 85,965 | 0 | ||||||
Residential mortgage-backed agencies | 113,815 | 347 | 3,710 | 110,452 | 0 | ||||||
Commercial mortgage-backed agencies | 39,296 | 63 | 1,021 | 38,338 | 0 | ||||||
Collateralized mortgage obligations | 29,498 | 75 | 573 | 29,000 | 0 | ||||||
Obligations of states and political subdivisions | 50,629 | 1,177 | 689 | 51,117 | 0 | ||||||
Collateralized debt obligations | 37,249 | 975 | 15,131 | 23,093 | 8,314 | ||||||
Total available for sale | $ | 383,748 | $ | 2,721 | $ | 25,004 | $ | 361,465 | $ | 8,314 | |
* DeMinimus | |||||||||||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 2,860 | $ | 0 | $ | 416 | $ | 2,444 | $ | 0 | |
31-Dec-13 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 97,242 | $ | 14 | $ | 5,221 | $ | 92,035 | $ | 0 | |
Residential mortgage-backed agencies | 116,933 | 334 | 4,823 | 112,444 | 0 | ||||||
Commercial mortgage-backed agencies | 31,025 | 14 | 1,134 | 29,905 | 0 | ||||||
Collateralized mortgage obligations | 30,468 | 84 | 1,162 | 29,390 | 0 | ||||||
Obligations of states and political subdivisions | 55,505 | 895 | 1,123 | 55,277 | 0 | ||||||
Collateralized debt obligations | 37,146 | 778 | 20,386 | 17,538 | 12,703 | ||||||
Total available for sale | $ | 368,319 | $ | 2,119 | $ | 33,849 | $ | 336,589 | $ | 12,703 | |
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 3,900 | $ | 249 | $ | 559 | $ | 3,590 | $ | 0 | |
Proceeds Fom Sales And Realized Gain And Losses [Table Text Block] | ' | ||||||||||
Proceeds from sales of securities and the realized gains and losses are as follows: | |||||||||||
Three Months Ended | |||||||||||
March 31, | |||||||||||
(in thousands) | 2014 | 2013 | |||||||||
Proceeds | $ | 8,585 | $ | 35,136 | |||||||
Realized gains | 95 | 412 | |||||||||
Realized losses | 163 | 162 | |||||||||
Gross Unrealized Losses And Fair Values Of Securities [Table Text Block] | ' | ||||||||||
Less than 12 months | 12 months or more | ||||||||||
(in thousands) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||
31-Mar-14 | |||||||||||
Available for Sale: | |||||||||||
U.S. Treasuries | $ | 12,000 | $ | 0* | $ | 0 | $ | 0 | |||
U.S. government agencies | 34,814 | 1,223 | 21,417 | 2,657 | |||||||
Residential mortgage-backed agencies | 22,928 | 937 | 52,347 | 2,773 | |||||||
Commercial mortgage-backed agencies | 25,570 | 634 | 4,732 | 387 | |||||||
Collateralized mortgage obligations | 20,448 | 573 | 0 | 0 | |||||||
Obligations of states and political subdivisions | 10,877 | 447 | 1,761 | 242 | |||||||
Collateralized debt obligations | 0 | 0 | 18,029 | 15,131 | |||||||
Total available for sale | $ | 126,637 | $ | 3,814 | $ | 98,286 | $ | 21,190 | |||
* DeMinimus | |||||||||||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 0 | $ | 0 | $ | 2,444 | $ | 416 | |||
31-Dec-13 | |||||||||||
Available for Sale: | |||||||||||
U.S. government agencies | $ | 62,962 | $ | 3,154 | $ | 13,996 | $ | 2,067 | |||
Residential mortgage-backed agencies | 60,781 | 1,801 | 46,570 | 3,022 | |||||||
Commercial mortgage-backed agencies | 21,889 | 1,134 | 0 | 0 | |||||||
Collateralized mortgage obligations | 21,201 | 1,149 | 3,051 | 13 | |||||||
Obligations of states and political subdivisions | 15,422 | 1,123 | 0 | 0 | |||||||
Collateralized debt obligations | 0 | 0 | 16,434 | 20,386 | |||||||
Total available for sale | $ | 182,255 | $ | 8,361 | $ | 80,051 | $ | 25,488 | |||
Held to Maturity: | |||||||||||
Obligations of states and political subdivisions | $ | 0 | $ | 0 | $ | 2,301 | $ | 559 | |||
Non-Cash OTTI Credit Losses Recognized In Earnings [Table Text Block] | ' | ||||||||||
The following table presents a cumulative roll-forward of the amount of non-cash OTTI charges related to credit losses which have been recognized in earnings for the trust preferred securities in the CDO portfolio held and not intended to be sold for the three months ended March 31, 2014 and 2013: | |||||||||||
Three Months Ended March 31, | |||||||||||
(in thousands) | 2014 | 2013 | |||||||||
Balance of credit-related OTTI at January 1 | $ | 13,422 | $ | 13,959 | |||||||
Reduction for increases in cash flows expected to be collected | -160 | -125 | |||||||||
Balance of credit-related OTTI at March 31 | $ | 13,262 | $ | 13,834 | |||||||
Amortized Cost And Fair Values Classified By Contractual Maturity Date [Table Text Block] | ' | ||||||||||
31-Mar-14 | |||||||||||
(in thousands) | Amortized Cost | Fair Value | |||||||||
Contractual Maturity | |||||||||||
Available for sale: | |||||||||||
Due in one year or less | $ | 23,500 | $ | 23,500 | |||||||
Due after one year through five years | 30,407 | 30,188 | |||||||||
Due after five years through ten years | 67,845 | 67,107 | |||||||||
Due after ten years | 79,387 | 62,880 | |||||||||
201,139 | 183,675 | ||||||||||
Residential mortgage-backed agencies | 113,815 | 110,452 | |||||||||
Commercial mortgage-backed agencies | 39,296 | 38,338 | |||||||||
Collateralized mortgage obligations | 29,498 | 29,000 | |||||||||
$ | 383,748 | $ | 361,465 | ||||||||
Held to Maturity: | |||||||||||
Due after ten years | $ | 2,860 | $ | 2,444 | |||||||
Loans_And_Related_Allowances_F1
Loans And Related Allowances For Loan Losses (Tables) | 3 Months Ended | ||||||||||||||
Mar. 31, 2014 | |||||||||||||||
Loans and Related Allowances for Loan Losses [Abstract] | ' | ||||||||||||||
Primary Segments Of The Loan Portfolio [Table Text Block] | ' | ||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
31-Mar-14 | |||||||||||||||
Total loans | $ | 259,837 | $ | 101,985 | $ | 78,724 | $ | 349,698 | $ | 23,793 | $ | 814,037 | |||
Individually evaluated for impairment | $ | 11,616 | $ | 10,379 | $ | 2,152 | $ | 7,578 | $ | 0 | $ | 31,725 | |||
Collectively evaluated for impairment | $ | 248,221 | $ | 91,606 | $ | 76,572 | $ | 342,120 | $ | 23,793 | $ | 782,312 | |||
31-Dec-13 | |||||||||||||||
Total loans | $ | 267,978 | $ | 107,250 | $ | 59,788 | $ | 350,906 | $ | 24,318 | $ | 810,240 | |||
Individually evaluated for impairment | $ | 11,740 | $ | 11,703 | $ | 2,299 | $ | 7,546 | $ | 21 | $ | 33,309 | |||
Collectively evaluated for impairment | $ | 256,238 | $ | 95,547 | $ | 57,489 | $ | 343,360 | $ | 24,297 | $ | 776,931 | |||
Classes Of The Loan Portfolio Summarized By The Aggregate Risk Rating [Table Text Block] | ' | ||||||||||||||
The following table presents the classes of the loan portfolio summarized by the aggregate Pass and the criticized categories of Special Mention and Substandard within the internal risk rating system as of March 31, 2014 and December 31, 2013: | |||||||||||||||
(in thousands) | Pass | Special Mention | Substandard | Total | |||||||||||
31-Mar-14 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 103,862 | $ | 9,171 | $ | 25,782 | $ | 138,815 | |||||||
All other CRE | 90,646 | 8,392 | 21,984 | 121,022 | |||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 10,095 | 0 | 2,070 | 12,165 | |||||||||||
All other A&D | 70,008 | 1,744 | 18,068 | 89,820 | |||||||||||
Commercial and industrial | 74,879 | 418 | 3,427 | 78,724 | |||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 262,992 | 839 | 11,104 | 274,935 | |||||||||||
Residential mortgage - home equity | 72,387 | 469 | 1,907 | 74,763 | |||||||||||
Consumer | 23,677 | 0 | 116 | 23,793 | |||||||||||
Total | $ | 708,546 | $ | 21,033 | $ | 84,458 | $ | 814,037 | |||||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 103,556 | $ | 9,243 | $ | 24,745 | $ | 137,544 | |||||||
All other CRE | 100,461 | 8,479 | 21,494 | 130,434 | |||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 8,764 | 0 | 4,497 | 13,261 | |||||||||||
All other A&D | 73,198 | 1,787 | 19,004 | 93,989 | |||||||||||
Commercial and industrial | 55,768 | 140 | 3,880 | 59,788 | |||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 261,735 | 752 | 11,980 | 274,467 | |||||||||||
Residential mortgage - home equity | 73,901 | 628 | 1,910 | 76,439 | |||||||||||
Consumer | 24,143 | 5 | 170 | 24,318 | |||||||||||
Total | $ | 701,526 | $ | 21,034 | $ | 87,680 | $ | 810,240 | |||||||
Loan Portfolio Summarized By The Past Due Status [Table Text Block] | ' | ||||||||||||||
The following table presents the classes of the loan portfolio summarized by the aging categories of performing loans and non-accrual loans as of March 31, 2014 and December 31, 2013: | |||||||||||||||
(in thousands) | Current | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days+ Past Due | Total Past Due and Accruing | Non-Accrual | Total Loans | ||||||||
31-Mar-14 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 137,655 | $ | 0 | $ | 263 | $ | 214 | $ | 477 | $ | 683 | $ | 138,815 | |
All other CRE | 114,118 | 54 | 204 | 0 | 258 | 6,646 | 121,022 | ||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 11,107 | 46 | 0 | 0 | 46 | 1,012 | 12,165 | ||||||||
All other A&D | 82,459 | 2,050 | 112 | 3 | 2,165 | 5,196 | 89,820 | ||||||||
Commercial and industrial | 78,323 | 327 | 0 | 33 | 360 | 41 | 78,724 | ||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 262,620 | 8,612 | 676 | 0 | 9,288 | 3,027 | 274,935 | ||||||||
Residential mortgage - home equity | 73,500 | 538 | 70 | 117 | 725 | 538 | 74,763 | ||||||||
Consumer | 23,360 | 357 | 68 | 8 | 433 | 0 | 23,793 | ||||||||
Total | $ | 783,142 | $ | 11,984 | $ | 1,393 | $ | 375 | $ | 13,752 | $ | 17,143 | $ | 814,037 | |
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 136,462 | $ | 191 | $ | 145 | $ | 65 | $ | 401 | $ | 681 | $ | 137,544 | |
All other CRE | 121,985 | 1,490 | 207 | 0 | 1,697 | 6,752 | 130,434 | ||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 12,018 | 0 | 139 | 0 | 139 | 1,104 | 13,261 | ||||||||
All other A&D | 88,071 | 1,075 | 33 | 282 | 1,390 | 4,528 | 93,989 | ||||||||
Commercial and industrial | 59,320 | 87 | 57 | 133 | 277 | 191 | 59,788 | ||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 259,239 | 8,258 | 2,541 | 634 | 11,433 | 3,795 | 274,467 | ||||||||
Residential mortgage - home equity | 74,917 | 656 | 439 | 96 | 1,191 | 331 | 76,439 | ||||||||
Consumer | 23,802 | 350 | 128 | 24 | 502 | 14 | 24,318 | ||||||||
Total | $ | 775,814 | $ | 12,107 | $ | 3,689 | $ | 1,234 | $ | 17,030 | $ | 17,396 | $ | 810,240 | |
Primary Segments Of The Allowance For Loan Loss [Table Text Block] | ' | ||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
31-Mar-14 | |||||||||||||||
Total ALL | $ | 3,399 | $ | 3,896 | $ | 1,070 | $ | 3,962 | $ | 245 | $ | 12,572 | |||
Individually evaluated for impairment | $ | 226 | $ | 1,816 | $ | 0 | $ | 0 | $ | 0 | $ | 2,042 | |||
Collectively evaluated for impairment | $ | 3,173 | $ | 2,080 | $ | 1,070 | $ | 3,962 | $ | 245 | $ | 10,530 | |||
31-Dec-13 | |||||||||||||||
Total ALL | $ | 4,052 | $ | 4,172 | $ | 766 | $ | 4,320 | $ | 284 | $ | 13,594 | |||
Individually evaluated for impairment | $ | 236 | $ | 1,967 | $ | 0 | $ | 80 | $ | 0 | $ | 2,283 | |||
Collectively evaluated for impairment | $ | 3,816 | $ | 2,205 | $ | 766 | $ | 4,240 | $ | 284 | $ | 11,311 | |||
Impaired Loans And Related Interest Income By Loan Portfolio Class [Table Text Block] | ' | ||||||||||||||
The following table presents impaired loans by class, segregated by those for which a specific allowance was required and those for which a specific allowance was not necessary as of March 31, 2014 and December 31, 2013: | |||||||||||||||
Impaired Loans with Specific Allowance | Impaired Loans with No Specific Allowance | Total Impaired Loans | |||||||||||||
(in thousands) | Recorded Investment | Related Allowances | Recorded Investment | Recorded Investment | Unpaid Principal Balance | ||||||||||
31-Mar-14 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 277 | $ | 79 | $ | 922 | $ | 1,199 | $ | 1,209 | |||||
All other CRE | 1,071 | 147 | 9,346 | 10,417 | 10,545 | ||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 1,053 | 308 | 1,018 | 2,071 | 2,319 | ||||||||||
All other A&D | 4,601 | 1,508 | 3,707 | 8,308 | 13,309 | ||||||||||
Commercial and industrial | 0 | 0 | 2,152 | 2,152 | 2,152 | ||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 280 | 0 | 6,511 | 6,791 | 7,305 | ||||||||||
Residential mortgage – home equity | 0 | 0 | 787 | 787 | 787 | ||||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | ||||||||||
Total impaired loans | $ | 7,282 | $ | 2,042 | $ | 24,443 | $ | 31,725 | $ | 37,626 | |||||
31-Dec-13 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 257 | $ | 59 | $ | 922 | $ | 1,179 | $ | 1,191 | |||||
All other CRE | 1,080 | 177 | 9,481 | 10,561 | 10,689 | ||||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,651 | 634 | 7 | 2,658 | 2,704 | ||||||||||
All other A&D | 4,037 | 1,333 | 5,008 | 9,045 | 13,394 | ||||||||||
Commercial and industrial | 0 | 0 | 2,299 | 2,299 | 2,299 | ||||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 988 | 80 | 5,979 | 6,967 | 7,372 | ||||||||||
Residential mortgage – home equity | 0 | 0 | 579 | 579 | 579 | ||||||||||
Consumer | 0 | 0 | 21 | 21 | 21 | ||||||||||
Total impaired loans | $ | 9,013 | $ | 2,283 | $ | 24,296 | $ | 33,309 | $ | 38,249 | |||||
Allowance For Loan Losses Summarized By Loan Portfolio Segments [Table Text Block] | ' | ||||||||||||||
(in thousands) | Commercial Real Estate | Acquisition and Development | Commercial and Industrial | Residential Mortgage | Consumer | Total | |||||||||
ALL balance at January 1, 2014 | $ | 4,052 | $ | 4,172 | $ | 766 | $ | 4,320 | $ | 284 | $ | 13,594 | |||
Charge-offs | -21 | -819 | -152 | -468 | -179 | -1,639 | |||||||||
Recoveries | 10 | 12 | 3 | 49 | 179 | 253 | |||||||||
Provision | -642 | 531 | 453 | 61 | -39 | 364 | |||||||||
ALL balance at March 31, 2014 | $ | 3,399 | $ | 3,896 | $ | 1,070 | $ | 3,962 | $ | 245 | $ | 12,572 | |||
ALL balance at January 1, 2013 | $ | 5,206 | $ | 5,029 | $ | 906 | $ | 4,507 | $ | 399 | $ | 16,047 | |||
Charge-offs | 0 | -4 | -876 | -155 | -143 | -1,178 | |||||||||
Recoveries | 100 | 8 | 49 | 31 | 103 | 291 | |||||||||
Provision | 483 | -273 | 566 | 100 | -11 | 865 | |||||||||
ALL balance at March 31, 2013 | $ | 5,789 | $ | 4,760 | $ | 645 | $ | 4,483 | $ | 348 | $ | 16,025 | |||
Average Of Impaired Loans And Related Interest Income By Loan Portfolio Class [Table Text Block] | ' | ||||||||||||||
The following tables present the average recorded investment in impaired loans by class and related interest income recognized for the periods indicated: | |||||||||||||||
Three months ended | Three months ended | ||||||||||||||
31-Mar-14 | 31-Mar-13 | ||||||||||||||
(in thousands) | Average investment | Interest income recognized on an accrual basis | Interest income recognized on a cash basis | Average investment | Interest income recognized on an accrual basis | Interest income recognized on a cash basis | |||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | $ | 1,189 | $ | 7 | $ | 0 | $ | 5,274 | $ | 12 | $ | 0 | |||
All other CRE | 10,489 | 41 | 1 | 10,692 | 89 | 46 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 2,365 | 14 | 0 | 2,828 | 24 | 0 | |||||||||
All other A&D | 8,677 | 61 | 0 | 21,350 | 142 | 0 | |||||||||
Commercial and industrial | 2,226 | 26 | 2 | 3,432 | 35 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage - term | 6,879 | 54 | 9 | 3,947 | 19 | 2 | |||||||||
Residential mortgage – home equity | 683 | 3 | 1 | 573 | 6 | 0 | |||||||||
Consumer | 11 | 0 | 0 | 76 | 0 | 0 | |||||||||
Total | $ | 32,519 | $ | 206 | $ | 13 | $ | 48,172 | $ | 327 | $ | 48 | |||
Modification of Troubled Debt Restructuring By Class [Table Text Block] | ' | ||||||||||||||
There were 32 loans totaling $17.3 million and 31 loans totaling $17.9 million that were classified as TDRs at March 31, 2014 and December 31, 2013, respectively. The following tables present the volume and recorded investment at the time of modification of TDRs by class and type of modification that occurred during the periods indicated: | |||||||||||||||
Temporary Rate Modification | Extension of Maturity | Modification of Payment and Other Terms | |||||||||||||
(in thousands) | Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | |||||||||
Three months ended March 31, 2014 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | 0 | $ | 0 | 2 | $ | 277 | 0 | $ | 0 | ||||||
All other CRE | 0 | 0 | 0 | 0 | 1 | 454 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
All other A&D | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Commercial and industrial | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage – term | 1 | 90 | 0 | 0 | 0 | 0 | |||||||||
Residential mortgage – home equity | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Total | 1 | $ | 90 | 2 | $ | 277 | 1 | $ | 454 | ||||||
Temporary Rate | Modification of Payment | ||||||||||||||
Modification | Extension of Maturity | and Other Terms | |||||||||||||
Number of | Recorded | Number of | Recorded | Number of | Recorded | ||||||||||
(in thousands) | Contracts | Investment | Contracts | Investment | Contracts | Investment | |||||||||
Three months ended March 31, 2013 | |||||||||||||||
Commercial real estate | |||||||||||||||
Non owner-occupied | 0 | $ | 0 | 2 | $ | 268 | 0 | $ | 0 | ||||||
All other CRE | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Acquisition and development | |||||||||||||||
1-4 family residential construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
All other A&D | 0 | 0 | 2 | 252 | 0 | 0 | |||||||||
Commercial and industrial | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Residential mortgage | |||||||||||||||
Residential mortgage – term | 1 | 172 | 0 | 0 | 0 | 0 | |||||||||
Residential mortgage – home equity | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Consumer | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||
Total | 1 | $ | 172 | 4 | $ | 520 | 0 | $ | 0 | ||||||
During the three months ended March 31, 2014, there were two new TDRs. In addition, two existing TDRs which had reached their previous modification maturity were re-modified. A $1,055 reduction of the ALL resulted from the movement of one loan being evaluated collectively for impairment to being evaluated individually for impairment. The remaining new TDR was impaired at the time of modification, resulting in no impact to the ALL as a result of the modification. There was no impact to the recorded investment relating to the transfer of these loans. | |||||||||||||||
During the three months ended March 31, 2014, one A&D loan totaling $1.4 million that was modified as a TDR within the previous 12 months was transferred to non-accrual, and is considered a payment default. | |||||||||||||||
During the three months ended March 31, 2013, there were three new TDRs. In addition, two existing TDRs which had reached their original modification maturity were re-modified. An $11,266 reduction of the ALL resulted from the movement of the three new loans being evaluated collectively for impairment to being evaluated individually for impairment. There was no impact to the recorded investment relating to the transfer of these loans. During the quarter ended March 31, 2013, there were no receivables modified as TDRs within the previous 12 months for which there was a payment default during the periods indicated | |||||||||||||||
Other_Real_Estate_Owned_Tables
Other Real Estate Owned (Tables) | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Other Real Estate Owned [Abstract] | ' | ||||
Schedule of Real Estate Properties [Table Text Block] | ' | ||||
The following table presents the components of OREO as of March 31, 2014 and December 31, 2013: | |||||
(in thousands) | 31-Mar-14 | 31-Dec-13 | |||
Commercial real estate | $ | 4,960 | $ | 5,306 | |
Acquisition and development | 9,008 | 10,509 | |||
Residential mortgage | 1,645 | 1,216 | |||
Total OREO | $ | 15,613 | $ | 17,031 | |
Other Real Estate, Roll Forward [Table Text Block] | ' | ||||
The following table presents the activity in the OREO valuation allowance for the three months ended March 31, 2014 and 2013: | |||||
For the three months ended | |||||
March 31, | |||||
(in thousands) | 2014 | 2013 | |||
Balance January 1 | $ | 4,047 | $ | 2,766 | |
Fair value write-down | 371 | 20 | |||
Sales of OREO | -748 | -607 | |||
Balance at end of period | $ | 3,670 | $ | 2,179 | |
Schedule of Components of Other Real Estate Owned Expense [Table Text Block] | ' | ||||
The following table presents the components of OREO expenses, net for the three months ended March 31, 2014 and 2013: | |||||
For the three months ended | |||||
March 31, | |||||
(in thousands) | 2014 | 2013 | |||
Gains on real estate, net | $ | -25 | $ | -7 | |
Fair value write-down | 371 | 20 | |||
Expenses, net | 188 | 117 | |||
Rental and other income | -77 | -112 | |||
Total OREO expense, net | $ | 457 | $ | 18 | |
Recovered_Sheet1
Fair Value Of Financial Instruments (Tables) | 3 Months Ended | ||||||||||
Mar. 31, 2014 | |||||||||||
Fair Value of Financial Instruments [Abstract] | ' | ||||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block] | ' | ||||||||||
For Level 3 assets and liabilities measured at fair value on a recurring and non-recurring basis as of March 31, 2014, the significant unobservable inputs used in the fair value measurements were as follows: | |||||||||||
Fair Value at March 31, 2014 | Valuation Technique | Significant Unobservable Inputs | Significant Unobservable Input Value | ||||||||
Recurring: | |||||||||||
Investment Securities – available for sale | $ | 23,093 | Discounted Cash Flow | Discount Rate | Swap+17%; Range of Libor+ 6.00% to 18% | ||||||
Cash Flow Hedge | $ | -365 | Discounted Cash Flow | Reuters Third Party Market Quote | 99.9% (weighted avg 99.9%) | ||||||
Non-recurring: | |||||||||||
Impaired Loans | $ | 10,819 | Market Comparable Properties | Marketability Discount | 10% (1) (weighted avg 10%) | ||||||
OREO | $ | 960 | Market Comparable Properties | Marketability Discount | 10% (1) (weighted avg 10%) | ||||||
NOTE: | |||||||||||
-1 | Range would include discounts taken since appraisal and estimated values | ||||||||||
Assets And Liabilities Measured At Fair Value On A Recurring And Nonrecurring Basis [Table Text Block] | ' | ||||||||||
For assets measured at fair value on a recurring and non-recurring basis, the fair value measurements by level within the fair value hierarchy used at March 31, 2014 and December 31, 2013 are as follows: | |||||||||||
Fair Value Measurements at March 31, 2014 Using | |||||||||||
Assets Measured at Fair Value | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||
(in thousands) | 3/31/14 | (Level 1) | (Level 2) | (Level 3) | |||||||
Recurring: | |||||||||||
Investment securities available-for-sale: | |||||||||||
U.S. Treasuries | $ | 23,500 | $ | 23,500 | |||||||
U.S. government agencies | $ | 85,965 | $ | 85,965 | |||||||
Residential mortgage-backed agencies | $ | 110,452 | $ | 110,452 | |||||||
Commercial mortgage-backed agencies | $ | 38,338 | $ | 38,338 | |||||||
Collateralized mortgage obligations | $ | 29,000 | $ | 29,000 | |||||||
Obligations of states and political subdivisions | $ | 51,117 | $ | 51,117 | |||||||
Collateralized debt obligations | $ | 23,093 | $ | 23,093 | |||||||
Financial Derivative | $ | -365 | $ | -365 | |||||||
Non-recurring: | |||||||||||
Impaired loans | $ | 10,819 | $ | 10,819 | |||||||
Other real estate owned | $ | 960 | $ | 960 | |||||||
Fair Value Measurements at December 31, 2013 Using | |||||||||||
Assets Measured at Fair Value | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | ||||||||
(in thousands) | 12/31/13 | (Level 1) | (Level 2) | (Level 3) | |||||||
Recurring: | |||||||||||
Investment securities available-for-sale: | |||||||||||
U.S. government agencies | $ | 92,035 | $ | 92,035 | |||||||
Residential mortgage-backed agencies | $ | 112,444 | $ | 112,444 | |||||||
Commercial mortgage-backed agencies | $ | 29,905 | $ | 29,905 | |||||||
Collateralized mortgage obligations | $ | 29,390 | $ | 29,390 | |||||||
Obligations of states and political subdivisions | $ | 55,277 | $ | 55,277 | |||||||
Collateralized debt obligations | $ | 17,538 | $ | 17,538 | |||||||
Financial Derivative | $ | -457 | $ | -457 | |||||||
Non-recurring: | |||||||||||
Impaired loans | $ | 8,613 | $ | 8,613 | |||||||
Other real estate owned | $ | 5,591 | $ | 5,591 | |||||||
Reconciliation Of Fair Valued Assets Measured On A Recurring Basis [Table Text Block] | ' | ||||||||||
The following tables show a reconciliation of the beginning and ending balances for fair valued assets measured on a recurring basis using Level 3 significant unobservable inputs for the three months ended March 31, 2014 and 2013: | |||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||
(In thousands) | Investment Securities Available for Sale | Cash Flow Hedge | |||||||||
Beginning balance January 1, 2014 | $ | 17,538 | $ | -457 | |||||||
Total gains realized/unrealized: | |||||||||||
Included in other comprehensive income | 5,555 | 92 | |||||||||
Ending balance March 31, 2014 | $ | 23,093 | $ | -365 | |||||||
The amount of total gains or losses for the period | |||||||||||
included in earnings attributable to the change in | |||||||||||
realized/unrealized gains or losses related to assets | |||||||||||
still held at the reporting date | $ | 0 | $ | 0 | |||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||
(in thousands) | Investment Securities Available for Sale | Cash Flow Hedge | |||||||||
Beginning balance January 1, 2013 | $ | 11,442 | $ | -849 | |||||||
Total gains realized/unrealized: | |||||||||||
Included in other comprehensive income | 2,356 | 101 | |||||||||
Ending balance March 31, 2013 | $ | 13,798 | $ | -748 | |||||||
The amount of total gains or losses for the period | |||||||||||
included in earnings attributable to the change in | |||||||||||
realized/unrealized gains or losses related to assets | |||||||||||
still held at the reporting date | $ | 0 | $ | 0 | |||||||
Fair Value By Balance Sheet Grouping [Table Text Block] | ' | ||||||||||
The following tables present fair value information about financial instruments, whether or not recognized in the Consolidated Statement of Financial Condition, for which it is practicable to estimate that value. The actual carrying amounts and estimated fair values of the Corporation’s financial instruments that are included in the Consolidated Statement of Financial Condition are as follows: | |||||||||||
31-Mar-14 | Fair Value Measurements | ||||||||||
Carrying | Fair | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||
Financial Assets: | |||||||||||
Cash and due from banks | $ | 34,521 | $ | 34,521 | $ | 34,521 | |||||
Interest bearing deposits in banks | 9,287 | 9,287 | 9,287 | ||||||||
Investment securities - AFS | 361,465 | 361,465 | $ | 338,372 | $ | 23,093 | |||||
Investment securities - HTM | 2,860 | 2,444 | 2,444 | ||||||||
Restricted Bank stock | 7,529 | 7,529 | 7,529 | ||||||||
Loans, net | 801,465 | 804,234 | 804,234 | ||||||||
Accrued interest receivable | 3,789 | 3,789 | 3,789 | ||||||||
Financial Liabilities: | |||||||||||
Deposits – non-maturity | 684,197 | 684,197 | 684,197 | ||||||||
Deposits – time deposits | 316,832 | 322,994 | 322,994 | ||||||||
Short-term borrowed funds | 43,617 | 37,746 | 37,746 | ||||||||
Long-term borrowed funds | 182,656 | 188,644 | 188,644 | ||||||||
Accrued interest payable | 900 | 900 | 900 | ||||||||
Financial derivative | 365 | 365 | 365 | ||||||||
Off balance sheet financial instruments | 0 | 0 | 0 | ||||||||
31-Dec-13 | Fair Value Measurements | ||||||||||
Carrying | Fair | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||
(in thousands) | Amount | Value | (Level 1) | (Level 2) | (Level 3) | ||||||
Financial Assets: | |||||||||||
Cash and due from banks | $ | 32,895 | $ | 32,895 | $ | 32,895 | |||||
Interest bearing deposits in banks | 10,168 | 10,168 | 10,168 | ||||||||
Investment securities - AFS | 336,589 | 336,589 | $ | 319,051 | $ | 17,538 | |||||
Investment securities - HTM | 3,900 | 3,590 | 3,590 | ||||||||
Restricted Bank stock | 7,913 | 7,913 | 7,913 | ||||||||
Loans, net | 796,646 | 799,937 | 799,937 | ||||||||
Accrued interest receivable | 4,342 | 4,342 | 4,342 | ||||||||
Financial Liabilities: | |||||||||||
Deposits- non-maturity | 650,761 | 650,761 | 650,761 | ||||||||
Deposits- time deposits | 326,642 | 333,256 | 333,256 | ||||||||
Short-term borrowed funds | 43,676 | 43,676 | 43,676 | ||||||||
Long-term borrowed funds | 182,672 | 189,135 | 189,135 | ||||||||
Accrued interest payable | 7,647 | 7,647 | 7,647 | ||||||||
Financial derivative | 457 | 457 | 457 | ||||||||
Off balance sheet financial instruments | 0 | 0 | 0 | ||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Accumulated Other Comprehensive Loss [Abstract] | ' | ||||||||||||
Schedule of Accumulated Other Comprehensive Loss [Table Text Block] | ' | ||||||||||||
The following table presents the changes in each component of accumulated other comprehensive loss for the 12 months ended December 31, 2013 and the three month period ended March 31, 2014: | |||||||||||||
Investment | Investment | ||||||||||||
securities- | securities- | Cash Flow | Pension | ||||||||||
(in thousands) | with OTTI | all other | Hedge | Plan | SERP | Total | |||||||
Accumulated OCL, net: | |||||||||||||
Balance - January 1, 2013 | $ | -10,036 | $ | -2,966 | $ | -507 | $ | -8,262 | $ | -52 | $ | -21,823 | |
Other comprehensive income/(loss) before reclassifications | 2,735 | -8,279 | 233 | 2,871 | 102 | -2,338 | |||||||
Amounts reclassified from accumulated other comprehensive income | -322 | -47 | 0 | 303 | 14 | -52 | |||||||
Balance - December 31, 2013 | $ | -7,623 | $ | -11,292 | $ | -274 | $ | -5,088 | $ | 64 | $ | -24,213 | |
Other comprehensive income/(loss) before reclassifications | 2,730 | 2,995 | 55 | -179 | 0 | 5,601 | |||||||
Amounts reclassified from accumulated other comprehensive income | -96 | 41 | 0 | 52 | 1 | -2 | |||||||
Balance – March 31, 2014 | $ | -4,989 | $ | -8,256 | $ | -219 | $ | -5,215 | $ | 65 | $ | -18,614 | |
Components of Comprehensive Income [Table Text Block] | ' | ||||||||||||
The following tables present the components of comprehensive income for the three months ended March 31, 2014 and 2013: | |||||||||||||
Components of Comprehensive Income (in thousands) | Before Tax Amount | Tax (Expense) Benefit | Net | ||||||||||
For the three months ended March 31, 2014 | |||||||||||||
Available for sale (AFS) securities with OTTI: | |||||||||||||
Unrealized holding gains | $ | 4,549 | $ | -1,819 | $ | 2,730 | |||||||
Less: accretable yield recognized in income | 160 | -64 | 96 | ||||||||||
Net unrealized gains on investments with OTTI | 4,389 | -1,755 | 2,634 | ||||||||||
Available for sale securities – all other: | |||||||||||||
Unrealized holding gains | 4,990 | -1,995 | 2,995 | ||||||||||
Less: losses recognized in income | -68 | 27 | -41 | ||||||||||
Net unrealized gains on all other AFS securities | 5,058 | -2,022 | 3,036 | ||||||||||
Cash flow hedges: | |||||||||||||
Unrealized holding gains | 92 | -37 | 55 | ||||||||||
Pension Plan: | |||||||||||||
Unrealized net actuarial loss | -298 | 119 | -179 | ||||||||||
Less: amortization of unrecognized loss | -93 | 37 | -56 | ||||||||||
Less: amortization of transition asset | 10 | -4 | 6 | ||||||||||
Less: amortization of prior service costs | -3 | 1 | -2 | ||||||||||
Net pension plan liability adjustment | -212 | 85 | -127 | ||||||||||
SERP: | |||||||||||||
Unrealized net actuarial loss | 0 | 0 | 0 | ||||||||||
Less: amortization of unrecognized gain | 4 | -1 | 3 | ||||||||||
Less: amortization of prior service costs | -5 | 1 | -4 | ||||||||||
Net SERP liability adjustment | 1 | 0 | 1 | ||||||||||
Other comprehensive income | $ | 9,328 | $ | -3,729 | $ | 5,599 | |||||||
Components of Comprehensive Income (in thousands) | Before Tax Amount | Tax (Expense) Benefit | Net | ||||||||||
For the three months ended March 31, 2013 | |||||||||||||
Available for sale (AFS) securities with OTTI: | |||||||||||||
Unrealized holding gains | $ | 1,788 | $ | -718 | $ | 1,070 | |||||||
Less: accretable yield recognized in income | 125 | -50 | 75 | ||||||||||
Net unrealized gains on investments with OTTI | 1,663 | -668 | 995 | ||||||||||
Available for sale securities – all other: | |||||||||||||
Unrealized holding losses | -195 | 79 | -116 | ||||||||||
Less: gains recognized in income | 250 | -101 | 149 | ||||||||||
Net unrealized gains on all other AFS securities | -445 | 180 | -265 | ||||||||||
Cash flow hedges: | |||||||||||||
Unrealized holding gains | 101 | -41 | 60 | ||||||||||
Pension Plan: | |||||||||||||
Unrealized net actuarial gain | 1,069 | -430 | 639 | ||||||||||
Less: amortization of unrecognized loss | -133 | 53 | -80 | ||||||||||
Less: amortization of transition asset | 10 | -4 | 6 | ||||||||||
Less: amortization of prior service costs | -3 | 1 | -2 | ||||||||||
Net pension plan liability adjustment | 1,195 | -480 | 715 | ||||||||||
SERP: | |||||||||||||
Unrealized net actuarial loss | 0 | 0 | 0 | ||||||||||
Less: amortization of unrecognized loss | -1 | 0 | -1 | ||||||||||
Less: amortization of prior service costs | -5 | 2 | -3 | ||||||||||
Net SERP liability adjustment | 6 | -2 | 4 | ||||||||||
Other comprehensive income | $ | 2,520 | $ | -1,011 | $ | 1,509 | |||||||
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | ' | ||||||||||||
The following table presents the details of accumulated other comprehensive income components for the three months ended March 31, 2014: | |||||||||||||
Details of Accumulated Other Comprehensive Income Components (in thousands) | Amount Reclassified from Accumulated Other Comprehensive Income For the three months ended March 31, 2014 | Affected Line Item in the Statement Where Net Income is Presented | |||||||||||
Unrealized gains and losses on investment securities with OTTI: | |||||||||||||
Accretable Yield | $ | 160 | Interest income on taxable investment securities | ||||||||||
Taxes | -64 | Tax expense | |||||||||||
$ | 96 | Net of tax | |||||||||||
Unrealized gains and losses on available for sale investment securities - all others: | |||||||||||||
Losses on sales | $ | -68 | Net losses - other | ||||||||||
Taxes | 27 | Tax benefit | |||||||||||
$ | -41 | Net of tax | |||||||||||
Net pension plan liability adjustment: | |||||||||||||
Amortization of unrecognized loss | -93 | Salaries and employee benefits | |||||||||||
Amortization of transition asset | 10 | Salaries and employee benefits | |||||||||||
Amortization of prior service costs | -3 | Salaries and employee benefits | |||||||||||
Taxes | 34 | Tax benefit | |||||||||||
$ | -52 | Net of Tax | |||||||||||
Net SERP liability adjustment: | |||||||||||||
Amortization of unrecognized gain | 4 | Salaries and employee benefits | |||||||||||
Amortization of prior service costs | -5 | Salaries and employee benefits | |||||||||||
Taxes | 0 | Tax benefit | |||||||||||
$ | -1 | Net of Tax | |||||||||||
Total reclassifications for the period | $ | 2 | Net of tax | ||||||||||
Borrowed_Funds_Tables
Borrowed Funds (Tables) | 3 Months Ended | |||||||||
Mar. 31, 2014 | ||||||||||
Borrowed Funds [Abstract] | ' | |||||||||
Summary of Short Term Borrowings [Table Text Block] | ' | |||||||||
The following table summarizes short-term borrowings with original maturities of less than one year: | ||||||||||
(Dollars in thousands) | Three Months Ended March 31, 2014 | Year Ended December 31, 2013 | ||||||||
Securities sold under agreements to repurchase: | ||||||||||
Outstanding at end of period | $ | 43,617 | $ | 43,676 | ||||||
Weighted average interest rate at end of period | 0.13% | 0.14% | ||||||||
Maximum amount outstanding as of any month end | $ | 48,195 | $ | 61,354 | ||||||
Average amount outstanding | $ | 43,307 | $ | 47,777 | ||||||
Approximate weighted average rate during the period | 0.13% | 0.13% | ||||||||
Summary of Long Term Borrowings [Table Text Block] | ' | |||||||||
The following table summarizes long-term borrowings with original maturities exceeding one year: | ||||||||||
March 31, | December 31, | |||||||||
(In thousands) | 2014 | 2013 | ||||||||
FHLB advances, bearing fixed interest at rates ranging from 1.00% to 3.69% at March 31, 2014 | $ | 135,926 | $ | 135,942 | ||||||
Junior subordinated debt, bearing variable interest rates ranging from 2.08% to 2.98% at March 31, 2014 | 35,929 | 35,929 | ||||||||
Junior subordinated debt, bearing fixed interest rate of 9.88% at March 31, 2014 | 10,801 | 10,801 | ||||||||
Total long-term debt | $ | 182,656 | $ | 182,672 | ||||||
Contractual Maturities Of All Long Term Borrowings [Table Text Block] | ' | |||||||||
The contractual maturities of all long-term borrowings are as follows: | ||||||||||
31-Mar-14 | 31-Dec-13 | |||||||||
Fixed | Floating | |||||||||
(In thousands) | Rate | Rate | Total | Total | ||||||
Due in 2014 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||
Due in 2015 | 30,000 | 5,000 | 35,000 | 35,000 | ||||||
Due in 2016 | 0 | 0 | 0 | 0 | ||||||
Due in 2017 | 0 | 0 | 0 | 0 | ||||||
Due in 2018 | 70,000 | 0 | 70,000 | 70,000 | ||||||
Due in 2019 | 0 | 0 | 0 | 0 | ||||||
Thereafter | 46,727 | 30,929 | 77,656 | 77,672 | ||||||
Total long-term debt | $ | 146,727 | $ | 35,929 | $ | 182,656 | $ | 182,672 | ||
Pension_And_SERP_Plans_Tables
Pension And SERP Plans (Tables) | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Pension and SERP Plans [Abstract] | ' | ||||
Components Of The Net Periodic Pension Plan Cost [Table Text Block] | ' | ||||
The following tables present the components of the net periodic pension plan cost for First United Corporation’s Defined Benefit Pension Plan (the “Pension Plan”) and the Bank’s Supplemental Executive Retirement Plan (“SERP”) for the periods indicated: | |||||
Pension | For the three months ended | ||||
March 31, | |||||
(In thousands) | 2014 | 2013 | |||
Service cost | $ | 65 | $ | 57 | |
Interest cost | 366 | 330 | |||
Expected return on assets | -665 | -594 | |||
Amortization of transition asset | -10 | -10 | |||
Amortization of net actuarial loss | 93 | 133 | |||
Amortization of prior service cost | 3 | 3 | |||
Net pension credit included in employee benefits | $ | -148 | $ | -81 | |
SERP | For the three months ended | ||||
March 31, | |||||
(In thousands) | 2014 | 2013 | |||
Service cost | $ | 24 | $ | 30 | |
Interest cost | 57 | 64 | |||
Amortization of recognized (gain)/loss | -4 | 1 | |||
Amortization of prior service cost | 5 | 5 | |||
Net SERP expense included in employee benefits | $ | 82 | $ | 100 | |
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Derivative Financial Instruments [Abstract] | ' | ||||||
Impact Of Derivative Financial Instruments [Table Text Block] | ' | ||||||
The table below discloses the impact of derivative financial instruments on the Corporation’s Consolidated Financial Statements for the three months ended March 31, 2014 and 2013. | |||||||
Derivative in Cash Flow Hedging Relationships | |||||||
(In thousands) | Amount of gain recognized in OCI on derivative (effective portion) | Amount of gain or (loss) reclassified from accumulated OCI into income (effective portion) (a) | Amount of gain or (loss) recognized in income or derivative (ineffective portion and amount excluded from effectiveness testing) (b) | ||||
Interest rate contracts: | |||||||
Three months ended: | |||||||
31-Mar-14 | $ | 55 | $ | 0 | $ | 0 | |
31-Mar-13 | 60 | 0 | 0 | ||||
Notes: | |||||||
(a) | Reported as interest expense | ||||||
Reported as other income | |||||||
Variable_Interest_Entities_VIE1
Variable Interest Entities (VIE) (Tables) | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
Variable Interest Entities (VIE) [Abstract] | ' | ||||
Investment in LIHTC Partnership [Table Text Block] | ' | ||||
The following table presents details of the Bank’s involvement with the Partnership at the dates indicated: | |||||
March 31, | December 31, | ||||
(In thousands) | 2014 | 2013 | |||
Investment in LIHTC Partnership | |||||
Carrying amount on Balance Sheet of: | |||||
Investment (Other Assets) | $ | 4,845 | $ | 4,980 | |
Maximum exposure to loss | 4,845 | 4,980 | |||
Assets_and_Liabilities_Subject1
Assets and Liabilities Subject to Enforceable Master Netting Agreements (Tables) | 3 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Assets and Liabilities Subject to Enforceable Master Netting Arrangements [Abstract] | ' | ||||||||||||
Schedule of Liabilities Subject to an enforceable Master Netting Arrangement or Repurchase Agreements [Table Text Block] | ' | ||||||||||||
Gross Amounts Not Offset in the Statement of Condition | |||||||||||||
(In thousands) | Gross Amounts of Recognized Liabilities | Gross Amounts Offset in the Statement of Condition | Net Amounts of Liabilities Presented in the Statement of Condition | Financial Instruments | Cash Collateral Pledged | Net Amount | |||||||
31-Mar-14 | |||||||||||||
Interest Rate Swap Agreements | $ | 365 | $ | 0 | $ | 365 | $ | -365 | $ | 0 | $ | 0 | |
Repurchase Agreements | $ | 43,617 | $ | 0 | $ | 43,617 | $ | -43,617 | $ | 0 | $ | 0 | |
31-Dec-13 | |||||||||||||
Interest Rate Swap Agreements | $ | 457 | $ | 0 | $ | 457 | $ | -457 | $ | 0 | $ | 0 | |
Repurchase Agreements | $ | 43,676 | $ | 0 | $ | 43,676 | $ | -43,676 | $ | 0 | $ | 0 | |
Earnings_Per_Common_Share_Basi
Earnings Per Common Share (Basic and Diluted Earnings Per Common Share) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' |
Net Income | $1,358 | $1,922 | $6,446 |
Preferred stock dividends deferred | -441 | -420 | ' |
Net income available to common shareholders | 911 | 1,485 | ' |
Weighted Average Number of Shares Outstanding, Basic and Diluted | 6,211 | 6,199 | ' |
Earnings Per Share, Basic and Diluted | $0.15 | $0.24 | ' |
Preferred Stock [Member] | ' | ' | ' |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' |
Discount accretion on preferred stock | ($6) | ($17) | ' |
Net_Gains_Schedule_of_Net_Gain
Net Gains (Schedule of Net Gains) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Net Gains [Abstract] | ' | ' |
Realized gains | $95 | $412 |
Realized losses | -163 | -162 |
Gain on sale of consumer loans | 8 | 79 |
Loss on disposal of fixed assets | -3 | 0 |
Net gains/losses - other | ($63) | $329 |
Cash_And_Cash_Equivalents_Tabl1
Cash And Cash Equivalents (Tables) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Cash and Cash Equivalents [Line Items] | ' | ' |
Cash and due from banks | $34,521 | $32,895 |
Interest bearing deposits in banks | 9,287 | 10,168 |
Interest Rate | 0.15% | ' |
FHLB [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest bearing deposits in banks | 1,293 | 1,677 |
Interest Rate | 0.01% | ' |
FTN [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest bearing deposits in banks | 850 | 1,350 |
Interest Rate | 0.06% | ' |
M&T Fed Funds sold [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest bearing deposits in banks | 5,045 | 5,043 |
Interest Rate | 0.22% | ' |
M&T Fed Funds sold 2 [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest bearing deposits in banks | 1,009 | 1,008 |
Interest Rate | 0.20% | ' |
CBB Fed Funds sold [Member] | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' |
Interest bearing deposits in banks | $1,090 | $1,090 |
Interest Rate | 0.22% | ' |
Investments_Unrealized_Gain_Lo
Investments (Unrealized Gain (Loss) on Investments) (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | $383,748 | $368,319 |
Gross Unrealized Gains | 2,721 | 2,119 |
Gross Unrealized Losses | 25,004 | 33,849 |
Investment securities - available-for-sale (at fair value) | 361,465 | 336,589 |
OTTI in AOCI | 8,314 | 12,703 |
Held-to-maturity Amortized cost | 2,860 | 3,900 |
Investment securities - HTM | 2,444 | 3,590 |
US Treasury Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 23,500 | ' |
Gross Unrealized Gains | 0 | ' |
Gross Unrealized Losses | 0 | ' |
Investment securities - available-for-sale (at fair value) | 23,500 | ' |
OTTI in AOCI | 0 | ' |
US government agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 89,761 | 97,242 |
Gross Unrealized Gains | 84 | 14 |
Gross Unrealized Losses | 3,880 | 5,221 |
Investment securities - available-for-sale (at fair value) | 85,965 | 92,035 |
OTTI in AOCI | 0 | 0 |
Residential mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 113,815 | 116,933 |
Gross Unrealized Gains | 347 | 334 |
Gross Unrealized Losses | 3,710 | 4,823 |
Investment securities - available-for-sale (at fair value) | 110,452 | 112,444 |
OTTI in AOCI | 0 | 0 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 39,296 | 31,025 |
Gross Unrealized Gains | 63 | 14 |
Gross Unrealized Losses | 1,021 | 1,134 |
Investment securities - available-for-sale (at fair value) | 38,338 | 29,905 |
OTTI in AOCI | 0 | 0 |
Collateralized mortgage obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 29,498 | 30,468 |
Gross Unrealized Gains | 75 | 84 |
Gross Unrealized Losses | 573 | 1,162 |
Investment securities - available-for-sale (at fair value) | 29,000 | 29,390 |
OTTI in AOCI | 0 | 0 |
Obligations of states and political subdivisions [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 50,629 | 55,505 |
Gross Unrealized Gains | 1,177 | 895 |
Gross Unrealized Losses | 689 | 1,123 |
Investment securities - available-for-sale (at fair value) | 51,117 | 55,277 |
OTTI in AOCI | 0 | 0 |
Held-to-maturity Amortized cost | 2,860 | 3,900 |
Held-to-maturity gross Unrealized Gains | 0 | 249 |
Held-to-maturity Gross Unrealized Losses | 416 | 559 |
Investment securities - HTM | 2,444 | 3,590 |
Held-to-maturity OTTI in AOCI | 0 | 0 |
Collateralized debt obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 37,249 | 37,146 |
Gross Unrealized Gains | 975 | 778 |
Gross Unrealized Losses | 15,131 | 20,386 |
Investment securities - available-for-sale (at fair value) | 23,093 | 17,538 |
OTTI in AOCI | $8,314 | $12,703 |
Investments_Proceeds_From_Sale
Investments (Proceeds From Sales And Realized Gains And Losses) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Investments [Abstract] | ' | ' |
Proceeds | $8,585 | $35,136 |
Realized gains | 95 | 412 |
Realized losses | $163 | $162 |
Investments_Gross_Unrealized_L
Investments (Gross Unrealized Losses And Fair Values Of Securities) (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $126,637 | $182,255 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 3,814 | 8,361 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 98,286 | 80,051 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 21,190 | 25,488 |
US Treasury Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 12,000 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 0 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 0 | ' |
US government agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 34,814 | 62,962 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,223 | 3,154 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 21,417 | 13,996 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 2,657 | 2,067 |
Residential mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 22,928 | 60,781 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 937 | 1,801 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 52,347 | 46,570 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 2,773 | 3,022 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 25,570 | 21,889 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 634 | 1,134 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 4,732 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 387 | 0 |
Collateralized mortgage obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 20,448 | 21,201 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 573 | 1,149 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 3,051 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 0 | 13 |
Obligations of states and political subdivisions [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 10,877 | 15,422 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 447 | 1,123 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,761 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 242 | 0 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 0 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | 0 | 0 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 2,444 | 2,301 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | 416 | -559 |
Collateralized debt obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 18,029 | 16,434 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | $15,131 | $20,386 |
Investments_Narrative_Details
Investments (Narrative) (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | $3,814 | $8,361 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 21,190 | 25,488 |
US Treasury Securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 0 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 1 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 0 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 0 | ' |
US government agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'U.S. Government Agencies - Six U.S. government agencies have been in an unrealized loss position for less than 12 months as of March 31, 2014. There were three U.S. government agencies in an unrealized loss position for 12 months or more. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell them before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 3 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 6 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 1,223 | 3,154 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 2,657 | 2,067 |
Residential mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'Residential Mortgage-Backed Agencies - Ten residential mortgage-backed agencies have been in an unrealized loss position for less than 12 months as of March 31, 2014. There were eight residential mortgage-backed agency securities in an unrealized loss position for 12 months or more. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell the securities before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014.Commercial Mortgage-Backed Agencies - Eleven commercial mortgage-backed agencies have been in an unrealized loss position for less than 12 months as of March 31, 2014. There was one commercial mortgage-backed agency security in an unrealized loss position for 12 months or more. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell the securities before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 8 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 10 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 937 | 1,801 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 2,773 | 3,022 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 1 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 11 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 634 | 1,134 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 387 | 0 |
Collateralized mortgage obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'Collateralized Mortgage Obligations - Three collateralized mortgage obligation securities at March 31, 2014 were in an unrealized loss position for 12 months or less. The securities are of the highest investment grade and the Corporation does not intend to sell them, and it is not more likely than not that the Corporation will be required to sell the securities before recovery of their amortized cost basis. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014. There were no collateralized mortgage obligation securities in an unrealized loss position for 12 months or more. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 0 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 3 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 573 | 1,149 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 0 | 13 |
Obligations of states and political subdivisions [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'Obligations of State and Political Subdivisions - Five securities have been in an unrealized loss position for less than 12 months at March 31, 2014. There were two securities that have been in an unrealized loss position for 12 months or more. These investments are of investment grade as determined by the major rating agencies and management reviews the ratings of the underlying issuers. The bonds continue to perform according to their contractual terms. The Corporation does not intend to sell these investments and it is not more likely than not that the Corporation will be required to sell the investments before recovery of their amortized cost basis, which may be at maturity. Accordingly, management does not consider these investments to be other-than-temporarily impaired at March 31, 2014. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 2 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | 5 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 447 | 1,123 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | 242 | 0 |
Collateralized debt obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Nature | 'Collateralized Debt Obligations - The $15.1 million in unrealized losses greater than 12 months at March 31, 2014 relates to 14 pooled trust preferred securities that are included in the CDO portfolio. See Note 9 for a discussion of the methodology used by management to determine the fair values of these securities. Based upon a review of credit quality and the cash flow tests performed by the independent third party, management determined that there were no securities that had credit-related non-cash OTTI charges during the first three months of 2014. The unrealized losses on the remaining securities in the portfolio are primarily attributable to continued depression in market interest rates, marketability, liquidity and the current economic environment. | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | 14 | ' |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Losses | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Losses | $15,131 | $20,386 |
Investments_NonCash_OTTI_Credi
Investments (Non-Cash OTTI Credit Losses Recognized In Earnings) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Investments [Abstract] | ' | ' |
Balance of credit-related OTTI, Beginning | $13,422 | $13,959 |
Reduction for increases in cash flows expected to be collected | -160 | -125 |
Balance of credit-related OTTI, Ending | $13,262 | $13,834 |
Investments_Amortized_Cost_And
Investments (Amortized Cost And Fair Values Classified By Contractual Maturity Date) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost: Due in one year or less | $23,500 | ' |
Amortized Cost: Due after one year through five years | 30,407 | ' |
Amortized Cost: Due after five years through ten years | 67,845 | ' |
Amortized Cost: Due after ten years | 79,387 | ' |
Amortized Cost, Single Maturity Date, Total | 201,139 | ' |
Fair Value: Due in one year or less | 23,500 | ' |
Fair Value: Due after one year through five years | 30,188 | ' |
Fair Value: Due after five years through ten years | 67,107 | ' |
Fair Value: Due after ten years | 62,880 | ' |
Fair Value: Single Maturity Date, Total | 183,675 | ' |
Available-for-sale Securities, Amortized Cost Basis | 383,748 | 368,319 |
Available-for-sale Securities | 361,465 | 336,589 |
Amortized Cost: Due after ten years | 2,860 | ' |
Fair Value: Due after ten years | 2,444 | ' |
Residential mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost: without Single Maturity Date | 113,815 | ' |
Fair Value: without Single Maturity Date | 110,452 | ' |
Available-for-sale Securities, Amortized Cost Basis | 113,815 | 116,933 |
Available-for-sale Securities | 110,452 | 112,444 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost: without Single Maturity Date | 39,296 | ' |
Fair Value: without Single Maturity Date | 38,338 | ' |
Available-for-sale Securities, Amortized Cost Basis | 39,296 | 31,025 |
Available-for-sale Securities | 38,338 | 29,905 |
Collateralized mortgage obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost: without Single Maturity Date | 29,498 | ' |
Fair Value: without Single Maturity Date | 29,000 | ' |
Available-for-sale Securities, Amortized Cost Basis | 29,498 | 30,468 |
Available-for-sale Securities | $29,000 | $29,390 |
Recovered_Sheet2
Restricted Investment In Bank Stock (Narrative) (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Restricted Investment in Bank Stock [Abstract] | ' | ' |
Cash Dividends | $72,998 | $50,517 |
Loans_And_Related_Allowances_F2
Loans And Related Allowances For Loan Losses (Narrative) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | $17,143 | $17,396 |
Partial Charge Off [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 5,600 | 1,900 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 683 | 681 |
Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 6,646 | 6,752 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 1,012 | 1,104 |
Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 5,196 | 4,528 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 41 | 191 |
Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 3,027 | 3,795 |
Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | 538 | 331 |
Consumer [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Nonaccrual Loans Subject To Partial Charge Off | $0 | $14 |
Loans_And_Related_Allowances_F3
Loans And Related Allowances For Loan Losses (Loan Portfolio Segments) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | $814,037 | $810,240 |
Individually evaluated for impairment | 31,725 | 33,309 |
Collectively evaluated for impairment | 782,312 | 776,931 |
Commercial Real Estate Portfolio Segment [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 259,837 | 267,978 |
Individually evaluated for impairment | 11,616 | 11,740 |
Collectively evaluated for impairment | 248,221 | 256,238 |
Acquisition and Development [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 101,985 | 107,250 |
Individually evaluated for impairment | 10,379 | 11,703 |
Collectively evaluated for impairment | 91,606 | 95,547 |
Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 78,724 | 59,788 |
Individually evaluated for impairment | 2,152 | 2,299 |
Collectively evaluated for impairment | 76,572 | 57,489 |
Residential Mortgage [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 349,698 | 350,906 |
Individually evaluated for impairment | 7,578 | 7,546 |
Collectively evaluated for impairment | 342,120 | 343,360 |
Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Total Loans | 23,793 | 24,318 |
Individually evaluated for impairment | 0 | 21 |
Collectively evaluated for impairment | $23,793 | $24,297 |
Loans_And_Related_Allowances_F4
Loans And Related Allowances For Loan Losses (Classes Of The Loan Portfolio Summarized By The Aggregate Risk Rating) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | $814,037 | $810,240 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 138,815 | 137,544 |
Commercial real estate- all other CRE [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 121,022 | 130,434 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 12,165 | 13,261 |
Acquisition and development- All other A&D [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 89,820 | 93,989 |
Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 78,724 | 59,788 |
Residential mortgage- term [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 274,935 | 274,467 |
Residential mortgage- home equity [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 74,763 | 76,439 |
Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 23,793 | 24,318 |
Pass [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 708,546 | 701,526 |
Pass [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 103,862 | 103,556 |
Pass [Member] | Commercial real estate- all other CRE [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 90,646 | 100,461 |
Pass [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 10,095 | 8,764 |
Pass [Member] | Acquisition and development- All other A&D [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 70,008 | 73,198 |
Pass [Member] | Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 74,879 | 55,768 |
Pass [Member] | Residential mortgage- term [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 262,992 | 261,735 |
Pass [Member] | Residential mortgage- home equity [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 72,387 | 73,901 |
Pass [Member] | Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 23,677 | 24,143 |
Special Mention [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 21,033 | 21,034 |
Special Mention [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 9,171 | 9,243 |
Special Mention [Member] | Commercial real estate- all other CRE [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 8,392 | 8,479 |
Special Mention [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 0 | 0 |
Special Mention [Member] | Acquisition and development- All other A&D [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 1,744 | 1,787 |
Special Mention [Member] | Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 418 | 140 |
Special Mention [Member] | Residential mortgage- term [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 839 | 752 |
Special Mention [Member] | Residential mortgage- home equity [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 469 | 628 |
Special Mention [Member] | Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 0 | 5 |
Substandard [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 84,458 | 87,680 |
Substandard [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 25,782 | 24,745 |
Substandard [Member] | Commercial real estate- all other CRE [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 21,984 | 21,494 |
Substandard [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 2,070 | 4,497 |
Substandard [Member] | Acquisition and development- All other A&D [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 18,068 | 19,004 |
Substandard [Member] | Commercial and industrial [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 3,427 | 3,880 |
Substandard [Member] | Residential mortgage- term [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 11,104 | 11,980 |
Substandard [Member] | Residential mortgage- home equity [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | 1,907 | 1,910 |
Substandard [Member] | Consumer [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Loans | $116 | $170 |
Loans_And_Related_Allowances_F5
Loans And Related Allowances For Loan Losses (Loan Portfolio Summarized By The Past Due Status) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | $783,142 | $775,814 |
30-59 Days Past Due | 11,984 | 12,107 |
60-89 Days Past Due | 1,393 | 3,689 |
90 Days+ Past Due | 375 | 1,234 |
Total Past Due and Still Accruing | 13,752 | 17,030 |
Non-Accrual | 17,143 | 17,396 |
Loans | 814,037 | 810,240 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 137,655 | 136,462 |
30-59 Days Past Due | 0 | 191 |
60-89 Days Past Due | 263 | 145 |
90 Days+ Past Due | 214 | 65 |
Total Past Due and Still Accruing | 477 | 401 |
Non-Accrual | 683 | 681 |
Loans | 138,815 | 137,544 |
Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 114,118 | 121,985 |
30-59 Days Past Due | 54 | 1,490 |
60-89 Days Past Due | 204 | 207 |
90 Days+ Past Due | 0 | 0 |
Total Past Due and Still Accruing | 258 | 1,697 |
Non-Accrual | 6,646 | 6,752 |
Loans | 121,022 | 130,434 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 11,107 | 12,018 |
30-59 Days Past Due | 46 | 0 |
60-89 Days Past Due | 0 | 139 |
90 Days+ Past Due | 0 | 0 |
Total Past Due and Still Accruing | 46 | 139 |
Non-Accrual | 1,012 | 1,104 |
Loans | 12,165 | 13,261 |
Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 82,459 | 88,071 |
30-59 Days Past Due | 2,050 | 1,075 |
60-89 Days Past Due | 112 | 33 |
90 Days+ Past Due | 3 | 282 |
Total Past Due and Still Accruing | 2,165 | 1,390 |
Non-Accrual | 5,196 | 4,528 |
Loans | 89,820 | 93,989 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 78,323 | 59,320 |
30-59 Days Past Due | 327 | 87 |
60-89 Days Past Due | 0 | 57 |
90 Days+ Past Due | 33 | 133 |
Total Past Due and Still Accruing | 360 | 277 |
Non-Accrual | 41 | 191 |
Loans | 78,724 | 59,788 |
Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 262,620 | 259,239 |
30-59 Days Past Due | 8,612 | 8,258 |
60-89 Days Past Due | 676 | 2,541 |
90 Days+ Past Due | 0 | 634 |
Total Past Due and Still Accruing | 9,288 | 11,433 |
Non-Accrual | 3,027 | 3,795 |
Loans | 274,935 | 274,467 |
Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 73,500 | 74,917 |
30-59 Days Past Due | 538 | 656 |
60-89 Days Past Due | 70 | 439 |
90 Days+ Past Due | 117 | 96 |
Total Past Due and Still Accruing | 725 | 1,191 |
Non-Accrual | 538 | 331 |
Loans | 74,763 | 76,439 |
Consumer [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Current | 23,360 | 23,802 |
30-59 Days Past Due | 357 | 350 |
60-89 Days Past Due | 68 | 128 |
90 Days+ Past Due | 8 | 24 |
Total Past Due and Still Accruing | 433 | 502 |
Non-Accrual | 0 | 14 |
Loans | $23,793 | $24,318 |
Loans_And_Related_Allowances_F6
Loans And Related Allowances For Loan Losses (Allowance For Loan Losses Summarized By Loan Portfolio Segments) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Total Allowance For Loan Losses | $12,572 | $13,594 | $16,025 | $16,047 |
Individually evaluated for impairment | 2,042 | 2,283 | ' | ' |
Collectively evaluated for impairment | 10,530 | 11,311 | ' | ' |
Commercial Real Estate Portfolio Segment [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Total Allowance For Loan Losses | 3,399 | 4,052 | 5,789 | 5,206 |
Individually evaluated for impairment | 226 | 236 | ' | ' |
Collectively evaluated for impairment | 3,173 | 3,816 | ' | ' |
Acquisition and Development [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Total Allowance For Loan Losses | 3,896 | 4,172 | 4,760 | 5,029 |
Individually evaluated for impairment | 1,816 | 1,967 | ' | ' |
Collectively evaluated for impairment | 2,080 | 2,205 | ' | ' |
Commercial and industrial [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Total Allowance For Loan Losses | 1,070 | 766 | 645 | 906 |
Individually evaluated for impairment | 0 | 0 | ' | ' |
Collectively evaluated for impairment | 1,070 | 766 | ' | ' |
Residential Mortgage [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Total Allowance For Loan Losses | 3,962 | 4,320 | 4,483 | 4,507 |
Individually evaluated for impairment | 0 | 80 | ' | ' |
Collectively evaluated for impairment | 3,962 | 4,240 | ' | ' |
Consumer [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Total Allowance For Loan Losses | 245 | 284 | 348 | 399 |
Individually evaluated for impairment | 0 | 0 | ' | ' |
Collectively evaluated for impairment | $245 | $284 | ' | ' |
Loans_And_Related_Allowances_F7
Loans And Related Allowances For Loan Losses (Impaired Loans And Related Interest Income By Loan Portfolio Class) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | $7,282 | $9,013 |
Impaired Loans with Specific Allowance: Related Allowance | 2,042 | 2,283 |
Impaired Loans with No Specific Allowance: Recorded Investment | 24,443 | 24,296 |
Total Impaired Loans: Recorded Investment | 31,725 | 33,309 |
Unpaid Principal Balance | 37,626 | 38,249 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 277 | 257 |
Impaired Loans with Specific Allowance: Related Allowance | 79 | 59 |
Impaired Loans with No Specific Allowance: Recorded Investment | 922 | 922 |
Total Impaired Loans: Recorded Investment | 1,199 | 1,179 |
Unpaid Principal Balance | 1,209 | 1,191 |
Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 1,071 | 1,080 |
Impaired Loans with Specific Allowance: Related Allowance | 147 | 177 |
Impaired Loans with No Specific Allowance: Recorded Investment | 9,346 | 9,481 |
Total Impaired Loans: Recorded Investment | 10,417 | 10,561 |
Unpaid Principal Balance | 10,545 | 10,689 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 1,053 | 2,651 |
Impaired Loans with Specific Allowance: Related Allowance | 308 | 634 |
Impaired Loans with No Specific Allowance: Recorded Investment | 1,018 | 7 |
Total Impaired Loans: Recorded Investment | 2,071 | 2,658 |
Unpaid Principal Balance | 2,319 | 2,704 |
Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 4,601 | 4,037 |
Impaired Loans with Specific Allowance: Related Allowance | 1,508 | 1,333 |
Impaired Loans with No Specific Allowance: Recorded Investment | 3,707 | 5,008 |
Total Impaired Loans: Recorded Investment | 8,308 | 9,045 |
Unpaid Principal Balance | 13,309 | 13,394 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 0 | 0 |
Impaired Loans with Specific Allowance: Related Allowance | 0 | 0 |
Impaired Loans with No Specific Allowance: Recorded Investment | 2,152 | 2,299 |
Total Impaired Loans: Recorded Investment | 2,152 | 2,299 |
Unpaid Principal Balance | 2,152 | 2,299 |
Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 280 | 988 |
Impaired Loans with Specific Allowance: Related Allowance | 0 | 80 |
Impaired Loans with No Specific Allowance: Recorded Investment | 6,511 | 5,979 |
Total Impaired Loans: Recorded Investment | 6,791 | 6,967 |
Unpaid Principal Balance | 7,305 | 7,372 |
Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 0 | 0 |
Impaired Loans with Specific Allowance: Related Allowance | 0 | 0 |
Impaired Loans with No Specific Allowance: Recorded Investment | 787 | 579 |
Total Impaired Loans: Recorded Investment | 787 | 579 |
Unpaid Principal Balance | 787 | 579 |
Consumer [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Specific Allowance: Recorded Investment | 0 | 0 |
Impaired Loans with Specific Allowance: Related Allowance | 0 | 0 |
Impaired Loans with No Specific Allowance: Recorded Investment | 0 | 21 |
Total Impaired Loans: Recorded Investment | 0 | 21 |
Unpaid Principal Balance | $0 | $21 |
Loans_And_Related_Allowances_F8
Loans And Related Allowances For Loan Losses (Allowance For Loan Losses Summarized By Loan Portfolio Segments Roll Forward) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | $13,594 | $16,047 |
Charge-offs | -1,639 | -1,178 |
Recoveries | 253 | 291 |
Provision for loan losses | 364 | 865 |
ALL Ending Balance | 12,572 | 16,025 |
Commercial Real Estate Portfolio Segment [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 4,052 | 5,206 |
Charge-offs | -21 | 0 |
Recoveries | 10 | 100 |
Provision for loan losses | -642 | 483 |
ALL Ending Balance | 3,399 | 5,789 |
Acquisition and Development [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 4,172 | 5,029 |
Charge-offs | -819 | -4 |
Recoveries | 12 | 8 |
Provision for loan losses | 531 | -273 |
ALL Ending Balance | 3,896 | 4,760 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 766 | 906 |
Charge-offs | -152 | -876 |
Recoveries | 3 | 49 |
Provision for loan losses | 453 | 566 |
ALL Ending Balance | 1,070 | 645 |
Residential Mortgage [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 4,320 | 4,507 |
Charge-offs | -468 | -155 |
Recoveries | 49 | 31 |
Provision for loan losses | 61 | 100 |
ALL Ending Balance | 3,962 | 4,483 |
Consumer [Member] | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' |
ALL Beginning Balance | 284 | 399 |
Charge-offs | -179 | -143 |
Recoveries | 179 | 103 |
Provision for loan losses | -39 | -11 |
ALL Ending Balance | $245 | $348 |
Loans_And_Related_Allowances_F9
Loans And Related Allowances For Loan Losses (Average Of Impaired Loans And Related Interest Income By Loan Portfolio Class) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | $32,519 | $48,172 |
Interest income recognized on an accrual basis | 206 | 327 |
Interest income recognized on a cash basis | 13 | 48 |
Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 1,189 | 5,274 |
Interest income recognized on an accrual basis | 7 | 12 |
Interest income recognized on a cash basis | 0 | 0 |
Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 10,489 | 10,692 |
Interest income recognized on an accrual basis | 41 | 89 |
Interest income recognized on a cash basis | 1 | 46 |
Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 2,365 | 2,828 |
Interest income recognized on an accrual basis | 14 | 24 |
Interest income recognized on a cash basis | 0 | 0 |
Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 8,677 | 21,350 |
Interest income recognized on an accrual basis | 61 | 142 |
Interest income recognized on a cash basis | 0 | 0 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 2,226 | 3,432 |
Interest income recognized on an accrual basis | 26 | 35 |
Interest income recognized on a cash basis | 2 | 0 |
Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 6,879 | 3,947 |
Interest income recognized on an accrual basis | 54 | 19 |
Interest income recognized on a cash basis | 9 | 2 |
Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 683 | 573 |
Interest income recognized on an accrual basis | 3 | 6 |
Interest income recognized on a cash basis | 1 | 0 |
Consumer [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Average Investment | 11 | 76 |
Interest income recognized on an accrual basis | 0 | 0 |
Interest income recognized on a cash basis | $0 | $0 |
Recovered_Sheet3
Loans And Related Allowances For Loan Losses (Modification of Troubled Debt Restructuring By Class) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
loan | loan | |
Temporary Rate Modification [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 1 | 1 |
Recorded Investment | $90 | $172 |
Temporary Rate Modification [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Temporary Rate Modification [Member] | Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Temporary Rate Modification [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Temporary Rate Modification [Member] | Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Temporary Rate Modification [Member] | Commercial and industrial [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Temporary Rate Modification [Member] | Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 1 | 1 |
Recorded Investment | 90 | 172 |
Temporary Rate Modification [Member] | Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Temporary Rate Modification [Member] | Consumer [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Extension Of Maturity [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 2 | 4 |
Recorded Investment | 277 | 520 |
Extension Of Maturity [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 2 | 2 |
Recorded Investment | 277 | 268 |
Extension Of Maturity [Member] | Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Extension Of Maturity [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Extension Of Maturity [Member] | Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 2 |
Recorded Investment | 0 | 252 |
Extension Of Maturity [Member] | Commercial and industrial [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Extension Of Maturity [Member] | Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Extension Of Maturity [Member] | Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Extension Of Maturity [Member] | Consumer [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Modification Of Payment And Other Terms [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 1 | 0 |
Recorded Investment | 454 | 0 |
Modification Of Payment And Other Terms [Member] | Commercial real estate- non owner-occupied [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Modification Of Payment And Other Terms [Member] | Commercial real estate- all other CRE [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 1 | 0 |
Recorded Investment | 454 | 0 |
Modification Of Payment And Other Terms [Member] | Acquisition and development- 1-4 family residential construction [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Modification Of Payment And Other Terms [Member] | Acquisition and development- All other A&D [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Modification Of Payment And Other Terms [Member] | Commercial and industrial [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Modification Of Payment And Other Terms [Member] | Residential mortgage- term [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Modification Of Payment And Other Terms [Member] | Residential mortgage- home equity [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | 0 | 0 |
Modification Of Payment And Other Terms [Member] | Consumer [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Number of Contracts | 0 | 0 |
Recorded Investment | $0 | $0 |
Other_Real_Estate_Owned_Schedu
Other Real Estate Owned (Schedule of Real Estate Properties) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Total OREO | $15,613 | $17,031 |
Commercial Real Estate [Member] | ' | ' |
Total OREO | 4,960 | 5,306 |
Acquisition and Development [Member] | ' | ' |
Total OREO | 9,008 | 10,509 |
Residential Mortgage [Member] | ' | ' |
Total OREO | $1,645 | $1,216 |
Other_Real_Estate_Owned_Other_
Other Real Estate Owned (Other Real Estate, Roll Forward) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Other Real Estate Owned [Abstract] | ' | ' |
Beginning Balance | $4,047 | $2,766 |
Fair value write-down | 371 | 20 |
Sales of OREO | -748 | -607 |
Ending Balance | $3,670 | $2,179 |
Other_Real_Estate_Owned_Schedu1
Other Real Estate Owned (Schedule of Components of REO) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Other Real Estate Owned [Abstract] | ' | ' |
Gain on sales of other real estate owned | ($25) | ($7) |
Write-downs of other real estate owned | 371 | 20 |
OREO Expenses, net | 188 | 117 |
Rental income | -77 | -112 |
Total OREO | $457 | $18 |
Fair_Value_Of_Financial_Instru1
Fair Value Of Financial Instruments (Narrative) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
security | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Amortized Cost | $383,748 | $368,319 |
Available-for-sale Securities | 361,465 | 336,589 |
Collateralized debt obligations [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Acquired Trust Preferred Securities, Number of Securities | 18 | ' |
Amortized Cost | 37,249 | 37,146 |
Available-for-sale Securities | $23,093 | $17,538 |
Fair_Value_Of_Financial_Instru2
Fair Value Of Financial Instruments (Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques) (Details) (Fair Value, Inputs, Level 3 [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | |
Collateralized debt obligations [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Assets, Fair Value Disclosure, Recurring | $23,093 | |
Significant Unoservable Inputs | 'Discount Rate | |
Valuation Technique | 'Discounted Cash Flow | |
Collateralized debt obligations [Member] | Unobservable Input - Discount Rate [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Fair Value Input, Unobservable Input Value, Description | 'Swap+17%; Range of Libor+ 6.00% to 18% | |
Interest Rate Swap [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Assets, Fair Value Disclosure, Recurring | -365 | |
Significant Unoservable Inputs | 'Reuters Third Party Market Quote | |
Valuation Technique | 'Discounted Cash Flow | |
Interest Rate Swap [Member] | Unobservable Input - Reuters Third Party Market Quote [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Fair Value Inputs, Discount Rate | 99.90% | |
Impaired Loans [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Assets, Fair Value Disclosure, Nonrecurring | 10,819 | |
Significant Unoservable Inputs | 'Marketability Discount | |
Valuation Technique | 'Market Comparable Properties | |
Impaired Loans [Member] | Unobservable Input - Marketability Discount [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Fair Value Inputs, Discount Rate | 10.00% | [1] |
Other Real Estate Owned [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Assets, Fair Value Disclosure, Nonrecurring | $960 | |
Significant Unoservable Inputs | 'Marketability Discount | |
Valuation Technique | 'Market Comparable Properties | |
Minimum [Member] | Other Real Estate Owned [Member] | Unobservable Input - Marketability Discount [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Fair Value Inputs, Discount Rate | 10.00% | [1] |
Maximum [Member] | Other Real Estate Owned [Member] | Unobservable Input - Marketability Discount [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Fair Value Inputs, Discount Rate | 10.00% | |
Weighted Average [Member] | Interest Rate Swap [Member] | Unobservable Input - Reuters Third Party Market Quote [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Fair Value Inputs, Discount Rate | 99.90% | |
Weighted Average [Member] | Impaired Loans [Member] | Unobservable Input - Marketability Discount [Member] | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | |
Fair Value Inputs, Discount Rate | 10.00% | |
[1] | Range would include discounts taken since appraisal and estimated values |
Fair_Value_Of_Financial_Instru3
Fair Value Of Financial Instruments (Assets And Liabilities Measured At Fair Value On A Recurring And Nonrecurring Basis) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | $361,465 | $336,589 |
Financial Derivative | -365 | -457 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 338,372 | 319,051 |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 23,093 | 17,538 |
Financial Derivative | -365 | -457 |
US Treasury Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 23,500 | ' |
US Treasury Securities [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 23,500 | ' |
US Treasury Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 23,500 | ' |
US government agencies [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 85,965 | 92,035 |
US government agencies [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 85,965 | 92,035 |
US government agencies [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 85,965 | 92,035 |
Residential mortgage-backed agencies [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 110,452 | 112,444 |
Residential mortgage-backed agencies [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 110,452 | 112,444 |
Residential mortgage-backed agencies [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 110,452 | 112,444 |
Commercial mortgage-backed agencies [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 38,338 | 29,905 |
Commercial mortgage-backed agencies [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 38,338 | 29,905 |
Commercial mortgage-backed agencies [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 38,338 | 29,905 |
Collateralized mortgage obligations [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 29,000 | 29,390 |
Collateralized mortgage obligations [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 29,000 | 29,390 |
Collateralized mortgage obligations [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 29,000 | 29,390 |
Obligations of states and political subdivisions [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 51,117 | 55,277 |
Obligations of states and political subdivisions [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 51,117 | 55,277 |
Obligations of states and political subdivisions [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 51,117 | 55,277 |
Collateralized debt obligations [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 23,093 | 17,538 |
Collateralized debt obligations [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 23,093 | 17,538 |
Collateralized debt obligations [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 23,093 | 17,538 |
Interest Rate Swap [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial Derivative | -365 | -457 |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial Derivative | -365 | -457 |
Impaired Loans [Member] | Fair Value, Measurements, Nonrecurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 10,819 | 8,613 |
Impaired Loans [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 10,819 | ' |
Impaired Loans [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 10,819 | 8,613 |
Other Real Estate Owned [Member] | Fair Value, Measurements, Nonrecurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 960 | 5,591 |
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 960 | ' |
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | $960 | $5,591 |
Fair_Value_Of_Financial_Instru4
Fair Value Of Financial Instruments (Reconciliation Of Fair Valued Assets Measured On A Recurring Basis) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Collateralized debt obligations [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning balance | $17,538 | $11,442 |
Included in other comprehensive income | 5,555 | 2,356 |
Ending Balance | 23,093 | 13,798 |
The amount of total gains or losses for the period included in earnings attributable to the change in realized/unrealized gains or losses related to assets still held at the reporting date | 0 | 0 |
Interest Rate Swap [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Beginning balance | -457 | -849 |
Included in other comprehensive income | 92 | 101 |
Ending Balance | -365 | -748 |
The amount of total gains or losses for the period included in earnings attributable to the change in realized/unrealized gains or losses related to assets still held at the reporting date | $0 | $0 |
Fair_Value_Of_Financial_Instru5
Fair Value Of Financial Instruments (Fair Value By Balance Sheet Grouping) (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Cash and due from banks | $34,521 | $32,895 |
Interest bearing deposits | 9,287 | 10,168 |
Investment securities - AFS, Carrying Amount | 361,465 | 336,589 |
Investment securities - HTM | 2,444 | 3,590 |
Restricted Bank Stock | 7,529 | 7,913 |
Loans, net | 804,234 | 799,937 |
Accrued interest receivable | 3,789 | 4,342 |
Deposits - non-maturity | 684,197 | 650,761 |
Deposits - time deposits | 322,994 | 333,256 |
Short-term borrowed funds | 37,746 | 43,676 |
Long-term borrowed funds | 188,644 | 189,135 |
Accrued interest payable | 900 | 7,647 |
Financial Derivative | 365 | 457 |
Off balance sheet financial instruments | 0 | 0 |
Cash and due from banks, Carrying Amount | 34,521 | 32,895 |
Interest bearing deposits in banks, Carrying Amount | 9,287 | 10,168 |
Investment securities - held to maturity (fair value $2,444 at March 31, 2014 and $3,590 at December 31, 2013, respectively) | 2,860 | 3,900 |
Restricted Bank stock, Carrying Amount | 7,529 | 7,913 |
Loans, net, Carrying Amount | 801,465 | 796,646 |
Accrued interest receivable, Carrying Amount | 3,789 | 4,342 |
Deposits - non-maturity, Carrying Amount | 684,197 | 650,761 |
Deposits - time deposits, Carrying Amount | 316,832 | 326,642 |
Short-term borrowings | 43,617 | 43,676 |
Long-term borrowings | 182,656 | 182,672 |
Accrued interest payable, Carrying Amount | 900 | 7,647 |
Financial derivative, Carrying Amount | 365 | 457 |
Off-Balance Sheet Risks, Amount, Liability, Carrying Amount | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Cash and due from banks | 34,521 | 32,895 |
Interest bearing deposits | 9,287 | 10,168 |
Off balance sheet financial instruments | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Investment securities - AFS, Carrying Amount | 338,372 | 319,051 |
Restricted Bank Stock | 7,529 | 7,913 |
Accrued interest receivable | 3,789 | 4,342 |
Deposits - non-maturity | 684,197 | 650,761 |
Deposits - time deposits | 322,994 | 333,256 |
Short-term borrowed funds | 37,746 | 43,676 |
Long-term borrowed funds | 188,644 | 189,135 |
Accrued interest payable | 900 | 7,647 |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Investment securities - AFS, Carrying Amount | 23,093 | 17,538 |
Investment securities - HTM | 2,444 | 3,590 |
Loans, net | 804,234 | 799,937 |
Financial Derivative | $365 | $457 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss (Schedule of Accumulated Other Comprehensive Loss) (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
Balance | ($24,213) | ($21,823) |
Other comprehensive income before reclassifications | 5,601 | -2,338 |
Amounts reclassified from accumulated other comprehensive income | -2 | -52 |
Balance | -18,614 | -24,213 |
Investment securities- with OTTI [Member] | ' | ' |
Balance | -7,623 | -10,036 |
Other comprehensive income before reclassifications | 2,730 | 2,735 |
Amounts reclassified from accumulated other comprehensive income | -96 | -322 |
Balance | -4,989 | -7,623 |
Investment securities- all other [Member] | ' | ' |
Balance | -11,292 | -2,966 |
Other comprehensive income before reclassifications | 2,995 | -8,279 |
Amounts reclassified from accumulated other comprehensive income | 41 | -47 |
Balance | -8,256 | -11,292 |
Cash Flow Hedge (OCI) [Member] | ' | ' |
Balance | -274 | -507 |
Other comprehensive income before reclassifications | 55 | 233 |
Amounts reclassified from accumulated other comprehensive income | 0 | 0 |
Balance | -219 | -274 |
Pension Plan [Member] | ' | ' |
Balance | -5,088 | -8,262 |
Other comprehensive income before reclassifications | -179 | 2,871 |
Amounts reclassified from accumulated other comprehensive income | 52 | 303 |
Balance | -5,215 | -5,088 |
SERP [Member] | ' | ' |
Balance | 64 | -52 |
Other comprehensive income before reclassifications | 0 | 102 |
Amounts reclassified from accumulated other comprehensive income | 1 | 14 |
Balance | $65 | $64 |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Loss (Components of Comprehensive Income) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Available for sale (AFS) securities with OTTI: Unrealized holding gains, Before Tax Amount | $4,549 | $1,788 |
Available for sale (AFS) securities with OTTI: Unrealized holding gains, tax effect | -1,819 | -718 |
Available for sale (AFS) securities with OTTI: Unrealized holding gains, Net of Tax | 2,730 | 1,070 |
Available for sale (AFS) securities with OTTI: Less: accretable yield recognized in income | 160 | 125 |
Available for sale (AFS) securities with OTTI: Less: accretable yield recognized in income, Tax Effect | -64 | -50 |
Other than Temporary Impairment Losses, Investments, Reclassification Adjustment of Noncredit Portion Included in Net Income, Available for Sale Securities, Net of Tax | 96 | 75 |
Available for sale (AFS) securities with OTTI: Net unrealized gains on investments with OTTI, Before Tax Amount | 4,389 | 1,663 |
Available for sale (AFS) securities with OTTI: Net unrealized gains on investments with OTTI: Net unrealized gains on investments with OTTI, Tax Effect | -1,755 | -668 |
Available for sale (AFS) securities with OTTI: Net unrealized gains on investments with OTTI, Net of Tax | 2,634 | 995 |
Available for sale securities - all other: Unrealized holding losses, Before Tax | 4,990 | -195 |
Available for sale securities - all other: Unrealized holding losses, Tax Effect | -1,995 | 79 |
Available for sale securities - all other: Unrealized holding losses, Net of Tax | 2,995 | -116 |
Available for sale securities - all other: Less: gains recognized in income, Before Tax | -68 | 250 |
Available for sale securities - all other: Less: gains recognized in income, Tax Effect | 27 | -101 |
Available for sale securities - all other: Less: gains recognized in income, Net of Tax | -41 | 149 |
Available for sale securities - all other: Net unrealized losses on all other AFS securities, Before Tax | 5,058 | -445 |
Available for sale securities - all other: Net unrealized losses on all other AFS securities, Tax Effect | -2,022 | 180 |
Available for sale securities - all other: Net unrealized losses on all other AFS securities, Net of tax | 3,036 | -265 |
Cash flow hedges: Unrealized holding gains, Before Tax | 92 | 101 |
Cash flow hedges: Unrealized holding gains, Tax Effect | -37 | -41 |
Cash flow hedges: Unrealized holding gains, Net of Tax | 55 | 60 |
Unrealized net actuarial gain (loss), Net of Tax | -127 | 715 |
Other Comprehensive Income, Before Tax Amount | 9,328 | 2,520 |
Other Comprehensive Income, Tax (Expense) Benefit | -3,729 | -1,011 |
Other Comprehensive Income, Net | 5,599 | 1,509 |
Pension Plan [Member] | ' | ' |
Unrealized net actuarial gain (loss), Before Tax | -298 | 1,069 |
Unrealized net actuarial gain (loss), Tax Effect | 119 | -430 |
Unrealized net actuarial gain (loss), Net of Tax | -179 | 639 |
Less: amortization of unrecognized net gain (loss), Before Tax | -93 | -133 |
Less: amortization of unrecognized net gain (loss), Tax Effect | 37 | 53 |
Less: amortization of unrecognized net gain (loss), Net of Tax | -56 | -80 |
Less: amortization of transition asset, Before Tax | 10 | 10 |
Less: amortization of transition asset, Tax Effect | -4 | -4 |
Less: amortization of transition asset, Net of Tax | 6 | 6 |
Less: amortization of prior service costs, Before Tax | -3 | -3 |
Less: amortization of prior service costs, Tax Effect | 1 | 1 |
Less: amortization of prior service costs, Net of Tax | -2 | -2 |
Net plan liability adjustment, Before Tax | -212 | 1,195 |
Net plan liability adjustment, Tax Effect | 85 | -480 |
Net plan liability adjustment, Net of Tax | -127 | 715 |
SERP [Member] | ' | ' |
Unrealized net actuarial gain (loss), Before Tax | 0 | 0 |
Unrealized net actuarial gain (loss), Tax Effect | 0 | 0 |
Unrealized net actuarial gain (loss), Net of Tax | 0 | 0 |
Less: amortization of unrecognized net gain (loss), Before Tax | 4 | -1 |
Less: amortization of unrecognized net gain (loss), Tax Effect | -1 | 0 |
Less: amortization of unrecognized net gain (loss), Net of Tax | 3 | -1 |
Less: amortization of prior service costs, Before Tax | -5 | -5 |
Less: amortization of prior service costs, Tax Effect | 1 | 2 |
Less: amortization of prior service costs, Net of Tax | -4 | -3 |
Net plan liability adjustment, Before Tax | 1 | 6 |
Net plan liability adjustment, Tax Effect | 0 | -2 |
Net plan liability adjustment, Net of Tax | $1 | $4 |
Accumulated_Other_Comprehensiv4
Accumulated Other Comprehensive Loss (Schedule of Reclassifications From Accumulated Other Comprehensive Loss) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Interest on investment securities: Taxable | $1,988 | $1,142 | ' |
Gain Loss Other | -63 | 329 | ' |
Salaries and employee benefits | -4,685 | -4,844 | ' |
Tax expense (benefit) | -414 | -568 | ' |
Net income | 1,358 | 1,922 | 6,446 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Net income | 2 | ' | ' |
Investment securities- with OTTI [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Interest on investment securities: Taxable | 160 | ' | ' |
Tax expense (benefit) | -64 | ' | ' |
Net income | 96 | ' | ' |
Investment securities- all other [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Gain Loss Other | -68 | ' | ' |
Tax expense (benefit) | 27 | ' | ' |
Net income | -41 | ' | ' |
Pension Plan [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Tax expense (benefit) | 34 | ' | ' |
Net income | -52 | ' | ' |
Pension Plan [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of unrecognized loss [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Salaries and employee benefits | -93 | ' | ' |
Pension Plan [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of transition asset [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Salaries and employee benefits | 10 | ' | ' |
Pension Plan [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of prior service costs [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Salaries and employee benefits | -3 | ' | ' |
SERP [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Tax expense (benefit) | 0 | ' | ' |
Net income | -1 | ' | ' |
SERP [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of unrecognized loss [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Salaries and employee benefits | 4 | ' | ' |
SERP [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Amortization of prior service costs [Member] | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' |
Salaries and employee benefits | ($5) | ' | ' |
Junior_Subordinated_Debentures1
Junior Subordinated Debentures And Restrictions On Dividends (Narrative) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 17, 2014 | Mar. 17, 2014 | Mar. 17, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 |
First United Statutory Trust I And II Member | First United Statutory Trust I Member | First United Statutory Trust II Member | January 2010 First United Statutory Trust III Member | Junior Subordinated Debt [Member] | Junior Subordinated Debt [Member] | Junior Subordinated Debt [Member] | Junior Subordinated Debt [Member] | Junior Subordinated Debt [Member] | Cumulative Preferred Stock [Member] | |||
First United Statutory Trust I Member | First United Statutory Trust II Member | December 2009 First United Statutory Trust III Member | January 2010 First United Statutory Trust III Member | |||||||||
Trust preferred securities | ' | ' | $30,000,000 | ' | ' | ' | ' | ' | ' | $7,000,000 | $3,500,000 | ' |
Trust common equity | 62,000 | 62,000 | 900,000 | ' | ' | ' | ' | ' | ' | 200,000 | 100,000 | ' |
Debenture issue date | ' | ' | 'March 2004 | ' | ' | ' | 'December 2004 | ' | ' | 'December 2009 | 'January 2010 | ' |
Debenture issued to unconsolidated subsidiary | ' | ' | ' | ' | ' | ' | ' | 20,600,000 | 10,300,000 | 7,200,000 | 3,600,000 | ' |
Debt Instrument, Face Amount | ' | ' | ' | ' | ' | ' | 5,000,000 | ' | ' | ' | ' | ' |
Variable interest rate | ' | ' | ' | ' | ' | ' | 'three month LIBOR plus 185 basis points | 'three-month LIBOR plus 275 basis points | 'three-month LIBOR plus 275 basis points | ' | ' | ' |
Reporting date interest rate | ' | ' | ' | ' | ' | ' | 2.08% | 2.98% | 2.98% | ' | ' | ' |
Maturity date | ' | ' | ' | ' | ' | ' | '2015 | '2034 | '2034 | '2040 | '2040 | ' |
Earliest availability for redemption | ' | ' | ' | ' | ' | ' | 'five | 'five | 'five | 'five | 'five | ' |
Fixed interest rate | ' | ' | ' | ' | ' | ' | 5.88% | ' | ' | 9.88% | 9.88% | ' |
Debenture Rate Conversion Date | ' | ' | ' | ' | ' | ' | 'March 2010 | ' | ' | ' | ' | ' |
Maximum Allowable Period Of Interest Deferment | ' | ' | ' | ' | ' | ' | '20 quarterly periods | ' | ' | ' | ' | ' |
Payments of deferred interest | ' | ' | ' | 1,024,000 | 2,048,000 | 3,763,000 | ' | ' | ' | ' | ' | ' |
Payments of current interest | ' | ' | ' | 77,166 | 154,325 | 266,650 | ' | ' | ' | ' | ' | ' |
Preferred dividend payment dates | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'February 15th, May 15th, August 15th and November 15th |
Preferred dividend deferment date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'November 15, 2010 |
Quarterly preferred dividends accrual | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400,000 |
Preferred stock dividends deferred | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $5,800,000 |
Borrowed_Funds_NarrativeDetail
Borrowed Funds (Narrative)(Details) (USD $) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Borrowed Funds [Abstract] | ' |
Repurchase agreements secured by available for sale securities | $64.90 |
FHLB advances secured by loans receivable | 161.6 |
FHLB advances secured by investment securities | $0.60 |
Borrowed_Funds_Summary_of_Shor
Borrowed Funds (Summary of Short Term Borrowings) (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
Borrowed Funds [Abstract] | ' | ' |
Short-term Borrowings | $43,617 | $43,676 |
Weighted average interest rate at end of period | 0.13% | 0.14% |
Maximum amount outstanding as of any month end | 48,195 | 61,354 |
Average amount outstanding | $43,307 | $47,777 |
Approximate weighted average rate during the period | 0.13% | 0.13% |
Borrowed_Funds_Summary_of_Long
Borrowed Funds (Summary of Long Term Borrowings) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 |
In Thousands, unless otherwise specified | Junior Subordinated Debt [Member] | Federal Home Loan Bank Advances [Member] | ||
Debt Instrument [Line Items] | ' | ' | ' | ' |
FHLB advances | $135,926 | $135,942 | ' | ' |
Junior subordinated debt, bearing variable interest rates | 35,929 | 35,929 | ' | ' |
Junior subordinated debt, bearing fixed interest rate | 10,801 | 10,801 | ' | ' |
Total long-term debt | $182,656 | $182,672 | ' | ' |
Debt Instrument, Interest Rate, Effective Percentage Rate Range, Minimum | ' | ' | 2.08% | 1.00% |
Debt Instrument, Interest Rate, Effective Percentage Rate Range, Maximum | ' | ' | 2.98% | 3.69% |
Debt Instrument, Interest Rate, Effective Percentage | ' | ' | 9.88% | ' |
Borrowed_Funds_Contractual_Mat
Borrowed Funds (Contractual Maturities Of All Long Term Borrowings) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Due in 2014 | $0 | $0 |
Due in 2015 | 35,000 | 35,000 |
Due in 2016 | 0 | 0 |
Due in 2017 | 0 | 0 |
Due in 2018 | 70,000 | 70,000 |
Due in 2019 | 0 | 0 |
Thereafter | 77,656 | 77,672 |
Total long-term debt | 182,656 | 182,672 |
Fixed Rate [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Due in 2014 | 0 | ' |
Due in 2015 | 30,000 | ' |
Due in 2016 | 0 | ' |
Due in 2017 | 0 | ' |
Due in 2018 | 70,000 | ' |
Due in 2019 | 0 | ' |
Thereafter | 46,727 | ' |
Total long-term debt | 146,727 | ' |
Floating Rate [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Due in 2014 | 0 | ' |
Due in 2015 | 5,000 | ' |
Due in 2016 | 0 | ' |
Due in 2017 | 0 | ' |
Due in 2018 | 0 | ' |
Due in 2019 | 0 | ' |
Thereafter | 30,929 | ' |
Total long-term debt | $35,929 | ' |
Borrowed_Funds_Schedule_of_Ple
Borrowed Funds (Schedule of Pledged Collateral on Line of Credit) (Details) (USD $) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Borrowed Funds [Abstract] | ' |
Loans Pledged as Collateral | $161.60 |
Securities Held as Collateral, at Fair Value | $0.60 |
Pension_and_SERP_Plans_Compone
Pension and SERP Plans (Components of The Net Periodic Pension Plan Cost) (Pension) (Details) (Pension [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Pension [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Service cost | $65 | $57 |
Interest cost | 366 | 330 |
Expected return on assets | -665 | -594 |
Amortization of transition asset | -10 | -10 |
Recognized net actuarial loss | 93 | 133 |
Amortization of prior service cost | 3 | 3 |
Net pension credit included in employee benefits | ($148) | ($81) |
Pension_and_SERP_Plans_Compone1
Pension and SERP Plans (Components of The Net Periodic Pension Plan Cost) (SERP) (Details) (SERP [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
SERP [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Service cost | $24 | $30 |
Interest cost | 57 | 64 |
Amortization of recognized loss | -4 | 1 |
Amortization of prior service cost | 5 | 5 |
Net pension credit included in employee benefits | $82 | $100 |
Equity_Compensation_Plan_Infor1
Equity Compensation Plan Information (Narrative) (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award, Description | 'On June 18, 2008, the Board of Directors of First United Corporation adopted a Long-Term Incentive Program (the "LTIP"). This program was adopted as a sub-plan of the Omnibus Plan to reward participants for increasing shareholder value, align executive interests with those of shareholders, and serve as a retention tool for key executives. Under the LTIP, participants are granted shares of restricted common stock of First United Corporation. The amount of an award is based on a specified percentage of the participant's salary as of the date of grant. These shares will vest if the Corporation meets or exceeds certain performance thresholds. There were no grants of restricted stock outstanding at March 31, 2014. | ' |
Deferred Compensation Arrangement with Individual, Description | 'Stock-based awards were made to non-employee directors in May 2013 pursuant to First United Corporation's director compensation policy. Five thousand dollars of each director's annual retainer is paid in shares of stock, with the remainder paid in cash. Beginning in 2011, each non-employee director was given the option to receive the remainder of his or her retainer, or any portion thereof, in shares of stock. | ' |
Issued fully-vested common stock shares | 11,304 | ' |
Per share fair market value of issued fully vested common stock shares | $7.96 | ' |
Director stock compensation expense | $22,495 | $19,153 |
Maximum [Member] | ' | ' |
Maximum issuance of common stock options | 185,000 | ' |
Restricted Stock [Member] | ' | ' |
Outstanding grants of restricted stock | 0 | ' |
Recovered_Sheet4
Letters Of Credit And Off Balance Sheet Liabilities (Narrative) (Details) (USD $) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Commitments and Contingent Liabilities [Abstract] | ' |
Outstanding standby letters of credit | $1.10 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments (Narrative) (Details) (USD $) | 3 Months Ended | 3 Months Ended | ||||
Mar. 31, 2014 | Dec. 31, 2013 | Jul. 31, 2009 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | |
contract | Interest Rate Swap [Member] | Derivative Matured [Member] | Swap Contrat- 5 year $10 million [Member] | Swap Contract- 7 year $5 Million [Member] | ||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' |
Interest rate swap notional amount | $15,000,000 | ' | $20,000,000 | $5,000,000 | $10,000,000 | $5,000,000 |
Number of interest rate swap contracts | 3 | ' | ' | ' | ' | ' |
Derivative, Maturity Date | ' | ' | ' | 15-Jun-12 | 17-Jun-14 | 17-Jun-16 |
Interest rate swap fair value | 365,000 | 457,000 | ' | ' | ' | ' |
Cash collateral | 850,000 | ' | ' | ' | ' | ' |
Gain on derivative | 92,000 | ' | ' | ' | ' | ' |
Deferred tax asset on gain on derivative | $37,000 | ' | ' | ' | ' | ' |
Cash flow hedge ineffectiveness | '0 | ' | ' | ' | ' | ' |
Derivative_Financial_Instrumen3
Derivative Financial Instruments (Impact Of Derivative Financial Instruments) (Details) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Derivative Financial Instruments [Abstract] | ' | ' | ||
Amount of gain or (loss) recognized in OCI on derivative (effective portion) | $55 | $60 | ||
Amount of gain or (loss) reclassified from accumulated OCI into income (effective portion) | 0 | [1] | 0 | [1] |
Amount of gain or (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | $0 | [2] | $0 | [2] |
[1] | Reported as interest expense | |||
[2] | Reported as other income |
Variable_Interest_Entities_VIE2
Variable Interest Entities (VIE) (Narrative) (Details) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||||
Dec. 31, 2011 | Dec. 31, 2009 | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2009 | Mar. 31, 2014 | |
Variable Interest Entity, Not Primary Beneficiary [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | |||||
Junior Subordinated Debt [Member] | |||||||
Variable Interest Entity [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Long-term Debt | ' | ' | $182,656,000 | $182,672,000 | $41,700,000 | ' | $5,000,000 |
Equity Method Investments | ' | ' | ' | ' | 1,300,000 | ' | ' |
Payments to Acquire Businesses and Interest in Affiliates | 6,100,000 | 6,100,000 | ' | ' | ' | ' | ' |
Ownership in Liberty Mews Limited Partnership | ' | ' | ' | ' | ' | 99.99% | ' |
VIE financing | ' | ' | ' | ' | ' | 10,600,000 | ' |
VIE purpose | ' | ' | ' | ' | 'formed for the purpose of acquiring, developing and operating low-income housing units in Garrett County, Maryland. | ' | ' |
Construction and Development Costs | ' | ' | ' | ' | ' | 10,600,000 | ' |
Partnership total assets | ' | ' | ' | ' | 9,700,000 | ' | ' |
Federal investment tax credits | $8,400,000 | ' | ' | ' | ' | ' | ' |
Federal investment tax credit duration | '10 years | ' | ' | ' | ' | ' | ' |
Variable_Interest_Entities_VIE3
Variable Interest Entities (VIE) (Investment in LIHTC Partnership) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Variable Interest Entities (VIE) [Abstract] | ' | ' |
Investment (Other Assets) | $4,845 | $4,980 |
Maximum exposure to loss | $4,845 | $4,980 |
Assets_and_Liabilities_Subject2
Assets and Liabilities Subject to Enforceable Master Netting Agreements (Schedule of Liabilities Subject to an enforceable Master Netting Arrangement or Repurchase Agreements) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Interest Rate Swap [Member] | ' | ' |
Gross Amounts of Recognized Liabilities | $365 | $457 |
Gross Amounts Offset in the Statement of Condition | 0 | 0 |
Net Amounts of Liabilities Presented in the Statement of Condition | 365 | 457 |
Gross Amounts Not Offset in the Statment of Condition: Financial Insturments | -365 | -457 |
Gross Amounts Not Offset in the Statment of Condition: Cash Collateral Pledged | 0 | 0 |
Net amount | 0 | 0 |
Repurchase Agreements [Member] | ' | ' |
Gross Amounts of Recognized Liabilities | 43,617 | 43,676 |
Gross Amounts Offset in the Statement of Condition | 0 | 0 |
Net Amounts of Liabilities Presented in the Statement of Condition | 43,617 | 43,676 |
Gross Amounts Not Offset in the Statment of Condition: Financial Insturments | -43,617 | -43,676 |
Gross Amounts Not Offset in the Statment of Condition: Cash Collateral Pledged | 0 | 0 |
Net amount | $0 | $0 |