EXHIBIT 99.3 – Supplemental, Unaudited Financial Information
CONDENSED, CONSOLIDATED FINANCIAL HIGHLIGHTS
(Dollars In Thousands, Except Per Share Data) (Unaudited)
| AS OF OR FOR THE | ||||||||||||
| THREE MONTHS ENDED | % | |||||||||||
| MARCH 31, | INCREASE | |||||||||||
| 2018 | 2017 | (DECREASE) | ||||||||||
| EARNINGS PERFORMANCE | ||||||||||||
| Net Income | $ | 4,375 | $ | 3,434 | 27.40 | % | ||||||
| Return on Average Assets (Annualized) | 1.39 | % | 1.11 | % | 25.23 | % | ||||||
| Return on Average Equity (Annualized) | 9.41 | % | 7.38 | % | 27.51 | % | ||||||
| BALANCE SHEET HIGHLIGHTS | ||||||||||||
| Total Assets | $ | 1,258,116 | $ | 1,233,924 | 1.96 | % | ||||||
| Available-for-Sale Debt Securities | 341,133 | 375,948 | -9.26 | % | ||||||||
| Loans (Net) | 808,300 | 753,277 | 7.30 | % | ||||||||
| Allowance for Loan Losses | 9,049 | 8,744 | 3.49 | % | ||||||||
| Deposits and Repo Sweep Accounts | 1,023,563 | 986,495 | 3.76 | % | ||||||||
| OFF-BALANCE SHEET | ||||||||||||
| Outstanding Balance of Mortgage Loans Sold with Servicing Retained | 171,237 | 164,291 | 4.23 | % | ||||||||
| Trust Assets Under Management | 916,295 | 880,979 | 4.01 | % | ||||||||
| SHAREHOLDERS’ VALUE (PER COMMON SHARE) | ||||||||||||
| Net Income - Basic | $ | 0.36 | $ | 0.28 | 28.57 | % | ||||||
| Net Income - Diluted | $ | 0.36 | $ | 0.28 | 28.57 | % | ||||||
| Dividends | $ | 0.27 | $ | 0.26 | 3.85 | % | ||||||
| Common Book Value | $ | 15.20 | $ | 15.41 | -1.36 | % | ||||||
| Tangible Common Book Value (a) | $ | 14.22 | $ | 14.42 | -1.39 | % | ||||||
| Market Value (Last Trade) | $ | 23.09 | $ | 23.28 | -0.82 | % | ||||||
| Market Value / Common Book Value | 151.91 | % | 151.07 | % | 0.56 | % | ||||||
| Market Value / Tangible Common Book Value | 162.38 | % | 161.44 | % | 0.58 | % | ||||||
| Price Earnings Multiple (Annualized) | 16.03 | 20.79 | -22.90 | % | ||||||||
| Dividend Yield (Annualized) | 4.68 | % | 4.47 | % | 4.70 | % | ||||||
| Common Shares Outstanding, End of Period | 12,264,284 | 12,159,607 | 0.86 | % | ||||||||
CONDENSED, CONSOLIDATED FINANCIAL HIGHLIGHTS (Continued)
(Dollars In Thousands, Except Per Share Data) (Unaudited)
| AS OF OR FOR THE | ||||||||||||
| THREE MONTHS ENDED | % | |||||||||||
| MARCH 31, | INCREASE | |||||||||||
| 2018 | 2017 | (DECREASE) | ||||||||||
| SAFETY AND SOUNDNESS | ||||||||||||
| Tangible Common Equity / Tangible Assets (a) | 14.00 | % | 14.35 | % | -2.48 | % | ||||||
| Nonperforming Assets / Total Assets | 1.39 | % | 1.28 | % | 8.59 | % | ||||||
| Allowance for Loan Losses / Total Loans | 1.11 | % | 1.15 | % | -3.48 | % | ||||||
| Total Risk Based Capital Ratio (b) | 23.38 | % | 23.72 | % | -1.43 | % | ||||||
| Tier 1 Risk Based Capital Ratio (b) | 22.23 | % | 22.57 | % | -1.51 | % | ||||||
| Common Equity Tier 1 Risk Based Capital Ratio (b) | 22.23 | % | 22.57 | % | -1.51 | % | ||||||
| Leverage Ratio (b) | 14.38 | % | 14.29 | % | 0.63 | % | ||||||
| AVERAGE BALANCES | ||||||||||||
| Average Assets | $ | 1,257,704 | $ | 1,241,392 | 1.31 | % | ||||||
| Average Equity | $ | 185,960 | $ | 186,202 | -0.13 | % | ||||||
| EFFICIENCY RATIO | ||||||||||||
| Net Interest Income on a Fully Taxable-Equivalent | ||||||||||||
| Basis | $ | 11,226 | $ | 10,841 | 3.55 | % | ||||||
| Noninterest Income | 4,406 | 3,864 | 14.03 | % | ||||||||
| Total (1) | $ | 15,632 | $ | 14,705 | 6.30 | % | ||||||
| Noninterest Expense (2) | $ | 9,895 | $ | 9,298 | 6.42 | % | ||||||
| Efficiency ratio = (2)/(1) | 63.30 | % | 63.23 | % | 0.11 | % | ||||||
(a) Tangible book value per common share and tangible common equity as a percentage of tangible assets are non-U.S. GAAP ratios. Management believes this non-GAAP information is helpful in evaluating the strength of the Corporation’s capital and in providing an alternative, conservative valuation of the Corporation’s net worth. The ratios shown above are based on the following calculations of tangible assets and tangible common equity:
| Total Assets | $ | 1,258,116 | $ | 1,233,924 | ||||||||
| Less: Intangible Assets, Primarily Goodwill | (11,953 | ) | (11,958 | ) | ||||||||
| Tangible Assets | $ | 1,246,163 | $ | 1,221,966 | ||||||||
| Total Shareholders’ Equity | $ | 186,382 | $ | 187,350 | ||||||||
| Less: Intangible Assets, Primarily Goodwill | (11,953 | ) | (11,958 | ) | ||||||||
| Tangible Common Equity (3) | $ | 174,429 | $ | 175,392 | ||||||||
| Common Shares Outstanding, End of Period (4) | 12,264,284 | 12,159,607 | ||||||||||
| Tangible Common Book Value per Share = (3)/(4) | $ | 14.22 | $ | 14.42 |
(b) Capital ratios for the most recent period are estimated.
| QUARTERLY CONDENSED, CONSOLIDATED | ||||||||||||||||||||
| INCOME STATEMENT INFORMATION | ||||||||||||||||||||
| (In Thousands, Except Per Share Data) (Unaudited) | For the Three Months Ended: | |||||||||||||||||||
| March 31, | Dec. 31, | Sept. 30, | June 30, | March 31, | ||||||||||||||||
| 2018 | 2017 | 2017 | 2017 | 2017 | ||||||||||||||||
| Interest income | $ | 11,890 | $ | 11,785 | $ | 11,626 | $ | 11,340 | $ | 11,112 | ||||||||||
| Interest expense | 993 | 999 | 985 | 978 | 953 | |||||||||||||||
| Net interest income | 10,897 | 10,786 | 10,641 | 10,362 | 10,159 | |||||||||||||||
| Provision for loan losses | 292 | 23 | 322 | 4 | 452 | |||||||||||||||
| Net interest income after provision for loan losses | 10,605 | 10,763 | 10,319 | 10,358 | 9,707 | |||||||||||||||
| Noninterest income | 4,406 | 4,117 | 4,066 | 4,106 | 3,864 | |||||||||||||||
| Net gains on securities | 0 | 0 | 5 | 107 | 145 | |||||||||||||||
| Noninterest expense | 9,895 | 9,401 | 9,192 | 9,076 | 9,298 | |||||||||||||||
| Income before income tax provision | 5,116 | 5,479 | 5,198 | 5,495 | 4,418 | |||||||||||||||
| Income tax provision | 741 | 3,536 | 1,262 | 1,374 | 984 | |||||||||||||||
| Net income | $ | 4,375 | $ | 1,943 | $ | 3,936 | $ | 4,121 | $ | 3,434 | ||||||||||
| Net income attributable to common shares | $ | 4,352 | $ | 1,933 | $ | 3,916 | $ | 4,100 | $ | 3,416 | ||||||||||
| Basic earnings per common share | $ | 0.36 | $ | 0.16 | $ | 0.32 | $ | 0.34 | $ | 0.28 | ||||||||||
| Diluted earnings per common share | $ | 0.36 | $ | 0.16 | $ | 0.32 | $ | 0.34 | $ | 0.28 | ||||||||||
| QUARTERLY CONDENSED, CONSOLIDATED | ||||||||||||||||||||
| BALANCE SHEET INFORMATION | ||||||||||||||||||||
| (In Thousands) (Unaudited) | As of: | |||||||||||||||||||
| March 31, | Dec. 31, | Sept. 30, | June 30, | March 31, | ||||||||||||||||
| 2018 | 2017 | 2017 | 2017 | 2017 | ||||||||||||||||
| ASSETS | ||||||||||||||||||||
| Cash & Due from Banks | $ | 36,860 | $ | 40,244 | $ | 32,850 | $ | 34,643 | $ | 32,543 | ||||||||||
| Available-for-Sale Debt Securities | 341,133 | 355,937 | 364,108 | 363,776 | 375,948 | |||||||||||||||
| Loans Held for Sale | 225 | 765 | 437 | 1,708 | 163 | |||||||||||||||
| Loans, Net | 808,300 | 806,857 | 792,112 | 771,057 | 753,277 | |||||||||||||||
| Intangible Assets | 11,953 | 11,954 | 11,956 | 11,957 | 11,958 | |||||||||||||||
| Other Assets | 59,645 | 61,202 | 58,458 | 60,260 | 60,035 | |||||||||||||||
| TOTAL ASSETS | $ | 1,258,116 | $ | 1,276,959 | $ | 1,259,921 | $ | 1,243,401 | $ | 1,233,924 | ||||||||||
| LIABILITIES | ||||||||||||||||||||
| Deposits | $ | 1,018,081 | $ | 1,008,449 | $ | 1,021,625 | $ | 997,262 | $ | 980,251 | ||||||||||
| Repo Sweep Accounts | 5,482 | 3,766 | 4,739 | 4,875 | 6,244 | |||||||||||||||
| Total Deposits and Repo Sweeps | 1,023,563 | 1,012,215 | 1,026,364 | 1,002,137 | 986,495 | |||||||||||||||
| Borrowed Funds | 39,122 | 67,189 | 34,256 | 42,321 | 52,888 | |||||||||||||||
| Other Liabilities | 9,049 | 9,112 | 8,288 | 9,084 | 7,191 | |||||||||||||||
| TOTAL LIABILITIES | 1,071,734 | 1,088,516 | 1,068,908 | 1,053,542 | 1,046,574 | |||||||||||||||
| SHAREHOLDERS’ EQUITY | ||||||||||||||||||||
| Common Shareholders’ Equity, Excluding | ||||||||||||||||||||
| Accumulated Other Comprehensive Income (Loss) | 191,920 | 189,950 | 190,639 | 189,339 | 187,825 | |||||||||||||||
| Accumulated Other Comprehensive Income (Loss): | ||||||||||||||||||||
| Net Unrealized Gains (Losses) on Available-for-sale Securities | (5,679 | ) | (1,566 | ) | 227 | 369 | (630 | ) | ||||||||||||
| Defined Benefit Plans | 141 | 59 | 147 | 151 | 155 | |||||||||||||||
| TOTAL SHAREHOLDERS’ EQUITY | 186,382 | 188,443 | 191,013 | 189,859 | 187,350 | |||||||||||||||
| TOTAL LIABILITIES & SHAREHOLDERS’ EQUITY | $ | 1,258,116 | $ | 1,276,959 | $ | 1,259,921 | $ | 1,243,401 | $ | 1,233,924 | ||||||||||
| AVAILABLE-FOR-SALE DEBT SECURITIES | March 31, 2018 | December 31, 2017 | ||||||||||||||
| (In Thousands) | Amortized | Fair | Amortized | Fair | ||||||||||||
| Cost | Value | Cost | Value | |||||||||||||
| Obligations of U.S. Government agencies | $ | 8,023 | $ | 7,803 | $ | 8,026 | $ | 7,873 | ||||||||
| Obligations of states and political subdivisions: | ||||||||||||||||
| Tax-exempt | 103,598 | 103,403 | 103,673 | 105,111 | ||||||||||||
| Taxable | 24,140 | 24,038 | 25,431 | 25,573 | ||||||||||||
| Mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored agencies: | ||||||||||||||||
| Residential pass-through securities | 50,880 | 49,335 | 52,992 | 52,347 | ||||||||||||
| Residential collateralized mortgage obligations | 127,886 | 124,008 | 134,314 | 131,814 | ||||||||||||
| Commercial mortgage-backed securities | 33,793 | 32,546 | 33,881 | 33,219 | ||||||||||||
| Total Available-for-Sale Debt Securities | $ | 348,320 | $ | 341,133 | $ | 358,317 | $ | 355,937 | ||||||||
| Summary of Loans by Type | ||||||||||||
| (Excludes Loans Held for Sale) | ||||||||||||
| (In Thousands) | March 31, | Dec. 31, | March 31, | |||||||||
| 2018 | 2017 | 2017 | ||||||||||
| Residential mortgage: | ||||||||||||
| Residential mortgage loans - first liens | $ | 358,786 | $ | 359,987 | $ | 340,431 | ||||||
| Residential mortgage loans - junior liens | 25,870 | 25,325 | 23,717 | |||||||||
| Home equity lines of credit | 34,595 | 35,758 | 36,810 | |||||||||
| 1-4 Family residential construction | 25,790 | 26,216 | 24,041 | |||||||||
| Total residential mortgage | 445,041 | 447,286 | 424,999 | |||||||||
| Commercial: | ||||||||||||
| Commercial loans secured by real estate | 161,571 | 159,266 | 153,385 | |||||||||
| Commercial and industrial | 89,346 | 88,276 | 79,493 | |||||||||
| Political subdivisions | 56,224 | 59,287 | 44,625 | |||||||||
| Commercial construction and land | 13,232 | 14,527 | 15,252 | |||||||||
| Loans secured by farmland | 7,015 | 7,255 | 7,497 | |||||||||
| Multi-family (5 or more) residential | 7,621 | 7,713 | 7,622 | |||||||||
| Agricultural loans | 5,803 | 6,178 | 3,992 | |||||||||
| Other commercial loans | 16,079 | 10,986 | 11,131 | |||||||||
| Total commercial | 356,891 | 353,488 | 322,997 | |||||||||
| Consumer | 15,417 | 14,939 | 14,025 | |||||||||
| Total | 817,349 | 815,713 | 762,021 | |||||||||
| Less: allowance for loan losses | (9,049 | ) | (8,856 | ) | (8,744 | ) | ||||||
| Loans, net | $ | 808,300 | $ | 806,857 | $ | 753,277 | ||||||
| Loans Held for Sale | ||||||||||||
| (In Thousands) | March 31, | Dec. 31, | March 31, | |||||||||
| 2018 | 2017 | 2017 | ||||||||||
| Residential mortgage loans originated and serviced - outstanding balance | $ | 171,462 | $ | 170,490 | $ | 164,454 | ||||||
| Less: outstanding balance of loans sold | (171,237 | ) | (169,725 | ) | (164,291 | ) | ||||||
| Loans held for sale, net | $ | 225 | $ | 765 | $ | 163 | ||||||
| ANALYSIS OF THE ALLOWANCE FOR LOAN LOSSES | ||||||||||||||||
| (In Thousands) | ||||||||||||||||
| 3 Months | 3 Months | 3 Months | Year | |||||||||||||
| Ended | Ended | Ended | Ended | |||||||||||||
| March 31, | Dec. 31, | March 31, | Dec. 31, | |||||||||||||
| 2018 | 2017 | 2017 | 2017 | |||||||||||||
| Balance, beginning of period | $ | 8,856 | $ | 8,900 | $ | 8,473 | $ | 8,473 | ||||||||
| Charge-offs | (115 | ) | (77 | ) | (200 | ) | (479 | ) | ||||||||
| Recoveries | 16 | 10 | 19 | 61 | ||||||||||||
| Net charge-offs | (99 | ) | (67 | ) | (181 | ) | (418 | ) | ||||||||
| Provision for loan losses | 292 | 23 | 452 | 801 | ||||||||||||
| Balance, end of period | $ | 9,049 | $ | 8,856 | $ | 8,744 | $ | 8,856 | ||||||||
| PAST DUE AND IMPAIRED LOANS, NONPERFORMING ASSETS | ||||||||||||
| AND TROUBLED DEBT RESTRUCTURINGS (TDRs) | ||||||||||||
| (Dollars In Thousands) | ||||||||||||
| March 31, | Dec 31, | March 31, | ||||||||||
| 2018 | 2017 | 2017 | ||||||||||
| Impaired loans with a valuation allowance | $ | 4,699 | $ | 4,100 | $ | 3,319 | ||||||
| Impaired loans without a valuation allowance | 5,507 | 5,411 | 5,380 | |||||||||
| Total impaired loans | $ | 10,206 | $ | 9,511 | $ | 8,699 | ||||||
| Total loans past due 30-89 days and still accruing | $ | 5,927 | $ | 9,449 | $ | 6,476 | ||||||
| Nonperforming assets: | ||||||||||||
| Total nonaccrual loans | $ | 13,587 | $ | 13,404 | $ | 11,231 | ||||||
| Total loans past due 90 days or more and still accruing | 2,795 | 3,724 | 2,714 | |||||||||
| Total nonperforming loans | 16,382 | 17,128 | 13,945 | |||||||||
| Foreclosed assets held for sale (real estate) | 1,100 | 1,598 | 1,878 | |||||||||
| Total nonperforming assets | $ | 17,482 | $ | 18,726 | $ | 15,823 | ||||||
| Loans subject to troubled debt restructurings (TDRs): | ||||||||||||
| Performing | $ | 774 | $ | 636 | $ | 752 | ||||||
| Nonperforming | 2,987 | 3,027 | 3,083 | |||||||||
| Total TDRs | $ | 3,761 | $ | 3,663 | $ | 3,835 | ||||||
| Total nonperforming loans as a % of loans | 2.00 | % | 2.10 | % | 1.83 | % | ||||||
| Total nonperforming assets as a % of assets | 1.39 | % | 1.47 | % | 1.28 | % | ||||||
| Allowance for loan losses as a % of total loans | 1.11 | % | 1.09 | % | 1.15 | % | ||||||
| Allowance for loan losses as a % of nonperforming loans | 55.24 | % | 51.70 | % | 62.70 | % | ||||||
| Analysis of Average Daily Balances and Rates | ||||||||||||||||||||||||
| (Dollars in Thousands) | ||||||||||||||||||||||||
| 3 Months | 3 Months | 3 Months | ||||||||||||||||||||||
| Ended | Rate of | Ended | Rate of | Ended | Rate of | |||||||||||||||||||
| 3/31/2018 | Return/ | 12/31/2017 | Return/ | 3/31/2017 | Return/ | |||||||||||||||||||
| Average | Cost of | Average | Cost of | Average | Cost of | |||||||||||||||||||
| Balance | Funds % | Balance | Funds % | Balance | Funds % | |||||||||||||||||||
| EARNING ASSETS | ||||||||||||||||||||||||
| Available-for-sale debt securities, at amortized cost: | ||||||||||||||||||||||||
| Taxable | $ | 249,840 | 2.21 | % | $ | 256,714 | 2.14 | % | $ | 270,251 | 2.11 | % | ||||||||||||
| Tax-exempt | 103,177 | 3.53 | % | 106,773 | 4.23 | % | 117,628 | 4.44 | % | |||||||||||||||
| Total available-for-sale debt securities | 353,017 | 2.60 | % | 363,487 | 2.76 | % | 387,879 | 2.81 | % | |||||||||||||||
| Marketable equity security | 962 | 2.11 | % | 1,000 | 2.38 | % | 1,000 | 2.03 | % | |||||||||||||||
| Interest-bearing due from banks | 14,131 | 1.43 | % | 15,423 | 1.29 | % | 14,923 | 0.87 | % | |||||||||||||||
| Loans held for sale | 168 | 4.83 | % | 393 | 5.05 | % | 201 | 8.07 | % | |||||||||||||||
| Loans receivable: | ||||||||||||||||||||||||
| Taxable | 740,655 | 5.04 | % | 729,219 | 4.92 | % | 698,042 | 4.87 | % | |||||||||||||||
| Tax-exempt | 76,242 | 3.72 | % | 73,683 | 4.56 | % | 61,336 | 4.55 | % | |||||||||||||||
| Total loans receivable | 816,897 | 4.92 | % | 802,902 | 4.88 | % | 759,378 | 4.84 | % | |||||||||||||||
| Total Earning Assets | 1,185,175 | 4.18 | % | 1,183,205 | 4.18 | % | 1,163,381 | 4.11 | % | |||||||||||||||
| Cash | 16,874 | 17,645 | 16,013 | |||||||||||||||||||||
| Unrealized gain/loss on securities | (5,529 | ) | (844 | ) | (958 | ) | ||||||||||||||||||
| Allowance for loan losses | (9,002 | ) | (9,013 | ) | (8,593 | ) | ||||||||||||||||||
| Bank premises and equipment | 15,451 | 15,313 | 15,712 | |||||||||||||||||||||
| Intangible assets | 11,954 | 11,954 | 11,959 | |||||||||||||||||||||
| Other assets | 42,781 | 42,294 | 43,878 | |||||||||||||||||||||
| Total Assets | $ | 1,257,704 | $ | 1,260,554 | $ | 1,241,392 | ||||||||||||||||||
| INTEREST-BEARING LIABILITIES | ||||||||||||||||||||||||
| Interest-bearing deposits: | ||||||||||||||||||||||||
| Interest checking | $ | 212,981 | 0.34 | % | $ | 215,300 | 0.28 | % | $ | 201,120 | 0.16 | % | ||||||||||||
| Money market | 179,923 | 0.21 | % | 188,659 | 0.19 | % | 191,103 | 0.17 | % | |||||||||||||||
| Savings | 149,618 | 0.10 | % | 147,382 | 0.10 | % | 138,805 | 0.10 | % | |||||||||||||||
| Certificates of deposit | 123,974 | 1.00 | % | 119,936 | 0.92 | % | 113,636 | 0.80 | % | |||||||||||||||
| Individual Retirement Accounts | 94,311 | 0.49 | % | 96,148 | 0.46 | % | 99,028 | 0.43 | % | |||||||||||||||
| Other time deposits | 772 | 0.00 | % | 682 | 0.00 | % | 791 | 0.00 | % | |||||||||||||||
| Total interest-bearing deposits | 761,579 | 0.39 | % | 768,107 | 0.35 | % | 744,483 | 0.28 | % | |||||||||||||||
| Borrowed funds: | ||||||||||||||||||||||||
| Short-term | 52,305 | 1.54 | % | 25,669 | 1.28 | % | 41,386 | 0.75 | % | |||||||||||||||
| Long-term | 13,054 | 2.02 | % | 29,480 | 3.35 | % | 38,419 | 3.75 | % | |||||||||||||||
| Total borrowed funds | 65,359 | 1.64 | % | 55,149 | 2.39 | % | 79,805 | 2.20 | % | |||||||||||||||
| Total Interest-bearing Liabilities | 826,938 | 0.49 | % | 823,256 | 0.48 | % | 824,288 | 0.47 | % | |||||||||||||||
| Demand deposits | 235,936 | 237,518 | 222,740 | |||||||||||||||||||||
| Other liabilities | 8,870 | 9,308 | 8,162 | |||||||||||||||||||||
| Total Liabilities | 1,071,744 | 1,070,082 | 1,055,190 | |||||||||||||||||||||
| Stockholders’ equity, excluding accumulated other comprehensive income/loss | 190,129 | 190,878 | 186,689 | |||||||||||||||||||||
| Accumulated other comprehensive loss | (4,169 | ) | (406 | ) | (487 | ) | ||||||||||||||||||
| Total Stockholders’ Equity | 185,960 | 190,472 | 186,202 | |||||||||||||||||||||
| Total Liabilities and Stockholders’ Equity | $ | 1,257,704 | $ | 1,260,554 | $ | 1,241,392 | ||||||||||||||||||
| Interest Rate Spread | 3.69 | % | 3.70 | % | 3.64 | % | ||||||||||||||||||
| Net Interest Income/Earning Assets | 3.84 | % | 3.85 | % | 3.78 | % | ||||||||||||||||||
| Total Deposits (Interest-bearing and Demand) | $ | 997,515 | $ | 1,005,625 | $ | 967,223 | ||||||||||||||||||
| (1) | Annualized rates of return on tax-exempt securities and loans are presented on a fully taxable-equivalent basis, using the Corporation’s marginal federal income tax rate of 21% in 2018 and 35% in 2017. |
| (2) | Nonaccrual loans have been included with loans for the purpose of analyzing net interest earnings. |
| (3) | Rates of return on earning assets and costs of funds are presented on an annualized basis. |
| COMPARISON OF NONINTEREST INCOME | ||||||||||||
| (In Thousands) | Three Months Ended | |||||||||||
| March 31, | Dec. 31, | March 31, | ||||||||||
| 2018 | 2017 | 2017 | ||||||||||
| Trust and financial management revenue | $ | 1,422 | $ | 1,430 | $ | 1,180 | ||||||
| Brokerage revenue | 212 | 246 | 156 | |||||||||
| Insurance commissions, fees and premiums | 44 | 17 | 41 | |||||||||
| Service charges on deposit accounts | 1,204 | 1,160 | 1,101 | |||||||||
| Service charges and fees | 86 | 83 | 80 | |||||||||
| Interchange revenue from debit card transactions | 579 | 572 | 520 | |||||||||
| Net gains from sales of loans | 184 | 167 | 166 | |||||||||
| Loan servicing fees, net | 128 | 82 | 72 | |||||||||
| Increase in cash surrender value of life insurance | 97 | 98 | 90 | |||||||||
| Other noninterest income | 450 | 262 | 458 | |||||||||
| Total noninterest income, before realized gains on available-for-sale securities, net | $ | 4,406 | $ | 4,117 | $ | 3,864 | ||||||
| COMPARISON OF NONINTEREST EXPENSE | ||||||||||||
| (In Thousands) | Three Months Ended | |||||||||||
| March 31, | Dec. 31, | March 31, | ||||||||||
| 2018 | 2017 | 2017 | ||||||||||
| Salaries and wages | $ | 4,124 | $ | 3,981 | $ | 3,868 | ||||||
| Pensions and other employee benefits | 1,610 | 1,484 | 1,524 | |||||||||
| Occupancy expense, net | 637 | 582 | 578 | |||||||||
| Furniture and equipment expense | 271 | 341 | 313 | |||||||||
| Data processing expenses | 641 | 620 | 575 | |||||||||
| Automated teller machine and interchange expense | 322 | 339 | 294 | |||||||||
| Pennsylvania shares tax | 336 | 321 | 336 | |||||||||
| Professional fees | 276 | 206 | 187 | |||||||||
| Directors’ fees | 184 | 172 | 185 | |||||||||
| Other noninterest expense | 1,494 | 1,355 | 1,438 | |||||||||
| Total noninterest expense | $ | 9,895 | $ | 9,401 | $ | 9,298 | ||||||