Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2018 | Nov. 01, 2018 | |
Document Documentand Entity Information [Abstract] | ||
Entity Registrant Name | COMMUNITY FINANCIAL CORP /MD/ | |
Entity Central Index Key | 855,874 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Trading Symbol | tcfc | |
Entity Common Stock Shares Outstanding | 5,577,666 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,018 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Assets | ||
Cash and due from banks | $ 26,718 | $ 13,315 |
Federal funds sold | 36,099 | |
Interest-bearing deposits with banks | 8,778 | 2,102 |
Securities available for sale (AFS), at fair value | 107,962 | 68,164 |
Securities held to maturity (HTM), at amortized cost | 97,217 | 99,246 |
Equity securities carried at fair value through income | 4,359 | |
Non-marketable equity securities held in other financial institutions | 249 | 121 |
Federal Home Loan Bank (FHLB) stock - at cost | 2,547 | 7,276 |
Loans receivable | 1,308,654 | 1,151,130 |
Less: allowance for loan losses | (10,739) | (10,515) |
Net loans | 1,297,915 | 1,140,615 |
Goodwill | 10,708 | |
Premises and equipment, net | 22,433 | 21,391 |
Other real estate owned (OREO) | 8,207 | 9,341 |
Accrued interest receivable | 5,032 | 4,511 |
Investment in bank owned life insurance | 36,071 | 29,398 |
Core deposit intangible | 2,993 | |
Net deferred tax assets | 6,999 | 5,922 |
Other assets | 2,122 | 4,559 |
Total assets | 1,676,409 | 1,405,961 |
Liabilities and Stockholders' Equity | ||
Non-interest-bearing deposits | 217,151 | 159,844 |
Interest-bearing deposits | 1,235,220 | 946,393 |
Total deposits | 1,452,371 | 1,106,237 |
Short-term borrowings | 5,000 | 87,500 |
Long-term debt | 20,451 | 55,498 |
Guaranteed preferred beneficial interest in junior subordinated debentures (TRUPs) | 12,000 | 12,000 |
Subordinated notes - 6.25% | 23,000 | 23,000 |
Accrued expenses and other liabilities | 13,439 | 11,769 |
Total liabilities | 1,526,261 | 1,296,004 |
Stockholders' Equity | ||
Common stock - par value $.01; authorized - 15,000,000 shares; issued 5,575,024 and 4,649,658 shares, respectively | 56 | 46 |
Additional paid in capital | 84,246 | 48,209 |
Retained earnings | 69,295 | 63,648 |
Accumulated other comprehensive loss | (2,633) | (1,191) |
Unearned ESOP shares | (816) | (755) |
Total stockholders' equity | 150,148 | 109,957 |
Total liabilities and stockholders' equity | $ 1,676,409 | $ 1,405,961 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized | 15,000,000 | 15,000,000 |
Common stock, issued | 5,575,024 | 4,649,658 |
Subordinated Debt [Member] | ||
Subordinated notes interest rate | 6.25% | 6.25% |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Interest and Dividend Income | ||||
Loans, including fees | $ 15,085 | $ 12,671 | $ 44,294 | $ 37,051 |
Interest and dividends on investment securities | 1,311 | 988 | 3,617 | 2,907 |
Interest on deposits with banks | 88 | 21 | 220 | 39 |
Total interest and dividend income | 16,484 | 13,680 | 48,131 | 39,997 |
Interest Expense | ||||
Deposits | 2,835 | 1,563 | 7,196 | 4,234 |
Short-term borrowings | 142 | 304 | 642 | 734 |
Long-term debt | 746 | 805 | 2,231 | 2,414 |
Total interest expense | 3,723 | 2,672 | 10,069 | 7,382 |
Net interest income | 12,761 | 11,008 | 38,062 | 32,615 |
Provision for loan losses | 40 | 224 | 940 | 980 |
Net interest income after provision for loan losses | 12,721 | 10,784 | 37,122 | 31,635 |
Noninterest Income | ||||
Loan appraisal, credit, and miscellaneous charges | 81 | 28 | 141 | 84 |
Gain on sale of asset | 1 | 47 | ||
Net gain on sale of investment securities | 133 | |||
Unrealized loss on equity securities | (8) | (86) | ||
Income from bank owned life insurance | 227 | 196 | 677 | 581 |
Service charges | 770 | 639 | 2,269 | 1,909 |
Gain on sale of loans held for sale | 294 | 294 | ||
Total noninterest income | 1,070 | 1,157 | 3,002 | 3,048 |
Noninterest Expense | ||||
Salary and employee benefits | 4,739 | 4,056 | 14,915 | 12,567 |
Occupancy expense | 744 | 630 | 2,249 | 1,941 |
Advertising | 165 | 156 | 504 | 404 |
Data processing expense | 769 | 555 | 2,234 | 1,766 |
Professional fees | 442 | 510 | 1,220 | 1,190 |
Merger and acquisition costs | 11 | 239 | 3,620 | 494 |
Depreciation of premises and equipment | 207 | 191 | 608 | 594 |
Telephone communications | 62 | 46 | 230 | 142 |
Office supplies | 31 | 26 | 112 | 86 |
FDIC insurance | 185 | 178 | 496 | 505 |
OREO valuation allowance and expenses | 165 | 283 | 516 | 587 |
Core deposit intangible amortization | 193 | 597 | ||
Other | 779 | 572 | 2,607 | 2,039 |
Total noninterest expense | 8,492 | 7,442 | 29,908 | 22,315 |
Income before income taxes | 5,299 | 4,499 | 10,216 | 12,368 |
Income tax expense | 1,441 | 1,717 | 2,802 | 4,701 |
Net income | $ 3,858 | $ 2,782 | $ 7,414 | $ 7,667 |
Earnings Per Common Share | ||||
Basic (in dollars per share) | $ 0.70 | $ 0.60 | $ 1.34 | $ 1.66 |
Diluted (in dollars per share) | 0.70 | 0.60 | 1.34 | 1.65 |
Cash dividends paid per common share (in dollars per share) | $ 0.10 | $ 0.10 | $ 0.30 | $ 0.30 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 3,858 | $ 2,782 | $ 7,414 | $ 7,667 |
Net unrealized holding (losses) gains arising during period, net of tax (benefit) expense of $(171) and $(32), and $(547) and $257, respectively. | (451) | (49) | (1,442) | 396 |
Reclassification adjustment for gains included in net income, net of tax benefit of $- and $- and $- and $(3), respectively. | (6) | |||
Comprehensive income | $ 3,407 | $ 2,733 | $ 5,972 | $ 8,057 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Income Statement [Abstract] | ||||
Net unrealized holding gains (losses) arising during period, tax effect | $ (171) | $ (32) | $ (547) | $ 257 |
Reclassification adjustments, tax effect | $ (3) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Cash Flows from Operating Activities | |||||
Net income | $ 3,858 | $ 2,782 | $ 7,414 | $ 7,667 | |
Adjustments to reconcile net income to net cash provided by operating activities | |||||
Provision for loan losses | 940 | 980 | |||
Depreciation and amortization | 1,256 | 1,201 | |||
Loans originated for resale | (2,529) | ||||
Proceeds from sale of loans originated for sale | 2,823 | ||||
Gain on sale of loans held for sale | (294) | ||||
Net loss (gains) on the sale of OREO | 8 | (36) | |||
Gain on sales of investment securities | (133) | ||||
Unrealized loss on equity securities | 8 | 86 | |||
Gain on sale of asset | (1) | (47) | |||
Net amortization of premium/discount on investment securities | 217 | 332 | |||
Net accretion of merger accounting adjustments | (642) | ||||
Amortization of core deposit intangible | 193 | 597 | |||
Increase in OREO valuation allowance | 425 | 576 | |||
Increase in cash surrender of bank owned life insurance | (673) | (581) | |||
Decrease (increase) in deferred income tax benefit | 110 | (805) | |||
Increase in accrued interest receivable | (104) | (515) | |||
Stock based compensation | 349 | 399 | |||
Compensation expense due to excess of fair market value over cost of leveraged ESOP shares released | 29 | ||||
Increase (decrease) in net deferred loan costs | 169 | (636) | |||
Increase (decrease) in accrued expenses and other liabilities | 117 | (175) | |||
Decrease in other assets | 2,779 | 1,198 | |||
Net cash provided by operating activities | 13,076 | 9,425 | |||
Cash Flows from Investing Activities | |||||
Purchase of AFS investment securities | (52,669) | (16,831) | |||
Proceeds from redemption or principal payments of AFS investment securities | 6,341 | 5,330 | |||
Purchase of HTM investment securities | (9,360) | (13,135) | |||
Proceeds from maturities or principal payments of HTM investment securities | 14,316 | 14,185 | |||
Proceeds from sale of HTM investment securities | 3,569 | ||||
Proceeds from sale of AFS investment securities | 34,919 | 3,702 | |||
Net decrease (increase) of FHLB and FRB stock | 4,933 | (211) | |||
Loans originated or acquired | (238,696) | (247,726) | |||
Principal collected on loans | 221,393 | 187,475 | |||
Purchase of premises and equipment | (866) | (742) | |||
Proceeds from sale of OREO | 982 | 903 | |||
Acquisition net cash acquired | 32,450 | ||||
Proceeds from disposal of asset | 1,748 | 387 | |||
Net cash provided by (used in) investing activities | 15,491 | (63,094) | |||
Cash Flows from Financing Activities | |||||
Net increase in deposits | 146,910 | 59,176 | |||
Proceeds from long-term debt | 20,000 | 10,000 | |||
Payments of long-term debt | (55,048) | (20,045) | |||
Net (decrease) increase in short term borrowings | (82,500) | 12,500 | |||
Exercise of stock options | 155 | ||||
Dividends paid | (1,623) | (1,353) | |||
Net change in unearned ESOP shares | (61) | (823) | |||
Repurchase of common stock | (67) | ||||
Net cash provided by financing activities | 27,611 | 59,610 | |||
Increase in Cash and Cash Equivalents | 56,178 | 5,941 | |||
Cash and cash equivalents - January 1 | 15,417 | 11,263 | $ 11,263 | ||
Cash and cash equivalents - September 30 | $ 71,595 | $ 17,204 | 71,595 | 17,204 | $ 15,417 |
Supplemental Disclosures of Cash Flow Information | |||||
Interest | 10,491 | 7,631 | |||
Income taxes | 2,549 | 5,085 | |||
Supplemental Schedule of Non-Cash Operating Activities | |||||
Issuance of common stock for payment of compensation | 321 | 203 | |||
Transfer from loans to OREO | 282 | 3,622 | |||
Financed amount of sale of OREO | $ 200 | ||||
Noncash Investing and Financing Items [Abstract] | |||||
Assets acquired in business combination (net of cash received) | 192,259 | ||||
Liabilities assumed in business combination | $ 200,660 |
Basis of Presentation and Natur
Basis of Presentation and Nature of Business | 9 Months Ended |
Sep. 30, 2018 | |
Basis of Presentation and Nature of Business [Abstract] | |
Basis of Presentation and Nature of Business | NOTE 1 – BASIS OF PRESENTATION AND NATURE OF BUSINESS Basis of Presentation The consolidated financial statements of The Community Financial Corporation (the “Company”) and its wholly owned subsidiary, Community Bank of the Chesapeake (the “Bank”), and the Bank’s wholly owned subsidiary, Community Mortgage Corporation of Tri-County, included herein are unaudited. The consolidated financial statements reflect all adjustments consisting only of normal recurring accruals that, in the opinion of management, are necessary to present fairly the Company’s financial condition, results of operations, and cash flows for the periods presented. Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission. The Company believes that the disclosures are adequate to make the information presented not misleading. The balances as of December 31, 2017 have been derived from audited financial statements. There have been two additions to the Company’s accounting policies as disclosed in the 2017 Annual Report as well as the adoption of new accounting standards section included in Note 1. The results of operations for the three and nine months ended September 30, 2018 are not necessarily indicative of the results of operations to be expected for the remainder of the year or any other period. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s 2017 Annual Report on Form 10-K. Nature of Business The Company provides a variety of financial services to individuals and businesses through its offices in Southern Maryland and Annapolis and Fredericksburg, Virginia. Its primary deposit products are demand, savings and time deposits, and its primary lending products are commercial and residential mortgage loans, commercial loans, construction and land development loans, home equity and second mortgages and commercial equipment loans. The Company’s branches are located at its main office in Waldorf, Maryland, and branch offices in Waldorf, Bryans Road, Dunkirk, Leonardtown, La Plata, Charlotte Hall, Prince Frederick, Lusby, California, Maryland; and Fredericksburg, Virginia. The Company maintains five loan production offices (“LPOs”) in Annapolis, La Plata, Prince Frederick and Leonardtown, Maryland; and Fredericksburg, Virginia. The Leonardtown LPO is co-located with the branch. The Company closed its Central Park Fredericksburg branch during the third quarter of 2017. This location continues to serve as a loan production office and the branch closure did not have a material effect on operations. The Company offered branch employees open positions. On January 1, 2018, t he Company completed the acquisition of County First Bank (“County First”) after r egulatory approval and County First shareholder approvals were obtained. The Company’s asset s increased to $1.6 billion during the first quarter of 2018. See Note 2 – Business Combination and Goodwill for additional information. T he Company close d four of the five acquired County First branches in May of 2018 with the La Plata downtown branch remaining open . As of September 30 , 2018, all three held for sale County First branch buildings have been sold. The remaining County First branch building’s lease expires in the fourth quarter of 2018. Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amount of income and expenses during the reporting periods. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, real estate acquired in the settlement of loans, fair value of financial instruments, fair value of assets acquired and liabilities assumed in a business combination, evaluating other-than-temporary-impairment of investment securities and valuation of deferred tax assets. Reclassifications Certain amounts, previously reported, have been reclassified to state all periods on a comparable basis and had no effect on stockholders’ equity or net income. Subsequent Events Subsequent events are events or transactions that occur after the balance sheet date but before financial statements are issued. Recognized subsequent events are events or transactions that provide additional evidence about conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements. Non-recognized subsequent events are events that provide evidence about conditions that did not exist at the date of the balance sheet but arose after that date. Management performed an evaluation events and transactions since the balance sheet date and determined that no subsequent events occurred that require accrual or disclosure. New Accounting Policy See Note 1 – Summary of Significant Accounting Policies included in the Company’s 2017 Annual Report on Form 10-K for a list of policies in effect as of December 31, 2017. The below summary is intended to provide updates or new policies required as a result of a new accounting standard or a change to the Company’s operations or assets that require a new or amended policy. Intangible Assets Intangible assets consist of goodwill, core deposit intangible assets and other identifiable assets that result from business combinations. Goodwill and core deposit intangible assets are related to the acquisition of County First Bank on January 1, 2018. Goodwill represents the excess of the fair value of the consideration transferred over the fair value of the net assets acquired and liabilities assumed. Goodwill will be tested annually for impairment, during the fourth quarter or on an interim basis if circumstances dictate. If impairment exists, the amount of impairment would result in a charge to expense. Core deposit intangible assets represent the future earnings potential of acquired deposit relationships that are amortized over their estimated remaining useful lives. Business Combinations The Company accounts for business combinations under the acquisition method of accounting which requires purchased assets and liabilities assumed to be recorded at their respective fair values. In many cases, the fair values of assets acquired and liabilities assumed were determined by estimating the cash flows expected to result from those assets and liabilities and discounting them at appropriate market rates. The Company determines the fair values of loans, core deposit intangible, and deposits with the assistance of a third-party vendor. Loans acquired in business combinations are recorded in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 805, “Business Combinations.” Accordingly, acquired loans are segregated between purchase credit impaired (“PCI”) loans (ASC 310-30) and Non-PCI loans (ASC-310-20) and are recorded at fair value without the carryover of the related allowance for loan losses. The excess of expected cash flows above the fair value of the majority of loans will be accreted to interest income over the remaining lives of the loans in accordance with FASB ASC 310-20. The estimated fair values are subject to refinement as additional information relative to the closing date fair values becomes available through the measurement period. While additional significant changes to the closing date fair values are not expected, any information relative to the changes in these fair values will be evaluated to determine if such changes are due to events and circumstances that existed as of the acquisition date. During the measurement period, any such changes will be recorded as part of the closing date fair value. Purchase Credit Impaired “PCI” Loans Loans purchased with evidence of credit deterioration since origination and for which it is probable that all contractually required payments will not be collected are considered credit impaired. Evidence of credit quality deterioration as of the purchase date may include statistics such as internal risk grade, past due and nonaccrual status, recent borrower credit scores and recent loan-to-value (“LTV”) percentages. Purchased credit-impaired (“PCI”) loans are initially measured at fair value, which includes estimated future credit losses expected to be incurred over the life of the loan. We estimate the cash flows expected to be collected at acquisition using specific credit review of certain loans, quantitative credit risk, interest rate risk and prepayment risk models, and qualitative economic and environmental assessments, each of which incorporate our best estimate of current key relevant factors, such as property values, default rates, loss severity and prepayment speeds. Under the accounting guidance for PCI loans, the excess of the total cash flows expected to be collected over the estimated fair value is referred to as the accretable yield and is recognized in interest income over the remaining life of the loan, or pool of loans, in situations where there is a reasonable expectation about the timing and amount of cash flows to be collected. The difference between the contractually required payments and the cash flows expected to be collected at acquisition, considering the impact of prepayments, is referred to as the nonaccretable difference and is available to absorb future charge-offs. In addition, subsequent to acquisition, we periodically evaluate our estimate of cash flows expected to be collected. These evaluations require the continued usage of key assumptions and estimates, similar to the initial estimate of fair value. Estimates of cash flows for PCI loans require significant judgment given the impact of property value changes, changing loss severities, prepayment speeds and other relevant factors. Decreases in the expected cash flows will generally result in a charge to the provision for loan losses resulting in an increase to the allowance for loan losses. Significant increases in the expected cash flows will generally result in an increase in interest income over the remaining life of the loan, or pool of loans. Disposals of loans, which may include sales of loans to third parties, receipt of payments in full or part from the borrower or foreclosure of the collateral, result in removal of the loan from the PCI loan portfolio at its carrying amount. At September 30 , 2018, PCI loans represent loans acquired from County First, that were deemed credit impaired at the time of acquisition. PCI loans that had been classified as nonperforming loans by County First are no longer classified as nonperforming so long as, at acquisition and quarterly re-estimation periods, we believe we will fully collect the new carrying value of these loans. It is important to note that judgment regarding the timing and amount of cash flows to be collected is required to classify PCI loans as performing, even if the loan is contractually past due. Revenue from Contracts with Customers The Company records revenue from contracts with customers in accordance with Accounting Standards Codification (“ASC”) Topic 606, “Revenue from Contracts with Customers . ” On January 1, 2018, the Company adopted Accounting Standards Update (“ASU”) 2014-09 and all subsequent ASUs that modified ASU 2014-09, which have been codified in ASC Topic 606, Under Topic 606, the Company must identify the contract with a customer, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to the performance obligations in the contract, and recognize revenue when (or as) the Company satisfies a performance obligation. Significant revenue has not been recognized in the current reporting period that results from performance obligations satisfied in previous periods. The Company’s primary sources of revenue are derived from interest and dividends earned on loans, investment securities, and other financial instruments that are not within the scope of Topic 606. The Company evaluated the nature of its contracts with customers and determined that further disaggregation of revenue from contracts with customers into more granular categories beyond what is presented in the Consolidated Statements of Income was not necessary. The Company generally fully satisfies its performance obligations on its contracts with customers as services are rendered and the transaction prices are typically fixed; charged either on a periodic basis or based on activity. Adoption of the amendments to the revenue recognition principles, did not materially change our accounting policies. The following is a discussion of revenues within the scope of the new guidance: · Service fees on deposit accounts - The Company earns fees from its deposit clients for various transaction-based activities, account maintenance, and overdraft or non-sufficient funds (“NSF”). Transaction based fees, which include services such as stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed as that is the point in time the Company fulfills the client's request. Account maintenance fees, which relate primarily to monthly maintenance and account management, are earned over the course of a month, representing the period over which the Company satisfies the performance obligation. Overdraft and NSF fees are recognized at the point in time that the overdraft occurs or the NSF item is presented. Service charges on deposits are withdrawn from the client's account balance. · ATM and debit card income - The Company earns interchange fees from debit cardholder transactions conducted through the payment networks. Interchange fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized daily, concurrently with the transaction processing services provided to the cardholder. · Revenues from the sale of Other Real Estate Owned - ASC Topic 606 require s recognition of estimated income from the sale of OREO property that is under contract at the balance sheet date. At September 30, 2018 there were no contracts for the sale of OREO property. The Company’s revenue recognition pattern for revenue streams within the scope of ASU Topic 606 did not change significantly from previous practice and was immaterial to the Company’s financial statements for the three and nine months ended September 30 , 201 8 . Accounting Standards New Accounting Standards - Issued and Effective ASU 2014-09 – Revenue from Contracts with Customers (Topic 606) . T he FASB issued A SU 2014-09 in May 2014 . The core principle of the amendments in this update is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to receive in exchange for those goods and services. The ASU replaces most existing revenue recognition guidance in GAAP. The new standard was effective for the Company on January 1, 2018. Adoption of ASU 2014-09 did not have a material impact on the Company ’ s consolidated financial statements and related disclosures as the Company ’ s primary sources of revenues are derived from interest and dividends earned on loans, investment securities, and other financial instruments that are not within the scope of ASU 2014-09. The Company ’ s revenue recognition pattern for revenue streams within the scope of ASU 2014-09, including but not limited to service charges on deposit accounts and gains or losses on the sale of other real estate owned, did not change significantly from current practice. The standard permits the use of either the full retrospective or modified retrospective transition method. T he Company elected to use the modified retrospective transition method . Since there was no net income impact upon adoption of the new guidance, a cumulative effect adjustment to opening retained earnings was not necessary. Consistent with the modified retrospective approach, the Company did not adjust prior period amounts. ASU 2016-01 - Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities . ASU 2016- 0 1, among other things, (i) requires equity investments, with certain exceptions, to be measured at fair value with changes in fair value recognized in net income, (ii) simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment, (iii) eliminates the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet, (iv) requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes, (v) requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments, (vi) requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheet or the accompanying notes to the financial statements and (viii) clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities . With the assistance of an expert, M anagement developed a process to adequately document its review and analysis of “exit pricing” for the fair values of loans, deposits and other financial instruments. ASU 2016- 0 1 w as effective on January 1, 2018 and did not have a significant impact on the Company’s consolidated financial statements. See Notes 13 and 14 for further information regarding the valuations. ASU 2018-02 “ Income Statement - Reporting Comprehensive Income ” ( Topic 220) . ASU 2018-02. On December 22, 2017, the Tax Cuts and Job Act (Tax Act) was signed into law. Under current U.S. GAAP, deferred tax assets and liabilities are to be adjusted for the effect of a change in tax laws or rates with the effect included in income from continuing operations in the reporting period that includes the enactment date. This accounting treatment resulted in the tax effect of items within accumulated other comprehensive income (loss) not reflecting the appropriate tax rate. This ASU allows stranded tax effects resulting from the Tax Act to be reclassified from accumulated other comprehensive income (loss) to retained earnings. The Company early adopted this guidance during the quarter ended December 31, 2017, resulting in a reclassification of $196,000 from accumulated other comprehensive loss to retained earnings to adjust the tax effect of items within accumulated other comprehensive loss to reflect the newly enacted federal corporate income tax rate. ASU 2016-15 - Statement of Cash Flows (Topic 230) – “ Classification of Certain Cash Receipts and Cash Payments .” ASU 2016-15 is intended to reduce diversity in practice in how eight particular transactions are classified in the statement of cash flows. ASU 2016-15 is effective for interim and annual reporting periods beginning after December 15, 2017. Entities are required to apply the guidance retrospectively. If it is impracticable to apply the guidance retrospectively for an issue, the amendments related to that issue will be applied prospectively. As this guidance only affects the classification within the statement of cash flows, ASU 2016-15 did not have a material impact on the Company's c onsolidated f inancial s tatements . There were no material reclassifications to the Company’s cash flow statement for the none months ended September 30, 2018 and 2017, respectively. ASU 2016-16, “Income Taxes (Topic 740) - Intra-Entity Transfers of Assets Other Than Inventory.” ASU 2016-16 provides guidance stating that an entity should recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. ASU 2016-16 w as effective for us on January 1, 2018 and did not have a significant impact on the Company’s financial statements. ASU 2016-18, “Statement of Cash Flows (Topic 230) - Restricted Cash.” ASU 2016-18 requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. ASU 2016-18 w as e f f ective for us on January 1, 2018 and did not have a significant impact on the Company’s financial statements. ASU 2017-01, “Business Combinations (Topic 805) - Clarifying the Definition of a Business.” ASU 2017-01 clarifies the definition and provides a more robust framework to use in determining when a set of assets and activities constitutes a business. ASU 2017-01 is intended to provide guidance when evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. ASU 2017-01 w as effective for us on January 1, 2018 and did not have a significant imp act on the Company’s financial statements as the transaction to acquire County First was already clearly within the scope of ASC 805, “Business Combinations.” ASU 2017-05, “Other Income - Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20) - Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets.” ASU 2017-05 clarifies the scope of Subtopic 610-20 and adds guidance for partial sales of nonfinancial assets, including partial sales of real estate. Historically, U.S. GAAP contained several different accounting models to evaluate whether the transfer of certain assets qualified for sale treatment. ASU 2017-05 reduces the number of potential accounting models that might apply and clarifies which model does apply in various circumstances. ASU 2017-05 was effective for us on January 1, 2018 and did not have a significant impact on the Company’s financial statements. ASU 2017-09, “Compensation - Stock Compensation (Topic 718) - Scope of Modification Accounting.” ASU 2017-09 clarifies when changes to the terms or conditions of a share-based payment award must be accounted for as modifications. Under ASU 2017-09, an entity will not apply modification accounting to a share-based payment award if all of the following are the same immediately before and after the change: (i) the award's fair value, (ii) the award ’s vesting conditions and (iii) the award's classification as an equity or liability instrument. ASU 2017-09 was effective for us on January 1, 2018 and did not have a significant impact on the Company’s financial statements. New Accounting Standards - Issued, But Not Yet Effective ASU 2016-02 - Leases (Topic 842 ). In February 2016, the FASB amended existing guidance that requires lessees recognize the following for all leases (with the exception of short term leases) at the commencement date (1) a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and (2) a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Leases will be classified as either finance or operating with classification affecting the pattern of expense recognition in the income statement. Under the new guidance, lessor accounting is largely unchanged. Certain targeted improvements were made to align, where necessary, lessor accounting with the lessee accounting model and Topic 606, Revenue from Contracts with Customers. This ASU was subsequently amended by ASU 2018-11, Targeted Improvements, which provides entities with an additional transition method when adopting the new lease standard. Lessees (for capital and operating leases) and lessors (for sales-type, direct financing, and operating leases) must apply a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The modified retrospective approach would not require any transition accounting for leases that expired before the earliest comparative period presented. Lessees and lessors may not apply a full retrospective transition approach. The Company is currently evaluating the impact of this new accounting standard on the consolidated financial statements. Based on leases outstanding at September 30, 2018 , the Company does not expect the updates to have a material impact on the income statement but does anticipate an increase in assets and liabilities. The Company will continue to evaluate the potential impact of ASU 2016-02 during 2018. This new standard will be effective for the Company beginning January 1, 2019. ASU 2016-13 - Financial Instruments - Credit Losses (Topic 326) - Measurement of Credit Losses on Financial Instruments. ASU No. 2016-13 significantly changes how entities will measure credit losses for most financial assets and certain other instruments that aren’t measured at fair value through net income. The standard will replace today’s “incurred loss” approach with an “expected loss” model. The new model, referred to as the current expected credit loss (“CECL”) model, will apply to: (1) financial assets subject to credit losses and measured at amortized cost, and (2) certain off-balance sheet credit exposures. This includes, but is not limited to, loans, leases, held-to-maturity securities, loan commitments, and financial guarantees. The CECL model does not apply to available-for-sale (“AFS”) debt securities. As a result, entities will recognize improvements to estimated credit losses immediately in earnings rather than as interest income over time, as they do today. The ASU also simplifies the accounting model for PCI debt securities and loans. ASU 2016-13 also expands the disclosure requirements regarding an entity’s assumptions, models, and methods for estimating the allowance for loan and lease losses. In addition, entities will need to disclose the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by the year of origination. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (i.e., modified retrospective approach). The Company has formed a CECL committee with representation from various departments. The committee is working with consultants who will assist us in developing a model that will comply with CECL requirements. The committee is continuing to evaluate the provisions of ASU 2016-13 to determine the potential impact the new standard will have on the Company’ Consolidated Financial Statements. W e expect to recognize a one-time cumulative effect adjustment to the allowance for loan losses as of the beginning of the first reporting period in which the new standard is effective. ASU No. 2016-13 is effective for interim and annual reporting periods beginning after December 15, 2019, early adoption is permitted for interim and annual reporting periods beginning after December 15, 2018. This new standard will be effective for us beginning January 1, 2020. ASU 2017-04, Intangibles - Goodwill and Other (Topic 350) - Simplifying the Test for Goodwill Impairment. ASU 2017-04 eliminates Step 2 from the goodwill impairment test which required entities to compute the implied fair value of goodwill. Under ASU 2017-04, an entity should perform an annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. ASU 2017-04 will be effective for us on January 1, 2020, with earlier adoption permitted and is not expected to have a significant impact on the Company’s financial statements. ASU 2017-08, Receivables - Nonrefundable Fees and Other Costs (Subtopic 310-20) - Premium Amortization on Purchased Callable Debt Securities. ASU 2017-08 shortens the amortization period for certain callable debt securities held at a premium to require such premiums to be amortized to the earliest call date unless applicable guidance related to certain pools of securities is applied to consider estimated prepayments. Under prior guidance, entities were generally required to amortize premiums on individual, non-pooled callable debt securities as a yield adjustment over the contractual life of the security. ASU 2017-08 does not change the accounting for callable debt securities held at a discount. ASU 2017-08 will be effective for us on January 1, 2019, with early adoption permitted. We are currently evaluating the potential impact of ASU 2017-08 on the Company’s financial statements. ASU 2017-12, Derivatives and Hedging (Topic 815) - Targeted Improvements to Accounting for Hedging Activities. ASU 2017-12 amends the hedge accounting recognition and presentation requirements in ASC 815 to improve the transparency and understandability of information conveyed to financial statement users about an entity’s risk management activities to better align the entity’s financial reporting for hedging relationships with those risk management activities and to reduce the complexity of and simplify the application of hedge accounting. ASU 2017-12 will be effective for us on January 1, 2019 and is not expected to have a significant impact on the Company’s financial statements. ASU 2018-07, Compensation-Stock Compensation (Topic 718). The ASU expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. The ASU is effective for public companies for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. The Co mpany is in the process of evaluating the impact of this standard but does not expect this standard to have a material impact on its results of operations, financial position and liquidity. ASU 2018-11, Leases - Targeted Improvements . This ASU provide entities with relief from the costs of implementing certain aspects of the new leasing standard, ASU No. 2016-02. Specifically, under the amendments in ASU 2018-11: (1) entities may elect not to recast the comparative periods presented when transitioning to the new leasing standard, and (2) lessors may elect not to separate lease and non-lease components when certain conditions are met. The amendments have the same effective date as ASU 2016-02 (January 1, 2019 for the Company). The Company expects to elect both transition options. ASU 2018-11 is not expected to have a material impact on the Company’s c onsolidated f inancial s tatements. ASU 2018-13 , Disclosure Framework - Changes to the Disclosure Requirem ents for Fair Value Measurement. In August 2018, the FASB issued ASU No. 2018-13 . This ASU eliminates, adds and modifies certain disclosure requirements for fair value measurements. Among the changes, entities will no longer be required to disclose the amount of and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy but will be required to disclose the range and weighted average used to develop signific |
Business Combination and Goodwi
Business Combination and Goodwill | 9 Months Ended |
Sep. 30, 2018 | |
Business Combinations [Abstract] | |
Business Combination and Goodwill | NOTE 2 – BUSINESS COMBINATION AND GOODWILL Business Combinations Generally, acquisitions are accounted for under the acquisition method of accounting in accordance with Accounting Standards Codification (“ASC”) 805, “Business Combinations . ” Both the purchased assets and liabilities assumed are recorded at their respective acquisition date fair values. Determining the fair value of assets and liabilities, especially the loan portfolio, is a complicated process involving significant judgment regarding methods and assumptions used to calculate estimated fair values. Fair values are preliminary and subject to refinement for up to one year after the closing date of the acquisition as additional information regarding fair values becomes available. County First Bank On January 1, 2018, the Company completed its previously announced merger of County First with and into the Bank, with the Bank as the surviving bank (the “Merger”) pursuant to the Agreement and Plan of Merger, dated as of July 31, 2017, by and among the Company, the Bank and County First (the “Merger Agreement”) . Pursuant to the Merger Agreement, at the effective time of the Merger (the “Effective Time”), each share of common stock, par value $1.00 per share, of County First issued and outstanding immediately prior to the Effective Time was converted into the right to receive 0.9543 shares of Company common stock and $2.20 in cash (the “Merger Consideration”). The $2.20 in cash represents the sum of (a) $1.00 in cash consideration (the “Cash Consideration”) plus (b) $1.20 in Contingent Cash Consideration that was determined before the completion of the Merger in accordance with the terms of the Merger Agreement. The aggregate merger consideration consisted of 918,526 shares of the Company’s common stock and $2.1 million in cash. Based upon the $38.78 per share price of the Company’s common stock, the transaction value was $37.7 million. County First had five branch offices in La Plata, Waldorf, New Market, Prince Frederick and California, Maryland. The Bank kept the La Plata branch open and consolidated the remaining four branches with legacy Community Bank of the Chesapeake branch offices in May of 2018. The assets acquired and liabilities assumed from County First were recorded at their fair value s as of the closing date of the merger. Goodwill of $10.3 million was recorded at the time of the acquisition. R efinements to the fair value adjustments for premises and equipment and deferred taxes, resulted in aggregate goodwill of $10. 7 million at September 30, 2018 an increase of $431,000 from the goodwill estimated at the time of acquisition. The following table summarizes the consideration paid by the Company in the merger with County First and the amounts of the assets acquired and liabilities assumed recognized at the acquisition date: (dollars in thousands) As Recorded by County First Fair Value and Other Merger Related Adjustments As Recorded by the Company Consideration Paid Cash $ 2,122 Common shares issued 35,620 Fair Value of Total Consideration Transferred $ 37,742 Recognized amounts of identifiable assets acquired and liabilities assumed Cash and cash equivalents $ 34,409 $ - $ 34,409 Securities 38,861 (619) 38,242 Loans, net of allowance 142,404 (1,654) 140,750 Premises and equipment 2,980 181 3,161 Core deposit intangibles - 3,590 3,590 Interest receivable 513 (12) 501 Bank owned life insurance 6,275 - 6,275 Deferred tax asset 639 (339) 300 Other assets 586 - 586 Total assets acquired $ 226,667 $ 1,147 $ 227,814 Deposits $ 199,210 $ 18 $ 199,228 Other liabilities 1,449 103 1,552 Total liabilities assumed $ 200,659 $ 121 $ 200,780 Net identifiable assets acquired $ 26,008 $ 1,026 $ 27,034 Goodwill resulting from acquisition $ 10,708 The following table presents certain pro forma information as if County First had been acquired on January 1, 2017. These results combine the historical results of County First in the Company’s consolidated statement of income and, while certain adjustments were made for the estimated impact of certain fair value adjustments and other acquisition-related activity, they are not indicative of what would have occurred had the acquisition taken place on January 1, 2017. Merger and acquisition costs of $741,000 and $3.6 million (pre-tax) are included in the Company’s consolidated statements of income for the three and nine months ended September 30, 2018. The Company has not segregated County First earnings after the acquisition date as the bank’s operations have been merged into Community Bank of the Chesapeake and it would be impractical to do so. There are no assumptions about what merger related costs would have been in the proforma information below, only actual expenses are included in net income. Furthermore, additional expenses related to systems conversions and other costs of integration are expected to be recorded during 2018. Additionally, the Company expects to achieve further operating cost savings and other business synergies as a result of the acquisition which are not reflected in the pro forma amounts below: Proforma Results for the Nine Months Ended September 30, 2017 (dollars in thousands, except per share amounts) The Community Financial Corporation Actual County First Actual Proforma September 30, 2017 Actual Results Nine Months Ended September 30, 2018 Total revenues (net interest income plus noninterest income) $ 35,698 $ 6,561 $ 42,259 $ 41,056 Net income 7,667 1,009 8,676 7,414 Basic earnings per common share $ 1.66 $ 1.10 $ 1.56 $ 1.34 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2018 | |
Income Taxes [Abstract] | |
Income Taxes | NOTE 3 – INCOME TAXES The Company files a consolidated federal income tax return with its subsidiaries. Deferred tax assets and liabilities are determined using the liability (or balance sheet) method. Under this method, the net deferred tax asset or liability is determined based on the tax effects of the temporary differences between the book and tax bases of the various balance sheet assets and liabilities and gives current recognition to changes in tax rates and laws and when it is considered more likely than not that deferred tax assets will be realized. It is the Company’s policy to recognize accrued interest and penalties related to unrecognized tax benefits as a component of tax expense. The Three Months Ended The Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Current income tax expense $ 1,606 $ 1,906 $ 3,065 $ 5,472 Deferred income tax expense (benefit) (165) (189) (263) (771) Income tax expense as reported $ 1,441 $ 1,717 $ 2,802 $ 4,701 Effective tax rate 27.2% 38.2% 27.4% 38.0% Net deferred tax assets totaled $7.0 million at September 30 , 2018 and $5.9 million at December 31, 2017. No valuation allowance for deferred tax assets was recorded at September 30 , 2018 as management believes it is more likely than not that deferred tax assets will be realized against deferred tax liabilities and projected future taxable income. The effective income tax rates differed from the statutory federal and state income tax rates d uring 2018 and 2017 , respectively, primarily due to the effect of merger related expenses, tax-exempt loans, life insurance policies , the income tax effects associated with stock-based compensation and certain non-deductible expenses for state income taxes. The Tax Cuts and Jobs Act was enacted on December 22, 2017, as more fully discussed in the 2017 Form 10-K. Among other things, the new law established a new, flat corporate federal statutory income tax rate of 21% . As a result of the new law, the Company recognized a provisional net tax expense of $2.7 million in the fourth quarter of 2017. We will continue to analyze certain aspects of the new law and refine our calculations based on this analysis and future tax positions taken, which could affect the measurement of these assets and liabilities or give rise to new deferred tax amounts. There has been no change to the provisional net tax expense we recorded during the fourth quarter of 2017 for the three and nine months ended September 30 , 2018. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | NOTE 4 - ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following tables present the components of comprehens ive income for the three and nine months ended September 30, 2018 and 2017. The Company’s comprehensive gains and losses and reclassification adjustments were solely for securities for the three and nine months ended September 30, 2018 and 2017. Reclassification adjustments are recorded in non-interest income. Three Months Ended September 30, 2018 Three Months Ended September 30, 2017 (dollars in thousands) Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Net unrealized holding gains (losses) arising during period $ (622) $ (171) $ (451) $ (81) $ (32) $ (49) Reclassification adjustments - $ - - - - - Other comprehensive (loss) income $ (622) $ (171) $ (451) $ (81) $ (32) $ (49) Nine Months Ended September 30, 2018 Nine Months Ended September 30, 2017 (dollars in thousands) Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Net unrealized holding gains (losses) arising during period $ (1,989) $ (547) $ (1,442) $ 653 $ 257 $ 396 Reclassification adjustments $ - - (9) (3) (6) Other comprehensive (loss) income $ (1,989) $ (547) $ (1,442) $ 644 $ 254 $ 390 The following table presents the changes in each component of accumulated other comprehensive loss, net of tax, for the three and nine months ended September 3 0 , 2018 and 2017. Three Months Ended September 30, 2018 Three Months Ended September 30, 2017 Nine Months Ended September 30, 2018 Nine Months Ended September 30, 2017 (dollars in thousands) Net Unrealized Gains And Losses Net Unrealized Gains And Losses Net Unrealized Gains And Losses Net Unrealized Gains And Losses Beginning of period $ (2,182) $ (489) $ (1,191) $ (928) Other comprehensive gains (losses), net of tax before reclassifications (451) (49) (1,442) 396 Amounts reclassified from accumulated other comprehensive loss - - - (6) Net other comprehensive (loss) income (451) (49) (1,442) 390 End of period $ (2,633) $ (538) $ (2,633) $ (538) The FASB issued ASU 2018-02 allowing companies to reclassify stranded tax effects resulting from the Tax Cuts and Job Act from accumulated other comprehensive income (loss) to retained earnings. The Company early adopted this guidance during the quarter ended December 31, 2017 and utilizing the portfolio method reclassified $196,000 from accumulated other comprehensive loss to retained earnings to eliminate the stranded tax effects. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share ("EPS") | NOTE 5 - EARNINGS PER SHARE (“EPS”) Basic earnings per common share represent income available to common shareholders, divided by the weighted average number of common shares outstanding during the period. Diluted earnings per share reflect additional common shares that would have been outstanding if dilutive potential common shares had been issued. Potential common shares that may have been issued by the Company related to outstanding stock options and were determined using the treasury stock method. The Company has not granted any stock options since 2007 and all outstanding options expired on July 17, 2017. As of September 30 , 201 8 and 2017, there were no options, which were excluded from the calculation as their effect would be anti-dilutive, because the exercise price of the options was greater than the average market price of the common shares. Basic and diluted earnings per share have been computed based on weighted-average common and common equivalent shares outstanding as follows: Three Months Ended Nine Months Ended September 30, September 30, (dollars in thousands) 2018 2017 2018 2017 Net Income $ 3,858 $ 2,782 $ 7,414 $ 7,667 Average number of common shares outstanding 5,551,184 4,633,391 5,550,020 4,631,571 Dilutive effect of common stock equivalents - 26 - 1,929 Average number of shares used to calculate diluted EPS 5,551,184 4,633,417 5,550,020 4,633,500 Earnings Per Common Share Basic $ 0.70 $ 0.60 $ 1.34 $ 1.66 Diluted 0.70 0.60 1.34 1.65 |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2018 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | NOTE 6 - STOCK-BASED COMPENSATION The Company has stock-based incentive arrangements to attract and retain key personnel. In May 2015, the 2015 Equity Compensation Plan (the “Plan”) was approved by shareholders, which authorizes the issuance of restricted stock, stock appreciation rights, stock units and stock options to the Board of Directors and key employees. Compensation expense for service-based awards is recognized over the vesting period. Performance-based awards are recognized based on a vesting schedule and the probability of achieving goals specified at the time of the grant. The 2015 Plan replaced the 2005 Equity Compensation Plan. Stock-based compensation expense totaled $110,000 and $349,000 , respectively, for the three and nine months ended September 30 , 201 8 and $115,000 and $399,000 , respectively, for the three and nine months ended September 30, 2017 . Stock-based compensation expense consisted of the vesting of grants of restricted stock. The Company has not granted any stock options since 2007 and all outstanding options expired on July 17, 2017. The fair value of the Company’s outstanding employee stock options were estimated on the date of grant using the Black-Scholes option pricing model. The Company estimated expected market price volatility and expected term of the options based on historical data and other factors. The exercise price for options granted is set at the discretion of the committee administering the Plan but is not less than the market value of the shares as of the date of grant. An option’s maximum t e rm is 10 years and the options vest at the discretion of the committee. Aggregate intrinsic value represents the difference between the Company’s closing stock price on the last trading day of the period and the exercise price multiplied by the number of options outstanding. The following table below summarize option activity and outstanding and exercisable options at and for the year ended December 31, 2017 . Weighted Weighted-Average Average Aggregate Contractual Life Exercise Intrinsic Remaining In (dollars in thousands, except per share amounts) Shares Price Value Years Outstanding at January 1, 2017 15,081 $ 27.70 $ - Exercised (14,231) 27.70 134 Expired (350) 27.70 - Forfeited (500) 27.70 - Outstanding at December 31, 2017 - $ - $ - - Exercisable at December 31, 2017 - $ - $ - - The Company granted restricted stock in accordance with the Plan. The vesting period for outstanding restricted stock grants is between three and five years. As of September 30, 201 8 and December 31, 201 7 , unrecognized stock compensation expense was $486,000 and $521,000 , respectively . The following tables summarize the nonvested restricted stock awards outstanding at September 30 , 2018 and December 31, 2017, respectively. Restricted Stock Number of Shares Weighted Average Grant Date Fair Value Nonvested at January 1, 2018 32,809 $ 22.61 Granted 8,662 37.13 Vested (17,607) 21.85 Cancelled (391) 27.69 Nonvested at September 30, 2018 23,473 $ 28.36 Restricted Stock Number of Shares Weighted Average Grant Date Fair Value Nonvested at January 1, 2017 47,881 $ 20.41 Granted 6,752 30.20 Vested (21,738) 20.13 Cancelled (86) 20.75 Nonvested at December 31, 2017 32,809 $ 22.61 |
Guaranteed Preferred Beneficial
Guaranteed Preferred Beneficial Interest in Junior Subordinated Debentures ("TRUPs") | 9 Months Ended |
Sep. 30, 2018 | |
Guaranteed Preferred Beneficial Interest in Junior Subordinated Debentures (TRUPs) [Abstract] | |
Guaranteed Preferred Beneficial Interest in Junior Subordinated Debentures ("TRUPs") | NOTE 7 - GUARANTEED PREFERRED BENEFICIAL INTEREST IN JUNIOR SUBORDINATED DEBENTURES (“TRUPs”) On June 15, 2005, Tri-County Capital Trust II (“Capital Trust II”), a Delaware business trust formed, funded and wholly owned by the Company, issued $5.0 million of variable-rate capital securities in a private pooled transaction. The variable rate is based on the 90-day LIBOR rate plus 1.70% . The Trust used the proceeds from this issuance, along with the $155,000 for Capital Trust II’s common securities, to purchase $5.2 million of the Company’s junior subordinated debentures. The interest rate on the debentures and the trust preferred securities is variable and adjusts quarterly. These capital securities qualify as Tier I capital and are presented in the Consolidated Balance Sheets as “Guaranteed Preferred Beneficial Interests in Junior Subordinated Debentures.” Both the capital securities of Capital Trust II and the junior subordinated debentures are scheduled to mature on June 15, 2035 , unless called by the Company. On July 22, 2004, Tri-County Capital Trust I (“Capital Trust I”), a Delaware business trust formed, funded and wholly owned by the Company, issued $7.0 million of variable-rate capital securities in a private pooled transaction. The variable rate is based on the 90-day LIBOR rate plus 2.60% . The Trust used the proceeds from this issuance, along with the Company’s $217,000 capital contribution for Capital Trust I’s common securities, to purchase $7.2 million of the Company’s junior subordinated debentures. The interest rate on the debentures and the trust preferred securities is variable and adjusts quarterly. These debentures qualify as Tier I capital and are presented in the Consolidated Balance Sheets as “Guaranteed Preferred Beneficial Interests in Junior Subordinated Debentures.” Both the capital securities of Capital Trust I and the junior subordinated debentures are scheduled to mature on July 22, 2034 , unless called by the Company. |
Subordinated Notes
Subordinated Notes | 9 Months Ended |
Sep. 30, 2018 | |
Subordinated Notes [Abstract] | |
Subordinated Notes | NOTE 8 – SUBORDINATED NOTES On February 6, 2015 the Company issued $23.0 million of unsecured 6.25% fixed to floating rate subordinated notes due February 15, 2025 (“subordinated notes”). On February 13, 2015 , the Company used proceeds of the offering to redeem all $20 million of the Company’s outstanding preferred stock issued under the Small Business Lending Fund (“SBLF”) program. The subordinated notes qualify as Tier 2 regulatory capital and replaced SBLF Tier 1 capital. The subordinated notes are not listed on any securities exchange or included in any automated dealer quotation system and there is no market for the notes. The notes are unsecured obligations and are subordinated in right of payment to all existing and future senior debt, whether secured or unsecured. The notes are not guaranteed obligations of any of the Company’s subsidiaries. Interest will accrue at a fixed per annum rate of 6.25% from and including the issue date to but excluding February 15, 2020. From and including February 15, 2020 to but excluding the maturity date interest will accrue at a floating rate equal to the three-month LIBOR plus 479 basis points. Interest is payable on the notes on February 15 and August 15 of each year, commencing August 15, 2015, through February 15, 2020, and thereafter February 15, May 15, August 15 and November 15 of each year through the maturity date or earlier redemption date. The subordinated notes may be redeemed in whole or in part on February 15, 2020 or on any scheduled interest payment date thereafter and upon the occurrence of certain special events. The redemption price is equal to 100% of the principal amount of the subordinated notes to be redeemed plus accrued and unpaid interest to the date of redemption. Any partial redemption will be made pro rata among all holders of the subordinated notes. The subordinated notes are not subject to repayment at the option of the holders. The subordinated notes may be redeemed at any time, if (1) a change or prospective change in law occurs that could prevent the Company from deducting interest payable on the notes for U.S. federal income tax purposes, (2) a subsequent event occurs that precludes the notes from being recognized as Tier 2 Capital for regulatory capital purposes, or (3) the Company is required to register as an investment company under the Investment Company Act of 1940, as amended. |
Other Real Estate Owned ("OREO"
Other Real Estate Owned ("OREO") | 9 Months Ended |
Sep. 30, 2018 | |
Other Real Estate Owned ("OREO") [Abstract] | |
Other Real Estate Owned ("OREO") | NOT E 9 - OTHER REAL ESTATE OWNED (“OREO”) OREO assets are presented net of the valuation allowance. The Company considers OREO as classified assets for regulatory and financial reporting. OREO carrying amounts reflect management’s estimate of the realizable value of these properties incorporating current appraised values, local real estate market conditions and related costs. An analysis of OREO activity follows. Nine Months Ended September 30, Years Ended December 31, (dollars in thousands) 2018 2017 2017 Balance at beginning of year $ 9,341 $ 7,763 $ 7,763 Additions of underlying property 282 3,622 3,634 Disposals of underlying property (991) (1,068) (1,456) Valuation allowance (425) (576) (600) Balance at end of period $ 8,207 $ 9,741 $ 9,341 During the nine months ended September 3 0 , 2018 and 2017, OREO additions were $ 282 ,000 and $ 3.6 million, respectively . During the nine months ended September 30, 2018, additions of $282,000 were for $139,000 of capitalized costs to improve a development project and $143,000 for commercial real estate. During the nine months ended September 30, 2017, additions of $3.6 million consisted of $3.0 million related to the foreclosure of a stalled residential development project. Further, additions included $103,000 for residential lots and $495,000 for a commercial office building. During the nine months ended September 30 , 2018 and 2017, there were OREO disposals of $991,000 and $1.1 million, respectively . The Company recognized net losses of $8,000 on dispos als of multiple residential lots of $188,000 , a commercial building of $476,000 and a commercial lot of $327,000 for the nine months ended September 30 , 201 8 . The Company recognized net gains of $36,000 on disposals of $1.1 million for four residential properties and multiple residential lots for the nine months ended September 30 , 201 7 . The Bank provided $200,000 in financing for one residential property and the three residential lots which were transferred from OREO to loans during the first quarter of 2017. The transaction qualified for full accrual sales treatment under ASC Topic 360-20-40 “Property Plant and Equipment – Derecognition ” . The Company had no impaired loans and $122,000 o f impaired loans secured by residential real estate for which formal foreclosure proceedings were in process as of September 30 , 2018 and December 31, 2017, respectively. To adjust properties to current appraised values, a dditions to the valuation allowance of $ 425 ,000 and $ 576 ,000 were taken for the nine months ended September 3 0 , 201 8 and 201 7 , respectively. OREO carrying amounts reflect management’s estimate of the realizable value of these properties incorporating current appraised values, local real estate market conditions and related costs. Expenses applicable to OREO assets included the following. Three Months Ended September 30, Nine Months Ended September 30, (dollars in thousands) 2018 2017 2018 2017 Valuation allowance $ 142 $ 263 $ 425 $ 576 Losses (gains) on dispositions - - 8 (36) Operating expenses 23 20 83 47 $ 165 $ 283 $ 516 $ 587 |
Securities
Securities | 9 Months Ended |
Sep. 30, 2018 | |
Securities [Abstract] | |
Securities | NOTE 10 – SECURITIES September 30, 2018 Amortized Gross Unrealized Gross Unrealized Estimated (dollars in thousands) Cost Gains Losses Fair Value Securities available for sale (AFS) Asset-backed securities issued by GSEs and U.S. Agencies Residential Mortgage Backed Securities ("MBS") $ 6,705 $ - $ 356 $ 6,349 Residential Collateralized Mortgage Obligations ("CMOs") 92,042 12 2,622 89,432 U.S. Agency 12,848 - 667 12,181 Total securities available for sale $ 111,595 $ 12 $ 3,645 $ 107,962 Securities held to maturity (HTM) Asset-backed securities issued by GSEs and U.S. Agencies Residential MBS $ 26,728 $ 83 $ 1,108 $ 25,703 Residential CMOs 52,087 80 1,726 50,441 U.S. Agency 10,928 - 493 10,435 Asset-backed securities issued by Others: Residential CMOs 522 - 41 481 Callable GSE Agency Bonds 5,011 - 200 4,811 Certificates of Deposit Fixed 947 - - 947 U.S. government obligations 994 - 1 993 Total securities held to maturity $ 97,217 $ 163 $ 3,569 $ 93,811 Equity securities carried at fair value through income CRA investment fund $ 4,359 $ - $ - $ 4,359 Non-marketable equity securities Other equity securities $ 249 $ - $ - $ 249 December 31, 2017 Amortized Gross Unrealized Gross Unrealized Estimated (dollars in thousands) Cost Gains Losses Fair Value Securities available for sale (AFS) Asset-backed securities issued by GSEs and U.S. Agencies Residential MBS $ 7,265 $ - $ 178 $ 7,087 Residential CMOs 45,283 12 1,158 44,137 U.S. Agency 12,863 - 346 12,517 Bond mutual funds 4,397 26 - 4,423 Total securities available for sale $ 69,808 $ 38 $ 1,682 $ 68,164 Securities held to maturity (HTM) Asset-backed securities issued by GSEs and U.S. Agencies Residential MBS $ 29,113 $ 135 $ 261 $ 28,987 Residential CMOs 54,805 62 845 54,022 U.S. Agency 8,660 - 235 8,425 Asset-backed securities issued by Others: Residential CMOs 651 - 52 599 Callable GSE Agency Bonds 5,017 - 43 4,974 U.S. government obligations 1,000 - - 1,000 Total securities held to maturity $ 99,246 $ 197 $ 1,436 $ 98,007 Non-marketable equity securities Other equity securities $ 121 $ - $ - $ 121 At September 30, 2018 , securities with an amortized cost of $42.6 million were pledged to secure certain customer deposits. At September 30, 2018 , securities with an amortized cost of $3.5 million were pledged as collateral for advances from the Federal Home Loan Bank (“FHLB”) of Atlanta. At September 3 0 , 2018, greater than 99% of the asset-backed securities and agency bond portfolio was rated AAA by Standard & Poor’s or the equivalent credit rating from another major rating agency. AFS asset-backed securities issued by GSEs and U.S. Agencies had an average life of 4.79 years and average duration of 4.16 years and are guaranteed by their issuer as to credit risk. HTM asset-backed securities issued by GSEs and U.S. Agencies had an average life of 5.30 years and average duration of 4.57 years and are guaranteed by their issuer as to credit risk. At December 31, 2017, securities with an amortized cost of $31.5 million were pledged to secure certain customer deposits. At December 31, 2017, securities with an amortized cost of $4.0 million were pledged as collateral for advances from the Federal Home Loan Bank (“FHLB”) of Atlanta. At December 31, 2017, greater than 99% of the asset-backed securities and agency bond portfolio was rated AAA by Standard & Poor’s or the equivalent credit rating from another major rating agency. AFS asset-backed securities issued by GSEs and U.S. Agencies had an average life of 4.74 years and average duration of 4.22 years and are guaranteed by their issuer as to credit risk. HTM asset-backed securities issued by GSEs and U.S. Agencies had an average life of 4.95 years and average duration of 4.39 years and are guaranteed by their issuer as to credit risk. Management believes that AFS securities with unrealized losses will either recover in market value or be paid off as agreed. The Company intends to, and has the ability to, hold these securities to maturity. Because our intention is not to sell the investments and it is not more likely than not that the Company will be required to sell the investments, management considers the unrealized losses in the AFS portfolio to be temporary. The Company intends to, and has the ability to, hold the HTM securities with unrealized losses until they mature, at which time the Company will receive full value for the securities. Because our intention is not to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost basis, which may be maturity, management considers the unrealized losses in the held-to-maturity portfolio to be temporary. No charges related to other-than-temporary impairment were made dur ing the nine months ended September 3 0 , 2018 and the year ended December 31, 2017. During the nine months ended September 3 0 , 2018 , there were no securities sold from the Company’s legacy securities’ portfolios . The Company liquidated most of the acquired County First securities immediately after the legal merger and retained only the certificates of deposit portfolio with an amortized cost of $950,000 at September 30, 2018. During the nine months ended September 30, 2017, the Company recognized net gains on the sale of securities of $1 33 ,000 . The Company sold three AFS securities with aggregate carrying values of $3.6 million and six HTM securities with aggregate carrying values of $3.4 million, recognizing gains of $9,000 and $124,000 , respectively . During the year ended December 31, 2017 the Company recognized net gains on the sale of securities of $175,000 . The Company sold three AFS securities with aggregate carrying values of $3.7 million and nine HTM securities with aggregate carrying values of $4.8 million, recognizing gains of $9,000 and $166,000 , respectively. ASC 320 “Investments - Debt Securities.” permits the sale of HTM securities for certain changes in circumstances. The Company may dispose of HTM securities using the safe harbor rule that allows for the sale of HTM securities when principal repayments have reduced the balance to less than 15% of original purchased par. ASC 320 10-25-15 indicates that a sale of a debt security after a substantial portion of the principal has been collected is equivalent to holding the security to maturity. In addition, the Company may dispose of HTM securities under ASC 320-10-25-6 due to a significant deterioration in the issues’ creditworthiness. AFS Securities Gross unrealized losses and estimated fair value by length of time that individual AFS securities have been in a continuous unrealized loss position at September 30, 2018 were as follows: September 30, 2018 Less Than 12 More Than 12 Months Months Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Losses Asset-backed securities issued by GSEs and U.S. Agencies $ 58,438 $ 998 $ 43,824 $ 2,648 $ 102,262 $ 3,646 $ 58,438 $ 998 $ 43,824 $ 2,648 $ 102,262 $ 3,646 At September 30, 2018, the AFS investment portfolio had an estimated fair value of $108.0 million on an amortized cost of $111.6 million. AFS asset-backed securities issued by GSEs are guaranteed by the issuer and AFS U.S. government agency securities and bonds are guaranteed by the full faith and credit of the U.S. government. AFS asset-backed securities issued by GSEs and U.S. Agencies with unrealized losses had an average life of 4.71 years and an average duration of 4.10 years. Management believes that the securities will either recover in market value or be paid off as agreed. Gross unrealized losses and estimated fair value by length of time that the individual AFS securities have been in a continuous unrealized loss position at December 31, 2017 were as follows: December 31, 2017 Less Than 12 More Than 12 Months Months Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Losses Asset-backed securities issued by GSEs and U.S. Agencies $ 24,571 $ 328 $ 38,428 $ 1,354 $ 62,999 $ 1,682 $ 24,571 $ 328 $- $ 38,428 $- $ 1,354 $- $ 62,999 $- $ 1,682 At December 31, 2017, the AFS investment portfolio had an estimated fair value of $68.0 million on an amortized cost of $69.8 million. AFS asset-backed securities issued by GSEs are guaranteed by the issuer and AFS U.S. government agency securities and bonds are guaranteed by the full faith and credit of the U.S. government. AFS asset-backed securities issued by GSEs and U.S. Agencies with unrealized losses had an average life of 4.71 years and an average duration of 4.20 years. Management believes that the securities will either recover in market value or be paid off as agreed. HTM Securities Gross unrealized losses and estimated fair value by length of time that the individual HTM securities have been in a continuous unrealized loss position at September 30, 2018 were as follows: September 30, 2018 Less Than 12 More Than 12 Months Months Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Losses Asset-backed securities issued by GSEs and U.S. Agencies $ 32,377 $ 1,041 $ 45,326 $ 2,287 $ 77,703 $ 3,328 Callable GSE Agency Bonds 4,811 200 - - 4,811 200 Asset-backed securities issued by Others - - 481 41 481 41 $ 37,188 $ 1,241 $ 45,807 $ 2,328 $ 82,995 $ 3,569 At September 30, 2018, the HTM investment portfolio had an estimated fair value of $93.8 million on an amortized cost of $97.2 million. Of these securities, $83.0 million were asset-backed securities or bonds issued by GSEs and U.S. Agencies and $481,000 were asset-backed securities issued by others. HTM asset-backed securities issued by GSEs and GSE agency bonds are guaranteed by the issuer and HTM U.S. government agency securities and bonds are guaranteed by the full faith and credit of the U.S. government. The securities with unrealized losses had an average life of 5.03 years and an average duration of 4.36 years. Management believes that the securities will either recover in market value or be paid off as agreed. The Company intends to, and has the ability to, hold these securities to maturity. HTM asset-backed securities issued by others are collateralized mortgage obligation securities. The securities have credit support tranches that absorb losses prior to the tranches that the Company owns. The Company reviews credit support positions on its securities regularly. HTM asset-backed securities issued by others with unrealized losses had an average life of 2.83 years and an average duration of 2.28 years. Gross unrealized losses and estimated fair value by length of time that the individual HTM securities have been in a continuous unrealized loss position at December 31, 2017 were as follows: December 31, 2017 Less Than 12 More Than 12 Months Months Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Losses Asset-backed securities issued by GSEs and U.S. Agencies $ 36,607 $ 254 $ 45,119 $ 1,130 $ 81,726 $ 1,384 Asset-backed securities issued by Others - - 599 52 599 52 $ 36,607 $ 254 $ 45,718 $ 1,182 $ 82,325 $ 1,436 At December 31, 2017, the HTM investment portfolio had an estimated fair value of $98.0 million on an amortized cost of $99.2 million. Of these securities, $81.7 million were asset-backed securities issued by GSEs and U.S. Agencies and $599,000 were asset-backed securities issued by others. HTM asset-backed securities issued by GSEs and GSE agency bonds are guaranteed by the issuer and HTM U.S. government agency securities and bonds are guaranteed by the full faith and credit of the U.S. government. The securities with unrealized losses had an average life of 5.02 years and an average duration of 4.43 years. Management believes that the securities will either recover in market value or be paid off as agreed. The Company intends to, and has the ability to, hold these securities to maturity. HTM asset-backed securities issued by others are collateralized mortgage obligation securities. The securities have credit support tranches that absorb losses prior to the tranches that the Company owns. The Company reviews credit support positions on its securities regularly. HTM asset-backed securities issued by others with unrealized losses had an average life of 3.20 years and an average duration of 2.66 years. Credit Quality of Asset-Backed Securities and Agency Bonds The tables below present the Standard & Poor’s (“S&P”) or equivalent credit rating from other major rating agencies for AFS and HTM asset-backed securities issued by GSEs and U.S. Agencies and others or bonds issued by GSEs or U.S. government agencies at September 30, 2018 and December 31, 2017 by carrying value. The Company considers noninvestment grade securities rated BB+ or lower as classified assets for regulatory and financial reporting. GSE asset-backed securities and GSE agency bonds with S&P AA+ ratings were treated as AAA based on regulatory guidance. September 30, 2018 December 31, 2017 Credit Rating Amount Credit Rating Amount (dollars in thousands) AAA $ 204,657 AAA $ 162,336 BB 522 BB 651 B+ - B+ - Total $ 205,179 Total $ 162,987 |
Loans
Loans | 9 Months Ended |
Sep. 30, 2018 | |
Loans [Abstract] | |
Loans | NOTE 11 – LOANS Loans consist of the following: September 30, 2018 December 31, 2017 (dollars in thousands) PCI All other loans** Total % of Gross Loans Total % of Gross Loans Commercial real estate $ 1,463 $ 846,482 $ 847,945 64.84% $ 727,314 63.25% Residential first mortgages 468 156,097 156,565 11.97% 170,374 14.81% Residential rentals 1,261 124,122 125,383 9.59% 110,228 9.58% Construction and land development - 28,788 28,788 2.20% 27,871 2.42% Home equity and second mortgages 319 36,041 36,360 2.78% 21,351 1.86% Commercial loans - 62,083 62,083 4.75% 56,417 4.91% Consumer loans - 730 730 0.06% 573 0.05% Commercial equipment - 49,883 49,883 3.81% 35,916 3.12% Gross loans 3,511 1,304,226 1,307,737 100.00% 1,150,044 100.00% Net deferred costs (fees) - 917 917 0.07% 1,086 0.09% Total loans, net of deferred costs $ 3,511 $ 1,305,143 $ 1,308,654 $ 1,151,130 Less: allowance for loan losses - (10,739) (10,739) -0.82% (10,515) -0.91% Net loans $ 3,511 $ 1,294,404 $ 1,297,915 $ 1,140,615 **All other loans include acquired Non-PCI pools at fair value. At September 30, 2018 and December 31, 2017, the Bank’s allowance for loan losses totaled $10.7 million and $10.5 million, or 0.82% and 0.91% , respectively, of loan balances. Allowance for loan loss percentage levels decreased in first nine months of 2018, primarily due to the addition of County First loans, after consummation of the legal merger on January 1, 2018, for which no allowance was provided for in accordance with purchase accounting standards. Management’s determination of the adequacy of the allowance is based on a periodic evaluation of the portfolio with consideration given to the overall loss experience, current economic conditions, size, growth and composition of the loan portfolio, financial condition of the borrowers and other relevant factors that, in management’s judgment, warrant recognition in providing an adequate allowance. Net deferred loan fees and premiums of $917,000 at September 30, 2018 included net deferred fees paid by customers of $3.1 million offset by net deferred premiums paid for the purchase of residential first mortgages and deferred costs of $4.0 m illion. Net deferred loan fees and premiums of $1.1 million at December 31, 2017 included net deferred fees paid by customers of $2.8 million offset by net deferred premiums paid for the purchase of residential first mortgages and deferred costs of $3.9 million. Risk Characteristics of Portfolio Segments Concentrations of Credit - Loans are primarily made within the Company’s operating footprint of Southern Maryland, Annapolis , Maryland and the greater Fredericksburg area of Virginia. Real estate loans can be affected by the condition of the local real estate market. Commercial and industrial loans can be affected by the local economic conditions. The commercial loan portfolio has concentrations in business loans secured by real estate and real estate development loans. At September 30, 2018 and December 31, 2017, the Company had no loans outstanding with foreign entities. The Company manages its credit products and exposure to credit losses (credit risk) by the following specific portfolio segments (classes), which are levels at which the Company develops and documents its allowance for loan loss methodology. These segments are: Commercial Real Estate (“CRE”) Commercial and other real estate projects include office buildings, retail locations, churches, other special purpose buildings and commercial construction. Commercial construction balances were 6.7% and 6.2% of the CRE portfolio at September 30, 2018 and December 31, 2017, respectively. The Bank offers both fixed-rate and adjustable-rate loans under these product lines. The primary security on a commercial real estate loan is the real property and the leases that produce income for the real property. Loans secured by commercial real estate are generally limited to 80% of the lower of the appraised value or sales price at origination and have an initial contractual loan payment period ranging from three to 20 years. Loans secured by commercial real estate are larger and involve greater risks than one-to four-family residential mortgage loans. Because payments on loans secured by such properties are often dependent on the successful operation or management of the properties, repayment of such loans may be subject to a greater extent to adverse conditions in the real estate market or the economy. Residential First Mortgages Residential first mortgage loans are generally long-term loans, amortized on a monthly basis, with principal and interest due each month. The contractual loan payment period for residential loans typically ranges from ten to 30 years. The Bank’s experience indicates that real estate loans remain outstanding for significantly shorter time periods than their contractual terms. Borrowers may refinance or prepay loans at their option, without penalty. The Bank’s residential portfolio has both fixed-rate and adjustable-rate residential first mortgages. During the nine months ended September 30, 2018 and the year ended December 31, 2017, the Bank purchased residential first mortgages of $4.7 million and $25.5 million, respectively. The annual and lifetime limitations on interest rate adjustments may limit the increases in interest rates on these loans. There are also credit risks resulting from potential increased costs to the borrower as a result of repricing of adjustable-rate mortgage loans. During periods of rising interest rates, the risk of default on adjustable-rate mortgage loans may increase due to the upward adjustment of interest cost to the borrower. The Bank’s adjustable rate residential first mortgage portfolio was $53.6 million or 4.1% of total gross loans of $1.31 billion at September 30, 2018 compared to $56.9 million or 5.0% of total gross loans of $1.15 billion at December 31, 2017. Residential Rentals Residential rental mortgage loans are amortizing, with principal and interest due each month. The loans are secured by income-producing 1-4 family units and apartments. As of September 30, 2018, and December 31, 2017, $97.5 million and $85.0 million, respectively, were 1-4 family units and $27.9 million and $25.2 million, respectively, were apartment buildings or multi-family units. Loans secured by residential rental properties are generally limited to 80% of the lower of the appraised value or sales price at origination and have an initial contractual loan payment period ranging from three to 20 years. The primary security on a residential rental loan is the property and the leases that produce income. During periods of rising interest rates, the risk of default on adjustable-rate mortgage loans may increase due to the upward adjustment of interest cost to the borrower. The Bank’s adjustable rate residential rental portfolio was $97.5 million or 7.5% of total gross loans of $1.31 billion at September 30, 2018 compared to $93.4 million or 8.1% of total gross loans of $1.15 billion at December 31, 2017. Loans secured by residential rental properties involve greater risks than 1-4 family residential mortgage loans. Although, there are similar risk characteristics shared with commercial real estate loans, the balances for the loans secured by residential rental properties are generally smaller. Because payments on loans secured by residential rental properties are often dependent on the successful operation or management of the properties, repayment of these loans may be subject to a greater extent to adverse conditions in the rental real estate market or the economy than similar owner-occupied properties. Construction and Land Development The Bank offers loans for the construction of one-to-four family dwellings. Generally, these loans are secured by the real estate under construction as well as by guarantees of the principals involved. In addition, the Bank offers loans to acquire and develop land, as well as loans on undeveloped, subdivided lots for home building. A decline in demand for new housing might adversely affect the ability of borrowers to repay these loans. Construction and land development loans are inherently riskier than financing owner-occupied real estate. The Bank’s risk of loss is affected by the accuracy of the initial estimate of the market value of the completed project as well as the accuracy of the cost estimates made to complete the project. In addition, the volatility of the real estate market has made it increasingly difficult to ensure that the valuation of land associated with these loans is accurate. During the construction phase, a number of factors could result in delays and cost overruns. If the estimate of construction costs proves to be inaccurate, the Bank may be required to advance funds beyond the amount originally committed to permit completion of the development. If the estimate of value proves to be inaccurate, a project’s value might be insufficient to assure full repayment. As a result of these factors, construction lending often involves the disbursement of substantial funds with repayment dependent, in part, on the success of the project rather than the ability of the borrower or guarantor to repay principal and interest. If the Bank forecloses on a project, there can be no assurance that the Bank will be able to recover all of the unpaid balance of, and accrued interest on, the loan as well as related foreclosure and holding costs. Home Equity and Second Mortgage Loans The Bank maintains a portfolio of home equity and second mortgage loans. These products contain a higher risk of default than residential first mortgages as in the event of foreclosure, the first mortgage would need to be paid off prior to collection of the second mortgage. This risk is heightened as the market value of residential property has not fully returned to pre-financial crisis levels and interest rates began to increase in 2017. Commercial Loans The Bank offers its business customers a variety of commercial loan products including term loans and lines of credit. Such loans are generally made for terms of five years or less. The Bank offers both fixed-rate and adjustable-rate loans under these product lines. When making commercial business loans, the Bank considers the financial condition of the borrower, the borrower’s payment history of both corporate and personal debt, the projected cash flows of the business, the viability of the industry in which the borrower operates, the value of the collateral, and the borrower’s ability to service the debt from income. These loans are primarily secured by equipment, real property, accounts receivable or other security as determined by the Bank. Commercial loans are made on the basis of the borrower’s ability to make repayment from the cash flows of the borrower’s business. As a result, the availability of funds for the repayment of commercial loans may depend substantially on the success of the business itself. Consumer Loans Consumer loans consist of loans secured by automobiles, boats, recreational vehicles and trucks. The Bank also makes home improvement loans and offers both secured and unsecured personal lines of credit. Consumer loans entail greater risk from other loan types due to being secured by rapidly depreciating assets or the reliance on the borrower’s continuing financial stability. Commercial Equipment Loans These loans consist primarily of fixed-rate, short-term loans collateralized by a commercial customer’s equipment or secured by real property, accounts receivable, or other security as determined by the Bank. When making commercial equipment loans, the Bank considers the same factors it considers when underwriting a commercial business loan. Commercial loans are of higher risk and typically are made on the basis of the borrower’s ability to make repayment from the cash flows of the borrower’s business. As a result, the availability of funds for the repayment of commercial loans may depend substantially on the success of the business itself. In the case of business failure, collateral would need to be liquidated to provide repayment for the loan. In many cases, the highly specialized nature of collateral equipment would make full recovery from the sale of collateral problematic. Non-accrual and Aging Analysis of Current and Past Due Loans Non-accrual loans as of September 30, 2018 and December 31, 2017 were as follows: September 30, 2018 (dollars in thousands) Non- accrual Delinquent Loans Number of Loans Non-accrual Current Loans Number of Loans Total Non-accrual Loans Total Number of Loans Commercial real estate $ 11,148 11 $ 655 3 $ 11,803 14 Residential first mortgages 850 4 357 1 1,207 5 Residential rentals 756 4 14 1 770 5 Construction and land development - - - - - - Home equity and second mortgages 150 2 - - 150 2 Commercial loans 887 3 - - 887 3 Consumer loans - - - - - - Commercial equipment 1,521 7 12 1 1,533 8 $ 15,312 31 $ 1,038 6 $ 16,350 37 December 31, 2017 (dollars in thousands) Non- accrual Delinquent Loans Number of Loans Non-accrual Current Loans Number of Loans Total Non-accrual Loans Total Number of Loans Commercial real estate $ 1,148 4 $ 839 3 $ 1,987 7 Residential first mortgages 478 3 507 1 985 4 Residential rentals 84 1 741 3 825 4 Construction and land development - - - - - - Home equity and second mortgages 134 3 123 1 257 4 Commercial loans 172 2 - - 172 2 Consumer loans - - - - - - Commercial equipment 467 3 - - 467 3 $ 2,483 16 $ 2,210 8 $ 4,693 24 Non-accrual loans increased $11.7 million from $4.7 million or 0.41% of total loans at December 31, 2017 to $16.4 million or 1.25% of total loans at September 30, 2018. Non-accrual loans can be current but classified as non-accrual due to customer operating results or payment history. All interest accrued but not collected from loans that are placed on non-accrual or charged-off is reversed against interest income. In accordance with the Company’s policy, interest income is recognized on a cash basis or cost-recovery method, until qualifying for return to accrual status. At September 30, 2018, non-accrual loans of $16.4 million included 37 loans, of which $13.4 million, or 82% represented 12 loans and three customer relationships. At December 31, 2017, non-accrual loans of $4.7 million included 24 loans, of which $3.3 million, or 71% represented 10 loans and five customer relationships. During the nine months ended September 30, 2018, non-accrual loans increased $11.7 million primarily as a result of one well-secured classified relationship of $10.3 million that was placed on non-accrual during the second quarter of 2018. During the year ended December 31, 2017 non-accrual loans decreased $3.0 million due to the foreclosure of a stalled residential development project. The Bank is working with a construction manager to stabilize and market the project. Before the foreclosure, the loans in this relationship were troubled debt restructures (“TDRs”). Additionally, during the third quarter of 2017, non-accrual loans decreased $607,000 due to the foreclosure of a commercial office building. Non-accrual loans included no TDRs at September 30, 2018 and one TDR totaling $769,000 at December 31, 2017. This loan was classified solely as non-accrual for the calculation of financial ratios. Loan delinquency (90 days or greater delinquent and 31-89 days delinquent) increased $4.5 million from $11.7 million, or 1.02% of loans, at December 31, 2017 to $16.2 million, or 1.24% of loans, at September 30, 2018. Non-accrual loans on which the recognition of interest has been discontinued, which did not have a specific allowance for impairment, amounted to $15.1 million and $3.8 million at September 30, 2018 and December 31, 2017, respectively. Interest due but not recognized on these balances at September 30, 2018 and December 31, 2017 was $375,000 and $85,000 , respectively. Non-accrual loans with a specific allowance for impairment on which the recognition of interest has been discontinued amounted to $1.3 million and $876,000 at September 30, 2018 and December 31, 2017, respectively. Interest due but not recognized on these balances at September 30, 2018 and December 31, 2017 was $50,000 and $100,000 , respectively. The Company considers a loan to be past due or delinquent when the terms of the contractual obligation are not met by the borrower. PCI loans are included as a single category in the table below as management believes, regardless of their age, there is a lower likelihood of aggregate loss related to these loan pools. Additionally, PCI loans are discounted to allow for the accretion of income on a level yield basis over the life of the loan based on expected cash flows. Regardless of payment status, as long as cash flows can be reasonably estimated, the associated discount on these loan pools results in income recognition. Past due and PCI loans as of September 30, 2018 and December 31, 2017 were as follows: September 30, 2018 (dollars in thousands) 31-60 Days 61-89 Days 90 or Greater Days Total Past Due PCI Loans Current Total Loan Receivables Commercial real estate $ - $ 4,399 $ 6,918 $ 11,317 $ 1,463 $ 835,165 $ 847,945 Residential first mortgages - 794 203 997 468 155,100 156,565 Residential rentals - 976 30 1,006 1,261 123,116 125,383 Construction and land dev. - - - - - 28,788 28,788 Home equity and second mtg. 256 11 150 417 319 35,624 36,360 Commercial loans - 8 879 887 - 61,196 62,083 Consumer loans - - - - - 730 730 Commercial equipment 55 - 1,486 1,541 - 48,342 49,883 Total $ 311 $ 6,188 $ 9,666 $ 16,165 $ 3,511 $ 1,288,061 $ 1,307,737 December 31, 2017 (dollars in thousands) 31-60 Days 61-89 Days 90 or Greater Days Total Past Due PCI Loans Current Total Loan Receivables Commercial real estate $ - $ 6,711 $ 1,148 $ 7,859 $ - $ 719,455 $ 727,314 Residential first mortgages - 68 478 546 - 169,828 170,374 Residential rentals - 207 84 291 - 109,937 110,228 Construction and land dev. - - - - - 27,871 27,871 Home equity and second mtg. 19 18 134 171 - 21,180 21,351 Commercial loans 892 299 172 1,363 - 55,054 56,417 Consumer loans - 1 - 1 - 572 573 Commercial equipment 1,012 - 467 1,479 - 34,437 35,916 Total $ 1,923 $ 7,304 $ 2,483 $ 11,710 $ - $ 1,138,334 $ 1,150,044 Impaired Loans and Troubled Debt Restructures (“TDRs”) Impaired loans, including TDRs, at September 30, 2018 and 2017 and at December 31, 2017 were as follows: September 30, 2018 (dollars in thousands) Unpaid Contractual Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Quarter Average Recorded Investment Quarter Interest Income Recognized YTD Average Recorded Investment YTD Interest Income Recognized Commercial real estate $ 26,588 $ 24,664 $ 1,561 $ 26,225 $ 174 $ 26,297 $ 340 $ 26,499 $ 763 Residential first mortgages 2,655 2,616 - 2,616 - 2,627 31 2,651 90 Residential rentals 1,431 1,377 - 1,377 - 1,382 11 1,400 47 Construction and land dev. 729 729 - 729 - 729 11 729 30 Home equity and second mtg. 298 293 - 293 - 300 4 304 10 Commercial loans 2,784 1,890 883 2,773 458 2,775 38 2,779 89 Consumer loans 1 - 1 1 1 1 - 1 - Commercial equipment 1,577 1,132 402 1,534 377 1,546 3 1,588 33 Total $ 36,063 $ 32,701 $ 2,847 $ 35,548 $ 1,010 $ 35,657 $ 438 $ 35,951 $ 1,062 December 31, 2017 (dollars in thousands) Unpaid Contractual Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance YTD Average Recorded Investment YTD Interest Income Recognized Commercial real estate $ 33,180 $ 30,921 $ 2,008 $ 32,929 $ 370 $ 33,575 $ 1,379 Residential first mortgages 2,455 1,978 459 2,437 2 2,479 91 Residential rentals 2,389 1,981 395 2,376 18 2,432 111 Construction and land dev. 729 - 729 729 163 729 26 Home equity and second mtg. 317 317 - 317 - 318 12 Commercial loans 3,010 2,783 168 2,951 168 3,048 137 Commercial equipment 1,538 1,048 467 1,515 303 1,578 73 Total $ 43,618 $ 39,028 $ 4,226 $ 43,254 $ 1,024 $ 44,159 $ 1,829 September 30, 2017 (dollars in thousands) Unpaid Contractual Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Quarter Average Recorded Investment Quarter Interest Income Recognized YTD Average Recorded Investment YTD Interest Income Recognized Commercial real estate $ 24,233 $ 19,824 $ 4,211 $ 24,035 $ 155 $ 24,153 $ 319 $ 24,399 $ 799 Residential first mortgages 2,277 1,808 463 2,271 7 2,284 18 2,302 67 Residential rentals 2,669 2,271 397 2,668 21 2,673 22 2,711 77 Construction and land dev. 729 - 729 729 163 729 9 729 16 Home equity and second mtg. 225 225 - 225 - 225 2 226 5 Commercial loans 2,324 2,096 169 2,265 169 2,298 24 2,317 71 Commercial equipment 530 40 467 507 303 522 1 530 10 Total $ 32,987 $ 26,264 $ 6,436 $ 32,700 $ 818 $ 32,884 $ 395 $ 33,214 $ 1,045 TDRs, included in the impaired loan schedules above, as of September 30, 2018 and December 31, 2017 were as follows: September 30, 2018 December 31, 2017 (dollars in thousands) Dollars Number of Loans Dollars Number of Loans Commercial real estate $ 8,345 8 $ 9,273 9 Residential first mortgages 512 2 527 2 Residential rentals 218 1 221 1 Construction and land development 729 2 729 2 Commercial loans 3 1 4 1 Commercial equipment 32 1 36 1 Total TDRs $ 9,839 15 $ 10,790 16 Less: TDRs included in non-accrual loans - - (769) (1) Total accrual TDR loans $ 9,839 15 $ 10,021 15 TDRs decreased $951,000 due to principal paydowns and payoffs for the nine months ended September 30, 2018. There were no TDRs added during the nine months ended September 30, 2018. The Company had specific reserves of $174,000 on one TDRs totaling $1.6 million at September 30, 2018. The Company had specific reserves of $413,000 on seven TDRs totaling $3.0 million at December 31, 2017. During the year ended December 31, 2017, TDR disposals, which included payoffs and refinancing decreased by seven loans totaling $3.9 million, of which $3.0 million related to the foreclosure of a stalled residential development project. TDR loan principal curtailment was $385,000 for the year ended December 31, 2017. There were no TDRs added during the year ended December 31, 2017. Allowance for Loan Losses The following tables detail activity in the allowance for loan losses at and for the three and nine months ended September 30, 2018 and 2017, respectively. An allocation of the allowance to one category of loans does not prevent the Company from using that allowance to absorb losses in a different category. September 30, 2018 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provisions Ending Balance Three Months Ended Commercial real estate $ 6,563 $ (32) $ 2 $ 179 $ 6,712 Residential first mortgages 737 (2) - (44) 691 Residential rentals 469 (54) - 170 585 Construction and land development 498 - - (203) 295 Home equity and second mortgages 104 - 2 71 177 Commercial loans 1,203 2 176 (167) 1,214 Consumer loans 7 (1) - (1) 5 Commercial equipment 1,144 (132) 13 35 1,060 $ 10,725 $ (219) $ 193 $ 40 $ 10,739 Purchase Credit Impaired** $ - $ - $ - $ - $ - Nine Months Ended Commercial real estate $ 6,451 $ (268) $ 8 $ 521 $ 6,712 Residential first mortgages 1,144 (115) - (338) 691 Residential rentals 512 (54) - 127 585 Construction and land development 462 - - (167) 295 Home equity and second mortgages 162 (7) 16 6 177 Commercial loans 1,013 (86) 176 111 1,214 Consumer loans 7 (2) - - 5 Commercial equipment 764 (431) 47 680 1,060 $ 10,515 $ (963) $ 247 $ 940 $ 10,739 Purchase Credit Impaired** $ - $ - $ - $ - $ - ** There is no allowance for loan loss on the PCI portfolios. A more detailed rollforward schedule will be presented if an allowance is required. September 30, 2017 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provisions Ending Balance Three Months Ended Commercial real estate $ 6,085 $ (217) $ 4 $ 436 $ 6,308 Residential first mortgages 1,300 - - (43) 1,257 Residential rentals 335 - - 289 624 Construction and land development 720 (1) - (73) 646 Home equity and second mortgages 112 (13) 1 28 128 Commercial loans 814 - - (23) 791 Consumer loans 5 - - 2 7 Commercial equipment 1,063 (22) 25 (392) 674 $ 10,434 $ (253) $ 30 $ 224 $ 10,435 Nine Months Ended Commercial real estate $ 5,212 $ (217) $ 13 $ 1,300 $ 6,308 Residential first mortgages 1,406 - - (149) 1,257 Residential rentals 362 (42) - 304 624 Construction and land development 941 (26) - (269) 646 Home equity and second mortgages 138 (14) 1 3 128 Commercial loans 794 - 1 (4) 791 Consumer loans 3 (2) - 6 7 Commercial equipment 1,004 (168) 49 (211) 674 $ 9,860 $ (469) $ 64 $ 980 $ 10,435 The following tables detail loan receivable and allowance balances disaggregated on the basis of the Company’s impairment methodology at September 30, 2018 and 2017 and December 31, 2017. September 30, 2018 December 31, 2017 September 30, 2017 (dollars in thousands) Ending balance: individually evaluated for impairment Ending balance: collectively evaluated for impairment Purchase Credit Impaired Total Ending balance: individually evaluated for impairment Ending balance: collectively evaluated for impairment Total Ending balance: individually evaluated for impairment Ending balance: collectively evaluated for impairment Total Loan Receivables: Commercial real estate $ 26,225 $ 820,257 $ 1,463 $ 847,945 $ 32,929 $ 694,385 $ 727,314 $ 24,035 $ 688,805 $ 712,840 Residential first mortgages 2,616 153,481 468 156,565 2,437 167,937 170,374 2,271 173,545 175,816 Residential rentals 1,377 122,745 1,261 125,383 2,376 107,852 110,228 2,668 108,237 110,905 Construction and land development 729 28,059 - 28,788 729 27,142 27,871 729 30,365 31,094 Home equity and second mortgages 293 35,748 319 36,360 317 21,034 21,351 225 22,109 22,334 Commercial loans 2,773 59,310 - 62,083 2,951 53,466 56,417 2,265 54,111 56,376 Consumer loans 1 729 - 730 - 573 573 - 541 541 Commercial equipment 1,534 48,349 - 49,883 1,515 34,401 35,916 507 34,993 35,500 $ 35,548 $ 1,268,678 $ 3,511 $ 1,307,737 $ 43,254 $ 1,106,790 $ 1,150,044 $ 32,700 $ 1,112,706 $ 1,145,406 Allowance for loan losses: Commercial real estate $ 174 $ 6,538 $ - $ 6,712 $ 370 $ 6,081 $ 6,451 $ 155 $ 6,153 $ 6,308 Residential first mortgages - 691 - 691 2 1,142 1,144 7 1,250 1,257 Residential rentals - 585 - 585 18 494 512 21 603 624 Construction and land development - 295 - 295 163 299 462 163 483 646 Home equity and second mortgages - 177 - 177 - 162 162 - 128 128 Commercial loans 458 756 - 1,214 168 845 1,013 169 622 791 Consumer loans 1 4 - 5 - 7 7 - 7 7 Commercial equipment 377 683 - 1,060 303 461 764 303 371 674 $ 1,010 $ 9,729 $ - $ 10,739 $ 1,024 $ 9,491 $ 10,515 $ 818 $ 9,617 $ 10,435 During the fourth quarter of 2016, the Company expanded its factor scoring categories from three levels to five levels to capture additional movements in qualitative factors used to calculate the general allowance of each portfolio segment. No additional qualitative factors were added to the Company’s methodology as part of this change. There were no material changes to the existing allowance for loan losses by portfolio segment or in the aggregate as a result of the change. Credit Quality Indicators Credit quality indicators as of September 30, 2018 and December 31, 2017 were as follows: Credit Risk Profile by Internally Assigned Grade Commercial Real Estate Construction and Land Dev. Residential Rentals (dollars in thousands) 9/30/2018 12/31/2017 9/30/2018 12/31/2017 9/30/2018 12/31/2017 Unrated $ 111,356 $ 75,581 $ 2,320 $ 1,775 $ 36,332 $ 28,428 Pass 715,844 619,604 25,739 25,367 87,905 80,279 Special mention - - - - - - Substandard 20,745 32,129 729 729 1,146 1,521 Doubtful - - - - - - Loss - - - - - - Total $ 847,945 $ 727,314 $ 28,788 $ 27,871 $ 125,383 $ 110,228 Commercial Loans Commercial Equipment Total Commercial Portfolios (dollars in thousands) 9/30/2018 12/31/2017 9/30/2018 12/31/2017 9/30/2018 12/31/2017 Unrated $ 19,507 $ 14,356 $ 14,495 $ 10,856 $ 184,010 $ 130,996 Pass 39,811 39,118 33,934 23,581 903,233 787,949 Special mention - - - - - - Substandard 2,765 2,943 1,454 1,479 26,839 38,801 Doubtful - - - - - - Loss - - - - - - Total $ 62,083 $ 56,417 $ 49,883 $ 35,916 $ 1,114,082 $ 957,746 Non-Commercial Portfolios ** Total All Portfolios (dollars in thousands) 9/30/2018 12/31/2017 9/30/2018 12/31/2017 Unrated $ 144,803 $ 152,616 $ 328,813 $ 283,612 Pass 47,051 38,081 950,284 826,030 Special mention - 96 - 96 Substandard 1,801 1,505 28,640 40,306 Doubtful - - - - Loss - - - - Total $ 193,655 $ 192,298 $ 1,307,737 $ 1,150,044 ** Non-commercial portfolios are generally evaluated based on payment activity, but may be risk graded if part of a larger commercial relationship or are credit impaired (e,g. non-accrual loans, TDRs). Credit Risk Profile Based on Payment Activity Residential First Mortgages Home Equity and Second Mtg. Consumer Loans (dollars in thousands) 9/30/2018 12/31/2017 9/30/2018 12/31/2017 9/30/2018 12/31/2017 Performing $ 156,362 $ 169,896 $ 36,210 $ 21,217 $ 730 $ 573 Nonperforming 203 478 150 134 - - Total $ 156,565 $ 170,374 $ 36,360 $ 21,351 $ 730 $ 573 A risk grading scale is used to assign grades to commercial relationships, which include commercial real estate, residential rentals, construction and land development, commercial loans and commercial equipment loans. Loans are graded at inception, annually thereafter when financial statements are received and at other times when there is an indication that a credit may have weakened or improved. Only commercial loan relationships with an aggregate exposure to the Bank of $1,000,000 or greater are subject to being risk rated. Home equity and second mortgages and consumer loans are evaluated for creditworthiness in underwriting and are monitored based on borrower payment history. Residential first mortgages are evaluated for creditworthiness during credit due diligence before being purchased. Residential first mortgages, home equity and second mortgages and consumer loans are classified as unrated unless they are part of a larger commercial relationship that requires grading or are TDRs or nonperforming loans with an Other Assets Especially Mentioned (“OAEM”) or higher risk rating due to a delinquent payment history. Management regularly reviews credit quality indicators as part of its individual loan reviews and on a monthly and quarterly basis. The overall quality of the Bank’s loan portfolio is assessed using the Bank’s risk grading scale, the level and trends of net charge-offs, nonperforming loans and delinquencies, the performance of TDRs and the general economic conditions in the Company’s geographical market. This review process is assisted by frequent internal reporting of loan production, loan quality, concentrations of credit, loan delinquencies and nonperforming and potential problem loans. Credit quality indicators and allowance factors are adjusted based on management’s judgment during the monthly and quarterly review process. Loans subject to risk ratings are graded on a scale of one to ten. The Company considers loans rated substandard, doubtful and loss as classified assets for regulatory and financial reporting. Ratings 1 thru 6 - Pass Ratings 1 thru 6 have asset risks ranging from excellent low risk to adequate. The specific rating assigned considers customer history of earnings, cash flows, liquidity, leverage, capitalization, consistency of debt service coverage, the nature and extent of customer relationship and other relevant specific business factors such as the stability of the industry or market area, changes to management, litigation or unexpected events that could have an impact on risks. Rating 7 - OAEM (Other Assets Especially Mentioned) – Special Mention These credits, while protected by the financial strength of the borrowers, guarantors or collateral, have reduced quality due to economic conditions, less than adequate earnings performance or other factors which require the lending officer to direct more t |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | NOTE 13 - FAIR VALUE MEASUREMENTS The Company adopted FASB ASC Topic 820, “Fair Value Measurements” and FASB ASC Topic 825, “The Fair Value Option for Financial Assets and Financial Liabilities” , which provides a framework for measuring and disclosing fair value under generally accepted accounting principles. FASB ASC Topic 820 requires disclosures about the fair value of assets and liabilities recognized in the balance sheet in periods subsequent to initial recognition, whether the measurements are made on a recurring basis (for example, available for sale investment securities) or on a nonrecurring basis (for example, impaired loans). FASB ASC Topic 820 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. FASB ASC Topic 820 also establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company utilizes fair value measurements to record fair value adjustments to certain assets and to determine fair value disclosures. Securities available for sale are recorded at fair value on a recurring basis. Additionally, from time to time, the Company may be required to record at fair value other assets on a nonrecurring basis such as loans held for investment and certain other assets. These nonrecurring fair value adjustments typically involve application of lower of cost or market accounting or write-downs of individual assets. Under FASB ASC Topic 820, the Company groups assets and liabilities at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine the fair value. These hierarchy levels are: Level 1 inputs - Unadjusted quoted prices in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. Level 2 inputs - Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets and liabilities in active markets, and inputs other than quoted prices that are observable for the asset or liability, such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 inputs - Unobservable inputs for determining the fair values of assets or liabilities that reflect an entity’s own assumptions about the assumptions that market participants would use in pricing the assets or liabilities. Transfers between levels of the fair value hierarchy are recognized on the actual date of the event or circumstances that caused the transfer, which generally coincides with the Company’s quarterly valuation process. Transfers in and out of level 3 during a quarter are disclosed. There were no transfers between Level 1, 2 or 3 in the fair value hierarchy during the nine months ending September 30 , 2018. Following is a description of valuation methodologies used for assets and liabilities recorded at fair value: Securities Available for Sale Investment securities available for sale are recorded at fair value on a recurring basis. Standard inputs include quoted prices, if available. If quoted prices are not available, fair values are measured using independent pricing models or other model-based valuation techniques such as the present value of future cash flows, adjusted for the security’s credit rating, prepayment assumptions and other factors such as credit loss assumptions. Level 1 securities include those traded on an active exchange, such as the New York Stock Exchange, Treasury securities that are traded by dealers or brokers in active over-the-counter markets and money market funds. Level 2 securities include mortgage-backed securities issued by government sponsored entities (“GSEs”), municipal bonds and corporate debt securities. Securities classified as Level 3 include asset-backed securities in less liquid markets. Equity Securities Carried at Fair Value Through Income Equity se curities carried at fair value through income a re recorded at fair value on a recurring basis. Standard inputs include quoted prices, if available. If quoted prices are not available, fair values are measured using independent pricing models or other model-based valuation techniques such as the present value of future cash flows, adjusted for the security’s credit rating, prepayment assumptions and other factors such as credit loss assumptions. Level 1 equity securities include those traded on an active exchange, such as the New York Stock Exchange . Level 2 equity securities include mutual funds with asset -backed securities issued by government sponsored entities (“GSEs”) as the underlying investment supporting the fund. Equity s ecurities classified as Level 3 include mutual funds with asset-backed securities in less liquid markets. Loans Receivable The Company does not record loans at fair value on a recurring basis, however, from time to time, a loan is considered impaired and an allowance for loan loss is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan are considered impaired. Management estimates the fair value of impaired loans using one of several methods, including the collateral value, market value of similar debt, or discounted cash flows. Impaired loans not requiring a specific allowance represent loans for which the fair value of expected repayments or collateral exceed the recorded investment in such loans. At September 30 , 2018 and December 31, 2017, substantially all of the impaired loans were evaluated based upon the fair value of the collateral. In accordance with FASB ASC 820, impaired loans where an allowance is established based on the fair value of collateral (loans with impairment) require classification in the fair value hierarchy. When the fair value of the collateral is based on an observable market price (e.g., contracted sales price), the Company records the loan as nonrecurring Level 2. When the fair value of the impaired loan is derived from an appraisal, the Company records the loan as nonrecurring Level 3. Fair value is re-assessed at least quarterly or more frequently when circumstances occur that indicate a change in the fair value. The fair values of impaired loans that are not measured based on collateral values are measured using discounted cash flows and considered to be Level 3 inputs. Premises and Equipment Held For Sale Premises and equipment are adjusted to fair value upon transfer of the assets to premises and equipment held for sale. Subsequently, premises and equipment held for sale are carried at the lower of carrying value or fair value. Fair value is based upon independent market prices, appraised value of the collateral or management’s estimation of the value of the collateral. When the fair value of the collateral is based on an observable market price (e.g., contracted sales price), the Company records the asset as nonrecurring Level 2. When the fair value of premises and equipment is derived from an appraisal or a cash flow analysis, the Company records the asset at nonrecurring Level 3. There were no premises and equipment held for sale as of September 30, 2018 and December 31, 2017. Other Real Estate Owned (“OREO”) OREO is adjusted for fair value upon transfer of the loans to foreclosed assets. Subsequently, OREO is carried at the lower of carrying value or fair value. Fair value is based upon independent market prices, appraised value of the collateral or management’s estimation of the value of the collateral. When the fair value of the collateral is based on an observable market price (e.g., contracted sales price), the Company records the foreclosed asset as nonrecurring Level 2. When the fair value is derived from an appraisal, the Company records the foreclosed asset at nonrecurring Level 3. Assets and Liabilities Recorded at Fair Value on a Recurring Basis The tables below present the recorded amount of assets as of September 30, 2018 and December 31, 2017 measured at fair value on a recurring basis. (dollars in thousands) September 30, 2018 Description of Asset Fair Value Level 1 Level 2 Level 3 Available for sale securities Asset-backed securities issued by GSEs and U.S. Agencies CMOs $ 89,432 $ - $ 89,432 $ - MBS 6,349 - 6,349 - U.S. Agency 12,181 - 12,181 - Total available for sale securities $ 107,962 $ - $ 107,962 $ - Equity securities carried at fair value through income CRA investment fund $ 4,359 $ - $ 4,359 $ - (dollars in thousands) December 31, 2017 Description of Asset Fair Value Level 1 Level 2 Level 3 Available for sale securities Asset-backed securities issued by GSEs and U.S. Agencies CMOs $ 44,137 $ - 44,137 $ - MBS 7,087 - 7,087 - U.S. Agency 12,517 - 12,517 - Bond mutual funds 4,423 - 4,423 - Total available for sale securities $ 68,164 $ - $ 68,164 $ - Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis The Company may be required to measure certain assets at fair value on a nonrecurring basis in accordance with U.S. GAAP. These include assets that are measured at the lower of cost or market that were recognized at fair value below cost at the end of the period. Assets measured at fair value on a nonrecurring basis as of September 30 , 2018 and December 31, 2017 were included in the tables below. (dollars in thousands) September 30, 2018 Description of Asset Fair Value Level 1 Level 2 Level 3 Loans with impairment Commercial real estate $ 1,387 $ - $ - $ 1,387 Commercial loans 425 - - 425 Commercial equipment 25 - - 25 Total loans with impairment $ 1,837 $ - $ - $ 1,837 Other real estate owned $ 8,207 $ - $ - $ 8,207 (dollars in thousands) December 31, 2017 Description of Asset Fair Value Level 1 Level 2 Level 3 Loans with impairment Commercial real estate $ 1,638 $ - $ - $ 1,638 Residential first mortgages 457 - - 457 Residential rentals 377 - - 377 Construction and land development 566 - - 566 Commercial loans 164 - - 164 Total loans with impairment $ 3,202 $ - $ - $ 3,202 Other real estate owned $ 9,341 $ - $ - $ 9,341 Loans with impairment had unpaid principal balances of $2.8 million and $4.2 million at September 30 , 2018 and December 31, 2017, respectively, and include impaired loans with a specific allowance. The following tables provide information describing the unobservable inputs used in Level 3 fair value measurements at September 3 0 , 2018 and December 31, 2017. September 30, 2018 (dollars in thousands) Description of Asset Fair Value Valuation Technique Unobservable Inputs Range (Weighted Average) Loans with impairment $ 1,837 Third party appraisals and in-house real estate evaluations of fair value Management discount for property type and current market conditions 0% -50% ( 35% ) Other real estate owned $ 8,207 Third party appraisals and in-house real estate evaluations of fair value Management discount for property type and current market conditions 0% -50% ( 13% ) December 31, 2017 (dollars in thousands) Description of Asset Fair Value Valuation Technique Unobservable Inputs Range (Weighted Average) Loans with impairment $ 3,202 Third party appraisals and in-house real estate evaluations of fair value Management discount for property type and current market conditions 0% -50% ( 24% ) Other real estate owned $ 9,341 Third party appraisals and in-house real estate evaluations of fair value Management discount for property type and current market conditions 0% -50% ( 12% ) |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value of Financial Instruments | NOTE 14 - FAIR VALUE OF FINANCIAL INSTRUMENTS Financial instruments require disclosure of fair value information, whether or not recognized in the consolidated balance sheets, when it is practical to estimate the fair value. A financial instrument is defined as cash, evidence of an ownership interest in an entity or a contractual obligation which requires the exchange of cash. Certain items are specifically excluded from the financial instrument fair value disclosure requirements, including the Company’s common stock, OREO, premises and equipment and other assets and liabilities. T he estimated fair value amounts have been determined by the Company using available market information and appropriate valuation methodologies. However, considerable judgment is required to interpret market data to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. Therefore, any aggregate unrealized gains or losses should not be interpreted as a forecast of future earnings or cash flows. Furthermore, the fair values disclosed should not be interpreted as the aggregate current value of the Company. Valuation Methodology During the three months ended March 31, 2018, the Company implemented “ ASU 2016-01 - Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities .” ASU 2016-01 requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes . The other requirements of ASU 2016-01 are described in Note 1. The standard update was adopted prospectively and the December 31, 2017 valuations reflect the methodologies used prior to the adoption of ASU 2016-01. Fair values at September 30, 2018 were measured using an “exit price” notion. Prior to adopting the amendments included in the standard, the Company measure d fair value under an entry price notion. The entry price notion previously applied by the Company used a discounted cash flows technique for loans, time deposits and debt, to calculate the present value of expected future cash flows for financial instrument s . See the Company’s methodologies disclosed in Note 20 of the Company’s 2017 Form 10-K for the fair value methodologies used as of December 31, 2017. The exit price notion uses a similar a pproach as the Company’s previous methodology for valuations that used discounted cash flows, but also incorporates other factors, such as enhanced credit risk, illiquidity risk and market factors that sometimes exist in exit prices in dislocated markets. The implementation of ASU 2016-01 was most impactful to the Company’s loan portfolio because the Company’s other financial instruments have one or several other compensating factors (e.g., quoted market prices, lower credit risk, limited liquidity risk, short durations, etc.). As of September 30 , 2018, the technique used by the Company to estimate the exit price of the loan portfolio consist ed of similar procedures to those used as of December 31, 2017, but with added emphasis on both illiquidity risk and credit risk not captured by the previously applied entry price notion. This credit risk assumption is intended to approximate the fair value that a market participant would realize in a hypothetical orderly transaction. The Company’s loan portfolio is initially fair valued using a segmented approach, using the eight categories as disclosed in Note 11. Loans are considered a Level 3 classification. The following summarizes the valuation methodologies used as of September 30, 2018: Investment securities and equity securities carried at fair value through income - Fair values are based on quoted market prices or dealer quotes. If a quoted market price is not available, fair value is estimated using quoted market prices for similar securities. FHLB stock and non-marketable equity securities held at other financial institutions – Fair values are at cost, which is the carrying value of the securities. Investment in bank owned life insurance (“BOLI”) – Fair values are at cash surrender value. Loans receivable – The fair values for non-impaired loans are estimated using credit loss severity rates derived from market data, discount rates based on recent originations and market data, and prepayment speeds based on market data. The credit mark, discount rate and prepayment assumptions all consider segmentation and product attributes, such as duration and interest rates (e.g., fixed vs. variable interest). Management estimates the fair value of impaired loans using one of several methods, including the collateral value, market value of similar debt or discounted cash flows. These loans are not valued using the method described for non-impaired loans because management believes the identification of impaired loans and specific allowance, if needed, approximates fair value. Loans held for sale – Fair values are derived from secondary market quotations for similar instruments. There were no loans held for sale at September 30, 2018 and December 31, 201 7 . Deposits - The fair value of checking accounts, saving accounts and money market accounts were the amount payable on demand at the reporting date. Time certificates - The fair value was determined using the recent issuance rates and market rate analysis on similar products to determine a discount rate. FHLB - Long-term debt and short-term borrowings – The fair value was determined by applying the prepayment penalty and accrued interest payable of the specific borrowings. Guaranteed preferred beneficial interest in junior subordinated securities (TRUPs) - The fair value was determined using the recent issuance rates for trust preferred or similar borrowings to determine a discount rate. Subordinated notes - The fair value was determined using the recent issuance rates for subordinated debt or similar borrowings to determine a discount rate. Off-balance sheet instruments - The Company charges fees for commitments to extend credit. Interest rates on loans for which these commitments are extended are normally committed for periods of less than one month. Fees charged on standby letters of credit and other financial guarantees are deemed to be immaterial and these guarantees are expected to be settled at face amount or expire unused. The Company’s estimated fair values of financial instruments are presented in the following tables. September 30, 2018 Fair Value Measurements Description of Asset (dollars in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Assets Investment securities - AFS $ 107,962 $ 107,962 $ - $ 107,962 $ - Investment securities - HTM 97,217 93,811 994 92,817 - Equity securities carried at fair value through income 4,359 4,359 - 4,359 - Non-marketable equity securities in other financial institutions 249 249 249 FHLB Stock 2,547 2,547 - 2,547 - Net loans receivable 1,297,915 1,263,046 - - 1,263,046 Investment in BOLI 36,071 36,071 - 36,071 - Liabilities Savings, NOW and money market accounts $ 1,010,492 $ 1,010,492 $ - $ 1,010,492 $ - Time deposits 441,879 440,159 - 440,159 - Long-term debt 20,451 20,419 - 20,419 - Short term borrowings 5,000 4,998 - 4,998 - TRUPs 12,000 10,717 - 10,717 - Subordinated notes 23,000 23,133 - 23,133 - See the Company’s methodologies disclosed in Note 20 of the Company’s 2017 Form 10-K for the fair value methodologies used as of December 31, 2017: December 31, 2017 Fair Value Measurements Description of Asset (dollars in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Assets Investment securities - AFS $ 68,164 $ 68,164 $ - $ 68,164 $ - Investment securities - HTM 99,246 98,007 1,000 97,007 - Non-marketable equity securities in other financial institutions 121 121 - 121 - FHLB Stock 7,276 7,276 - 7,276 - Net loans receivable 1,140,615 1,097,592 - - 1,097,592 Investment in BOLI 29,398 29,398 - 29,398 - Liabilities Savings, NOW and money market accounts $ 654,632 $ 654,632 $ - $ 654,632 $ - Time deposits 451,605 453,644 - 453,644 - Long-term debt 55,498 57,421 - 57,421 - Short term borrowings 87,500 87,208 - 87,208 - TRUPs 12,000 9,400 - 9,400 - Subordinated notes 23,000 22,400 - 22,400 - At September 30, 2018 and December 31, 201 7 , the Company had outstanding loan commitments and standby letters of credit of $35.5 million and $65.6 million, respectively and $23.0 million and $17.9 million, respectively. Additionally, at September 30, 2018 and December 31, 201 7 , customers had $225.1 million and $162.2 million, respectively, available and unused on lines of credit, which include lines of credit for commercial customers, home equity loans as well as builder and construction lines. Based on the short-term lives of these instruments, the Company does not believe that the fair value of these instruments differs significantly from their carrying values. The fair value estimates presented herein are based on pertinent information available to management as of September 30, 2018 and December 31, 201 7 , respectively. Although management is not aware of any factors that would significantly affect the estimated fair value amounts, such amounts have not been comprehensively revalued for purposes of these financial statements since that date and, therefore, current estimates of fair value may differ significantly from the amount presented herein. |
Business Combination and Good_2
Business Combination and Goodwill (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Business Combinations [Abstract] | |
Assets acquired and liabilities assumed recognized at the acquisition date | The following table summarizes the consideration paid by the Company in the merger with County First and the amounts of the assets acquired and liabilities assumed recognized at the acquisition date: (dollars in thousands) As Recorded by County First Fair Value and Other Merger Related Adjustments As Recorded by the Company Consideration Paid Cash $ 2,122 Common shares issued 35,620 Fair Value of Total Consideration Transferred $ 37,742 Recognized amounts of identifiable assets acquired and liabilities assumed Cash and cash equivalents $ 34,409 $ - $ 34,409 Securities 38,861 (619) 38,242 Loans, net of allowance 142,404 (1,654) 140,750 Premises and equipment 2,980 181 3,161 Core deposit intangibles - 3,590 3,590 Interest receivable 513 (12) 501 Bank owned life insurance 6,275 - 6,275 Deferred tax asset 639 (339) 300 Other assets 586 - 586 Total assets acquired $ 226,667 $ 1,147 $ 227,814 Deposits $ 199,210 $ 18 $ 199,228 Other liabilities 1,449 103 1,552 Total liabilities assumed $ 200,659 $ 121 $ 200,780 Net identifiable assets acquired $ 26,008 $ 1,026 $ 27,034 Goodwill resulting from acquisition $ 10,708 |
Proforma Results | The following table presents certain pro forma information as if County First had been acquired on January 1, 2017. These results combine the historical results of County First in the Company’s consolidated statement of income and, while certain adjustments were made for the estimated impact of certain fair value adjustments and other acquisition-related activity, they are not indicative of what would have occurred had the acquisition taken place on January 1, 2017. Merger and acquisition costs of $741,000 and $3.6 million (pre-tax) are included in the Company’s consolidated statements of income for the three and nine months ended September 30, 2018. The Company has not segregated County First earnings after the acquisition date as the bank’s operations have been merged into Community Bank of the Chesapeake and it would be impractical to do so. There are no assumptions about what merger related costs would have been in the proforma information below, only actual expenses are included in net income. Furthermore, additional expenses related to systems conversions and other costs of integration are expected to be recorded during 2018. Additionally, the Company expects to achieve further operating cost savings and other business synergies as a result of the acquisition which are not reflected in the pro forma amounts below: Proforma Results for the Nine Months Ended September 30, 2017 (dollars in thousands, except per share amounts) The Community Financial Corporation Actual County First Actual Proforma September 30, 2017 Actual Results Nine Months Ended September 30, 2018 Total revenues (net interest income plus noninterest income) $ 35,698 $ 6,561 $ 42,259 $ 41,056 Net income 7,667 1,009 8,676 7,414 Basic earnings per common share $ 1.66 $ 1.10 $ 1.56 $ 1.34 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Income Taxes [Abstract] | |
Current and deferred income tax expense (benefit) | The Three Months Ended The Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Current income tax expense $ 1,606 $ 1,906 $ 3,065 $ 5,472 Deferred income tax expense (benefit) (165) (189) (263) (771) Income tax expense as reported $ 1,441 $ 1,717 $ 2,802 $ 4,701 Effective tax rate 27.2% 38.2% 27.4% 38.0% |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Schedule of Comprehensive Income (Loss) | The following tables present the components of comprehens ive income for the three and nine months ended September 30, 2018 and 2017. The Company’s comprehensive gains and losses and reclassification adjustments were solely for securities for the three and nine months ended September 30, 2018 and 2017. Reclassification adjustments are recorded in non-interest income. Three Months Ended September 30, 2018 Three Months Ended September 30, 2017 (dollars in thousands) Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Net unrealized holding gains (losses) arising during period $ (622) $ (171) $ (451) $ (81) $ (32) $ (49) Reclassification adjustments - $ - - - - - Other comprehensive (loss) income $ (622) $ (171) $ (451) $ (81) $ (32) $ (49) Nine Months Ended September 30, 2018 Nine Months Ended September 30, 2017 (dollars in thousands) Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Net unrealized holding gains (losses) arising during period $ (1,989) $ (547) $ (1,442) $ 653 $ 257 $ 396 Reclassification adjustments $ - - (9) (3) (6) Other comprehensive (loss) income $ (1,989) $ (547) $ (1,442) $ 644 $ 254 $ 390 |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table presents the changes in each component of accumulated other comprehensive loss, net of tax, for the three and nine months ended September 3 0 , 2018 and 2017. Three Months Ended September 30, 2018 Three Months Ended September 30, 2017 Nine Months Ended September 30, 2018 Nine Months Ended September 30, 2017 (dollars in thousands) Net Unrealized Gains And Losses Net Unrealized Gains And Losses Net Unrealized Gains And Losses Net Unrealized Gains And Losses Beginning of period $ (2,182) $ (489) $ (1,191) $ (928) Other comprehensive gains (losses), net of tax before reclassifications (451) (49) (1,442) 396 Amounts reclassified from accumulated other comprehensive loss - - - (6) Net other comprehensive (loss) income (451) (49) (1,442) 390 End of period $ (2,633) $ (538) $ (2,633) $ (538) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | Basic and diluted earnings per share have been computed based on weighted-average common and common equivalent shares outstanding as follows: Three Months Ended Nine Months Ended September 30, September 30, (dollars in thousands) 2018 2017 2018 2017 Net Income $ 3,858 $ 2,782 $ 7,414 $ 7,667 Average number of common shares outstanding 5,551,184 4,633,391 5,550,020 4,631,571 Dilutive effect of common stock equivalents - 26 - 1,929 Average number of shares used to calculate diluted EPS 5,551,184 4,633,417 5,550,020 4,633,500 Earnings Per Common Share Basic $ 0.70 $ 0.60 $ 1.34 $ 1.66 Diluted 0.70 0.60 1.34 1.65 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Stock-Based Compensation [Abstract] | |
Summarization of outstanding and exercisable options | Weighted Weighted-Average Average Aggregate Contractual Life Exercise Intrinsic Remaining In (dollars in thousands, except per share amounts) Shares Price Value Years Outstanding at January 1, 2017 15,081 $ 27.70 $ - Exercised (14,231) 27.70 134 Expired (350) 27.70 - Forfeited (500) 27.70 - Outstanding at December 31, 2017 - $ - $ - - Exercisable at December 31, 2017 - $ - $ - - |
Summary of the unvested restricted stock awards outstanding | The following tables summarize the nonvested restricted stock awards outstanding at September 30 , 2018 and December 31, 2017, respectively. Restricted Stock Number of Shares Weighted Average Grant Date Fair Value Nonvested at January 1, 2018 32,809 $ 22.61 Granted 8,662 37.13 Vested (17,607) 21.85 Cancelled (391) 27.69 Nonvested at September 30, 2018 23,473 $ 28.36 Restricted Stock Number of Shares Weighted Average Grant Date Fair Value Nonvested at January 1, 2017 47,881 $ 20.41 Granted 6,752 30.20 Vested (21,738) 20.13 Cancelled (86) 20.75 Nonvested at December 31, 2017 32,809 $ 22.61 |
Other Real Estate Owned ("ORE_2
Other Real Estate Owned ("OREO") (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Other Real Estate Owned ("OREO") [Abstract] | |
Analysis of OREO activity | OREO assets are presented net of the valuation allowance. The Company considers OREO as classified assets for regulatory and financial reporting. OREO carrying amounts reflect management’s estimate of the realizable value of these properties incorporating current appraised values, local real estate market conditions and related costs. An analysis of OREO activity follows. Nine Months Ended September 30, Years Ended December 31, (dollars in thousands) 2018 2017 2017 Balance at beginning of year $ 9,341 $ 7,763 $ 7,763 Additions of underlying property 282 3,622 3,634 Disposals of underlying property (991) (1,068) (1,456) Valuation allowance (425) (576) (600) Balance at end of period $ 8,207 $ 9,741 $ 9,341 |
Expenses applicable to OREO assets | Three Months Ended September 30, Nine Months Ended September 30, (dollars in thousands) 2018 2017 2018 2017 Valuation allowance $ 142 $ 263 $ 425 $ 576 Losses (gains) on dispositions - - 8 (36) Operating expenses 23 20 83 47 $ 165 $ 283 $ 516 $ 587 |
Securities (Tables)
Securities (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Securities | September 30, 2018 Amortized Gross Unrealized Gross Unrealized Estimated (dollars in thousands) Cost Gains Losses Fair Value Securities available for sale (AFS) Asset-backed securities issued by GSEs and U.S. Agencies Residential Mortgage Backed Securities ("MBS") $ 6,705 $ - $ 356 $ 6,349 Residential Collateralized Mortgage Obligations ("CMOs") 92,042 12 2,622 89,432 U.S. Agency 12,848 - 667 12,181 Total securities available for sale $ 111,595 $ 12 $ 3,645 $ 107,962 Securities held to maturity (HTM) Asset-backed securities issued by GSEs and U.S. Agencies Residential MBS $ 26,728 $ 83 $ 1,108 $ 25,703 Residential CMOs 52,087 80 1,726 50,441 U.S. Agency 10,928 - 493 10,435 Asset-backed securities issued by Others: Residential CMOs 522 - 41 481 Callable GSE Agency Bonds 5,011 - 200 4,811 Certificates of Deposit Fixed 947 - - 947 U.S. government obligations 994 - 1 993 Total securities held to maturity $ 97,217 $ 163 $ 3,569 $ 93,811 Equity securities carried at fair value through income CRA investment fund $ 4,359 $ - $ - $ 4,359 Non-marketable equity securities Other equity securities $ 249 $ - $ - $ 249 December 31, 2017 Amortized Gross Unrealized Gross Unrealized Estimated (dollars in thousands) Cost Gains Losses Fair Value Securities available for sale (AFS) Asset-backed securities issued by GSEs and U.S. Agencies Residential MBS $ 7,265 $ - $ 178 $ 7,087 Residential CMOs 45,283 12 1,158 44,137 U.S. Agency 12,863 - 346 12,517 Bond mutual funds 4,397 26 - 4,423 Total securities available for sale $ 69,808 $ 38 $ 1,682 $ 68,164 Securities held to maturity (HTM) Asset-backed securities issued by GSEs and U.S. Agencies Residential MBS $ 29,113 $ 135 $ 261 $ 28,987 Residential CMOs 54,805 62 845 54,022 U.S. Agency 8,660 - 235 8,425 Asset-backed securities issued by Others: Residential CMOs 651 - 52 599 Callable GSE Agency Bonds 5,017 - 43 4,974 U.S. government obligations 1,000 - - 1,000 Total securities held to maturity $ 99,246 $ 197 $ 1,436 $ 98,007 Non-marketable equity securities Other equity securities $ 121 $ - $ - $ 121 |
Credit Quality of Asset-Backed Securities and Agency Bonds | September 30, 2018 December 31, 2017 Credit Rating Amount Credit Rating Amount (dollars in thousands) AAA $ 204,657 AAA $ 162,336 BB 522 BB 651 B+ - B+ - Total $ 205,179 Total $ 162,987 |
Held-To-Maturity Securities [Member] | |
Schedule of Unrealized Loss on Investments | Gross unrealized losses and estimated fair value by length of time that the individual HTM securities have been in a continuous unrealized loss position at September 30, 2018 were as follows: September 30, 2018 Less Than 12 More Than 12 Months Months Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Losses Asset-backed securities issued by GSEs and U.S. Agencies $ 32,377 $ 1,041 $ 45,326 $ 2,287 $ 77,703 $ 3,328 Callable GSE Agency Bonds 4,811 200 - - 4,811 200 Asset-backed securities issued by Others - - 481 41 481 41 $ 37,188 $ 1,241 $ 45,807 $ 2,328 $ 82,995 $ 3,569 Gross unrealized losses and estimated fair value by length of time that the individual HTM securities have been in a continuous unrealized loss position at December 31, 2017 were as follows: December 31, 2017 Less Than 12 More Than 12 Months Months Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Losses Asset-backed securities issued by GSEs and U.S. Agencies $ 36,607 $ 254 $ 45,119 $ 1,130 $ 81,726 $ 1,384 Asset-backed securities issued by Others - - 599 52 599 52 $ 36,607 $ 254 $ 45,718 $ 1,182 $ 82,325 $ 1,436 |
Available-For-Sale Securities [Member] | |
Schedule of Unrealized Loss on Investments | Gross unrealized losses and estimated fair value by length of time that the individual AFS securities have been in a continuous unrealized loss position at September 30, 2018 were as follows: September 30, 2018 Less Than 12 More Than 12 Months Months Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Losses Asset-backed securities issued by GSEs and U.S. Agencies $ 58,438 $ 998 $ 43,824 $ 2,648 $ 102,262 $ 3,646 $ 58,438 $ 998 $ 43,824 $ 2,648 $ 102,262 $ 3,646 Gross unrealized losses and estimated fair value by length of time that the individual AFS securities have been in a continuous unrealized loss position at December 31, 2017 were as follows: December 31, 2017 Less Than 12 More Than 12 Months Months Total (dollars in thousands) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Losses Asset-backed securities issued by GSEs and U.S. Agencies $ 24,571 $ 328 $ 38,428 $ 1,354 $ 62,999 $ 1,682 |
Loans (Tables)
Loans (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Loans [Abstract] | |
Schedule of Loans Receivable | Loans consist of the following: September 30, 2018 December 31, 2017 (dollars in thousands) PCI All other loans** Total % of Gross Loans Total % of Gross Loans Commercial real estate $ 1,463 $ 846,482 $ 847,945 64.84% $ 727,314 63.25% Residential first mortgages 468 156,097 156,565 11.97% 170,374 14.81% Residential rentals 1,261 124,122 125,383 9.59% 110,228 9.58% Construction and land development - 28,788 28,788 2.20% 27,871 2.42% Home equity and second mortgages 319 36,041 36,360 2.78% 21,351 1.86% Commercial loans - 62,083 62,083 4.75% 56,417 4.91% Consumer loans - 730 730 0.06% 573 0.05% Commercial equipment - 49,883 49,883 3.81% 35,916 3.12% Gross loans 3,511 1,304,226 1,307,737 100.00% 1,150,044 100.00% Net deferred costs (fees) - 917 917 0.07% 1,086 0.09% Total loans, net of deferred costs $ 3,511 $ 1,305,143 $ 1,308,654 $ 1,151,130 Less: allowance for loan losses - (10,739) (10,739) -0.82% (10,515) -0.91% Net loans $ 3,511 $ 1,294,404 $ 1,297,915 $ 1,140,615 **All other loans include acquired Non-PCI pools at fair value. |
Non-accrual loans | Non-accrual loans as of September 30, 2018 and December 31, 2017 were as follows: September 30, 2018 (dollars in thousands) Non- accrual Delinquent Loans Number of Loans Non-accrual Current Loans Number of Loans Total Non-accrual Loans Total Number of Loans Commercial real estate $ 11,148 11 $ 655 3 $ 11,803 14 Residential first mortgages 850 4 357 1 1,207 5 Residential rentals 756 4 14 1 770 5 Construction and land development - - - - - - Home equity and second mortgages 150 2 - - 150 2 Commercial loans 887 3 - - 887 3 Consumer loans - - - - - - Commercial equipment 1,521 7 12 1 1,533 8 $ 15,312 31 $ 1,038 6 $ 16,350 37 December 31, 2017 (dollars in thousands) Non- accrual Delinquent Loans Number of Loans Non-accrual Current Loans Number of Loans Total Non-accrual Loans Total Number of Loans Commercial real estate $ 1,148 4 $ 839 3 $ 1,987 7 Residential first mortgages 478 3 507 1 985 4 Residential rentals 84 1 741 3 825 4 Construction and land development - - - - - - Home equity and second mortgages 134 3 123 1 257 4 Commercial loans 172 2 - - 172 2 Consumer loans - - - - - - Commercial equipment 467 3 - - 467 3 $ 2,483 16 $ 2,210 8 $ 4,693 24 |
Past Due Financing Receivables | Past due and PCI loans as of September 30, 2018 and December 31, 2017 were as follows: September 30, 2018 (dollars in thousands) 31-60 Days 61-89 Days 90 or Greater Days Total Past Due PCI Loans Current Total Loan Receivables Commercial real estate $ - $ 4,399 $ 6,918 $ 11,317 $ 1,463 $ 835,165 $ 847,945 Residential first mortgages - 794 203 997 468 155,100 156,565 Residential rentals - 976 30 1,006 1,261 123,116 125,383 Construction and land dev. - - - - - 28,788 28,788 Home equity and second mtg. 256 11 150 417 319 35,624 36,360 Commercial loans - 8 879 887 - 61,196 62,083 Consumer loans - - - - - 730 730 Commercial equipment 55 - 1,486 1,541 - 48,342 49,883 Total $ 311 $ 6,188 $ 9,666 $ 16,165 $ 3,511 $ 1,288,061 $ 1,307,737 December 31, 2017 (dollars in thousands) 31-60 Days 61-89 Days 90 or Greater Days Total Past Due PCI Loans Current Total Loan Receivables Commercial real estate $ - $ 6,711 $ 1,148 $ 7,859 $ - $ 719,455 $ 727,314 Residential first mortgages - 68 478 546 - 169,828 170,374 Residential rentals - 207 84 291 - 109,937 110,228 Construction and land dev. - - - - - 27,871 27,871 Home equity and second mtg. 19 18 134 171 - 21,180 21,351 Commercial loans 892 299 172 1,363 - 55,054 56,417 Consumer loans - 1 - 1 - 572 573 Commercial equipment 1,012 - 467 1,479 - 34,437 35,916 Total $ 1,923 $ 7,304 $ 2,483 $ 11,710 $ - $ 1,138,334 $ 1,150,044 |
Impaired Loans, Including TDRs | Impaired Loans and Troubled Debt Restructures (“TDRs”) Impaired loans, including TDRs, at September 30, 2018 and 2017 and at December 31, 2017 were as follows: September 30, 2018 (dollars in thousands) Unpaid Contractual Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Quarter Average Recorded Investment Quarter Interest Income Recognized YTD Average Recorded Investment YTD Interest Income Recognized Commercial real estate $ 26,588 $ 24,664 $ 1,561 $ 26,225 $ 174 $ 26,297 $ 340 $ 26,499 $ 763 Residential first mortgages 2,655 2,616 - 2,616 - 2,627 31 2,651 90 Residential rentals 1,431 1,377 - 1,377 - 1,382 11 1,400 47 Construction and land dev. 729 729 - 729 - 729 11 729 30 Home equity and second mtg. 298 293 - 293 - 300 4 304 10 Commercial loans 2,784 1,890 883 2,773 458 2,775 38 2,779 89 Consumer loans 1 - 1 1 1 1 - 1 - Commercial equipment 1,577 1,132 402 1,534 377 1,546 3 1,588 33 Total $ 36,063 $ 32,701 $ 2,847 $ 35,548 $ 1,010 $ 35,657 $ 438 $ 35,951 $ 1,062 December 31, 2017 (dollars in thousands) Unpaid Contractual Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance YTD Average Recorded Investment YTD Interest Income Recognized Commercial real estate $ 33,180 $ 30,921 $ 2,008 $ 32,929 $ 370 $ 33,575 $ 1,379 Residential first mortgages 2,455 1,978 459 2,437 2 2,479 91 Residential rentals 2,389 1,981 395 2,376 18 2,432 111 Construction and land dev. 729 - 729 729 163 729 26 Home equity and second mtg. 317 317 - 317 - 318 12 Commercial loans 3,010 2,783 168 2,951 168 3,048 137 Commercial equipment 1,538 1,048 467 1,515 303 1,578 73 Total $ 43,618 $ 39,028 $ 4,226 $ 43,254 $ 1,024 $ 44,159 $ 1,829 September 30, 2017 (dollars in thousands) Unpaid Contractual Principal Balance Recorded Investment With No Allowance Recorded Investment With Allowance Total Recorded Investment Related Allowance Quarter Average Recorded Investment Quarter Interest Income Recognized YTD Average Recorded Investment YTD Interest Income Recognized Commercial real estate $ 24,233 $ 19,824 $ 4,211 $ 24,035 $ 155 $ 24,153 $ 319 $ 24,399 $ 799 Residential first mortgages 2,277 1,808 463 2,271 7 2,284 18 2,302 67 Residential rentals 2,669 2,271 397 2,668 21 2,673 22 2,711 77 Construction and land dev. 729 - 729 729 163 729 9 729 16 Home equity and second mtg. 225 225 - 225 - 225 2 226 5 Commercial loans 2,324 2,096 169 2,265 169 2,298 24 2,317 71 Commercial equipment 530 40 467 507 303 522 1 530 10 Total $ 32,987 $ 26,264 $ 6,436 $ 32,700 $ 818 $ 32,884 $ 395 $ 33,214 $ 1,045 |
TDRs, Included in Impaired Loans Schedule | TDRs, included in the impaired loan schedules above, as of September 30, 2018 and December 31, 2017 were as follows: September 30, 2018 December 31, 2017 (dollars in thousands) Dollars Number of Loans Dollars Number of Loans Commercial real estate $ 8,345 8 $ 9,273 9 Residential first mortgages 512 2 527 2 Residential rentals 218 1 221 1 Construction and land development 729 2 729 2 Commercial loans 3 1 4 1 Commercial equipment 32 1 36 1 Total TDRs $ 9,839 15 $ 10,790 16 Less: TDRs included in non-accrual loans - - (769) (1) Total accrual TDR loans $ 9,839 15 $ 10,021 15 |
Allowance for Credit Losses on Financing Receivables | The following tables detail activity in the allowance for loan losses at and for the three and nine months ended September 30, 2018 and 2017, respectively. An allocation of the allowance to one category of loans does not prevent the Company from using that allowance to absorb losses in a different category. September 30, 2018 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provisions Ending Balance Three Months Ended Commercial real estate $ 6,563 $ (32) $ 2 $ 179 $ 6,712 Residential first mortgages 737 (2) - (44) 691 Residential rentals 469 (54) - 170 585 Construction and land development 498 - - (203) 295 Home equity and second mortgages 104 - 2 71 177 Commercial loans 1,203 2 176 (167) 1,214 Consumer loans 7 (1) - (1) 5 Commercial equipment 1,144 (132) 13 35 1,060 $ 10,725 $ (219) $ 193 $ 40 $ 10,739 Purchase Credit Impaired** $ - $ - $ - $ - $ - Nine Months Ended Commercial real estate $ 6,451 $ (268) $ 8 $ 521 $ 6,712 Residential first mortgages 1,144 (115) - (338) 691 Residential rentals 512 (54) - 127 585 Construction and land development 462 - - (167) 295 Home equity and second mortgages 162 (7) 16 6 177 Commercial loans 1,013 (86) 176 111 1,214 Consumer loans 7 (2) - - 5 Commercial equipment 764 (431) 47 680 1,060 $ 10,515 $ (963) $ 247 $ 940 $ 10,739 Purchase Credit Impaired** $ - $ - $ - $ - $ - ** There is no allowance for loan loss on the PCI portfolios. A more detailed rollforward schedule will be presented if an allowance is required. September 30, 2017 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provisions Ending Balance Three Months Ended Commercial real estate $ 6,085 $ (217) $ 4 $ 436 $ 6,308 Residential first mortgages 1,300 - - (43) 1,257 Residential rentals 335 - - 289 624 Construction and land development 720 (1) - (73) 646 Home equity and second mortgages 112 (13) 1 28 128 Commercial loans 814 - - (23) 791 Consumer loans 5 - - 2 7 Commercial equipment 1,063 (22) 25 (392) 674 $ 10,434 $ (253) $ 30 $ 224 $ 10,435 Nine Months Ended Commercial real estate $ 5,212 $ (217) $ 13 $ 1,300 $ 6,308 Residential first mortgages 1,406 - - (149) 1,257 Residential rentals 362 (42) - 304 624 Construction and land development 941 (26) - (269) 646 Home equity and second mortgages 138 (14) 1 3 128 Commercial loans 794 - 1 (4) 791 Consumer loans 3 (2) - 6 7 Commercial equipment 1,004 (168) 49 (211) 674 $ 9,860 $ (469) $ 64 $ 980 $ 10,435 The following tables detail loan receivable and allowance balances disaggregated on the basis of the Company’s impairment methodology at September 30, 2018 and 2017 and December 31, 2017. September 30, 2018 December 31, 2017 September 30, 2017 (dollars in thousands) Ending balance: individually evaluated for impairment Ending balance: collectively evaluated for impairment Purchase Credit Impaired Total Ending balance: individually evaluated for impairment Ending balance: collectively evaluated for impairment Total Ending balance: individually evaluated for impairment Ending balance: collectively evaluated for impairment Total Loan Receivables: Commercial real estate $ 26,225 $ 820,257 $ 1,463 $ 847,945 $ 32,929 $ 694,385 $ 727,314 $ 24,035 $ 688,805 $ 712,840 Residential first mortgages 2,616 153,481 468 156,565 2,437 167,937 170,374 2,271 173,545 175,816 Residential rentals 1,377 122,745 1,261 125,383 2,376 107,852 110,228 2,668 108,237 110,905 Construction and land development 729 28,059 - 28,788 729 27,142 27,871 729 30,365 31,094 Home equity and second mortgages 293 35,748 319 36,360 317 21,034 21,351 225 22,109 22,334 Commercial loans 2,773 59,310 - 62,083 2,951 53,466 56,417 2,265 54,111 56,376 Consumer loans 1 729 - 730 - 573 573 - 541 541 Commercial equipment 1,534 48,349 - 49,883 1,515 34,401 35,916 507 34,993 35,500 $ 35,548 $ 1,268,678 $ 3,511 $ 1,307,737 $ 43,254 $ 1,106,790 $ 1,150,044 $ 32,700 $ 1,112,706 $ 1,145,406 Allowance for loan losses: Commercial real estate $ 174 $ 6,538 $ - $ 6,712 $ 370 $ 6,081 $ 6,451 $ 155 $ 6,153 $ 6,308 Residential first mortgages - 691 - 691 2 1,142 1,144 7 1,250 1,257 Residential rentals - 585 - 585 18 494 512 21 603 624 Construction and land development - 295 - 295 163 299 462 163 483 646 Home equity and second mortgages - 177 - 177 - 162 162 - 128 128 Commercial loans 458 756 - 1,214 168 845 1,013 169 622 791 Consumer loans 1 4 - 5 - 7 7 - 7 7 Commercial equipment 377 683 - 1,060 303 461 764 303 371 674 $ 1,010 $ 9,729 $ - $ 10,739 $ 1,024 $ 9,491 $ 10,515 $ 818 $ 9,617 $ 10,435 |
Credit Quality Indicators | Credit quality indicators as of September 30, 2018 and December 31, 2017 were as follows: Credit Risk Profile by Internally Assigned Grade Commercial Real Estate Construction and Land Dev. Residential Rentals (dollars in thousands) 9/30/2018 12/31/2017 9/30/2018 12/31/2017 9/30/2018 12/31/2017 Unrated $ 111,356 $ 75,581 $ 2,320 $ 1,775 $ 36,332 $ 28,428 Pass 715,844 619,604 25,739 25,367 87,905 80,279 Special mention - - - - - - Substandard 20,745 32,129 729 729 1,146 1,521 Doubtful - - - - - - Loss - - - - - - Total $ 847,945 $ 727,314 $ 28,788 $ 27,871 $ 125,383 $ 110,228 Commercial Loans Commercial Equipment Total Commercial Portfolios (dollars in thousands) 9/30/2018 12/31/2017 9/30/2018 12/31/2017 9/30/2018 12/31/2017 Unrated $ 19,507 $ 14,356 $ 14,495 $ 10,856 $ 184,010 $ 130,996 Pass 39,811 39,118 33,934 23,581 903,233 787,949 Special mention - - - - - - Substandard 2,765 2,943 1,454 1,479 26,839 38,801 Doubtful - - - - - - Loss - - - - - - Total $ 62,083 $ 56,417 $ 49,883 $ 35,916 $ 1,114,082 $ 957,746 Non-Commercial Portfolios ** Total All Portfolios (dollars in thousands) 9/30/2018 12/31/2017 9/30/2018 12/31/2017 Unrated $ 144,803 $ 152,616 $ 328,813 $ 283,612 Pass 47,051 38,081 950,284 826,030 Special mention - 96 - 96 Substandard 1,801 1,505 28,640 40,306 Doubtful - - - - Loss - - - - Total $ 193,655 $ 192,298 $ 1,307,737 $ 1,150,044 ** Non-commercial portfolios are generally evaluated based on payment activity, but may be risk graded if part of a larger commercial relationship or are credit impaired (e,g. non-accrual loans, TDRs). Credit Risk Profile Based on Payment Activity Residential First Mortgages Home Equity and Second Mtg. Consumer Loans (dollars in thousands) 9/30/2018 12/31/2017 9/30/2018 12/31/2017 9/30/2018 12/31/2017 Performing $ 156,362 $ 169,896 $ 36,210 $ 21,217 $ 730 $ 573 Nonperforming 203 478 150 134 - - Total $ 156,565 $ 170,374 $ 36,360 $ 21,351 $ 730 $ 573 |
Accounting for Certain Loans and Debt Securities Acquired In Transfer Table | In conjunction with the acquisition of County First, the PCI loan portfolio was accounted for at fair value as follows: (dollars in thousands) January 1, 2018 Contractual principal and interest at acquisition $ 6,126 Nonaccretable difference (1,093) Expected cash flows at acquisition 5,033 Accretable yield (517) Basis in PCI loans at acquisition - estimated fair value $ 4,516 |
Certain Loans Acquired In Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Table | A summary of changes in the accretable yield for PCI loans for the three and nine months ended September 30, 2018 follows: Three Months Ended Nine Months Ended (dollars in thousands) September 30, 2018 September 30, 2018 Accretable yield, beginning of period $ 401 $ - Additions - 517 Accretion (54) (170) Reclassification from (to) nonaccretable difference - - Other changes, net - - Accretable yield, end of period $ 347 $ 347 |
Summary Of Acquired And Non Acquired Loans Table | The following is a summary of acquired and non-acquired loans as of September 30, 2018 and December 31, 2017: BY ACQUIRED AND NON-ACQUIRED September 30, 2018 % December 31, 2017 % Acquired loans - performing $ 107,142 8.19% $ - 0.00% Acquired loans - purchase credit impaired ("PCI") 3,511 0.27% - 0.00% Total acquired loans 110,653 8.46% - 0.00% Non-acquired loans** 1,197,084 91.54% 1,150,044 100.00% Gross loans 1,307,737 1,150,044 Net deferred costs (fees) 917 0.07% 1,086 0.09% Total loans, net of deferred costs $ 1,308,654 $ 1,151,130 ** Non-acquired loans include loans transferred from acquired pools following release of acquisition accounting FMV adjustments. |
Regulatory Capital (Tables)
Regulatory Capital (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Regulatory Capital [Abstract] | |
Regulatory | The Company’s and the Bank’s actual regulatory capital amounts and ratios are presented in the following table. Regulatory Capital and Ratios The Company The Bank (dollars in thousands) September 30, 2018 December 31, 2017 September 30, 2018 December 31, 2017 Common equity $ 150,148 $ 109,957 $ 180,620 $ 139,046 Goodwill (10,708) - (10,708) - Core deposit intangible (net of deferred tax liability) (2,169) - (2,169) - AOCI losses 2,633 1,191 2,633 1,191 Common Equity Tier 1 Capital 139,904 111,148 170,376 140,237 TRUPs 12,000 12,000 - - Tier 1 Capital 151,904 123,148 170,376 140,237 Allowable reserve for credit losses and other Tier 2 adjustments 10,790 10,545 10,790 10,545 Subordinated notes 23,000 23,000 - - Tier 2 Capital $ 185,694 $ 156,693 $ 181,166 $ 150,782 Risk-Weighted Assets ("RWA") $ 1,358,171 $ 1,169,341 $ 1,354,942 $ 1,164,478 Average Assets ("AA") $ 1,596,550 $ 1,401,741 $ 1,593,387 $ 1,398,001 2019 Regulatory Min. Ratio + CCB (1) Common Tier 1 Capital to RWA 7.00% 10.30 % 9.51 % 12.57 % 12.04 % Tier 1 Capital to RWA 8.50 11.18 10.53 12.57 12.04 Tier 2 Capital to RWA 10.50 13.67 13.40 13.37 12.95 Tier 1 Capital to AA (Leverage) (2) n/a 9.51 8.79 10.69 10.03 (1) These are the fully phased-in ratios as of January 1, 2019 that include the minimum capital ratio ("Min. Ratio") + the capital conservation buffer ("CCB"). The phase-in period is more fully described in the footnote above. (2) Tier 1 Capital to AA (Leverage) has no capital conservation buffer defined. PCA well capitalized is defined as 5.00%. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Measurements [Abstract] | |
Fair Value, Assets Measured on Recurring Basis | The tables below present the recorded amount of assets as of September 30, 2018 and December 31, 2017 measured at fair value on a recurring basis. (dollars in thousands) September 30, 2018 Description of Asset Fair Value Level 1 Level 2 Level 3 Available for sale securities Asset-backed securities issued by GSEs and U.S. Agencies CMOs $ 89,432 $ - $ 89,432 $ - MBS 6,349 - 6,349 - U.S. Agency 12,181 - 12,181 - Total available for sale securities $ 107,962 $ - $ 107,962 $ - Equity securities carried at fair value through income CRA investment fund $ 4,359 $ - $ 4,359 $ - (dollars in thousands) December 31, 2017 Description of Asset Fair Value Level 1 Level 2 Level 3 Available for sale securities Asset-backed securities issued by GSEs and U.S. Agencies CMOs $ 44,137 $ - 44,137 $ - MBS 7,087 - 7,087 - U.S. Agency 12,517 - 12,517 - Bond mutual funds 4,423 - 4,423 - Total available for sale securities $ 68,164 $ - $ 68,164 $ - |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis | (dollars in thousands) September 30, 2018 Description of Asset Fair Value Level 1 Level 2 Level 3 Loans with impairment Commercial real estate $ 1,387 $ - $ - $ 1,387 Commercial loans 425 - - 425 Commercial equipment 25 - - 25 Total loans with impairment $ 1,837 $ - $ - $ 1,837 Other real estate owned $ 8,207 $ - $ - $ 8,207 (dollars in thousands) December 31, 2017 Description of Asset Fair Value Level 1 Level 2 Level 3 Loans with impairment Commercial real estate $ 1,638 $ - $ - $ 1,638 Residential first mortgages 457 - - 457 Residential rentals 377 - - 377 Construction and land development 566 - - 566 Commercial loans 164 - - 164 Total loans with impairment $ 3,202 $ - $ - $ 3,202 Other real estate owned $ 9,341 $ - $ - $ 9,341 |
Unobservable Inputs Used In Level 3 Fair Value Measurements Table | The following tables provide information describing the unobservable inputs used in Level 3 fair value measurements at September 3 0 , 2018 and December 31, 2017. September 30, 2018 (dollars in thousands) Description of Asset Fair Value Valuation Technique Unobservable Inputs Range (Weighted Average) Loans with impairment $ 1,837 Third party appraisals and in-house real estate evaluations of fair value Management discount for property type and current market conditions 0% -50% ( 35% ) Other real estate owned $ 8,207 Third party appraisals and in-house real estate evaluations of fair value Management discount for property type and current market conditions 0% -50% ( 13% ) December 31, 2017 (dollars in thousands) Description of Asset Fair Value Valuation Technique Unobservable Inputs Range (Weighted Average) Loans with impairment $ 3,202 Third party appraisals and in-house real estate evaluations of fair value Management discount for property type and current market conditions 0% -50% ( 24% ) Other real estate owned $ 9,341 Third party appraisals and in-house real estate evaluations of fair value Management discount for property type and current market conditions 0% -50% ( 12% ) |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value, by Balance Sheet Grouping | September 30, 2018 Fair Value Measurements Description of Asset (dollars in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Assets Investment securities - AFS $ 107,962 $ 107,962 $ - $ 107,962 $ - Investment securities - HTM 97,217 93,811 994 92,817 - Equity securities carried at fair value through income 4,359 4,359 - 4,359 - Non-marketable equity securities in other financial institutions 249 249 249 FHLB Stock 2,547 2,547 - 2,547 - Net loans receivable 1,297,915 1,263,046 - - 1,263,046 Investment in BOLI 36,071 36,071 - 36,071 - Liabilities Savings, NOW and money market accounts $ 1,010,492 $ 1,010,492 $ - $ 1,010,492 $ - Time deposits 441,879 440,159 - 440,159 - Long-term debt 20,451 20,419 - 20,419 - Short term borrowings 5,000 4,998 - 4,998 - TRUPs 12,000 10,717 - 10,717 - Subordinated notes 23,000 23,133 - 23,133 - See the Company’s methodologies disclosed in Note 20 of the Company’s 2017 Form 10-K for the fair value methodologies used as of December 31, 2017: December 31, 2017 Fair Value Measurements Description of Asset (dollars in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Assets Investment securities - AFS $ 68,164 $ 68,164 $ - $ 68,164 $ - Investment securities - HTM 99,246 98,007 1,000 97,007 - Non-marketable equity securities in other financial institutions 121 121 - 121 - FHLB Stock 7,276 7,276 - 7,276 - Net loans receivable 1,140,615 1,097,592 - - 1,097,592 Investment in BOLI 29,398 29,398 - 29,398 - Liabilities Savings, NOW and money market accounts $ 654,632 $ 654,632 $ - $ 654,632 $ - Time deposits 451,605 453,644 - 453,644 - Long-term debt 55,498 57,421 - 57,421 - Short term borrowings 87,500 87,208 - 87,208 - TRUPs 12,000 9,400 - 9,400 - Subordinated notes 23,000 22,400 - 22,400 - |
Basis of Presentation and Nat_2
Basis of Presentation and Nature of Business (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2017 | Mar. 31, 2018 | |
Basis of Presentation and Nature of Business [Abstract] | ||
Increase In Assets As A Result Of Business Combinations | $ 1,600,000 | |
Portfolio Method Reclassified From Accumulated Other Comprehensive Income Loss To Retained Earnings | $ 196 |
Business Combination and Good_3
Business Combination and Goodwill (Narrative) (Details) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2018USD ($)$ / shares | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($)$ / shares | Sep. 30, 2017USD ($) | Jan. 01, 2018USD ($)$ / sharesshares | Dec. 31, 2017$ / shares | |
Common Stock Par Or Stated Value Per Share | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | |||
Amortization of Acquisition Costs | $ 11,000 | $ 239,000 | $ 3,620,000 | $ 494,000 | ||
Goodwill | 10,708,000 | 10,708,000 | ||||
Common Class A [Member] | ||||||
Share Price | $ / shares | $ 38.78 | |||||
County First Bank [Member] | ||||||
Common Stock Par Or Stated Value Per Share | $ / shares | $ 1 | |||||
County First Bank Acquisition [Member] | ||||||
Business Acquisition Stock Conversion Per Common Stock | 0.9543 | |||||
Business Acquisition, Share Price | $ / shares | $ 2.20 | |||||
Business Acquisition, Share Price, Cash Consideration | $ / shares | 1 | |||||
Business Acquisition, Share Price, Contingent Cash Consideration | $ / shares | $ 1.20 | |||||
Business Acquisition, Aggregate Merger Consideration Of Company's Common Stock | shares | 918,526 | |||||
Payments to Acquire Businesses, Gross | 2,122,000 | |||||
Goodwill | 10,708,000 | 10,708,000 | $ 10,300,000 | |||
Goodwill Above Estimate At Time Of Acquisition | $ 431,000 | 431,000 | ||||
Business Combination, Consideration Transferred | $ 37,742,000 |
Business Combination and Good_4
Business Combination and Goodwill (Assets Acquired and Liabilities Assumed Recognized at the Acquisition Date) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Jan. 01, 2018 | |
Recognized amounts of identifiable assets acquired and liabilities assumed | ||
Goodwill resulting from acquisition | $ 10,708 | |
County First Bank Acquisition [Member] | ||
Consideration Paid | ||
Cash | 2,122 | |
Common shares issued | 35,620 | |
Fair value of total consideration transferred | 37,742 | |
Recognized amounts of identifiable assets acquired and liabilities assumed | ||
Cash and cash equivalents | 34,409 | |
Securities | 38,242 | |
Loans, net of allowance | 140,750 | |
Premises and equipment | 3,161 | |
Core deposit intangibles | 3,590 | |
Interest receivable | 501 | |
Bank owned life insurance | 6,275 | |
Deferred tax asset | 300 | |
Other assets | 586 | |
Total assets acquired | 227,814 | |
Deposits | 199,228 | |
Other liabilities | 1,552 | |
Total liabilities assumed | 200,780 | |
Net identifiable assets acquired | 27,034 | |
Goodwill resulting from acquisition | $ 10,708 | $ 10,300 |
County First Bank Acquisition [Member] | Fair Value And Other Merger Related Adjustments [Member] | ||
Recognized amounts of identifiable assets acquired and liabilities assumed | ||
Securities | (619) | |
Loans, net of allowance | (1,654) | |
Premises and equipment | 181 | |
Core deposit intangibles | 3,590 | |
Interest receivable | (12) | |
Deferred tax asset | (339) | |
Total assets acquired | 1,147 | |
Deposits | 18 | |
Other liabilities | 103 | |
Total liabilities assumed | 121 | |
Net identifiable assets acquired | 1,026 | |
County First Bank Acquisition [Member] | County First Bank [Member] | ||
Recognized amounts of identifiable assets acquired and liabilities assumed | ||
Cash and cash equivalents | 34,409 | |
Securities | 38,861 | |
Loans, net of allowance | 142,404 | |
Premises and equipment | 2,980 | |
Interest receivable | 513 | |
Bank owned life insurance | 6,275 | |
Deferred tax asset | 639 | |
Other assets | 586 | |
Total assets acquired | 226,667 | |
Deposits | 199,210 | |
Other liabilities | 1,449 | |
Total liabilities assumed | 200,659 | |
Net identifiable assets acquired | $ 26,008 |
Business Combination and Good_5
Business Combination and Goodwill (Proforma Results) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Business Acquisition [Line Items] | ||||
Total revenue (net interest income plus noninterest income) | $ 41,056 | $ 35,698 | ||
Net income | $ 3,858 | $ 2,782 | $ 7,414 | $ 7,667 |
Basic earnings per common share | $ 0.70 | $ 0.60 | $ 1.34 | $ 1.66 |
County First Bank Acquisition [Member] | ||||
Business Acquisition [Line Items] | ||||
Proforma, Total revenue (net interest income plus noninterest income) | $ 42,259 | |||
Proforma, Net income | $ 8,676 | |||
Proforma, Basic earnings per common share | $ 1.56 | |||
County First Bank [Member] | ||||
Business Acquisition [Line Items] | ||||
Total revenue (net interest income plus noninterest income) | $ 6,561 | |||
Net income | $ 1,009 | |||
Basic earnings per common share | $ 1.10 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2017 | Sep. 30, 2018 |
Income Taxes [Abstract] | |||
Deferred Tax Assets, Net | $ 5,900,000 | $ 5,900,000 | $ 7,000,000 |
Deferred Tax Assets, Valuation Allowance | $ 0 | ||
Effective Income Tax Rate Reconciliation, At Federal Statutory Income Tax Rate | 21.00% | ||
Tax Cuts And Jobs Act Of 2017, Income Tax Expense Benefit, Incomplete Accounting, Provisional Amount | $ 2,700,000 |
Income Taxes (Schedule of Curre
Income Taxes (Schedule of Current and Deferred Income Tax Expense (Benefit)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Current | ||||
Current income tax expense | $ 1,606 | $ 1,906 | $ 3,065 | $ 5,472 |
Deferred | ||||
Deferred income tax expense (benefit) | (165) | (189) | (263) | (771) |
Income tax expense as reported | $ 1,441 | $ 1,717 | $ 2,802 | $ 4,701 |
Effective tax rate | 27.20% | 38.20% | 27.40% | 38.00% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) (Narrative) (Details) $ in Thousands | 3 Months Ended |
Dec. 31, 2017USD ($) | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Portfolio Method Reclassified From Accumulated Other Comprehensive Income Loss To Retained Earnings | $ 196 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) (Schedule of Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | ||||
Net unrealized holding gains (losses) arising during period, before tax | $ (622) | $ (81) | $ (1,989) | $ 653 |
Reclassification adjustments, before tax | (9) | |||
Other comprehensive gain, before tax | (622) | (81) | (1,989) | 644 |
Net unrealized holding gains (losses) arising during period, tax effect | (171) | (32) | (547) | 257 |
Reclassification adjustments, tax effect | (3) | |||
Other comprehensive gain, tax effect | (171) | (32) | (547) | 254 |
Net unrealized holding gains (losses) arising during period, net of tax | (451) | (49) | (1,442) | 396 |
Reclassification adjustments, net of tax | (6) | |||
Other comprehensive gain, net of tax | $ (451) | $ (49) | $ (1,442) | $ 390 |
Accumulated Other Comprehensi_5
Accumulated Other Comprehensive Income (Loss) (Schedule of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | ||||
Net unrealized gains and losses, beginning of period | $ (2,182) | $ (489) | $ (1,191) | $ (928) |
Other comprehensive gain (losses), net of tax before reclassifications | (451) | (49) | (1,442) | 396 |
Amounts reclassified from accumulated other comprehensive income | (6) | |||
Net other comprehensive gain (loss) | (451) | (49) | (1,442) | 390 |
Net unrealized gains and losses, end of period | $ (2,633) | $ (538) | $ (2,633) | $ (538) |
Earnings Per Share (Schedule of
Earnings Per Share (Schedule of Earnings Per Share, Basic and Diluted) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 3,858 | $ 2,782 | $ 7,414 | $ 7,667 |
Average number of common shares outstanding | 5,551,184 | 4,633,391 | 5,550,020 | 4,631,571 |
Dilutive effect of common stock equivalents | 26 | 1,929 | ||
Average number of shares used to calculate diluted EPS | 5,551,184 | 4,633,417 | 5,550,020 | 4,633,500 |
Earnings Per Share, Basic | $ 0.70 | $ 0.60 | $ 1.34 | $ 1.66 |
Earnings Per Share, Diluted | $ 0.70 | $ 0.60 | $ 1.34 | $ 1.65 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | $ 110 | $ 115 | $ 349 | $ 399 | |
Unrecognized stock compensation expense | $ 486 | $ 486 | $ 521 | ||
Employee Stock Option [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Option maximum term | 10 years | ||||
Maximum [Member] | Restricted Stock and Units [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Employee benefit plan vesting period | 5 years | ||||
Minimum [Member] | Restricted Stock and Units [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Employee benefit plan vesting period | 3 years |
Stock-Based Compensation (Sched
Stock-Based Compensation (Schedule of Share-based Compensation, Stock Options, Activity) (Details) $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($)$ / sharesshares | |
Stock-Based Compensation [Abstract] | |
Shares outstanding, beginning balance | shares | 15,081 |
Shares exercised | shares | (14,231) |
Shares expired | shares | (350) |
Shares forfeited | shares | (500) |
Weighted average exercise price outstanding, beginning balance | $ / shares | $ 27.70 |
Weighted average exercise price exercised | $ / shares | 27.70 |
Weighted average exercise price expired | $ / shares | 27.70 |
Weighted average exercise price forfeited | $ / shares | $ 27.70 |
Aggregate intrinsic value outstanding, beginning balance | $ | $ 0 |
Aggregate intrinsic value exercised | $ | 134 |
Aggregate intrinsic value outstanding, ending balance | $ | 0 |
Aggregate intrinsic value exercisable | $ | $ 0 |
Stock-Based Compensation (Sch_2
Stock-Based Compensation (Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity) (Details) - Restricted Stock [Member] | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018$ / sharesshares | Dec. 31, 2017$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Beginning period, nonvested number of shares | shares | 32,809 | 47,881 |
Number of shares, granted | shares | 8,662 | 6,752 |
Number of shares, vested | shares | (17,607) | (21,738) |
Number of shares, cancelled | shares | (391) | (86) |
Ending period, nonvested number of shares | shares | 23,473 | 32,809 |
Beginning period, weighted average grant date fair value, nonvested number of shares | $ / shares | $ 22.61 | $ 20.41 |
Weighted average grant date fair value, granted | $ / shares | 37.13 | 30.20 |
Weighted average grant date fair value, vested | $ / shares | $ 21.85 | $ 20.13 |
Weighted average grant date fair value, cancelled | $ / shares | 27.69 | 20.75 |
Ending period, weighted average grant date fair value, nonvested number of shares | $ / shares | $ 28.36 | $ 22.61 |
Guaranteed Preferred Benefici_2
Guaranteed Preferred Beneficial Interest in Junior Subordinated Debentures ("TRUPs") (Narrative) (Details) - USD ($) | Jun. 15, 2005 | Jul. 22, 2004 | Sep. 30, 2018 |
Capital Trust I I [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, face amount | $ 5,000,000 | ||
Additional amount contributed to purchase debt | 155,000 | ||
Junior subordinated notes purchased | $ 5,200,000 | ||
Debt instrument, maturity date | Jun. 15, 2035 | ||
Capital Trust I [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, face amount | $ 7,000,000 | ||
Additional amount contributed to purchase debt | 217,000 | ||
Junior subordinated notes purchased | $ 7,200,000 | ||
Debt instrument, maturity date | Jul. 22, 2034 | ||
London Interbank Offered Rate (LIBOR) [Member] | Capital Trust I I [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, description of variable rate basis | 90-day LIBOR rate plus 1.70% | ||
Debt instrument, percent spread on variable rate | 1.70% | ||
London Interbank Offered Rate (LIBOR) [Member] | Capital Trust I [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, description of variable rate basis | 90-day LIBOR rate plus 2.60% | ||
Debt instrument, percent spread on variable rate | 2.60% |
Subordinated Notes (Details)
Subordinated Notes (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018 | Dec. 31, 2017 | Feb. 13, 2015 | Feb. 06, 2015 | |
Subordinated notes | $ 23,000,000 | $ 23,000,000 | ||
Preferred stock, redemption date | Feb. 13, 2015 | |||
Preferred stock, value | $ 20,000,000 | |||
Subordinated Debt [Member] | ||||
Debt Instrument, Face Amount | $ 23,000,000 | |||
Debt Instrument, Interest Rate, Stated Percentage | 6.25% | |||
Subordinated notes interest rate | 6.25% | 6.25% | ||
Debt Instrument, Maturity Date | Feb. 15, 2025 | |||
Redemption percentage | 100.00% | |||
Subordinated Debt [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt instrument, percent spread on variable rate | 4.79% |
Other Real Estate Owned ("ORE_3
Other Real Estate Owned ("OREO") (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2018 | Sep. 30, 2017 | Mar. 31, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Additions of underlying property | $ 282 | $ 3,622 | $ 3,634 | ||||
Gains (losses) on sale of OREO | 36 | ||||||
Gains Losses On Sales Of Other Real Estate | (8) | 36 | |||||
Foreclosed Real Estate Disposals | 991 | 1,068 | 1,456 | ||||
Valuation allowance | $ 142 | $ 263 | 425 | 576 | 600 | ||
Other real estate owned (OREO) | 8,207 | $ 9,741 | 8,207 | 9,741 | 9,341 | $ 7,763 | |
Residential Real Estate [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Impaired loans in foreclosure proceedings in process | $ 122 | 122 | $ 122 | ||||
Commercial Real Estate [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Additions of underlying property | 143 | ||||||
Development Project [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Additions of underlying property | 139 | ||||||
Commercial Lot [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Disposals | 327 | ||||||
Commercial Building [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Disposals | 476 | ||||||
One Residential Property And Three Residential Lots [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Bank provided financing | $ 200 | ||||||
Four Residential Properties And Multiple Residential Lots [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Disposals | 1,100 | ||||||
Multiple Residential Lots [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Disposals | $ 188 | ||||||
Stalled Residential Development Project [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Additions of underlying property | 3,000 | ||||||
Residential Lots [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Additions of underlying property | 103 | ||||||
Commercial Office Building [Member] | |||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||
Additions of underlying property | $ 495 |
Other Real Estate Owned ("ORE_4
Other Real Estate Owned ("OREO") (Foreclosed Real Estate Roll Forward) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Other Real Estate Owned ("OREO") [Abstract] | |||||
Balance at beginning of year | $ 9,341 | $ 7,763 | $ 7,763 | ||
Additions of underlying property | 282 | 3,622 | 3,634 | ||
Disposals of underlying property | (991) | (1,068) | (1,456) | ||
Valuation allowance | $ (142) | $ (263) | (425) | (576) | (600) |
Balance at end of period | $ 8,207 | $ 9,741 | $ 8,207 | $ 9,741 | $ 9,341 |
Other Real Estate Owned ("ORE_5
Other Real Estate Owned ("OREO") (Foreclosed Real Estate Expenses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Other Real Estate Owned ("OREO") [Abstract] | |||||
Valuation allowance | $ 142 | $ 263 | $ 425 | $ 576 | $ 600 |
Losses (gain) on dispositions | 8 | (36) | |||
Operating expenses | 23 | 20 | 83 | 47 | |
Expenses applicable to OREO assets | $ 165 | $ 283 | $ 516 | $ 587 |
Securities (Narrative) (Details
Securities (Narrative) (Details) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($)security | Dec. 31, 2017USD ($)security | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Asset-backed securities pledged to secure certain deposits | $ 42,600 | $ 31,500 | |
Asset-backed securities pledged as collateral | 3,500 | 4,000 | |
Amount | 205,179 | 162,987 | |
Amortized cost, available for sale | 111,595 | 69,808 | |
Gain (Loss) On Sale Of Securities, Net | $ 133 | 175 | |
Gross realized gains (loss) on sale of HTM securities | 133 | ||
Securities held to maturity (HTM), at amortized cost | 97,217 | 99,246 | |
Securities available for sale (AFS), at fair value | 107,962 | 68,164 | |
Estimated Fair Value, held to maturity | 93,811 | 98,007 | |
Gross unrealized losses, available for sale | 3,645 | 1,682 | |
Gross unrealized losses, held to maturity | 3,569 | 1,436 | |
Three Available For Sale Securities [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Gross realized gains on sale of AFS securities | $ 9 | $ 9 | |
Number Of Available For Sale Securities Sold | security | 3 | 3 | |
Securities available for sale (AFS), at fair value | $ 3,600 | $ 3,700 | |
Six Held To Maturity Securities [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Gross realized gains (loss) on sale of HTM securities | $ 124 | ||
Number Of Held To Maturity Securities Sold | security | 6 | ||
Securities held to maturity (HTM), at amortized cost | $ 3,400 | ||
Nine Held To Maturity Securities [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Gross realized gains (loss) on sale of HTM securities | $ 166 | ||
Number Of Held To Maturity Securities Sold | security | 9 | ||
Securities held to maturity (HTM), at amortized cost | $ 4,800 | ||
Residential Mortgage Backed Securities Issued By US Government Sponsored Enterprises [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Amortized cost, available for sale | 6,705 | 7,265 | |
Securities held to maturity (HTM), at amortized cost | 26,728 | 29,113 | |
Securities available for sale (AFS), at fair value | 6,349 | 7,087 | |
Estimated Fair Value, held to maturity | 25,703 | 28,987 | |
Gross unrealized losses, available for sale | 356 | 178 | |
Gross unrealized losses, held to maturity | 1,108 | 261 | |
Residential Collateralized Mortgage Obligations, Issued By US Government Sponsored Enterprises [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Amortized cost, available for sale | 92,042 | 45,283 | |
Securities held to maturity (HTM), at amortized cost | 52,087 | 54,805 | |
Securities available for sale (AFS), at fair value | 89,432 | 44,137 | |
Estimated Fair Value, held to maturity | 50,441 | 54,022 | |
Gross unrealized losses, available for sale | 2,622 | 1,158 | |
Gross unrealized losses, held to maturity | $ 1,726 | $ 845 | |
Asset-backed Securities, Issued by US Government Sponsored Enterprises and U.S. Agencies [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Available for sale securities, average life | 4 years 9 months 15 days | 4 years 8 months 27 days | |
Available for sale securities, average duration | 4 years 1 month 28 days | 4 years 2 months 19 days | |
Held to maturity securities, average life | 5 years 3 months 18 days | 4 years 11 months 12 days | |
Held to maturity securities, average duration | 4 years 6 months 26 days | 4 years 4 months 21 days | |
Available for sale securities with unrealized losses, average life | 4 years 8 months 16 days | 4 years 8 months 16 days | |
Available for sale securities with unrealized losses, average duration | 4 years 1 month 6 days | 4 years 2 months 12 days | |
Held to maturity securities with unrealized losses, average life | 5 years 7 days | ||
Held to maturity securities with unrealized losses, average duration | 4 years 5 months 5 days | ||
Securities held to maturity (HTM), at amortized cost | $ 81,700 | ||
Asset-backed Securities, Issued by Private Enterprises [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Held to maturity securities with unrealized losses, average life | 2 years 9 months 29 days | 3 years 2 months 12 days | |
Held to maturity securities with unrealized losses, average duration | 2 years 3 months 11 days | 2 years 7 months 28 days | |
Securities held to maturity (HTM), at amortized cost | $ 481 | $ 599 | |
US Government Agencies Callable Agency Bonds [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Securities held to maturity (HTM), at amortized cost | 5,011 | 5,017 | |
Estimated Fair Value, held to maturity | 4,811 | 4,974 | |
Gross unrealized losses, held to maturity | 200 | 43 | |
Residential Collateralized Mortgage Obligations, Issued By Private Enterprises [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Securities held to maturity (HTM), at amortized cost | 522 | 651 | |
Estimated Fair Value, held to maturity | 481 | 599 | |
Gross unrealized losses, held to maturity | 41 | 52 | |
Bond Mutual Funds [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Amortized cost, available for sale | 4,397 | ||
Securities available for sale (AFS), at fair value | 4,423 | ||
US Government Obligations [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Securities held to maturity (HTM), at amortized cost | 994 | 1,000 | |
Estimated Fair Value, held to maturity | 993 | $ 1,000 | |
Gross unrealized losses, held to maturity | $ 1 | ||
Asset-backed Securities Or Bonds, Issued by US Government Sponsored Enterprises [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Held to maturity securities with unrealized losses, average life | 5 years 11 days | ||
Held to maturity securities with unrealized losses, average duration | 4 years 4 months 10 days | ||
Securities held to maturity (HTM), at amortized cost | $ 83,000 | ||
Standard Poor's, AAA Rating [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Percentage of asset backed securities in investment portfolio | 99.00% | 99.00% | |
Amount | $ 204,657 | $ 162,336 | |
Standard Poor's, BB Rating [Member] | |||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||
Amount | $ 522 | $ 651 |
Securities (Fair Value to Amort
Securities (Fair Value to Amortized Cost Basis) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, available for sale | $ 111,595 | $ 69,808 |
Gross unrealized gains, available for sale | 12 | 38 |
Gross unrealized losses, available for sale | 3,645 | 1,682 |
Estimated fair value, available for sale | 107,962 | 68,164 |
Amortized cost, Held-to-maturity Securities | 97,217 | 99,246 |
Gross unrealized gains, held to maturity | 163 | 197 |
Gross unrealized losses, held to maturity | 3,569 | 1,436 |
Estimated Fair Value, held to maturity | 93,811 | 98,007 |
Equity securities carried at fair value through income | 4,359 | |
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
Non-marketable equity securities held in other financial institutions | 249 | 121 |
Non-Marketable Equity Securities Held In Other Financial Institutions, Estimated Fair Value | 249 | 121 |
Residential Mortgage Backed Securities Issued By US Government Sponsored Enterprises [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, available for sale | 6,705 | 7,265 |
Gross unrealized losses, available for sale | 356 | 178 |
Estimated fair value, available for sale | 6,349 | 7,087 |
Amortized cost, Held-to-maturity Securities | 26,728 | 29,113 |
Gross unrealized gains, held to maturity | 83 | 135 |
Gross unrealized losses, held to maturity | 1,108 | 261 |
Estimated Fair Value, held to maturity | 25,703 | 28,987 |
Residential Collateralized Mortgage Obligations, Issued By US Government Sponsored Enterprises [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, available for sale | 92,042 | 45,283 |
Gross unrealized gains, available for sale | 12 | 12 |
Gross unrealized losses, available for sale | 2,622 | 1,158 |
Estimated fair value, available for sale | 89,432 | 44,137 |
Amortized cost, Held-to-maturity Securities | 52,087 | 54,805 |
Gross unrealized gains, held to maturity | 80 | 62 |
Gross unrealized losses, held to maturity | 1,726 | 845 |
Estimated Fair Value, held to maturity | 50,441 | 54,022 |
US Agency [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, available for sale | 12,848 | 12,863 |
Gross unrealized losses, available for sale | 667 | 346 |
Estimated fair value, available for sale | 12,181 | 12,517 |
Amortized cost, Held-to-maturity Securities | 10,928 | 8,660 |
Gross unrealized losses, held to maturity | 493 | 235 |
Estimated Fair Value, held to maturity | 10,435 | 8,425 |
Asset-backed Securities, Issued by US Government Sponsored Enterprises and U.S. Agencies [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, Held-to-maturity Securities | 81,700 | |
Residential Collateralized Mortgage Obligations, Issued By Private Enterprises [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, Held-to-maturity Securities | 522 | 651 |
Gross unrealized losses, held to maturity | 41 | 52 |
Estimated Fair Value, held to maturity | 481 | 599 |
US Government Agencies Callable Agency Bonds [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, Held-to-maturity Securities | 5,011 | 5,017 |
Gross unrealized losses, held to maturity | 200 | 43 |
Estimated Fair Value, held to maturity | 4,811 | 4,974 |
Certificates of Deposit Fixed [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, Held-to-maturity Securities | 947 | |
Estimated Fair Value, held to maturity | 947 | |
US Government Obligations [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, Held-to-maturity Securities | 994 | 1,000 |
Gross unrealized losses, held to maturity | 1 | |
Estimated Fair Value, held to maturity | 993 | 1,000 |
Bond Mutual Funds [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Amortized cost, available for sale | 4,397 | |
Gross unrealized gains, available for sale | 26 | |
Estimated fair value, available for sale | 4,423 | |
CRA Investment Fund [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Equity securities carried at fair value through income | 4,359 | |
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
Other Equity Securities [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Non-marketable equity securities held in other financial institutions | 249 | 121 |
Non-Marketable Equity Securities Held In Other Financial Institutions, Estimated Fair Value | $ 249 | $ 121 |
Securities (Schedule of Unreali
Securities (Schedule of Unrealized Loss on Investments, AFS) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Less than 12 months, fair value | $ 58,438 | $ 24,571 |
More than 12 months, fair value | 43,824 | 38,428 |
Fair value | 102,262 | 62,999 |
Less than 12 months, unrealized loss | 998 | 328 |
More than 12 months, unrealized loss | 2,648 | 1,354 |
Unrealized loss | 3,646 | 1,682 |
Asset-backed Securities, Issued by US Government Sponsored Enterprises and U.S. Agencies [Member] | ||
Less than 12 months, fair value | 58,438 | 24,571 |
More than 12 months, fair value | 43,824 | 38,428 |
Fair value | 102,262 | 62,999 |
Less than 12 months, unrealized loss | 998 | 328 |
More than 12 months, unrealized loss | 2,648 | 1,354 |
Unrealized loss | $ 3,646 | $ 1,682 |
Securities (Schedule of Unrea_2
Securities (Schedule of Unrealized Loss on Investments, HTM) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Less than 12 months, fair value | $ 37,188 | $ 36,607 |
Less than 12 months, unrealized loss | 1,241 | 254 |
More than 12 months, fair value | 45,807 | 45,718 |
More than 12 months, unrealized loss | 2,328 | 1,182 |
Total, fair value | 82,995 | 82,325 |
Total, unrealized loss | 3,569 | 1,436 |
Asset-backed Securities, Issued by US Government Sponsored Enterprises and U.S. Agencies [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Less than 12 months, fair value | 32,377 | 36,607 |
Less than 12 months, unrealized loss | 1,041 | 254 |
More than 12 months, fair value | 45,326 | 45,119 |
More than 12 months, unrealized loss | 2,287 | 1,130 |
Total, fair value | 77,703 | 81,726 |
Total, unrealized loss | 3,328 | 1,384 |
Asset-backed Securities, Issued by Private Enterprises [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
More than 12 months, fair value | 481 | 599 |
More than 12 months, unrealized loss | 41 | 52 |
Total, fair value | 481 | 599 |
Total, unrealized loss | 41 | $ 52 |
US Government Agencies Callable Agency Bonds [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Less than 12 months, fair value | 4,811 | |
Less than 12 months, unrealized loss | 200 | |
Total, fair value | 4,811 | |
Total, unrealized loss | $ 200 |
Securities (Financing Receivabl
Securities (Financing Receivable Credit Quality Indicators) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Financing Receivable, Recorded Investment [Line Items] | ||
Amount | $ 205,179 | $ 162,987 |
Standard Poor's, AAA Rating [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Amount | 204,657 | 162,336 |
Standard Poor's, BB Rating [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Amount | $ 522 | $ 651 |
Loans (Narrative) (Details)
Loans (Narrative) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018USD ($)loan | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($)loan | Sep. 30, 2017USD ($) | Dec. 31, 2017USD ($)loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans and leases receivable, allowance percentage | 0.82% | 0.82% | 0.91% | ||
Total number of loans | loan | 37 | 37 | 24 | ||
90 or greater days delinquent | $ 15,312 | $ 15,312 | $ 2,483 | ||
Total non-accrual loans | 16,350 | 16,350 | 4,693 | ||
Deferred loan fees and premiums include net deferred fees paid by customers | 3,100 | 3,100 | 2,800 | ||
Offset by net deferred premiums paid to purchase loans | 4,000 | 4,000 | 3,900 | ||
Loans receivables | $ 1,307,737 | $ 1,145,406 | $ 1,307,737 | $ 1,145,406 | $ 1,150,044 |
Percentage status of loan in portfolio | 100.00% | 100.00% | 100.00% | ||
Allowance for loan loss | $ 10,739 | $ 10,739 | $ 10,515 | ||
Decrease In Loan Delinquency | (4,500) | ||||
Charge-offs | 219 | 253 | 963 | 469 | |
Loans, carrying amount | 1,297,915 | 1,297,915 | 1,140,615 | ||
Non-accrual performing loans | 1,038 | 1,038 | 2,210 | ||
Past Due | $ 16,165 | $ 16,165 | $ 11,710 | ||
Number of TDR loans | loan | 15 | 16 | |||
Number of accrual TDR loans | loan | 15 | 15 | 15 | ||
Financing receivable post modification recorded investment | $ 9,839 | $ 9,839 | $ 10,790 | ||
Accrual TDR loans | 9,839 | 9,839 | 10,021 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 36,063 | 32,987 | 36,063 | 32,987 | 43,618 |
Impaired Financing Receivable, Recorded Investment | 35,548 | 32,700 | 35,548 | 32,700 | 43,254 |
PCI Loans, Accretion Interest | 161 | 635 | |||
Financing Receivable Troubled Debt Restructuring [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Increase (Decrease) in Finance Receivables | (951) | ||||
TDR loan principal curtailment | 385 | ||||
Seven Troubled Debt Restructuring Loans with Reserves [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Specific reserves for TDR loans | $ 413 | ||||
Number of TDR loans | loan | 7 | ||||
Financing receivable post modification recorded investment | $ 3,000 | ||||
One Troubled Debt Restructuring Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Specific reserves for TDR loans | 174 | $ 174 | |||
Number of TDR loans | loan | 1 | ||||
Financing receivable post modification recorded investment | $ 1,600 | $ 1,600 | |||
Seven Trouble Debt Restructuring Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans removed from troubled debt restructuring | loan | 7 | ||||
Amount of loans removed from troubled debt restructuring | $ 3,900 | ||||
Stalled Residential Development Project [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Amount of loans removed from troubled debt restructuring | $ 3,000 | ||||
Twelve Loans And Three Customer Relationships [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total number of loans | loan | 12 | 12 | |||
Total non-accrual loans | $ 13,400 | $ 13,400 | |||
Percentage Status Of Non Accrual Loans | 82.00% | ||||
Ten Loans Representing Five Customer Relationships [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total number of loans | loan | 10 | ||||
Total non-accrual loans | $ 3,300 | ||||
Percentage Status Of Non Accrual Loans | 71.00% | ||||
One Well Secured Classified Relationship [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total non-accrual loans | $ 10,300 | $ 10,300 | |||
Increase In Non Accrual Loans | 11,700 | ||||
Nonaccrual Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Increase (Decrease) in Finance Receivables | $ 11,700 | ||||
Percentage status of loan in portfolio | 1.25% | 1.25% | 0.41% | ||
Nonaccrual Loans [Member] | Stalled Residential Development Project [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Increase (Decrease) in Finance Receivables | $ (3,000) | ||||
Nonaccrual Loans [Member] | Commercial Office Building [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Increase (Decrease) in Finance Receivables | (607) | ||||
Nonaccrual Loans With No Impairment [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total non-accrual loans | $ 15,100 | $ 15,100 | 3,800 | ||
Interest due to debt | 375 | 85 | |||
Nonaccrual Loans With Impairment [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total non-accrual loans | 1,300 | 1,300 | 876 | ||
Interest due to debt | 50 | 100 | |||
Unrated [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 328,813 | 328,813 | 283,612 | ||
Pass [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 950,284 | 950,284 | 826,030 | ||
Special Mention [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 96 | ||||
Substandard [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 28,640 | 28,640 | 40,306 | ||
31 - 60 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 311 | 311 | 1,923 | ||
61 - 89 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 6,188 | 6,188 | 7,304 | ||
90 or Greater Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | $ 9,666 | $ 9,666 | $ 2,483 | ||
Loan Delinquency [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Percentage status of loan in portfolio | 1.24% | 1.24% | 1.02% | ||
Commercial Real Estate Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total number of loans | loan | 14 | 14 | 7 | ||
90 or greater days delinquent | $ 11,148 | $ 11,148 | $ 1,148 | ||
Total non-accrual loans | 11,803 | 11,803 | 1,987 | ||
Loans receivables | $ 847,945 | 712,840 | $ 847,945 | 712,840 | $ 727,314 |
Percentage status of loan in portfolio | 64.84% | 64.84% | 63.25% | ||
Charge-offs | $ 32 | 217 | $ 268 | 217 | |
Non-accrual performing loans | 655 | 655 | $ 839 | ||
Past Due | 11,317 | $ 11,317 | $ 7,859 | ||
Number of TDR loans | loan | 8 | 9 | |||
Financing receivable post modification recorded investment | 8,345 | $ 8,345 | $ 9,273 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 26,588 | 24,233 | 26,588 | 24,233 | 33,180 |
Impaired Financing Receivable, Recorded Investment | 26,225 | 24,035 | 26,225 | 24,035 | 32,929 |
Commercial Real Estate Loans [Member] | Unrated [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 111,356 | 111,356 | 75,581 | ||
Commercial Real Estate Loans [Member] | Pass [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 715,844 | 715,844 | 619,604 | ||
Commercial Real Estate Loans [Member] | Substandard [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 20,745 | 20,745 | 32,129 | ||
Commercial Real Estate Loans [Member] | 61 - 89 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 4,399 | 4,399 | 6,711 | ||
Commercial Real Estate Loans [Member] | 90 or Greater Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | $ 6,918 | $ 6,918 | $ 1,148 | ||
Residential First Mortgage Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total number of loans | loan | 5 | 5 | 4 | ||
90 or greater days delinquent | $ 850 | $ 850 | $ 478 | ||
Total non-accrual loans | 1,207 | 1,207 | 985 | ||
Increase (Decrease) in Finance Receivables | 4,700 | 25,500 | |||
Loans receivables | $ 156,565 | 175,816 | $ 156,565 | 175,816 | $ 170,374 |
Percentage status of loan in portfolio | 11.97% | 11.97% | 14.81% | ||
Charge-offs | $ 2 | $ 115 | |||
Non-accrual performing loans | 357 | 357 | $ 507 | ||
Past Due | 997 | $ 997 | $ 546 | ||
Number of TDR loans | loan | 2 | 2 | |||
Financing receivable post modification recorded investment | 512 | $ 512 | $ 527 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 2,655 | 2,277 | 2,655 | 2,277 | 2,455 |
Impaired Financing Receivable, Recorded Investment | 2,616 | 2,271 | $ 2,616 | 2,271 | 2,437 |
Residential First Mortgage Loans [Member] | Minimum [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Debt maturity period | 10 years | ||||
Residential First Mortgage Loans [Member] | Maximum [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Debt maturity period | 30 years | ||||
Residential First Mortgage Loans [Member] | Performing Financing Receivable [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 156,362 | $ 156,362 | 169,896 | ||
Residential First Mortgage Loans [Member] | Nonperforming Financing Receivable [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 203 | 203 | 478 | ||
Residential First Mortgage Loans [Member] | Classified Loans By Payment Activity [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 156,565 | 156,565 | 170,374 | ||
Residential First Mortgage Loans [Member] | 61 - 89 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 794 | 794 | 68 | ||
Residential First Mortgage Loans [Member] | 90 or Greater Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | $ 203 | $ 203 | $ 478 | ||
Residential Rentals Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total number of loans | loan | 5 | 5 | 4 | ||
90 or greater days delinquent | $ 756 | $ 756 | $ 84 | ||
Total non-accrual loans | 770 | 770 | 825 | ||
Loans receivables | $ 125,383 | 110,905 | $ 125,383 | 110,905 | $ 110,228 |
Percentage status of loan in portfolio | 9.59% | 9.59% | 9.58% | ||
Charge-offs | $ 54 | $ 54 | 42 | ||
Non-accrual performing loans | 14 | 14 | $ 741 | ||
Past Due | 1,006 | $ 1,006 | $ 291 | ||
Number of TDR loans | loan | 1 | 1 | |||
Financing receivable post modification recorded investment | 218 | $ 218 | $ 221 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 1,431 | 2,669 | 1,431 | 2,669 | 2,389 |
Impaired Financing Receivable, Recorded Investment | 1,377 | 2,668 | 1,377 | 2,668 | 2,376 |
Residential Rentals Loans [Member] | 1-4 Family Units [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 97,500 | 97,500 | 85,000 | ||
Residential Rentals Loans [Member] | Apartment Buildings Rentals [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 27,900 | 27,900 | 25,200 | ||
Residential Rentals Loans [Member] | Adjustable Rate Residential Rentals [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 97,500 | $ 97,500 | $ 93,400 | ||
Percentage status of loan in portfolio | 7.50% | 7.50% | 8.10% | ||
Residential Rentals Loans [Member] | Minimum [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Debt maturity period | 3 years | ||||
Residential Rentals Loans [Member] | Maximum [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Debt maturity period | 20 years | ||||
Residential Rentals Loans [Member] | Unrated [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 36,332 | $ 36,332 | $ 28,428 | ||
Residential Rentals Loans [Member] | Pass [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 87,905 | 87,905 | 80,279 | ||
Residential Rentals Loans [Member] | Substandard [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 1,146 | 1,146 | 1,521 | ||
Residential Rentals Loans [Member] | 61 - 89 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 976 | 976 | 207 | ||
Residential Rentals Loans [Member] | 90 or Greater Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 30 | 30 | 84 | ||
Construction And Land Development Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 28,788 | 31,094 | $ 28,788 | 31,094 | $ 27,871 |
Percentage status of loan in portfolio | 2.20% | 2.20% | 2.42% | ||
Charge-offs | 1 | 26 | |||
Number of TDR loans | loan | 2 | 2 | |||
Financing receivable post modification recorded investment | $ 729 | $ 729 | $ 729 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 729 | 729 | 729 | 729 | 729 |
Impaired Financing Receivable, Recorded Investment | 729 | 729 | 729 | 729 | 729 |
Construction And Land Development Loans [Member] | Unrated [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 2,320 | 2,320 | 1,775 | ||
Construction And Land Development Loans [Member] | Pass [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 25,739 | 25,739 | 25,367 | ||
Construction And Land Development Loans [Member] | Substandard [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 729 | $ 729 | $ 729 | ||
Home Equity And Second Mortgage Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total number of loans | loan | 2 | 2 | 4 | ||
90 or greater days delinquent | $ 150 | $ 150 | $ 134 | ||
Total non-accrual loans | 150 | 150 | 257 | ||
Loans receivables | $ 36,360 | 22,334 | $ 36,360 | 22,334 | $ 21,351 |
Percentage status of loan in portfolio | 2.78% | 2.78% | 1.86% | ||
Charge-offs | 13 | $ 7 | 14 | ||
Non-accrual performing loans | $ 123 | ||||
Past Due | $ 417 | 417 | 171 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 298 | 225 | 298 | 225 | 317 |
Impaired Financing Receivable, Recorded Investment | 293 | 225 | 293 | 225 | 317 |
Home Equity And Second Mortgage Loans [Member] | Performing Financing Receivable [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 36,210 | 36,210 | 21,217 | ||
Home Equity And Second Mortgage Loans [Member] | Nonperforming Financing Receivable [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 150 | 150 | 134 | ||
Home Equity And Second Mortgage Loans [Member] | Classified Loans By Payment Activity [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 36,360 | 36,360 | 21,351 | ||
Home Equity And Second Mortgage Loans [Member] | 31 - 60 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 256 | 256 | 19 | ||
Home Equity And Second Mortgage Loans [Member] | 61 - 89 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 11 | 11 | 18 | ||
Home Equity And Second Mortgage Loans [Member] | 90 or Greater Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | $ 150 | $ 150 | $ 134 | ||
Commercial Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total number of loans | loan | 3 | 3 | 2 | ||
90 or greater days delinquent | $ 887 | $ 887 | $ 172 | ||
Total non-accrual loans | 887 | 887 | 172 | ||
Loans receivables | $ 62,083 | 56,376 | $ 62,083 | 56,376 | $ 56,417 |
Percentage status of loan in portfolio | 4.75% | 4.75% | 4.91% | ||
Charge-offs | $ (2) | $ 86 | |||
Past Due | 887 | $ 887 | $ 1,363 | ||
Number of TDR loans | loan | 1 | 1 | |||
Financing receivable post modification recorded investment | 3 | $ 3 | $ 4 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 2,784 | 2,324 | 2,784 | 2,324 | 3,010 |
Impaired Financing Receivable, Recorded Investment | 2,773 | 2,265 | 2,773 | 2,265 | 2,951 |
Commercial Loans [Member] | Unrated [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 19,507 | 19,507 | 14,356 | ||
Commercial Loans [Member] | Pass [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 39,811 | 39,811 | 39,118 | ||
Commercial Loans [Member] | Substandard [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 2,765 | 2,765 | 2,943 | ||
Commercial Loans [Member] | 31 - 60 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 892 | ||||
Commercial Loans [Member] | 61 - 89 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 8 | 8 | 299 | ||
Commercial Loans [Member] | 90 or Greater Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 879 | 879 | 172 | ||
Consumer Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 730 | 541 | $ 730 | 541 | $ 573 |
Percentage status of loan in portfolio | 0.06% | 0.06% | 0.05% | ||
Charge-offs | $ 1 | $ 2 | 2 | ||
Past Due | $ 1 | ||||
Impaired Financing Receivable, Unpaid Principal Balance | 1 | 1 | |||
Impaired Financing Receivable, Recorded Investment | 1 | 1 | |||
Consumer Loans [Member] | Performing Financing Receivable [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 730 | 730 | 573 | ||
Consumer Loans [Member] | Classified Loans By Payment Activity [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 730 | $ 730 | 573 | ||
Consumer Loans [Member] | 61 - 89 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | $ 1 | ||||
Commercial Equipment Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total number of loans | loan | 8 | 8 | 3 | ||
90 or greater days delinquent | $ 1,521 | $ 1,521 | $ 467 | ||
Total non-accrual loans | 1,533 | 1,533 | 467 | ||
Loans receivables | $ 49,883 | 35,500 | $ 49,883 | 35,500 | $ 35,916 |
Percentage status of loan in portfolio | 3.81% | 3.81% | 3.12% | ||
Charge-offs | $ 132 | 22 | $ 431 | 168 | |
Non-accrual performing loans | 12 | 12 | |||
Past Due | 1,541 | $ 1,541 | $ 1,479 | ||
Number of TDR loans | loan | 1 | 1 | |||
Financing receivable post modification recorded investment | 32 | $ 32 | $ 36 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 1,577 | 530 | 1,577 | 530 | 1,538 |
Impaired Financing Receivable, Recorded Investment | 1,534 | $ 507 | 1,534 | $ 507 | 1,515 |
Commercial Equipment Loans [Member] | Unrated [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 14,495 | 14,495 | 10,856 | ||
Commercial Equipment Loans [Member] | Pass [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 33,934 | 33,934 | 23,581 | ||
Commercial Equipment Loans [Member] | Substandard [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 1,454 | 1,454 | 1,479 | ||
Commercial Equipment Loans [Member] | 31 - 60 Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 55 | 55 | 1,012 | ||
Commercial Equipment Loans [Member] | 90 or Greater Days [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Past Due | 1,486 | 1,486 | 467 | ||
Residential First Mortgages Portfolio Segment [Member] | Adjustable Rate Residential First Mortgage [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 53,600 | $ 53,600 | $ 56,900 | ||
Percentage status of loan in portfolio | 4.10% | 4.10% | 5.00% | ||
Commercial Portfolio Segment [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 1,114,082 | $ 1,114,082 | $ 957,746 | ||
Commercial Portfolio Segment [Member] | Unrated [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 184,010 | 184,010 | 130,996 | ||
Commercial Portfolio Segment [Member] | Pass [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 903,233 | 903,233 | 787,949 | ||
Commercial Portfolio Segment [Member] | Substandard [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 26,839 | $ 26,839 | $ 38,801 | ||
Commercial Real Estate Portfolio Segment [Member] | Minimum [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Debt maturity period | 3 years | ||||
Commercial Real Estate Portfolio Segment [Member] | Maximum [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Debt maturity period | 20 years | ||||
Commercial Real Estate Portfolio Segment [Member] | Commercial Construction Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Percentage status of loan in portfolio | 6.70% | 6.70% | 6.20% | ||
PCI Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 3,511 | $ 3,511 | |||
Percentage status of loan in portfolio | 0.20% | 0.20% | |||
Loans, carrying amount | $ 3,511 | $ 3,511 | |||
Impaired Financing Receivable, Unpaid Principal Balance | 4,500 | 4,500 | |||
Impaired Financing Receivable, Recorded Investment | 3,500 | 3,500 | |||
PCI Loans [Member] | Commercial Real Estate Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 1,463 | 1,463 | |||
PCI Loans [Member] | Residential First Mortgage Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 468 | 468 | |||
PCI Loans [Member] | Residential Rentals Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 1,261 | 1,261 | |||
PCI Loans [Member] | Home Equity And Second Mortgage Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 319 | 319 | |||
All Other Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 1,304,226 | 1,304,226 | |||
Allowance for loan loss | 10,739 | 10,739 | |||
Loans, carrying amount | 1,294,404 | 1,294,404 | |||
All Other Loans [Member] | Commercial Real Estate Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 846,482 | 846,482 | |||
All Other Loans [Member] | Residential First Mortgage Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 156,097 | 156,097 | |||
All Other Loans [Member] | Residential Rentals Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 124,122 | 124,122 | |||
All Other Loans [Member] | Construction And Land Development Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 28,788 | 28,788 | |||
All Other Loans [Member] | Home Equity And Second Mortgage Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 36,041 | 36,041 | |||
All Other Loans [Member] | Commercial Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 62,083 | 62,083 | |||
All Other Loans [Member] | Consumer Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 730 | 730 | |||
All Other Loans [Member] | Commercial Equipment Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | 49,883 | 49,883 | |||
County First Bank Acquisition [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 110,653 | $ 110,653 | |||
Percentage status of loan in portfolio | 8.46% | 8.46% | 0.00% | ||
County First Bank Acquisition [Member] | PCI Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 3,511 | $ 3,511 | |||
Percentage status of loan in portfolio | 0.27% | 0.27% | 0.00% | ||
Net Acquisition Accounting Fair Market Value Adjustment | $ 671 | $ 671 | |||
Net Acquisition Accounting Fair Market Value Adjustment, Mark | 16.04% | 16.04% | |||
County First Bank Acquisition [Member] | All Other Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 107,142 | $ 107,142 | |||
Percentage status of loan in portfolio | 8.19% | 8.19% | 0.00% | ||
Net Acquisition Accounting Fair Market Value Adjustment | $ 2,000 | $ 2,000 | |||
Net Acquisition Accounting Fair Market Value Adjustment, Mark | 1.83% | 1.83% | |||
Non Acquired [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans receivables | $ 1,197,084 | $ 1,197,084 | $ 1,150,044 | ||
Percentage status of loan in portfolio | 91.54% | 91.54% | 100.00% |
Loans (Schedule of Accounts, No
Loans (Schedule of Accounts, Notes, Loans and Financing Receivable) (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 1,307,737 | $ 1,150,044 | $ 1,145,406 |
Less: | |||
Net deferred costs (fees) | 917 | 1,086 | |
Total loans, net of deferred costs | 1,308,654 | 1,151,130 | |
Less: allowance for loan losses | (10,739) | (10,515) | |
Loans and leases receivable net reported amount | $ 1,297,915 | $ 1,140,615 | |
Percentage Status Of Loan | 100.00% | 100.00% | |
Deferred loan fees and premiums, percentage | 0.07% | 0.09% | |
Loans and leases receivable, allowance percentage | (0.82%) | (0.91%) | |
Commercial Real Estate Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 847,945 | $ 727,314 | 712,840 |
Less: | |||
Percentage Status Of Loan | 64.84% | 63.25% | |
Residential First Mortgage Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 156,565 | $ 170,374 | 175,816 |
Less: | |||
Percentage Status Of Loan | 11.97% | 14.81% | |
Residential Rentals Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 125,383 | $ 110,228 | 110,905 |
Less: | |||
Percentage Status Of Loan | 9.59% | 9.58% | |
Construction And Land Development Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 28,788 | $ 27,871 | 31,094 |
Less: | |||
Percentage Status Of Loan | 2.20% | 2.42% | |
Home Equity And Second Mortgage Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 36,360 | $ 21,351 | 22,334 |
Less: | |||
Percentage Status Of Loan | 2.78% | 1.86% | |
Commercial Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 62,083 | $ 56,417 | 56,376 |
Less: | |||
Percentage Status Of Loan | 4.75% | 4.91% | |
Consumer Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 730 | $ 573 | 541 |
Less: | |||
Percentage Status Of Loan | 0.06% | 0.05% | |
Commercial Equipment Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 49,883 | $ 35,916 | $ 35,500 |
Less: | |||
Percentage Status Of Loan | 3.81% | 3.12% | |
Commercial Portfolio Segment [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 1,114,082 | $ 957,746 | |
PCI Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 3,511 | ||
Less: | |||
Total loans, net of deferred costs | 3,511 | ||
Loans and leases receivable net reported amount | $ 3,511 | ||
Percentage Status Of Loan | 0.20% | ||
PCI Loans [Member] | Commercial Real Estate Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 1,463 | ||
PCI Loans [Member] | Residential First Mortgage Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 468 | ||
PCI Loans [Member] | Residential Rentals Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 1,261 | ||
PCI Loans [Member] | Home Equity And Second Mortgage Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 319 | ||
All Other Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 1,304,226 | ||
Less: | |||
Net deferred costs (fees) | 917 | ||
Total loans, net of deferred costs | 1,305,143 | ||
Less: allowance for loan losses | (10,739) | ||
Loans and leases receivable net reported amount | 1,294,404 | ||
All Other Loans [Member] | Commercial Real Estate Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 846,482 | ||
All Other Loans [Member] | Residential First Mortgage Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 156,097 | ||
All Other Loans [Member] | Residential Rentals Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 124,122 | ||
All Other Loans [Member] | Construction And Land Development Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 28,788 | ||
All Other Loans [Member] | Home Equity And Second Mortgage Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 36,041 | ||
All Other Loans [Member] | Commercial Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 62,083 | ||
All Other Loans [Member] | Consumer Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | 730 | ||
All Other Loans [Member] | Commercial Equipment Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 49,883 |
Loans (Schedule of Financing Re
Loans (Schedule of Financing Receivables, Non-Accrual Status) (Details) $ in Thousands | Sep. 30, 2018USD ($)loan | Dec. 31, 2017USD ($)loan |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accual delinquent loans | $ | $ 15,312 | $ 2,483 |
Number of loans, non-accrual delinquent loans | loan | 31 | 16 |
Non-accrual current loans | $ | $ 1,038 | $ 2,210 |
Number of loans, non-accrual current loans | loan | 6 | 8 |
Total non-accrual loans | $ | $ 16,350 | $ 4,693 |
Total number of loans | loan | 37 | 24 |
Commercial Real Estate Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accual delinquent loans | $ | $ 11,148 | $ 1,148 |
Number of loans, non-accrual delinquent loans | loan | 11 | 4 |
Non-accrual current loans | $ | $ 655 | $ 839 |
Number of loans, non-accrual current loans | loan | 3 | 3 |
Total non-accrual loans | $ | $ 11,803 | $ 1,987 |
Total number of loans | loan | 14 | 7 |
Residential First Mortgage Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accual delinquent loans | $ | $ 850 | $ 478 |
Number of loans, non-accrual delinquent loans | loan | 4 | 3 |
Non-accrual current loans | $ | $ 357 | $ 507 |
Number of loans, non-accrual current loans | loan | 1 | 1 |
Total non-accrual loans | $ | $ 1,207 | $ 985 |
Total number of loans | loan | 5 | 4 |
Residential Rentals Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accual delinquent loans | $ | $ 756 | $ 84 |
Number of loans, non-accrual delinquent loans | loan | 4 | 1 |
Non-accrual current loans | $ | $ 14 | $ 741 |
Number of loans, non-accrual current loans | loan | 1 | 3 |
Total non-accrual loans | $ | $ 770 | $ 825 |
Total number of loans | loan | 5 | 4 |
Home Equity And Second Mortgage Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accual delinquent loans | $ | $ 150 | $ 134 |
Number of loans, non-accrual delinquent loans | loan | 2 | 3 |
Non-accrual current loans | $ | $ 123 | |
Number of loans, non-accrual current loans | loan | 1 | |
Total non-accrual loans | $ | $ 150 | $ 257 |
Total number of loans | loan | 2 | 4 |
Commercial Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accual delinquent loans | $ | $ 887 | $ 172 |
Number of loans, non-accrual delinquent loans | loan | 3 | 2 |
Total non-accrual loans | $ | $ 887 | $ 172 |
Total number of loans | loan | 3 | 2 |
Commercial Equipment Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Non-accual delinquent loans | $ | $ 1,521 | $ 467 |
Number of loans, non-accrual delinquent loans | loan | 7 | 3 |
Non-accrual current loans | $ | $ 12 | |
Number of loans, non-accrual current loans | loan | 1 | |
Total non-accrual loans | $ | $ 1,533 | $ 467 |
Total number of loans | loan | 8 | 3 |
Loans (Past Due Financing Recei
Loans (Past Due Financing Receivables) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 |
Past Due | $ 16,165 | $ 11,710 | |
Total Loan Receivables | 1,307,737 | 1,150,044 | $ 1,145,406 |
31 - 60 Days [Member] | |||
Past Due | 311 | 1,923 | |
61 - 89 Days [Member] | |||
Past Due | 6,188 | 7,304 | |
90 or Greater Days [Member] | |||
Past Due | 9,666 | 2,483 | |
Commercial Loans [Member] | |||
Past Due | 887 | 1,363 | |
Total Loan Receivables | 62,083 | 56,417 | 56,376 |
Commercial Loans [Member] | 31 - 60 Days [Member] | |||
Past Due | 892 | ||
Commercial Loans [Member] | 61 - 89 Days [Member] | |||
Past Due | 8 | 299 | |
Commercial Loans [Member] | 90 or Greater Days [Member] | |||
Past Due | 879 | 172 | |
Residential First Mortgage Loans [Member] | |||
Past Due | 997 | 546 | |
Total Loan Receivables | 156,565 | 170,374 | 175,816 |
Residential First Mortgage Loans [Member] | 61 - 89 Days [Member] | |||
Past Due | 794 | 68 | |
Residential First Mortgage Loans [Member] | 90 or Greater Days [Member] | |||
Past Due | 203 | 478 | |
Residential Rentals Loans [Member] | |||
Past Due | 1,006 | 291 | |
Total Loan Receivables | 125,383 | 110,228 | 110,905 |
Residential Rentals Loans [Member] | 61 - 89 Days [Member] | |||
Past Due | 976 | 207 | |
Residential Rentals Loans [Member] | 90 or Greater Days [Member] | |||
Past Due | 30 | 84 | |
Construction And Land Development Loans [Member] | |||
Total Loan Receivables | 28,788 | 27,871 | 31,094 |
Home Equity And Second Mortgage Loans [Member] | |||
Past Due | 417 | 171 | |
Total Loan Receivables | 36,360 | 21,351 | 22,334 |
Home Equity And Second Mortgage Loans [Member] | 31 - 60 Days [Member] | |||
Past Due | 256 | 19 | |
Home Equity And Second Mortgage Loans [Member] | 61 - 89 Days [Member] | |||
Past Due | 11 | 18 | |
Home Equity And Second Mortgage Loans [Member] | 90 or Greater Days [Member] | |||
Past Due | 150 | 134 | |
Commercial Real Estate Loans [Member] | |||
Past Due | 11,317 | 7,859 | |
Total Loan Receivables | 847,945 | 727,314 | 712,840 |
Commercial Real Estate Loans [Member] | 61 - 89 Days [Member] | |||
Past Due | 4,399 | 6,711 | |
Commercial Real Estate Loans [Member] | 90 or Greater Days [Member] | |||
Past Due | 6,918 | 1,148 | |
Consumer Loans [Member] | |||
Past Due | 1 | ||
Total Loan Receivables | 730 | 573 | 541 |
Consumer Loans [Member] | 61 - 89 Days [Member] | |||
Past Due | 1 | ||
Commercial Equipment Loans [Member] | |||
Past Due | 1,541 | 1,479 | |
Total Loan Receivables | 49,883 | 35,916 | $ 35,500 |
Commercial Equipment Loans [Member] | 31 - 60 Days [Member] | |||
Past Due | 55 | 1,012 | |
Commercial Equipment Loans [Member] | 90 or Greater Days [Member] | |||
Past Due | 1,486 | 467 | |
Commercial Portfolio Segment [Member] | |||
Total Loan Receivables | 1,114,082 | 957,746 | |
PCI Loans [Member] | |||
Current | 3,511 | ||
Total Loan Receivables | 3,511 | ||
PCI Loans [Member] | Residential First Mortgage Loans [Member] | |||
Current | 468 | ||
Total Loan Receivables | 468 | ||
PCI Loans [Member] | Residential Rentals Loans [Member] | |||
Current | 1,261 | ||
Total Loan Receivables | 1,261 | ||
PCI Loans [Member] | Home Equity And Second Mortgage Loans [Member] | |||
Current | 319 | ||
Total Loan Receivables | 319 | ||
PCI Loans [Member] | Commercial Real Estate Loans [Member] | |||
Current | 1,463 | ||
Total Loan Receivables | 1,463 | ||
All Other Loans [Member] | |||
Current | 1,288,061 | 1,138,334 | |
Total Loan Receivables | 1,304,226 | ||
All Other Loans [Member] | Commercial Loans [Member] | |||
Current | 61,196 | 55,054 | |
Total Loan Receivables | 62,083 | ||
All Other Loans [Member] | Residential First Mortgage Loans [Member] | |||
Current | 155,100 | 169,828 | |
Total Loan Receivables | 156,097 | ||
All Other Loans [Member] | Residential Rentals Loans [Member] | |||
Current | 123,116 | 109,937 | |
Total Loan Receivables | 124,122 | ||
All Other Loans [Member] | Construction And Land Development Loans [Member] | |||
Current | 28,788 | 27,871 | |
Total Loan Receivables | 28,788 | ||
All Other Loans [Member] | Home Equity And Second Mortgage Loans [Member] | |||
Current | 35,624 | 21,180 | |
Total Loan Receivables | 36,041 | ||
All Other Loans [Member] | Commercial Real Estate Loans [Member] | |||
Current | 835,165 | 719,455 | |
Total Loan Receivables | 846,482 | ||
All Other Loans [Member] | Consumer Loans [Member] | |||
Current | 730 | 572 | |
Total Loan Receivables | 730 | ||
All Other Loans [Member] | Commercial Equipment Loans [Member] | |||
Current | 48,342 | $ 34,437 | |
Total Loan Receivables | $ 49,883 |
Loans (Impaired Financing Recei
Loans (Impaired Financing Receivables) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Unpaid contractual principal balance | $ 36,063 | $ 32,987 | $ 36,063 | $ 32,987 | $ 43,618 |
Recorded investment with no allowance | 32,701 | 26,264 | 32,701 | 26,264 | 39,028 |
Recorded investment with allowance | 2,847 | 6,436 | 2,847 | 6,436 | 4,226 |
Total recorded investment | 35,548 | 32,700 | 35,548 | 32,700 | 43,254 |
Related allowance | 1,010 | 818 | 1,010 | 818 | 1,024 |
Average recorded investment | 35,657 | 32,884 | 35,951 | 33,214 | 44,159 |
Interest income recognized | 438 | 395 | 1,062 | 1,045 | 1,829 |
Commercial Real Estate Loans [Member] | |||||
Unpaid contractual principal balance | 26,588 | 24,233 | 26,588 | 24,233 | 33,180 |
Recorded investment with no allowance | 24,664 | 19,824 | 24,664 | 19,824 | 30,921 |
Recorded investment with allowance | 1,561 | 4,211 | 1,561 | 4,211 | 2,008 |
Total recorded investment | 26,225 | 24,035 | 26,225 | 24,035 | 32,929 |
Related allowance | 174 | 155 | 174 | 155 | 370 |
Average recorded investment | 26,297 | 24,153 | 26,499 | 24,399 | 33,575 |
Interest income recognized | 340 | 319 | 763 | 799 | 1,379 |
Residential First Mortgage Loans [Member] | |||||
Unpaid contractual principal balance | 2,655 | 2,277 | 2,655 | 2,277 | 2,455 |
Recorded investment with no allowance | 2,616 | 1,808 | 2,616 | 1,808 | 1,978 |
Recorded investment with allowance | 463 | 463 | 459 | ||
Total recorded investment | 2,616 | 2,271 | 2,616 | 2,271 | 2,437 |
Related allowance | 7 | 7 | 2 | ||
Average recorded investment | 2,627 | 2,284 | 2,651 | 2,302 | 2,479 |
Interest income recognized | 31 | 18 | 90 | 67 | 91 |
Residential Rentals Loans [Member] | |||||
Unpaid contractual principal balance | 1,431 | 2,669 | 1,431 | 2,669 | 2,389 |
Recorded investment with no allowance | 1,377 | 2,271 | 1,377 | 2,271 | 1,981 |
Recorded investment with allowance | 397 | 397 | 395 | ||
Total recorded investment | 1,377 | 2,668 | 1,377 | 2,668 | 2,376 |
Related allowance | 21 | 21 | 18 | ||
Average recorded investment | 1,382 | 2,673 | 1,400 | 2,711 | 2,432 |
Interest income recognized | 11 | 22 | 47 | 77 | 111 |
Construction And Land Development Loans [Member] | |||||
Unpaid contractual principal balance | 729 | 729 | 729 | 729 | 729 |
Recorded investment with no allowance | 729 | 729 | |||
Recorded investment with allowance | 729 | 729 | 729 | ||
Total recorded investment | 729 | 729 | 729 | 729 | 729 |
Related allowance | 163 | 163 | 163 | ||
Average recorded investment | 729 | 729 | 729 | 729 | 729 |
Interest income recognized | 11 | 9 | 30 | 16 | 26 |
Home Equity And Second Mortgage Loans [Member] | |||||
Unpaid contractual principal balance | 298 | 225 | 298 | 225 | 317 |
Recorded investment with no allowance | 293 | 225 | 293 | 225 | 317 |
Total recorded investment | 293 | 225 | 293 | 225 | 317 |
Average recorded investment | 300 | 225 | 304 | 226 | 318 |
Interest income recognized | 4 | 2 | 10 | 5 | 12 |
Commercial Loans [Member] | |||||
Unpaid contractual principal balance | 2,784 | 2,324 | 2,784 | 2,324 | 3,010 |
Recorded investment with no allowance | 1,890 | 2,096 | 1,890 | 2,096 | 2,783 |
Recorded investment with allowance | 883 | 169 | 883 | 169 | 168 |
Total recorded investment | 2,773 | 2,265 | 2,773 | 2,265 | 2,951 |
Related allowance | 458 | 169 | 458 | 169 | 168 |
Average recorded investment | 2,775 | 2,298 | 2,779 | 2,317 | 3,048 |
Interest income recognized | 38 | 24 | 89 | 71 | 137 |
Consumer Loans [Member] | |||||
Unpaid contractual principal balance | 1 | 1 | |||
Recorded investment with allowance | 1 | 1 | |||
Total recorded investment | 1 | 1 | |||
Related allowance | 1 | 1 | |||
Average recorded investment | 1 | 1 | |||
Commercial Equipment Loans [Member] | |||||
Unpaid contractual principal balance | 1,577 | 530 | 1,577 | 530 | 1,538 |
Recorded investment with no allowance | 1,132 | 40 | 1,132 | 40 | 1,048 |
Recorded investment with allowance | 402 | 467 | 402 | 467 | 467 |
Total recorded investment | 1,534 | 507 | 1,534 | 507 | 1,515 |
Related allowance | 377 | 303 | 377 | 303 | 303 |
Average recorded investment | 1,546 | 522 | 1,588 | 530 | 1,578 |
Interest income recognized | $ 3 | $ 1 | $ 33 | $ 10 | $ 73 |
Loans (Troubled Debt Restructur
Loans (Troubled Debt Restructurings on Financing Receivables) (Details) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018USD ($)loan | Dec. 31, 2017USD ($)loan | |
Financing receivable post modification recorded investment | $ | $ 9,839 | $ 10,790 |
Less: TDRs included in non-accrual loans | $ | (769) | |
Accrual TDR loans | $ | $ 9,839 | $ 10,021 |
Number of TDR loans | loan | 15 | 16 |
Number of non-accrual TDR loans | loan | (1) | |
Number of accrual TDR loans | loan | 15 | 15 |
Commercial Real Estate Loans [Member] | ||
Financing receivable post modification recorded investment | $ | $ 8,345 | $ 9,273 |
Number of TDR loans | loan | 8 | 9 |
Residential First Mortgage Loans [Member] | ||
Financing receivable post modification recorded investment | $ | $ 512 | $ 527 |
Number of TDR loans | loan | 2 | 2 |
Residential Rentals Loans [Member] | ||
Financing receivable post modification recorded investment | $ | $ 218 | $ 221 |
Number of TDR loans | loan | 1 | 1 |
Construction And Land Development Loans [Member] | ||
Financing receivable post modification recorded investment | $ | $ 729 | $ 729 |
Number of TDR loans | loan | 2 | 2 |
Commercial Loans [Member] | ||
Financing receivable post modification recorded investment | $ | $ 3 | $ 4 |
Number of TDR loans | loan | 1 | 1 |
Commercial Equipment Loans [Member] | ||
Financing receivable post modification recorded investment | $ | $ 32 | $ 36 |
Number of TDR loans | loan | 1 | 1 |
Loans (Allowance for Credit Los
Loans (Allowance for Credit Losses on Financing Receivables) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Allowance for loan losses: | ||||
Beginning Balance | $ 10,725 | $ 10,434 | $ 10,515 | $ 9,860 |
Charge-offs | (219) | (253) | (963) | (469) |
Recoveries | 193 | 30 | 247 | 64 |
Provisions | 40 | 224 | 940 | 980 |
Ending Balance | 10,739 | 10,435 | 10,739 | 10,435 |
Commercial Real Estate Loans [Member] | ||||
Allowance for loan losses: | ||||
Beginning Balance | 6,563 | 6,085 | 6,451 | 5,212 |
Charge-offs | (32) | (217) | (268) | (217) |
Recoveries | 2 | 4 | 8 | 13 |
Provisions | 179 | 436 | 521 | 1,300 |
Ending Balance | 6,712 | 6,308 | 6,712 | 6,308 |
Residential First Mortgage Loans [Member] | ||||
Allowance for loan losses: | ||||
Beginning Balance | 737 | 1,300 | 1,144 | 1,406 |
Charge-offs | (2) | (115) | ||
Provisions | (44) | (43) | (338) | (149) |
Ending Balance | 691 | 1,257 | 691 | 1,257 |
Residential Rentals Loans [Member] | ||||
Allowance for loan losses: | ||||
Beginning Balance | 469 | 335 | 512 | 362 |
Charge-offs | (54) | (54) | (42) | |
Provisions | 170 | 289 | 127 | 304 |
Ending Balance | 585 | 624 | 585 | 624 |
Construction And Land Development Loans [Member] | ||||
Allowance for loan losses: | ||||
Beginning Balance | 498 | 720 | 462 | 941 |
Charge-offs | (1) | (26) | ||
Provisions | (203) | (73) | (167) | (269) |
Ending Balance | 295 | 646 | 295 | 646 |
Home Equity And Second Mortgage Loans [Member] | ||||
Allowance for loan losses: | ||||
Beginning Balance | 104 | 112 | 162 | 138 |
Charge-offs | (13) | (7) | (14) | |
Recoveries | 2 | 1 | 16 | 1 |
Provisions | 71 | 28 | 6 | 3 |
Ending Balance | 177 | 128 | 177 | 128 |
Commercial Loans [Member] | ||||
Allowance for loan losses: | ||||
Beginning Balance | 1,203 | 814 | 1,013 | 794 |
Charge-offs | 2 | (86) | ||
Recoveries | 176 | 176 | 1 | |
Provisions | (167) | (23) | 111 | (4) |
Ending Balance | 1,214 | 791 | 1,214 | 791 |
Consumer Loans [Member] | ||||
Allowance for loan losses: | ||||
Beginning Balance | 7 | 5 | 7 | 3 |
Charge-offs | (1) | (2) | (2) | |
Provisions | (1) | 2 | 6 | |
Ending Balance | 5 | 7 | 5 | 7 |
Commercial Equipment Loans [Member] | ||||
Allowance for loan losses: | ||||
Beginning Balance | 1,144 | 1,063 | 764 | 1,004 |
Charge-offs | (132) | (22) | (431) | (168) |
Recoveries | 13 | 25 | 47 | 49 |
Provisions | 35 | (392) | 680 | (211) |
Ending Balance | $ 1,060 | $ 674 | $ 1,060 | $ 674 |
Loans (Loan Receivable and Allo
Loans (Loan Receivable and Allowance Balances Disaggregated) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Jun. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 |
Loan receivables: | ||||||
Ending balance: individually evaluated for impairment | $ 35,548 | $ 43,254 | $ 32,700 | |||
Ending balance: collectively evaluated for impairment | 1,268,678 | 1,106,790 | 1,112,706 | |||
Total Loan Receivables | 1,307,737 | 1,150,044 | 1,145,406 | |||
Allowance for loan losses: | ||||||
Ending balance: individually evaluated for impairment | 1,010 | 1,024 | 818 | |||
Ending balance: collectively evaluated for impairment | 9,729 | 9,491 | 9,617 | |||
Total Allowance for loan losses | 10,739 | $ 10,725 | 10,515 | 10,435 | $ 10,434 | $ 9,860 |
Commercial Real Estate Loans [Member] | ||||||
Loan receivables: | ||||||
Ending balance: individually evaluated for impairment | 26,225 | 32,929 | 24,035 | |||
Ending balance: collectively evaluated for impairment | 820,257 | 694,385 | 688,805 | |||
Total Loan Receivables | 847,945 | 727,314 | 712,840 | |||
Allowance for loan losses: | ||||||
Ending balance: individually evaluated for impairment | 174 | 370 | 155 | |||
Ending balance: collectively evaluated for impairment | 6,538 | 6,081 | 6,153 | |||
Total Allowance for loan losses | 6,712 | 6,563 | 6,451 | 6,308 | 6,085 | 5,212 |
Residential First Mortgage Loans [Member] | ||||||
Loan receivables: | ||||||
Ending balance: individually evaluated for impairment | 2,616 | 2,437 | 2,271 | |||
Ending balance: collectively evaluated for impairment | 153,481 | 167,937 | 173,545 | |||
Total Loan Receivables | 156,565 | 170,374 | 175,816 | |||
Allowance for loan losses: | ||||||
Ending balance: individually evaluated for impairment | 2 | 7 | ||||
Ending balance: collectively evaluated for impairment | 691 | 1,142 | 1,250 | |||
Total Allowance for loan losses | 691 | 737 | 1,144 | 1,257 | 1,300 | 1,406 |
Residential Rentals Loans [Member] | ||||||
Loan receivables: | ||||||
Ending balance: individually evaluated for impairment | 1,377 | 2,376 | 2,668 | |||
Ending balance: collectively evaluated for impairment | 122,745 | 107,852 | 108,237 | |||
Total Loan Receivables | 125,383 | 110,228 | 110,905 | |||
Allowance for loan losses: | ||||||
Ending balance: individually evaluated for impairment | 18 | 21 | ||||
Ending balance: collectively evaluated for impairment | 585 | 494 | 603 | |||
Total Allowance for loan losses | 585 | 469 | 512 | 624 | 335 | 362 |
Construction And Land Development Loans [Member] | ||||||
Loan receivables: | ||||||
Ending balance: individually evaluated for impairment | 729 | 729 | 729 | |||
Ending balance: collectively evaluated for impairment | 28,059 | 27,142 | 30,365 | |||
Total Loan Receivables | 28,788 | 27,871 | 31,094 | |||
Allowance for loan losses: | ||||||
Ending balance: individually evaluated for impairment | 163 | 163 | ||||
Ending balance: collectively evaluated for impairment | 295 | 299 | 483 | |||
Total Allowance for loan losses | 295 | 498 | 462 | 646 | 720 | 941 |
Home Equity And Second Mortgage Loans [Member] | ||||||
Loan receivables: | ||||||
Ending balance: individually evaluated for impairment | 293 | 317 | 225 | |||
Ending balance: collectively evaluated for impairment | 35,748 | 21,034 | 22,109 | |||
Total Loan Receivables | 36,360 | 21,351 | 22,334 | |||
Allowance for loan losses: | ||||||
Ending balance: collectively evaluated for impairment | 177 | 162 | 128 | |||
Total Allowance for loan losses | 177 | 104 | 162 | 128 | 112 | 138 |
Commercial Loans [Member] | ||||||
Loan receivables: | ||||||
Ending balance: individually evaluated for impairment | 2,773 | 2,951 | 2,265 | |||
Ending balance: collectively evaluated for impairment | 59,310 | 53,466 | 54,111 | |||
Total Loan Receivables | 62,083 | 56,417 | 56,376 | |||
Allowance for loan losses: | ||||||
Ending balance: individually evaluated for impairment | 458 | 168 | 169 | |||
Ending balance: collectively evaluated for impairment | 756 | 845 | 622 | |||
Total Allowance for loan losses | 1,214 | 1,203 | 1,013 | 791 | 814 | 794 |
Consumer Loans [Member] | ||||||
Loan receivables: | ||||||
Ending balance: individually evaluated for impairment | 1 | |||||
Ending balance: collectively evaluated for impairment | 729 | 573 | 541 | |||
Total Loan Receivables | 730 | 573 | 541 | |||
Allowance for loan losses: | ||||||
Ending balance: individually evaluated for impairment | 1 | |||||
Ending balance: collectively evaluated for impairment | 4 | 7 | 7 | |||
Total Allowance for loan losses | 5 | 7 | 7 | 7 | 5 | 3 |
Commercial Equipment Loans [Member] | ||||||
Loan receivables: | ||||||
Ending balance: individually evaluated for impairment | 1,534 | 1,515 | 507 | |||
Ending balance: collectively evaluated for impairment | 48,349 | 34,401 | 34,993 | |||
Total Loan Receivables | 49,883 | 35,916 | 35,500 | |||
Allowance for loan losses: | ||||||
Ending balance: individually evaluated for impairment | 377 | 303 | 303 | |||
Ending balance: collectively evaluated for impairment | 683 | 461 | 371 | |||
Total Allowance for loan losses | 1,060 | $ 1,144 | 764 | $ 674 | $ 1,063 | $ 1,004 |
Commercial Portfolio Segment [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 1,114,082 | $ 957,746 | ||||
PCI Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 3,511 | |||||
PCI Loans [Member] | Commercial Real Estate Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 1,463 | |||||
PCI Loans [Member] | Residential First Mortgage Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 468 | |||||
PCI Loans [Member] | Residential Rentals Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 1,261 | |||||
PCI Loans [Member] | Home Equity And Second Mortgage Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 319 | |||||
All Other Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 1,304,226 | |||||
All Other Loans [Member] | Commercial Real Estate Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 846,482 | |||||
All Other Loans [Member] | Residential First Mortgage Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 156,097 | |||||
All Other Loans [Member] | Residential Rentals Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 124,122 | |||||
All Other Loans [Member] | Construction And Land Development Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 28,788 | |||||
All Other Loans [Member] | Home Equity And Second Mortgage Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 36,041 | |||||
All Other Loans [Member] | Commercial Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 62,083 | |||||
All Other Loans [Member] | Consumer Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | 730 | |||||
All Other Loans [Member] | Commercial Equipment Loans [Member] | ||||||
Loan receivables: | ||||||
Total Loan Receivables | $ 49,883 |
Loans (Schedule of Financing _2
Loans (Schedule of Financing Receivable Recorded Investment Credit Quality Indicator) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 |
Loans | $ 1,307,737 | $ 1,150,044 | $ 1,145,406 |
Unrated [Member] | |||
Loans | 328,813 | 283,612 | |
Pass [Member] | |||
Loans | 950,284 | 826,030 | |
Special Mention [Member] | |||
Loans | 96 | ||
Substandard [Member] | |||
Loans | 28,640 | 40,306 | |
Commercial Real Estate Loans [Member] | |||
Loans | 847,945 | 727,314 | 712,840 |
Commercial Real Estate Loans [Member] | Unrated [Member] | |||
Loans | 111,356 | 75,581 | |
Commercial Real Estate Loans [Member] | Pass [Member] | |||
Loans | 715,844 | 619,604 | |
Commercial Real Estate Loans [Member] | Substandard [Member] | |||
Loans | 20,745 | 32,129 | |
Residential First Mortgage Loans [Member] | |||
Loans | 156,565 | 170,374 | 175,816 |
Residential First Mortgage Loans [Member] | Performing Financing Receivable [Member] | |||
Loans | 156,362 | 169,896 | |
Residential First Mortgage Loans [Member] | Nonperforming Financing Receivable [Member] | |||
Loans | 203 | 478 | |
Residential First Mortgage Loans [Member] | Classified Loans By Payment Activity [Member] | |||
Loans | 156,565 | 170,374 | |
Residential Rentals Loans [Member] | |||
Loans | 125,383 | 110,228 | 110,905 |
Residential Rentals Loans [Member] | Unrated [Member] | |||
Loans | 36,332 | 28,428 | |
Residential Rentals Loans [Member] | Pass [Member] | |||
Loans | 87,905 | 80,279 | |
Residential Rentals Loans [Member] | Substandard [Member] | |||
Loans | 1,146 | 1,521 | |
Construction And Land Development Loans [Member] | |||
Loans | 28,788 | 27,871 | 31,094 |
Construction And Land Development Loans [Member] | Unrated [Member] | |||
Loans | 2,320 | 1,775 | |
Construction And Land Development Loans [Member] | Pass [Member] | |||
Loans | 25,739 | 25,367 | |
Construction And Land Development Loans [Member] | Substandard [Member] | |||
Loans | 729 | 729 | |
Home Equity And Second Mortgage Loans [Member] | |||
Loans | 36,360 | 21,351 | 22,334 |
Home Equity And Second Mortgage Loans [Member] | Performing Financing Receivable [Member] | |||
Loans | 36,210 | 21,217 | |
Home Equity And Second Mortgage Loans [Member] | Nonperforming Financing Receivable [Member] | |||
Loans | 150 | 134 | |
Home Equity And Second Mortgage Loans [Member] | Classified Loans By Payment Activity [Member] | |||
Loans | 36,360 | 21,351 | |
Commercial Loans [Member] | |||
Loans | 62,083 | 56,417 | 56,376 |
Commercial Loans [Member] | Unrated [Member] | |||
Loans | 19,507 | 14,356 | |
Commercial Loans [Member] | Pass [Member] | |||
Loans | 39,811 | 39,118 | |
Commercial Loans [Member] | Substandard [Member] | |||
Loans | 2,765 | 2,943 | |
Consumer Loans [Member] | |||
Loans | 730 | 573 | 541 |
Consumer Loans [Member] | Performing Financing Receivable [Member] | |||
Loans | 730 | 573 | |
Consumer Loans [Member] | Classified Loans By Payment Activity [Member] | |||
Loans | 730 | 573 | |
Commercial Equipment Loans [Member] | |||
Loans | 49,883 | 35,916 | $ 35,500 |
Commercial Equipment Loans [Member] | Unrated [Member] | |||
Loans | 14,495 | 10,856 | |
Commercial Equipment Loans [Member] | Pass [Member] | |||
Loans | 33,934 | 23,581 | |
Commercial Equipment Loans [Member] | Substandard [Member] | |||
Loans | 1,454 | 1,479 | |
Commercial Portfolio Segment [Member] | |||
Loans | 1,114,082 | 957,746 | |
Commercial Portfolio Segment [Member] | Unrated [Member] | |||
Loans | 184,010 | 130,996 | |
Commercial Portfolio Segment [Member] | Pass [Member] | |||
Loans | 903,233 | 787,949 | |
Commercial Portfolio Segment [Member] | Substandard [Member] | |||
Loans | 26,839 | 38,801 | |
Non Commercial Portfolio Segment [Member] | |||
Loans | 193,655 | 192,298 | |
Non Commercial Portfolio Segment [Member] | Unrated [Member] | |||
Loans | 144,803 | 152,616 | |
Non Commercial Portfolio Segment [Member] | Pass [Member] | |||
Loans | 47,051 | 38,081 | |
Non Commercial Portfolio Segment [Member] | Special Mention [Member] | |||
Loans | 96 | ||
Non Commercial Portfolio Segment [Member] | Substandard [Member] | |||
Loans | $ 1,801 | $ 1,505 |
Loans (Acquired PCI Loans) (Det
Loans (Acquired PCI Loans) (Details) - PCI Loans [Member] - County First Bank Acquisition [Member] $ in Thousands | Jan. 31, 2018USD ($) |
Contractual principal and interest at acquisition | $ 6,126 |
Nonaccretable difference | (1,093) |
Expected cash flows at acquisition | 5,033 |
Accretable yield | (517) |
Basis in PCI loans at acquisition - estimated fair value | $ 4,516 |
Loans (Changes in the accretabl
Loans (Changes in the accretable yield for PCI loans) (Details) - PCI Loans [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2018 | Sep. 30, 2018 | |
Accretable yield, beginning of period | $ 401 | |
Additions | $ 517 | |
Accretion | (54) | (170) |
Accretable yield, end of period | $ 347 | $ 347 |
Loans (Acquired and Non-Acquire
Loans (Acquired and Non-Acquired Loans) (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | |
Loans receivables | $ 1,307,737 | $ 1,150,044 | $ 1,145,406 |
Net deferred costs (fees) | 917 | 1,086 | |
Total loans, net of deferred costs | $ 1,308,654 | $ 1,151,130 | |
Percentage Status Of Loan | 100.00% | 100.00% | |
Deferred loan fees and premiums, percentage | 0.07% | 0.09% | |
County First Bank Acquisition [Member] | |||
Loans receivables | $ 110,653 | ||
Percentage Status Of Loan | 8.46% | 0.00% | |
Non Acquired [Member] | |||
Loans receivables | $ 1,197,084 | $ 1,150,044 | |
Percentage Status Of Loan | 91.54% | 100.00% | |
PCI Loans [Member] | |||
Loans receivables | $ 3,511 | ||
Total loans, net of deferred costs | $ 3,511 | ||
Percentage Status Of Loan | 0.20% | ||
PCI Loans [Member] | County First Bank Acquisition [Member] | |||
Loans receivables | $ 3,511 | ||
Percentage Status Of Loan | 0.27% | 0.00% | |
All Other Loans [Member] | |||
Loans receivables | $ 1,304,226 | ||
Net deferred costs (fees) | 917 | ||
Total loans, net of deferred costs | 1,305,143 | ||
All Other Loans [Member] | County First Bank Acquisition [Member] | |||
Loans receivables | $ 107,142 | ||
Percentage Status Of Loan | 8.19% | 0.00% |
Regulatory Capital (Details)
Regulatory Capital (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Jun. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 |
Regulatory Assets | ||||||
Total stockholders' equity | $ 150,148 | $ 109,957 | ||||
Goodwill | (10,708) | |||||
Core deposit intangible (net of deferred tax liability) | (2,169) | |||||
AOCI Losses (Gains) | 2,633 | $ 2,182 | 1,191 | $ 538 | $ 489 | $ 928 |
Common equity Tier 1 capital | 139,904 | 111,148 | ||||
TRUPs | 12,000 | 12,000 | ||||
Tier 1 capital | 151,904 | 123,148 | ||||
Allowable reserve for credit losses and other Tier 2 adjustments | 10,790 | 10,545 | ||||
Subordinated notes | 23,000 | 23,000 | ||||
Tier 2 capital | 185,694 | 156,693 | ||||
Risk-weighted assets ("RWA") | 1,358,171 | 1,169,341 | ||||
Average Assets ("AA") | $ 1,596,550 | $ 1,401,741 | ||||
Common Tier 1 capital to RWA, 2019 Regulatory Min. Ratio + CCB | 7.00% | |||||
Tier 1 capital to RWA, 2019 Regulatory Min. Ratio + CCB | 8.50% | |||||
Tier 2 capital to RWA, 2019 Regulatory Min. Ratio + CCB | 10.50% | |||||
Common Tier 1 capital to RWA | 10.30% | 9.51% | ||||
Tier 1 capital to RWA | 11.18% | 10.53% | ||||
Tier 2 capital to RWA | 13.67% | 13.40% | ||||
Tier 1 capital to AA (leverage) | 9.51% | 8.79% | ||||
Common Stock [Member] | ||||||
Regulatory Assets | ||||||
Total stockholders' equity | $ 150,148 | $ 109,957 | ||||
Bank [Member] | ||||||
Regulatory Assets | ||||||
Goodwill | (10,708) | |||||
Core deposit intangible (net of deferred tax liability) | (2,169) | |||||
AOCI Losses (Gains) | 2,633 | 1,191 | ||||
Common equity Tier 1 capital | 170,376 | 140,237 | ||||
Tier 1 capital | 170,376 | 140,237 | ||||
Allowable reserve for credit losses and other Tier 2 adjustments | 10,790 | 10,545 | ||||
Tier 2 capital | 181,166 | 150,782 | ||||
Risk-weighted assets ("RWA") | 1,354,942 | 1,164,478 | ||||
Average Assets ("AA") | $ 1,593,387 | $ 1,398,001 | ||||
Common Tier 1 capital to RWA | 12.57% | 12.04% | ||||
Tier 1 capital to RWA | 12.57% | 12.04% | ||||
Tier 2 capital to RWA | 13.37% | 12.95% | ||||
Tier 1 capital to AA (leverage) | 10.69% | 10.03% | ||||
Bank [Member] | Common Stock [Member] | ||||||
Regulatory Assets | ||||||
Total stockholders' equity | $ 180,620 | $ 139,046 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2018 | Dec. 31, 2017 | |
Fair Value Measurements [Abstract] | |||
Loans with impairment, unpaid principal | $ 2,800 | $ 4,200 | |
Gain (Loss) on Sale of Properties | $ 36 |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value, Assets Measured on Recurring Basis) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | $ 107,962 | $ 68,164 |
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
US Agency [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 12,181 | 12,517 |
Bond Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 4,423 | |
CRA Investment Fund [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 107,962 | 68,164 |
Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 89,432 | 44,137 |
Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 6,349 | 7,087 |
Fair Value, Measurements, Recurring [Member] | US Agency [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 12,181 | 12,517 |
Fair Value, Measurements, Recurring [Member] | Bond Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 4,423 | |
Fair Value, Measurements, Recurring [Member] | CRA Investment Fund [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | US Agency [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Bond Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | CRA Investment Fund [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | ||
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 107,962 | 68,164 |
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 107,962 | 68,164 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 89,432 | 44,137 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 6,349 | 7,087 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | US Agency [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 12,181 | 12,517 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Bond Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | 4,423 | |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | CRA Investment Fund [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | US Agency [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Bond Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities Available For Sale | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | CRA Investment Fund [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value |
Fair Value Measurements (Fair_2
Fair Value Measurements (Fair Value, Assets and Liabilities Measured on Nonrecurring Basis) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Loans With Impairment [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | $ 1,837 | $ 3,202 |
Loans With Impairment [Member] | Commercial Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 1,387 | 1,638 |
Loans With Impairment [Member] | Residential First Mortgages [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 457 | |
Loans With Impairment [Member] | Residential Rentals [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 377 | |
Loans With Impairment [Member] | Commercial Loans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 425 | 164 |
Loans With Impairment [Member] | Construction and Land Development [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 566 | |
Loans With Impairment [Member] | Commercial Equipment [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 25 | |
Loans With Impairment [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | ||
Loans With Impairment [Member] | Fair Value, Inputs, Level 1 [Member] | Commercial Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | ||
Loans With Impairment [Member] | Fair Value, Inputs, Level 1 [Member] | Residential First Mortgages [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | ||
Loans With Impairment [Member] | Fair Value, Inputs, Level 1 [Member] | Residential Rentals [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | ||
Loans With Impairment [Member] | Fair Value, Inputs, Level 1 [Member] | Commercial Loans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | ||
Loans With Impairment [Member] | Fair Value, Inputs, Level 1 [Member] | Construction and Land Development [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | ||
Loans With Impairment [Member] | Fair Value, Inputs, Level 1 [Member] | Commercial Equipment [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | ||
Loans With Impairment [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 1,837 | 3,202 |
Loans With Impairment [Member] | Fair Value, Inputs, Level 3 [Member] | Commercial Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 1,387 | 1,638 |
Loans With Impairment [Member] | Fair Value, Inputs, Level 3 [Member] | Residential First Mortgages [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 457 | |
Loans With Impairment [Member] | Fair Value, Inputs, Level 3 [Member] | Residential Rentals [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 377 | |
Loans With Impairment [Member] | Fair Value, Inputs, Level 3 [Member] | Commercial Loans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 425 | 164 |
Loans With Impairment [Member] | Fair Value, Inputs, Level 3 [Member] | Construction and Land Development [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 566 | |
Loans With Impairment [Member] | Fair Value, Inputs, Level 3 [Member] | Commercial Equipment [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 25 | |
Other Real Estate Owned [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 9,341 | |
Other Real Estate Owned [Member] | Foreclosed Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | 8,207 | |
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | ||
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 1 [Member] | Foreclosed Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | ||
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, nonrecurring | $ 9,341 | |
Other Real Estate Owned [Member] | Fair Value, Inputs, Level 3 [Member] | Foreclosed Real Estate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value, nonrecurring | $ 8,207 |
Fair Value Measurements (Unobse
Fair Value Measurements (Unobservable Inputs Used in Level 3 Fair Value Measurements) (Details) - Fair Value, Inputs, Level 3 [Member] - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Loans With Impairment [Member] | ||
Assets, Fair Value Disclosure | $ 1,837 | $ 3,202 |
Other Real Estate Owned [Member] | ||
Assets, Fair Value Disclosure | $ 8,207 | $ 9,341 |
Maximum [Member] | Loans With Impairment [Member] | ||
Fair Value Inputs, Discount Rate | 50.00% | 50.00% |
Maximum [Member] | Other Real Estate Owned [Member] | ||
Fair Value Inputs, Discount Rate | 50.00% | 50.00% |
Minimum [Member] | Loans With Impairment [Member] | ||
Fair Value Inputs, Discount Rate | 0.00% | 0.00% |
Minimum [Member] | Other Real Estate Owned [Member] | ||
Fair Value Inputs, Discount Rate | 0.00% | 0.00% |
Weighted Average [Member] | Loans With Impairment [Member] | ||
Fair Value Inputs, Discount Rate | 35.00% | 24.00% |
Weighted Average [Member] | Other Real Estate Owned [Member] | ||
Fair Value Inputs, Discount Rate | 13.00% | 12.00% |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments (Narrative) (Details) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Fair Value of Financial Instruments [Abstract] | ||
Loans commitments outstanding | $ 35.5 | $ 65.6 |
Letters of credit outstanding, amount | 23 | 17.9 |
Line of Credit Facility, Remaining Borrowing Capacity | $ 225.1 | $ 162.2 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments (Fair Value, by Balance Sheet Grouping) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Assets | ||
Investment securities - AFS | $ 107,962 | $ 68,164 |
Investment securities - HTM | 93,811 | 98,007 |
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
Non-Marketable Equity Securities Held In Other Financial Institutions, Estimated Fair Value | 249 | 121 |
FHLB and FRB stock | 2,547 | 7,276 |
Loans receivable | 1,263,046 | 1,097,592 |
Investments in BOLI | 36,071 | 29,398 |
Liabilities | ||
Savings, NOW and money market accounts | 1,010,492 | 654,632 |
Time deposits | 440,159 | 453,644 |
Long-term debt | 20,419 | 57,421 |
Short term borrowings | 4,998 | 87,208 |
TRUPs | 10,717 | 9,400 |
Subordinated notes | 23,133 | 22,400 |
Carrying Amount [Member] | ||
Assets | ||
Investment securities - AFS | 107,962 | 68,164 |
Investment securities - HTM | 97,217 | 99,246 |
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
Non-Marketable Equity Securities Held In Other Financial Institutions, Estimated Fair Value | 249 | 121 |
FHLB and FRB stock | 2,547 | 7,276 |
Loans receivable | 1,297,915 | 1,140,615 |
Investments in BOLI | 36,071 | 29,398 |
Liabilities | ||
Savings, NOW and money market accounts | 1,010,492 | 654,632 |
Time deposits | 441,879 | 451,605 |
Long-term debt | 20,451 | 55,498 |
Short term borrowings | 5,000 | 87,500 |
TRUPs | 12,000 | 12,000 |
Subordinated notes | 23,000 | 23,000 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets | ||
Investment securities - HTM | 994 | 1,000 |
Loans receivable | ||
Liabilities | ||
Savings, NOW and money market accounts | ||
Time deposits | ||
Long-term debt | ||
Short term borrowings | ||
TRUPs | ||
Fair Value, Inputs, Level 2 [Member] | ||
Assets | ||
Investment securities - AFS | 107,962 | 68,164 |
Investment securities - HTM | 92,817 | 97,007 |
Equity Securities Carried At Fair Value Through Income, Estimated Fair Value | 4,359 | |
Non-Marketable Equity Securities Held In Other Financial Institutions, Estimated Fair Value | 249 | 121 |
FHLB and FRB stock | 2,547 | 7,276 |
Loans receivable | ||
Investments in BOLI | 36,071 | 29,398 |
Liabilities | ||
Savings, NOW and money market accounts | 1,010,492 | 654,632 |
Time deposits | 440,159 | 453,644 |
Long-term debt | 20,419 | 57,421 |
Short term borrowings | 4,998 | 87,208 |
TRUPs | 10,717 | 9,400 |
Subordinated notes | 23,133 | 22,400 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets | ||
Loans receivable | 1,263,046 | $ 1,097,592 |
Liabilities | ||
Savings, NOW and money market accounts | ||
Time deposits | ||
Long-term debt | ||
Short term borrowings | ||
TRUPs |