Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2016 | Nov. 10, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | SEVERN BANCORP INC | |
Entity Central Index Key | 868,271 | |
Current Fiscal Year End Date | --12-31 | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 12,104,379 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q3 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2016 |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) - USD ($) | Sep. 30, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and due from banks | $ 31,451,000 | $ 28,366,000 |
Interest earning deposits in other banks | 13,042,000 | 15,225,000 |
Cash and cash equivalents | 44,493,000 | 43,591,000 |
Investment securities held to maturity (fair value: $68,975 at September 30, 2016; $76,310 at December 31, 2015) | 67,677,000 | 76,133,000 |
Loans held for sale | 12,961,000 | 13,203,000 |
Loans receivable, net of allowance for loan losses of $8,985 and $8,758, respectively | 603,473,000 | 589,656,000 |
Premises and equipment, net | 24,167,000 | 24,290,000 |
Foreclosed real estate | 1,343,000 | 1,744,000 |
Federal Home Loan Bank stock, at cost | 5,230,000 | 5,626,000 |
Deferred tax asset | 10,916,000 | 0 |
Accrued interest receivable and other assets | 7,496,000 | 7,836,000 |
Total assets | 777,756,000 | 762,079,000 |
Liabilities | ||
Deposits | 556,610,000 | 523,771,000 |
Short-term borrowings | 7,000,000 | 0 |
Long-term borrowings | 103,500,000 | 115,000,000 |
Subordinated debentures | 20,619,000 | 24,119,000 |
Accrued interest payable and other liabilities | 3,244,000 | 12,733,000 |
Total liabilities | 690,973,000 | 675,623,000 |
Stockholders' Equity | ||
Common stock, $0.01 par value, 20,000,000 shares authorized; 12,104,379 and 10,088,879 shares issued and outstanding, respectively | 121,000 | 101,000 |
Additional paid-in capital | 63,778,000 | 76,335,000 |
Retained earnings | 22,880,000 | 10,016,000 |
Total stockholders' equity | 86,783,000 | 86,456,000 |
Total liabilities and stockholders' equity | 777,756,000 | 762,079,000 |
Series A Preferred Stock [Member] | ||
Stockholders' Equity | ||
Preferred stock | 4,000 | 4,000 |
Series B Preferred Stock [Member] | ||
Stockholders' Equity | ||
Preferred stock | $ 0 | $ 0 |
CONSOLIDATED STATEMENTS OF FIN3
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
ASSETS | ||
Investment securities held to maturity at fair value | $ 68,975 | $ 76,310 |
Loans receivable, allowance for loan losses | $ 8,985 | $ 8,758 |
Stockholders' Equity | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Common stock, shares issued (in shares) | 12,104,379 | 10,088,879 |
Common stock, shares outstanding (in shares) | 12,104,379 | 10,088,879 |
Series A Preferred Stock [Member] | ||
Stockholders' Equity | ||
Preferred stock, shares issued (in shares) | 437,500 | 437,500 |
Preferred stock, shares outstanding (in shares) | 437,500 | 437,500 |
Preferred stock, liquidation preference | $ 3,500 | $ 3,500 |
Series B Preferred Stock [Member] | ||
Stockholders' Equity | ||
Preferred stock, shares issued (in shares) | 0 | 23,393 |
Preferred stock, shares outstanding (in shares) | 0 | 23,393 |
Preferred stock, liquidation preference | $ 0 | $ 23,393 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Interest Income | ||||
Loans, including fees | $ 7,479,000 | $ 7,549,000 | $ 21,847,000 | $ 22,541,000 |
Securities | 280,000 | 314,000 | 890,000 | 788,000 |
Other | 83,000 | 69,000 | 251,000 | 242,000 |
Total interest income | 7,842,000 | 7,932,000 | 22,988,000 | 23,571,000 |
Interest Expense | ||||
Deposits | 1,019,000 | 1,032,000 | 3,002,000 | 3,055,000 |
Borrowings and subordinated debentures | 1,106,000 | 1,252,000 | 3,493,000 | 3,673,000 |
Total interest expense | 2,125,000 | 2,284,000 | 6,495,000 | 6,728,000 |
Net interest income | 5,717,000 | 5,648,000 | 16,493,000 | 16,843,000 |
Provision for loan losses | 50,000 | 0 | 150,000 | 200,000 |
Net interest income after provision for loan losses | 5,667,000 | 5,648,000 | 16,343,000 | 16,643,000 |
Non-interest Income | ||||
Mortgage banking activities | 861,000 | 859,000 | 1,893,000 | 2,278,000 |
Real estate commissions | 455,000 | 298,000 | 1,246,000 | 896,000 |
Real estate management fees | 214,000 | 166,000 | 564,000 | 491,000 |
Other | 185,000 | 146,000 | 1,076,000 | 1,036,000 |
Total non-interest income | 1,715,000 | 1,469,000 | 4,779,000 | 4,701,000 |
Non-Interest Expenses | ||||
Compensation and related expenses | 4,028,000 | 3,758,000 | 11,478,000 | 11,659,000 |
Occupancy | 486,000 | 377,000 | 1,387,000 | 1,255,000 |
Legal | 81,000 | 70,000 | 217,000 | 199,000 |
Foreclosed real estate, net | 41,000 | 132,000 | 184,000 | 119,000 |
FDIC assessments and regulatory expense | 175,000 | 307,000 | 469,000 | 917,000 |
Professional fees | 252,000 | 179,000 | 659,000 | 680,000 |
Advertising | 134,000 | 88,000 | 475,000 | 221,000 |
Online charges | 117,000 | 233,000 | 617,000 | 640,000 |
Credit report and appraisal fees | 148,000 | 170,000 | 480,000 | 646,000 |
Other | 487,000 | 524,000 | 1,535,000 | 1,463,000 |
Total non-interest expenses | 5,949,000 | 5,838,000 | 17,501,000 | 17,799,000 |
Income before income tax provision/(benefit) | 1,433,000 | 1,279,000 | 3,621,000 | 3,545,000 |
Income tax provision/(benefit) | 378,000 | 52,000 | (10,816,000) | 88,000 |
Net income | 1,055,000 | 1,227,000 | 14,437,000 | 3,457,000 |
Amortization of discount on preferred stock | (68,000) | (68,000) | (203,000) | (203,000) |
Dividends on preferred stock | (448,000) | (526,000) | (1,370,000) | (1,579,000) |
Net income available to common stockholders | $ 539,000 | $ 633,000 | $ 12,864,000 | $ 1,675,000 |
Basic income per share (in dollars per share) | $ 0.04 | $ 0.06 | $ 1.14 | $ 0.17 |
Diluted income per share (in dollars per share) | $ 0.04 | $ 0.06 | $ 1.13 | $ 0.17 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Thousands | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Total | Series A Preferred Stock [Member]Preferred Stock [Member] | Series A Preferred Stock [Member]Common Stock [Member] | Series A Preferred Stock [Member]Additional Paid-In Capital [Member] | Series A Preferred Stock [Member]Retained Earnings [Member] | Series A Preferred Stock [Member] | Series B Preferred Stock [Member]Preferred Stock [Member] | Series B Preferred Stock [Member]Common Stock [Member] | Series B Preferred Stock [Member]Additional Paid-In Capital [Member] | Series B Preferred Stock [Member]Retained Earnings [Member] | Series B Preferred Stock [Member] |
Balance at Dec. 31, 2014 | $ 4 | $ 101 | $ 75,848 | $ 7,857 | $ 83,810 | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net Income | 0 | 0 | 0 | 3,457 | 3,457 | ||||||||||
Stock-based compensation | 0 | 0 | 92 | 0 | 92 | ||||||||||
Dividend declared | $ 0 | $ 0 | $ 0 | $ (1,579) | $ (1,579) | ||||||||||
Amortization of discount on Series B preferred stock warrants | 203 | (203) | 0 | ||||||||||||
Exercised Options (21,500 shares) | 0 | 0 | 96 | 96 | |||||||||||
Balance at Sep. 30, 2015 | 4 | 101 | 76,239 | 9,532 | 85,876 | ||||||||||
Balance at Dec. 31, 2015 | 4 | 101 | 76,335 | 10,016 | 86,456 | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net Income | 0 | 0 | 0 | 14,437 | 14,437 | ||||||||||
Stock issuance (2,015,500 shares) net of expenses of $575 | 20 | 10,490 | 10,510 | ||||||||||||
Stock-based compensation | 0 | 0 | 143 | 0 | 143 | ||||||||||
Dividend declared | $ 0 | $ 0 | $ 0 | $ (140) | $ (140) | 0 | 0 | 0 | (1,230) | (1,230) | |||||
Stock redemption on Series B preferred stock (23,393 shares) | 0 | 0 | (23,393) | 0 | (23,393) | ||||||||||
Amortization of discount on Series B preferred stock warrants | $ 0 | $ 0 | $ 203 | $ (203) | $ 0 | ||||||||||
Balance at Sep. 30, 2016 | $ 4 | $ 121 | $ 63,778 | $ 22,880 | $ 86,783 |
CONSOLIDATED STATEMENTS OF STO6
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED) (Parenthetical) $ in Thousands | 9 Months Ended |
Sep. 30, 2016USD ($)shares | |
Issuance of stock (in shares) | 2,015,500 |
Stock issuance expenses | $ | $ 575 |
Exercised options (in shares) | 0 |
Series B Preferred Stock [Member] | |
Redemption of preferred stock (in shares) | 23,393 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Cash Flows from Operating Activities | ||
Net Income | $ 14,437 | $ 3,457 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of deferred loan fees | (889) | (1,013) |
Net amortization of premiums and discounts | 318 | 299 |
Provision for loan losses | 150 | 200 |
Provision for depreciation | 863 | 851 |
Provision for losses on foreclosed real estate | 196 | 0 |
Gain on sale of loans | (1,893) | (2,278) |
Gain on sale of foreclosed real estate | (46) | (79) |
Proceeds from loans sold to others | 106,668 | 125,385 |
Loans originated for sale | (104,533) | (128,925) |
Stock-based compensation expense | 143 | 92 |
Deferred income tax benefit | (10,916) | 0 |
Decrease in accrued interest receivable and other assets | 340 | 1,132 |
(Decrease) increase in accrued interest payable and other liabilities | (2,938) | 1,172 |
Net cash provided by operating activities | 1,900 | 294 |
Cash Flows from Investing Activities | ||
Purchase of investment securities held to maturity | (3,562) | (24,199) |
Proceeds from maturing investment securities held to maturity | 7,000 | 4,000 |
Principal collected on mortgage-backed securities held to maturity | 4,700 | 2,565 |
Net (increase) decrease in loans | (14,448) | 44,416 |
Proceeds from sale of foreclosed real estate | 1,621 | 2,014 |
Investment in premises and equipment | (740) | (242) |
Redemption of FHLB stock | 396 | 310 |
Net cash (used in) provided by investing activities | (5,033) | 28,864 |
Cash Flows from Financing Activities | ||
Net increase (decrease) in deposits | 32,839 | (7,168) |
Net increase in short-term borrowings | 7,000 | 0 |
Additional borrowed funds, long term | 3,500 | 0 |
Repayment of borrowed funds, long term | (18,500) | 0 |
Net proceeds from common stock issuance | 10,510 | 0 |
Proceeds from exercise of options | 0 | 96 |
Net cash provided by (used in) financing activities | 4,035 | (7,072) |
Increase in cash and cash equivalents | 902 | 22,086 |
Cash and cash equivalents at beginning of year | 43,591 | 33,335 |
Cash and cash equivalents at end of period | 44,493 | 55,421 |
Cash paid (received) during period for: | ||
Interest | 9,104 | 6,003 |
Income taxes | (852) | (298) |
Transfer of loans to foreclosed real estate | 1,370 | 1,907 |
Series A Preferred Stock [Member] | ||
Cash Flows from Financing Activities | ||
Preferred stock dividends | (140) | 0 |
Series B Preferred Stock [Member] | ||
Cash Flows from Financing Activities | ||
Preferred stock dividends | (7,781) | 0 |
Stock redemption of Series B preferred stock | $ (23,393) | $ 0 |
Principles of Consolidation
Principles of Consolidation | 9 Months Ended |
Sep. 30, 2016 | |
Principles of Consolidation [Abstract] | |
Principles of Consolidation | Note 1 - Principles of Consolidation The unaudited consolidated financial statements include the accounts of Severn Bancorp, Inc. (“Bancorp”), and its wholly-owned subsidiaries, SBI Mortgage Company and SBI Mortgage Company’s subsidiary, Crownsville Development Corporation, and its subsidiary, Crownsville Holdings I, LLC, and Severn Savings Bank, FSB (the “Bank”), and the Bank’s subsidiaries, Louis Hyatt, Inc., Homeowners Title and Escrow Corporation, Severn Financial Services Corporation, SSB Realty Holdings, LLC, SSB Realty Holdings II, LLC, and HS West, LLC. All intercompany accounts and transactions have been eliminated in the accompanying consolidated financial statements. |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2016 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | Note 2 - Basis of Presentation Bancorp follows accounting standards set by the Financial Accounting Standards Board, commonly referred to as the “FASB”. The FASB sets generally accepted accounting principles in the United States (“GAAP”) that Bancorp follows. References to GAAP issued by the FASB in these footnotes are to the FASB Accounting Standards Codification, sometimes referred to as the Codification or ASC. The accompanying unaudited consolidated financial statements have been prepared in accordance with GAAP for interim financial information and in accordance with the instructions to Form 10-Q. Accordingly, they do not include all of the disclosures required by GAAP for complete consolidated financial statements. In the opinion of management, all adjustments necessary for a fair presentation of the results of operations for the interim periods presented have been made. Such adjustments were of a normal recurring nature. The results of operations for the three and nine months ended September 30, 2016 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2016 or any other interim period. The unaudited consolidated financial statements for the three and nine months ended September 30, 2016 should be read in conjunction with the audited consolidated financial statements and related notes, which were included in Bancorp’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015. These consolidated financial statements consider events that occurred through the date the consolidated financial statements were issued. |
Cash Flow Presentation
Cash Flow Presentation | 9 Months Ended |
Sep. 30, 2016 | |
Cash Flow Presentation [Abstract] | |
Cash Flow Presentation | Note 3 - Cash Flow Presentation In the statements of cash flows, cash and cash equivalents include cash on hand, amounts due from banks, Federal Home Loan Bank of Atlanta (“FHLB Atlanta”) overnight deposits, and federal funds sold. Generally, federal funds are sold for one-day periods. |
Reclassifications
Reclassifications | 9 Months Ended |
Sep. 30, 2016 | |
Reclassifications [Abstract] | |
Reclassifications | Note 4 – Reclassifications Amounts in the prior year’s consolidated financial statements have been reclassified whenever necessary to conform to the current year’s presentation. Such reclassifications had no impact on net income. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 5 - Earnings Per Share Basic earnings per share is computed by dividing net income available to common stockholders by the weighted average number of shares of common stock outstanding for each 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 be issued by Bancorp relate to outstanding stock options, warrants, and convertible preferred stock, and are determined using the treasury stock method. Not included in the diluted earnings per share calculation for the three month period ended September 30, 2016 because they were anti-dilutive were 437,500 shares of common stock issuable upon conversion of Bancorp’s Series A Preferred Stock. Not included in the diluted earnings per share calculation for the nine month period ended September 30, 2016 because they were anti-dilutive, were 126,600 shares of common stock issuable upon exercise of outstanding stock options, 556,976 shares of common stock issuable upon the exercise of a warrant and 437,500 shares of common stock issuable upon conversion of Bancorp’s Series A Preferred Stock. Not included in the diluted earnings per share calculation for the three and nine month periods ended September 30, 2015, because they were anti-dilutive, were 40,000 and 121,500 shares, respectively, of common stock issuable upon exercise of outstanding stock options, 556,976 shares of common stock issuable upon the exercise of a warrant and 437,500 shares of common stock issuable upon conversion of Bancorp’s Series A Preferred Stock. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Common shares – weighted average (basic) 12,104,379 10,088,879 11,324,660 10,082,278 Common share equivalents – weighted average 79,360 27,181 51,193 24,688 Common shares – weighted average (diluted) 12,183,739 10,116,060 11,375,853 10,106,966 |
Guarantees
Guarantees | 9 Months Ended |
Sep. 30, 2016 | |
Guarantees [Abstract] | |
Guarantees | Note 6 - Guarantees Bancorp does not issue any guarantees that would require liability recognition or disclosure, other than its standby letters of credit. See Note 10. |
Regulatory Matters
Regulatory Matters | 9 Months Ended |
Sep. 30, 2016 | |
Regulatory Matters [Abstract] | |
Regulatory Matters | Note 7 - Regulatory Matters The Bank is subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, and possible additional discretionary actions by the regulators that, if undertaken, could have a direct material effect on Bancorp’s consolidated financial statements. As of September 30, 2016, Bancorp’s reservable liability was below the threshold established by the Federal Reserve Bank and therefore, Bancorp was not required to maintain reserves (in the form of deposits with the Federal Reserve Bank or a correspondent bank on behalf of the Federal Reserve Bank.) Federal banking agencies have adopted proposals that have substantially amended the regulatory capital rules applicable to Bancorp and the Bank. The amendments implement the “Basel III” regulatory capital reforms and changes required by the Dodd-Frank Act. The amended rules establish new higher capital ratio requirements, narrow the definitions of capital, impose new operating restrictions on banking organizations with insufficient capital buffers and increase the risk weighting of certain assets. The amended rules were effective with respect to Bancorp and the Bank in January 2015, with certain requirements to be phased in beginning in 2016. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios (set forth in the table below) of total and Tier 1 capital (as defined in the regulations) to risk-weighted assets (as defined), and of Tier 1 capital (as defined) to average assets (as defined). As of September 30, 2016, the most recent notification from the regulators categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized the Bank must maintain minimum total risk-based, Tier 1 risk-based, Common Equity Tier 1 and Tier 1 leverage ratios as set forth in the table below. There are no conditions or events since that notification that management believes have changed the Bank’s category. The Bank’s actual capital amounts and ratios are also presented in the table below. Under the final capital rules that became effective on January 1, 2015, there is a requirement for a common equity Tier 1 capital conservation buffer of 2.5% of risk-weighted assets which is in addition to the other minimum risk-based capital standards in the rule. Institutions that do not maintain this required capital buffer will become subject to progressively more stringent limitations on the percentage of earnings that can be paid out in dividends or used for stock repurchases or for the payment of discretionary bonuses to senior executive management. The capital buffer requirement is being phased in over three years beginning in 2016. We have included the 0.625% increase for 2016 in our minimum capital adequacy ratios in the table below. The capital buffer requirement effectively raises the minimum required common equity Tier 1 capital ratio to 7.0%, the Tier 1 capital ratio to 8.5%, and the total capital ratio to 10.5% on a fully phased-in basis on January 1, 2019. Management believes that, as of September 30, 2016, the Bank meets all capital adequacy requirements under the Basel III Capital Rules, including the capital conservation buffer, on a fully phased-in basis as if all such requirements were currently in effect. Actual For Capital Adequacy Purposes Minimum Capital Adequacy with Capital Buffer To Be Well Capitalized Under Prompt Corrective Action Provisions Amount % Amount % Amount % Amount % (dollars in thousands) September 30, 2016 Tangible (1) $ 97,733 12.7 % $ 11,548 1.5 % N/A N/A N/A N/A Tier 1 capital (2) 97,733 16.3 % 36,056 6.0 % $ 39,811 6.6 % $ 48,074 8.0 % Common Equity Tier 1 (2) 97,733 16.3 % 27,042 4.5 % 30,797 5.1 % 39,060 6.5 % Leverage (1) 97,733 12.7 % 30,795 4.0 % 35,606 4.6 % 38,494 5.0 % Total (2) 105,299 17.5 % 48,074 8.0 % 51,830 8.6 % 60,093 10.0 % (1) To adjusted total assets. (2) To risk-weighted assets. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2016 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | Note 8 - Stock-Based Compensation Bancorp has a stock-based compensation plan for directors, officers, and other key employees of Bancorp. The aggregate number of shares of common stock that may be issued with respect to the awards granted under the plan is 500,000 plus any shares forfeited under Bancorp’s old stock-based compensation plan. Under the terms of the stock-based compensation plan, Bancorp has the ability to grant various stock compensation incentives, including stock options, stock appreciation rights, and restricted stock. The stock-based compensation is granted under terms and conditions determined by the Compensation Committee of the Board of Directors. Under the stock-based compensation plan, stock options generally have a maximum term of ten years, and are granted with an exercise price at least equal to the fair market value of the common stock on the date the options are granted. Generally, options granted to directors, officers and employees vest over a five-year period, although the Compensation Committee has the authority to provide for different vesting schedules. Bancorp follows FASB ASC 718, “ Compensation – Stock Compensation There were no options granted during the nine months ended September 30, 2016 and September 30, 2015. Stock-based compensation expense for the three and nine months ended September 30, 2016 totaled $48,000 and $143,000, respectively. Stock-based compensation expense for the three and nine months ended September 30, 2015 totaled $30,000 and $92,000, respectively. There were no options exercised during the nine months ended September 30, 2016 and 21,500 options were exercised during the nine months ended September 30, 2015. Information regarding Bancorp’s stock-based compensation plan as of and for the nine months ended September 30, 2016 is as follows: 2016 Shares Weighted Average Options outstanding, December 31, 2015 339,800 $ 4.83 Options granted - - Options exercised - - Options forfeited (54,500 ) 5.07 Options outstanding, September 30, 2016 285,300 $ 4.79 Options exercisable, September 30, 2016 136,125 $ 4.37 The aggregate intrinsic value of the options outstanding as of September 30, 2016 and December 31, 2015 was $491,000 and $323,000, respectively. The aggregate intrinsic value of the options exercisable as of September 30, 2016 and December 31, 2015 was $292,000 and $165,000, respectively. The following table summarizes the nonvested options in Bancorp’s stock option plan as of September 30, 2016. Shares Weighted Average Grant Date Exercise Price Nonvested options outstanding, December 31, 2015 235,570 $ 5.13 Nonvested options granted - - Nonvested options vested (31,895 ) $ 5.01 Nonvested options forfeited (54,500 ) $ 5.07 Nonvested options outstanding, September 30, 2016 149,175 $ 5.18 As of September 30, 2016, there was $407,000 of total unrecognized stock-based compensation expense related to nonvested stock options, which is expected to be recognized over a period of fifty-one months. |
Investment Securities
Investment Securities | 9 Months Ended |
Sep. 30, 2016 | |
Investment Securities [Abstract] | |
Investment Securities | Note 9 - Investment Securities The amortized cost and fair value of investment securities held to maturity are as follows (dollars in thousands): Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value September 30, 2016: US Treasury securities $ 15,006 $ 282 $ - $ 15,288 US Agency securities 21,034 392 6 21,420 US Government sponsored mortgage-backed securities 31,637 630 - 32,267 Total $ 67,677 $ 1,304 $ 6 $ 68,975 December 31, 2015: US Treasury securities $ 21,057 $ 276 $ 8 $ 21,325 US Agency securities 20,011 139 76 20,074 US Government sponsored mortgage-backed securities 35,065 41 195 34,911 Total $ 76,133 $ 456 $ 279 $ 76,310 The following table shows fair value and unrealized losses, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position as of September 30, 2016 and December 31, 2015. There was one Agency security in a gross unrealized loss position at September 30, 2016. Four US Treasury securities, thirteen Agency securities and twelve Mortgage-backed securities were in a gross unrealized loss position at December 31, 2015. Management believes that the unrealized losses in 2016 and 2015 were the result of interest rate levels differing from those existing at the time of purchase of the securities and actual and estimated prepayment speeds. The Bank does not consider any of these securities to be other than temporarily impaired at In addition, the Bank does not intend to sell, nor does it believe it will be more likely than not that it will be required to sell, any impaired securities prior to a recovery of amortized cost. Less than 12 months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses September 30, 2016: (dollars in thousands) US Treasury securities $ - $ - $ - $ - $ - $ - US Agency securities 1,021 6 - - 1,021 6 US Government sponsored mortgage-backed securities - - - - - - Total $ 1,021 $ 6 $ - $ - $ 1,021 $ 6 Less than 12 months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2015: (dollars in thousands) US Treasury securities $ 3,992 $ 8 $ - $ - $ 3,992 $ 8 US Agency securities 12,958 76 - - 12,958 76 US Government sponsored mortgage-backed securities 31,091 195 - - 31,091 195 Total $ 48,041 $ 279 $ - $ - $ 48,041 $ 279 The amortized cost and estimated fair value of debt securities at September 30, 2016, by contractual maturity are shown in the following table. Actual maturities may differ from contractual maturities, because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Held to Maturity (dollars in thousands) Amortized Cost Estimated Fair Value Due in one year or less $ 9,008 $ 9,035 Due from greater than one year to five years 25,072 25,511 Due from greater than five years to ten years 1,960 2,162 US Government sponsored mortgage-backed securities 31,637 32,267 $ 67,677 $ 68,975 |
Loans Receivable
Loans Receivable | 9 Months Ended |
Sep. 30, 2016 | |
Loans Receivable [Abstract] | |
Loans Receivable | Note 10 - Loans Receivable Loans receivable, including unfunded commitments consist of the following: September 30, December 31, 2016 2015 (dollars in thousands) Residential mortgage, total $ 271,924 $ 285,930 Individually evaluated for impairment 22,521 26,087 Collectively evaluated for impairment 249,403 259,843 Construction, land acquisition and development, total 63,879 77,478 Individually evaluated for impairment 71 309 Collectively evaluated for impairment 63,808 77,169 Land, total 34,861 28,677 Individually evaluated for impairment 1,375 1,608 Collectively evaluated for impairment 33,486 27,069 Lines of credit, total 26,254 20,188 Individually evaluated for impairment 495 299 Collectively evaluated for impairment 25,759 19,889 Commercial real estate, total 198,915 174,912 Individually evaluated for impairment 5,696 6,321 Collectively evaluated for impairment 193,219 168,591 Commercial non-real estate, total 16,105 9,296 Individually evaluated for impairment - 122 Collectively evaluated for impairment 16,105 9,174 Home equity, total 19,739 24,529 Individually evaluated for impairment 3,519 2,285 Collectively evaluated for impairment 16,220 22,244 Consumer, total 1,209 1,224 Individually evaluated for impairment 100 10 Collectively evaluated for impairment 1,109 1,214 Total Loans 632,886 622,234 Less Unfunded commitments included above (17,400 ) (21,101 ) $ 615,486 601,133 Individually evaluated for impairment 33,777 37,041 Collectively evaluated for impairment 581,709 564,092 615,486 601,133 Allowance for loan losses (8,985 ) (8,758 ) Deferred loan origination fees and costs, net (3,028 ) (2,719 ) Net Loans $ 603,473 $ 589,656 The inherent credit risks within the portfolio vary depending upon the loan class as follows: Residential mortgage loans Construction, land acquisition and development loans Land loans Line of credit loans Commercial real estate loans Commercial non-real estate loans Home equity loans Consumer loans The loan portfolio segments and loan classes disclosed above are the same because this is the level of detail management uses when the original loan is recorded and is the level of detail used by management to assess and monitor the risk and performance of the portfolio. Management has determined that this level of detail is adequate to understand and manage the inherent risks within each portfolio segment and loan class. Allowance for Loan Losses - The allowance consists of specific and general components. The specific component relates to loans that are classified as impaired. When a real estate secured loan becomes impaired, a decision is made as to whether an updated certified appraisal of the real estate is necessary. This decision is based on various considerations, including the age of the most recent appraisal, the loan-to-value ratio based on the original appraisal and the condition of the property. Appraised values are discounted to arrive at the estimated selling price of the collateral, which is considered to be the estimated fair value. The discounts also include estimated costs to sell the property. For loans secured by non-real estate collateral, such as accounts receivable, inventory and equipment, estimated fair values are determined based on the borrower’s financial statements, inventory reports, accounts receivable aging or equipment appraisals or invoices. Indications of value from these sources are generally discounted based on the age of the financial information or the quality of the assets. For such loans that are classified as impaired, an allowance is established when the current market value of the underlying collateral less its estimated disposal costs is lower than the carrying value of that loan. For loans that are not solely collateral dependent, an allowance is established when the present value of the expected future cash flows of the impaired loan is lower than the carrying value of that loan. The general component relates to loans that are classified as doubtful, substandard or special mention that are not considered impaired, as well as non-classified loans. The general reserve is based on historical loss experience adjusted for qualitative factors. These qualitative factors include: ● Levels and trends in delinquencies and nonaccruals; ● Inherent risk in the loan portfolio; ● Trends in volume and terms of the loan; ● Effects of any change in lending policies and procedures; ● Experience, ability and depth of management; ● National and local economic trends and conditions; and ● Effect of any changes in concentration of credit. A loan is considered impaired if it meets either of the following two criteria: ● Loans that are 90 days or more in arrears (nonaccrual loans); or ● Loans where, based on current information and events, it is probable that a borrower will be unable to pay all amounts due according to the contractual terms of the loan agreement. Credit quality risk ratings include regulatory classifications of special mention, substandard, doubtful and loss. Loans, classified special mention have potential weaknesses that deserve management’s close attention. If uncorrected, the potential weaknesses may result in deterioration of the repayment prospects. Loans classified substandard have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They include loans that are inadequately protected by the current sound net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans classified doubtful have all the weaknesses inherent in loans classified substandard with the added characteristic that collection or liquidation in full, on the basis of current conditions and facts, is highly improbable. Loans classified as a loss are considered uncollectible and are charged to the allowance for loan losses. Loans not classified are rated pass. A loan is considered a troubled debt restructuring when for economic or legal reasons relating to the borrowers financial difficulties Bancorp grants a concession to the borrower that it would not otherwise consider. Loan modifications made with terms consistent with current market conditions that the borrower could obtain in the open market are not considered troubled debt restructurings. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. With respect to all loan segments, management does not charge off a loan, or a portion of a loan, until one of the following conditions have been met: ● The loan has been foreclosed on. Once the loan has been transferred from the Loans Receivable to Foreclosed Real Estate, a charge off is recorded for the difference between the recorded amount of the loan and the net value of the underlying collateral. ● An agreement to accept less than the recorded balance of the loan has been made with the borrower. Once an agreement has been finalized, and any proceeds from the borrower are received, a charge off is recorded for the difference between the recorded amount of the loan and the net value of the underlying collateral. ● The loan is considered to be impaired collateral dependent and its collateral valuation is less than the recorded balance. The loan is written down for accounting purposes by the amount of the difference between the recorded balance and collateral value. Prior to the above conditions, a loan is assessed for impairment when: (i) a loan becomes 90 days or more in arrears or (ii) based on current information and events, it is probable that the borrower will be unable to pay all amounts due according to the contractual terms of the loan agreement. If a loan is considered to be impaired, it is then determined to be either cash flow or collateral dependent. For a cash flow dependent loan, if based on management’s calculation of discounted cash flows, a reserve is needed, a specific reserve is recorded. That reserve is included in the Allowance for Loan Losses in the Consolidated Statement of Financial Condition. At times, the Bancorp receives extension requests for commercial real estate and construction loans, some of which have related repayment guarantees. An extension may be granted to allow for the completion of the project, marketing or sales of completed units, or to provide for permanent financing, and is based on a re-underwriting of the loan and management's assessment of the borrower's ability to perform according to the agreed-upon terms. Typically, at the time of an extension, borrowers are performing in accordance with contractual loan terms. Extension terms generally do not exceed 12 to 18 months and typically require that the borrower provide additional economic support in the form of partial repayment, additional collateral or guarantees. In cases where the fair value of the collateral or the financial resources of the borrower are deemed insufficient to repay the loan, reliance may be placed on the support of a guarantee, if applicable. However, such guarantees are not relied on when evaluating a loan for impairment and never considered the sole source of repayment. Bancorp evaluates the financial condition of guarantors based on the most current financial information available. Most often, such information takes the form of (i) personal financial statements of net worth, cash flow statements and tax returns (for individual guarantors) and (ii) financial and operating statements, tax returns and financial projections (for legal entity guarantors). Bancorp’s evaluation is primarily focused on various key financial metrics, including net worth, global cash flow, leverage ratios, and liquidity. It is Bancorp's policy to update such information annually, or more frequently as warranted, over the life of the loan. While Bancorp does not specifically track the frequency with which it has pursued guarantor performance under a guarantee, its underwriting process, both at origination and upon extension, as applicable, includes an assessment of the guarantor's reputation, creditworthiness and willingness to perform. Historically, when Bancorp has found it necessary to seek performance under a guarantee, it has been able to effectively mitigate its losses. As stated above, Bancorp’s ability to seek performance under a guarantee is directly related to the guarantor's reputation, creditworthiness and willingness to perform. When a loan becomes impaired, repayment is sought from both the underlying collateral and the guarantor (as applicable). In the event that the guarantor is unwilling or unable to perform, a legal remedy is pursued. Construction loans are funded, at the request of the borrower, typically not more than once per month, based on the extent of work completed, and are monitored throughout the life of the project by independent professional construction inspectors and Bancorp's commercial real estate lending department. Interest is advanced to the borrower, upon request, based upon the progress of the project toward completion. The amount of interest advanced is added to the total outstanding principal under the loan commitment. Should the project not progress as scheduled, the adequacy of the interest reserve necessary to carry the project through to completion is subject to close monitoring by management. Should the interest reserve be deemed to be inadequate, the borrower is required to fund the deficiency. Similarly, once a loan is fully funded, the borrower is required to fund all interest payments. Construction loans are reviewed for extensions upon expiration of the loan term, if necessary. Provided the loan is performing in accordance with contractual terms, extensions may be granted to allow for the completion of the project, marketing or sales of completed units, or to provide for permanent financing. Extension terms generally do not exceed 12 to 18 months. In general, Bancorp's construction loans are used to finance improvements to commercial, industrial or residential property. Repayment is typically derived from the sale of the property as a whole, the sale of smaller individual units, or by a take-out from a permanent mortgage. The term of the construction period generally does not exceed two years. Loan commitments are based on established construction budgets which represent an estimate of total costs to complete the proposed project including both hard (direct) costs (building materials, labor, etc.) and soft (indirect) costs (legal and architectural fees, etc.). In addition, project costs may include an appropriate level of interest reserve to carry the project through to completion. If established, such interest reserves are determined based on (i) a percentage of the committed loan amount, (ii) the loan term, and (iii) the applicable interest rate. Regardless of whether a loan contains an interest reserve, the total project cost statement serves as the basis for underwriting and determining which items will be funded by the loan and which items will be funded through borrower equity. Bancorp has not advanced additional interest reserves to keep a loan from becoming nonperforming. Bancorp recognized $202,000 and $312,000 of interest income from its loan portfolio from interest reserves during the nine months ended September 30, 2016 and 2015, respectively. None of the loans where interest reserves were recorded as capitalized interest were non-performing. The following is a summary of the allowance for loan losses for the nine and three month periods ended September 30, 2016 (dollars in thousands): Total Residential Mortgage Construction Acquisition Development Land Lines of Credit Commercial Real Estate Commercial Non-Real Estate Home Equity Consumer Nine months ended September 30, 2016 Beginning Balance $ 8,758 $ 4,188 $ 446 $ 510 $ 57 $ 2,792 $ 234 $ 528 $ 3 Provision 150 (491 ) (133 ) 349 (27 ) (226 ) 409 317 (48 ) Charge-offs (446 ) (151 ) (13 ) (59 ) - (178 ) (17 ) (28 ) - Recoveries 523 322 97 3 10 4 33 4 50 Ending Balance $ 8,985 $ 3,868 $ 397 $ 803 $ 40 $ 2,392 $ 659 $ 821 $ 5 Ending balance related to: Loans individually evaluated for impairment $ 2,259 $ 1,583 $ - $ 55 $ 15 $ 200 $ - $ 402 $ 4 Loans collectively evaluated for impairment $ 6,726 $ 2,285 $ 397 $ 748 $ 25 $ 2,192 $ 659 $ 419 $ 1 Three months ended September 30, 2016 Beginning Balance $ 8,804 $ 3,892 $ 297 $ 686 $ 49 $ 2,577 $ 703 $ 593 $ 7 Provision 50 (161 ) 113 176 (9 ) (189 ) (54 ) 226 (52 ) Charge-offs (72 ) - (13 ) (59 ) - - - - - Recoveries 203 137 - - - 4 10 2 50 Ending Balance $ 8,985 $ 3,868 $ 397 $ 803 $ 40 $ 2,392 $ 659 $ 821 $ 5 The following is a summary of the allowance for loan losses for the year ended December 31, 2015 (dollars in thousands): 2015 Total Residential Mortgage Construction Acquisition Development Land Lines of Credit Commercial Real Estate Commercial Non-Real Estate Home Equity Consumer Beginning Balance $ 9,435 $ 4,664 $ 362 $ 646 $ 12 $ 2,504 $ 280 $ 963 $ 4 Provision (280 ) (651 ) 84 (185 ) (190 ) 368 59 236 (1 ) Charge-offs (1,522 ) (454 ) - - - (80 ) (154 ) (834 ) - Recoveries 1,125 629 - 49 235 - 49 163 - Ending Balance $ 8,758 $ 4,188 $ 446 $ 510 $ 57 $ 2,792 $ 234 $ 528 $ 3 Allowance on loans individually evaluated for impairment $ 2,282 $ 1,838 $ - $ 78 $ 30 $ 328 $ 5 $ 2 $ 1 Allowance on loans collectively evaluated for impairment $ 6,476 $ 2,350 $ 446 $ 432 $ 27 $ 2,464 $ 229 $ 526 $ 2 The following is a summary of the allowance for loan losses for the nine and three month periods ended September 30, 2015 (dollars in thousands): Total Residential Mortgage Construction Acquisition Development Land Lines of Credit Commercial Real Estate Commercial Non-Real Estate Home Equity Consumer Nine months ended September 30, 2015 Beginning Balance $ 9,435 $ 4,664 $ 362 $ 646 $ 12 $ 2,504 $ 280 $ 963 $ 4 Provision 200 (311 ) (60 ) (216 ) (30 ) 362 223 233 (1 ) Charge-offs (1,357 ) (383 ) - - - (50 ) (155 ) (769 ) - Recoveries 411 208 - - 40 - 29 134 - Ending Balance $ 8,689 $ 4,178 $ 302 $ 430 $ 22 $ 2,816 $ 377 $ 561 $ 3 Ending balance related to: Loans individually evaluated for impairment $ 2,290 $ 1,883 $ 1 $ 42 $ - $ 322 $ 6 $ 34 $ 2 Loans collectively evaluated for impairment $ 6,399 $ 2,295 $ 301 $ 388 $ 22 $ 2,494 $ 371 $ 527 $ 1 Three months ended September 30, 2015 Beginning Balance $ 8,944 $ 4,396 $ 422 $ 458 $ 21 $ 2,732 $ 394 $ 518 $ 3 Provision - (267 ) (120 ) (28 ) (14 ) 84 135 210 - Charge-offs (484 ) (32 ) - - - - (154 ) (298 ) - Recoveries 229 81 - - 15 - 2 131 - Ending Balance $ 8,689 $ 4,178 $ 302 $ 430 $ 22 $ 2,816 $ 377 $ 561 $ 3 The accrual of interest on loans is discontinued at the time the loan is 90 days past due. Past due status is based on contractual terms of the loan. In all cases, loans are placed on non-accrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not collected for loans that are placed on non-accrual or charged-off is reversed against interest income. The interest collected on these loans is applied to principal unless the loan meets the criteria for recognizing interest income on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The following tables summarize impaired loans at September 30, 2016 and December 31, 2015 (dollars in thousands): Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Recorded Investment Related Allowance Recorded Investment Recorded Investment Unpaid Principal Balance September 30, 2016 Residential mortgage $ 9,812 $ 1,583 $ 12,709 $ 22,521 $ 23,138 Construction, acquisition and development - - 71 71 71 Land 424 55 951 1,375 1,488 Lines of credit 149 15 346 495 495 Commercial real estate 1,973 200 3,723 5,696 5,898 Commercial non-real estate - - - - - Home equity 1,609 402 1,910 3,519 4,105 Consumer 100 4 - 100 100 Total impaired loans $ 14,067 $ 2,259 $ 19,710 $ 33,777 $ 35,295 Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Recorded Investment Related Allowance Recorded Investment Recorded Investment Unpaid Principal Balance December 31, 2015 Residential mortgage $ 11,885 $ 1,838 $ 14,202 $ 26,087 $ 26,656 Construction, acquisition and development - - 309 309 309 Land 639 78 969 1,608 1,723 Lines of credit 299 30 - 299 299 Commercial real estate 3,214 328 3,107 6,321 6,469 Commercial non-real estate 103 5 19 122 123 Home equity 16 2 2,269 2,285 3,251 Consumer 10 1 - 10 10 Total impaired loans $ 16,166 $ 2,282 $ 20,875 $ 37,041 $ 38,840 The following tables summarize average impaired loans for the nine month and three month periods ended September 30, 2016 (dollars in thousands): Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Nine months ended September 30, 2016 Residential mortgage $ 10,684 $ 356 $ 13,774 $ 417 $ 24,458 $ 773 Construction, acquisition and development - - 269 9 269 9 Land 513 20 1,162 27 1,675 47 Lines of credit 149 6 144 3 293 9 Commercial real estate 2,040 77 4,655 134 6,695 211 Commercial non-real estate 33 1 6 - 39 1 Home equity 370 7 1,991 59 2,361 66 Consumer 73 2 23 - 96 2 Total impaired loans $ 13,862 $ 469 $ 22,024 $ 649 $ 35,886 $ 1,118 Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Three months ended September 30, 2016 Residential mortgage $ 9,831 $ 106 $ 12,734 $ 132 $ 22,565 $ 238 Construction, acquisition and development - - 71 1 71 1 Land 426 6 960 8 1,386 14 Lines of credit 149 2 274 2 423 4 Commercial real estate 1,977 25 3,730 57 5,707 82 Commercial non-real estate - - - - - - Home equity 1,078 6 1,911 18 2,989 24 Consumer 102 1 - - 102 1 Total impaired loans $ 13,563 $ 146 $ 19,680 $ 218 $ 33,243 $ 364 The following tables summarize average impaired loans for the nine and three month periods ended September 30, 2015 (dollars in thousands): Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Nine months ended September 30, 2015 Residential mortgage $ 12,438 $ 402 $ 14,101 $ 422 $ 26,539 $ 824 Construction, acquisition and development 125 1 623 23 748 24 Land 843 14 1,118 60 1,961 74 Lines of credit - - 395 17 395 17 Commercial real estate 2,754 94 1,942 121 4,696 215 Commercial non-real estate 249 4 7 13 256 17 Home equity 448 - 2,627 90 3,075 90 Consumer 11 - 551 3 562 3 Total impaired loans $ 16,868 $ 515 $ 21,364 $ 749 $ 38,232 $ 1,264 Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Three months ended September 30, 2015 Residential mortgage $ 12,848 $ 137 $ 12,512 $ 125 $ 25,360 $ 262 Construction, acquisition and development 125 1 413 6 538 7 Land 821 8 1,075 16 1,896 24 Lines of credit - - 278 2 278 2 Commercial real estate 3,241 37 1,866 39 5,107 76 Commercial non-real estate 210 1 20 - 230 1 Home equity 12 - 2,663 25 2,675 25 Consumer 11 - 2 - 13 - Total impaired loans $ 17,268 $ 184 $ 18,829 $ 213 $ 36,097 $ 397 Bancorp recognized $364,000 and $1,118,000 of interest income on impaired loans using a cash-basis method of accounting for the three months and nine months ended September 30, 2016, respectively, and $397,000 and $1,264,000 for the three months and nine months ended September 30, 2015, respectively. Bancorp did not record any interest income attributable to the change in present value attributable to the passage of time. Bancorp evaluates its impaired loans and assesses them based on either discounted cash flows or if it deems its loans to be collateral dependent, assesses impairment based on the value of the underlying collateral, less disposal costs. Included in the above impaired loans amount at September 30, 2016 was $25,571,000 of loans that are not in non-accrual status. In addition, there was a total of $22,521,000 of residential real estate loans included in impaired loans at September 30, 2016, of which $17,631,000 were to consumers and $4,890,000 to builders. The collateral supporting impaired collateral dependent loans is individually reviewed by management to determine its estimated fair market value, less estimated disposal cost and a charge off is taken, if necessary, for the difference between the carrying amount of any loan and the estimated fair value of the collateral less estimated disposal cost. The following table presents the classes of the loan portfolio summarized by the aggregate Pass and the criticized categories of Special Mention, Substandard and Doubtful within the internal risk rating system as of September 30, 2016 and December 31, 2015. Included in the Pass column were $17,400,000 and $21,101,000 in unfunded commitments at September 30, 2016 and December 31, 2015, respectively (dollars in thousands): Pass Special Mention Substandard Doubtful Total September 30, 2016 Residential mortgage $ 261,922 $ 6,868 $ 3,134 $ - $ 271,924 Construction, acquisition and development 63,533 346 - - 63,879 Land 33,683 372 806 - 34,861 Lines of credit 25,813 189 252 - 26,254 Commercial real estate 187,060 8,534 3,321 - 198,915 Commercial non-real estate 15,782 98 225 - 16,105 Home equity 16,289 586 2,864 - 19,739 Consumer 1,209 - - - 1,209 Total loans $ 605,291 $ 16,993 $ 10,602 $ - $ 632,886 Pass Special Mention Substandard Doubtful Total December 31, 2015 Residential mortgage $ 268,583 $ 12,457 $ 4,890 $ - $ 285,930 Construction, acquisition and development 77,168 71 239 - 77,478 Land 26,845 1,268 564 - 28,677 Lines of credit 19,521 368 299 - 20,188 Commercial real estate 155,766 13,208 5,938 - 174,912 Commercial non-real estate 9,151 125 20 - 9,296 Home equity 22,018 588 1,923 - 24,529 Consumer 1,224 - - - 1,224 Total loans $ 580,276 $ 28,085 $ 13,873 $ - $ 622,234 Management further monitors the performance and credit quality of the loan portfolio by analyzing the age of the portfolio as determined by the length of time a recorded payment is past due. Included in the Current column were $17,400,000 and $21,101,000 in unfunded commitments at September 30, 2016 and December 31, 2015, respectively. The following table presents the classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans as of September 30, 2016 and December 31, 2015 (dollars in thousands): 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Current Total Loans Non- Accrual September 30, 2016 Residential mortgage $ 1,158 $ - $ 1,100 $ 2,258 $ 269,666 $ 271,924 $ 1,615 Construction, acquisition and development - - - - 63,879 63,879 - Land 45 - 6 51 34,810 34,861 149 Lines of credit - - - - 26,254 26,254 149 Commercial real estate - - 515 515 198,400 198,915 2,908 Commercial non-real estate - 240 - 240 15,865 16,105 - Home equity - 1,593 603 2,196 17,543 19,739 3,179 Consumer - - 205 205 1,004 1,209 206 Total loans $ 1,203 $ 1,833 $ 2,429 $ 5,465 $ 627,421 $ 632,886 $ 8,206 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Current Total Loans Non- Accrual December 31, 2015 Residential mortgage $ 1,593 $ 65 $ 2,461 $ 4,119 $ 281,811 $ 285,930 $ 3,191 Construction, acquisition and development - - - - 77,478 77,478 244 Land 137 - 156 293 28,384 28,677 277 Lines of credit 149 - - 149 20,039 20,188 483 Commercial real estate 253 - 292 545 174,367 174,912 2,681 Commercial non-real estate - - - - 9,296 9,296 - Home equity - - 625 625 23,904 24,529 2,098 Consumer 3 - - 3 1,221 1,224 - Total loans $ 2,135 $ 65 $ 3,534 $ 5,734 $ 616,500 $ 622,234 $ 8,974 Bancorp did not have any loans that were 90 or more past due and still accruing interest as of September 30, 2016 and December 31, 2015. Bancorp offers a variety of modifications to borrowers. The modification categories offered can generally be described in the following categories: ● Rate Modification – A modification in which the interest rate is changed. ● Term Modification – A modification in which the maturity date, timing of payments or frequency of payments is changed. ● Interest Only Modification – A modification in which the loan is converted to interest only payments for a period of time. ● Payment Modification – A modification in which the dollar amount of the payment is changed, other than an interest only modification above. ● Loan Balance Modification – A modification in which a portion of the outstanding loan balance is forgiven. ● Combination Modification – Any other type of modification, including the use of multiple categories above. Bancorp has not purchased, sold or reclassified any loans to held for sale during the periods discussed. Only loans originated specifically for sale are recorded as held for sale at the period ended September 30, 2016 and December 31, 2015. Bancorp considers a modification of a loan term a troubled debt restructuring or “TDR” if Bancorp for economic or legal reasons related to the borrower’s financial difficulties grants a concession to the debtor that it would not otherwise consider. Prior to entering into a loan modification, Bancorp assesses the borrower’s financial condition to determine if the borrower has the means to meet the terms of the modification. This includes obtaining a credit report on the borrower as well as the borrower’s tax returns and financial statements. There were 71 restructured loans at September 30, 2016 totaling $22,795,000, of which 67 loans totaling $22,431,000 were performing as agreed. Of those performing loans, 53 loans totaling $18,422,000 have not been late on a payment during the last 2 years. There were 77 restructured loans at December 31, 2015 totaling $25,715,000, of which 71 loans totaling $24,386,000 were performing as agreed. In the nine months ended September 30, 2016 and 2015, there were no TDRs that subsequently defaulted during the 12 month period ended September 30, 2016 and 2015. The following tables present newly restructured loans that occurred during the nine and three months ended September 30, 2016 (dollars in thousands): Nine months ended September 30, 2016 Rate Modification Contracts Combination Modifications Contracts Total Total Contracts Pre-Modification Outstanding Recorded Investment: Residential mortgage - - $ 624 3 $ 624 3 Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ 624 3 $ 624 3 Post-Modification Outstanding Recorded Investment: Residential mortgage - - $ 624 3 $ 624 3 Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ 624 3 $ 624 3 Three months ended September 30, 2016 Rate Modification Contracts Combination Modifications Contracts Total Total Contracts Pre-Modification Outstanding Recorded Investment: Residential mortgage - - $ - - $ - - Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ - - $ - - Post-Modification Outstanding Recorded Investment: Residential mortgage - - $ - - $ - - Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ - - $ - - In addition, the TDR is evaluated for impairment loss. A determination is made as to whether an impaired TDR is cash flow or collateral dependent. If the TDR is cash flow dependent, an allowance for loan losses specific reserve is calculated based on the difference in net present value of future cash flows between the original and modified loan terms. If the TDR is collateral dependent, the collateral securing the TDR, which is always real estate, is evaluated for impairment based on either an appraisal or broker price opinion. If a TDR’s collateral valuation is less than its current loan balance, the TDR is written down for accounting purposes by the amount of the difference between the current loan balance and the collateral value. If the borrower performs under the terms of the modification, generally six consecutive months, and the ultimate collectability of all amounts contractually due under the modified terms is not in doubt, the loan is returned to accrual status. There are no loans that have been modified due to the financial difficulties of the borrower that are not considered a TDR. There were no TDR defaults during the nine months ended September 30, 2016 and 2015. The following tables present newly restructured loans that occurred during the nine and three months ended September 30, 2015 (dollars in thousands): Nine months ended September 30, 2015 Rate Modification Contracts Combination Modifications Contracts Total Total Contracts Pre-Modification Outstanding Recorded Investment: Residential mortgage - - $ 91 2 $ 91 2 Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ 91 2 $ 91 2 Post-Modification Outstanding Recorded Investment: Residential mortgage - - $ 200 2 $ 200 2 Construction, acquisition and development - - - - - - Land - - - - - - Line |
Fair Values of Financial Instru
Fair Values of Financial Instruments | 9 Months Ended |
Sep. 30, 2016 | |
Fair Values of Financial Instruments [Abstract] | |
Fair Values of Financial Instruments | Note 11 - Fair Values of Financial Instruments A fair value hierarchy that prioritizes the inputs to valuation methods is used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair market hierarchy are as follows: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2: Quoted prices in markets that are not active, or inputs that are observable either directly or indirectly, for substantially the full term of the asset or liability. Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e. supported with little or no market activity). An asset or liability’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The following information should not be interpreted as an estimate of the fair value of Bancorp since a fair value calculation is only provided for a limited portion of Bancorp’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between Bancorp’s disclosures and those of other companies may not be meaningful. The following methods and assumptions were used to estimate the fair values of Bancorp’s financial instruments at September 30, 2016 and December 31, 2015. Impaired Loans: Impaired loans are carried at the lower of cost or the present value of expected future cash flows of the loan. If it is determined that the repayment of the loan will be provided solely by the underlying collateral, and there are no other available and reliable sources of repayment, the loan is considered collateral dependent. Impaired loans that are considered collateral dependent are carried at the lower of cost or the fair value of the underlying collateral. Collateral may be in the form of real estate or business assets including equipment, inventory and accounts receivable. The use of independent appraisals and management’s best judgment are significant inputs in arriving at the fair value measure of the underlying collateral and impaired loans are therefore classified within level 3 of the fair value hierarchy. For such loans that are classified as impaired, an allowance is established when the present value of the expected future cash flows of the impaired loan is lower than the carrying value of that loan. For such loans that are classified as collateral dependent impaired loans, an allowance is established when the current market value of the underlying collateral less its estimated disposal costs has not been finalized, but management determines that it is likely that the value is lower than the carrying value of that loan. Once the net collateral value has been determined, a charge-off is taken for the difference between the net collateral value and the carrying value of the loan. Impaired loans are those for which Bancorp has measured impairment based on the present value of expected future cash flows or on the fair value of the loan’s collateral. Fair value is generally determined based upon independent third-party appraisals of the properties, or discounted cash flows based upon the expected proceeds. These assets are included as Level 3 fair values, based upon the lowest level of input that is significant to the fair value measurements. The fair value consisted of the loan balances of $14,067,000 and $16,166,000 at September 30, 2016 and December 31, 2015, respectively, less their valuation allowances of $2,259,000 and $2,282,000 at September 30, 2016 and December 31, 2015, respectively. The fair value of three impaired collateral-dependent loans that were partially charged off during the nine months ended September 30, 2016 totaled $1,990,000 net of charge-offs of $67,000 that were recorded in the nine months ended September 30, 2016. The fair value of seven impaired collateral-dependent loans that were partially charged off during the year ended December 31, 2015 totaled $3,219,000 net of charge-offs of $622,000 that were recorded in the twelve months ended December 31, 2016. Foreclosed Real Estate: Real estate acquired through foreclosure is recorded at fair value less estimated disposal costs. Management periodically evaluates the recoverability of the carrying value of the real estate acquired through foreclosure using current estimates of fair value. In the event of a subsequent decline, management provides a specific allowance to reduce real estate acquired through foreclosure to fair value less estimated disposal cost. Expenses incurred on foreclosed real estate prior to disposition are charged to expense. Gains or losses on the sale of foreclosed real estate are recognized upon disposition of the property. Foreclosed real estate totaled $1,343,000 and $1,744,000 as of September 30, 2016 and December 31, 2015, respectively. The carrying value of foreclosed residential real estate included within foreclosed real estate totaled $552,000 and $543,000 as of September 30, 2016 and December 31, 2015, respectively. Consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings were in process according to local requirements of the applicable jurisdiction totaled $3,252,000 and $1,487,000 as of September 30, 2016 and December 31, 2015, respectively. The following table sets forth financial assets that were accounted for at fair value on a nonrecurring and recurring basis by level within the fair value hierarchy as of September 30, 2016 and December 31, 2015: September 30, 2016 Fair Value Measurement Using: September 30, 2016 Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (dollars in thousands) Nonrecurring fair value measurements Impaired loans $ 13,798 $ - $ - $ 13,798 Foreclosed real estate 1,343 - - 1,343 Total nonrecurring fair value measurements $ 15,141 $ - $ - $ 15,141 Recurring fair value measurements Mortgage servicing rights $ 484 $ - $ - $ 484 Rate lock commitments 480 - 480 - Mandatory forward contracts 14 - 14 - Total recurring fair value measurements $ 978 $ - $ 494 $ 484 December 31, 2015 Fair Value Measurement Using: December 31, 2015 Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (dollars in thousands) Nonrecurring fair value measurements Impaired loans $ 17,103 $ - $ - $ 17,103 Foreclosed real estate 543 - - 543 Total nonrecurring fair value measurements $ 17,646 $ - $ - $ 17,646 Recurring fair value measurements Mortgage servicing rights $ 623 $ - $ - $ 623 Rate lock commitments 141 - 141 - Mandatory forward contracts 111 - 111 - Total recurring fair value measurements $ 875 $ - $ 252 $ 623 There were no liabilities that were required to be re-measured on a nonrecurring basis at September 30, 2016 or December 31, 2015. The following table presents additional quantitative information about assets measured at fair value on a recurring basis and for which Bancorp has utilized Level 3 inputs to determine fair value: Quantitative Information about Level 3 Fair Value Measurements Fair Value Estimate Valuation Techniques Unobservable Input Range (Weighted Average) September 30, 2016 Mortgage servicing rights $ 484 Market approach Weighted average prepayment speed 7.83 % December 31, 2015 Mortgage servicing rights $ 623 Market approach Weighted average prepayment speed 9.91 % The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis and for which Bancorp has utilized Level 3 inputs to determine fair value: Quantitative Information about Level 3 Fair Value Measurements Fair Value Estimate Valuation Techniques Unobservable Input Range (Weighted Average) September 30, 2016 Impaired loans $ 11,808 PV of future cash flows (1) Discount rate -10.00% 1,990 Appraisal of collateral (2) Liquidation expenses (3) -10.00% Foreclosed real estate $ 1,343 Appraisal of collateral (2),(4) Appraisal adjustments (3) -10.00% to -15.11% (-12.76%) December 31, 2015 Impaired loans $ 13,884 PV of future cash flows (1) Discount rate -6.00 % $ 3,219 Appraisal of collateral (2) Liquidation expenses (3) -6.00% Foreclosed real estate $ 543 Appraisal of collateral (2),(4) Appraisal adjustments (3) -6.12% to -7.31% (-6.24%) (1) Cash flow which generally includes various level 3 inputs which are not identifiable. (2) Fair value is generally determined through independent appraisals for the underlying collateral, which generally include various level 3 inputs which are not identifiable. (3) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. (4) Includes qualitative adjustments by management and estimated liquidation expenses. Fair Value Measurement at September 30, 2016 Carrying Amount Fair Value Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets (dollars in thousands) Cash and cash equivalents $ 44,493 $ 44,493 $ 44,493 $ - $ - Investment securities (HTM) 67,677 68,975 - 68,975 Loans held for sale 12,961 13,348 - 13,124 - Loans receivable, net 603,473 611,051 - - 611,051 FHLB stock 5,230 5,230 - 5,230 - Accrued interest receivable 2,262 2,262 - 2,262 - Mortgage servicing rights 484 484 - - 484 Rate lock commitments 480 480 - 480 - Mandatory forward contracts 14 14 - 14 - Financial Liabilities Deposits $ 556,610 $ 557,547 - $ 557,547 - FHLB advances/Other Borrowings 110,500 107,626 - 107,626 - Subordinated debentures 20,619 20,619 - - 20,619 Accrued interest payable 528 528 - 528 - Off Balance Sheet Commitments $ - $ - $ - $ - $ - Fair Value Measurement at December 31, 2015 Carrying Amount Fair Value Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets (dollars in thousands) Cash and cash equivalents $ 43,591 $ 43,591 $ 43,591 $ - $ - Investment securities (HTM) 76,133 76,310 - 76,310 - Loans held for sale 13,203 13,295 - 13,295 - Loans receivable, net 589,656 593,742 - - 593,742 FHLB stock 5,626 5,626 - 5,626 - Accrued interest receivable 2,218 2,218 - 2,218 - Mortgage servicing rights 623 623 - - 623 Rate lock commitments 141 141 - 141 - Mandatory forward contracts 111 111 - 111 - Financial Liabilities Deposits $ 523,771 $ 524,458 - 524,458 - FHLB advances 115,000 110,759 - 110,759 - Subordinated debentures 24,119 24,119 - - 24,119 Accrued interest payable 3,137 3,137 - 3,137 - Off Balance Sheet Commitments $ - $ - $ - $ - $ - The following methods and assumptions were used to measure the fair value of financial instruments recorded at cost on Bancorp’s consolidated balance sheet: Cash and cash equivalents: The carrying amount reported in the consolidated statements of financial condition for cash and cash equivalents approximate those assets’ fair values. Investment Securities: Bancorp utilizes a third party source to determine the fair value of its securities. The methodology consists of pricing models based on asset class and includes available trade, bid, other market information, broker quotes, proprietary models, various databases and trading desk quotes. All Bancorp’s investments are considered Level 2. Loans held for sale: The fair value of loans held for sale is based primarily on investor quotes. Loans receivable: The fair values of loans receivable were estimated using discounted cash flow analyses, using market interest rates currently being offered for loans with similar terms to borrowers of similar credit quality. These rates were used for each aggregated category of loans as reported on the Office of the Comptroller of the Currency Quarterly Report. FHLB stock: The carrying amount of FHLB stock approximates fair value based on the redemption provisions of the FHLB. There have been no identified events or changes in circumstances that may have a significant adverse effect on the FHLB stock. Based on our evaluation, we have concluded that our FHLB stock was not impaired at September 30, 2016 and December 31, 2015. Accrued interest receivable and payable: The carrying amounts of accrued interest receivable and accrued interest payable approximates their fair values. Derivative Instruments: Mortgage banking derivatives used in the ordinary course of business primarily consist of mandatory forward sales contracts (“forward contract”) and rate lock commitments. The fair value of Bancorp’s derivative instruments is primarily measured by obtaining pricing from broker-dealers recognized to be market participants. The pricing is derived from market observable inputs that can generally be verified and do not typically involve significant judgment by Bancorp. Forward contracts and rate lock loan commitments are classified as Level 2 in the fair value hierarchy Mortgage servicing rights: The fair value of mortgage servicing rights is determined using a valuation model administered by a third party that calculates the present value of estimated future net servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds, discount rate, default rates, cost to service (including delinquency and foreclosure costs), escrow account earnings, contractual servicing fee income and other ancillary income such as late fees. Management reviews all significant assumptions on a monthly basis. Mortgage loan prepayment speed, a key assumption in the model, is the annual rate at which borrowers are forecasted to repay their mortgage loan principal. The discount rate used to determine the present value of estimated future net servicing income, another key assumption in the model, is an estimate of the required rate of return investors in the market would require for an asset with similar risk. Both assumptions can, and generally will, change as market conditions and interest rates change. Deposit liabilities: The fair values disclosed for demand deposit accounts, savings accounts and money market deposits are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amounts). Fair values for fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies market interest rates currently being offered in the market on certificates to a schedule of aggregated expected monthly maturities on time deposits. FHLB advances and Other Borrowings: Fair values of long-term debt are estimated using discounted cash flow analysis, based on rates currently available for advances from the FHLB with similar terms and remaining maturities. Fair values of long-term debt are estimated using discounted cash flow analysis, based on market rates currently available for notes with similar terms. Subordinated debentures: Current economic conditions have rendered the market for this liability inactive. As such, Bancorp is unable to determine a good estimate of fair value. Since the rate paid on the debentures held is lower than what would be required to secure an interest in the same debt at year end and we are unable to obtain a current fair value, Bancorp has disclosed that the carrying value approximates the fair value. Off-balance sheet financial instruments: Fair values for Bancorp’s off-balance sheet financial instruments (lending commitments and letters of credit) are not significant and are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties’ credit standing. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2016 | |
Income Taxes [Abstract] | |
Income Taxes | Note 12 - Income Taxes Tax expense was $378,000 for the third quarter of 2016 compared to a $52,000 for the third quarter of 2015. For the nine months ended September 30, 2016 the Bancorp recorded an income tax benefit of $10,816,000 compared to income tax expense of $88,000 for the same period of 2015. The income tax benefit in 2016 was primarily due to the reversal of an $11,837,000 valuation allowance during the second quarter of 2016. The valuation allowance was first recorded in the third quarter of 2013 due to the uncertainty of whether or not the Bancorp would be able to realize the asset. In assessing Bancorp’s ability to realize its net deferred tax asset, Management considers whether it is more likely than not that some portion or all of the net deferred tax asset will or will not be realized. Bancorp’s ultimate realization of the net deferred tax asset is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible. Management considers the nature and amount of historical and projected future taxable income, the scheduled reversal of deferred tax assets and liabilities, and available tax planning strategies in making this assessment. The amount of net deferred taxes recognized could be impacted by changes to any of these variables. Each quarter, Bancorp weighs both the positive and negative information and analyzes its position of whether or not a valuation allowance is required. Over the past several quarters, the positive information has been increasing while the negative information has been decreasing. Over the last eight quarters, the Bancorp has demonstrated consistent earnings while its level of non-performing assets has steadily decreased. Additionally, the Federal Reserve Bank and The Office of the Comptroller of the Currency have terminated their formal agreements with Bancorp, reducing regulatory risk. Given the consistent earnings and improving asset quality, Bancorp’s analysis has now concluded that, as of September 30, 2016, it is more likely than not that it will generate sufficient taxable income within the applicable carry-forward periods to realize its net deferred tax asset. As such, the full valuation allowance of $11,837,000 was reversed to income tax expense at June 30, 2016. Bancorp’s net deferred tax asset was $10,916,000 as of September 30, 2016. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2016 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | Note 13 - Recent Accounting Pronouncements Under ASU 2014-09, Revenue from Contracts with Customers Under ASU 2016-08, Revenue from Contracts with Customers, • require an entity to determine whether it is a principal or an agent for each distinct good or service (or a distinct bundle of goods or services) to be provided to the customer; • illustrate how an entity that is a principal might apply the control principle to goods, services, or rights to services, when another party is involved in providing goods or services to a customer; • clarify that the purpose of certain specific control indicators is to support or assist in the assessment of whether an entity controls a good or service before it is transferred to the customer, provide more specific guidance on how the indicators should be considered, and clarify that their relevance will vary depending on the facts and circumstances; and • revise existing examples and add two new ones to more clearly depict how the guidance should be applied. Bancorp is currently evaluating the impact this update will have on its consolidated financial position and results of operations. Under ASU 2016-01, Amendment to the Recognition and Measurement Guidance for Financial Instruments The Amendment also requires a qualitative impairment assessment of such equity investments and amends certain fair value disclosure requirements. The new standard takes effect in 2018 for public companies. Early adoption is only permitted for the provision related to instrument-specific credit risk and the fair value disclosure exemption provided to nonpublic entities. Bancorp has evaluated the effect of ASU 2016-01 and believes adoption will not have a material effect on the Consolidated Financial Statements. Under ASU 2016-09 Stock Compensation, In addition, the ASU elevates the statutory tax withholding threshold to qualify for equity classification up to the maximum statutory tax rates in the applicable jurisdiction(s). The ASU also clarifies that cash paid by an employer when directly withholding shares for tax withholding purposes should be classified as a financing activity. The ASU provides an optional accounting policy election (with limited exceptions), to be applied on an entity-wide basis, to either estimate the number of awards that are expected to vest (consistent with existing U.S. GAAP) or account for forfeitures when they occur. Bancorp is currently evaluating the impact this update will have on its consolidated financial position and results of operations. In February 2016, the FASB issued ASU 2016-02, “Leases.” The new standard establishes a right-of-use (ROU) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. A modified retrospective transition approach is required for lessees for capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. Bancorp is currently evaluating the impact this update will have on its consolidated financial position and results of operations. Under ASU 2016-13, Financial Instruments – Credit Losses Under ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments · Cash payments for debt prepayment or extinguishment costs will be classified in financing activities. · Upon settlement of zero-coupon bonds and bonds with insignificant cash coupons, the portion of the payment attributable to imputed interest will be classified as an operating activity, while the portion of the payment attributable to principal will be classified as a financing activity. · Cash paid by an acquirer that isn’t soon after a business combination for the settlement of a contingent consideration liability will be separated between financing activities and operating activities. Cash payments up to the amount of the contingent consideration liability recognized at the acquisition date will be classified in financing activities; any excess will be classified in operating activities. Cash paid soon after the business combination will be classified in investing activities. · Cash proceeds received from the settlement of insurance claims will be classified on the basis of the related insurance coverage (that is, the nature of the loss). Cash proceeds from lump-sum settlements will be classified based on the nature of each loss included in the settlement. · Cash proceeds received from the settlement of corporate-owned life insurance (COLI) and bank-owned life insurance (BOLI) policies will be classified as cash inflows from investing activities. Cash payments for premiums on COLI and BOLI may be classified as cash outflows for investing, operating, or a combination of both. · A transferor’s beneficial interest obtained in a securitization of financial assets will be disclosed as a noncash activity, and cash received from beneficial interests will be classified in investing activities. · Distributions received from equity method investees will be classified using either a cumulative earnings approach or a look-through approach as an accounting policy election. The ASU contains additional guidance clarifying when an entity should separate cash receipts and cash payments and classify them into more than one class of cash flows (including when reasonable judgment is required to estimate and allocate cash flows) versus when an entity should classify the aggregate amount into one class of cash flows on the basis of predominance. Bancorp is currently assessing the impact of the adoption of this ASU on its consolidated financial statements. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings per share reconciliation | Not included in the diluted earnings per share calculation for the three month period ended September 30, 2016 because they were anti-dilutive were 437,500 shares of common stock issuable upon conversion of Bancorp’s Series A Preferred Stock. Not included in the diluted earnings per share calculation for the nine month period ended September 30, 2016 because they were anti-dilutive, were 126,600 shares of common stock issuable upon exercise of outstanding stock options, 556,976 shares of common stock issuable upon the exercise of a warrant and 437,500 shares of common stock issuable upon conversion of Bancorp’s Series A Preferred Stock. Not included in the diluted earnings per share calculation for the three and nine month periods ended September 30, 2015, because they were anti-dilutive, were 40,000 and 121,500 shares, respectively, of common stock issuable upon exercise of outstanding stock options, 556,976 shares of common stock issuable upon the exercise of a warrant and 437,500 shares of common stock issuable upon conversion of Bancorp’s Series A Preferred Stock. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Common shares – weighted average (basic) 12,104,379 10,088,879 11,324,660 10,082,278 Common share equivalents – weighted average 79,360 27,181 51,193 24,688 Common shares – weighted average (diluted) 12,183,739 10,116,060 11,375,853 10,106,966 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Regulatory Matters [Abstract] | |
Bank's actual capital amounts and ratios | Under the final capital rules that became effective on January 1, 2015, there is a requirement for a common equity Tier 1 capital conservation buffer of 2.5% of risk-weighted assets which is in addition to the other minimum risk-based capital standards in the rule. Institutions that do not maintain this required capital buffer will become subject to progressively more stringent limitations on the percentage of earnings that can be paid out in dividends or used for stock repurchases or for the payment of discretionary bonuses to senior executive management. The capital buffer requirement is being phased in over three years beginning in 2016. We have included the 0.625% increase for 2016 in our minimum capital adequacy ratios in the table below. The capital buffer requirement effectively raises the minimum required common equity Tier 1 capital ratio to 7.0%, the Tier 1 capital ratio to 8.5%, and the total capital ratio to 10.5% on a fully phased-in basis on January 1, 2019. Management believes that, as of September 30, 2016, the Bank meets all capital adequacy requirements under the Basel III Capital Rules, including the capital conservation buffer, on a fully phased-in basis as if all such requirements were currently in effect. Actual For Capital Adequacy Purposes Minimum Capital Adequacy with Capital Buffer To Be Well Capitalized Under Prompt Corrective Action Provisions Amount % Amount % Amount % Amount % (dollars in thousands) September 30, 2016 Tangible (1) $ 97,733 12.7 % $ 11,548 1.5 % N/A N/A N/A N/A Tier 1 capital (2) 97,733 16.3 % 36,056 6.0 % $ 39,811 6.6 % $ 48,074 8.0 % Common Equity Tier 1 (2) 97,733 16.3 % 27,042 4.5 % 30,797 5.1 % 39,060 6.5 % Leverage (1) 97,733 12.7 % 30,795 4.0 % 35,606 4.6 % 38,494 5.0 % Total (2) 105,299 17.5 % 48,074 8.0 % 51,830 8.6 % 60,093 10.0 % (1) To adjusted total assets. (2) To risk-weighted assets. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Stock-Based Compensation [Abstract] | |
Information regarding stock option plan | Information regarding Bancorp’s stock-based compensation plan as of and for the nine months ended September 30, 2016 is as follows: 2016 Shares Weighted Average Options outstanding, December 31, 2015 339,800 $ 4.83 Options granted - - Options exercised - - Options forfeited (54,500 ) 5.07 Options outstanding, September 30, 2016 285,300 $ 4.79 Options exercisable, September 30, 2016 136,125 $ 4.37 |
Summary of nonvested options in stock option plan | The following table summarizes the nonvested options in Bancorp’s stock option plan as of September 30, 2016. Shares Weighted Average Grant Date Exercise Price Nonvested options outstanding, December 31, 2015 235,570 $ 5.13 Nonvested options granted - - Nonvested options vested (31,895 ) $ 5.01 Nonvested options forfeited (54,500 ) $ 5.07 Nonvested options outstanding, September 30, 2016 149,175 $ 5.18 |
Investment Securities (Tables)
Investment Securities (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Investment Securities [Abstract] | |
Amortized cost and fair value of investment securities held to maturity | The amortized cost and fair value of investment securities held to maturity are as follows (dollars in thousands): Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value September 30, 2016: US Treasury securities $ 15,006 $ 282 $ - $ 15,288 US Agency securities 21,034 392 6 21,420 US Government sponsored mortgage-backed securities 31,637 630 - 32,267 Total $ 67,677 $ 1,304 $ 6 $ 68,975 December 31, 2015: US Treasury securities $ 21,057 $ 276 $ 8 $ 21,325 US Agency securities 20,011 139 76 20,074 US Government sponsored mortgage-backed securities 35,065 41 195 34,911 Total $ 76,133 $ 456 $ 279 $ 76,310 |
Schedule of temporary impairment losses | The following table shows fair value and unrealized losses, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position as of September 30, 2016 and December 31, 2015. There was one Agency security in a gross unrealized loss position at September 30, 2016. Four US Treasury securities, thirteen Agency securities and twelve Mortgage-backed securities were in a gross unrealized loss position at December 31, 2015. Management believes that the unrealized losses in 2016 and 2015 were the result of interest rate levels differing from those existing at the time of purchase of the securities and actual and estimated prepayment speeds. The Bank does not consider any of these securities to be other than temporarily impaired at In addition, the Bank does not intend to sell, nor does it believe it will be more likely than not that it will be required to sell, any impaired securities prior to a recovery of amortized cost. Less than 12 months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses September 30, 2016: (dollars in thousands) US Treasury securities $ - $ - $ - $ - $ - $ - US Agency securities 1,021 6 - - 1,021 6 US Government sponsored mortgage-backed securities - - - - - - Total $ 1,021 $ 6 $ - $ - $ 1,021 $ 6 Less than 12 months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2015: (dollars in thousands) US Treasury securities $ 3,992 $ 8 $ - $ - $ 3,992 $ 8 US Agency securities 12,958 76 - - 12,958 76 US Government sponsored mortgage-backed securities 31,091 195 - - 31,091 195 Total $ 48,041 $ 279 $ - $ - $ 48,041 $ 279 |
Amortized cost and estimated fair value of debt securities | The amortized cost and estimated fair value of debt securities at September 30, 2016, by contractual maturity are shown in the following table. Actual maturities may differ from contractual maturities, because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Held to Maturity (dollars in thousands) Amortized Cost Estimated Fair Value Due in one year or less $ 9,008 $ 9,035 Due from greater than one year to five years 25,072 25,511 Due from greater than five years to ten years 1,960 2,162 US Government sponsored mortgage-backed securities 31,637 32,267 $ 67,677 $ 68,975 |
Loans Receivable (Tables)
Loans Receivable (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Loans Receivable [Abstract] | |
Loans receivable | Loans receivable, including unfunded commitments consist of the following: September 30, December 31, 2016 2015 (dollars in thousands) Residential mortgage, total $ 271,924 $ 285,930 Individually evaluated for impairment 22,521 26,087 Collectively evaluated for impairment 249,403 259,843 Construction, land acquisition and development, total 63,879 77,478 Individually evaluated for impairment 71 309 Collectively evaluated for impairment 63,808 77,169 Land, total 34,861 28,677 Individually evaluated for impairment 1,375 1,608 Collectively evaluated for impairment 33,486 27,069 Lines of credit, total 26,254 20,188 Individually evaluated for impairment 495 299 Collectively evaluated for impairment 25,759 19,889 Commercial real estate, total 198,915 174,912 Individually evaluated for impairment 5,696 6,321 Collectively evaluated for impairment 193,219 168,591 Commercial non-real estate, total 16,105 9,296 Individually evaluated for impairment - 122 Collectively evaluated for impairment 16,105 9,174 Home equity, total 19,739 24,529 Individually evaluated for impairment 3,519 2,285 Collectively evaluated for impairment 16,220 22,244 Consumer, total 1,209 1,224 Individually evaluated for impairment 100 10 Collectively evaluated for impairment 1,109 1,214 Total Loans 632,886 622,234 Less Unfunded commitments included above (17,400 ) (21,101 ) $ 615,486 601,133 Individually evaluated for impairment 33,777 37,041 Collectively evaluated for impairment 581,709 564,092 615,486 601,133 Allowance for loan losses (8,985 ) (8,758 ) Deferred loan origination fees and costs, net (3,028 ) (2,719 ) Net Loans $ 603,473 $ 589,656 |
Allowance for loan losses | The following is a summary of the allowance for loan losses for the nine and three month periods ended September 30, 2016 (dollars in thousands): Total Residential Mortgage Construction Acquisition Development Land Lines of Credit Commercial Real Estate Commercial Non-Real Estate Home Equity Consumer Nine months ended September 30, 2016 Beginning Balance $ 8,758 $ 4,188 $ 446 $ 510 $ 57 $ 2,792 $ 234 $ 528 $ 3 Provision 150 (491 ) (133 ) 349 (27 ) (226 ) 409 317 (48 ) Charge-offs (446 ) (151 ) (13 ) (59 ) - (178 ) (17 ) (28 ) - Recoveries 523 322 97 3 10 4 33 4 50 Ending Balance $ 8,985 $ 3,868 $ 397 $ 803 $ 40 $ 2,392 $ 659 $ 821 $ 5 Ending balance related to: Loans individually evaluated for impairment $ 2,259 $ 1,583 $ - $ 55 $ 15 $ 200 $ - $ 402 $ 4 Loans collectively evaluated for impairment $ 6,726 $ 2,285 $ 397 $ 748 $ 25 $ 2,192 $ 659 $ 419 $ 1 Three months ended September 30, 2016 Beginning Balance $ 8,804 $ 3,892 $ 297 $ 686 $ 49 $ 2,577 $ 703 $ 593 $ 7 Provision 50 (161 ) 113 176 (9 ) (189 ) (54 ) 226 (52 ) Charge-offs (72 ) - (13 ) (59 ) - - - - - Recoveries 203 137 - - - 4 10 2 50 Ending Balance $ 8,985 $ 3,868 $ 397 $ 803 $ 40 $ 2,392 $ 659 $ 821 $ 5 The following is a summary of the allowance for loan losses for the year ended December 31, 2015 (dollars in thousands): 2015 Total Residential Mortgage Construction Acquisition Development Land Lines of Credit Commercial Real Estate Commercial Non-Real Estate Home Equity Consumer Beginning Balance $ 9,435 $ 4,664 $ 362 $ 646 $ 12 $ 2,504 $ 280 $ 963 $ 4 Provision (280 ) (651 ) 84 (185 ) (190 ) 368 59 236 (1 ) Charge-offs (1,522 ) (454 ) - - - (80 ) (154 ) (834 ) - Recoveries 1,125 629 - 49 235 - 49 163 - Ending Balance $ 8,758 $ 4,188 $ 446 $ 510 $ 57 $ 2,792 $ 234 $ 528 $ 3 Allowance on loans individually evaluated for impairment $ 2,282 $ 1,838 $ - $ 78 $ 30 $ 328 $ 5 $ 2 $ 1 Allowance on loans collectively evaluated for impairment $ 6,476 $ 2,350 $ 446 $ 432 $ 27 $ 2,464 $ 229 $ 526 $ 2 The following is a summary of the allowance for loan losses for the nine and three month periods ended September 30, 2015 (dollars in thousands): Total Residential Mortgage Construction Acquisition Development Land Lines of Credit Commercial Real Estate Commercial Non-Real Estate Home Equity Consumer Nine months ended September 30, 2015 Beginning Balance $ 9,435 $ 4,664 $ 362 $ 646 $ 12 $ 2,504 $ 280 $ 963 $ 4 Provision 200 (311 ) (60 ) (216 ) (30 ) 362 223 233 (1 ) Charge-offs (1,357 ) (383 ) - - - (50 ) (155 ) (769 ) - Recoveries 411 208 - - 40 - 29 134 - Ending Balance $ 8,689 $ 4,178 $ 302 $ 430 $ 22 $ 2,816 $ 377 $ 561 $ 3 Ending balance related to: Loans individually evaluated for impairment $ 2,290 $ 1,883 $ 1 $ 42 $ - $ 322 $ 6 $ 34 $ 2 Loans collectively evaluated for impairment $ 6,399 $ 2,295 $ 301 $ 388 $ 22 $ 2,494 $ 371 $ 527 $ 1 Three months ended September 30, 2015 Beginning Balance $ 8,944 $ 4,396 $ 422 $ 458 $ 21 $ 2,732 $ 394 $ 518 $ 3 Provision - (267 ) (120 ) (28 ) (14 ) 84 135 210 - Charge-offs (484 ) (32 ) - - - - (154 ) (298 ) - Recoveries 229 81 - - 15 - 2 131 - Ending Balance $ 8,689 $ 4,178 $ 302 $ 430 $ 22 $ 2,816 $ 377 $ 561 $ 3 |
Impaired loans | The following tables summarize impaired loans at September 30, 2016 and December 31, 2015 (dollars in thousands): Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Recorded Investment Related Allowance Recorded Investment Recorded Investment Unpaid Principal Balance September 30, 2016 Residential mortgage $ 9,812 $ 1,583 $ 12,709 $ 22,521 $ 23,138 Construction, acquisition and development - - 71 71 71 Land 424 55 951 1,375 1,488 Lines of credit 149 15 346 495 495 Commercial real estate 1,973 200 3,723 5,696 5,898 Commercial non-real estate - - - - - Home equity 1,609 402 1,910 3,519 4,105 Consumer 100 4 - 100 100 Total impaired loans $ 14,067 $ 2,259 $ 19,710 $ 33,777 $ 35,295 Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Recorded Investment Related Allowance Recorded Investment Recorded Investment Unpaid Principal Balance December 31, 2015 Residential mortgage $ 11,885 $ 1,838 $ 14,202 $ 26,087 $ 26,656 Construction, acquisition and development - - 309 309 309 Land 639 78 969 1,608 1,723 Lines of credit 299 30 - 299 299 Commercial real estate 3,214 328 3,107 6,321 6,469 Commercial non-real estate 103 5 19 122 123 Home equity 16 2 2,269 2,285 3,251 Consumer 10 1 - 10 10 Total impaired loans $ 16,166 $ 2,282 $ 20,875 $ 37,041 $ 38,840 The following tables summarize average impaired loans for the nine month and three month periods ended September 30, 2016 (dollars in thousands): Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Nine months ended September 30, 2016 Residential mortgage $ 10,684 $ 356 $ 13,774 $ 417 $ 24,458 $ 773 Construction, acquisition and development - - 269 9 269 9 Land 513 20 1,162 27 1,675 47 Lines of credit 149 6 144 3 293 9 Commercial real estate 2,040 77 4,655 134 6,695 211 Commercial non-real estate 33 1 6 - 39 1 Home equity 370 7 1,991 59 2,361 66 Consumer 73 2 23 - 96 2 Total impaired loans $ 13,862 $ 469 $ 22,024 $ 649 $ 35,886 $ 1,118 Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Three months ended September 30, 2016 Residential mortgage $ 9,831 $ 106 $ 12,734 $ 132 $ 22,565 $ 238 Construction, acquisition and development - - 71 1 71 1 Land 426 6 960 8 1,386 14 Lines of credit 149 2 274 2 423 4 Commercial real estate 1,977 25 3,730 57 5,707 82 Commercial non-real estate - - - - - - Home equity 1,078 6 1,911 18 2,989 24 Consumer 102 1 - - 102 1 Total impaired loans $ 13,563 $ 146 $ 19,680 $ 218 $ 33,243 $ 364 The following tables summarize average impaired loans for the nine and three month periods ended September 30, 2015 (dollars in thousands): Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Nine months ended September 30, 2015 Residential mortgage $ 12,438 $ 402 $ 14,101 $ 422 $ 26,539 $ 824 Construction, acquisition and development 125 1 623 23 748 24 Land 843 14 1,118 60 1,961 74 Lines of credit - - 395 17 395 17 Commercial real estate 2,754 94 1,942 121 4,696 215 Commercial non-real estate 249 4 7 13 256 17 Home equity 448 - 2,627 90 3,075 90 Consumer 11 - 551 3 562 3 Total impaired loans $ 16,868 $ 515 $ 21,364 $ 749 $ 38,232 $ 1,264 Impaired Loans with Specific Allowance Impaired Loans with No Specific Allowance Total Impaired Loans Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Three months ended September 30, 2015 Residential mortgage $ 12,848 $ 137 $ 12,512 $ 125 $ 25,360 $ 262 Construction, acquisition and development 125 1 413 6 538 7 Land 821 8 1,075 16 1,896 24 Lines of credit - - 278 2 278 2 Commercial real estate 3,241 37 1,866 39 5,107 76 Commercial non-real estate 210 1 20 - 230 1 Home equity 12 - 2,663 25 2,675 25 Consumer 11 - 2 - 13 - Total impaired loans $ 17,268 $ 184 $ 18,829 $ 213 $ 36,097 $ 397 |
Classes of the loan portfolio | The following table presents the classes of the loan portfolio summarized by the aggregate Pass and the criticized categories of Special Mention, Substandard and Doubtful within the internal risk rating system as of September 30, 2016 and December 31, 2015. Included in the Pass column were $17,400,000 and $21,101,000 in unfunded commitments at September 30, 2016 and December 31, 2015, respectively (dollars in thousands): Pass Special Mention Substandard Doubtful Total September 30, 2016 Residential mortgage $ 261,922 $ 6,868 $ 3,134 $ - $ 271,924 Construction, acquisition and development 63,533 346 - - 63,879 Land 33,683 372 806 - 34,861 Lines of credit 25,813 189 252 - 26,254 Commercial real estate 187,060 8,534 3,321 - 198,915 Commercial non-real estate 15,782 98 225 - 16,105 Home equity 16,289 586 2,864 - 19,739 Consumer 1,209 - - - 1,209 Total loans $ 605,291 $ 16,993 $ 10,602 $ - $ 632,886 Pass Special Mention Substandard Doubtful Total December 31, 2015 Residential mortgage $ 268,583 $ 12,457 $ 4,890 $ - $ 285,930 Construction, acquisition and development 77,168 71 239 - 77,478 Land 26,845 1,268 564 - 28,677 Lines of credit 19,521 368 299 - 20,188 Commercial real estate 155,766 13,208 5,938 - 174,912 Commercial non-real estate 9,151 125 20 - 9,296 Home equity 22,018 588 1,923 - 24,529 Consumer 1,224 - - - 1,224 Total loans $ 580,276 $ 28,085 $ 13,873 $ - $ 622,234 |
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans | The following table presents the classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans as of September 30, 2016 and December 31, 2015 (dollars in thousands): 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Current Total Loans Non- Accrual September 30, 2016 Residential mortgage $ 1,158 $ - $ 1,100 $ 2,258 $ 269,666 $ 271,924 $ 1,615 Construction, acquisition and development - - - - 63,879 63,879 - Land 45 - 6 51 34,810 34,861 149 Lines of credit - - - - 26,254 26,254 149 Commercial real estate - - 515 515 198,400 198,915 2,908 Commercial non-real estate - 240 - 240 15,865 16,105 - Home equity - 1,593 603 2,196 17,543 19,739 3,179 Consumer - - 205 205 1,004 1,209 206 Total loans $ 1,203 $ 1,833 $ 2,429 $ 5,465 $ 627,421 $ 632,886 $ 8,206 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Current Total Loans Non- Accrual December 31, 2015 Residential mortgage $ 1,593 $ 65 $ 2,461 $ 4,119 $ 281,811 $ 285,930 $ 3,191 Construction, acquisition and development - - - - 77,478 77,478 244 Land 137 - 156 293 28,384 28,677 277 Lines of credit 149 - - 149 20,039 20,188 483 Commercial real estate 253 - 292 545 174,367 174,912 2,681 Commercial non-real estate - - - - 9,296 9,296 - Home equity - - 625 625 23,904 24,529 2,098 Consumer 3 - - 3 1,221 1,224 - Total loans $ 2,135 $ 65 $ 3,534 $ 5,734 $ 616,500 $ 622,234 $ 8,974 |
Newly restructured loans during the period | The following tables present newly restructured loans that occurred during the nine and three months ended September 30, 2016 (dollars in thousands): Nine months ended September 30, 2016 Rate Modification Contracts Combination Modifications Contracts Total Total Contracts Pre-Modification Outstanding Recorded Investment: Residential mortgage - - $ 624 3 $ 624 3 Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ 624 3 $ 624 3 Post-Modification Outstanding Recorded Investment: Residential mortgage - - $ 624 3 $ 624 3 Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ 624 3 $ 624 3 Three months ended September 30, 2016 Rate Modification Contracts Combination Modifications Contracts Total Total Contracts Pre-Modification Outstanding Recorded Investment: Residential mortgage - - $ - - $ - - Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ - - $ - - Post-Modification Outstanding Recorded Investment: Residential mortgage - - $ - - $ - - Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ - - $ - - The following tables present newly restructured loans that occurred during the nine and three months ended September 30, 2015 (dollars in thousands): Nine months ended September 30, 2015 Rate Modification Contracts Combination Modifications Contracts Total Total Contracts Pre-Modification Outstanding Recorded Investment: Residential mortgage - - $ 91 2 $ 91 2 Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ 91 2 $ 91 2 Post-Modification Outstanding Recorded Investment: Residential mortgage - - $ 200 2 $ 200 2 Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ 200 2 $ 200 2 Three months ended September 30, 2015 Rate Modification Contracts Combination Modifications Contracts Total Total Contracts Pre-Modification Outstanding Recorded Investment: Residential mortgage - - $ - - $ - - Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ - - $ - - Post-Modification Outstanding Recorded Investment: Residential mortgage - - $ - - $ - - Construction, acquisition and development - - - - - - Land - - - - - - Lines of credit - - - - - - Commercial real estate - - - - - - Commercial non-real estate - - - - - - Home equity - - - - - - Consumer - - - - - - Total loans - - $ - - $ - - |
Methods used to account for interest on TDRs | Interest on TDRs was accounted for under the following methods as of September 30, 2016 and December 31, 2015 (dollars in thousands): Number of Contracts Accrual Status Number of Contracts Non- Accrual Status Total Number of Contracts Total Modifications September 30, 2016 Residential mortgage 52 $ 19,185 1 $ 109 53 $ 19,294 Construction, acquisition and Development 1 70 - - 1 70 Land 5 661 1 6 6 667 Lines of credit - - - - - - Commercial real estate 4 2,414 2 249 6 2,663 Commercial non-real estate 4 92 - - 4 92 Home equity - - - - - - Consumer 1 9 - - 1 9 Total loans 67 $ 22,431 4 $ 364 71 $ 22,795 December 31, 2015 Residential mortgage 55 $ 20,831 3 $ 1,071 58 $ 21,902 Construction, acquisition and development 1 71 - - 1 71 Land 6 907 1 6 7 913 Lines of credit - - - - - - Commercial real estate 4 2,464 2 252 6 2,716 Commercial non-real estate 4 103 - - 4 103 Home equity - - - - - - Consumer 1 10 - - 1 10 Total loans 71 $ 24,386 6 $ 1,329 77 $ 25,715 |
Financial instruments whose contract amounts represents credit risk | Unless otherwise noted, the Bank requires collateral or other security to support financial instruments with off-balance-sheet credit risk (dollars in thousands). Financial Instruments Whose Contract Amounts Represent Credit Risk Contract Amount At September 30, 2016 December 31, 2015 Standby letters of credit $ 4,316 $ 5,937 Home equity lines of credit 7,804 7,467 Unadvanced construction commitments 17,400 21,101 Mortgage loan commitments 7,665 3,233 Lines of credit 34,716 27,189 Loans sold with limited repurchase provisions 55,017 65,107 |
Fair Values of Financial Inst26
Fair Values of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Fair Values of Financial Instruments [Abstract] | |
Financial assets accounted for at fair value on a nonrecurring and recurring basis | The following table sets forth financial assets that were accounted for at fair value on a nonrecurring and recurring basis by level within the fair value hierarchy as of September 30, 2016 and December 31, 2015: September 30, 2016 Fair Value Measurement Using: September 30, 2016 Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (dollars in thousands) Nonrecurring fair value measurements Impaired loans $ 13,798 $ - $ - $ 13,798 Foreclosed real estate 1,343 - - 1,343 Total nonrecurring fair value measurements $ 15,141 $ - $ - $ 15,141 Recurring fair value measurements Mortgage servicing rights $ 484 $ - $ - $ 484 Rate lock commitments 480 - 480 - Mandatory forward contracts 14 - 14 - Total recurring fair value measurements $ 978 $ - $ 494 $ 484 December 31, 2015 Fair Value Measurement Using: December 31, 2015 Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (dollars in thousands) Nonrecurring fair value measurements Impaired loans $ 17,103 $ - $ - $ 17,103 Foreclosed real estate 543 - - 543 Total nonrecurring fair value measurements $ 17,646 $ - $ - $ 17,646 Recurring fair value measurements Mortgage servicing rights $ 623 $ - $ - $ 623 Rate lock commitments 141 - 141 - Mandatory forward contracts 111 - 111 - Total recurring fair value measurements $ 875 $ - $ 252 $ 623 |
Assets measured at fair value on a recurring and nonrecurring basis utilizing level 3 input | The following table presents additional quantitative information about assets measured at fair value on a recurring basis and for which Bancorp has utilized Level 3 inputs to determine fair value: Quantitative Information about Level 3 Fair Value Measurements Fair Value Estimate Valuation Techniques Unobservable Input Range (Weighted Average) September 30, 2016 Mortgage servicing rights $ 484 Market approach Weighted average prepayment speed 7.83 % December 31, 2015 Mortgage servicing rights $ 623 Market approach Weighted average prepayment speed 9.91 % The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis and for which Bancorp has utilized Level 3 inputs to determine fair value: Quantitative Information about Level 3 Fair Value Measurements Fair Value Estimate Valuation Techniques Unobservable Input Range (Weighted Average) September 30, 2016 Impaired loans $ 11,808 PV of future cash flows (1) Discount rate -10.00% 1,990 Appraisal of collateral (2) Liquidation expenses (3) -10.00% Foreclosed real estate $ 1,343 Appraisal of collateral (2),(4) Appraisal adjustments (3) -10.00% to -15.11% (-12.76%) December 31, 2015 Impaired loans $ 13,884 PV of future cash flows (1) Discount rate -6.00 % $ 3,219 Appraisal of collateral (2) Liquidation expenses (3) -6.00% Foreclosed real estate $ 543 Appraisal of collateral (2),(4) Appraisal adjustments (3) -6.12% to -7.31% (-6.24%) (1) Cash flow which generally includes various level 3 inputs which are not identifiable. (2) Fair value is generally determined through independent appraisals for the underlying collateral, which generally include various level 3 inputs which are not identifiable. (3) Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. (4) Includes qualitative adjustments by management and estimated liquidation expenses. |
Estimated fair values of financial instruments | Fair Value Measurement at September 30, 2016 Carrying Amount Fair Value Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets (dollars in thousands) Cash and cash equivalents $ 44,493 $ 44,493 $ 44,493 $ - $ - Investment securities (HTM) 67,677 68,975 - 68,975 Loans held for sale 12,961 13,348 - 13,124 - Loans receivable, net 603,473 611,051 - - 611,051 FHLB stock 5,230 5,230 - 5,230 - Accrued interest receivable 2,262 2,262 - 2,262 - Mortgage servicing rights 484 484 - - 484 Rate lock commitments 480 480 - 480 - Mandatory forward contracts 14 14 - 14 - Financial Liabilities Deposits $ 556,610 $ 557,547 - $ 557,547 - FHLB advances/Other Borrowings 110,500 107,626 - 107,626 - Subordinated debentures 20,619 20,619 - - 20,619 Accrued interest payable 528 528 - 528 - Off Balance Sheet Commitments $ - $ - $ - $ - $ - Fair Value Measurement at December 31, 2015 Carrying Amount Fair Value Quoted Prices in Active Markets For Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets (dollars in thousands) Cash and cash equivalents $ 43,591 $ 43,591 $ 43,591 $ - $ - Investment securities (HTM) 76,133 76,310 - 76,310 - Loans held for sale 13,203 13,295 - 13,295 - Loans receivable, net 589,656 593,742 - - 593,742 FHLB stock 5,626 5,626 - 5,626 - Accrued interest receivable 2,218 2,218 - 2,218 - Mortgage servicing rights 623 623 - - 623 Rate lock commitments 141 141 - 141 - Mandatory forward contracts 111 111 - 111 - Financial Liabilities Deposits $ 523,771 $ 524,458 - 524,458 - FHLB advances 115,000 110,759 - 110,759 - Subordinated debentures 24,119 24,119 - - 24,119 Accrued interest payable 3,137 3,137 - 3,137 - Off Balance Sheet Commitments $ - $ - $ - $ - $ - |
Cash Flow Presentation (Details
Cash Flow Presentation (Details) | 9 Months Ended |
Sep. 30, 2016 | |
Cash Flow Presentation [Abstract] | |
Period when federal funds are sold | 1 day |
Earnings Per Share (Details)
Earnings Per Share (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Weighted average number of shares outstanding reconciliation [Abstract] | ||||
Common shares - weighted average (basic) (in shares) | 12,104,379 | 10,088,879 | 11,324,660 | 10,082,278 |
Common share equivalents - weighted average (in shares) | 79,360 | 27,181 | 51,193 | 24,688 |
Common shares - weighted average (diluted) (in shares) | 12,183,739 | 10,116,060 | 11,375,853 | 10,106,966 |
Stock Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 40,000 | 126,600 | 121,500 | |
Warrant [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 556,976 | 556,976 | 556,976 | |
Series A Preferred Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 437,500 | 437,500 | 437,500 | 437,500 |
Regulatory Matters (Details)
Regulatory Matters (Details) $ in Thousands | Sep. 30, 2016USD ($) | |
Tangible [Abstract] | ||
Tangible Actual, Amount | $ 97,733 | [1] |
Tangible Actual, % | 12.70% | [1] |
Tangible For Capital Adequacy Purposes, Amount | $ 11,548 | [1] |
Tangible For Capital Adequacy Purposes, % | 1.50% | [1] |
Tier I Capital [Abstract] | ||
Tier I capital Actual, Amount | $ 97,733 | [2] |
Tier I Capital Actual, % | 16.30% | [2] |
Tier I capital for Capital Adequacy Purposes, Amount | $ 36,056 | [2] |
Tier I capital for Capital Adequacy Purposes, % | 6.00% | [2] |
Tier I Capital Minimum Capital Adequacy with Capital Buffer, Amount | $ 39,811 | [2] |
Tier I Capital Minimum Capital Adequacy with Capital Buffer, % | 6.60% | [2] |
Tier I capital To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 48,074 | [2] |
Tier I Capital To Be Well Capitalized Under Prompt Corrective Provisions, % | 8.00% | [2] |
Common Equity Tier 1 [Abstract] | ||
Common Equity Tier I Capital Actual, Amount | $ 97,733 | [2] |
Common Equity Tier I Capital Actual, % | 16.30% | [2] |
Common Equity Tier I Capital for Capital Adequacy Purposes, Amount | $ 27,042 | [2] |
Common Equity Tier I Capital for Capital Adequacy Purposes, % | 4.50% | [2] |
Common Equity Tier 1 Capital Minimum Capital Adequacy with Capital Buffer, Amount | $ 30,797 | [2] |
Common Equity Tier 1 Capital Minimum Capital Adequacy with Capital Buffer, % | 5.10% | [2] |
Common Equity Tier I Capital To Be Well Capitalized Under Prompt Corrective Provisions, Amount | $ 39,060 | [2] |
Common Equity Tier I Capital To Be Well Capitalized Under Prompt Corrective Provisions, % | 6.50% | [2] |
Leverage [Abstract] | ||
Leverage Actual, Amount | $ 97,733 | [1] |
Leverage Actual, % | 12.70% | [1] |
Leverage For Capital Adequacy Purposes, Amount | $ 30,795 | [1] |
Leverage For Capital Adequacy Purposes, % | 4.00% | [1] |
Leverage Minimum Capital Adequacy with Capital Buffer, Amount | $ 35,606 | [1] |
Leverage Minimum Capital Adequacy with Capital Buffer, % | 4.60% | [1] |
Leverage To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 38,494 | [1] |
Leverage To Be Well Capitalized Under Prompt Corrective Action Provisions, % | 5.00% | [1] |
Total Capital [Abstract] | ||
Total Actual, Amount | $ 105,299 | [2] |
Total Capital Actual | 17.50% | [2] |
Total For Capital Adequacy Purposes, Amount | $ 48,074 | [2] |
Total For Capital Adequacy Purposes, % | 8.00% | [2] |
Total For Capital Adequacy with Capital Buffer, Amount | $ 51,830 | [2] |
Total For Capital Adequacy with Capital Buffer, % | 8.60% | [2] |
Total To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 60,093 | [2] |
Total Capital To Be Well Capitalized Under Prompt Corrective Action Provisions, % | 10.00% | [2] |
[1] | To adjusted total assets. | |
[2] | To risk-weighted assets. |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares authorized under the plan (in shares) | 500,000 | 500,000 | |||
Stock-based compensation expense | $ 48,000 | $ 30,000 | $ 143,000 | $ 92,000 | |
Shares [Roll Forward] | |||||
Options outstanding, beginning of period (in shares) | 339,800 | ||||
Options granted (in shares) | 0 | ||||
Options exercised (in shares) | 0 | 21,500 | |||
Options forfeited (in shares) | (54,500) | ||||
Options outstanding, end of period (in shares) | 285,300 | 285,300 | |||
Options exercisable, end of period (in shares) | 136,125 | 136,125 | |||
Weighted Average Price [Roll Forward] | |||||
Options outstanding, beginning of period (in dollars per share) | $ 4.83 | ||||
Options granted (in dollars per share) | 0 | ||||
Options exercised (in dollars per share) | 0 | ||||
Options forfeited (in dollars per share) | 5.07 | ||||
Options outstanding, ending of period (in dollars per share) | $ 4.79 | 4.79 | |||
Options exercisable, end of period (in dollars per share) | $ 4.37 | $ 4.37 | |||
Additional Disclosures [Abstract] | |||||
Aggregate intrinsic value of the options outstanding | $ 491,000 | $ 491,000 | $ 323,000 | ||
Aggregate intrinsic value of the options exercisable | $ 292,000 | $ 292,000 | $ 165,000 | ||
Nonvested Options, Shares [Roll Forward] | |||||
Nonvested options outstanding, beginning balance (in shares) | 235,570 | ||||
Nonvested options granted (in shares) | 0 | ||||
Nonvested options vested (in shares) | (31,895) | ||||
Nonvested options forfeited (in shares) | (54,500) | ||||
Nonvested options outstanding, ending balance (in shares) | 149,175 | 149,175 | |||
Nonvested Options, Weighted Average Grant Date Exercise Price [Roll Forward] | |||||
Nonvested options outstanding, beginning balance (in dollars per share) | $ 5.13 | ||||
Nonvested options granted (in dollars per share) | 0 | ||||
Nonvested options vested (in dollars per share) | 5.01 | ||||
Nonvested options forfeited (in dollars per share) | 5.07 | ||||
Nonvested options outstanding, ending balance (in dollars per share) | $ 5.18 | $ 5.18 | |||
Unrecognized stock-based compensation expense | $ 407,000 | $ 407,000 | |||
Unrecognized stock-based compensation expected to be recognized period | 51 months | ||||
Stock Options [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock options vesting period | 5 years | ||||
Stock Options [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock options expiry period | 10 years |
Investment Securities (Details)
Investment Securities (Details) $ in Thousands | Sep. 30, 2016USD ($)Security | Dec. 31, 2015USD ($)Security |
Amortized cost and fair value of investment securities held to maturity [Abstract] | ||
Amortized Cost | $ 67,677 | $ 76,133 |
Gross Unrealized Gains | 1,304 | 456 |
Gross Unrealized Losses | 6 | 279 |
Fair Value | 68,975 | 76,310 |
Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 1,021 | 48,041 |
12 Months or More, Fair Value | 0 | 0 |
Total, Fair Value | 1,021 | 48,041 |
Unrealized Losses [Abstract] | ||
Less than 12 Months, Unrealized Losses | 6 | 279 |
12 Months or More, Unrealized Losses | 0 | 0 |
Total, Unrealized Losses | 6 | 279 |
Amortized Cost [Abstract] | ||
Due in one year or less | 9,008 | |
Due from greater than one year to five years | 25,072 | |
Due from greater than five years to ten years | 1,960 | |
US Government sponsored mortgage-backed securities | 31,637 | |
Amortized Cost | 67,677 | 76,133 |
Estimated Fair Value [Abstract] | ||
Due in one year or less | 9,035 | |
Due from greater than one year to five years | 25,511 | |
Due from greater than five years to ten years | 2,162 | |
US Government sponsored mortgage-backed securities | 32,267 | |
Fair Value | 68,975 | 76,310 |
US Treasury Securities [Member] | ||
Amortized cost and fair value of investment securities held to maturity [Abstract] | ||
Amortized Cost | 15,006 | 21,057 |
Gross Unrealized Gains | 282 | 276 |
Gross Unrealized Losses | 0 | 8 |
Fair Value | 15,288 | $ 21,325 |
Number of securities in continuous unrealized loss position | Security | 4 | |
Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 0 | $ 3,992 |
12 Months or More, Fair Value | 0 | 0 |
Total, Fair Value | 0 | 3,992 |
Unrealized Losses [Abstract] | ||
Less than 12 Months, Unrealized Losses | 0 | 8 |
12 Months or More, Unrealized Losses | 0 | 0 |
Total, Unrealized Losses | 0 | 8 |
Amortized Cost [Abstract] | ||
Amortized Cost | 15,006 | 21,057 |
Estimated Fair Value [Abstract] | ||
Fair Value | 15,288 | 21,325 |
US Agency Securities [Member] | ||
Amortized cost and fair value of investment securities held to maturity [Abstract] | ||
Amortized Cost | 21,034 | 20,011 |
Gross Unrealized Gains | 392 | 139 |
Gross Unrealized Losses | 6 | 76 |
Fair Value | $ 21,420 | $ 20,074 |
Number of securities in continuous unrealized loss position | Security | 1 | 13 |
Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | $ 1,021 | $ 12,958 |
12 Months or More, Fair Value | 0 | 0 |
Total, Fair Value | 1,021 | 12,958 |
Unrealized Losses [Abstract] | ||
Less than 12 Months, Unrealized Losses | 6 | 76 |
12 Months or More, Unrealized Losses | 0 | 0 |
Total, Unrealized Losses | 6 | 76 |
Amortized Cost [Abstract] | ||
Amortized Cost | 21,034 | 20,011 |
Estimated Fair Value [Abstract] | ||
Fair Value | 21,420 | 20,074 |
US Government Sponsored Mortgage-Backed Securities [Member] | ||
Amortized cost and fair value of investment securities held to maturity [Abstract] | ||
Amortized Cost | 31,637 | 35,065 |
Gross Unrealized Gains | 630 | 41 |
Gross Unrealized Losses | 0 | 195 |
Fair Value | 32,267 | $ 34,911 |
Number of securities in continuous unrealized loss position | Security | 12 | |
Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 0 | $ 31,091 |
12 Months or More, Fair Value | 0 | 0 |
Total, Fair Value | 0 | 31,091 |
Unrealized Losses [Abstract] | ||
Less than 12 Months, Unrealized Losses | 0 | 195 |
12 Months or More, Unrealized Losses | 0 | 0 |
Total, Unrealized Losses | 0 | 195 |
Amortized Cost [Abstract] | ||
Amortized Cost | 31,637 | 35,065 |
Estimated Fair Value [Abstract] | ||
Fair Value | $ 32,267 | $ 34,911 |
Loans Receivable, Loans Receiva
Loans Receivable, Loans Receivable (Details) - USD ($) | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Loans receivable [Abstract] | |||
Total loans | $ 632,886,000 | $ 622,234,000 | |
Less [Abstract] | |||
Unfunded commitments included above | (17,400,000) | (21,101,000) | |
Total loans excluding unfunded commitments | 615,486,000 | 601,133,000 | |
Individually evaluated for impairment | 33,777,000 | 37,041,000 | |
Collectively evaluated for impairment | 581,709,000 | 564,092,000 | |
Total loans excluding unfunded commitments | 615,486,000 | 601,133,000 | |
Allowance for loan losses | (8,985,000) | (8,758,000) | |
Deferred loan origination fees and costs, net | (3,028,000) | (2,719,000) | |
Net Loans | $ 603,473,000 | 589,656,000 | |
Nonaccrual period of loan considered to be impaired | 90 days | ||
Interest income from interest reserves | $ 202,000 | $ 312,000 | |
Residential Mortgage [Member] | |||
Loans receivable [Abstract] | |||
Total loans | 271,924,000 | 285,930,000 | |
Less [Abstract] | |||
Individually evaluated for impairment | 22,521,000 | 26,087,000 | |
Collectively evaluated for impairment | $ 249,403,000 | 259,843,000 | |
Loan to value ratio | 80.00% | ||
Construction, Land Acquisition and Development [Member] | |||
Loans receivable [Abstract] | |||
Total loans | $ 63,879,000 | 77,478,000 | |
Less [Abstract] | |||
Individually evaluated for impairment | 71,000 | 309,000 | |
Collectively evaluated for impairment | $ 63,808,000 | 77,169,000 | |
Construction, Land Acquisition and Development [Member] | Minimum [Member] | |||
Less [Abstract] | |||
Extension period for loans | 12 months | ||
Construction, Land Acquisition and Development [Member] | Maximum [Member] | |||
Less [Abstract] | |||
Extension period for loans | 18 months | ||
Term of the construction period, maximum | 2 years | ||
Land [Member] | |||
Loans receivable [Abstract] | |||
Total loans | $ 34,861,000 | 28,677,000 | |
Less [Abstract] | |||
Individually evaluated for impairment | 1,375,000 | 1,608,000 | |
Collectively evaluated for impairment | 33,486,000 | 27,069,000 | |
Lines of Credit [Member] | |||
Loans receivable [Abstract] | |||
Total loans | 26,254,000 | 20,188,000 | |
Less [Abstract] | |||
Individually evaluated for impairment | 495,000 | 299,000 | |
Collectively evaluated for impairment | 25,759,000 | 19,889,000 | |
Commercial Real Estate [Member] | |||
Loans receivable [Abstract] | |||
Total loans | 198,915,000 | 174,912,000 | |
Less [Abstract] | |||
Individually evaluated for impairment | 5,696,000 | 6,321,000 | |
Collectively evaluated for impairment | 193,219,000 | 168,591,000 | |
Commercial Non-Real Estate [Member] | |||
Loans receivable [Abstract] | |||
Total loans | 16,105,000 | 9,296,000 | |
Less [Abstract] | |||
Individually evaluated for impairment | 0 | 122,000 | |
Collectively evaluated for impairment | 16,105,000 | 9,174,000 | |
Home Equity [Member] | |||
Loans receivable [Abstract] | |||
Total loans | 19,739,000 | 24,529,000 | |
Less [Abstract] | |||
Individually evaluated for impairment | 3,519,000 | 2,285,000 | |
Collectively evaluated for impairment | 16,220,000 | 22,244,000 | |
Consumer [Member] | |||
Loans receivable [Abstract] | |||
Total loans | 1,209,000 | 1,224,000 | |
Less [Abstract] | |||
Individually evaluated for impairment | 100,000 | 10,000 | |
Collectively evaluated for impairment | $ 1,109,000 | $ 1,214,000 |
Loans Receivable, Allowance For
Loans Receivable, Allowance For Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Summary of allowance for loan losses [Abstract] | |||||
Beginning Balance | $ 8,804 | $ 8,944 | $ 8,758 | $ 9,435 | $ 9,435 |
Provision | 50 | 0 | 150 | 200 | (280) |
Charge-offs | (72) | (484) | (446) | (1,357) | (1,522) |
Recoveries | 203 | 229 | 523 | 411 | 1,125 |
Ending Balance | 8,985 | 8,689 | 8,985 | 8,689 | 8,758 |
Ending balance related to [Abstract] | |||||
Allowance on loans individually evaluated for impairment | 2,259 | 2,290 | 2,259 | 2,290 | 2,282 |
Allowance on loans collectively evaluated for impairment | 6,726 | 6,399 | $ 6,726 | 6,399 | 6,476 |
Past due period after which accrual of interest on loans is discontinued | 90 days | ||||
Residential Mortgage [Member] | |||||
Summary of allowance for loan losses [Abstract] | |||||
Beginning Balance | 3,892 | 4,396 | $ 4,188 | 4,664 | 4,664 |
Provision | (161) | (267) | (491) | (311) | (651) |
Charge-offs | 0 | (32) | (151) | (383) | (454) |
Recoveries | 137 | 81 | 322 | 208 | 629 |
Ending Balance | 3,868 | 4,178 | 3,868 | 4,178 | 4,188 |
Ending balance related to [Abstract] | |||||
Allowance on loans individually evaluated for impairment | 1,583 | 1,883 | 1,583 | 1,883 | 1,838 |
Allowance on loans collectively evaluated for impairment | 2,285 | 2,295 | 2,285 | 2,295 | 2,350 |
Construction Acquisition and Development [Member] | |||||
Summary of allowance for loan losses [Abstract] | |||||
Beginning Balance | 297 | 422 | 446 | 362 | 362 |
Provision | 113 | (120) | (133) | (60) | 84 |
Charge-offs | (13) | 0 | (13) | 0 | 0 |
Recoveries | 0 | 0 | 97 | 0 | 0 |
Ending Balance | 397 | 302 | 397 | 302 | 446 |
Ending balance related to [Abstract] | |||||
Allowance on loans individually evaluated for impairment | 0 | 1 | 0 | 1 | 0 |
Allowance on loans collectively evaluated for impairment | 397 | 301 | 397 | 301 | 446 |
Land [Member] | |||||
Summary of allowance for loan losses [Abstract] | |||||
Beginning Balance | 686 | 458 | 510 | 646 | 646 |
Provision | 176 | (28) | 349 | (216) | (185) |
Charge-offs | (59) | 0 | (59) | 0 | 0 |
Recoveries | 0 | 0 | 3 | 0 | 49 |
Ending Balance | 803 | 430 | 803 | 430 | 510 |
Ending balance related to [Abstract] | |||||
Allowance on loans individually evaluated for impairment | 55 | 42 | 55 | 42 | 78 |
Allowance on loans collectively evaluated for impairment | 748 | 388 | 748 | 388 | 432 |
Lines of Credit [Member] | |||||
Summary of allowance for loan losses [Abstract] | |||||
Beginning Balance | 49 | 21 | 57 | 12 | 12 |
Provision | (9) | (14) | (27) | (30) | (190) |
Charge-offs | 0 | 0 | 0 | 0 | 0 |
Recoveries | 0 | 15 | 10 | 40 | 235 |
Ending Balance | 40 | 22 | 40 | 22 | 57 |
Ending balance related to [Abstract] | |||||
Allowance on loans individually evaluated for impairment | 15 | 0 | 15 | 0 | 30 |
Allowance on loans collectively evaluated for impairment | 25 | 22 | 25 | 22 | 27 |
Commercial Real Estate [Member] | |||||
Summary of allowance for loan losses [Abstract] | |||||
Beginning Balance | 2,577 | 2,732 | 2,792 | 2,504 | 2,504 |
Provision | (189) | 84 | (226) | 362 | 368 |
Charge-offs | 0 | 0 | (178) | (50) | (80) |
Recoveries | 4 | 0 | 4 | 0 | 0 |
Ending Balance | 2,392 | 2,816 | 2,392 | 2,816 | 2,792 |
Ending balance related to [Abstract] | |||||
Allowance on loans individually evaluated for impairment | 200 | 322 | 200 | 322 | 328 |
Allowance on loans collectively evaluated for impairment | 2,192 | 2,494 | 2,192 | 2,494 | 2,464 |
Commercial Non-Real Estate [Member] | |||||
Summary of allowance for loan losses [Abstract] | |||||
Beginning Balance | 703 | 394 | 234 | 280 | 280 |
Provision | (54) | 135 | 409 | 223 | 59 |
Charge-offs | 0 | (154) | (17) | (155) | (154) |
Recoveries | 10 | 2 | 33 | 29 | 49 |
Ending Balance | 659 | 377 | 659 | 377 | 234 |
Ending balance related to [Abstract] | |||||
Allowance on loans individually evaluated for impairment | 0 | 6 | 0 | 6 | 5 |
Allowance on loans collectively evaluated for impairment | 659 | 371 | 659 | 371 | 229 |
Home Equity [Member] | |||||
Summary of allowance for loan losses [Abstract] | |||||
Beginning Balance | 593 | 518 | 528 | 963 | 963 |
Provision | 226 | 210 | 317 | 233 | 236 |
Charge-offs | 0 | (298) | (28) | (769) | (834) |
Recoveries | 2 | 131 | 4 | 134 | 163 |
Ending Balance | 821 | 561 | 821 | 561 | 528 |
Ending balance related to [Abstract] | |||||
Allowance on loans individually evaluated for impairment | 402 | 34 | 402 | 34 | 2 |
Allowance on loans collectively evaluated for impairment | 419 | 527 | 419 | 527 | 526 |
Consumer [Member] | |||||
Summary of allowance for loan losses [Abstract] | |||||
Beginning Balance | 7 | 3 | 3 | 4 | 4 |
Provision | (52) | 0 | (48) | (1) | (1) |
Charge-offs | 0 | 0 | 0 | 0 | 0 |
Recoveries | 50 | 0 | 50 | 0 | 0 |
Ending Balance | 5 | 3 | 5 | 3 | 3 |
Ending balance related to [Abstract] | |||||
Allowance on loans individually evaluated for impairment | 4 | 2 | 4 | 2 | 1 |
Allowance on loans collectively evaluated for impairment | $ 1 | $ 1 | $ 1 | $ 1 | $ 2 |
Loans Receivable, Non-Performin
Loans Receivable, Non-Performing Assets and Impaired Loans (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Impaired loans [Abstract] | |||||
Impaired Loans with Specific Allowance, Recorded Investment | $ 14,067,000 | $ 14,067,000 | $ 16,166,000 | ||
Impaired Loans with Specific Allowance, Related Allowance | 2,259,000 | 2,259,000 | 2,282,000 | ||
Impaired Loans with No Specific Allowance, Recorded Investment | 19,710,000 | 19,710,000 | 20,875,000 | ||
Total Impaired Loans, Recorded Investment | 33,777,000 | 33,777,000 | 37,041,000 | ||
Total Impaired Loans, Unpaid Principal Balance | 35,295,000 | 35,295,000 | 38,840,000 | ||
Impaired Loans with Specific Allowance, Average Recorded Investment | 13,563,000 | $ 17,268,000 | 13,862,000 | $ 16,868,000 | |
Impaired Loans with Specific Allowance, Interest Income Recognized | 146,000 | 184,000 | 469,000 | 515,000 | |
Impaired Loans with No Specific Allowance, Average Recorded Investment | 19,680,000 | 18,829,000 | 22,024,000 | 21,364,000 | |
Impaired Loans with No Specific Allowance, Interest Income Recognized | 218,000 | 213,000 | 649,000 | 749,000 | |
Total Impaired Loans, Average Recorded Investment | 33,243,000 | 36,097,000 | 35,886,000 | 38,232,000 | |
Total Impaired Loans, Interest Income Recognized | 364,000 | 397,000 | 1,118,000 | 1,264,000 | |
Interest income on cash basis recognized on impaired loans | 364,000 | 397,000 | 1,118,000 | 1,264,000 | |
Loans in nonaccrual status included in impaired loans | 25,571,000 | 25,571,000 | |||
Impaired loans | 33,777,000 | 33,777,000 | 37,041,000 | ||
Total loans | 632,886,000 | 632,886,000 | 622,234,000 | ||
Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | 605,291,000 | 605,291,000 | 580,276,000 | ||
Residential Mortgage [Member] | |||||
Impaired loans [Abstract] | |||||
Impaired Loans with Specific Allowance, Recorded Investment | 9,812,000 | 9,812,000 | 11,885,000 | ||
Impaired Loans with Specific Allowance, Related Allowance | 1,583,000 | 1,583,000 | 1,838,000 | ||
Impaired Loans with No Specific Allowance, Recorded Investment | 12,709,000 | 12,709,000 | 14,202,000 | ||
Total Impaired Loans, Recorded Investment | 22,521,000 | 22,521,000 | 26,087,000 | ||
Total Impaired Loans, Unpaid Principal Balance | 23,138,000 | 23,138,000 | 26,656,000 | ||
Impaired Loans with Specific Allowance, Average Recorded Investment | 9,831,000 | 12,848,000 | 10,684,000 | 12,438,000 | |
Impaired Loans with Specific Allowance, Interest Income Recognized | 106,000 | 137,000 | 356,000 | 402,000 | |
Impaired Loans with No Specific Allowance, Average Recorded Investment | 12,734,000 | 12,512,000 | 13,774,000 | 14,101,000 | |
Impaired Loans with No Specific Allowance, Interest Income Recognized | 132,000 | 125,000 | 417,000 | 422,000 | |
Total Impaired Loans, Average Recorded Investment | 22,565,000 | 25,360,000 | 24,458,000 | 26,539,000 | |
Total Impaired Loans, Interest Income Recognized | 238,000 | 262,000 | 773,000 | 824,000 | |
Impaired loans | 22,521,000 | 22,521,000 | 26,087,000 | ||
Total loans | 271,924,000 | 271,924,000 | 285,930,000 | ||
Residential Mortgage [Member] | Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | 261,922,000 | 261,922,000 | 268,583,000 | ||
Construction Acquisition and Development [Member] | |||||
Impaired loans [Abstract] | |||||
Impaired Loans with Specific Allowance, Recorded Investment | 0 | 0 | 0 | ||
Impaired Loans with Specific Allowance, Related Allowance | 0 | 0 | 0 | ||
Impaired Loans with No Specific Allowance, Recorded Investment | 71,000 | 71,000 | 309,000 | ||
Total Impaired Loans, Recorded Investment | 71,000 | 71,000 | 309,000 | ||
Total Impaired Loans, Unpaid Principal Balance | 71,000 | 71,000 | 309,000 | ||
Impaired Loans with Specific Allowance, Average Recorded Investment | 0 | 125,000 | 0 | 125,000 | |
Impaired Loans with Specific Allowance, Interest Income Recognized | 0 | 1,000 | 0 | 1,000 | |
Impaired Loans with No Specific Allowance, Average Recorded Investment | 71,000 | 413,000 | 269,000 | 623,000 | |
Impaired Loans with No Specific Allowance, Interest Income Recognized | 1,000 | 6,000 | 9,000 | 23,000 | |
Total Impaired Loans, Average Recorded Investment | 71,000 | 538,000 | 269,000 | 748,000 | |
Total Impaired Loans, Interest Income Recognized | 1,000 | 7,000 | 9,000 | 24,000 | |
Impaired loans | 71,000 | 71,000 | 309,000 | ||
Total loans | 63,879,000 | 63,879,000 | 77,478,000 | ||
Construction Acquisition and Development [Member] | Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | 63,533,000 | 63,533,000 | 77,168,000 | ||
Land [Member] | |||||
Impaired loans [Abstract] | |||||
Impaired Loans with Specific Allowance, Recorded Investment | 424,000 | 424,000 | 639,000 | ||
Impaired Loans with Specific Allowance, Related Allowance | 55,000 | 55,000 | 78,000 | ||
Impaired Loans with No Specific Allowance, Recorded Investment | 951,000 | 951,000 | 969,000 | ||
Total Impaired Loans, Recorded Investment | 1,375,000 | 1,375,000 | 1,608,000 | ||
Total Impaired Loans, Unpaid Principal Balance | 1,488,000 | 1,488,000 | 1,723,000 | ||
Impaired Loans with Specific Allowance, Average Recorded Investment | 426,000 | 821,000 | 513,000 | 843,000 | |
Impaired Loans with Specific Allowance, Interest Income Recognized | 6,000 | 8,000 | 20,000 | 14,000 | |
Impaired Loans with No Specific Allowance, Average Recorded Investment | 960,000 | 1,075,000 | 1,162,000 | 1,118,000 | |
Impaired Loans with No Specific Allowance, Interest Income Recognized | 8,000 | 16,000 | 27,000 | 60,000 | |
Total Impaired Loans, Average Recorded Investment | 1,386,000 | 1,896,000 | 1,675,000 | 1,961,000 | |
Total Impaired Loans, Interest Income Recognized | 14,000 | 24,000 | 47,000 | 74,000 | |
Impaired loans | 1,375,000 | 1,375,000 | 1,608,000 | ||
Total loans | 34,861,000 | 34,861,000 | 28,677,000 | ||
Land [Member] | Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | 33,683,000 | 33,683,000 | 26,845,000 | ||
Lines of Credit [Member] | |||||
Impaired loans [Abstract] | |||||
Impaired Loans with Specific Allowance, Recorded Investment | 149,000 | 149,000 | 299,000 | ||
Impaired Loans with Specific Allowance, Related Allowance | 15,000 | 15,000 | 30,000 | ||
Impaired Loans with No Specific Allowance, Recorded Investment | 346,000 | 346,000 | 0 | ||
Total Impaired Loans, Recorded Investment | 495,000 | 495,000 | 299,000 | ||
Total Impaired Loans, Unpaid Principal Balance | 495,000 | 495,000 | 299,000 | ||
Impaired Loans with Specific Allowance, Average Recorded Investment | 149,000 | 0 | 149,000 | 0 | |
Impaired Loans with Specific Allowance, Interest Income Recognized | 2,000 | 0 | 6,000 | 0 | |
Impaired Loans with No Specific Allowance, Average Recorded Investment | 274,000 | 278,000 | 144,000 | 395,000 | |
Impaired Loans with No Specific Allowance, Interest Income Recognized | 2,000 | 2,000 | 3,000 | 17,000 | |
Total Impaired Loans, Average Recorded Investment | 423,000 | 278,000 | 293,000 | 395,000 | |
Total Impaired Loans, Interest Income Recognized | 4,000 | 2,000 | 9,000 | 17,000 | |
Impaired loans | 495,000 | 495,000 | 299,000 | ||
Total loans | 26,254,000 | 26,254,000 | 20,188,000 | ||
Lines of Credit [Member] | Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | 25,813,000 | 25,813,000 | 19,521,000 | ||
Commercial Real Estate [Member] | |||||
Impaired loans [Abstract] | |||||
Impaired Loans with Specific Allowance, Recorded Investment | 1,973,000 | 1,973,000 | 3,214,000 | ||
Impaired Loans with Specific Allowance, Related Allowance | 200,000 | 200,000 | 328,000 | ||
Impaired Loans with No Specific Allowance, Recorded Investment | 3,723,000 | 3,723,000 | 3,107,000 | ||
Total Impaired Loans, Recorded Investment | 5,696,000 | 5,696,000 | 6,321,000 | ||
Total Impaired Loans, Unpaid Principal Balance | 5,898,000 | 5,898,000 | 6,469,000 | ||
Impaired Loans with Specific Allowance, Average Recorded Investment | 1,977,000 | 3,241,000 | 2,040,000 | 2,754,000 | |
Impaired Loans with Specific Allowance, Interest Income Recognized | 25,000 | 37,000 | 77,000 | 94,000 | |
Impaired Loans with No Specific Allowance, Average Recorded Investment | 3,730,000 | 1,866,000 | 4,655,000 | 1,942,000 | |
Impaired Loans with No Specific Allowance, Interest Income Recognized | 57,000 | 39,000 | 134,000 | 121,000 | |
Total Impaired Loans, Average Recorded Investment | 5,707,000 | 5,107,000 | 6,695,000 | 4,696,000 | |
Total Impaired Loans, Interest Income Recognized | 82,000 | 76,000 | 211,000 | 215,000 | |
Impaired loans | 5,696,000 | 5,696,000 | 6,321,000 | ||
Total loans | 198,915,000 | 198,915,000 | 174,912,000 | ||
Commercial Real Estate [Member] | Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | 187,060,000 | 187,060,000 | 155,766,000 | ||
Commercial Non-Real Estate [Member] | |||||
Impaired loans [Abstract] | |||||
Impaired Loans with Specific Allowance, Recorded Investment | 0 | 0 | 103,000 | ||
Impaired Loans with Specific Allowance, Related Allowance | 0 | 0 | 5,000 | ||
Impaired Loans with No Specific Allowance, Recorded Investment | 0 | 0 | 19,000 | ||
Total Impaired Loans, Recorded Investment | 0 | 0 | 122,000 | ||
Total Impaired Loans, Unpaid Principal Balance | 0 | 0 | 123,000 | ||
Impaired Loans with Specific Allowance, Average Recorded Investment | 0 | 210,000 | 33,000 | 249,000 | |
Impaired Loans with Specific Allowance, Interest Income Recognized | 0 | 1,000 | 1,000 | 4,000 | |
Impaired Loans with No Specific Allowance, Average Recorded Investment | 0 | 20,000 | 6,000 | 7,000 | |
Impaired Loans with No Specific Allowance, Interest Income Recognized | 0 | 0 | 0 | 13,000 | |
Total Impaired Loans, Average Recorded Investment | 0 | 230,000 | 39,000 | 256,000 | |
Total Impaired Loans, Interest Income Recognized | 0 | 1,000 | 1,000 | 17,000 | |
Impaired loans | 0 | 0 | 122,000 | ||
Total loans | 16,105,000 | 16,105,000 | 9,296,000 | ||
Commercial Non-Real Estate [Member] | Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | 15,782,000 | 15,782,000 | 9,151,000 | ||
Home Equity [Member] | |||||
Impaired loans [Abstract] | |||||
Impaired Loans with Specific Allowance, Recorded Investment | 1,609,000 | 1,609,000 | 16,000 | ||
Impaired Loans with Specific Allowance, Related Allowance | 402,000 | 402,000 | 2,000 | ||
Impaired Loans with No Specific Allowance, Recorded Investment | 1,910,000 | 1,910,000 | 2,269,000 | ||
Total Impaired Loans, Recorded Investment | 3,519,000 | 3,519,000 | 2,285,000 | ||
Total Impaired Loans, Unpaid Principal Balance | 4,105,000 | 4,105,000 | 3,251,000 | ||
Impaired Loans with Specific Allowance, Average Recorded Investment | 1,078,000 | 12,000 | 370,000 | 448,000 | |
Impaired Loans with Specific Allowance, Interest Income Recognized | 6,000 | 0 | 7,000 | 0 | |
Impaired Loans with No Specific Allowance, Average Recorded Investment | 1,911,000 | 2,663,000 | 1,991,000 | 2,627,000 | |
Impaired Loans with No Specific Allowance, Interest Income Recognized | 18,000 | 25,000 | 59,000 | 90,000 | |
Total Impaired Loans, Average Recorded Investment | 2,989,000 | 2,675,000 | 2,361,000 | 3,075,000 | |
Total Impaired Loans, Interest Income Recognized | 24,000 | 25,000 | 66,000 | 90,000 | |
Impaired loans | 3,519,000 | 3,519,000 | 2,285,000 | ||
Total loans | 19,739,000 | 19,739,000 | 24,529,000 | ||
Home Equity [Member] | Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | 16,289,000 | 16,289,000 | 22,018,000 | ||
Consumer [Member] | |||||
Impaired loans [Abstract] | |||||
Impaired Loans with Specific Allowance, Recorded Investment | 100,000 | 100,000 | 10,000 | ||
Impaired Loans with Specific Allowance, Related Allowance | 4,000 | 4,000 | 1,000 | ||
Impaired Loans with No Specific Allowance, Recorded Investment | 0 | 0 | 0 | ||
Total Impaired Loans, Recorded Investment | 100,000 | 100,000 | 10,000 | ||
Total Impaired Loans, Unpaid Principal Balance | 100,000 | 100,000 | 10,000 | ||
Impaired Loans with Specific Allowance, Average Recorded Investment | 102,000 | 11,000 | 73,000 | 11,000 | |
Impaired Loans with Specific Allowance, Interest Income Recognized | 1,000 | 0 | 2,000 | 0 | |
Impaired Loans with No Specific Allowance, Average Recorded Investment | 0 | 2,000 | 23,000 | 551,000 | |
Impaired Loans with No Specific Allowance, Interest Income Recognized | 0 | 0 | 0 | 3,000 | |
Total Impaired Loans, Average Recorded Investment | 102,000 | 13,000 | 96,000 | 562,000 | |
Total Impaired Loans, Interest Income Recognized | 1,000 | $ 0 | 2,000 | $ 3,000 | |
Impaired loans | 100,000 | 100,000 | 10,000 | ||
Total loans | 1,209,000 | 1,209,000 | 1,224,000 | ||
Consumer [Member] | Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | 1,209,000 | 1,209,000 | 1,224,000 | ||
Residential Real Estate [Member] | |||||
Impaired loans [Abstract] | |||||
Total Impaired Loans, Recorded Investment | 22,521,000 | 22,521,000 | |||
Impaired loans | 22,521,000 | 22,521,000 | |||
Consumer Residential Real Estate [Member] | |||||
Impaired loans [Abstract] | |||||
Total Impaired Loans, Recorded Investment | 17,631,000 | 17,631,000 | |||
Impaired loans | 17,631,000 | 17,631,000 | |||
Builders Residential Real Estate [Member] | |||||
Impaired loans [Abstract] | |||||
Total Impaired Loans, Recorded Investment | 4,890,000 | 4,890,000 | |||
Impaired loans | 4,890,000 | 4,890,000 | |||
Unfunded [Member] | Pass [Member] | |||||
Impaired loans [Abstract] | |||||
Total loans | $ 17,400,000 | $ 17,400,000 | $ 21,101,000 |
Loans Receivable, Classes of Lo
Loans Receivable, Classes of Loan Portfolio within the Internal Risk Grading System (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | $ 632,886 | $ 622,234 |
Residential Mortgage [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 271,924 | 285,930 |
Construction Acquisition and Development [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 63,879 | 77,478 |
Land [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 34,861 | 28,677 |
Lines of Credit [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 26,254 | 20,188 |
Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 198,915 | 174,912 |
Commercial Non-Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 16,105 | 9,296 |
Home Equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 19,739 | 24,529 |
Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,209 | 1,224 |
Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 605,291 | 580,276 |
Pass [Member] | Residential Mortgage [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 261,922 | 268,583 |
Pass [Member] | Construction Acquisition and Development [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 63,533 | 77,168 |
Pass [Member] | Land [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 33,683 | 26,845 |
Pass [Member] | Lines of Credit [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 25,813 | 19,521 |
Pass [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 187,060 | 155,766 |
Pass [Member] | Commercial Non-Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 15,782 | 9,151 |
Pass [Member] | Home Equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 16,289 | 22,018 |
Pass [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,209 | 1,224 |
Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 16,993 | 28,085 |
Special Mention [Member] | Residential Mortgage [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 6,868 | 12,457 |
Special Mention [Member] | Construction Acquisition and Development [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 346 | 71 |
Special Mention [Member] | Land [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 372 | 1,268 |
Special Mention [Member] | Lines of Credit [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 189 | 368 |
Special Mention [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 8,534 | 13,208 |
Special Mention [Member] | Commercial Non-Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 98 | 125 |
Special Mention [Member] | Home Equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 586 | 588 |
Special Mention [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 10,602 | 13,873 |
Substandard [Member] | Residential Mortgage [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 3,134 | 4,890 |
Substandard [Member] | Construction Acquisition and Development [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 239 |
Substandard [Member] | Land [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 806 | 564 |
Substandard [Member] | Lines of Credit [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 252 | 299 |
Substandard [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 3,321 | 5,938 |
Substandard [Member] | Commercial Non-Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 225 | 20 |
Substandard [Member] | Home Equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 2,864 | 1,923 |
Substandard [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Residential Mortgage [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Construction Acquisition and Development [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Land [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Lines of Credit [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Commercial Non-Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Home Equity [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | $ 0 | $ 0 |
Loans Receivable, Classes of 36
Loans Receivable, Classes of Loan Portfolio by Aging Categories of Performing and Nonaccrual Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | $ 5,465 | $ 5,734 |
Current | 627,421 | 616,500 |
Total loans | 632,886 | 622,234 |
Non-Accrual | 8,206 | 8,974 |
30 to 59 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 1,203 | 2,135 |
60 to 89 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 1,833 | 65 |
90+ Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 2,429 | 3,534 |
Residential Mortgage [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 2,258 | 4,119 |
Current | 269,666 | 281,811 |
Total loans | 271,924 | 285,930 |
Non-Accrual | 1,615 | 3,191 |
Residential Mortgage [Member] | 30 to 59 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 1,158 | 1,593 |
Residential Mortgage [Member] | 60 to 89 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 65 |
Residential Mortgage [Member] | 90+ Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 1,100 | 2,461 |
Construction Acquisition and Development [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Current | 63,879 | 77,478 |
Total loans | 63,879 | 77,478 |
Non-Accrual | 0 | 244 |
Construction Acquisition and Development [Member] | 30 to 59 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Construction Acquisition and Development [Member] | 60 to 89 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Construction Acquisition and Development [Member] | 90+ Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Land [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 51 | 293 |
Current | 34,810 | 28,384 |
Total loans | 34,861 | 28,677 |
Non-Accrual | 149 | 277 |
Land [Member] | 30 to 59 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 45 | 137 |
Land [Member] | 60 to 89 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Land [Member] | 90+ Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 6 | 156 |
Lines of Credit [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 149 |
Current | 26,254 | 20,039 |
Total loans | 26,254 | 20,188 |
Non-Accrual | 149 | 483 |
Lines of Credit [Member] | 30 to 59 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 149 |
Lines of Credit [Member] | 60 to 89 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Lines of Credit [Member] | 90+ Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Commercial Real Estate [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 515 | 545 |
Current | 198,400 | 174,367 |
Total loans | 198,915 | 174,912 |
Non-Accrual | 2,908 | 2,681 |
Commercial Real Estate [Member] | 30 to 59 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 253 |
Commercial Real Estate [Member] | 60 to 89 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Commercial Real Estate [Member] | 90+ Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 515 | 292 |
Commercial Non-Real Estate [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 240 | 0 |
Current | 15,865 | 9,296 |
Total loans | 16,105 | 9,296 |
Non-Accrual | 0 | 0 |
Commercial Non-Real Estate [Member] | 30 to 59 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Commercial Non-Real Estate [Member] | 60 to 89 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 240 | 0 |
Commercial Non-Real Estate [Member] | 90+ Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Home Equity [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 2,196 | 625 |
Current | 17,543 | 23,904 |
Total loans | 19,739 | 24,529 |
Non-Accrual | 3,179 | 2,098 |
Home Equity [Member] | 30 to 59 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Home Equity [Member] | 60 to 89 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 1,593 | 0 |
Home Equity [Member] | 90+ Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 603 | 625 |
Consumer [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 205 | 3 |
Current | 1,004 | 1,221 |
Total loans | 1,209 | 1,224 |
Non-Accrual | 206 | 0 |
Consumer [Member] | 30 to 59 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 3 |
Consumer [Member] | 60 to 89 Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | 0 | 0 |
Consumer [Member] | 90+ Days Past Due [Member] | ||
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans [Abstract] | ||
Total Past Due | $ 205 | $ 0 |
Loans Receivable, Troubled Debt
Loans Receivable, Troubled Debt Restructurings (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016USD ($)Contract | Sep. 30, 2015USD ($)Contract | Sep. 30, 2016USD ($)Contract | Sep. 30, 2015USD ($)Contract | Dec. 31, 2015USD ($)Contract | |
Financing Receivable, Modifications [Line Items] | |||||
Number of performing loans | 53 | 53 | |||
Amount of performing loans | $ | $ 18,422,000 | $ 18,422,000 | |||
Number of contract defaults | 0 | 0 | |||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 624,000 | $ 91,000 | |
Pre-Modifications contracts | 0 | 0 | 3 | 2 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 624,000 | $ 200,000 | |
Post-Modifications contracts | 0 | 0 | 3 | 2 | |
Method used to account for interest on TDRs [Abstract] | |||||
Number of Contracts | 67 | 67 | 71 | ||
Accrual Status | $ | $ 22,431,000 | $ 22,431,000 | $ 24,386,000 | ||
Number of Contracts | 4 | 4 | 6 | ||
Non-Accrual Status | $ | $ 364,000 | $ 364,000 | $ 1,329,000 | ||
Total Number of Contracts | 71 | 71 | 77 | ||
Total Modifications | $ | $ 22,795,000 | $ 22,795,000 | $ 25,715,000 | ||
Residential Mortgage [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 624,000 | $ 91,000 | |
Pre-Modifications contracts | 0 | 0 | 3 | 2 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 624,000 | $ 200,000 | |
Post-Modifications contracts | 0 | 0 | 3 | 2 | |
Method used to account for interest on TDRs [Abstract] | |||||
Number of Contracts | 52 | 52 | 55 | ||
Accrual Status | $ | $ 19,185,000 | $ 19,185,000 | $ 20,831,000 | ||
Number of Contracts | 1 | 1 | 3 | ||
Non-Accrual Status | $ | $ 109,000 | $ 109,000 | $ 1,071,000 | ||
Total Number of Contracts | 53 | 53 | 58 | ||
Total Modifications | $ | $ 19,294,000 | $ 19,294,000 | $ 21,902,000 | ||
Construction Acquisition and Development [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Method used to account for interest on TDRs [Abstract] | |||||
Number of Contracts | 1 | 1 | 1 | ||
Accrual Status | $ | $ 70,000 | $ 70,000 | $ 71,000 | ||
Number of Contracts | 0 | 0 | 0 | ||
Non-Accrual Status | $ | $ 0 | $ 0 | $ 0 | ||
Total Number of Contracts | 1 | 1 | 1 | ||
Total Modifications | $ | $ 70,000 | $ 70,000 | $ 71,000 | ||
Land [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Method used to account for interest on TDRs [Abstract] | |||||
Number of Contracts | 5 | 5 | 6 | ||
Accrual Status | $ | $ 661,000 | $ 661,000 | $ 907,000 | ||
Number of Contracts | 1 | 1 | 1 | ||
Non-Accrual Status | $ | $ 6,000 | $ 6,000 | $ 6,000 | ||
Total Number of Contracts | 6 | 6 | 7 | ||
Total Modifications | $ | $ 667,000 | $ 667,000 | $ 913,000 | ||
Lines of Credit [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Method used to account for interest on TDRs [Abstract] | |||||
Number of Contracts | 0 | 0 | 0 | ||
Accrual Status | $ | $ 0 | $ 0 | $ 0 | ||
Number of Contracts | 0 | 0 | 0 | ||
Non-Accrual Status | $ | $ 0 | $ 0 | $ 0 | ||
Total Number of Contracts | 0 | 0 | 0 | ||
Total Modifications | $ | $ 0 | $ 0 | $ 0 | ||
Commercial Real Estate [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Method used to account for interest on TDRs [Abstract] | |||||
Number of Contracts | 4 | 4 | 4 | ||
Accrual Status | $ | $ 2,414,000 | $ 2,414,000 | $ 2,464,000 | ||
Number of Contracts | 2 | 2 | 2 | ||
Non-Accrual Status | $ | $ 249,000 | $ 249,000 | $ 252,000 | ||
Total Number of Contracts | 6 | 6 | 6 | ||
Total Modifications | $ | $ 2,663,000 | $ 2,663,000 | $ 2,716,000 | ||
Commercial Non-Real Estate [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Method used to account for interest on TDRs [Abstract] | |||||
Number of Contracts | 4 | 4 | 4 | ||
Accrual Status | $ | $ 92,000 | $ 92,000 | $ 103,000 | ||
Number of Contracts | 0 | 0 | 0 | ||
Non-Accrual Status | $ | $ 0 | $ 0 | $ 0 | ||
Total Number of Contracts | 4 | 4 | 4 | ||
Total Modifications | $ | $ 92,000 | $ 92,000 | $ 103,000 | ||
Home Equity [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Method used to account for interest on TDRs [Abstract] | |||||
Number of Contracts | 0 | 0 | 0 | ||
Accrual Status | $ | $ 0 | $ 0 | $ 0 | ||
Number of Contracts | 0 | 0 | 0 | ||
Non-Accrual Status | $ | $ 0 | $ 0 | $ 0 | ||
Total Number of Contracts | 0 | 0 | 0 | ||
Total Modifications | $ | $ 0 | $ 0 | $ 0 | ||
Consumer [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Method used to account for interest on TDRs [Abstract] | |||||
Number of Contracts | 1 | 1 | 1 | ||
Accrual Status | $ | $ 9,000 | $ 9,000 | $ 10,000 | ||
Number of Contracts | 0 | 0 | 0 | ||
Non-Accrual Status | $ | $ 0 | $ 0 | $ 0 | ||
Total Number of Contracts | 1 | 1 | 1 | ||
Total Modifications | $ | $ 9,000 | $ 9,000 | $ 10,000 | ||
Rate Modification [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Rate Modification [Member] | Residential Mortgage [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Rate Modification [Member] | Construction Acquisition and Development [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Rate Modification [Member] | Land [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Rate Modification [Member] | Lines of Credit [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Rate Modification [Member] | Commercial Real Estate [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Rate Modification [Member] | Commercial Non-Real Estate [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Rate Modification [Member] | Home Equity [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Rate Modification [Member] | Consumer [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Combination Modifications [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 624,000 | $ 91,000 | |
Pre-Modifications contracts | 0 | 0 | 3 | 2 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 624,000 | $ 200,000 | |
Post-Modifications contracts | 0 | 0 | 3 | 2 | |
Combination Modifications [Member] | Residential Mortgage [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 624,000 | $ 91,000 | |
Pre-Modifications contracts | 0 | 0 | 3 | 2 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 624,000 | $ 200,000 | |
Post-Modifications contracts | 0 | 0 | 3 | 2 | |
Combination Modifications [Member] | Construction Acquisition and Development [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Combination Modifications [Member] | Land [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Combination Modifications [Member] | Lines of Credit [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Combination Modifications [Member] | Commercial Real Estate [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Combination Modifications [Member] | Commercial Non-Real Estate [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Combination Modifications [Member] | Home Equity [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 | |
Combination Modifications [Member] | Consumer [Member] | |||||
Newly restructured loans during the period [Abstract] | |||||
Pre-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Pre-Modifications contracts | 0 | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Post-Modifications contracts | 0 | 0 | 0 | 0 |
Loans Receivable, Financial Ins
Loans Receivable, Financial Instruments Whose Contract Amounts Represent Credit Risk (Details) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2016USD ($)Commitment | Dec. 31, 2015USD ($)Commitment | |
Standby Letters of Credit [Member] | ||
Financial instruments whose contract amount represents credit risk [Abstract] | ||
Off-balance sheet credit risk | $ 4,316,000 | $ 5,937,000 |
Current liability for guarantees | 98,000 | 115,000 |
Home Equity Lines of Credit [Member] | ||
Financial instruments whose contract amount represents credit risk [Abstract] | ||
Off-balance sheet credit risk | $ 7,804,000 | 7,467,000 |
Loan expiry period | 10 years | |
Unadvanced Construction Commitments [Member] | ||
Financial instruments whose contract amount represents credit risk [Abstract] | ||
Off-balance sheet credit risk | $ 17,400,000 | 21,101,000 |
Mortgage Loan Commitments [Member] | ||
Financial instruments whose contract amount represents credit risk [Abstract] | ||
Off-balance sheet credit risk | 7,665,000 | 3,233,000 |
Fixed rate loan commitments | $ 7,665,000 | $ 3,233,000 |
Number of mortgage loan commitments at fixed interest rate | Commitment | 17 | 7 |
Mortgage Loan Commitments [Member] | Minimum [Member] | ||
Financial instruments whose contract amount represents credit risk [Abstract] | ||
Fixed interest rate | 3.25% | 3.75% |
Mortgage Loan Commitments [Member] | Maximum [Member] | ||
Financial instruments whose contract amount represents credit risk [Abstract] | ||
Fixed interest rate | 4.63% | 8.00% |
Lines of Credit [Member] | ||
Financial instruments whose contract amount represents credit risk [Abstract] | ||
Off-balance sheet credit risk | $ 34,716,000 | $ 27,189,000 |
Loans Sold with Limited Repurchase Provisions [Member] | ||
Financial instruments whose contract amount represents credit risk [Abstract] | ||
Off-balance sheet credit risk | 55,017,000 | 65,107,000 |
Loans receivable held-for-sale, amount | $ 43,960,000 | $ 157,309,000 |
Fair Values of Financial Inst39
Fair Values of Financial Instruments (Details) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2016USD ($)Loan | Dec. 31, 2015USD ($)Loan | |
Fair Values of Financial Instruments [Abstract] | ||
Impaired loan balance | $ 14,067,000 | $ 16,166,000 |
Valuation allowances | $ 2,259,000 | $ 2,282,000 |
Number of impaired collateral-dependent loans | Loan | 3 | 7 |
Fair value of impaired collateral-dependent loans partially charged off | $ 1,990,000 | $ 3,219,000 |
Charge-off impaired collateral-dependent loans | 67,000 | 622,000 |
Foreclosed Real Estate [Abstract] | ||
Foreclosed real estate totaled | 1,343,000 | 1,744,000 |
Foreclosed real estate carrying value | 552,000 | 543,000 |
Foreclosure proceedings amount | 3,252,000 | 1,487,000 |
Recurring Fair Value Measurements [Abstract] | ||
Liabilities required to be re-measured on a nonrecurring basis | 0 | 0 |
Nonrecurring [Member] | ||
Nonrecurring fair value measurements [Abstract] | ||
Impaired loans | 13,798,000 | 17,103,000 |
Foreclosed real estate | 1,343,000 | 543,000 |
Total nonrecurring fair value measurements | 15,141,000 | 17,646,000 |
Recurring [Member] | ||
Recurring Fair Value Measurements [Abstract] | ||
Mortgage servicing rights | 484,000 | 623,000 |
Rate lock commitments | 480,000 | 141,000 |
Mandatory forward contracts | 14,000 | 111,000 |
Total recurring fair value measurements | 978,000 | 875,000 |
Level 1 [Member] | ||
Recurring Fair Value Measurements [Abstract] | ||
Mortgage servicing rights | 0 | 0 |
Rate lock commitments | 0 | 0 |
Level 1 [Member] | Nonrecurring [Member] | ||
Nonrecurring fair value measurements [Abstract] | ||
Impaired loans | 0 | 0 |
Foreclosed real estate | 0 | 0 |
Total nonrecurring fair value measurements | 0 | 0 |
Level 1 [Member] | Recurring [Member] | ||
Recurring Fair Value Measurements [Abstract] | ||
Mortgage servicing rights | 0 | 0 |
Rate lock commitments | 0 | 0 |
Mandatory forward contracts | 0 | 0 |
Total recurring fair value measurements | 0 | 0 |
Level 2 [Member] | ||
Recurring Fair Value Measurements [Abstract] | ||
Mortgage servicing rights | 0 | 0 |
Rate lock commitments | 480,000 | 141,000 |
Level 2 [Member] | Nonrecurring [Member] | ||
Nonrecurring fair value measurements [Abstract] | ||
Impaired loans | 0 | 0 |
Foreclosed real estate | 0 | 0 |
Total nonrecurring fair value measurements | 0 | 0 |
Level 2 [Member] | Recurring [Member] | ||
Recurring Fair Value Measurements [Abstract] | ||
Mortgage servicing rights | 0 | 0 |
Rate lock commitments | 480,000 | 141,000 |
Mandatory forward contracts | 14,000 | 111,000 |
Total recurring fair value measurements | 494,000 | 252,000 |
Level 3 [Member] | ||
Recurring Fair Value Measurements [Abstract] | ||
Mortgage servicing rights | 484,000 | 623,000 |
Rate lock commitments | 0 | 0 |
Level 3 [Member] | Nonrecurring [Member] | ||
Nonrecurring fair value measurements [Abstract] | ||
Impaired loans | 13,798,000 | 17,103,000 |
Foreclosed real estate | 1,343,000 | 543,000 |
Total nonrecurring fair value measurements | 15,141,000 | 17,646,000 |
Level 3 [Member] | Recurring [Member] | ||
Recurring Fair Value Measurements [Abstract] | ||
Mortgage servicing rights | 484,000 | 623,000 |
Rate lock commitments | 0 | 0 |
Mandatory forward contracts | 0 | 0 |
Total recurring fair value measurements | $ 484,000 | $ 623,000 |
Fair Values of Financial Inst40
Fair Values of Financial Instruments, Fair Values of Financial Instruments, Assets, Quantitative Information (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2016 | Dec. 31, 2015 | ||
Impaired Loans [Member] | PV of Future Cash Flows [Member] | |||
Quantitative Information about Level 3 Fair Value Measurements [Abstract] | |||
Fair Value Estimate | $ 11,808 | $ 13,884 | |
Valuation Techniques | [1] | PV of future cash flows | PV of future cash flows |
Unobservable Input | Discount rate | Discount rate | |
Weighted average discount rate | (10.00%) | (6.00%) | |
Impaired Loans [Member] | Appraisal of Collateral [Member] | |||
Quantitative Information about Level 3 Fair Value Measurements [Abstract] | |||
Fair Value Estimate | $ 1,990 | $ 3,219 | |
Valuation Techniques | [2] | Appraisal of collateral | Appraisal of collateral |
Unobservable Input | [3] | Liquidation expenses | Liquidation expenses |
Range and weighted average of liquidation expenses | (10.00%) | (6.00%) | |
Foreclosed Real Estate [Member] | Appraisal of Collateral [Member] | |||
Quantitative Information about Level 3 Fair Value Measurements [Abstract] | |||
Fair Value Estimate | $ 1,343 | $ 543 | |
Valuation Techniques | [2],[4] | Appraisal of collateral | Appraisal of collateral |
Unobservable Input | [3] | Appraisal adjustments | Appraisal adjustments |
Foreclosed Real Estate [Member] | Appraisal of Collateral [Member] | Minimum [Member] | |||
Quantitative Information about Level 3 Fair Value Measurements [Abstract] | |||
Range and weighted average of appraisal adjustments | (10.00%) | (6.12%) | |
Foreclosed Real Estate [Member] | Appraisal of Collateral [Member] | Maximum [Member] | |||
Quantitative Information about Level 3 Fair Value Measurements [Abstract] | |||
Range and weighted average of appraisal adjustments | (15.11%) | (7.31%) | |
Foreclosed Real Estate [Member] | Appraisal of Collateral [Member] | Weighted Average [Member] | |||
Quantitative Information about Level 3 Fair Value Measurements [Abstract] | |||
Range and weighted average of appraisal adjustments | (12.76%) | (6.24%) | |
Mortgage Servicing Rights [Member] | Market Approach [Member] | |||
Quantitative Information about Level 3 Fair Value Measurements [Abstract] | |||
Fair Value Estimate | $ 484 | $ 623 | |
Valuation Techniques | Market approach | Market approach | |
Unobservable Input | Weighted average prepayment speed | Weighted average prepayment speed | |
Weighted average prepayment speed | 7.83% | 9.91% | |
[1] | Cash flow which generally includes various level 3 inputs which are not identifiable. | ||
[2] | Fair value is generally determined through independent appraisals for the underlying collateral, which generally include various level 3 inputs which are not identifiable. | ||
[3] | Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. | ||
[4] | Includes qualitative adjustments by management and estimated liquidation expenses. |
Fair Values of Financial Inst41
Fair Values of Financial Instruments, Assets, Balance Sheet Grouping (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Financial Assets [Abstract] | ||
Investment securities (HTM) | $ 68,975 | $ 76,310 |
Quoted Prices in Active Markets For Identical Assets (Level 1) [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | 44,493 | 43,591 |
Investment securities (HTM) | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans receivable, net | 0 | 0 |
FHLB stock | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Mortgage servicing rights | 0 | 0 |
Rate lock commitments | 0 | 0 |
Mandatory forward contracts | 0 | 0 |
Financial Liabilities [Abstract] | ||
Deposits | 0 | 0 |
FHLB advances/Other Borrowings | 0 | |
FHLB advances | 0 | |
Subordinated debentures | 0 | 0 |
Accrued interest payable | 0 | 0 |
Off Balance Sheet Commitments | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Investment securities (HTM) | 68,975 | 76,310 |
Loans held for sale | 13,124 | 13,295 |
Loans receivable, net | 0 | 0 |
FHLB stock | 5,230 | 5,626 |
Accrued interest receivable | 2,262 | 2,218 |
Mortgage servicing rights | 0 | 0 |
Rate lock commitments | 480 | 141 |
Mandatory forward contracts | 14 | 111 |
Financial Liabilities [Abstract] | ||
Deposits | 557,547 | 524,458 |
FHLB advances/Other Borrowings | 107,626 | |
FHLB advances | 110,759 | |
Subordinated debentures | 0 | 0 |
Accrued interest payable | 528 | 3,137 |
Off Balance Sheet Commitments | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Investment securities (HTM) | 0 | |
Loans held for sale | 0 | 0 |
Loans receivable, net | 611,051 | 593,742 |
FHLB stock | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Mortgage servicing rights | 484 | 623 |
Rate lock commitments | 0 | 0 |
Mandatory forward contracts | 0 | 0 |
Financial Liabilities [Abstract] | ||
Deposits | 0 | 0 |
FHLB advances/Other Borrowings | 0 | |
FHLB advances | 0 | |
Subordinated debentures | 20,619 | 24,119 |
Accrued interest payable | 0 | 0 |
Off Balance Sheet Commitments | 0 | 0 |
Carrying Amount [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | 44,493 | 43,591 |
Investment securities (HTM) | 67,677 | 76,133 |
Loans held for sale | 12,961 | 13,203 |
Loans receivable, net | 603,473 | 589,656 |
FHLB stock | 5,230 | 5,626 |
Accrued interest receivable | 2,262 | 2,218 |
Mortgage servicing rights | 484 | 623 |
Rate lock commitments | 480 | 141 |
Mandatory forward contracts | 14 | 111 |
Financial Liabilities [Abstract] | ||
Deposits | 556,610 | 523,771 |
FHLB advances/Other Borrowings | 110,500 | |
FHLB advances | 115,000 | |
Subordinated debentures | 20,619 | 24,119 |
Accrued interest payable | 528 | 3,137 |
Off Balance Sheet Commitments | 0 | 0 |
Fair Value [Member] | ||
Financial Assets [Abstract] | ||
Cash and cash equivalents | 44,493 | 43,591 |
Investment securities (HTM) | 68,975 | 76,310 |
Loans held for sale | 13,348 | 13,295 |
Loans receivable, net | 611,051 | 593,742 |
FHLB stock | 5,230 | 5,626 |
Accrued interest receivable | 2,262 | 2,218 |
Mortgage servicing rights | 484 | 623 |
Rate lock commitments | 480 | 141 |
Mandatory forward contracts | 14 | 111 |
Financial Liabilities [Abstract] | ||
Deposits | 557,547 | 524,458 |
FHLB advances/Other Borrowings | 107,626 | |
FHLB advances | 110,759 | |
Subordinated debentures | 20,619 | 24,119 |
Accrued interest payable | 528 | 3,137 |
Off Balance Sheet Commitments | $ 0 | $ 0 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2016 | Jun. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Income Taxes [Abstract] | ||||||
Income tax expense (benefit) provision | $ 378,000 | $ 52,000 | $ (10,816,000) | $ 88,000 | ||
Income tax valuation allowance reversal | $ 11,837,000 | |||||
Deferred tax assets | $ 10,916,000 | $ 10,916,000 | $ 0 |