Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Nov. 14, 2013 | |
Document and Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-13 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Document Fiscal Year Focus | '2013 | ' |
Entity Registrant Name | 'MID PENN BANCORP INC | ' |
Entity Central Index Key | '0000879635 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 3,493,529 |
Entity Current Reporting Status | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and due from banks | $12,052 | $11,200 |
Interest-bearing balances with other financial institutions | 1,165 | 1,273 |
Federal funds sold | ' | 3,000 |
Total cash and cash equivalents | 13,217 | 15,473 |
Interest-bearing time deposits with other financial institutions | 7,861 | 23,563 |
Available for sale investment securities | 119,770 | 154,295 |
Loans and leases, net of unearned interest | 528,546 | 484,220 |
Less: Allowance for loan and lease losses | -5,793 | -5,509 |
Net loans and leases | 522,753 | 478,711 |
Bank premises and equipment, net | 12,759 | 13,123 |
Restricted investment in bank stocks | 1,895 | 2,503 |
Foreclosed assets held for sale | 2,047 | 843 |
Accrued interest receivable | 2,684 | 2,893 |
Deferred income taxes | 3,326 | 1,789 |
Goodwill | 1,016 | 1,016 |
Core deposit and other intangibles, net | 191 | 288 |
Cash surrender value of life insurance | 8,317 | 8,143 |
Other assets | 2,152 | 2,560 |
Total Assets | 697,988 | 705,200 |
LIABILITIES & SHAREHOLDERS' EQUITY | ' | ' |
Deposits: Noninterest bearing demand | 48,495 | 57,977 |
Deposits: Interest bearing demand | 202,285 | 164,837 |
Deposits: Money Market | 197,837 | 210,588 |
Deposits: Savings | 29,666 | 28,406 |
Deposits: Time | 142,571 | 163,653 |
Total Deposits | 620,854 | 625,461 |
Short-term borrowings | 9,245 | ' |
Long-term debt | 8,190 | 22,510 |
Accrued interest payable | 803 | 620 |
Other liabilities | 6,343 | 4,389 |
Total Liabilities | 645,435 | 652,980 |
Shareholders' Equity: | ' | ' |
Common stock, par value $1 per share; authorized 10,000,000 shares; 3,493,529 shares issued and outstanding at September 30, 2013 and 3,489,684 shares issued and outstanding at December 31, 2012 | 3,494 | 3,490 |
Additional paid-in capital | 29,841 | 29,816 |
Retained earnings | 14,651 | 11,741 |
Accumulated other comprehensive (loss) income | -433 | 2,293 |
Total Shareholders' Equity | 52,553 | 52,220 |
Total Liabilities and Shareholders' Equity | 697,988 | 705,200 |
Series B Preferred Stock [Member] | ' | ' |
Shareholders' Equity: | ' | ' |
Series B Preferred stock, par value $1.00; liquidation value $1,000; authorized 5,000 shares; 7% non-cumulative dividend; 5,000 shares issued and outstanding at September 30, 2013 and 4,880 shares issued and outstanding at December 31, 2012 | $5,000 | $4,880 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2013 | Dec. 31, 2012 | |
Common Stock, Par or Stated Value Per Share | $1 | $1 |
Common Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Common Stock, Shares, Issued | 3,493,529 | 3,489,684 |
Common Stock, Shares, Outstanding | 3,493,529 | 3,489,684 |
Series B Preferred Stock [Member] | ' | ' |
Preferred stock, par value | $1 | $1 |
Preferred Stock, Shares Authorized | 5,000 | 5,000 |
Preferred Stock, Dividend Rate, Percentage or Per-Dollar-Amount | 7.00% | 7.00% |
Preferred Stock, Shares Issued | 5,000 | 4,880 |
Preferred Stock, Shares Outstanding | 5,000 | 4,880 |
Preferred Stock, Liquidation Preference Per Share | $1,000 | $1,000 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
INTEREST INCOME | ' | ' | ' | ' |
Interest & fees on loans and leases | $6,962 | $6,742 | $19,717 | $20,619 |
Interest on interest-bearing balances | 21 | 55 | 97 | 180 |
Interest and dividends on investment securities: | ' | ' | ' | ' |
U.S. Treasury and government agencies | 170 | 232 | 393 | 997 |
State and political subdivision obligations, tax exempt | 466 | 419 | 1,442 | 1,232 |
Other securities | 14 | 5 | 28 | 15 |
Interest on federal funds sold and securities purchased under agreements to resell | ' | 5 | 11 | 10 |
Total Interest Income | 7,633 | 7,458 | 21,688 | 23,053 |
INTEREST EXPENSE | ' | ' | ' | ' |
Interest on deposits | 1,068 | 1,443 | 3,403 | 4,850 |
Interest on short-term borrowings | 12 | ' | 19 | 1 |
Interest on long-term debt | 112 | 245 | 519 | 732 |
Total Interest Expense | 1,192 | 1,688 | 3,941 | 5,583 |
Net Interest Income | 6,441 | 5,770 | 17,747 | 17,470 |
PROVISION FOR LOAN AND LEASE LOSSES | 575 | 150 | 1,485 | 675 |
Net Interest Income After Provision for Loan and Lease Losses | 5,866 | 5,620 | 16,262 | 16,795 |
NONINTEREST INCOME | ' | ' | ' | ' |
Income from fiduciary activities | 111 | 128 | 360 | 429 |
Service charges on deposits | 150 | 153 | 430 | 418 |
Net gain on sales of investment securities | 108 | 241 | 220 | 267 |
Earnings from cash surrender value of life insurance | 58 | 61 | 174 | 186 |
Mortgage banking income | 75 | 184 | 300 | 443 |
ATM debit card interchange income | 130 | 114 | 376 | 354 |
Other income | 176 | 176 | 636 | 629 |
Total Noninterest Income | 808 | 1,057 | 2,496 | 2,726 |
NONINTEREST EXPENSE | ' | ' | ' | ' |
Salaries and employee benefits | 2,657 | 2,671 | 8,199 | 7,886 |
Occupancy expense, net | 256 | 263 | 835 | 799 |
Equipment expense | 323 | 343 | 984 | 923 |
Pennsylvania Bank Shares tax expense | 104 | 92 | 365 | 351 |
FDIC Assessment | 6 | 301 | 339 | 904 |
Legal and professional fees | 191 | 186 | 511 | 431 |
Director fees and benefits expense | 81 | 97 | 238 | 232 |
Marketing and advertising expense | 87 | 91 | 192 | 288 |
Computer expense | 239 | 166 | 666 | 489 |
Telephone expense | 116 | 107 | 318 | 317 |
(Gain) loss on sale/write-down of foreclosed assets | -54 | 43 | -376 | 102 |
Intangible amortization | 8 | 7 | 22 | 38 |
Loan collection costs | 32 | 92 | 178 | 239 |
Other expenses | 700 | 623 | 1,924 | 1,768 |
Total Noninterest Expense | 4,746 | 5,082 | 14,395 | 14,767 |
INCOME BEFORE PROVISION FOR INCOME TAXES | 1,928 | 1,595 | 4,363 | 4,754 |
Provision for income taxes | 440 | 329 | 824 | 994 |
NET INCOME | 1,488 | 1,266 | 3,539 | 3,760 |
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS | 1,400 | 1,138 | 3,303 | 3,375 |
PER COMMON SHARE DATA: | ' | ' | ' | ' |
Basic Earnings Per Common Share | $0.40 | $0.33 | $0.95 | $0.97 |
Diluted Earnings Per Common Share | $0.40 | $0.33 | $0.95 | $0.97 |
Cash Dividends | $0.05 | $0.05 | $0.10 | $0.15 |
Series A Preferred Stock [Member] | ' | ' | ' | ' |
NONINTEREST EXPENSE | ' | ' | ' | ' |
Preferred stock dividends and discount accretion | ' | 128 | 14 | 385 |
Series B Preferred Stock [Member] | ' | ' | ' | ' |
NONINTEREST EXPENSE | ' | ' | ' | ' |
Preferred stock dividends and discount accretion | $88 | ' | $222 | ' |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Consolidated Statements of Comprehensive Income [Abstract] | ' | ' | ' | ' | ||||
Net income | $1,488 | $1,266 | $3,539 | $3,760 | ||||
Other comprehensive income: | ' | ' | ' | ' | ||||
Unrealized (losses) gains arising during the period on available for sale securities, net of income taxes of $147, $216, $(1,334) and $412, respectively | 286 | 418 | -2,591 | 799 | ||||
Reclassification adjustment for net gain on sales of available for sale securities included in net income, net of income taxes of $(37), $(82), $(75) and $(91), respectively | -71 | [1],[2] | -159 | [1],[2] | -145 | [1],[2] | -176 | [1],[2] |
Change in defined benefit plans, net of income taxes of $2, $(7), $5 and $(8), respectively | 4 | [2],[3] | -13 | [2],[3] | 10 | [2],[3] | -15 | [2],[3] |
Total other comprehensive (loss) income | 219 | 246 | -2,726 | 608 | ||||
Total comprehensive income | $1,707 | $1,512 | $813 | $4,368 | ||||
[1] | Amounts are included in net gain on sales of investment securities on the Consolidated Statements of Income as a separate element within total noninterest income | |||||||
[2] | Income tax amounts are included in the provision for income taxes in the Consolidated Statements of Income | |||||||
[3] | Amounts are included in the computation of net periodic benefit cost and are included in salaries and employee benefits on the Consolidated Statements of Income as a separate element within total noninterest expense |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Income (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Consolidated Statements of Comprehensive Income (Parenthetical) [Abstract] | ' | ' | ' | ' |
Unrealized gains arising during the period on available for sale securities, tax | $147 | $216 | ($1,334) | $412 |
Reclassification adjustment for net gain on sales of available for sale securities included in net income, tax | -37 | -82 | -75 | -91 |
Change in defined benefit plans, tax | $2 | ($7) | $5 | ($8) |
Consolidated_Statement_of_Chan
Consolidated Statement of Changes In Shareholder's Equity (USD $) | Series A Preferred Stock [Member] | Series A Preferred Stock [Member] | Series B Preferred Stock [Member] | Series B Preferred Stock [Member] | Series B Preferred Stock [Member] | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] | Total |
In Thousands | Retained Earnings [Member] | Preferred Stock [Member] | Retained Earnings [Member] | ||||||||
Balance at Dec. 31, 2011 | ' | ' | ' | ' | ' | $10,000 | $3,484 | $29,830 | $8,222 | $1,916 | $53,452 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 3,760 | ' | 3,760 |
Total other comprehensive income (loss), net of taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | 608 | 608 |
Common stock dividends | ' | ' | ' | ' | ' | ' | ' | ' | -522 | ' | -522 |
Employee Stock Purchase Plan | ' | ' | ' | ' | ' | ' | 5 | 38 | ' | ' | 43 |
Preferred stock dividends | -375 | -375 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amortization of warrant cost | ' | ' | ' | ' | ' | ' | ' | -10 | ' | ' | -10 |
Balance at Sep. 30, 2012 | ' | ' | ' | ' | ' | 10,000 | 3,489 | 29,858 | 11,085 | 2,524 | 56,956 |
Balance at Dec. 31, 2012 | ' | ' | ' | ' | ' | 4,880 | 3,490 | 29,816 | 11,741 | 2,293 | 52,220 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 3,539 | ' | 3,539 |
Total other comprehensive income (loss), net of taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2,726 | -2,726 |
Common stock dividends | ' | ' | ' | ' | ' | ' | ' | ' | -349 | ' | -349 |
Employee Stock Purchase Plan | ' | ' | ' | ' | ' | ' | 4 | 39 | ' | ' | 43 |
Preferred stock issuance | ' | ' | 120 | ' | 120 | ' | ' | ' | ' | ' | ' |
Preferred stock dividends | ' | ' | ' | -222 | -222 | ' | ' | ' | ' | ' | ' |
Amortization of warrant cost | ' | ' | ' | ' | ' | ' | ' | -14 | ' | ' | -14 |
Warrant repurchase | ' | ' | ' | ' | ' | ' | ' | ' | -58 | ' | -58 |
Balance at Sep. 30, 2013 | ' | ' | ' | ' | ' | $5,000 | $3,494 | $29,841 | $14,651 | ($433) | $52,553 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Operating Activities: | ' | ' |
Net Income | $3,539 | $3,760 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ' | ' |
Provision for loan and lease losses | 1,485 | 675 |
Depreciation | 936 | 853 |
Amortization of intangibles | 97 | 15 |
Net amortization of securities premiums | 2,082 | 973 |
Gain on sales of investment securities | -220 | -267 |
Earnings on cash surrender value of life insurance | -174 | -186 |
Gain on disposal of property, plant, and equipment | -8 | -1 |
(Gain) loss on sale/write-down of foreclosed assets | -376 | 102 |
Deferred income tax (benefit) expense | -1,223 | 688 |
Decrease in accrued interest receivable | 209 | 71 |
Decrease in other assets | 1,503 | 795 |
Increase in accrued interest payable | 183 | 115 |
Increase in other liabilities | 1,949 | 8,676 |
Net Cash Provided by Operating Activities | 9,982 | 16,269 |
Investing Activities: | ' | ' |
Net decrease in interest-bearing balances | 15,702 | 3,416 |
Proceeds from the maturity of investment securities | 31,777 | 26,876 |
Proceeds from the sale of investment securities | 15,118 | 17,895 |
Purchases of investment securities | -18,376 | -52,604 |
Redemptions of restricted investment in bank stock | 608 | 571 |
Net increase in loans and leases | -48,175 | -3,367 |
Purchases of bank premises and equipment | -564 | -777 |
Proceeds from the sale of bank premises and equipment | ' | 16 |
Proceeds from sale of foreclosed assets | 1,820 | 2,105 |
Net Cash Used In Investing Activities | -2,090 | -5,869 |
Financing Activities: | ' | ' |
Net increase in demand deposits and savings accounts | 16,475 | 25,647 |
Net decrease in time deposits | -21,082 | -29,678 |
Net increase in short-term borrowings | 9,245 | ' |
Common stock dividend paid | -349 | -522 |
Employee Stock Purchase Plan | 43 | 43 |
Warrant repurchase | -58 | ' |
Long-term debt repayment | -14,320 | -143 |
Net Cash Used In Financing Activities | -10,148 | -5,028 |
Net (decrease) increase in cash and cash equivalents | -2,256 | 5,372 |
Cash and cash equivalents, beginning of period | 15,473 | 17,841 |
Cash and cash equivalents, end of period | 13,217 | 23,213 |
Supplemental Disclosures of Cash Flow Information: | ' | ' |
Interest paid | 3,758 | 5,468 |
Income taxes paid | 550 | 1,250 |
Supplemental Noncash Disclosures: | ' | ' |
Loan transfers to foreclosed assets held for sale | 2,648 | 1,865 |
Series A Preferred Stock [Member] | ' | ' |
Financing Activities: | ' | ' |
Preferred stock dividend paid | ' | -375 |
Series B Preferred Stock [Member] | ' | ' |
Financing Activities: | ' | ' |
Preferred stock dividend paid | -222 | ' |
Preferred Stock issuance | $120 | ' |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2013 | |
Basis of Presentation [Abstract] | ' |
Basis of Presentation | ' |
(1) Basis of Presentation | |
The accompanying consolidated financial statements include the accounts of Mid Penn Bancorp, Inc. and its wholly-owned subsidiaries, Mid Penn Bank (“Bank”), and the Bank’s wholly-owned subsidiary Mid Penn Insurance Services, LLC (collectively, “Mid Penn”). All material intercompany accounts and transactions have been eliminated in consolidation. | |
Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). We believe the information presented is not misleading and the disclosures are adequate. For comparative purposes, the September 30, 2012 and December 31, 2012 balances have been reclassified to conform to the 2013 presentation. Such reclassifications had no impact on net income. The results of operations for interim periods are not necessarily indicative of operating results expected for the full year. These interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in Mid Penn’s Annual Report on Form 10-K for the year ended December 31, 2012. | |
Mid Penn has evaluated events and transactions occurring subsequent to the balance sheet date of September 30, 2013, for items that should potentially be recognized or disclosed in these consolidated financial statements. The evaluation was conducted through the date these consolidated financial statements were issued. | |
Investment_Securities
Investment Securities | 9 Months Ended | |||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||
Investment Securities [Abstract] | ' | |||||||||||||||||
Investment Securities | ' | |||||||||||||||||
(2) Investment Securities | ||||||||||||||||||
Securities to be held for indefinite periods, but not intended to be held to maturity, are classified as available for sale and carried at fair value. Securities held for indefinite periods include securities that management intends to use as part of its asset and liability management strategy and that may be sold in response to liquidity needs, changes in interest rates, resultant prepayment risk, and other factors related to interest rate and resultant prepayment risk changes. | ||||||||||||||||||
Realized gains and losses on dispositions are based on the net proceeds and the adjusted book value of the securities sold, using the specific identification method. Unrealized gains and losses on investment securities available for sale are based on the difference between book value and fair value of each security. These gains and losses are credited or charged to other comprehensive income, whereas realized gains and losses flow through the Corporation’s results of consolidated statements of income. | ||||||||||||||||||
Accounting Standards Codification (“ASC”) Topic 320, Investments – Debt and Equity Securities, clarifies the interaction of the factors that should be considered when determining whether a debt security is other-than-temporarily impaired. For debt securities, management must assess whether (a) it has the intent to sell the security and (b) it is more likely than not that it will be required to sell the security prior to its anticipated recovery. These steps are done before assessing whether the entity will recover the cost basis of the investment. Previously, this assessment required management to assert it has both the intent and the ability to hold a security for a period of time sufficient to allow for an anticipated recovery in fair value to avoid recognizing other-than-temporary impairment. This change does not affect the need to forecast recovery of the value of the security through either cash flows or market price. | ||||||||||||||||||
In instances when a determination is made that other-than-temporary impairment exists but the investor does not intend to sell the debt security and it is not more likely than not that it will be required to sell the debt security prior to its anticipated recovery, this guidance changes the presentation and amount of the other-than-temporary impairment recognized in the income statement. The other-than-temporary impairment is separated into (a) the amount of the total other-than-temporary impairment related to a decrease in cash flows expected to be collected from the debt security (the credit loss) and (b) the amount of the total other-than-temporary impairment related to all other factors. The amount of the total other-than-temporary impairment related to the credit loss is recognized in earnings. The amount of the total other-than-temporary impairment related to all other factors is recognized in other comprehensive income. | ||||||||||||||||||
At September 30, 2013 and December 31, 2012, amortized cost, fair value, and unrealized gains and losses on investment securities are as follows: | ||||||||||||||||||
(Dollars in thousands) | Amortized | Unrealized | Unrealized | Fair | ||||||||||||||
Cost | Gains | Losses | Value | |||||||||||||||
30-Sep-13 | ||||||||||||||||||
Available for sale securities: | ||||||||||||||||||
U.S. Treasury and U.S. government agencies | $ | 12,149 | $ | 765 | $ | - | $ | 12,914 | ||||||||||
Mortgage-backed U.S. government agencies | 42,458 | 377 | 462 | 42,373 | ||||||||||||||
State and political subdivision obligations | 64,072 | 864 | 1,997 | 62,939 | ||||||||||||||
Equity securities | 1,550 | 20 | 26 | 1,544 | ||||||||||||||
$ | 120,229 | $ | 2,026 | $ | 2,485 | $ | 119,770 | |||||||||||
(Dollars in thousands) | Amortized | Unrealized | Unrealized | Fair | ||||||||||||||
Cost | Gains | Losses | Value | |||||||||||||||
31-Dec-12 | ||||||||||||||||||
Available for sale securities: | ||||||||||||||||||
U.S. Treasury and U.S. government agencies | $ | 16,394 | $ | 1,346 | $ | - | $ | 17,740 | ||||||||||
Mortgage-backed U.S. government agencies | 66,783 | 393 | 490 | 66,686 | ||||||||||||||
State and political subdivision obligations | 67,033 | 2,542 | 96 | 69,479 | ||||||||||||||
Equity securities | 400 | - | 10 | 390 | ||||||||||||||
$ | 150,610 | $ | 4,281 | $ | 596 | $ | 154,295 | |||||||||||
Estimated fair values of debt securities are based on quoted market prices, where applicable. If quoted market prices are not available, fair values are based on quoted market prices of comparable instruments, adjusted for differences between the quoted instruments and the instruments being valued. | ||||||||||||||||||
Included in equity securities is an investment in Access Capital Strategies, an equity fund that invests in low to moderate income financing projects. This initial investment was purchased in 2004 to help fulfill the Bank’s regulatory requirement of the Community Reinvestment Act and additional investments were purchased in 2011 and 2013. At September 30, 2013 and December 31, 2012, the investment is reported at fair value. | ||||||||||||||||||
Investment securities having a fair value of $103,237,000 at September 30, 2013 and $96,124,000 at December 31, 2012, were pledged to secure public deposits and other borrowings. | ||||||||||||||||||
Mid Penn realized gross gains of $108,000 and $220,000 on sales of securities available for sale during the three and nine month periods ended September 30, 2013. Mid Penn realized gross gains of $241,000 and $267,000 on sales of securities available for sale during the three and nine months ended September 30, 2012. Mid Penn realized gross losses on the sale of securities available for sale of $0 during the three and nine month periods ended September 30, 2013 and September 30, 2012. | ||||||||||||||||||
The following table presents gross unrealized losses and fair value of investments aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
(Dollars in thousands) | Less Than 12 Months | 12 Months or More | Total | |||||||||||||||
30-Sep-13 | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||
Value | Losses | Value | Losses | Value | Losses | |||||||||||||
Available for sale securities: | ||||||||||||||||||
Mortgage-backed U.S. government agencies | $ | 9,958 | $ | 203 | $ | 10,775 | $ | 259 | $ | 20,733 | $ | 462 | ||||||
State and political subdivision obligations | 30,830 | 1,868 | 2,175 | 129 | 33,005 | 1,997 | ||||||||||||
Equity securities | - | - | 550 | 26 | 550 | 26 | ||||||||||||
Total temporarily impaired | ||||||||||||||||||
available for sale securities | $ | 40,788 | $ | 2,071 | $ | 13,500 | $ | 414 | $ | 54,288 | $ | 2,485 | ||||||
(Dollars in thousands) | Less Than 12 Months | 12 Months or More | Total | |||||||||||||||
31-Dec-12 | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||
Value | Losses | Value | Losses | Value | Losses | |||||||||||||
Available for sale securities: | ||||||||||||||||||
Mortgage-backed U.S. government agencies | $ | 30,345 | $ | 270 | $ | 15,839 | $ | 220 | $ | 46,184 | $ | 490 | ||||||
State and political subdivision obligations | 9,389 | 66 | 1,231 | 30 | 10,620 | 96 | ||||||||||||
Equity securities | - | - | 390 | 10 | 390 | 10 | ||||||||||||
Total temporarily impaired | ||||||||||||||||||
available for sale securities | $ | 39,734 | $ | 336 | $ | 17,460 | $ | 260 | $ | 57,194 | $ | 596 | ||||||
Management evaluates securities for other-than-temporary impairment at least on a quarterly basis; and more frequently when economic or market concerns warrant such evaluation. Consideration is given to the length of time and the extent to which the fair value has been less than cost, and the financial condition and near term prospects of the issuer. In addition, for debt securities, the Corporation considers (a) whether management has the intent to sell the security, (b) it is more likely than not that management will be required to sell the security prior to its anticipated recovery, and (c) whether management expects to recover the entire amortized cost basis. For equity securities, management considers the intent and ability to hold securities until recovery of unrealized losses. | ||||||||||||||||||
At September 30, 2013, 97 debt securities with unrealized losses depreciated 4.58% from their amortized cost basis. At December 31, 2012, 73 debt securities with unrealized losses depreciated 1.03% from their amortized cost basis. These securities are issued by either the U.S. Government or other governmental agencies. The unrealized losses were determined principally by reference to current interest rates for similar types of securities. In analyzing an issuer's financial condition, management considers whether the U.S. Government or its agencies issued the securities, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuer's financial condition. Based on the above conditions management has determined that no declines are deemed to be other-than-temporary. | ||||||||||||||||||
The table below is the maturity distribution of investment securities at amortized cost and fair value. | ||||||||||||||||||
(Dollars in thousands) | 30-Sep-13 | |||||||||||||||||
Amortized | Fair | |||||||||||||||||
Cost | Value | |||||||||||||||||
Due in 1 year or less | $ | - | $ | - | ||||||||||||||
Due after 1 year but within 5 years | 16,646 | 17,636 | ||||||||||||||||
Due after 5 years but within 10 years | 26,939 | 26,896 | ||||||||||||||||
Due after 10 years | 32,636 | 31,321 | ||||||||||||||||
76,221 | 75,853 | |||||||||||||||||
Mortgage-backed securities | 42,458 | 42,373 | ||||||||||||||||
Equity securities | 1,550 | 1,544 | ||||||||||||||||
$ | 120,229 | $ | 119,770 | |||||||||||||||
Mortgage-backed securities at September 30, 2013, had an average life of 3.4 years. | ||||||||||||||||||
Loans_and_Allowance_for_Loan_a
Loans and Allowance for Loan and Lease Losses | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
Loans and Allowance for Loan and Lease Losses [Abstract] | ' | ||||||||||||||||||||||||||
Loans and Allowance for Loan and Lease Losses | ' | ||||||||||||||||||||||||||
(3) Loans and Allowance for Loan and Lease Losses | |||||||||||||||||||||||||||
Loans receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are stated at their outstanding unpaid principal balances, net of an allowance for loan losses and any deferred fees or costs. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the yield (interest income) of the related loans. These amounts are generally being amortized over the contractual life of the loan. Premiums and discounts on purchased loans are amortized as adjustments to interest income using the effective yield method. | |||||||||||||||||||||||||||
The loan portfolio is segmented into commercial and consumer loans. Commercial loans consist of the following classes: commercial and industrial, commercial real estate, commercial real estate-construction and lease financing. Consumer loans consist of the following classes: residential mortgage loans, home equity loans and other consumer loans. | |||||||||||||||||||||||||||
For all classes of loans, the accrual of interest is discontinued when the contractual payment of principal or interest has become 90 days or more past due or management has serious doubts about further collectability of principal or interest, even though the loan is currently performing. A loan may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. When a loan is placed on nonaccrual status, unpaid interest credited to income in the current year is reversed and unpaid interest accrued in prior years is charged against the allowance for loan and lease losses. Interest received on nonaccrual loans, including impaired loans, generally is either applied against principal or reported as interest income, according to management’s judgment as to the collectability of principal. Generally, loans are restored to accrual status when the obligation is brought current, has performed in accordance with the contractual terms for a reasonable period of time (generally six months) and the ultimate collectability of the total contractual principal and interest is no longer in doubt. The past due status of all classes of loans receivable is determined based on contractual due dates for loan payments. | |||||||||||||||||||||||||||
Commercial and industrial | |||||||||||||||||||||||||||
Mid Penn originates commercial and industrial loans. Most of the Bank’s commercial and industrial loans have been extended to finance local and regional businesses and include short-term loans to finance machinery and equipment purchases, inventory, and accounts receivable. Commercial loans also involve the extension of revolving credit for a combination of equipment acquisitions and working capital in expanding companies. | |||||||||||||||||||||||||||
The maximum term for loans extended on machinery and equipment is based on the projected useful life of such machinery and equipment. Generally, the maximum term on non-mortgage lines of credit is one year. The loan-to-value ratio on such loans and lines of credit generally may not exceed 80% of the value of the collateral securing the loan. The Bank’s commercial business lending policy includes credit file documentation and analysis of the borrower’s character, capacity to repay the loan, the adequacy of the borrower’s capital and collateral as well as an evaluation of conditions affecting the borrower. Analysis of the borrower’s past, present, and future cash flows is also an important aspect of the Bank’s current credit analysis. Nonetheless, such loans are believed to carry higher credit risk than more traditional investments. | |||||||||||||||||||||||||||
Commercial and industrial loans typically are made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business. As a result, the availability of funds for the repayment of commercial business loans may be substantially dependent on the success of the business itself, which, in turn, is likely to be dependent upon the general economic environment. Mid Penn’s commercial and industrial loans are usually, but not always, secured by business assets and personal guarantees. However, the collateral securing the loans may depreciate over time, may be difficult to appraise, and may fluctuate in value based on the success of the business. | |||||||||||||||||||||||||||
Commercial real estate and commercial real estate - construction | |||||||||||||||||||||||||||
Commercial real estate and commercial real estate construction loans generally present a higher level of risk than loans secured by one to four family residences. This greater risk is due to several factors, including the concentration of principal in a limited number of loans and borrowers, the effect of general economic conditions on income producing properties, and the increased difficulty of evaluating and monitoring these types of loans. In addition, the repayment of loans secured by commercial real estate is typically dependent upon the successful operation of the related real estate project. If the cash flow from the project is reduced, the borrower’s ability to repay the loan may be impaired. | |||||||||||||||||||||||||||
Lease financing | |||||||||||||||||||||||||||
Mid Penn originates leases for select commercial and state and municipal government lessees. The nature of the leased asset is often subject to rapid depreciation in salvage value over a relatively short time frame or may be of an industry specific nature, making appraisal or liquidation of the asset difficult. These factors have led the Bank to severely curtail the origination of new leases to state or municipal government agencies where default risk is extremely limited and to only the most credit-worthy commercial customers. These commercial customers are primarily leasing fleet vehicles for use in their primary line of business, mitigating some of the asset value concerns within the portfolio. Leasing has been a declining percentage of the Mid Penn’s portfolio since 2006, representing 0.28% of the portfolio at September 30, 2013. | |||||||||||||||||||||||||||
Residential mortgage | |||||||||||||||||||||||||||
Mid Penn offers a wide array of residential mortgage loans for both permanent structures and those under construction. The Bank’s residential mortgage originations are secured primarily by properties located in its primary market and surrounding areas. Residential mortgage loans have terms up to a maximum of 30 years and with loan to value ratios up to 100% of the lesser of the appraised value of the security property or the contract price. Private mortgage insurance is generally required in an amount sufficient to reduce the Bank’s exposure to at or below the 85% loan to value level. Residential mortgage loans generally do not include prepayment penalties. | |||||||||||||||||||||||||||
In underwriting residential mortgage loans, the Bank evaluates both the borrower’s ability to make monthly payments and the value of the property securing the loan. Most properties securing real estate loans made by Mid Penn are appraised by independent fee appraisers. The Bank generally requires borrowers to obtain an attorney’s title opinion or title insurance and fire and property insurance (including flood insurance, if necessary) in an amount not less than the amount of the loan. Real estate loans originated by the Bank generally contain a “due on sale” clause allowing the Bank to declare the unpaid principal balance due and payable upon the sale of the security property. | |||||||||||||||||||||||||||
The Bank underwrites residential mortgage loans to the standards established by the secondary mortgage market, i.e., Fannie Mae, Ginnie Mae, Freddie Mac, or Pennsylvania Housing Finance Agency standards, with the intention of selling the majority of residential mortgages originated into the secondary market. In the event that the facts and circumstances surrounding a residential mortgage application do not meet all underwriting conditions of the secondary mortgage market, the Bank will evaluate the failed conditions and the potential risk of holding the residential mortgage in the Bank’s portfolio rather than rejecting the loan request. In the event that the loan is held in the Bank’s portfolio, the interest rate on the residential mortgage would be increased to compensate for the added portfolio risk. | |||||||||||||||||||||||||||
Consumer, including home equity | |||||||||||||||||||||||||||
Mid Penn offers a variety of secured consumer loans, including home equity, automobile, and deposit secured loans. In addition, the Bank offers other secured and unsecured consumer loans. Most consumer loans are originated in Mid Penn’s primary market and surrounding areas. | |||||||||||||||||||||||||||
The largest component of Mid Penn’s consumer loan portfolio consists of fixed rate home equity loans and variable rate home equity lines of credit. Substantially all home equity loans and lines of credit are secured by second mortgages on principal residences. The Bank will lend amounts, which, together with all prior liens, typically may be up to 85% of the appraised value of the property securing the loan. Home equity term loans may have maximum terms up to 20 years while home equity lines of credit generally have maximum terms of five years. | |||||||||||||||||||||||||||
Consumer loan terms vary according to the type and value of collateral, length of contract and creditworthiness of the borrower. The underwriting standards employed by the Bank for consumer loans include an application, a determination of the applicant’s payment history on other debts and an assessment of ability to meet existing obligations and payments on the proposed loan. Although creditworthiness of the applicant is a primary consideration, the underwriting process also includes a comparison of the value of the collateral, if any, in relation to the proposed loan amount. | |||||||||||||||||||||||||||
Consumer loans may entail greater credit risk than do residential mortgage loans, particularly in the case of consumer loans which are unsecured or are secured by rapidly depreciable assets, such as automobiles or recreational equipment. In such cases, any repossessed collateral for a defaulted consumer loan may not provide an adequate source of repayment of the outstanding loan balance. In addition, consumer loan collections are dependent on the borrower’s continuing financial stability, and thus are more likely to be affected by adverse personal circumstances. Furthermore, the application of various federal and state laws, including bankruptcy and insolvency laws, may limit the amount that can be recovered on such loans. | |||||||||||||||||||||||||||
The allowance for credit losses consists of the allowance for loan and lease losses and the reserve for unfunded lending commitments. The allowance for loan and lease losses represents management’s estimate of losses inherent in the loan portfolio as of the balance sheet date and is recorded as a reduction to loans. The reserve for unfunded lending commitments represents management’s estimate of losses inherent in its unfunded loan commitments and is recorded in other liabilities on the consolidated balance sheet. The allowance for loan and lease losses is increased by the provision for loan and lease losses, and decreased by charge-offs, net of recoveries. Loans deemed to be uncollectible are charged against the allowance for loan and lease losses, and subsequent recoveries, if any, are credited to the allowance. All, or part, of the principal balance of loans are charged off to the allowance as soon as it is determined that the repayment of all, or part, of the principal balance is highly unlikely. Non-residential consumer loans are generally charged off no later than 120 days past due on a contractual basis, earlier in the event of bankruptcy, or if there is an amount deemed uncollectible. Because all identified losses are immediately charged off, no portion of the allowance for loan and lease losses is restricted to any individual loan or groups of loans, and the entire allowance is available to absorb any and all loan losses. | |||||||||||||||||||||||||||
The allowance for credit losses is maintained at a level considered adequate to provide for losses that can be reasonably anticipated. Management performs a monthly evaluation of the adequacy of the allowance. The allowance is based on Mid Penn’s past loan loss experience, known and inherent risks in the portfolio, adverse situations that may affect the borrower’s ability to repay, the estimated value of any underlying collateral, composition of the loan portfolio, current economic conditions and other relevant factors. This evaluation is inherently subjective as it requires material estimates that may be susceptible to significant revision as more information becomes available. | |||||||||||||||||||||||||||
The allowance consists of specific, general and unallocated components. The specific component relates to loans that are classified as impaired. For loans that are classified as impaired, an allowance is established when the discounted cash flows, collateral value, or observable market price of the impaired loan is lower than the carrying value of that loan. The general component covers pools of loans by loan class including commercial loans not considered impaired, as well as smaller balance homogeneous loans, such as residential real estate, home equity and other consumer loans. These pools of loans are evaluated for loss exposure based upon historical loss rates for each of these categories of loans, adjusted for qualitative factors. These qualitative risk factors include changes in economic conditions, fluctuations in loan quality measures, changes in the experience of the lending staff and loan review systems, growth or changes in the mix of loans originated, and shifting industry or portfolio concentrations. | |||||||||||||||||||||||||||
Each factor is assigned a value to reflect improving, stable or declining conditions based on management’s best judgment using relevant information available at the time of the evaluation. Adjustments to the factors are supported through documentation of changes in conditions in a narrative accompanying the allowance for loan loss calculation. | |||||||||||||||||||||||||||
Mid Penn considers a commercial loan (consisting of commercial and industrial, commercial real estate, commercial real estate-construction, and lease financing loan classes) to be impaired when it becomes 90 days or more past due and not in the process of collection. This methodology assumes the borrower cannot or will not continue to make additional payments. At that time the loan would be considered collateral dependent as the discounted cash flow (“DCF”) method indicates no operating income is available for evaluating the collateral position; therefore, all impaired loans are deemed to be collateral dependent. | |||||||||||||||||||||||||||
In addition, Mid Penn’s rating system assumes any loans classified as sub-standard non-accrual to be impaired, and all of these loans are considered collateral dependent; therefore, all of Mid Penn’s impaired loans, whether reporting a specific allocation or not, are considered collateral dependent. | |||||||||||||||||||||||||||
Mid Penn evaluates loans for charge-off on a monthly basis. Policies that govern the recommendation for charge-off are unique to the type of loan being considered. Commercial loans rated as nonaccrual or lower will first have a collateral evaluation completed in accordance with the guidance on impaired loans. Once the collateral evaluation has been completed, a specific allocation of allowance is made based upon the results of the evaluation. In the event the loan is unsecured, the loan would have been charged-off at the recognition of impairment. If the loan is secured, it will undergo a 90 day waiting period to ensure the collateral shortfall identified in the evaluation is accurate and then charged down by the specific allocation. Once the charge down is taken, the remaining balance remains a nonperforming loan with the original terms and interest rate intact (not restructured). Commercial loans secured by real estate rated as impaired will also have an initial collateral evaluation completed in accordance with the guidance on impaired loans. An updated real estate valuation is ordered and the collateral evaluation is modified to reflect any variations in value. A specific allocation of allowance is made for any anticipated collateral shortfall and a 90 day waiting period begins to ensure the accuracy of the collateral shortfall. The loan is then charged down by the specific allocation. Once the charge down is taken, the remaining balance remains a nonperforming loan with the original terms and interest rate intact (not restructured). The process of charge-off for residential mortgage loans begins upon a loan becoming delinquent for 90 days and not in the process of collection. The existing appraisal is reviewed and a lien search is obtained to determine lien position and any instances of intervening liens. A new appraisal of the property will be ordered if deemed necessary by management and a collateral evaluation is completed. The loan will then be charged down to the value indicated in the evaluation. Consumer loans (including home equity loans and other consumer loans) are recommended for charge-off after reaching delinquency of 90 days and the loan is not in the process of collection. The entire balance of the consumer loan is recommended for charge-off at this point. | |||||||||||||||||||||||||||
As noted above, Mid Penn assesses a specific allocation for commercial loans prior to charging down or charging off the loan. Once the charge down is taken, the remaining balance remains a nonperforming loan with the original terms and interest rate intact (not restructured). In addition, Mid Penn takes a preemptive step when any commercial loan becomes classified under its internal classification system. A preliminary collateral evaluation in accordance with the guidance on impaired loans is prepared using the existing collateral information in the loan file. This process allows Mid Penn to review both the credit and documentation files to determine the status of the information needed to make a collateral evaluation. This collateral evaluation is preliminary but allows Mid Penn to determine if any potential collateral shortfalls exist. | |||||||||||||||||||||||||||
It is Mid Penn’s policy to obtain updated third party valuations on all impaired loans collateralized by real estate within 30 days of the credit being classified as sub-standard non-accrual. Prior to receipt of the updated real estate valuation Mid Penn will use any existing real estate valuation to determine any potential allowance issues; however no allowance recommendation will be made until which time Mid Penn is in receipt of the updated valuation. The credit department employs an electronic tracking system to monitor the receipt of and need for updated appraisals. To date, there have been no significant time lapses noted with the above processes. | |||||||||||||||||||||||||||
In some instances Mid Penn is not holding real estate as collateral and is relying on business assets (personal property) for repayment. In these circumstances a collateral inspection is performed by Mid Penn personnel to determine an estimated value. The value is based on net book value, as provided by the financial statements, and discounted accordingly based on determinations made by management. Occasionally, Mid Penn will employ an outside service to provide a fair estimate of value based on auction sales or private sales. Management reviews the estimates of these third parties and discounts them accordingly based on management’s judgment, if deemed necessary. | |||||||||||||||||||||||||||
For impaired loans with no valuation allowance required, Mid Penn’s practice of obtaining independent third party market valuations on the subject property within 30 days of being placed on non-accrual status sometimes indicates that the loan to value ratio is sufficient to obviate the need for a specific allocation in spite of significant deterioration in real estate values in Mid Penn’s primary market area. These circumstances are determined on a case by case analysis of the impaired loans. | |||||||||||||||||||||||||||
Mid Penn actively monitors the values of collateral on impaired loans. This monitoring may require the modification of collateral values over time or changing circumstances by some factor, either positive or negative, from the original values. All collateral values will be assessed by management at least every 18 months for possible revaluation by an independent third party. | |||||||||||||||||||||||||||
Mid Penn does not currently, or plan in the future to, use automated valuation methodologies as a method of valuing real estate collateral. | |||||||||||||||||||||||||||
An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating specific and general losses in the portfolio. | |||||||||||||||||||||||||||
Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, Mid Penn does not separately identify individual residential mortgage loans, home equity loans and other consumer loans for impairment disclosures, unless such loans are the subject of a troubled debt restructuring agreement. | |||||||||||||||||||||||||||
Loans whose terms are modified are classified as troubled debt restructurings if the borrowers have been granted concessions and it is deemed that those borrowers are experiencing financial difficulty. Concessions granted under a troubled debt restructuring generally involve a temporary reduction in interest rate or an extension of a loan’s stated maturity date. Non-accrual troubled debt restructurings are restored to accrual status if principal and interest payments, under the modified terms, are current for six consecutive months after modification. Loans classified as troubled debt restructurings are designated as impaired. | |||||||||||||||||||||||||||
The allowance calculation methodology includes further segregation of loan classes into risk rating categories. The borrower’s overall financial condition, repayment sources, guarantors, and value of collateral, if appropriate, are evaluated annually for commercial loans or when credit deficiencies arise, such as delinquent loan payments. Credit quality risk ratings include regulatory classifications of special mention, substandard, doubtful, and loss. Loans criticized as 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. Any loans not classified as noted above are rated pass. | |||||||||||||||||||||||||||
In addition, Federal and State regulatory agencies, as an integral part of their examination process, periodically review the Bank’s allowance for loan and lease losses and may require the Bank to recognize additions to the allowance based on their judgments about information available to them at the time of their examination, which may not be currently available to management. Based on management’s comprehensive analysis of the loan portfolio, management believes the current level of the allowance for loan losses is adequate. | |||||||||||||||||||||||||||
The classes of the loan portfolio, summarized by the aggregate pass rating and the classified ratings of special mention, substandard, and doubtful within Mid Penn’s internal risk rating system as of September 30, 2013 and December 31, 2012 are as follows: | |||||||||||||||||||||||||||
(Dollars in thousands) September 30, 2013 | Pass | Special Mention | Substandard | Doubtful | Total | ||||||||||||||||||||||
Commercial and industrial | $ | 89,706 | $ | 969 | $ | 1,566 | $ | - | $ | 92,241 | |||||||||||||||||
Commercial real estate | 277,837 | 3,310 | 12,750 | - | 293,897 | ||||||||||||||||||||||
Commercial real estate - construction | 43,673 | 392 | 105 | - | 44,170 | ||||||||||||||||||||||
Lease financing | 1,475 | - | - | - | 1,475 | ||||||||||||||||||||||
Residential mortgage | 66,860 | - | - | - | 66,860 | ||||||||||||||||||||||
Home equity | 24,022 | 170 | 257 | - | 24,449 | ||||||||||||||||||||||
Consumer | 5,454 | - | - | - | 5,454 | ||||||||||||||||||||||
$ | 509,027 | $ | 4,841 | $ | 14,678 | $ | - | $ | 528,546 | ||||||||||||||||||
(Dollars in thousands) December 31, 2012 | Pass | Special Mention | Substandard | Doubtful | Total | ||||||||||||||||||||||
Commercial and industrial | $ | 74,763 | $ | 1,651 | $ | 1,469 | $ | - | $ | 77,883 | |||||||||||||||||
Commercial real estate | 260,941 | 5,375 | 18,551 | - | 284,867 | ||||||||||||||||||||||
Commercial real estate - construction | 32,767 | 410 | 54 | - | 33,231 | ||||||||||||||||||||||
Lease financing | 1,305 | - | - | - | 1,305 | ||||||||||||||||||||||
Residential mortgage | 57,455 | - | - | - | 57,455 | ||||||||||||||||||||||
Home equity | 22,336 | 188 | 396 | - | 22,920 | ||||||||||||||||||||||
Consumer | 6,267 | 292 | - | - | 6,559 | ||||||||||||||||||||||
$ | 455,834 | $ | 7,916 | $ | 20,470 | $ | - | $ | 484,220 | ||||||||||||||||||
Impaired loans by loan portfolio class as of September 30, 2013 and December 31, 2012 are summarized as follows: | |||||||||||||||||||||||||||
30-Sep-13 | 31-Dec-12 | ||||||||||||||||||||||||||
(Dollars in thousands) | Recorded Investment | Unpaid Principal Balance | Related Allowance | Recorded Investment | Unpaid Principal Balance | Related Allowance | |||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 185 | $ | 186 | $ | - | $ | 192 | $ | 870 | $ | - | |||||||||||||||
Commercial real estate | 5,759 | 5,800 | - | 6,570 | 10,773 | - | |||||||||||||||||||||
Residential mortgage | 16 | 17 | - | - | - | - | |||||||||||||||||||||
Home equity | 29 | 39 | - | 124 | 261 | - | |||||||||||||||||||||
Consumer | - | - | - | - | 578 | - | |||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 42 | $ | 169 | $ | 42 | $ | 223 | $ | 351 | $ | 111 | |||||||||||||||
Commercial real estate | 4,003 | 4,209 | 1,423 | 2,514 | 2,672 | 1,200 | |||||||||||||||||||||
Commercial real estate - construction | - | - | - | 54 | 54 | 54 | |||||||||||||||||||||
Residential mortgage | 25 | 25 | 25 | - | - | - | |||||||||||||||||||||
Home equity | 51 | 52 | 8 | 67 | 71 | 18 | |||||||||||||||||||||
Total: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 227 | $ | 355 | $ | 42 | $ | 415 | $ | 1,221 | $ | 111 | |||||||||||||||
Commercial real estate | 9,762 | 10,009 | 1,423 | 9,084 | 13,445 | 1,200 | |||||||||||||||||||||
Commercial real estate - construction | - | - | - | 54 | 54 | 54 | |||||||||||||||||||||
Residential mortgage | 41 | 42 | 25 | - | - | - | |||||||||||||||||||||
Home equity | 80 | 91 | 8 | 191 | 332 | 18 | |||||||||||||||||||||
Consumer | - | - | - | - | 578 | - | |||||||||||||||||||||
Average recorded investment of impaired loans and related interest income recognized for the three and nine months ended September 30, 2013 and September 30, 2012 are summarized as follows: | |||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||
30-Sep-13 | 30-Sep-12 | ||||||||||||||||||||||||||
(Dollars in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 186 | $ | - | $ | 474 | $ | - | |||||||||||||||||||
Commercial real estate | 5,840 | 123 | 7,725 | - | |||||||||||||||||||||||
Residential mortgage | 37 | - | - | - | |||||||||||||||||||||||
Home equity | 29 | - | 125 | - | |||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 42 | $ | - | $ | 242 | $ | - | |||||||||||||||||||
Commercial real estate | 4,026 | - | 2,600 | - | |||||||||||||||||||||||
Commercial real estate - construction | - | - | 54 | - | |||||||||||||||||||||||
Residential mortgage | 25 | - | - | - | |||||||||||||||||||||||
Home equity | 53 | - | 72 | - | |||||||||||||||||||||||
Consumer | - | - | 582 | - | |||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 228 | $ | - | $ | 716 | $ | - | |||||||||||||||||||
Commercial real estate | 9,866 | 123 | 10,325 | - | |||||||||||||||||||||||
Commercial real estate - construction | - | - | 54 | - | |||||||||||||||||||||||
Residential mortgage | 62 | - | - | - | |||||||||||||||||||||||
Home equity | 82 | - | 197 | - | |||||||||||||||||||||||
Consumer | - | - | 582 | - | |||||||||||||||||||||||
Nine Months Ended | |||||||||||||||||||||||||||
30-Sep-13 | 30-Sep-12 | ||||||||||||||||||||||||||
(Dollars in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 188 | $ | - | $ | 479 | $ | - | |||||||||||||||||||
Commercial real estate | 5,949 | 187 | 7,778 | - | |||||||||||||||||||||||
Residential mortgage | 64 | - | - | - | |||||||||||||||||||||||
Home equity | 30 | - | 126 | 4 | |||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 43 | $ | - | $ | 243 | $ | - | |||||||||||||||||||
Commercial real estate | 4,042 | - | 2,618 | - | |||||||||||||||||||||||
Commercial real estate - construction | - | 54 | - | ||||||||||||||||||||||||
Residential mortgage | 25 | - | - | ||||||||||||||||||||||||
Home equity | 54 | - | 72 | - | |||||||||||||||||||||||
Consumer | - | - | 582 | - | |||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 231 | $ | - | $ | 722 | $ | - | |||||||||||||||||||
Commercial real estate | 9,991 | 187 | 10,396 | - | |||||||||||||||||||||||
Commercial real estate - construction | - | - | 54 | - | |||||||||||||||||||||||
Residential mortgage | 89 | - | - | - | |||||||||||||||||||||||
Home equity | 84 | - | 198 | 4 | |||||||||||||||||||||||
Consumer | - | - | 582 | - | |||||||||||||||||||||||
Non-accrual loans by loan portfolio class as of September 30, 2013 and December 31, 2012 are summarized as follows: | |||||||||||||||||||||||||||
(Dollars in thousands) | 30-Sep-13 | 31-Dec-12 | |||||||||||||||||||||||||
Commercial and industrial | $ | 227 | $ | 264 | |||||||||||||||||||||||
Commercial real estate | 9,762 | 10,785 | |||||||||||||||||||||||||
Commercial real estate - construction | - | 54 | |||||||||||||||||||||||||
Residential mortgage | 766 | 537 | |||||||||||||||||||||||||
Home equity | 130 | 191 | |||||||||||||||||||||||||
$ | 10,885 | $ | 11,831 | ||||||||||||||||||||||||
The performance and credit quality of the loan portfolio is also monitored by the analyzing the age of the loans receivable as determined by the length of time a recorded payment is past due. The classes of the loan portfolio summarized by the past due status as of September 30, 2013 and December 31, 2012 are summarized as follows: | |||||||||||||||||||||||||||
(Dollars in thousands) September 30, 2013 | 30-59 Days Past Due | 60-89 Days Past Due | Greater than 90 Days | Total Past Due | Current | Total Loans | Loans Receivable > 90 Days and Accruing | ||||||||||||||||||||
Commercial and industrial | $ | 75 | $ | - | $ | 227 | $ | 302 | $ | 91,939 | $ | 92,241 | $ | - | |||||||||||||
Commercial real estate | 1,610 | 647 | 7,607 | 9,864 | 284,033 | 293,897 | - | ||||||||||||||||||||
Commercial real estate - construction | - | - | - | - | 44,170 | 44,170 | - | ||||||||||||||||||||
Lease financing | - | - | - | - | 1,475 | 1,475 | - | ||||||||||||||||||||
Residential mortgage | 1 | 41 | 746 | 788 | 66,072 | 66,860 | - | ||||||||||||||||||||
Home equity | 73 | - | 101 | 174 | 24,275 | 24,449 | - | ||||||||||||||||||||
Consumer | - | 7 | - | 7 | 5,447 | 5,454 | - | ||||||||||||||||||||
Total | $ | 1,759 | $ | 695 | $ | 8,681 | $ | 11,135 | $ | 517,411 | $ | 528,546 | $ | - | |||||||||||||
(Dollars in thousands) December 31, 2012 | 30-59 Days Past Due | 60-89 Days Past Due | Greater than 90 Days | Total Past Due | Current | Total Loans | Loans Receivable > 90 Days and Accruing | ||||||||||||||||||||
Commercial and industrial | $ | 123 | $ | 361 | $ | 234 | $ | 718 | $ | 77,165 | $ | 77,883 | $ | - | |||||||||||||
Commercial real estate | 1,785 | 5,618 | 8,248 | 15,651 | 269,216 | 284,867 | - | ||||||||||||||||||||
Commercial real estate - construction | - | - | 54 | 54 | 33,177 | 33,231 | - | ||||||||||||||||||||
Lease financing | 1 | - | 1 | 1,304 | 1,305 | - | |||||||||||||||||||||
Residential mortgage | 495 | 35 | 531 | 1,061 | 56,394 | 57,455 | - | ||||||||||||||||||||
Home equity | 96 | - | 147 | 243 | 22,677 | 22,920 | - | ||||||||||||||||||||
Consumer | 1 | 2 | - | 3 | 6,556 | 6,559 | - | ||||||||||||||||||||
Total | $ | 2,501 | $ | 6,016 | $ | 9,214 | $ | 17,731 | $ | 466,489 | $ | 484,220 | $ | - | |||||||||||||
The following tables summarize the allowance for loan and lease losses and recorded investments in loans receivable. | |||||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||
As of, and for the period ended, September 30, 2013 | Commercial and industrial | Commercial real estate | Commercial real estate - construction | Lease financing | Residential mortgage | Home equity | Consumer | Unallocated | Total | ||||||||||||||||||
Allowance for loan and lease losses: | |||||||||||||||||||||||||||
Beginning balance, July 1, 2013 | $ | 1,249 | $ | 3,819 | $ | 36 | $ | 1 | $ | 660 | $ | 409 | $ | 91 | $ | 2 | $ | 6,267 | |||||||||
Charge-offs | -161 | -759 | -17 | - | -41 | -91 | -8 | - | -1,077 | ||||||||||||||||||
Recoveries | 10 | 8 | - | 2 | - | - | 8 | - | 28 | ||||||||||||||||||
Provisions | 56 | 902 | -9 | -2 | -239 | -81 | -7 | -45 | 575 | ||||||||||||||||||
Ending balance, September 30, 2013 | $ | 1,154 | $ | 3,970 | $ | 10 | $ | 1 | $ | 380 | $ | 237 | $ | 84 | $ | -43 | $ | 5,793 | |||||||||
Beginning balance, January 1, 2013 | $ | 1,298 | $ | 3,112 | $ | 64 | $ | 1 | $ | 581 | $ | 343 | $ | 101 | $ | 9 | $ | 5,509 | |||||||||
Charge-offs | -182 | -877 | -17 | - | -167 | -91 | -23 | - | -1,357 | ||||||||||||||||||
Recoveries | 26 | 13 | 8 | 2 | 23 | 5 | 79 | - | 156 | ||||||||||||||||||
Provisions | 12 | 1,722 | -45 | -2 | -57 | -20 | -73 | -52 | 1,485 | ||||||||||||||||||
Ending balance, September 30, 2013 | $ | 1,154 | $ | 3,970 | $ | 10 | $ | 1 | $ | 380 | $ | 237 | $ | 84 | $ | -43 | $ | 5,793 | |||||||||
Ending balance: individually evaluated for impairment | $ | 42 | $ | 1,423 | $ | - | $ | - | $ | 25 | $ | 8 | $ | - | $ | - | $ | 1,498 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 1,112 | $ | 2,547 | $ | 10 | $ | 1 | $ | 355 | $ | 229 | $ | 84 | $ | -43 | $ | 4,295 | |||||||||
Loans receivables: | |||||||||||||||||||||||||||
Ending balance | $ | 92,241 | $ | 293,897 | $ | 44,170 | $ | 1,475 | $ | 66,860 | $ | 24,449 | $ | 5,454 | $ | - | $ | 528,546 | |||||||||
Ending balance: individually evaluated for impairment | $ | 227 | $ | 9,762 | $ | - | $ | - | $ | 41 | $ | 80 | $ | - | $ | - | $ | 10,110 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 92,014 | $ | 284,135 | $ | 44,170 | $ | 1,475 | $ | 66,819 | $ | 24,369 | $ | 5,454 | $ | - | $ | 518,436 | |||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||
As of, and for the period ended, September 30, 2012 | Commercial and industrial | Commercial real estate | Commercial real estate - construction | Lease financing | Residential mortgage | Home equity | Consumer | Unallocated | Total | ||||||||||||||||||
Beginning balance, July 1, 2012 | $ | 1,583 | $ | 3,440 | $ | 27 | $ | 2 | $ | 475 | $ | 341 | $ | 530 | $ | 187 | $ | 6,585 | |||||||||
Charge-offs | -212 | -1 | - | - | - | - | -105 | - | -6 | - | -324 | ||||||||||||||||
Recoveries | 8 | 4 | - | - | - | - | - | 16 | - | 28 | |||||||||||||||||
Provisions | -82 | -62 | 51 | - | 144 | 26 | 109 | -36 | 150 | ||||||||||||||||||
Ending balance, September 30, 2012 | $ | 1,297 | $ | 3,381 | $ | 78 | $ | 2 | $ | 514 | $ | 367 | $ | 649 | $ | 151 | $ | 6,439 | |||||||||
Commercial and industrial | Commercial real estate | Commercial real estate - construction | Lease financing | Residential mortgage | Home equity | Consumer | Unallocated | Total | |||||||||||||||||||
Beginning balance, January 1, 2012 | $ | 2,274 | $ | 3,544 | $ | 23 | $ | 2 | $ | 362 | $ | 337 | $ | 87 | $ | 143 | $ | 6,772 | |||||||||
Charge-offs | -428 | -456 | -5 | - | -174 | - | -12 | - | -1,075 | ||||||||||||||||||
Recoveries | 16 | 9 | 2 | - | - | 9 | 31 | - | 67 | ||||||||||||||||||
Provisions | -565 | 284 | 58 | - | 326 | 21 | 543 | 8 | 675 | ||||||||||||||||||
Ending balance, September 30, 2012 | $ | 1,297 | $ | 3,381 | $ | 78 | $ | 2 | $ | 514 | $ | 367 | $ | 649 | $ | 151 | $ | 6,439 | |||||||||
Ending balance: individually evaluated for impairment | $ | 112 | $ | 1,338 | $ | 54 | $ | - | $ | - | $ | 25 | $ | 578 | $ | - | $ | 2,107 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 1,185 | $ | 2,043 | $ | 24 | $ | 2 | $ | 514 | $ | 342 | $ | 71 | $ | 151 | $ | 4,332 | |||||||||
Loans receivables: | |||||||||||||||||||||||||||
Ending balance | $ | 75,798 | $ | 281,613 | $ | 35,852 | $ | 1,575 | $ | 57,068 | $ | 24,003 | $ | 7,302 | $ | - | $ | 483,211 | |||||||||
Ending balance: individually evaluated for impairment | $ | 421 | $ | 9,822 | $ | 54 | $ | - | $ | - | $ | 101 | $ | 578 | $ | - | $ | 10,976 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 75,377 | $ | 271,791 | $ | 35,798 | $ | 1,575 | $ | 57,068 | $ | 23,902 | $ | 6,724 | $ | - | $ | 472,235 | |||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||
As of December 31, 2012 | Commercial and industrial | Commercial real estate | Commercial real estate - construction | Lease financing | Residential mortgage | Home equity | Consumer | Unallocated | Total | ||||||||||||||||||
Allowance for loan and lease losses: | |||||||||||||||||||||||||||
Ending balance | $ | 1,298 | $ | 3,112 | $ | 64 | $ | 1 | $ | 581 | $ | 343 | $ | 101 | $ | 9 | $ | 5,509 | |||||||||
Ending balance: individually evaluated for impairment | $ | 111 | $ | 1,200 | $ | 54 | $ | - | $ | - | $ | 18 | $ | - | $ | - | $ | 1,383 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 1,187 | $ | 1,912 | $ | 10 | $ | 1 | $ | 581 | $ | 325 | $ | 101 | $ | 9 | $ | 4,126 | |||||||||
Loans receivables: | |||||||||||||||||||||||||||
Ending balance | $ | 77,883 | $ | 284,867 | $ | 33,231 | $ | 1,305 | $ | 57,455 | $ | 22,920 | $ | 6,559 | $ | - | $ | 484,220 | |||||||||
Ending balance: individually evaluated for impairment | $ | 415 | $ | 9,084 | $ | 54 | $ | - | $ | - | $ | 191 | $ | - | $ | - | $ | 9,744 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 77,468 | $ | 275,783 | $ | 33,177 | $ | 1,305 | $ | 57,455 | $ | 22,729 | $ | 6,559 | $ | - | $ | 474,476 | |||||||||
The recorded investments in troubled debt restructured loans at September 30, 2013 and December 31, 2012 are as follows: | |||||||||||||||||||||||||||
(Dollars in thousands) September 30, 2013 | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Recorded Investment | ||||||||||||||||||||||||
Commercial and industrial | $ | 40 | $ | 35 | $ | 29 | |||||||||||||||||||||
Commercial real estate | 13,346 | 9,336 | 8,268 | ||||||||||||||||||||||||
Residential mortgage | 423 | 417 | 270 | ||||||||||||||||||||||||
$ | 13,809 | $ | 9,788 | $ | 8,567 | ||||||||||||||||||||||
(Dollars in thousands) December 31, 2012 | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Recorded Investment | ||||||||||||||||||||||||
Commercial and industrial | $ | 40 | $ | 35 | $ | 30 | |||||||||||||||||||||
Commercial real estate | 7,326 | 3,748 | 2,916 | ||||||||||||||||||||||||
Residential mortgage | 558 | 552 | 448 | ||||||||||||||||||||||||
$ | 7,924 | $ | 4,335 | $ | 3,394 | ||||||||||||||||||||||
Mid Penn entered into forbearance agreements on all loans currently classified as troubled debt restructures and all of these agreements have resulted in additional principal repayment. The terms of these forbearance agreements vary whereby principal payments have been decreased, interest rates have been reduced and/or the loan will be repaid as collateral is sold. | |||||||||||||||||||||||||||
Mid Penn’s troubled debt restructured loans at September 30, 2013 totaled $8,567,000, of which, $857,000 represented five accruing loans to unrelated borrowers. One is a large commercial real estate loan for $620,000, while the remaining four loans are residential mortgages, all in compliance with the terms of the modification. The remaining $7,710,000, representing 13 loans, are nonaccrual impaired loans, and resulted in a collateral evaluation in accordance with the guidance on impaired loans. Of these 13 loans, one business relationship accounted for five loans totaling $610,000, a large commercial participation totaling $1,519,000 accounted for three loans, and the remaining five loans to unrelated borrowers totaled $5,581,000. Included in the $5,581,000 are two large commercial real estate loans with balances of $3,240,000 and $1,642,000. | |||||||||||||||||||||||||||
At December 31, 2012, troubled debt restructured loans totaled $3,394,000, of which, $426,000, representing seven loans to unrelated borrowers, are accruing residential mortgages in compliance with the terms of the modification. The remaining $2,968,000, representing 10 loans, are nonaccrual impaired loans, and resulted in a collateral evaluation in accordance with the guidance on impaired loans. Of these 10 loans, one business relationship accounted for five loans totaling $634,000, a large commercial participation totaling $1,663,000 accounted for three loans, and the remaining two unrelated loans totaled $671,000. | |||||||||||||||||||||||||||
As a result of the evaluations at September 30, 2013 and December 31, 2012, a specific allocation and, subsequently, charge-offs have been taken as appropriate. As of September 30, 2013 and December 31, 2012, charge-offs associated with troubled debt restructured loans while under forbearance agreement totaled $0 and there were no defaulted troubled debt restructured loans as all troubled debt restructured loans were current with respect to their associated forbearance agreements. As of September 30, 2013, one forbearance agreement was negotiated during 2008, 11 forbearance agreements were negotiated during 2009, one forbearance agreement was negotiated in 2010, and five forbearance agreements were negotiated in 2013. Two loans with forbearance agreements from 2010 paid off during the quarter ended September 30, 2013. | |||||||||||||||||||||||||||
There were no new loans modified during the three months ended September 30, 2013 that resulted in troubled debt restructurings. The following table summarizes loans whose terms have been modified resulting in troubled debt restructurings during the nine months ended September 30, 2013: | |||||||||||||||||||||||||||
Nine Months Ended, September 30, 2013 | |||||||||||||||||||||||||||
(Dollars in thousands) | Number of Contracts | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Recorded Investment | |||||||||||||||||||||||
Commercial real estate | 3 | $ | 6,091 | $ | 5,588 | $ | 5,588 | ||||||||||||||||||||
Residential mortgage | 2 | 74 | 74 | 74 | |||||||||||||||||||||||
5 | $ | 6,165 | $ | 5,662 | $ | 5,662 | |||||||||||||||||||||
Fair_Value_Measurement
Fair Value Measurement | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Fair Value Measurement [Abstract] | ' | |||||||||||||||
Fair Value Measurement | ' | |||||||||||||||
(4) Fair Value Measurement | ||||||||||||||||
Fair value measurement and disclosure guidance defines fair value as the price that would be received to sell the asset or transfer the liability in an orderly transaction (that is, not a forced liquidation or distressed sale) between market participants at the measurement date under current market conditions. This guidance provides additional information on determining when the volume and level of activity for the asset or liability has significantly decreased. The guidance also includes information on identifying circumstances when a transaction may not be considered orderly. | ||||||||||||||||
Fair value measurement and disclosure guidance provides a list of factors that a reporting entity should evaluate to determine whether there has been a significant decrease in the volume and level of activity for the asset or liability in relation to normal market activity for the asset or liability. When the reporting entity concludes there has been a significant decrease in the volume and level of activity for the asset or liability, further analysis of the information from that market is needed and significant adjustments to the related prices may be necessary to estimate fair value in accordance with the fair value measurement and disclosure guidance. | ||||||||||||||||
This guidance clarifies that when there has been a significant decrease in the volume and level of activity for the asset or liability, some transactions may not be orderly. In those situations, the entity must evaluate the weight of the evidence to determine whether the transaction is orderly. The guidance provides a list of circumstances that may indicate that a transaction is not orderly. A transaction price that is not associated with an orderly transaction is given little, if any, weight when estimating fair value. | ||||||||||||||||
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Inputs to valuation techniques refer to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable, meaning those that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources, or unobservable, meaning those that reflect the reporting entity’s own belief about the assumptions market participants would use in pricing the asset or liability based upon the best information available in the circumstances. Fair value measurement and disclosure guidance establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: | ||||||||||||||||
Level 1 Inputs - Unadjusted quoted prices in active markets that are accessible at the measurement date for | ||||||||||||||||
identical, unrestricted assets or liabilities; | ||||||||||||||||
Level 2 Inputs - 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 Inputs - Prices or valuation techniques that require inputs that are both significant to the fair value | ||||||||||||||||
measurement and unobservable (i.e., supported by little or no market activity). | ||||||||||||||||
A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. | ||||||||||||||||
There were no transfers of assets between fair value Level 1 and Level 2 for the nine months ended September 30, 2013. The following table illustrates the assets measured at fair value on a recurring basis segregated by hierarchy fair value levels. | ||||||||||||||||
(Dollars in thousands) | Fair value measurements at September 30, 2013 using: | |||||||||||||||
Total carrying value at | Quoted prices in active markets | Significant other observable inputs | Significant unobservable inputs | |||||||||||||
Assets: | 30-Sep-13 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
U.S. Treasury and U.S. government agencies | $ | 12,914 | $ | - | $ | 12,914 | $ | - | ||||||||
Mortgage-backed U.S. government agencies | 42,373 | - | 42,373 | - | ||||||||||||
State and political subdivision obligations | 62,939 | - | 62,939 | - | ||||||||||||
Equity securities | 1,544 | 524 | 1,020 | - | ||||||||||||
$ | 119,770 | $ | 524 | $ | 119,246 | $ | - | |||||||||
(Dollars in thousands) | Fair value measurements at December 31, 2012 using: | |||||||||||||||
Total carrying value at | Quoted prices in active markets | Significant other observable inputs | Significant unobservable inputs | |||||||||||||
Assets: | 31-Dec-12 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
U.S. Treasury and U.S. government agencies | $ | 17,740 | $ | - | $ | 17,740 | $ | - | ||||||||
Mortgage-backed U.S. government agencies | 66,686 | - | 66,686 | - | ||||||||||||
State and political subdivision obligations | 69,479 | - | 69,479 | - | ||||||||||||
Equity securities | 390 | 390 | - | - | ||||||||||||
$ | 154,295 | $ | 390 | $ | 153,905 | $ | - | |||||||||
Certain financial assets and financial liabilities are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis, but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). | ||||||||||||||||
The following tables illustrate the assets measured at fair value on a nonrecurring basis segregated by hierarchy fair value levels. | ||||||||||||||||
(Dollars in thousands) | Fair value measurements at September 30, 2013 using: | |||||||||||||||
Total carrying value at | Quoted prices in active markets | Significant other observable inputs | Significant unobservable inputs | |||||||||||||
Assets: | 30-Sep-13 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Impaired Loans | $ | 3,948 | $ | - | $ | - | $ | 3,948 | ||||||||
Foreclosed Assets Held for Sale | 441 | - | - | 441 | ||||||||||||
(Dollars in thousands) | Fair value measurements at December 31, 2012 using: | |||||||||||||||
Total carrying value at | Quoted prices in active markets | Significant other observable inputs | Significant unobservable inputs | |||||||||||||
Assets: | 31-Dec-12 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Impaired Loans | $ | 3,075 | $ | - | $ | - | $ | 3,075 | ||||||||
Foreclosed Assets Held for Sale | 105 | - | - | 105 | ||||||||||||
The following tables present additional quantitative information about assets measured at fair value on a nonrecurring basis and for which Mid Penn has utilized Level 3 inputs to determine the fair value as of September 30, 2013 and December 31, 2012. | ||||||||||||||||
(Dollars in thousands) | Quantitative Information about Level 3 Fair Value Measurements | |||||||||||||||
30-Sep-13 | Fair Value Estimate | Valuation Technique | Unobservable Input | Range Weighted Average | ||||||||||||
Impaired Loans | $ | 3,948 | Appraisal of collateral (1) | Appraisal adjustments (2) | 10% - 95% (28%) | |||||||||||
Foreclosed Assets Held for Sale | $ | 441 | Appraisal of collateral (1), (3) | Appraisal adjustments (2) | 15% - 40% (24%) | |||||||||||
(Dollars in thousands) | Quantitative Information about Level 3 Fair Value Measurements | |||||||||||||||
31-Dec-12 | Fair Value Estimate | Valuation Technique | Unobservable Input | Range Weighted Average | ||||||||||||
Impaired Loans | $ | 3,075 | Appraisal of collateral (1) | Appraisal adjustments (2) | 10% - 95% (28%) | |||||||||||
Foreclosed Assets Held for Sale | $ | 105 | Appraisal of collateral (1), (3) | Appraisal adjustments (2) | 15% - 40% (24%) | |||||||||||
-1 | Fair value is generally determined through independent appraisals of the underlying collateral, which generally includes various level 3 inputs which are not identifiable. | |||||||||||||||
-2 | Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. | |||||||||||||||
-3 | Includes qualitative adjustments by management and estimated liquidation expenses. | |||||||||||||||
The following methodologies and assumptions were used to estimate the fair value of Mid Penn’s financial instruments: | ||||||||||||||||
Cash and Cash Equivalents: | ||||||||||||||||
The carrying value of cash and cash equivalents is considered to be a reasonable estimate of fair value. | ||||||||||||||||
Interest-bearing Balances with other Financial Institutions: | ||||||||||||||||
The estimate of fair value was determined by comparing the present value of quoted interest rates on like deposits with the weighted average yield and weighted average maturity of the balances. | ||||||||||||||||
Securities Available for Sale: | ||||||||||||||||
The fair value of securities classified as available for sale is determined by obtaining quoted market prices on nationally recognized securities exchanges (Level 1), or matrix pricing (level 2), which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted market prices for the specific securities but rather relying on the securities’ relationship to other benchmark quoted prices. | ||||||||||||||||
Impaired Loans: | ||||||||||||||||
Mid Penn’s rating system assumes any loans classified as sub-standard non-accrual to be impaired, and all of these loans are considered collateral dependent; therefore, all of Mid Penn’s impaired loans, whether reporting a specific allocation or not, are considered collateral dependent. | ||||||||||||||||
It is Mid Penn’s policy to obtain updated third party valuations on all impaired loans collateralized by real estate within 30 days of the credit being classified as sub-standard non-accrual. Prior to receipt of the updated real estate valuation Mid Penn will use any existing real estate valuation to determine any potential allowance issues; however no allowance recommendation will be made until which time Mid Penn is in receipt of the updated valuation. | ||||||||||||||||
In some instances Mid Penn is not holding real estate as collateral and is relying on business assets (personal property) for repayment. In these circumstances a collateral inspection is performed by Mid Penn personnel to determine an estimated value. The value is based on net book value, as provided by the financial statements, and discounted accordingly based on determinations made by management. Occasionally, Mid Penn will employ an outside service to provide a fair estimate of value based on auction sales or private sales. Management reviews the estimates of these third parties and discounts them accordingly based on management’s judgment, if deemed necessary. Mid Penn considers the estimates used in its impairment analysis to be Level 3 inputs. | ||||||||||||||||
Mid Penn actively monitors the values of collateral on impaired loans. This monitoring may require the modification of collateral values over time or changing circumstances by some factor, either positive or negative, from the original values. All collateral values will be assessed by management at least every 18 months for possible revaluation by an independent third party. | ||||||||||||||||
Mid Penn does not currently, or plan to in the future, use automated valuation methodologies as a method of valuing real estate collateral. | ||||||||||||||||
Loans: | ||||||||||||||||
For variable-rate loans that reprice frequently and which entail no significant changes in credit risk, carrying values approximated fair value. The fair value of other loans are estimated by calculating the present value of the cash flow difference between the current rate and the market rate, for the average maturity, discounted quarterly at the market rate. | ||||||||||||||||
Foreclosed Assets Held for Sale: | ||||||||||||||||
Assets included in foreclosed assets held for sale are carried at fair value and accordingly is presented as measured on a non-recurring basis. Values are estimated using Level 3 inputs, based on appraisals that consider the sales prices of property in the proximate vicinity. | ||||||||||||||||
Accrued Interest Receivable and Payable: | ||||||||||||||||
The carrying amount of accrued interest receivable and payable approximates their fair values. | ||||||||||||||||
Restricted Investment in Bank Stocks: | ||||||||||||||||
The carrying amount of required and restricted investment in correspondent bank stock approximates fair value, and considers the limited marketability of such securities. | ||||||||||||||||
Mortgage Servicing Rights: | ||||||||||||||||
The fair value of servicing rights is based on the present value of estimated future cash flows on pools of mortgages stratified by rate and maturity date. | ||||||||||||||||
Deposits: | ||||||||||||||||
The fair value for demand deposits (e.g., interest and noninterest checking, savings, and money market deposit accounts) is by definition, equal to the amount payable on demand at the reporting date (i.e. their carrying amounts). Fair value for fixed-rate certificates of deposit was estimated using a discounted cash flow calculation by combining all fixed-rate certificates into a pool with a weighted average yield and a weighted average maturity for the pool and comparing the pool with interest rates currently being offered on a similar maturity. | ||||||||||||||||
Short-term Debt: | ||||||||||||||||
Because of time to maturity, the estimated fair value of short-term borrowings approximates the book value. | ||||||||||||||||
Long-term Debt: | ||||||||||||||||
The estimated fair values of long-term debt were determined using discounted cash flow analysis, based on currently available borrowing rates for similar types of borrowing arrangements. | ||||||||||||||||
Commitments to Extend Credit and Letters of Credit: | ||||||||||||||||
The fair value of commitments to extend credit is estimated using the fees currently charged to enter into similar agreements, taking into account market interest rates, the remaining terms and present credit worthiness of the counterparties. The fair value of guarantees and letters of credit is based on fees currently charged for similar agreements. | ||||||||||||||||
The following table summarizes the carrying value and fair value of financial instruments at September 30, 2013 and December 31, 2012. | ||||||||||||||||
(Dollars in thousands) | 30-Sep-13 | 31-Dec-12 | ||||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||||
Value | Value | Value | Value | |||||||||||||
Financial assets: | ||||||||||||||||
Cash and cash equivalents | $ | 13,217 | $ | 13,217 | $ | 15,473 | $ | 15,473 | ||||||||
Interest-bearing time balances with other financial institutions | 7,861 | 7,861 | 23,563 | 23,563 | ||||||||||||
Investment securities | 119,770 | 119,770 | 154,295 | 154,295 | ||||||||||||
Net loans and leases | 522,753 | 531,068 | 478,711 | 495,181 | ||||||||||||
Restricted investment in bank stocks | 1,895 | 1,895 | 2,503 | 2,503 | ||||||||||||
Accrued interest receivable | 2,684 | 2,684 | 2,893 | 2,893 | ||||||||||||
Mortgage servicing rights | 157 | 157 | 233 | 233 | ||||||||||||
Financial liabilities: | ||||||||||||||||
Deposits | $ | 620,854 | $ | 623,309 | $ | 625,461 | $ | 629,096 | ||||||||
Short-term borrowings | 9,245 | 9,245 | - | - | ||||||||||||
Long-term debt | 8,190 | 8,757 | 22,510 | 23,240 | ||||||||||||
Accrued interest payable | 803 | 803 | 620 | 620 | ||||||||||||
Off-balance sheet financial instruments: | ||||||||||||||||
Commitments to extend credit | $ | - | $ | - | $ | - | $ | - | ||||||||
Financial standby letters of credit | - | - | - | - | ||||||||||||
The following presents the carrying amount, fair value, and placement in the fair value hierarchy of Mid Penn’s financial instruments as of September 30, 2013 and December 31, 2012. Carrying values approximate fair values for cash and cash equivalents, interest-bearing time balances with other financial institutions, restricted investment in bank stocks, mortgage servicing rights, short-term borrowings, and accrued interest receivable and payable. Other than cash and cash equivalents, which are considered Level 1 Inputs, these instruments are Level 2 Inputs. These tables exclude financial instruments for which the carrying amount approximates fair value. | ||||||||||||||||
Fair Value Measurements | ||||||||||||||||
Quoted Prices | ||||||||||||||||
in Active Markets | Significant | |||||||||||||||
(Dollars in thousands) | for Identical Assets | Significant Other | Unobservable | |||||||||||||
Carrying | or Liabilities | Observable Inputs | Inputs | |||||||||||||
30-Sep-13 | Amount | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||
Financial instruments - assets | ||||||||||||||||
Net loans and leases | $ | 522,753 | $ | 531,068 | $ | - | $ | - | $ | 531,068 | ||||||
Financial instruments - liabilities | ||||||||||||||||
Deposits | $ | 620,854 | $ | 623,309 | $ | - | $ | 623,309 | $ | - | ||||||
Long-term debt | 8,190 | 8,757 | - | 8,757 | - | |||||||||||
Fair Value Measurements | ||||||||||||||||
Quoted Prices | ||||||||||||||||
in Active Markets | Significant | |||||||||||||||
(Dollars in thousands) | for Identical Assets | Significant Other | Unobservable | |||||||||||||
Carrying | or Liabilities | Observable Inputs | Inputs | |||||||||||||
31-Dec-12 | Amount | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||
Financial instruments - assets | ||||||||||||||||
Net loans and leases | $ | 478,711 | $ | 495,181 | $ | - | $ | - | $ | 495,181 | ||||||
Financial instruments - liabilities | ||||||||||||||||
Deposits | $ | 625,461 | $ | 629,096 | $ | - | $ | 629,096 | $ | - | ||||||
Long-term debt | 22,510 | 23,240 | - | 23,240 | - | |||||||||||
Guarantees
Guarantees | 9 Months Ended |
Sep. 30, 2013 | |
Guarantees [Abstract] | ' |
Guarantees | ' |
(5) Guarantees | |
In the normal course of business, Mid Penn makes various commitments and incurs certain contingent liabilities, which are not reflected in the accompanying consolidated financial statements. The commitments include various guarantees and commitments to extend credit. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Mid Penn evaluates each customer’s credit-worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary upon extension of credit, is based on management’s credit evaluation of the customer. Standby letters of credit and financial guarantees written are conditional commitments to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. Mid Penn had $8,672,000 and $10,417,000 standby letters of credit outstanding as of September 30, 2013 and December 31, 2012, respectively. Mid Penn does not anticipate any losses because of these transactions. The current amount of the liability as of September 30, 2013 for payment under standby letters of credit issued was not material. | |
Defined_Benefit_Plans
Defined Benefit Plans | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Defined Benefit Plans [Abstract] | ' | |||||||||||
Defined Benefit Plans | ' | |||||||||||
(6) Defined Benefit Plans | ||||||||||||
Mid Penn has an unfunded noncontributory defined benefit retirement plan for directors. The plan provides defined benefits based on years of service. In addition, Mid Penn sponsors a defined benefit health care plan that provides post-retirement medical benefits and life insurance to qualifying full-time employees. These health care and life insurance plans are noncontributory. A December 31 measurement date for our plans is used. | ||||||||||||
The components of net periodic benefit costs from these benefit plans are as follows: | ||||||||||||
Three Months Ended September 30, | ||||||||||||
(Dollars in thousands) | Pension Benefits | Other Benefits | ||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Service cost | $ | 8 | $ | 5 | $ | 4 | $ | 5 | ||||
Interest cost | 11 | 11 | 9 | 9 | ||||||||
Amortization of prior service cost | 5 | 6 | - | 1 | ||||||||
Net periodic benefit cost | $ | 24 | $ | 22 | $ | 13 | $ | 15 | ||||
Nine Months Ended September 30, | ||||||||||||
(Dollars in thousands) | Pension Benefits | Other Benefits | ||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Service cost | $ | 24 | $ | 16 | $ | 13 | $ | 15 | ||||
Interest cost | 33 | 34 | 26 | 27 | ||||||||
Amortization of prior service cost | 16 | 17 | 1 | 2 | ||||||||
Net periodic benefit cost | $ | 73 | $ | 67 | $ | 40 | $ | 44 | ||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Accumulated Other Comprehensive Income [Abstract] | ' | ||||||||
Accumulated Other Comprehensive Income | ' | ||||||||
(7) Accumulated Other Comprehensive (Loss) Income | |||||||||
The components of accumulated other comprehensive (loss) income, net of taxes, are as follows: | |||||||||
(Dollars in thousands) | Unrealized (Loss) Gain on Securities | Defined Benefit Plan Liability | Accumulated Other Comprehensive (Loss) Income | ||||||
Balance - September 30, 2013 | $ | -303 | $ | -130 | $ | -433 | |||
Balance - December 31, 2012 | $ | 2,433 | $ | -140 | $ | 2,293 | |||
Preferred_Stock
Preferred Stock | 9 Months Ended |
Sep. 30, 2013 | |
Preferred Stock [Abstract] | ' |
Preferred Stock | ' |
(8) Preferred Stock | |
On December 19, 2008, Mid Penn entered into and closed a letter agreement with the United States Department of the Treasury (the “Treasury”) pursuant to which the Treasury invested $10,000,000 in the Mid Penn Bank under the Treasury’s Capital Purchase Program (the “CPP”). Under the letter agreement, the Treasury received (1) 10,000 shares of Series A Fixed Rate Cumulative Perpetual Preferred Stock, $1,000 liquidation preference (“Series A Preferred Stock”), and (2) warrants to purchase up to 73,099 shares of Mid Penn common stock at an exercise price of $20.52 per share (the “Warrants”). | |
On December 28, 2012, Mid Penn entered into a letter agreement with the Treasury pursuant to which Mid Penn repurchased from the Treasury all 10,000 shares of the Series A Preferred Stock issued to the Treasury which constitutes all of the issued and outstanding shares of Series A Preferred Stock. Mid Penn repurchased the Series A Preferred Stock for a purchase price equal to the aggregate liquidation amount of the Preferred Stock of $10,000,000, plus accrued but unpaid dividends of $59,722. All 10,000 shares of Series A Preferred Stock have subsequently been cancelled. | |
On January 23, 2013, Mid Penn entered into a letter agreement with the Treasury pursuant to which Mid Penn repurchased from the Treasury on that date the Warrants for $58,479. The Warrants have subsequently been cancelled. | |
As of the date hereof, Mid Penn has no further financial obligations under the Series A Preferred Stock, the Warrants or the Treasury’s CPP. | |
Stock_Issued_Under_Private_Pla
Stock Issued Under Private Placement Offering | 9 Months Ended | |||||
Sep. 30, 2013 | ||||||
Stock Issued Under Private Placement Offering | ' | |||||
(8) Preferred Stock | ||||||
On December 19, 2008, Mid Penn entered into and closed a letter agreement with the United States Department of the Treasury (the “Treasury”) pursuant to which the Treasury invested $10,000,000 in the Mid Penn Bank under the Treasury’s Capital Purchase Program (the “CPP”). Under the letter agreement, the Treasury received (1) 10,000 shares of Series A Fixed Rate Cumulative Perpetual Preferred Stock, $1,000 liquidation preference (“Series A Preferred Stock”), and (2) warrants to purchase up to 73,099 shares of Mid Penn common stock at an exercise price of $20.52 per share (the “Warrants”). | ||||||
On December 28, 2012, Mid Penn entered into a letter agreement with the Treasury pursuant to which Mid Penn repurchased from the Treasury all 10,000 shares of the Series A Preferred Stock issued to the Treasury which constitutes all of the issued and outstanding shares of Series A Preferred Stock. Mid Penn repurchased the Series A Preferred Stock for a purchase price equal to the aggregate liquidation amount of the Preferred Stock of $10,000,000, plus accrued but unpaid dividends of $59,722. All 10,000 shares of Series A Preferred Stock have subsequently been cancelled. | ||||||
On January 23, 2013, Mid Penn entered into a letter agreement with the Treasury pursuant to which Mid Penn repurchased from the Treasury on that date the Warrants for $58,479. The Warrants have subsequently been cancelled. | ||||||
As of the date hereof, Mid Penn has no further financial obligations under the Series A Preferred Stock, the Warrants or the Treasury’s CPP. | ||||||
Preferred Class B [Member] | ' | |||||
Stock Issued Under Private Placement Offering | ' | |||||
(9) Stock Issued Under Private Placement Offering | ||||||
On September 26, 2012, Mid Penn filed with the Pennsylvania Department of State a Statement with Respect to Shares which, effective upon filing, designated a series of preferred stock as “7% Non-Cumulative Non-Voting Non-Convertible Perpetual Preferred Stock, Series B” (“Series B Preferred Stock”), and set forth the voting and other powers, designations, preferences and relative, participating, optional or other rights, and the qualifications, limitations or restrictions of the Series B Preferred Stock. | ||||||
Sales of Preferred Stock | ||||||
Mid Penn sold shares of its Series B Preferred Stock, in transactions exempt from registration under the Securities Act of 1933, pursuant to Section 4(a)(2) thereof. | ||||||
Between September 26, 2012 and December 31, 2012, Mid Penn sold 4,880 shares of its Series B Preferred Stock for total gross proceeds of $4,880,000, which have been offset by issuance costs of $50,000. On January 3, 2013, 120 additional shares were sold resulting in total gross proceeds of $5,000,000 for the Series B Preferred Stock offering. | ||||||
The following table summarizes the Series B Preferred Stock shares sold and the gross proceeds received through the private placement offering as of September 30, 2013: | ||||||
(Dollars in thousands) | ||||||
Period | Shares | Gross Proceeds | ||||
September 26, 2012 - September 30, 2012 | 345 | $ | 345,000 | |||
October 1, 2012 - December 31, 2012 | 4,535 | 4,535,000 | ||||
January 1, 2013 - September 30, 2013 | 120 | 120,000 | ||||
Total | 5,000 | $ | 5,000,000 | |||
Terms of the Series B Preferred Stock | ||||||
The annual dividend rate for the Series B Preferred Stock is 7% per annum of the liquidation preference of the Series B Preferred Stock or $70.00 per annum for each share of Series B Preferred Stock. The Board of Directors must approve each dividend payment from legally available funds. Dividends are payable to holders of record of the Series B Preferred Stock as they appear on our books on the record dates fixed by our Board of Directors. Dividends on any of Series B Preferred Stock are non-cumulative and we currently expect them to be declared quarterly for payment on February 15, May 15, August 15, and November 15 of each year. If a dividend payment date is not a business day, the dividend will be paid on the immediately preceding business day but no additional dividend payment will be prorated from the date of purchase to the first dividend payment date over a quarterly dividend period of 90 days. | ||||||
Mid Penn may redeem shares of its Series B Preferred Stock at its option, in whole or in part, at any time subject to prior approval of the Federal Reserve Board, if then required, at a redemption price of $1,020 per share of Series B Preferred Stock plus an amount equal to any declared but unpaid dividends and in accordance with the terms and conditions set forth in a Certificate of Designations for the Series B Preferred Stock as filed with the Pennsylvania Department of State. | ||||||
Earnings_Per_Common_Share
Earnings Per Common Share | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Earnings per Common Share [Abstract] | ' | |||||||||||
Earnings per Common Share | ' | |||||||||||
(10)Earnings per Common Share | ||||||||||||
Earnings per share are computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during each of the years presented. The following data show the amounts used in computing basic and diluted earnings per share. As shown in the table that follows, diluted earnings per share is computed using weighted average common shares outstanding, plus weighted average common shares available from the exercise of all dilutive stock warrants issued to the U.S. Treasury under the provisions of the Capital Purchase Program, based on the average share price of Mid Penn’s common stock during the period. | ||||||||||||
The computations of basic earnings per common share follow: | ||||||||||||
(Dollars in thousands, except per share data) | Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Net Income | $ | 1,488 | $ | 1,266 | $ | 3,539 | $ | 3,760 | ||||
Less: Dividends on Series A preferred stock | - | -125 | - | -375 | ||||||||
Accretion of Series A preferred stock discount | - | -3 | -14 | -10 | ||||||||
Dividends on Series B preferred stock | -88 | - | -222 | - | ||||||||
Net income available to common shareholders | $ | 1,400 | $ | 1,138 | $ | 3,303 | $ | 3,375 | ||||
Weighted average common shares outstanding | 3,492,228 | 3,487,176 | 3,491,651 | 3,485,865 | ||||||||
Basic earnings per common share | $ | 0.40 | $ | 0.33 | $ | 0.95 | $ | 0.97 | ||||
The computations of diluted earnings per common share follow: | ||||||||||||
(Dollars in thousands, except per share data) | Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Net income available to common stockholders | $ | 1,400 | $ | 1,138 | $ | 3,303 | $ | 3,375 | ||||
Weighted average number of common shares outstanding | 3,492,228 | 3,487,176 | 3,491,651 | 3,485,865 | ||||||||
Dilutive effect of potential common stock arising from stock warrants: | ||||||||||||
Exercise of outstanding stock warrants issued to U.S. Treasury | ||||||||||||
under the Capital Repurchase Program | - | - | - | - | ||||||||
Adjusted weighted-average common shares outstanding | 3,492,228 | 3,487,176 | 3,491,651 | 3,485,865 | ||||||||
Diluted earnings per common share | $ | 0.40 | $ | 0.33 | $ | 0.95 | $ | 0.97 | ||||
As of September 30, 2013, Mid Penn no longer had any warrants outstanding. As of September 30, 2012, Mid Penn had 73,099 warrants outstanding that were anti-dilutive because the fair value of the common stock was below the $20.52 exercise price of these warrants. | ||||||||||||
Recent_Accounting_Pronouncemen
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2013 | |
Recent Accounting Pronouncements [Abstract] | ' |
Recent Accounting Pronouncements | ' |
(11) Recent Accounting Pronouncements | |
There were no new accounting pronouncements affecting Mid Penn during the period that were not already incorporated into the disclosures. | |
Fair_Value_Measurements_Policy
Fair Value Measurements (Policy) | 9 Months Ended |
Sep. 30, 2013 | |
Fair Value Measurements [Abstract] | ' |
Fair Value Measurement [Policy Text Block] | ' |
The following methodologies and assumptions were used to estimate the fair value of Mid Penn’s financial instruments: | |
Cash and Cash Equivalents: | |
The carrying value of cash and cash equivalents is considered to be a reasonable estimate of fair value. | |
Interest-bearing Balances with other Financial Institutions: | |
The estimate of fair value was determined by comparing the present value of quoted interest rates on like deposits with the weighted average yield and weighted average maturity of the balances. | |
Securities Available for Sale: | |
The fair value of securities classified as available for sale is determined by obtaining quoted market prices on nationally recognized securities exchanges (Level 1), or matrix pricing (level 2), which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted market prices for the specific securities but rather relying on the securities’ relationship to other benchmark quoted prices. | |
Impaired Loans: | |
Mid Penn’s rating system assumes any loans classified as sub-standard non-accrual to be impaired, and all of these loans are considered collateral dependent; therefore, all of Mid Penn’s impaired loans, whether reporting a specific allocation or not, are considered collateral dependent. | |
It is Mid Penn’s policy to obtain updated third party valuations on all impaired loans collateralized by real estate within 30 days of the credit being classified as sub-standard non-accrual. Prior to receipt of the updated real estate valuation Mid Penn will use any existing real estate valuation to determine any potential allowance issues; however no allowance recommendation will be made until which time Mid Penn is in receipt of the updated valuation. | |
In some instances Mid Penn is not holding real estate as collateral and is relying on business assets (personal property) for repayment. In these circumstances a collateral inspection is performed by Mid Penn personnel to determine an estimated value. The value is based on net book value, as provided by the financial statements, and discounted accordingly based on determinations made by management. Occasionally, Mid Penn will employ an outside service to provide a fair estimate of value based on auction sales or private sales. Management reviews the estimates of these third parties and discounts them accordingly based on management’s judgment, if deemed necessary. Mid Penn considers the estimates used in its impairment analysis to be Level 3 inputs. | |
Mid Penn actively monitors the values of collateral on impaired loans. This monitoring may require the modification of collateral values over time or changing circumstances by some factor, either positive or negative, from the original values. All collateral values will be assessed by management at least every 18 months for possible revaluation by an independent third party. | |
Mid Penn does not currently, or plan to in the future, use automated valuation methodologies as a method of valuing real estate collateral. | |
Loans: | |
For variable-rate loans that reprice frequently and which entail no significant changes in credit risk, carrying values approximated fair value. The fair value of other loans are estimated by calculating the present value of the cash flow difference between the current rate and the market rate, for the average maturity, discounted quarterly at the market rate. | |
Foreclosed Assets Held for Sale: | |
Assets included in foreclosed assets held for sale are carried at fair value and accordingly is presented as measured on a non-recurring basis. Values are estimated using Level 3 inputs, based on appraisals that consider the sales prices of property in the proximate vicinity. | |
Accrued Interest Receivable and Payable: | |
The carrying amount of accrued interest receivable and payable approximates their fair values. | |
Restricted Investment in Bank Stocks: | |
The carrying amount of required and restricted investment in correspondent bank stock approximates fair value, and considers the limited marketability of such securities. | |
Mortgage Servicing Rights: | |
The fair value of servicing rights is based on the present value of estimated future cash flows on pools of mortgages stratified by rate and maturity date. | |
Deposits: | |
The fair value for demand deposits (e.g., interest and noninterest checking, savings, and money market deposit accounts) is by definition, equal to the amount payable on demand at the reporting date (i.e. their carrying amounts). Fair value for fixed-rate certificates of deposit was estimated using a discounted cash flow calculation by combining all fixed-rate certificates into a pool with a weighted average yield and a weighted average maturity for the pool and comparing the pool with interest rates currently being offered on a similar maturity. | |
Short-term Debt: | |
Because of time to maturity, the estimated fair value of short-term borrowings approximates the book value. | |
Long-term Debt: | |
The estimated fair values of long-term debt were determined using discounted cash flow analysis, based on currently available borrowing rates for similar types of borrowing arrangements. | |
Commitments to Extend Credit and Letters of Credit: | |
The fair value of commitments to extend credit is estimated using the fees currently charged to enter into similar agreements, taking into account market interest rates, the remaining terms and present credit worthiness of the counterparties. The fair value of guarantees and letters of credit is based on fees currently charged for similar agreements. | |
Investment_Securities_Tables
Investment Securities (Tables) | 9 Months Ended | |||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||
Investment Securities [Abstract] | ' | |||||||||||||||||
Unrealized Gain (Loss) on Investments [Table Text Block] | ' | |||||||||||||||||
(Dollars in thousands) | Amortized | Unrealized | Unrealized | Fair | ||||||||||||||
Cost | Gains | Losses | Value | |||||||||||||||
30-Sep-13 | ||||||||||||||||||
Available for sale securities: | ||||||||||||||||||
U.S. Treasury and U.S. government agencies | $ | 12,149 | $ | 765 | $ | - | $ | 12,914 | ||||||||||
Mortgage-backed U.S. government agencies | 42,458 | 377 | 462 | 42,373 | ||||||||||||||
State and political subdivision obligations | 64,072 | 864 | 1,997 | 62,939 | ||||||||||||||
Equity securities | 1,550 | 20 | 26 | 1,544 | ||||||||||||||
$ | 120,229 | $ | 2,026 | $ | 2,485 | $ | 119,770 | |||||||||||
(Dollars in thousands) | Amortized | Unrealized | Unrealized | Fair | ||||||||||||||
Cost | Gains | Losses | Value | |||||||||||||||
31-Dec-12 | ||||||||||||||||||
Available for sale securities: | ||||||||||||||||||
U.S. Treasury and U.S. government agencies | $ | 16,394 | $ | 1,346 | $ | - | $ | 17,740 | ||||||||||
Mortgage-backed U.S. government agencies | 66,783 | 393 | 490 | 66,686 | ||||||||||||||
State and political subdivision obligations | 67,033 | 2,542 | 96 | 69,479 | ||||||||||||||
Equity securities | 400 | - | 10 | 390 | ||||||||||||||
$ | 150,610 | $ | 4,281 | $ | 596 | $ | 154,295 | |||||||||||
Schedule of Fair Value and Unrealized Loss on Investments in a Continuous Unrealized Loss Position [Table Text Block] | ' | |||||||||||||||||
(Dollars in thousands) | Less Than 12 Months | 12 Months or More | Total | |||||||||||||||
30-Sep-13 | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||
Value | Losses | Value | Losses | Value | Losses | |||||||||||||
Available for sale securities: | ||||||||||||||||||
Mortgage-backed U.S. government agencies | $ | 9,958 | $ | 203 | $ | 10,775 | $ | 259 | $ | 20,733 | $ | 462 | ||||||
State and political subdivision obligations | 30,830 | 1,868 | 2,175 | 129 | 33,005 | 1,997 | ||||||||||||
Equity securities | - | - | 550 | 26 | 550 | 26 | ||||||||||||
Total temporarily impaired | ||||||||||||||||||
available for sale securities | $ | 40,788 | $ | 2,071 | $ | 13,500 | $ | 414 | $ | 54,288 | $ | 2,485 | ||||||
(Dollars in thousands) | Less Than 12 Months | 12 Months or More | Total | |||||||||||||||
31-Dec-12 | Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||
Value | Losses | Value | Losses | Value | Losses | |||||||||||||
Available for sale securities: | ||||||||||||||||||
Mortgage-backed U.S. government agencies | $ | 30,345 | $ | 270 | $ | 15,839 | $ | 220 | $ | 46,184 | $ | 490 | ||||||
State and political subdivision obligations | 9,389 | 66 | 1,231 | 30 | 10,620 | 96 | ||||||||||||
Equity securities | - | - | 390 | 10 | 390 | 10 | ||||||||||||
Total temporarily impaired | ||||||||||||||||||
available for sale securities | $ | 39,734 | $ | 336 | $ | 17,460 | $ | 260 | $ | 57,194 | $ | 596 | ||||||
Investments Classified by Contractual Maturity Date [Table Text Block] | ' | |||||||||||||||||
(Dollars in thousands) | 30-Sep-13 | |||||||||||||||||
Amortized | Fair | |||||||||||||||||
Cost | Value | |||||||||||||||||
Due in 1 year or less | $ | - | $ | - | ||||||||||||||
Due after 1 year but within 5 years | 16,646 | 17,636 | ||||||||||||||||
Due after 5 years but within 10 years | 26,939 | 26,896 | ||||||||||||||||
Due after 10 years | 32,636 | 31,321 | ||||||||||||||||
76,221 | 75,853 | |||||||||||||||||
Mortgage-backed securities | 42,458 | 42,373 | ||||||||||||||||
Equity securities | 1,550 | 1,544 | ||||||||||||||||
$ | 120,229 | $ | 119,770 | |||||||||||||||
Loans_and_Allowance_for_Loan_a1
Loans and Allowance for Loan and Lease Losses (Tables) | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
Loans and Allowance for Loan and Lease Losses [Abstract] | ' | ||||||||||||||||||||||||||
Classes Of The Loan Portfolio Summarized By The Aggregate Risk Rating [Table Text Block] | ' | ||||||||||||||||||||||||||
(Dollars in thousands) September 30, 2013 | Pass | Special Mention | Substandard | Doubtful | Total | ||||||||||||||||||||||
Commercial and industrial | $ | 89,706 | $ | 969 | $ | 1,566 | $ | - | $ | 92,241 | |||||||||||||||||
Commercial real estate | 277,837 | 3,310 | 12,750 | - | 293,897 | ||||||||||||||||||||||
Commercial real estate - construction | 43,673 | 392 | 105 | - | 44,170 | ||||||||||||||||||||||
Lease financing | 1,475 | - | - | - | 1,475 | ||||||||||||||||||||||
Residential mortgage | 66,860 | - | - | - | 66,860 | ||||||||||||||||||||||
Home equity | 24,022 | 170 | 257 | - | 24,449 | ||||||||||||||||||||||
Consumer | 5,454 | - | - | - | 5,454 | ||||||||||||||||||||||
$ | 509,027 | $ | 4,841 | $ | 14,678 | $ | - | $ | 528,546 | ||||||||||||||||||
(Dollars in thousands) December 31, 2012 | Pass | Special Mention | Substandard | Doubtful | Total | ||||||||||||||||||||||
Commercial and industrial | $ | 74,763 | $ | 1,651 | $ | 1,469 | $ | - | $ | 77,883 | |||||||||||||||||
Commercial real estate | 260,941 | 5,375 | 18,551 | - | 284,867 | ||||||||||||||||||||||
Commercial real estate - construction | 32,767 | 410 | 54 | - | 33,231 | ||||||||||||||||||||||
Lease financing | 1,305 | - | - | - | 1,305 | ||||||||||||||||||||||
Residential mortgage | 57,455 | - | - | - | 57,455 | ||||||||||||||||||||||
Home equity | 22,336 | 188 | 396 | - | 22,920 | ||||||||||||||||||||||
Consumer | 6,267 | 292 | - | - | 6,559 | ||||||||||||||||||||||
$ | 455,834 | $ | 7,916 | $ | 20,470 | $ | - | $ | 484,220 | ||||||||||||||||||
Impaired Loans By Loan Portfolio Class [Table Text Block] | ' | ||||||||||||||||||||||||||
Impaired loans by loan portfolio class as of September 30, 2013 and December 31, 2012 are summarized as follows: | |||||||||||||||||||||||||||
30-Sep-13 | 31-Dec-12 | ||||||||||||||||||||||||||
(Dollars in thousands) | Recorded Investment | Unpaid Principal Balance | Related Allowance | Recorded Investment | Unpaid Principal Balance | Related Allowance | |||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 185 | $ | 186 | $ | - | $ | 192 | $ | 870 | $ | - | |||||||||||||||
Commercial real estate | 5,759 | 5,800 | - | 6,570 | 10,773 | - | |||||||||||||||||||||
Residential mortgage | 16 | 17 | - | - | - | - | |||||||||||||||||||||
Home equity | 29 | 39 | - | 124 | 261 | - | |||||||||||||||||||||
Consumer | - | - | - | - | 578 | - | |||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 42 | $ | 169 | $ | 42 | $ | 223 | $ | 351 | $ | 111 | |||||||||||||||
Commercial real estate | 4,003 | 4,209 | 1,423 | 2,514 | 2,672 | 1,200 | |||||||||||||||||||||
Commercial real estate - construction | - | - | - | 54 | 54 | 54 | |||||||||||||||||||||
Residential mortgage | 25 | 25 | 25 | - | - | - | |||||||||||||||||||||
Home equity | 51 | 52 | 8 | 67 | 71 | 18 | |||||||||||||||||||||
Total: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 227 | $ | 355 | $ | 42 | $ | 415 | $ | 1,221 | $ | 111 | |||||||||||||||
Commercial real estate | 9,762 | 10,009 | 1,423 | 9,084 | 13,445 | 1,200 | |||||||||||||||||||||
Commercial real estate - construction | - | - | - | 54 | 54 | 54 | |||||||||||||||||||||
Residential mortgage | 41 | 42 | 25 | - | - | - | |||||||||||||||||||||
Home equity | 80 | 91 | 8 | 191 | 332 | 18 | |||||||||||||||||||||
Consumer | - | - | - | - | 578 | - | |||||||||||||||||||||
Average recorded investment of impaired loans and related interest income recognized for the three and nine months ended September 30, 2013 and September 30, 2012 are summarized as follows: | |||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||
30-Sep-13 | 30-Sep-12 | ||||||||||||||||||||||||||
(Dollars in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 186 | $ | - | $ | 474 | $ | - | |||||||||||||||||||
Commercial real estate | 5,840 | 123 | 7,725 | - | |||||||||||||||||||||||
Residential mortgage | 37 | - | - | - | |||||||||||||||||||||||
Home equity | 29 | - | 125 | - | |||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 42 | $ | - | $ | 242 | $ | - | |||||||||||||||||||
Commercial real estate | 4,026 | - | 2,600 | - | |||||||||||||||||||||||
Commercial real estate - construction | - | - | 54 | - | |||||||||||||||||||||||
Residential mortgage | 25 | - | - | - | |||||||||||||||||||||||
Home equity | 53 | - | 72 | - | |||||||||||||||||||||||
Consumer | - | - | 582 | - | |||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 228 | $ | - | $ | 716 | $ | - | |||||||||||||||||||
Commercial real estate | 9,866 | 123 | 10,325 | - | |||||||||||||||||||||||
Commercial real estate - construction | - | - | 54 | - | |||||||||||||||||||||||
Residential mortgage | 62 | - | - | - | |||||||||||||||||||||||
Home equity | 82 | - | 197 | - | |||||||||||||||||||||||
Consumer | - | - | 582 | - | |||||||||||||||||||||||
Nine Months Ended | |||||||||||||||||||||||||||
30-Sep-13 | 30-Sep-12 | ||||||||||||||||||||||||||
(Dollars in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 188 | $ | - | $ | 479 | $ | - | |||||||||||||||||||
Commercial real estate | 5,949 | 187 | 7,778 | - | |||||||||||||||||||||||
Residential mortgage | 64 | - | - | - | |||||||||||||||||||||||
Home equity | 30 | - | 126 | 4 | |||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 43 | $ | - | $ | 243 | $ | - | |||||||||||||||||||
Commercial real estate | 4,042 | - | 2,618 | - | |||||||||||||||||||||||
Commercial real estate - construction | - | 54 | - | ||||||||||||||||||||||||
Residential mortgage | 25 | - | - | ||||||||||||||||||||||||
Home equity | 54 | - | 72 | - | |||||||||||||||||||||||
Consumer | - | - | 582 | - | |||||||||||||||||||||||
Total: | |||||||||||||||||||||||||||
Commercial and industrial | $ | 231 | $ | - | $ | 722 | $ | - | |||||||||||||||||||
Commercial real estate | 9,991 | 187 | 10,396 | - | |||||||||||||||||||||||
Commercial real estate - construction | - | - | 54 | - | |||||||||||||||||||||||
Residential mortgage | 89 | - | - | - | |||||||||||||||||||||||
Home equity | 84 | - | 198 | 4 | |||||||||||||||||||||||
Consumer | - | - | 582 | - | |||||||||||||||||||||||
Nonaccrual Loans By Classes Of The Loan Portfolio [Table Text Block] | ' | ||||||||||||||||||||||||||
(Dollars in thousands) | 30-Sep-13 | 31-Dec-12 | |||||||||||||||||||||||||
Commercial and industrial | $ | 227 | $ | 264 | |||||||||||||||||||||||
Commercial real estate | 9,762 | 10,785 | |||||||||||||||||||||||||
Commercial real estate - construction | - | 54 | |||||||||||||||||||||||||
Residential mortgage | 766 | 537 | |||||||||||||||||||||||||
Home equity | 130 | 191 | |||||||||||||||||||||||||
$ | 10,885 | $ | 11,831 | ||||||||||||||||||||||||
Loan Portfolio Summarized By The Past Due Status [Table Text Block] | ' | ||||||||||||||||||||||||||
(Dollars in thousands) September 30, 2013 | 30-59 Days Past Due | 60-89 Days Past Due | Greater than 90 Days | Total Past Due | Current | Total Loans | Loans Receivable > 90 Days and Accruing | ||||||||||||||||||||
Commercial and industrial | $ | 75 | $ | - | $ | 227 | $ | 302 | $ | 91,939 | $ | 92,241 | $ | - | |||||||||||||
Commercial real estate | 1,610 | 647 | 7,607 | 9,864 | 284,033 | 293,897 | - | ||||||||||||||||||||
Commercial real estate - construction | - | - | - | - | 44,170 | 44,170 | - | ||||||||||||||||||||
Lease financing | - | - | - | - | 1,475 | 1,475 | - | ||||||||||||||||||||
Residential mortgage | 1 | 41 | 746 | 788 | 66,072 | 66,860 | - | ||||||||||||||||||||
Home equity | 73 | - | 101 | 174 | 24,275 | 24,449 | - | ||||||||||||||||||||
Consumer | - | 7 | - | 7 | 5,447 | 5,454 | - | ||||||||||||||||||||
Total | $ | 1,759 | $ | 695 | $ | 8,681 | $ | 11,135 | $ | 517,411 | $ | 528,546 | $ | - | |||||||||||||
(Dollars in thousands) December 31, 2012 | 30-59 Days Past Due | 60-89 Days Past Due | Greater than 90 Days | Total Past Due | Current | Total Loans | Loans Receivable > 90 Days and Accruing | ||||||||||||||||||||
Commercial and industrial | $ | 123 | $ | 361 | $ | 234 | $ | 718 | $ | 77,165 | $ | 77,883 | $ | - | |||||||||||||
Commercial real estate | 1,785 | 5,618 | 8,248 | 15,651 | 269,216 | 284,867 | - | ||||||||||||||||||||
Commercial real estate - construction | - | - | 54 | 54 | 33,177 | 33,231 | - | ||||||||||||||||||||
Lease financing | 1 | - | 1 | 1,304 | 1,305 | - | |||||||||||||||||||||
Residential mortgage | 495 | 35 | 531 | 1,061 | 56,394 | 57,455 | - | ||||||||||||||||||||
Home equity | 96 | - | 147 | 243 | 22,677 | 22,920 | - | ||||||||||||||||||||
Consumer | 1 | 2 | - | 3 | 6,556 | 6,559 | - | ||||||||||||||||||||
Total | $ | 2,501 | $ | 6,016 | $ | 9,214 | $ | 17,731 | $ | 466,489 | $ | 484,220 | $ | - | |||||||||||||
Allowance For Loan Losses And Recorded Investment In Financing Receivables [Table Text Block] | ' | ||||||||||||||||||||||||||
The following tables summarize the allowance for loan and lease losses and recorded investments in loans receivable. | |||||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||
As of, and for the period ended, September 30, 2013 | Commercial and industrial | Commercial real estate | Commercial real estate - construction | Lease financing | Residential mortgage | Home equity | Consumer | Unallocated | Total | ||||||||||||||||||
Allowance for loan and lease losses: | |||||||||||||||||||||||||||
Beginning balance, July 1, 2013 | $ | 1,249 | $ | 3,819 | $ | 36 | $ | 1 | $ | 660 | $ | 409 | $ | 91 | $ | 2 | $ | 6,267 | |||||||||
Charge-offs | -161 | -759 | -17 | - | -41 | -91 | -8 | - | -1,077 | ||||||||||||||||||
Recoveries | 10 | 8 | - | 2 | - | - | 8 | - | 28 | ||||||||||||||||||
Provisions | 56 | 902 | -9 | -2 | -239 | -81 | -7 | -45 | 575 | ||||||||||||||||||
Ending balance, September 30, 2013 | $ | 1,154 | $ | 3,970 | $ | 10 | $ | 1 | $ | 380 | $ | 237 | $ | 84 | $ | -43 | $ | 5,793 | |||||||||
Beginning balance, January 1, 2013 | $ | 1,298 | $ | 3,112 | $ | 64 | $ | 1 | $ | 581 | $ | 343 | $ | 101 | $ | 9 | $ | 5,509 | |||||||||
Charge-offs | -182 | -877 | -17 | - | -167 | -91 | -23 | - | -1,357 | ||||||||||||||||||
Recoveries | 26 | 13 | 8 | 2 | 23 | 5 | 79 | - | 156 | ||||||||||||||||||
Provisions | 12 | 1,722 | -45 | -2 | -57 | -20 | -73 | -52 | 1,485 | ||||||||||||||||||
Ending balance, September 30, 2013 | $ | 1,154 | $ | 3,970 | $ | 10 | $ | 1 | $ | 380 | $ | 237 | $ | 84 | $ | -43 | $ | 5,793 | |||||||||
Ending balance: individually evaluated for impairment | $ | 42 | $ | 1,423 | $ | - | $ | - | $ | 25 | $ | 8 | $ | - | $ | - | $ | 1,498 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 1,112 | $ | 2,547 | $ | 10 | $ | 1 | $ | 355 | $ | 229 | $ | 84 | $ | -43 | $ | 4,295 | |||||||||
Loans receivables: | |||||||||||||||||||||||||||
Ending balance | $ | 92,241 | $ | 293,897 | $ | 44,170 | $ | 1,475 | $ | 66,860 | $ | 24,449 | $ | 5,454 | $ | - | $ | 528,546 | |||||||||
Ending balance: individually evaluated for impairment | $ | 227 | $ | 9,762 | $ | - | $ | - | $ | 41 | $ | 80 | $ | - | $ | - | $ | 10,110 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 92,014 | $ | 284,135 | $ | 44,170 | $ | 1,475 | $ | 66,819 | $ | 24,369 | $ | 5,454 | $ | - | $ | 518,436 | |||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||
As of, and for the period ended, September 30, 2012 | Commercial and industrial | Commercial real estate | Commercial real estate - construction | Lease financing | Residential mortgage | Home equity | Consumer | Unallocated | Total | ||||||||||||||||||
Beginning balance, July 1, 2012 | $ | 1,583 | $ | 3,440 | $ | 27 | $ | 2 | $ | 475 | $ | 341 | $ | 530 | $ | 187 | $ | 6,585 | |||||||||
Charge-offs | -212 | -1 | - | - | - | - | -105 | - | -6 | - | -324 | ||||||||||||||||
Recoveries | 8 | 4 | - | - | - | - | - | 16 | - | 28 | |||||||||||||||||
Provisions | -82 | -62 | 51 | - | 144 | 26 | 109 | -36 | 150 | ||||||||||||||||||
Ending balance, September 30, 2012 | $ | 1,297 | $ | 3,381 | $ | 78 | $ | 2 | $ | 514 | $ | 367 | $ | 649 | $ | 151 | $ | 6,439 | |||||||||
Commercial and industrial | Commercial real estate | Commercial real estate - construction | Lease financing | Residential mortgage | Home equity | Consumer | Unallocated | Total | |||||||||||||||||||
Beginning balance, January 1, 2012 | $ | 2,274 | $ | 3,544 | $ | 23 | $ | 2 | $ | 362 | $ | 337 | $ | 87 | $ | 143 | $ | 6,772 | |||||||||
Charge-offs | -428 | -456 | -5 | - | -174 | - | -12 | - | -1,075 | ||||||||||||||||||
Recoveries | 16 | 9 | 2 | - | - | 9 | 31 | - | 67 | ||||||||||||||||||
Provisions | -565 | 284 | 58 | - | 326 | 21 | 543 | 8 | 675 | ||||||||||||||||||
Ending balance, September 30, 2012 | $ | 1,297 | $ | 3,381 | $ | 78 | $ | 2 | $ | 514 | $ | 367 | $ | 649 | $ | 151 | $ | 6,439 | |||||||||
Ending balance: individually evaluated for impairment | $ | 112 | $ | 1,338 | $ | 54 | $ | - | $ | - | $ | 25 | $ | 578 | $ | - | $ | 2,107 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 1,185 | $ | 2,043 | $ | 24 | $ | 2 | $ | 514 | $ | 342 | $ | 71 | $ | 151 | $ | 4,332 | |||||||||
Loans receivables: | |||||||||||||||||||||||||||
Ending balance | $ | 75,798 | $ | 281,613 | $ | 35,852 | $ | 1,575 | $ | 57,068 | $ | 24,003 | $ | 7,302 | $ | - | $ | 483,211 | |||||||||
Ending balance: individually evaluated for impairment | $ | 421 | $ | 9,822 | $ | 54 | $ | - | $ | - | $ | 101 | $ | 578 | $ | - | $ | 10,976 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 75,377 | $ | 271,791 | $ | 35,798 | $ | 1,575 | $ | 57,068 | $ | 23,902 | $ | 6,724 | $ | - | $ | 472,235 | |||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||
As of December 31, 2012 | Commercial and industrial | Commercial real estate | Commercial real estate - construction | Lease financing | Residential mortgage | Home equity | Consumer | Unallocated | Total | ||||||||||||||||||
Allowance for loan and lease losses: | |||||||||||||||||||||||||||
Ending balance | $ | 1,298 | $ | 3,112 | $ | 64 | $ | 1 | $ | 581 | $ | 343 | $ | 101 | $ | 9 | $ | 5,509 | |||||||||
Ending balance: individually evaluated for impairment | $ | 111 | $ | 1,200 | $ | 54 | $ | - | $ | - | $ | 18 | $ | - | $ | - | $ | 1,383 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 1,187 | $ | 1,912 | $ | 10 | $ | 1 | $ | 581 | $ | 325 | $ | 101 | $ | 9 | $ | 4,126 | |||||||||
Loans receivables: | |||||||||||||||||||||||||||
Ending balance | $ | 77,883 | $ | 284,867 | $ | 33,231 | $ | 1,305 | $ | 57,455 | $ | 22,920 | $ | 6,559 | $ | - | $ | 484,220 | |||||||||
Ending balance: individually evaluated for impairment | $ | 415 | $ | 9,084 | $ | 54 | $ | - | $ | - | $ | 191 | $ | - | $ | - | $ | 9,744 | |||||||||
Ending balance: collectively evaluated for impairment | $ | 77,468 | $ | 275,783 | $ | 33,177 | $ | 1,305 | $ | 57,455 | $ | 22,729 | $ | 6,559 | $ | - | $ | 474,476 | |||||||||
Troubled Debt Restructurings [Table Text Block] | ' | ||||||||||||||||||||||||||
(Dollars in thousands) September 30, 2013 | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Recorded Investment | ||||||||||||||||||||||||
Commercial and industrial | $ | 40 | $ | 35 | $ | 30 | |||||||||||||||||||||
Commercial real estate | 13,346 | 9,336 | 8,386 | ||||||||||||||||||||||||
Residential mortgage | 601 | 595 | 461 | ||||||||||||||||||||||||
$ | 13,987 | $ | 9,966 | $ | 8,877 | ||||||||||||||||||||||
(Dollars in thousands) December 31, 2012 | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Recorded Investment | ||||||||||||||||||||||||
Commercial and industrial | $ | 40 | $ | 35 | $ | 30 | |||||||||||||||||||||
Commercial real estate | 7,326 | 3,748 | 2,916 | ||||||||||||||||||||||||
Residential mortgage | 558 | 552 | 448 | ||||||||||||||||||||||||
$ | 7,924 | $ | 4,335 | $ | 3,394 | ||||||||||||||||||||||
Three Months Ended, September 30, 2013 | |||||||||||||||||||||||||||
(Dollars in thousands) | Number of Contracts | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Recorded Investment | |||||||||||||||||||||||
Commercial real estate | 3 | $ | 6,091 | $ | 5,588 | $ | 5,588 | ||||||||||||||||||||
Residential mortgage | 1 | 14 | 14 | 14 | |||||||||||||||||||||||
4 | $ | 6,105 | $ | 5,602 | $ | 5,602 | |||||||||||||||||||||
Nine Months Ended, September 30, 2013 | |||||||||||||||||||||||||||
(Dollars in thousands) | Number of Contracts | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Recorded Investment | |||||||||||||||||||||||
Commercial real estate | 3 | $ | 6,091 | $ | 5,588 | $ | 5,588 | ||||||||||||||||||||
Residential mortgage | 2 | 74 | 74 | 74 | |||||||||||||||||||||||
5 | $ | 6,165 | $ | 5,662 | $ | 5,662 | |||||||||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Fair Value Measurements [Abstract] | ' | |||||||||||||||
Assets Measured at Fair Value on a Recurring Basis [Table Text Block] | ' | |||||||||||||||
(Dollars in thousands) | Fair value measurements at September 30, 2013 using: | |||||||||||||||
Total carrying value at | Quoted prices in active markets | Significant other observable inputs | Significant unobservable inputs | |||||||||||||
Assets: | 30-Sep-13 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
U.S. Treasury and U.S. government agencies | $ | 12,914 | $ | - | $ | 12,914 | $ | - | ||||||||
Mortgage-backed U.S. government agencies | 42,373 | - | 42,373 | - | ||||||||||||
State and political subdivision obligations | 62,939 | - | 62,939 | - | ||||||||||||
Equity securities | 1,544 | 524 | 1,020 | - | ||||||||||||
$ | 119,770 | $ | 524 | $ | 119,246 | $ | - | |||||||||
(Dollars in thousands) | Fair value measurements at December 31, 2012 using: | |||||||||||||||
Total carrying value at | Quoted prices in active markets | Significant other observable inputs | Significant unobservable inputs | |||||||||||||
Assets: | 31-Dec-12 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
U.S. Treasury and U.S. government agencies | $ | 17,740 | $ | - | $ | 17,740 | $ | - | ||||||||
Mortgage-backed U.S. government agencies | 66,686 | - | 66,686 | - | ||||||||||||
State and political subdivision obligations | 69,479 | - | 69,479 | - | ||||||||||||
Equity securities | 390 | 390 | - | - | ||||||||||||
$ | 154,295 | $ | 390 | $ | 153,905 | $ | - | |||||||||
Fair Value Measurements, Nonrecurring [Table Text Block] | ' | |||||||||||||||
(Dollars in thousands) | Fair value measurements at September 30, 2013 using: | |||||||||||||||
Total carrying value at | Quoted prices in active markets | Significant other observable inputs | Significant unobservable inputs | |||||||||||||
Assets: | 30-Sep-13 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Impaired Loans | $ | 3,948 | $ | - | $ | - | $ | 3,948 | ||||||||
Foreclosed Assets Held for Sale | 441 | - | - | 441 | ||||||||||||
(Dollars in thousands) | Fair value measurements at December 31, 2012 using: | |||||||||||||||
Total carrying value at | Quoted prices in active markets | Significant other observable inputs | Significant unobservable inputs | |||||||||||||
Assets: | 31-Dec-12 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Impaired Loans | $ | 3,075 | $ | - | $ | - | $ | 3,075 | ||||||||
Foreclosed Assets Held for Sale | 105 | - | - | 105 | ||||||||||||
Fair Value Inputs, Assets, Quantitative Information [Table Text Block] | ' | |||||||||||||||
(Dollars in thousands) | Quantitative Information about Level 3 Fair Value Measurements | |||||||||||||||
30-Sep-13 | Fair Value Estimate | Valuation Technique | Unobservable Input | Range Weighted Average | ||||||||||||
Impaired Loans | $ | 3,948 | Appraisal of collateral (1) | Appraisal adjustments (2) | 10% - 95% (28%) | |||||||||||
Foreclosed Assets Held for Sale | $ | 441 | Appraisal of collateral (1), (3) | Appraisal adjustments (2) | 15% - 40% (24%) | |||||||||||
(Dollars in thousands) | Quantitative Information about Level 3 Fair Value Measurements | |||||||||||||||
31-Dec-12 | Fair Value Estimate | Valuation Technique | Unobservable Input | Range Weighted Average | ||||||||||||
Impaired Loans | $ | 3,075 | Appraisal of collateral (1) | Appraisal adjustments (2) | 10% - 95% (28%) | |||||||||||
Foreclosed Assets Held for Sale | $ | 105 | Appraisal of collateral (1), (3) | Appraisal adjustments (2) | 15% - 40% (24%) | |||||||||||
-1 | Fair value is generally determined through independent appraisals of the underlying collateral, which generally includes various level 3 inputs which are not identifiable. | |||||||||||||||
-2 | Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal. | |||||||||||||||
-3 | Includes qualitative adjustments by management and estimated liquidation expenses. | |||||||||||||||
Fair Value, by Balance Sheet Grouping [Table Text Block] | ' | |||||||||||||||
(Dollars in thousands) | 30-Sep-13 | 31-Dec-12 | ||||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||||
Value | Value | Value | Value | |||||||||||||
Financial assets: | ||||||||||||||||
Cash and cash equivalents | $ | 13,217 | $ | 13,217 | $ | 15,473 | $ | 15,473 | ||||||||
Interest-bearing time balances with other financial institutions | 7,861 | 7,861 | 23,563 | 23,563 | ||||||||||||
Investment securities | 119,770 | 119,770 | 154,295 | 154,295 | ||||||||||||
Net loans and leases | 522,753 | 531,068 | 478,711 | 495,181 | ||||||||||||
Restricted investment in bank stocks | 1,895 | 1,895 | 2,503 | 2,503 | ||||||||||||
Accrued interest receivable | 2,684 | 2,684 | 2,893 | 2,893 | ||||||||||||
Mortgage servicing rights | 157 | 157 | 233 | 233 | ||||||||||||
Financial liabilities: | ||||||||||||||||
Deposits | $ | 620,854 | $ | 623,309 | $ | 625,461 | $ | 629,096 | ||||||||
Short-term borrowings | 9,245 | 9,245 | - | - | ||||||||||||
Long-term debt | 8,190 | 8,757 | 22,510 | 23,240 | ||||||||||||
Accrued interest payable | 803 | 803 | 620 | 620 | ||||||||||||
Off-balance sheet financial instruments: | ||||||||||||||||
Commitments to extend credit | $ | - | $ | - | $ | - | $ | - | ||||||||
Financial standby letters of credit | - | - | - | - | ||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | ' | |||||||||||||||
Fair Value Measurements | ||||||||||||||||
Quoted Prices | ||||||||||||||||
in Active Markets | Significant | |||||||||||||||
(Dollars in thousands) | for Identical Assets | Significant Other | Unobservable | |||||||||||||
Carrying | or Liabilities | Observable Inputs | Inputs | |||||||||||||
30-Sep-13 | Amount | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||
Financial instruments - assets | ||||||||||||||||
Net loans and leases | $ | 522,753 | $ | 531,068 | $ | - | $ | - | $ | 531,068 | ||||||
Financial instruments - liabilities | ||||||||||||||||
Deposits | $ | 620,854 | $ | 623,309 | $ | - | $ | 623,309 | $ | - | ||||||
Long-term debt | 8,190 | 8,757 | - | 8,757 | - | |||||||||||
Fair Value Measurements | ||||||||||||||||
Quoted Prices | ||||||||||||||||
in Active Markets | Significant | |||||||||||||||
(Dollars in thousands) | for Identical Assets | Significant Other | Unobservable | |||||||||||||
Carrying | or Liabilities | Observable Inputs | Inputs | |||||||||||||
31-Dec-12 | Amount | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||
Financial instruments - assets | ||||||||||||||||
Net loans and leases | $ | 478,711 | $ | 495,181 | $ | - | $ | - | $ | 495,181 | ||||||
Financial instruments - liabilities | ||||||||||||||||
Deposits | $ | 625,461 | $ | 629,096 | $ | - | $ | 629,096 | $ | - | ||||||
Long-term debt | 22,510 | 23,240 | - | 23,240 | - | |||||||||||
Postretirement_Benefit_Plans_T
Postretirement Benefit Plans (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Defined Benefit Plans [Abstract] | ' | |||||||||||
Schedule of Net Periodic Benefit Costs [Table Text Block] | ' | |||||||||||
Three Months Ended September 30, | ||||||||||||
(Dollars in thousands) | Pension Benefits | Other Benefits | ||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Service cost | $ | 8 | $ | 5 | $ | 4 | $ | 5 | ||||
Interest cost | 11 | 11 | 9 | 9 | ||||||||
Amortization of prior service cost | 5 | 6 | - | 1 | ||||||||
Net periodic benefit cost | $ | 24 | $ | 22 | $ | 13 | $ | 15 | ||||
Nine Months Ended September 30, | ||||||||||||
(Dollars in thousands) | Pension Benefits | Other Benefits | ||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Service cost | $ | 24 | $ | 16 | $ | 13 | $ | 15 | ||||
Interest cost | 33 | 34 | 26 | 27 | ||||||||
Amortization of prior service cost | 16 | 17 | 1 | 2 | ||||||||
Net periodic benefit cost | $ | 73 | $ | 67 | $ | 40 | $ | 44 | ||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Accumulated Other Comprehensive Income, Net of Taxes [Abstract] | ' | ||||||||
Accumulated Other Comprehensive Income, Net of Taxes [Table Text Block] | ' | ||||||||
(Dollars in thousands) | Unrealized (Loss) Gain on Securities | Defined Benefit Plan Liability | Accumulated Other Comprehensive (Loss) Income | ||||||
Balance - September 30, 2013 | $ | -303 | $ | -130 | $ | -433 | |||
Balance - December 31, 2012 | $ | 2,433 | $ | -140 | $ | 2,293 | |||
Stock_Issued_Under_Private_Pla1
Stock Issued Under Private Placement Offering (Tables) | 9 Months Ended | |||||
Sep. 30, 2013 | ||||||
Stock Issued Under Private Placement Offering [Abstract] | ' | |||||
Proceeds From Private Placement [Table Text Block] | ' | |||||
(Dollars in thousands) | ||||||
Period | Shares | Gross Proceeds | ||||
September 26, 2012 - September 30, 2012 | 345 | $ | 345,000 | |||
October 1, 2012 - December 31, 2012 | 4,535 | 4,535,000 | ||||
January 1, 2013 - September 30, 2013 | 120 | 120,000 | ||||
Total | 5,000 | $ | 5,000,000 | |||
Earnings_Per_Common_Share_Tabl
Earnings Per Common Share (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Earnings per Common Share [Abstract] | ' | |||||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | ' | |||||||||||
The computations of basic earnings per common share follow: | ||||||||||||
(Dollars in thousands, except per share data) | Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Net Income | $ | 1,488 | $ | 1,266 | $ | 3,539 | $ | 3,760 | ||||
Less: Dividends on Series A preferred stock | - | -125 | - | -375 | ||||||||
Accretion of Series A preferred stock discount | - | -3 | -14 | -10 | ||||||||
Dividends on Series B preferred stock | -88 | - | -222 | - | ||||||||
Net income available to common shareholders | $ | 1,400 | $ | 1,138 | $ | 3,303 | $ | 3,375 | ||||
Weighted average common shares outstanding | 3,492,228 | 3,487,176 | 3,491,651 | 3,485,865 | ||||||||
Basic earnings per common share | $ | 0.40 | $ | 0.33 | $ | 0.95 | $ | 0.97 | ||||
The computations of diluted earnings per common share follow: | ||||||||||||
(Dollars in thousands, except per share data) | Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Net income available to common stockholders | $ | 1,400 | $ | 1,138 | $ | 3,303 | $ | 3,375 | ||||
Weighted average number of common shares outstanding | 3,492,228 | 3,487,176 | 3,491,651 | 3,485,865 | ||||||||
Dilutive effect of potential common stock arising from stock warrants: | ||||||||||||
Exercise of outstanding stock warrants issued to U.S. Treasury | ||||||||||||
under the Capital Repurchase Program | - | - | - | - | ||||||||
Adjusted weighted-average common shares outstanding | 3,492,228 | 3,487,176 | 3,491,651 | 3,485,865 | ||||||||
Diluted earnings per common share | $ | 0.40 | $ | 0.33 | $ | 0.95 | $ | 0.97 | ||||
Investment_Securities_Narrativ
Investment Securities (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
security | security | security | |||
Investment Securities [Abstract] | ' | ' | ' | ' | ' |
Available-for-sale Securities Pledged as Collateral | $103,237 | ' | $103,237 | ' | $96,124 |
Available-for-sale Securities, Gross Realized Gains | 108 | 241 | 220 | 267 | ' |
Available-for-sale Securities, Gross Realized Losses | $0 | $0 | $0 | $0 | ' |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | 97 | ' | 97 | ' | 73 |
Available-for-sale, Securities in Unrealized Loss Positions, Depreciation Percentage | ' | ' | 4.58% | ' | 1.03% |
Average Life of Mortgage-backed Securities | '3 years 4 months 24 days | ' | '3 years 4 months 24 days | ' | ' |
Investment_Securities_Unrealiz
Investment Securities (Unrealized Gain (Loss) on Investments) (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | $120,229 | $150,610 |
Unrealized Gains | 2,026 | 4,281 |
Unrealized Losses | 2,485 | 596 |
Available for sale Securities, Fair Value | 119,770 | 154,295 |
U.S. Treasury and U.S. government agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 12,149 | 16,394 |
Unrealized Gains | 765 | 1,346 |
Available for sale Securities, Fair Value | 12,914 | 17,740 |
Mortgage-backed U.S. government agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 42,458 | 66,783 |
Unrealized Gains | 377 | 393 |
Unrealized Losses | 462 | 490 |
Available for sale Securities, Fair Value | 42,373 | 66,686 |
State and political subdivision obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 64,072 | 67,033 |
Unrealized Gains | 864 | 2,542 |
Unrealized Losses | 1,997 | 96 |
Available for sale Securities, Fair Value | 62,939 | 69,479 |
Equity securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Amortized Cost | 1,550 | 400 |
Unrealized Gains | 20 | ' |
Unrealized Losses | 26 | 10 |
Available for sale Securities, Fair Value | $1,544 | $390 |
Investment_Securities_Schedule
Investment Securities (Schedule of Fair Value and Unrealized Loss on Investments in a Continuous Unrealized Loss Position) (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Schedule of Investments [Line Items] | ' | ' |
Less than 12 Months: Fair Value | $40,788 | $39,734 |
Less than 12 Months: Unrealized Losses | 2,071 | 336 |
12 Months or More: Fair Value | 13,500 | 17,460 |
12 Months or More: Unrealized Losses | 414 | 260 |
Total: Fair Value | 54,288 | 57,194 |
Total: Unrealized Losses | 2,485 | 596 |
Mortgage-backed U.S. government agencies [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Less than 12 Months: Fair Value | 9,958 | 30,345 |
Less than 12 Months: Unrealized Losses | 203 | 270 |
12 Months or More: Fair Value | 10,775 | 15,839 |
12 Months or More: Unrealized Losses | 259 | 220 |
Total: Fair Value | 20,733 | 46,184 |
Total: Unrealized Losses | 462 | 490 |
State and political subdivision obligations [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Less than 12 Months: Fair Value | 30,830 | 9,389 |
Less than 12 Months: Unrealized Losses | 1,868 | 66 |
12 Months or More: Fair Value | 2,175 | 1,231 |
12 Months or More: Unrealized Losses | 129 | 30 |
Total: Fair Value | 33,005 | 10,620 |
Total: Unrealized Losses | 1,997 | 96 |
Equity securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
12 Months or More: Fair Value | 550 | 390 |
12 Months or More: Unrealized Losses | 26 | 10 |
Total: Fair Value | 550 | 390 |
Total: Unrealized Losses | $26 | $10 |
Investment_Securities_Investme
Investment Securities (Investments Classified by Contractual Maturity Date) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Investments [Line Items] | ' | ' |
Available for sale Securities, Amortized Cost, Due after 1 year but within 5 years | $16,646 | ' |
Available for sale Securities, Amortized Cost, Due after 5 years but within 10 years | 26,939 | ' |
Available for sale Securities, Amortized Cost, Due after 10 years | 32,636 | ' |
Available-for-sale Securities, Debt Maturities, Single Maturity Date, Amortized Cost Basis, Total | 76,221 | ' |
Equity Securities, Amortized Cost | 1,550 | ' |
Available-for-sale Securities, Amortized Cost Basis | 120,229 | 150,610 |
Available for sale Securities, Fair Value, Due after 1 year but within 5 years | 17,636 | ' |
Available for sale Securities, Fair Value, Due after 5 years but within 10 years | 26,896 | ' |
Available for sale Securities, Fair Value, Due after 10 years | 31,321 | ' |
Available-for-sale Securities, Debt Maturities, Single Maturity Date, Fair Value, Total | 75,853 | ' |
Equity Securities, Fair Value | 1,544 | ' |
Available for sale Securities, Fair Value | 119,770 | 154,295 |
Mortgage-backed securities [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Available for sale Securities without a Single Maturity Date, Amortized Cost | 42,458 | ' |
Available for sale securities without a Single Maturity Date, Fair Value | $42,373 | ' |
Loans_and_Allowance_for_Loan_a2
Loans and Allowance for Loan and Lease Losses (Narrative) (Details) (USD $) | 9 Months Ended | 12 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 9 Months Ended | 12 Months Ended | 9 Months Ended | 12 Months Ended | 9 Months Ended | 12 Months Ended | 9 Months Ended | |||||||||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 |
loan | Residential mortgage [Member] | Residential mortgage [Member] | Commercial and industrial [Member] | Commercial and industrial [Member] | Home equity [Member] | Home equity [Member] | Lease financing [Member] | Home Equity Lines Of Credit [Member] | Commercial real estate [Member] | Commercial real estate [Member] | Commercial real estate [Member] | Nonaccruing [Member] | Nonaccruing [Member] | Nonaccruing [Member] | Accruing [Member] | Troubled Debt Restructurings - Prior Year Singular Business Relationship 1 [Member] | Commercial Participation Loans [Member] | Commercial Participation Loans [Member] | Unrelated Nonparticipation Loans [Member] | Unrelated Nonparticipation Loans [Member] | Unrelated Nonparticipation Loans [Member] | Unrelated Nonparticipation Loans [Member] | Unrelated Nonparticipation Loans [Member] | Unrelated Nonparticipation Loans [Member] | Unrelated Nonparticipation Loans [Member] | Unrelated Nonparticipation Loans [Member] | ||
loan | loan | loan | loan | Customer Three [Member] | Residential mortgage [Member] | Nonaccruing [Member] | Nonaccruing [Member] | Nonaccruing [Member] | Nonaccruing [Member] | Nonaccruing [Member] | Nonaccruing [Member] | Nonaccruing [Member] | Nonaccruing [Member] | Accruing [Member] | Accruing [Member] | Accruing [Member] | ||||||||||||
loan | loan | loan | loan | loan | loan | loan | Residential mortgage [Member] | Commercial real estate [Member] | Commercial real estate [Member] | Residential mortgage [Member] | Commercial real estate [Member] | |||||||||||||||||
loan | Customer One [Member] | Customer Two [Member] | loan | |||||||||||||||||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan Terms | ' | ' | '30 years | ' | '1 year | ' | '20 years | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan To Value Ratio | ' | ' | 100.00% | ' | 80.00% | ' | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan To Value Ratio, Exposure After Private Mortgage Insurance | ' | ' | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Portfolio Percentage | ' | ' | ' | ' | ' | ' | ' | ' | 0.28% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financing Receivable, Modifications, Recorded Investment | $8,567 | $3,394 | $270 | $448 | $29 | $30 | ' | ' | ' | ' | $8,268 | $8,268 | $2,916 | $7,710 | $2,968 | $634 | ' | $610 | $1,519 | $1,663 | $5,581 | $671 | ' | $3,240 | $1,642 | $857 | $426 | $620 |
Financing Receivable, Modifications, Number of Contracts | 5 | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | 13 | 10 | 5 | 4 | 5 | 3 | 3 | 5 | 2 | 7 | ' | ' | ' | ' | 1 |
Financing Receivables, Impaired, Troubled Debt Restructuring, Write-down | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Impaired Financing Receivable, Interest Income, Cash Basis Method | ' | ' | ' | ' | ' | ' | ' | $4 | ' | ' | $123 | $187 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loans_and_Allowance_for_Loan_a3
Loans and Allowance for Loan and Lease Losses (Classes Of The Loan Portfolio Summarized By The Aggregate Risk Rating) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 |
In Thousands, unless otherwise specified | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | $528,546 | $484,220 | $483,211 |
Commercial and industrial [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 92,241 | 77,883 | 75,798 |
Commercial real estate [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 293,897 | 284,867 | 281,613 |
Commercial real estate - construction [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 44,170 | 33,231 | 35,852 |
Lease financing [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 1,475 | 1,305 | 1,575 |
Residential mortgage [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 66,860 | 57,455 | 57,068 |
Home equity [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 24,449 | 22,920 | 24,003 |
Consumer [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 5,454 | 6,559 | 7,302 |
Pass [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 509,027 | 455,834 | ' |
Pass [Member] | Commercial and industrial [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 89,706 | 74,763 | ' |
Pass [Member] | Commercial real estate [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 277,837 | 260,941 | ' |
Pass [Member] | Commercial real estate - construction [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 43,673 | 32,767 | ' |
Pass [Member] | Lease financing [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 1,475 | 1,305 | ' |
Pass [Member] | Residential mortgage [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 66,860 | 57,455 | ' |
Pass [Member] | Home equity [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 24,022 | 22,336 | ' |
Pass [Member] | Consumer [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 5,454 | 6,267 | ' |
Special Mention [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 4,841 | 7,916 | ' |
Special Mention [Member] | Commercial and industrial [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 969 | 1,651 | ' |
Special Mention [Member] | Commercial real estate [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 3,310 | 5,375 | ' |
Special Mention [Member] | Commercial real estate - construction [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 392 | 410 | ' |
Special Mention [Member] | Home equity [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 170 | 188 | ' |
Special Mention [Member] | Consumer [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | ' | 292 | ' |
Substandard [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 14,678 | 20,470 | ' |
Substandard [Member] | Commercial and industrial [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 1,566 | 1,469 | ' |
Substandard [Member] | Commercial real estate [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 12,750 | 18,551 | ' |
Substandard [Member] | Commercial real estate - construction [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 105 | 54 | ' |
Substandard [Member] | Home equity [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | 257 | 396 | ' |
Doubtful [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | ' | 0 | ' |
Doubtful [Member] | Commercial and industrial [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | ' | 0 | ' |
Doubtful [Member] | Commercial real estate [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | ' | 0 | ' |
Doubtful [Member] | Commercial real estate - construction [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | ' | 0 | ' |
Doubtful [Member] | Lease financing [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | ' | 0 | ' |
Doubtful [Member] | Residential mortgage [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | ' | 0 | ' |
Doubtful [Member] | Home equity [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | ' | 0 | ' |
Doubtful [Member] | Consumer [Member] | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' |
Loans and Leases Receivable, Gross, Carrying Amount | ' | $0 | ' |
Loans_and_Allowance_for_Loan_a4
Loans and Allowance for Loan and Lease Losses (Impaired Loans by Loan Portfolio Class) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with No Allowance: Recorded Investment | $185 | $192 |
Impaired Loans with No Allowance: Unpaid Principal Balance | 186 | 870 |
Impaired Loans with Allowance: Recorded Investment | 42 | 223 |
Impaired Loans with Allowance: Unpaid Principal Balance | 169 | 351 |
Impaired Loans with Allowance: Related Allowance | 42 | 111 |
Impaired Loans: Total Recorded Investment | 227 | 415 |
Impaired Loans: Total Unpaid Principal Balance | 355 | 1,221 |
Commercial real estate [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with No Allowance: Recorded Investment | 5,759 | 6,570 |
Impaired Loans with No Allowance: Unpaid Principal Balance | 5,800 | 10,773 |
Impaired Loans with Allowance: Recorded Investment | 4,003 | 2,514 |
Impaired Loans with Allowance: Unpaid Principal Balance | 4,209 | 2,672 |
Impaired Loans with Allowance: Related Allowance | 1,423 | 1,200 |
Impaired Loans: Total Recorded Investment | 9,762 | 9,084 |
Impaired Loans: Total Unpaid Principal Balance | 10,009 | 13,445 |
Commercial real estate - construction [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with Allowance: Recorded Investment | ' | 54 |
Impaired Loans with Allowance: Unpaid Principal Balance | ' | 54 |
Impaired Loans with Allowance: Related Allowance | ' | 54 |
Impaired Loans: Total Recorded Investment | ' | 54 |
Impaired Loans: Total Unpaid Principal Balance | ' | 54 |
Residential mortgage [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with No Allowance: Recorded Investment | 16 | ' |
Impaired Loans with No Allowance: Unpaid Principal Balance | 17 | ' |
Impaired Loans with Allowance: Recorded Investment | 25 | ' |
Impaired Loans with Allowance: Unpaid Principal Balance | 25 | ' |
Impaired Loans with Allowance: Related Allowance | 25 | ' |
Impaired Loans: Total Recorded Investment | 41 | ' |
Impaired Loans: Total Unpaid Principal Balance | 42 | ' |
Home equity [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with No Allowance: Recorded Investment | 29 | 124 |
Impaired Loans with No Allowance: Unpaid Principal Balance | 39 | 261 |
Impaired Loans with Allowance: Recorded Investment | 51 | 67 |
Impaired Loans with Allowance: Unpaid Principal Balance | 52 | 71 |
Impaired Loans with Allowance: Related Allowance | 8 | 18 |
Impaired Loans: Total Recorded Investment | 80 | 191 |
Impaired Loans: Total Unpaid Principal Balance | 91 | 332 |
Consumer [Member] | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' |
Impaired Loans with No Allowance: Unpaid Principal Balance | ' | 578 |
Impaired Loans: Total Recorded Investment | ' | $578 |
Loans_and_Allowance_for_Loan_a5
Loans and Allowance for Loan and Lease Losses (Average Recorded Investment Of Impaired Loans And Related Interest Income By Loan Portfolio Class) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Commercial and industrial [Member] | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Impaired Loans with No Allowance: Average Recorded Investment | $186 | $474 | $188 | $479 |
Impaired Loans with Allowance: Average Recorded Investment | 42 | 242 | 43 | 243 |
Impaired Financing Receivable, Average Recorded Investment, Total | 228 | 716 | 231 | 722 |
Commercial real estate [Member] | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Impaired Loans with No Allowance: Average Recorded Investment | 5,840 | 7,725 | 5,949 | 7,778 |
Impaired Loans with No Allowance: Interest Income Recognized | 123 | ' | 187 | ' |
Impaired Loans with Allowance: Average Recorded Investment | 4,026 | 2,600 | 4,042 | 2,618 |
Impaired Financing Receivable, Average Recorded Investment, Total | 9,866 | 10,325 | 9,991 | 10,396 |
Impaired Financing Receivable, Interest Income Recognized, Total | 123 | ' | 187 | ' |
Commercial real estate - construction [Member] | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Impaired Loans with Allowance: Average Recorded Investment | ' | 54 | ' | 54 |
Impaired Financing Receivable, Average Recorded Investment, Total | ' | 54 | ' | 54 |
Residential mortgage [Member] | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Impaired Loans with No Allowance: Average Recorded Investment | 37 | ' | 64 | ' |
Impaired Loans with Allowance: Average Recorded Investment | 25 | ' | 25 | ' |
Impaired Financing Receivable, Average Recorded Investment, Total | 62 | ' | 89 | ' |
Home equity [Member] | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Impaired Loans with No Allowance: Average Recorded Investment | 29 | 125 | 30 | 126 |
Impaired Loans with No Allowance: Interest Income Recognized | ' | ' | ' | 4 |
Impaired Loans with Allowance: Average Recorded Investment | 53 | 72 | 54 | 72 |
Impaired Financing Receivable, Average Recorded Investment, Total | 82 | 197 | 84 | 198 |
Impaired Financing Receivable, Interest Income Recognized, Total | ' | ' | ' | 4 |
Consumer [Member] | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' |
Impaired Loans with Allowance: Average Recorded Investment | ' | 582 | ' | 582 |
Impaired Financing Receivable, Average Recorded Investment, Total | ' | $582 | ' | $582 |
Loans_and_Allowance_for_Loan_a6
Loans and Allowance for Loan and Lease Losses (Nonaccrual Loans By Classes Of The Loan Portfolio) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Financing Receivable, Recorded Investment, Nonaccrual Status | $10,885 | $11,831 |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Financing Receivable, Recorded Investment, Nonaccrual Status | 227 | 264 |
Commercial real estate [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Financing Receivable, Recorded Investment, Nonaccrual Status | 9,762 | 10,785 |
Commercial real estate - construction [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Financing Receivable, Recorded Investment, Nonaccrual Status | ' | 54 |
Residential mortgage [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Financing Receivable, Recorded Investment, Nonaccrual Status | 766 | 537 |
Home equity [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' |
Financing Receivable, Recorded Investment, Nonaccrual Status | $130 | $191 |
Loans_and_Allowance_for_Loan_a7
Loans and Allowance for Loan and Lease Losses (Loan Portfolio Summarized By The Past Due Status) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 |
In Thousands, unless otherwise specified | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' |
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | $1,759 | $2,501 | ' |
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 695 | 6,016 | ' |
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | 8,681 | 9,214 | ' |
Total Past Due | 11,135 | 17,731 | ' |
Financing Receivable, Recorded Investment, Current | 517,411 | 466,489 | ' |
Total Loans | 528,546 | 484,220 | 483,211 |
Commercial and industrial [Member] | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' |
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 75 | 123 | ' |
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | ' | 361 | ' |
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | 227 | 234 | ' |
Total Past Due | 302 | 718 | ' |
Financing Receivable, Recorded Investment, Current | 91,939 | 77,165 | ' |
Total Loans | 92,241 | 77,883 | 75,798 |
Commercial real estate [Member] | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' |
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 1,610 | 1,785 | ' |
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 647 | 5,618 | ' |
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | 7,607 | 8,248 | ' |
Total Past Due | 9,864 | 15,651 | ' |
Financing Receivable, Recorded Investment, Current | 284,033 | 269,216 | ' |
Total Loans | 293,897 | 284,867 | 281,613 |
Commercial real estate - construction [Member] | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' |
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | ' | 54 | ' |
Total Past Due | ' | 54 | ' |
Financing Receivable, Recorded Investment, Current | 44,170 | 33,177 | ' |
Total Loans | 44,170 | 33,231 | 35,852 |
Lease financing [Member] | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' |
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | ' | 1 | ' |
Total Past Due | ' | 1 | ' |
Financing Receivable, Recorded Investment, Current | 1,475 | 1,304 | ' |
Total Loans | 1,475 | 1,305 | 1,575 |
Residential mortgage [Member] | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' |
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 1 | 495 | ' |
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 41 | 35 | ' |
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | 746 | 531 | ' |
Total Past Due | 788 | 1,061 | ' |
Financing Receivable, Recorded Investment, Current | 66,072 | 56,394 | ' |
Total Loans | 66,860 | 57,455 | 57,068 |
Home equity [Member] | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' |
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | 73 | 96 | ' |
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due | 101 | 147 | ' |
Total Past Due | 174 | 243 | ' |
Financing Receivable, Recorded Investment, Current | 24,275 | 22,677 | ' |
Total Loans | 24,449 | 22,920 | 24,003 |
Consumer [Member] | ' | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ' | ' | ' |
Financing Receivable, Recorded Investment, 30 to 59 Days Past Due | ' | 1 | ' |
Financing Receivable, Recorded Investment, 60 to 89 Days Past Due | 7 | 2 | ' |
Total Past Due | 7 | 3 | ' |
Financing Receivable, Recorded Investment, Current | 5,447 | 6,556 | ' |
Total Loans | $5,454 | $6,559 | $7,302 |
Loans_and_Allowance_for_Loan_a8
Loans and Allowance for Loan and Lease Losses (Allowance For Loan Losses And Recorded Investment In Financing Receivables) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||||||||||||||||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Dec. 31, 2011 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Commercial and industrial [Member] | Commercial and industrial [Member] | Commercial and industrial [Member] | Commercial and industrial [Member] | Commercial and industrial [Member] | Commercial real estate [Member] | Commercial real estate [Member] | Commercial real estate [Member] | Commercial real estate [Member] | Commercial real estate [Member] | Commercial real estate - construction [Member] | Commercial real estate - construction [Member] | Commercial real estate - construction [Member] | Commercial real estate - construction [Member] | Commercial real estate - construction [Member] | Lease financing [Member] | Lease financing [Member] | Lease financing [Member] | Lease financing [Member] | Lease financing [Member] | Lease financing [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Home equity [Member] | Home equity [Member] | Home equity [Member] | Home equity [Member] | Home equity [Member] | Consumer [Member] | Consumer [Member] | Consumer [Member] | Consumer [Member] | Consumer [Member] | Unallocated [Member] | Unallocated [Member] | Unallocated [Member] | Unallocated [Member] | Unallocated [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for loan and lease losses, Beginning Balance | $6,267 | $6,585 | $5,509 | $6,772 | ' | $1,249 | $1,583 | $1,298 | $2,274 | ' | $3,819 | $3,440 | $3,112 | $3,544 | ' | $36 | $27 | $64 | $23 | ' | $1 | $1 | ' | $2 | $2 | $2 | $660 | $475 | $581 | $362 | ' | $409 | $341 | $343 | $337 | ' | $91 | $530 | $101 | $87 | ' | $2 | $187 | $9 | $143 | ' |
Charge-offs | -1,077 | -324 | -1,357 | -1,075 | ' | -161 | -212 | -182 | -428 | ' | -759 | -1 | -877 | -456 | ' | -17 | ' | -17 | -5 | ' | ' | ' | ' | ' | ' | ' | -41 | -105 | -167 | -174 | ' | -91 | ' | -91 | ' | ' | -8 | -6 | -23 | -12 | ' | ' | ' | ' | ' | ' |
Recoveries | 28 | 28 | 156 | 67 | ' | 10 | 8 | 26 | 16 | ' | 8 | 4 | 13 | 9 | ' | ' | ' | 8 | 2 | ' | 2 | 2 | ' | ' | ' | ' | ' | ' | 23 | ' | ' | ' | ' | 5 | 9 | ' | 8 | 16 | 79 | 31 | ' | ' | ' | ' | ' | ' |
Provision for loan and lease losses | 575 | 150 | 1,485 | 675 | ' | 56 | -82 | 12 | -565 | ' | 902 | -62 | 1,722 | 284 | ' | -9 | 51 | -45 | 58 | ' | -2 | -2 | ' | ' | ' | ' | -239 | 144 | -57 | 326 | ' | -81 | 26 | -20 | 21 | ' | -7 | 109 | -73 | 543 | ' | -45 | -36 | -52 | 8 | ' |
Allowance for Loan Losses, Ending Balance | 5,793 | 6,439 | 5,793 | 6,439 | ' | 1,154 | 1,297 | 1,154 | 1,297 | ' | 3,970 | 3,381 | 3,970 | 3,381 | ' | 10 | 78 | 10 | 78 | ' | 1 | 1 | ' | 2 | 2 | 2 | 380 | 514 | 380 | 514 | ' | 237 | 367 | 237 | 367 | ' | 84 | 649 | 84 | 649 | ' | -43 | 151 | -43 | 151 | ' |
Allowance for loan losses: Ending balance: individually evaluated for impairment | 1,498 | 2,107 | 1,498 | 2,107 | 1,383 | 42 | 112 | 42 | 112 | 111 | 1,423 | 1,338 | 1,423 | 1,338 | 1,200 | ' | 54 | ' | 54 | 54 | ' | ' | ' | ' | ' | ' | 25 | ' | 25 | ' | ' | 8 | 25 | 8 | 25 | 18 | ' | 578 | ' | 578 | ' | ' | ' | ' | ' | ' |
Allowance for loan losses: Ending balance: collectively evaluated for impairment | 4,295 | 4,332 | 4,295 | 4,332 | 4,126 | 1,112 | 1,185 | 1,112 | 1,185 | 1,187 | 2,547 | 2,043 | 2,547 | 2,043 | 1,912 | 10 | 24 | 10 | 24 | 10 | 1 | 1 | 1 | 2 | ' | ' | 355 | 514 | 355 | 514 | 581 | 229 | 342 | 229 | 342 | 325 | 84 | 71 | 84 | 71 | 101 | -43 | 151 | -43 | 151 | 9 |
Loans receivables, Ending Balance | 528,546 | 483,211 | 528,546 | 483,211 | 484,220 | 92,241 | 75,798 | 92,241 | 75,798 | 77,883 | 293,897 | 281,613 | 293,897 | 281,613 | 284,867 | 44,170 | 35,852 | 44,170 | 35,852 | 33,231 | 1,475 | 1,475 | 1,305 | 1,575 | ' | ' | 66,860 | 57,068 | 66,860 | 57,068 | 57,455 | 24,449 | 24,003 | 24,449 | 24,003 | 22,920 | 5,454 | 7,302 | 5,454 | 7,302 | 6,559 | ' | ' | ' | ' | ' |
Loans receivables: Ending balance: individually evaluated for impairment | 10,110 | 10,976 | 10,110 | 10,976 | 9,744 | 227 | 421 | 227 | 421 | 415 | 9,762 | 9,822 | 9,762 | 9,822 | 9,084 | ' | 54 | ' | 54 | 54 | ' | ' | ' | ' | ' | ' | 41 | ' | 41 | ' | ' | 80 | 101 | 80 | 101 | 191 | ' | 578 | ' | 578 | ' | ' | ' | ' | ' | ' |
Loans Receivable: Ending balance: collectively evaluated for impairment | $518,436 | $472,235 | $518,436 | $472,235 | $474,476 | $92,014 | $75,377 | $92,014 | $75,377 | $77,468 | $284,135 | $271,791 | $284,135 | $271,791 | $275,783 | $44,170 | $35,798 | $44,170 | $35,798 | $33,177 | $1,475 | $1,475 | $1,305 | $1,575 | ' | ' | $66,819 | $57,068 | $66,819 | $57,068 | $57,455 | $24,369 | $23,902 | $24,369 | $23,902 | $22,729 | $5,454 | $6,724 | $5,454 | $6,724 | $6,559 | ' | ' | ' | ' | ' |
Loans_and_Allowance_for_Loan_a9
Loans and Allowance for Loan and Lease Losses (Troubled Debt Restructurings) (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
loan | ||
Financing Receivable, Modifications [Line Items] | ' | ' |
Financing Receivable, Modifications, Number of Contracts | 5 | ' |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | $13,809 | $7,924 |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 9,788 | 4,335 |
Recorded Investment | 8,567 | 3,394 |
Troubled Debt Restructurings Occurring During The Current Reporting Period [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | 6,165 | ' |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 5,662 | ' |
Recorded Investment | 5,662 | ' |
Commercial and industrial [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | 40 | 40 |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 35 | 35 |
Recorded Investment | 29 | 30 |
Commercial real estate [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Financing Receivable, Modifications, Number of Contracts | 3 | ' |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | 13,346 | 7,326 |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 9,336 | 3,748 |
Recorded Investment | 8,268 | 2,916 |
Commercial real estate [Member] | Troubled Debt Restructurings Occurring During The Current Reporting Period [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | 6,091 | ' |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 5,588 | ' |
Recorded Investment | 5,588 | ' |
Residential mortgage [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Financing Receivable, Modifications, Number of Contracts | 2 | ' |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | 423 | 558 |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 417 | 552 |
Recorded Investment | 270 | 448 |
Residential mortgage [Member] | Troubled Debt Restructurings Occurring During The Current Reporting Period [Member] | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' |
Financing Receivable, Modifications, Pre-Modification Recorded Investment | 74 | ' |
Financing Receivable, Modifications, Post-Modification Recorded Investment | 74 | ' |
Recorded Investment | $74 | ' |
Fair_Value_Measurements_Assets
Fair Value Measurements (Assets Measured at Fair Value on Recurring Basis) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | $119,770 | $154,295 |
Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 524 | 390 |
Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 119,246 | 153,905 |
U.S. Treasury and U.S. government agencies [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 12,914 | 17,740 |
U.S. Treasury and U.S. government agencies [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 12,914 | 17,740 |
Mortgage-backed U.S. government agencies [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 42,373 | 66,686 |
Mortgage-backed U.S. government agencies [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 42,373 | 66,686 |
State and political subdivision obligations [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 62,939 | 69,479 |
State and political subdivision obligations [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 62,939 | 69,479 |
Equity securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 1,544 | 390 |
Equity securities [Member] | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 524 | 390 |
Equity securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | $1,020 | ' |
Fair_Value_Measurements_Fair_V
Fair Value Measurements (Fair Value Measurements, Nonrecurring) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Impaired Loan [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | $3,948 | $3,075 |
Foreclosed Assets Held for Sale [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 441 | 105 |
Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) [Member] | Impaired Loan [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | ' | ' |
Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) [Member] | Foreclosed Assets Held for Sale [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Impaired Loan [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Foreclosed Assets Held for Sale [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Impaired Loan [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | 3,948 | 3,075 |
Significant Unobservable Inputs (Level 3) [Member] | Foreclosed Assets Held for Sale [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets, Fair Value Disclosure, Nonrecurring | $441 | $105 |
Fair_Value_Measurements_Fair_V1
Fair Value Measurements (Fair Value Inputs, Assets, Quantitative Information) (Details) (USD $) | 9 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 | ||
Impaired Loan [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure, Nonrecurring | $3,948 | $3,075 | ||
Fair Value Measurements, Valuation Techniques | 'Appraisal of collateral (1) | [1] | 'Appraisal of collateral (1) | [1] |
Foreclosed Assets Held for Sale [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure, Nonrecurring | 441 | 105 | ||
Fair Value Measurements, Valuation Techniques | 'Appraisal of collateral (1), (3) | [1],[2] | 'Appraisal of collateral (1), (3) | [1],[2] |
Significant Unobservable Inputs (Level 3) [Member] | Impaired Loan [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure, Nonrecurring | 3,948 | 3,075 | ||
Significant Unobservable Inputs (Level 3) [Member] | Foreclosed Assets Held for Sale [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure, Nonrecurring | $441 | $105 | ||
Significant Unobservable Inputs (Level 3) [Member] | Minimum [Member] | Impaired Loan [Member] | Unobservable Input Appraisal Adjustments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 10.00% | 10.00% | ||
Significant Unobservable Inputs (Level 3) [Member] | Minimum [Member] | Foreclosed Assets Held for Sale [Member] | Unobservable Input Appraisal Adjustments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 15.00% | 15.00% | ||
Significant Unobservable Inputs (Level 3) [Member] | Maximum [Member] | Impaired Loan [Member] | Unobservable Input Appraisal Adjustments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 95.00% | 95.00% | ||
Significant Unobservable Inputs (Level 3) [Member] | Maximum [Member] | Foreclosed Assets Held for Sale [Member] | Unobservable Input Appraisal Adjustments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 40.00% | 40.00% | ||
Significant Unobservable Inputs (Level 3) [Member] | Weighted Average [Member] | Impaired Loan [Member] | Unobservable Input Appraisal Adjustments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 28.00% | 28.00% | ||
Significant Unobservable Inputs (Level 3) [Member] | Weighted Average [Member] | Foreclosed Assets Held for Sale [Member] | Unobservable Input Appraisal Adjustments [Member] | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Fair Value Inputs, Discount Rate | 24.00% | 24.00% | ||
[1] | Fair value is generally determined through independent appraisals of the underlying collateral, which generally includes various level 3 inputs which are not identifiable. | |||
[2] | Includes qualitative adjustments by management and estimated liquidation expenses. |
Fair_Value_Measurements_Fair_V2
Fair Value Measurements (Fair Value, by Balance Sheet Grouping) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial Assets: Cash and cash equivalents | $13,217 | $15,473 |
Financial Assets: Interest-bearing time balances with other financial institutions | 7,861 | 23,563 |
Available-for-sale Securities | 119,770 | 154,295 |
Financial Assets: Net loans and leases | 531,068 | 495,181 |
Financial Assets: Restricted investment in bank stocks | 1,895 | 2,503 |
Financial Assets: Accrued interest receivable | 2,684 | 2,893 |
Financial Assets: Mortgage servicing rights | 157 | 233 |
Financial Liabilities: Deposits | 623,309 | 629,096 |
Financial Liabilities: Short-term borrowings | 9,245 | ' |
Financial Liabilities: Long-term debt | 8,757 | 23,240 |
Financial Liabilities: Accrued interest payable | 803 | 620 |
Financial Assets: Cash and cash equivalents, Carrying Value | 13,217 | 15,473 |
Financial Assets: Interest bearing time balances with other financial institutions, Carrying Value | 7,861 | 23,563 |
Financial Assets: Net loans and leases, Carrying Value | 522,753 | 478,711 |
Financial Assets: Restricted investment in bank stocks, Carrying Value | 1,895 | 2,503 |
Financial Assets: Acrued interest receivable, Carrying Value | 2,684 | 2,893 |
Financial Assets: Mortgage Servicing Rights, Carrying Value | 157 | 233 |
Financial Liabilities: Deposits, Carrying Value | 620,854 | 625,461 |
Financial Liabilities: Short-term borrowings, Carrying Value | 9,245 | ' |
Financial Liabilities: Long-term debt, Carrying Value | 8,190 | 22,510 |
Financial Liabilities: Accrued interest payable, Carrying Value | 803 | 620 |
Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 524 | 390 |
Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Available-for-sale Securities | 119,246 | 153,905 |
Financial Liabilities: Deposits | 623,309 | ' |
Financial Liabilities: Long-term debt | 8,757 | ' |
Significant Unobservable Inputs (Level 3) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial Assets: Net loans and leases | 531,068 | ' |
Commitments to Extend Credit [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Off-balance sheet financial instruments | 0 | 0 |
Off-balance sheet financial instruments, Carrying Value | 0 | 0 |
Standby Letters Of Credit [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Off-balance sheet financial instruments | 0 | 0 |
Off-balance sheet financial instruments, Carrying Value | $0 | $0 |
Guarantees_Narrative_Details
Guarantees (Narrative) (Details) (Standby Letters Of Credit [Member], USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Standby Letters Of Credit [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Concentration Risk, Credit Risk, Financial Instrument, Maximum Exposure | $8,672 | $10,417 |
Defined_Benefit_Plans_Net_Peri
Defined Benefit Plans (Net Periodic Benefit Costs) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Pension Benefits [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Service Cost | $8 | $5 | $24 | $16 |
Interest Cost | 11 | 11 | 33 | 34 |
Amortization of prior service cost | 5 | 6 | 16 | 17 |
Net periodic postretirement benefit cost | 24 | 22 | 73 | 67 |
Other Benefits [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Service Cost | 4 | 5 | 13 | 15 |
Interest Cost | 9 | 9 | 26 | 27 |
Amortization of prior service cost | ' | 1 | 1 | 2 |
Net periodic postretirement benefit cost | $13 | $15 | $40 | $44 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Accumulated Other Comprehensive Income, Net of Taxes) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accumulated Other Comprehensive Income, Net of Taxes [Abstract] | ' | ' |
Unrealized Gains on Securities | ($303) | $2,433 |
Defined Benefit Plan Liability | -130 | -140 |
Accumulated Other Comprehensive Income | ($433) | $2,293 |
Preferred_Stock_Narrative_Deta
Preferred Stock (Narrative) (Details) (USD $) | 0 Months Ended | 0 Months Ended | |||
Jan. 23, 2013 | Sep. 30, 2012 | Dec. 19, 2008 | Dec. 28, 2012 | Dec. 19, 2008 | |
Preferred Class A [Member] | Preferred Class A [Member] | ||||
Class of Stock [Line Items] | ' | ' | ' | ' | ' |
US Department of the Treasury Investment under the Treasury's Capital Purchase Program | ' | ' | ' | ' | $10,000,000 |
Preferred Stock, Shares Issued | ' | ' | ' | ' | 10,000 |
Preferred Stock, Liquidation Preference, Value | ' | ' | ' | ' | 1,000 |
Warrants and Rights Outstanding | ' | ' | 73,099 | ' | ' |
Class of Warrant or Right, Exercise Price of Warrants or Rights | ' | 20.52 | 20.52 | ' | ' |
Stock Repurchased and Retired During Period, Shares | ' | ' | ' | 10,000 | ' |
Stock Repurchased and Retired During Period, Value | ' | ' | ' | 10,000,000 | ' |
Dividends, Preferred Stock, Cash | ' | ' | ' | 59,722 | ' |
Stock Warrants Repurchased and Retired During Period, Purchase Price | $58,479 | ' | ' | ' | ' |
Stock_Issued_Under_Private_Pla2
Stock Issued Under Private Placement Offering (Narrative) (Details) (Preferred Class B [Member], USD $) | 0 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Jan. 03, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Jan. 03, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | |
Preferred Class B [Member] | ' | ' | ' | ' | ' | ' | ' |
Development Stage Entities, Stock Issued, Shares, Issued for Cash | 120 | 345 | 4,535 | 4,880 | ' | 120 | 5,000 |
Proceeds from Issuance of Private Placement | ' | $345,000 | $4,535,000 | $4,880,000 | $5,000,000 | $120,000 | $5,000,000 |
Payments of Stock Issuance Costs | ' | ' | ' | $50,000 | ' | ' | ' |
Preferred Stock, Dividend Rate, Percentage | ' | ' | ' | ' | ' | 7.00% | ' |
Preferred Stock, Dividend Rate, Per Share Amount | ' | ' | ' | ' | ' | $70 | ' |
Preferred Stock, Dividend Payment Terms | ' | ' | ' | ' | ' | 'Dividends on any of Series B Preferred Stock are non-cumulative and we currently expect them to be declared quarterly for payment on February 15, May 15, August 15, and November 15 of each year | ' |
Preferred Stock, Redemption Price Per Share | ' | ' | ' | ' | ' | $1,020 | $1,020 |
Stock_Issued_Under_Private_Pla3
Stock Issued Under Private Placement Offering (Proceeds from Private Placement) (Details) (Preferred Class B [Member], USD $) | 0 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Jan. 03, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Jan. 03, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | |
Preferred Class B [Member] | ' | ' | ' | ' | ' | ' | ' |
Development Stage Entities, Stock Issued, Shares, Issued for Cash | 120 | 345 | 4,535 | 4,880 | ' | 120 | 5,000 |
Proceeds from Issuance of Private Placement | ' | $345,000 | $4,535,000 | $4,880,000 | $5,000,000 | $120,000 | $5,000,000 |
Earnings_Per_Common_Share_Basi
Earnings Per Common Share (Basic and Diluted Earnings Per Share Computation) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 19, 2008 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' | ' |
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | ' | 73,099 | ' | 73,099 | ' |
Class of Warrant or Right, Exercise Price of Warrants or Rights | ' | 20.52 | ' | 20.52 | 20.52 |
Net income | $1,488 | $1,266 | $3,539 | $3,760 | ' |
Net income available to common shareholders | 1,400 | 1,138 | 3,303 | 3,375 | ' |
Weighted average common shares outstanding | 3,492,228 | 3,487,176 | 3,491,651 | 3,485,865 | ' |
Basic earnings per common share | $0.40 | $0.33 | $0.95 | $0.97 | ' |
Adjusted weighted-average common shares outstanding | 3,492,228 | 3,487,176 | 3,491,651 | 3,485,865 | ' |
Diluted earnings per common share | $0.40 | $0.33 | $0.95 | $0.97 | ' |
Series A Preferred Stock [Member] | ' | ' | ' | ' | ' |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' | ' |
Less: Dividends on preferred stock | ' | -125 | ' | -375 | ' |
Less: Accretion of preferred stock discount | ' | -3 | -14 | -10 | ' |
Series B Preferred Stock [Member] | ' | ' | ' | ' | ' |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' | ' |
Less: Dividends on preferred stock | ($88) | ' | ($222) | ' | ' |