Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2016 | Nov. 01, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | PREMIER FINANCIAL BANCORP INC | |
Entity Central Index Key | 887,919 | |
Current Fiscal Year End Date | --12-31 | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 9,665,128 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q3 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2016 |
CONSOLIDATED BALANCE SHEETS (UN
CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and due from banks | $ 40,250 | $ 33,888 |
Interest bearing bank balances | 47,577 | 32,816 |
Federal funds sold | 6,861 | 5,835 |
Cash and cash equivalents | 94,688 | 72,539 |
Securities available for sale | 295,211 | 255,466 |
Loans | 1,033,945 | 849,746 |
Allowance for loan losses | (10,863) | (9,647) |
Net loans | 1,023,082 | 840,099 |
Federal Home Loan Bank stock, at cost | 3,220 | 3,072 |
Premises and equipment, net | 24,632 | 19,841 |
Real estate and other property acquired through foreclosure | 12,293 | 13,040 |
Interest receivable | 4,019 | 3,162 |
Goodwill | 35,371 | 33,796 |
Other intangible assets | 4,626 | 2,180 |
Other assets | 978 | 1,498 |
Total assets | 1,498,120 | 1,244,693 |
Deposits | ||
Non-interest bearing | 314,348 | 271,194 |
Time deposits, $250,000 and over | 66,171 | 64,062 |
Other interest bearing | 893,066 | 724,940 |
Total deposits | 1,273,585 | 1,060,196 |
Securities sold under agreements to repurchase | 27,145 | 21,694 |
FHLB advances | 531 | 0 |
Other borrowed funds | 9,467 | 11,292 |
Subordinated debt | 5,333 | 0 |
Interest payable | 332 | 321 |
Other liabilities | 4,296 | 3,958 |
Total liabilities | 1,320,689 | 1,097,461 |
Stockholders' equity | ||
Common stock, no par value; 20,000,000 shares authorized; 9,665,128 shares issued and outstanding at September 30, 2016, and 8,179,731 shares issued and outstanding at December 31, 2015 | 92,165 | 69,319 |
Retained earnings | 82,021 | 77,592 |
Accumulated other comprehensive income | 3,245 | 321 |
Total stockholders' equity | 177,431 | 147,232 |
Total liabilities and stockholders' equity | $ 1,498,120 | $ 1,244,693 |
CONSOLIDATED BALANCE SHEETS (U3
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - $ / shares | Sep. 30, 2016 | Dec. 31, 2015 |
Stockholders' equity | ||
Common stock, par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Common stock, shares issued (in shares) | 9,665,128 | 8,179,731 |
Common stock, shares outstanding (in shares) | 9,665,128 | 8,179,731 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Interest income | ||||
Loans, including fees | $ 13,375 | $ 12,506 | $ 39,084 | $ 35,812 |
Securities available for sale | ||||
Taxable | 1,285 | 1,176 | 4,075 | 3,639 |
Tax-exempt | 82 | 51 | 254 | 162 |
Federal funds sold and other | 123 | 49 | 328 | 137 |
Total interest income | 14,865 | 13,782 | 43,741 | 39,750 |
Interest expense | ||||
Deposits | 965 | 858 | 2,917 | 2,661 |
Repurchase agreements and other | 10 | 9 | 28 | 28 |
FHLB advances | 10 | 0 | 32 | 0 |
Other borrowings | 101 | 132 | 321 | 391 |
Subordinated debt | 63 | 0 | 181 | 0 |
Total interest expense | 1,149 | 999 | 3,479 | 3,080 |
Net interest income | 13,716 | 12,783 | 40,262 | 36,670 |
Provision for loan losses | 312 | 309 | 1,436 | 232 |
Net interest income after provision for loan losses | 13,404 | 12,474 | 38,826 | 36,438 |
Non-interest income | ||||
Service charges on deposit accounts | 1,031 | 948 | 2,975 | 2,740 |
Electronic banking income | 791 | 670 | 2,355 | 2,016 |
Secondary market mortgage income | 64 | 38 | 163 | 98 |
Other | 176 | 146 | 571 | 415 |
Total non-interest income | 2,062 | 1,802 | 6,064 | 5,269 |
Non-interest expenses | ||||
Salaries and employee benefits | 4,817 | 4,149 | 15,025 | 12,965 |
Occupancy and equipment expenses | 1,635 | 1,328 | 4,697 | 3,918 |
Outside data processing | 1,300 | 1,104 | 3,935 | 3,275 |
Professional fees | 167 | 189 | 500 | 497 |
Taxes, other than payroll, property and income | 156 | 135 | 473 | 476 |
Write-downs, expenses, sales of other real estate owned, net | 765 | 669 | 1,402 | 1,351 |
Amortization of intangibles | 278 | 210 | 862 | 644 |
FDIC insurance | 278 | 232 | 752 | 653 |
Conversion expense | 1 | 0 | 196 | 0 |
Other expenses | 1,211 | 1,070 | 3,478 | 3,028 |
Total non-interest expenses | 10,608 | 9,086 | 31,320 | 26,807 |
Income before income taxes | 4,858 | 5,190 | 13,570 | 14,900 |
Provision for income taxes | 1,694 | 1,865 | 4,803 | 5,306 |
Net income | $ 3,164 | $ 3,325 | $ 8,767 | $ 9,594 |
Net income per share: | ||||
Basic (in dollars per share) | $ 0.33 | $ 0.41 | $ 0.92 | $ 1.18 |
Diluted (in dollars per share) | $ 0.33 | $ 0.40 | $ 0.91 | $ 1.14 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (UNAUDITED) [Abstract] | ||||
Net income | $ 3,164 | $ 3,325 | $ 8,767 | $ 9,594 |
Other comprehensive income (loss): | ||||
Unrealized gains (losses) arising during the period | 15 | 732 | 4,504 | 456 |
Reclassification of realized amount | 0 | 0 | (4) | 0 |
Net change in unrealized gain on securities | 15 | 732 | 4,500 | 456 |
Less tax impact | (5) | (249) | (1,576) | (155) |
Other comprehensive income (loss) | 10 | 483 | 2,924 | 301 |
Comprehensive income | $ 3,174 | $ 3,808 | $ 11,691 | $ 9,895 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) - 9 months ended Sep. 30, 2016 - USD ($) $ in Thousands | Common Stock [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] | Total |
Balances at Dec. 31, 2015 | $ 69,319 | $ 77,592 | $ 321 | $ 147,232 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Net income | 0 | 8,767 | 0 | 8,767 |
Other comprehensive income | 0 | 0 | 2,924 | 2,924 |
Cash dividends paid ($0.45 per share) | 0 | (4,338) | 0 | (4,338) |
Stock issued to acquire subsidiary | 22,041 | 0 | 0 | 22,041 |
Stock based compensation expense | 160 | 0 | 0 | 160 |
Stock options exercised | 645 | 0 | 0 | 645 |
Balances at Sep. 30, 2016 | $ 92,165 | $ 82,021 | $ 3,245 | $ 177,431 |
CONSOLIDATED STATEMENT OF CHAN7
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) (Parenthetical) | 9 Months Ended |
Sep. 30, 2016$ / shares | |
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) [Abstract] | |
Cash dividends paid (in dollars per share) | $ 0.45 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Cash flows from operating activities | ||
Net income | $ 8,767 | $ 9,594 |
Adjustments to reconcile net income to net cash from operating activities | ||
Depreciation | 1,461 | 1,290 |
Provision for loan losses | 1,436 | 232 |
Amortization (accretion), net | 2,010 | 154 |
OREO writedowns, net | 508 | 625 |
Stock compensation expense | 160 | 188 |
Loans originated for sale | 0 | (1,679) |
Secondary market loans sold | 0 | 1,941 |
Secondary market income | 0 | (38) |
Changes in: | ||
Interest receivable | (259) | (188) |
Other assets | (140) | 221 |
Interest payable | (76) | (95) |
Other liabilities | (2,071) | 337 |
Net cash from operating activities | 11,796 | 12,582 |
Cash flows from investing activities | ||
Purchases of securities available for sale | (22,512) | (51,610) |
Proceeds from maturities and calls of securities available for sale | 62,011 | 52,396 |
Purchase of FHLB stock | 0 | (76) |
Redemption of FRB and FHLB stock | 190 | 0 |
Net change in loans | (51,417) | 19,330 |
Acquisition of subsidiary, net of cash received | 16,385 | 0 |
Purchases of premises and equipment, net | (413) | (624) |
Improvements to OREO property | 0 | (29) |
Proceeds from sales of other real estate acquired through foreclosure | 870 | 4,424 |
Net cash from investing activities | 5,114 | 23,811 |
Cash flows from financing activities | ||
Net change in deposits | 8,246 | 3,648 |
Net change in agreements to repurchase securities | 3,282 | 4,952 |
Repayment of other borrowed funds | (1,824) | (15,669) |
Proceeds from other borrowings | 0 | 15,946 |
Proceeds from stock option exercises | 645 | 218 |
Purchase of warrant | 0 | (5,675) |
Repayment of FHLB advances, net | (772) | 0 |
Common stock dividends paid | (4,338) | (3,346) |
Net cash from financing activities | 5,239 | 74 |
Net change in cash and cash equivalents | 22,149 | 36,467 |
Cash and cash equivalents at beginning of period | 72,539 | 75,384 |
Cash and cash equivalents at end of period | 94,688 | 111,851 |
Supplemental disclosures of cash flow information: | ||
Cash paid during period for interest | 3,555 | 3,175 |
Cash paid during period for income taxes | 5,122 | 4,686 |
Loans transferred to real estate acquired through foreclosure | 631 | 5,726 |
Stock issued to acquire subsidiary | 22,041 | 0 |
Premises transferred to other real estate owned | $ 0 | $ 760 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2016 | |
BASIS OF PRESENTATION [Abstract] | |
BASIS OF PRESENTATION | NOTE 1 - BASIS OF PRESENTATION The consolidated financial statements include the accounts of Premier Financial Bancorp, Inc. (the Company) and its wholly owned subsidiaries (the “Banks”): September 30, 2016 Year Total Net Income Subsidiary Location Acquired Assets Qtr YTD Citizens Deposit Bank & Trust Vanceburg, Kentucky 1991 $ 403,077 $ 1,035 $ 3,277 Premier Bank, Inc. Huntington, West Virginia 1998 1,093,654 2,566 6,933 Parent and Intercompany Eliminations 1,389 (437 ) (1,443 ) Consolidated Total $ 1,498,120 $ 3,164 $ 8,767 All significant intercompany transactions and balances have been eliminated. Recently Issued Accounting Pronouncements In May 2014, FASB issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers (Topic 606) In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). In March 2016, the FASB issued ASU No. 2016-09, Compensation—Stock Compensation: Improvements to Employee Share-Based Payment Accounting In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses: Measurement of Credit Losses on Financial Instruments |
SECURITIES
SECURITIES | 9 Months Ended |
Sep. 30, 2016 | |
SECURITIES [Abstract] | |
SECURITIES | NOTE 2 –SECURITIES Amortized cost and fair value of investment securities, by category, at September 30, 2016 are summarized as follows: 2016 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Available for sale Mortgage-backed securities U. S. sponsored agency MBS - residential $ 164,992 $ 3,148 $ (12 ) $ 168,128 U. S. sponsored agency CMO’s - residential 81,114 1,482 (74 ) 82,522 Total mortgage-backed securities of government sponsored agencies 246,106 4,630 (86 ) 250,650 U. S. government sponsored agency securities 25,700 167 - 25,867 Obligations of states and political subdivisions 18,414 286 (6 ) 18,694 Total available for sale $ 290,220 $ 5,083 $ (92 ) $ 295,211 Amortized cost and fair value of investment securities, by category, at December 31, 2015 are summarized as follows: 2015 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Available for sale Mortgage-backed securities U. S. sponsored agency MBS - residential $ 132,661 $ 540 $ (854 ) $ 132,347 U. S. sponsored agency CMO’s - residential 104,530 1,330 (738 ) 105,122 Total mortgage-backed securities of government sponsored agencies 237,191 1,870 (1,592 ) 237,469 U. S. government sponsored agency securities 10,401 29 (1 ) 10,429 Obligations of states and political subdivisions 7,387 184 (3 ) 7,568 Total available for sale $ 254,979 $ 2,083 $ (1,596 ) $ 255,466 The amortized cost and fair value of securities at September 30, 2016 by contractual maturity are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Cost Fair Value Available for sale Due in one year or less $ 7,179 $ 7,208 Due after one year through five years 28,038 28,272 Due after five years through ten years 8,089 8,264 Due after ten years 808 817 Mortgage-backed securities of government sponsored agencies 246,106 250,650 Total available for sale $ 290,220 $ 295,211 Securities with unrealized losses at September 30, 2016 aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position are as follows: Less than 12 Months 12 Months or More Total Description of Securities Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S government sponsored agency MBS – residential $ 10,494 $ (12 ) $ - $ - $ 10,494 $ (12 ) U.S government sponsored agency CMO’s – residential 6,833 (3 ) 9,543 (71 ) 16,376 (74 ) Obligations of states and political subdivisions 2,350 (6 ) - - 2,350 (6 ) Total temporarily impaired $ 19,677 $ (21 ) $ 9,543 $ (71 ) $ 29,220 $ (92 ) Securities with unrealized losses at December 31, 2015 aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position are as follows: Less than 12 Months 12 Months or More Total Description of Securities Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S government sponsored agency securities $ 2,016 $ (1 ) $ - $ - $ 2,016 $ (1 ) U.S government sponsored agency MBS – residential 94,311 (854 ) - - 94,311 (854 ) U.S government sponsored agency CMO’s – residential 11,604 (161 ) 19,755 (577 ) 31,359 (738 ) Obligations of states and political subdivisions 571 (3 ) - - 571 (3 ) Total temporarily impaired $ 108,502 $ (1,019 ) $ 19,755 $ (577 ) $ 128,257 $ (1,596 ) The investment portfolio is predominately high credit quality interest-bearing bonds with defined maturity dates backed by the U.S. Government or Government sponsored entities. The unrealized losses at September 30, 2016 and December 31, 2015 are price changes resulting from changes in the interest rate environment and are considered to be temporary declines in the value of the securities. Management does not intend to sell and it is likely that management will not be required to sell the securities prior to their anticipated recovery. Their fair value is expected to recover as the bonds approach their maturity date and/or market conditions improve. |
LOANS
LOANS | 9 Months Ended |
Sep. 30, 2016 | |
LOANS [Abstract] | |
LOANS | NOTE 3 - LOANS Major classifications of loans at September 30, 2016 and December 31, 2015 are summarized as follows: 2016 2015 Residential real estate $ 345,375 $ 285,826 Multifamily real estate 68,483 50,452 Commercial real estate: Owner occupied 138,906 119,265 Non owner occupied 225,027 188,918 Commercial and industrial 77,617 68,339 Consumer 32,205 31,445 All other 146,332 105,501 $ 1,033,945 $ 849,746 As more fully discussed under Note 10 below, the table above includes loans purchased in the acquisition of First National Bankshares Corporation (“Bankshares”). The composition of the major classifications of the loans acquired from Bankshares at September 30, 2016 are summarized as follows: 2016 Residential real estate $ 49,424 Multifamily real estate 3,265 Commercial real estate: Owner occupied 20,024 Non owner occupied 9,650 Commercial and industrial 18,361 Consumer 2,427 All other 18,401 $ 121,552 Loan Class Balance Dec 31, 2015 Provision (credit) for loan losses Loans charged-off Recoveries Balance Sept. 30, 2016 Residential real estate $ 2,501 $ 377 $ 107 $ 19 $ 2,790 Multifamily real estate 821 92 - - 913 Commercial real estate: Owner occupied 1,509 (140 ) - 2 1,371 Non owner occupied 2,070 645 - - 2,715 Commercial and industrial 1,033 83 29 42 1,129 Consumer 307 172 232 71 318 All other 1,406 207 207 221 1,627 Total $ 9,647 $ 1,436 $ 575 $ 355 $ 10,863 Activity in the allowance for loan losses by portfolio segment for the nine months ending September 30, 2015 was as follows: Loan Class Balance Dec 31, 2014 Provision (credit) for loan losses Loans charged-off Recoveries Balance Sept. 30, 2015 Residential real estate $ 2,093 $ 557 $ 102 $ 74 $ 2,622 Multifamily real estate 304 291 - - 595 Commercial real estate: Owner occupied 1,501 (3 ) 2 2 1,498 Non owner occupied 2,316 (599 ) - 659 2,376 Commercial and industrial 1,444 71 403 7 1,119 Consumer 243 128 167 82 286 All other 2,446 (213 ) 1,058 154 1,329 Total $ 10,347 $ 232 $ 1,732 $ 978 $ 9,825 Activity in the allowance for loan losses by portfolio segment for the three months ended September 30, 2016 was as follows: Loan Class Balance June 30, 2016 Provision (credit) for loan losses Loans charged-off Recoveries Balance Sept. 30, 2016 Residential real estate $ 2,747 $ 91 $ 51 $ 3 $ 2,790 Multifamily real estate 822 91 - - 913 Commercial real estate: Owner occupied 1,442 (72 ) - 1 1,371 Non owner occupied 2,708 7 - - 2,715 Commercial and industrial 1,111 43 29 4 1,129 Consumer 306 139 142 15 318 All other 1,668 13 81 27 1,627 Total $ 10,804 $ 312 $ 303 $ 50 $ 10,863 Activity in the allowance for loan losses by portfolio segment for the three months ending September 30, 2015 was as follows: Loan Class Balance June 30, 2015 Provision (credit) for loan losses Loans charged-off Recoveries Balance Sept. 30, 2015 Residential real estate $ 2,466 $ 185 $ 35 $ 6 $ 2,622 Multifamily real estate 512 83 - - 595 Commercial real estate: Owner occupied 1,476 21 - 1 1,498 Non owner occupied 2,332 44 - - 2,376 Commercial and industrial 1,139 211 234 3 1,119 Consumer 274 23 35 24 286 All other 2,495 (258 ) 946 38 1,329 Total $ 10,694 $ 309 $ 1,250 $ 72 $ 9,825 Purchased Impaired Loans The Company holds purchased loans for which there was, at their acquisition date, evidence of deterioration of credit quality since their origination and it was probable, at acquisition, that all contractually required payments would not be collected. The carrying amount of those loans is as follows at September 30, 2016 and December 31, 2015. 2016 2015 Residential real estate $ 1,793 $ - Commercial real estate Owner occupied 2,040 131 Non owner occupied 5,436 5,549 Commercial and industrial 361 80 All other 2,058 - Total carrying amount $ 11,688 $ 5,760 Contractual principal balance $ 15,906 $ 7,251 Carrying amount, net of allowance $ 11,676 $ 5,680 For those purchased loans disclosed above, the Company did not increase the allowance for loan losses for the nine-months ended September 30, 2016, nor did it increase the allowance for loan losses for purchased impaired loans during the nine-months ended September 30, 2015. For those purchased loans disclosed above, where the Company can reasonably estimate the cash flows expected to be collected on the loans, a portion of the purchase discount is allocated to an accretable yield adjustment based upon the present value of the future estimated cash flows versus the current carrying value of the loan and the accretable yield portion is being recognized as interest income over the remaining life of the loan. Where the Company cannot reasonably estimate the cash flows expected to be collected on the loans, it has continued to account for those loans using the cost recovery method of income recognition. As such, no portion of a purchase discount adjustment has been determined to meet the definition of an accretable yield adjustment on those loans accounted for using the cost recovery method. If, in the future, cash flows from the borrower(s) can be reasonably estimated, a portion of the purchase discount would be allocated to an accretable yield adjustment based upon the present value of the future estimated cash flows versus the current carrying value of the loan and the accretable yield portion would be recognized as interest income over the remaining life of the loan. Until such accretable yield can be calculated, under the cost recovery method of income recognition, all payments will be used to reduce the carrying value of the loan and no income will be recognized on the loan until the carrying value is reduced to zero. The carrying value of these loans totals $396,000 at September 30, 2016, including $347,000 acquired from Bankshares. Any loan accounted for under the cost recovery method is also included as a non-accrual loan in the amounts presented in the Past Due and Non-performing Loans section below. The accretable yield, or income expected to be collected, on the purchased loans above is as follows at September 30, 2016 and September 30, 2015. 2016 2015 Balance at January 1 $ 185 $ 204 New loans purchased 1,151 - Accretion of income (64 ) (14 ) Reclassification to non-accretable - - Disposals - - Balance at September 30 $ 1,272 $ 190 As part of the acquisition of First National Bankshares Corporation (“Bankshares”) on January 15, 2016, the Company purchased credit impaired loans for which it was probable at acquisition that all contractually required payments would not be collected. The contractually required payments of such loans totaled $10,040,000, while the cash flow expected to be collected at acquisition totaled $8,437,000 and the fair value of the acquired loans totaled $7,286,000. Past Due and Non-performing Loans The following tables present the recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans as of September 30, 2016 and December 31, 2015. The recorded investment in non-accrual loans is less than the principal owed on non-accrual loans due to discounts applied to the carrying value of the loan at time of their acquisition and interest payments made by the borrower which have been used to reduce the recorded investment in the loan rather than recognized as interest income. September 30, 2016 Principal Owed on Non-accrual Loans Recorded Investment in Non-accrual Loans Loans Past Due Over 90 Days, still accruing Residential real estate $ 4,030 $ 2,893 $ 951 Multifamily real estate 71 26 - Commercial real estate Owner occupied 2,103 2,044 - Non owner occupied 244 148 - Commercial and industrial 2,449 1,167 26 Consumer 362 342 48 All other 1,884 1,814 5,747 Total $ 11,143 $ 8,434 $ 6,772 December 31, 2015 Principal Owed on Non-accrual Loans Recorded Investment in Non-accrual Loans Loans Past Due Over 90 Days, still accruing Residential real estate $ 2,367 $ 2,091 $ 867 Multifamily real estate 416 75 - Commercial real estate Owner occupied 791 773 558 Non owner occupied 3,732 3,400 - Commercial and industrial 1,460 337 870 Consumer 257 234 - All other 287 231 737 Total $ 9,310 $ 7,141 $ 3,032 Nonaccrual loans and impaired loans are defined differently. Some loans may be included in both categories, and some may only be included in one category. Nonaccrual loans include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. The following table presents the aging of the recorded investment in past due loans as of September 30, 2016 by class of loans: Loan Class Total Loans 30-89 Days Past Due Greater than 90 days past due Total Past Due Loans Not Past Due Residential real estate $ 345,375 $ 6,659 $ 2,478 $ 9,137 $ 336,238 Multifamily real estate 68,483 12,503 26 12,529 55,954 Commercial real estate: Owner occupied 138,906 361 1,752 2,113 136,793 Non owner occupied 225,027 89 125 214 224,813 Commercial and industrial 77,617 1,557 1,097 2,654 74,963 Consumer 32,205 410 143 553 31,652 All other 146,332 2,005 7,339 9,344 136,988 Total $ 1,033,945 $ 23,584 $ 12,960 $ 36,544 $ 997,401 The following table presents the aging of the recorded investment in past due loans as of December 31, 2015 by class of loans: Loan Class Total Loans 30-89 Days Past Due Greater than 90 days past due Total Past Due Loans Not Past Due Residential real estate $ 285,826 $ 6,298 $ 1,681 $ 7,979 $ 277,847 Multifamily real estate 50,452 1,415 75 1,490 48,962 Commercial real estate: Owner occupied 119,265 1,354 1,195 2,549 116,716 Non owner occupied 188,918 2,481 3,400 5,881 183,037 Commercial and industrial 68,339 220 1,064 1,284 67,055 Consumer 31,445 288 101 389 31,056 All other 105,501 3,157 935 4,092 101,409 Total $ 849,746 $ 15,213 $ 8,451 $ 23,664 $ 826,082 The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of September 30, 2016: Allowance for Loan Losses Loan Balances Loan Class Individually Evaluated for Impairment Collectively Evaluated for Impairment Acquired with Deteriorated Credit Quality Total Individually Evaluated for Impairment Collectively Evaluated for Impairment Acquired with Deteriorated Credit Quality Total Residential real estate $ 3 $ 2,787 $ - $ 2,790 $ 389 $ 343,193 $ 1,793 $ 345,375 Multifamily real estate - 913 - 913 2,598 65,885 - 68,483 Commercial real estate: Owner occupied 41 1,330 - 1,371 2,541 134,325 2,040 138,906 Non-owner occupied 161 2,554 - 2,715 3,146 216,445 5,436 225,027 Commercial and industrial 294 823 12 1,129 1,463 75,793 361 77,617 Consumer - 318 - 318 - 32,205 - 32,205 All other 12 1,615 - 1,627 9,622 134,652 2,058 146,332 Total $ 511 $ 10,340 $ 12 $ 10,863 $ 19,759 $ 1,002,498 $ 11,688 $ 1,033,945 The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of December 31, 2015: Allowance for Loan Losses Loan Balances Loan Class Individually Evaluated for Impairment Collectively Evaluated for Impairment Acquired with Deteriorated Credit Quality Total Individually Evaluated for Impairment Collectively Evaluated for Impairment Acquired with Deteriorated Credit Quality Total Residential real estate $ - $ 2,501 $ - $ 2,501 $ 575 $ 285,251 $ - $ 285,826 Multifamily real estate - 821 - 821 75 50,377 - 50,452 Commercial real estate: Owner occupied 44 1,465 - 1,509 446 118,688 131 119,265 Non-owner occupied 22 2,048 - 2,070 6,502 176,867 5,549 188,918 Commercial and industrial 153 800 80 1,033 544 67,715 80 68,339 Consumer - 307 - 307 - 31,445 - 31,445 All other - 1,406 - 1,406 750 104,751 - 105,501 Total $ 219 $ 9,348 $ 80 $ 9,647 $ 8,892 $ 835,094 $ 5,760 $ 849,746 In the tables below, total individually evaluated impaired loans include certain purchased loans that were acquired with deteriorated credit quality that are still individually evaluated for impairment. The following table presents loans individually evaluated for impairment by class of loans as of September 30, 2016. The table includes $396,000 of loans acquired with deteriorated credit quality that the Company cannot reasonably estimate cash flows such that they are accounted for on the cost recovery method and are still individually evaluated for impairment. Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated With no related allowance recorded: Residential real estate $ 1,034 $ 534 $ - Multifamily real estate 2,940 2,598 - Commercial real estate Owner occupied 2,236 2,190 - Non owner occupied 2,707 2,615 - Commercial and industrial 2,472 1,393 - All other 9,603 9,536 - 20,992 18,866 - With an allowance recorded: Residential real estate $ 41 $ 3 $ 3 Commercial real estate Owner occupied 357 351 41 Non owner occupied 531 531 161 Commercial and industrial 460 318 306 All other 92 86 12 1,481 1,289 523 Total $ 22,473 $ 20,155 $ 523 The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2015. The table includes $80,000 of loans acquired with deteriorated credit quality that the Company cannot reasonably estimate cash flows such that they are accounted for on the cost recovery method and are still individually evaluated for impairment. Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated With no related allowance recorded: Residential real estate $ 636 $ 575 $ - Multifamily real estate 416 75 - Commercial real estate Owner occupied 276 269 - Non owner occupied 6,554 6,222 - Commercial and industrial 1,160 391 - All other 805 750 - 9,847 8,282 - With an allowance recorded: Commercial real estate Owner occupied $ 177 $ 177 $ 44 Non owner occupied 280 280 22 Commercial and industrial 528 233 233 All other - - - 985 690 299 Total $ 10,832 $ 8,972 $ 299 The following table presents the average balance of loans individually evaluated for impairment and interest income recognized on these loans for the nine months ended September 30, 2016 and September 30, 2015. The table includes loans acquired with deteriorated credit quality that are still individually evaluated for impairment. Nine months ended Sept 30, 2016 Nine months ended Sept 30, 2015 Loan Class Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Residential real estate $ 612 $ 16 $ 14 $ 329 $ 5 $ 5 Multifamily real estate 1,580 121 121 1,051 685 685 Commercial real estate: Owner occupied 1,144 3 3 1,157 25 25 Non-owner occupied 5,066 275 273 4,552 137 115 Commercial and industrial 1,155 26 26 856 20 20 All other 3,011 40 6 4,841 43 28 Total $ 12,568 $ 481 $ 443 $ 12,786 $ 915 $ 878 The following table presents the average balance of loans individually evaluated for impairment and interest income recognized on these loans for the three months ended September 30, 2016 and September 30, 2015 The table includes loans acquired with deteriorated credit quality that are still individually evaluated for impairment. Three months ended Sept 30, 2016 Three months ended Sept 30, 2015 Loan Class Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Residential real estate $ 667 $ 5 $ 5 $ 523 $ 3 $ 3 Multifamily real estate 2,594 63 63 305 671 671 Commercial real estate: Owner occupied 1,847 3 3 857 7 7 Non-owner occupied 4,240 175 175 4,304 43 34 Commercial and industrial 1,809 10 10 726 6 6 All other 5,243 33 - 3,487 14 - Total $ 16,400 $ 289 $ 256 $ 10,202 $ 744 $ 721 Troubled Debt Restructurings A loan is classified as a troubled debt restructuring ("TDR") when loan terms are modified due to a borrower's financial difficulties and a concession is granted to a borrower that would not have otherwise been considered. Most of the Company’s loan modifications involve a restructuring of loan terms prior to maturity to temporarily reduce the payment amount and/or to require only interest for a temporary period, usually up to six months. These modifications generally do not meet the definition of a TDR because the modifications are considered to be an insignificant delay in payment. The determination of an insignificant delay in payment is evaluated based on the facts and circumstances of the individual borrower(s). The following table presents TDR’s as of September 30, 2016 and December 31, 2015: September 30, 2016 TDR’s on Non-accrual Other TDR’s Total TDR’s Residential real estate $ 88 $ 471 $ 559 Multifamily real estate - 2,206 2,206 Commercial real estate Owner occupied - 864 864 Non owner occupied - 100 100 Commercial and industrial - 447 447 Consumer - 48 48 All other 751 4,419 5,170 Total $ 839 $ 8,555 $ 9,394 December 31, 2015 TDR’s on Non-accrual Other TDR’s Total TDR’s Residential real estate $ 7 $ 222 $ 229 Multifamily real estate - 2,201 2,201 Commercial real estate Non owner occupied - 454 454 Commercial and industrial - 396 396 All other - 723 723 Total $ 7 $ 3,996 $ 4,003 At September 30, 2016 $227,000 in specific reserves were allocated to loans that had restructured terms. At December 31, 2015 there were no specific reserves allocated to loans that had restructured terms. As of September 30, 2016 and December 31, 2015, there were no commitments to lend additional amounts to these borrowers. The following tables present TDR’s that occurred during the nine months ended September 30, 2016 and September 30, 2015, and three months ended September 30, 2016. During the three months ending September 30, 2015, no new TDR’s occurred. Nine months ended Sept 30, 2016 Nine months ended Sept 30, 2015 Loan Class Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Residential real estate 8 $ 483 $ 483 - $ - $ - Multifamily real estate - - - 1 1,543 1,543 Commercial real estate - Owner occupied 3 865 865 - - - Non owner occupied 1 100 100 - - - Commercial and industrial 1 20 20 - - - All other 1 4,106 4,106 - - - Total 14 $ 5,574 $ 5,574 1 $ 1,543 $ 1,543 Three months ended Sept 30, 2016 Three months ended Sept 30, 2015 Loan Class Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Residential real estate 6 $ 184 $ 184 - $ - $ - Commercial real estate - Owner occupied 1 255 255 - - - All other 1 4,106 4,106 - - - Total 8 $ 4,545 $ 4,545 - $ - $ - The modifications reported above for the three and nine months ended September 30, 2016 involve reducing the borrowers’ required monthly payment by offering extended interest only periods that exceed the timeframes customarily offered by the Company and/or lengthening the amortization period for loan repayment, each in an effort to help the borrowers keep their loan current. The modifications did not include a permanent reduction of the recorded investment in the loans and did not decrease the stated interest rate on loans. The Company increased the allowance for loan losses related to these loans by $35,000 during the three months ended September 30, 2016, and by $204,000 during the nine months ended September 30, 2016. The modification of the multifamily residential real estate loan during the nine months ended September 30, 2015 did not include a permanent reduction of the recorded investment in the loan and did not increase the allowance for loan losses during the period. The modification included a lengthening of the amortization period and reduction in the stated interest rate; however the maturity date was reduced to the end of a fifteen month forbearance period with a balloon payment due at maturity. The modified loan paid in full during the three months ended June 30, 2015. During the three and nine months ended September 30, 2016 and the three and nine months ended September 30, 2015, there were no TDR’s for which there was a payment default within twelve months following the modification. A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. Credit Quality Indicators: The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes non-homogeneous loans, such as commercial, commercial real estate, multifamily residential and commercial purpose loans secured by residential real estate, on a monthly basis. For consumer loans, including consumer loans secured by residential real estate, the analysis involves monitoring the performing status of the loan. At the time such loans become past due by 30 days or more, the Company evaluates the loan to determine if a change in risk category is warranted. The Company uses the following definitions for risk ratings: Special Mention. Loans classified as special mention have a potential weakness that deserves management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution's credit position at some future date. Substandard. Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Doubtful. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans. As of September 30, 2016 and based on the most recent analysis performed, the risk category of loans by class of loans is as follows: Loan Class Pass Special Mention Substandard Doubtful Total Loans Residential real estate $ 330,422 $ 5,048 $ 9,902 $ 3 $ 345,375 Multifamily real estate 64,717 80 3,686 - 68,483 Commercial real estate: Owner occupied 127,557 6,781 4,568 - 138,906 Non-owner occupied 217,023 4,419 3,585 - 225,027 Commercial and industrial 72,553 2,660 2,370 34 77,617 Consumer 31,670 201 334 - 32,205 All other 130,469 5,551 10,312 - 146,332 Total $ 974,411 $ 24,740 $ 34,757 $ 37 $ 1,033,945 As of December 31, 2015, and based on the most recent analysis performed, the risk category of loans by class of loans is as follows: Loan Class Pass Special Mention Substandard Doubtful Total Loans Residential real estate $ 273,741 $ 5,389 $ 6,689 $ 7 $ 285,826 Multifamily real estate 46,135 2,041 2,276 - 50,452 Commercial real estate: Owner occupied 112,989 3,964 2,312 - 119,265 Non-owner occupied 179,179 2,891 6,848 - 188,918 Commercial and industrial 64,563 2,859 873 44 68,339 Consumer 31,000 269 176 - 31,445 All other 101,839 2,490 1,172 - 105,501 Total $ 809,446 $ 19,903 $ 20,346 $ 51 $ 849,746 |
STOCKHOLDERS' EQUITY AND REGULA
STOCKHOLDERS' EQUITY AND REGULATORY MATTERS | 9 Months Ended |
Sep. 30, 2016 | |
STOCKHOLDERS' EQUITY AND REGULATORY MATTERS [Abstract] | |
STOCKHOLDERS' EQUITY AND REGULATORY MATTERS | NOTE 4- STOCKHOLDERS’ EQUITY AND REGULATORY MATTERS The Company’s principal source of funds for dividend payments to shareholders is dividends received from the subsidiary Banks. Banking regulations limit the amount of dividends that may be paid without prior approval of regulatory agencies. Under these regulations, the amount of dividends that may be paid in any calendar year is limited to the current year’s net profits, as defined, combined with the retained net profits of the preceding two years, subject to the capital requirements and additional restrictions as discussed below. During 2016 the Banks could, without prior approval, declare dividends to the Company of approximately $1.1 million plus any 2016 net profits retained to the date of the dividend declaration. The Company and the subsidiary Banks are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Banks must meet specific guidelines that involve quantitative measures of their assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. These quantitative measures established by regulation to ensure capital adequacy require the Company and Banks to maintain minimum amounts and ratios (set forth in the following table) of Common Equity Tier 1 Capital, Tier 1 Capital and Total Capital (as defined in the regulations) to risk-weighted assets (as defined), and of Tier 1 Capital (as defined) to average assets (as defined). Management believes that, as of September 30, 2016 the Company and the Banks meet all quantitative capital adequacy requirements to which they are subject. Beginning in 2016, a new 2.50% capital conservation buffer is being phased-in over the next three-years as a component of regulatory capital. The capital conservation buffer percentage required in 2016 is an additional 0.625% added to the minimum capital ratios, and will be increased by an additional 0.625% each year until fully phased-in in 2019. By maintaining Premier’s regulatory capital ratios in excess of the phased-in capital buffer, the Company will avoid regulatorily imposed limitations on dividends, equity repurchases and discretionary bonus payments to management. Premier’s capital conservation buffer over the minimum total capital to risk-weighted assets ratio at September 30, 2016 was 6.77%, compared to the 0.625% required at September 30, 2016 and the 2.50% fully phased-in capital buffer beginning on January 1, 2019. Shown below is a summary of regulatory capital ratios for the Company: September 30, 2016 December 31, 2015 Regulatory Minimum Requirements To Be Considered Well Capitalized Common Equity Tier 1 Capital (to Risk-Weighted Assets) 13.2% 13.6% 4.5% 6.5% Tier 1 Capital (to Risk-Weighted Assets) 13.7% 13.6% 6.0% 8.0% Total Capital (to Risk-Weighted Assets) 14.8% 14.7% 8.0% 10.0% Tier 1 Capital (to Average Assets) 9.9% 9.4% 4.0% 5.0% As of September 30, 2016, the most recent notification from each of the Banks’ primary Federal regulators categorized the subsidiary Banks as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Banks must maintain the prescribed ratios set forth in the preceding table for Common Equity Tier 1 capital, Tier 1 capital and Total capital. There are no conditions or events since that notification that management believes have changed the Banks’ categories. |
FEDERAL HOME LOAN BANK ADVANCES
FEDERAL HOME LOAN BANK ADVANCES | 9 Months Ended |
Sep. 30, 2016 | |
FEDERAL HOME LOAN BANK ADVANCES [Abstract] | |
FEDERAL HOME LOAN BANK ADVANCES | NOTE 5 – FEDERAL HOME LOAN BANK ADVANCES As part of the acquisition of Bankshares, the Company assumed five amortizing advances from FHLB-Pittsburgh to First National Bank, its wholly owned subsidiary, totaling $1,261,000 as of the January 15, 2016 acquisition date. Since acquisition the company has paid off four of the advances leaving one remaining borrowing which includes a stated fixed interest rate of 4.930%, a penalty for prepayment, and a maturity date of December 2024. The advance is collateralized by FHLB stock and qualifying first mortgage loans owned by the Company. The carrying value of the advance includes the remaining unamortized fair value adjustments recorded as a result of the acquisition of Bankshares on January 15, 2016. Reported interest expense on the advances includes the periodic accretion 2016 $ 12 2017 50 2018 53 2019 55 2020 58 Thereafter 262 Principal amount outstanding at September 30, 2016 $ 490 Carrying amount, net of fair value adjustment at September 30, 2016 $ 531 There were no borrowings outstanding at December 31, 2015. |
SUBORDINATED DEBENTURES
SUBORDINATED DEBENTURES | 9 Months Ended |
Sep. 30, 2016 | |
SUBORDINATED DEBENTURES [Abstract] | |
SUBORDINATED DEBENTURES | NOTE 6 – SUBORDINATED DEBENTURES As part of the acquisition of Bankshares, the Company formally assumed $6,186,000 of junior subordinated debentures (“Debentures”) issued to FNB Capital Trust One (“Trust”), a statutory business trust formed by Bankshares on February 26, 2004. The Debentures were issued to Trust in exchange for ownership of all of the common equity of Trust and the proceeds of mandatorily redeemable securities sold by Trust to third party investors (“Capital Securities”). Interest on the Debentures is payable quarterly to the Trust at a variable interest rate equal to the three month London Interbank Offered Rate (LIBOR) plus 2.95% updated quarterly. The interest rate on the Debentures was 3.665% at September 30, 2016. The carrying value of the Debentures includes the remaining unamortized fair value adjustment recorded as a result of the acquisition of Bankshares on January 15, 2016. Reported interest expense on the Debentures includes the periodic amortization of the fair value adjustment. The Company’s investment in the common stock of the trust is $186,000 and is included in other assets. |
STOCK COMPENSATION EXPENSE
STOCK COMPENSATION EXPENSE | 9 Months Ended |
Sep. 30, 2016 | |
STOCK COMPENSATION EXPENSE [Abstract] | |
STOCK COMPENSATION EXPENSE | NOTE 7 – STOCK COMPENSATION EXPENSE From time to time the Company grants stock options to its employees. The Company estimates the fair value of the options at the time they are granted to employees and expenses that fair value over the vesting period of the option grant. From time to time the Company also grants shares of stock to its employees. The Company uses the closing price of the stock on the date of grant to determine the amount of compensation expense to record as a result of the stock grant. On March 16, 2016, 50,900 incentive stock options were granted out of the 2012 Long Term Incentive Plan at an exercise price of $14.90, the closing market price of Premier’s common stock on the grant date. These options vest in three equal annual installments ending on March 16, 2019. On March 18, 2015, 47,650 incentive stock options were granted out of the 2012 Long Term Incentive Plan at an exercise price of $14.72, the closing market price of Premier’s common stock on the grant date. These options vest in three equal annual installments ending on March 18, 2018. On March 16, 2016, 7,000 shares of Premier’s common stock were granted to President and CEO, Robert W. Walker as stock-based bonus compensation under the 2012 Long Term Incentive Plan. The fair value of the stock at the time of the grant was $14.90 per share based upon the closing price of Premier’s stock on the date of grant and $104,000 of stock-based compensation was recorded as a result. On March 18, 2015, 7,000 shares of Premier’s common stock were granted to President and CEO, Robert W. Walker as stock-based bonus compensation under the 2012 Long Term Incentive Plan. The fair value of the stock at the time of the grant was $14.72 per share based upon the closing price of Premier’s stock on the date of grant and $103,000 of stock-based compensation was recorded as a result. Compensation expense of $160,000 was recorded for the first nine months of 2016 while $188,000 was recorded for the first nine months of 2015, including the compensation expense related to the stock grants to Mr. Walker. Stock-based compensation expense related to incentive stock option grants is recognized ratably over the requisite vesting period for all awards. Unrecognized stock-based compensation expense related to stock options totaled $63,000 at September 30, 2016. This unrecognized expense is expected to be recognized over the next 29 months based on the vesting periods of the options. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 9 Months Ended |
Sep. 30, 2016 | |
EARNINGS PER SHARE [Abstract] | |
EARNINGS PER SHARE | NOTE 8 – EARNINGS PER SHARE A reconciliation of the numerators and denominators of the earnings per common share and earnings per common share assuming dilution computations for the three and nine months ended September 30, 2016 and 2015 is presented below: Three Months Ended Sept 30, Nine Months Ended Sept 30, 2016 2015 2016 2015 Basic earnings per share Income available to common stockholders $ 3,164 $ 3,325 $ 8,767 $ 9,594 Weighted average common shares outstanding 9,660,168 8,172,577 9,553,463 8,158,003 Earnings per share $ 0.33 $ 0.41 $ 0.92 $ 1.18 Diluted earnings per share Income available to common stockholders $ 3,164 $ 3,325 $ 8,767 $ 9,594 Weighted average common shares outstanding 9,660,168 8,172,577 9,553,463 8,158,003 Add dilutive effects of potential additional common stock 55,220 65,090 54,883 259,466 Weighted average common and dilutive potential common shares outstanding 9,715,388 8,237,667 9,608,346 8,417,469 Earnings per share assuming dilution $ 0.33 $ 0.40 $ 0.91 $ 1.14 Stock options for 23,500 shares of common stock were not considered in computing diluted earnings per share for the three and nine months ended September 30, 2015 because they were antidilutive. There were no stock options considered antidilutive for the three or nine months ended September 30, 2016. |
FAIR VALUE
FAIR VALUE | 9 Months Ended |
Sep. 30, 2016 | |
FAIR VALUE [Abstract] | |
FAIR VALUE | NOTE 9 – FAIR VALUE Fair value is the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair value: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. When possible, the Company looks to active and observable markets to price identical assets or liabilities. When identical assets and liabilities are not traded in active markets, the Company looks to observable market data for similar assets and liabilities. However, certain assets and liabilities are not traded in observable markets and the Company must use other valuation methods to develop a fair value. Carrying amount is the estimated fair value for cash and due from banks, Federal funds sold, accrued interest receivable and payable, demand deposits, short-term debt, and variable rate loans or deposits that reprice frequently and fully. It was not practicable to determine the fair value of Federal Home Loan Bank stock due to the restrictions placed on its transferability. For fixed rate loans or deposits and for variable rate loans or deposits with infrequent repricing or repricing limits, fair value is based on discounted cash flows using current market rates applied to the estimated life and credit risk. Fair values for impaired loans are estimated using discounted cash flow analysis or underlying collateral values. Fair value of debt is based on current rates for similar financing. The fair value of commitments to extend credit and standby letters of credit is not material. The Company used the following methods and significant assumptions to estimate the fair value of each type of financial instrument measured on a recurring basis: Investment Securities: The fair values for investment securities are determined by quoted market prices, if available (Level 1). For securities where quoted prices are not available, fair values are calculated based on market prices of similar securities (Level 2). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3). The carrying amounts and estimated fair values of financial instruments at September 30, 2016 were as follows: Fair Value Measurements at September 30, 2016 Using Carrying Amount Level 1 Level 2 Level 3 Total Financial assets Cash and due from banks $ 87,827 $ 87,827 $ - $ - $ 87,827 Federal funds sold 6,861 6,861 - - 6,861 Securities available for sale 295,211 - 295,211 - 295,211 Loans, net 1,023,082 - - 1,020,364 1,020,364 Federal Home Loan Bank stock 3,220 n/a n/a n/a n/a Interest receivable 4,019 - 895 3,124 4,019 Financial liabilities Deposits $ (1,273,585 ) $ (911,302 ) $ (360,793 ) $ - $ (1,272,095 ) Securities sold under agreements to repurchase (27,145 ) - (27,145 ) - (27,145 ) FHLB advances (531 ) - (547 ) - (547 ) Other borrowed funds (9,467 ) - (9,720 ) - (9,720 ) Subordinated Debt (5,333 ) - (5,326 ) - (5,326 ) Interest payable (332 ) (8 ) (324 ) - (332 ) The carrying amounts and estimated fair values of financial instruments at December 31, 2015 were as follows: Fair Value Measurements at December 31, 2015 Using Carrying Amount Level 1 Level 2 Level 3 Total Financial assets Cash and due from banks $ 66,704 $ 66,704 $ - $ - $ 66,704 Federal funds sold 5,835 5,835 - - 5,835 Securities available for sale 255,466 - 255,466 - 255,466 Loans, net 840,099 - - 838,867 838,867 Federal Home Loan Bank stock 3,072 n/a n/a n/a n/a Interest receivable 3,162 - 633 2,529 3,162 Financial liabilities Deposits $ (1,060,196 ) $ (726,018 ) $ (331,747 ) $ - $ (1,057,765 ) Securities sold under agreements to repurchase (21,694 ) - (21,694 ) - (21,694 ) Other borrowed funds (11,292 ) - (11,318 ) - (11,318 ) Interest payable (321 ) (6 ) (315 ) - (321 ) Assets and Liabilities Measured on a Recurring Basis Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurements at September 30, 2016 Using: Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Available for sale Mortgage-backed securities U. S. agency MBS - residential $ 168,128 $ - $ 168,128 $ - U. S. agency CMO’s - residential 82,522 - 82,522 - Total mortgage-backed securities of government sponsored agencies 250,650 - 250,650 - U. S. government sponsored agency securities 25,867 - 25,867 - Obligations of states and political subdivisions 18,694 - 18,694 - Total available for sale $ 295,211 $ - $ 295,211 $ - Fair Value Measurements at December 31, 2015 Using: Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Available for sale Mortgage-backed securities U. S. agency MBS - residential $ 132,347 $ - $ 132,347 $ - U. S. agency CMO’s - residential 105,122 - 105,122 - Total mortgage-backed securities of government sponsored agencies 237,469 - 237,469 - U. S. government sponsored agency securities 10,429 - 10,429 - Obligations of states and political subdivisions 7,568 - 7,568 - Total securities available for sale $ 255,466 $ - $ 255,466 $ - There were no transfers between Level 1 and Level 2 during 2016 or 2015. Assets and Liabilities Measured on a Non-Recurring Basis The Company used the following methods and significant assumptions to estimate the fair value of each type of financial instrument measured on a non-recurring basis: Impaired Loans: The fair value of impaired loans with specific allocations of the allowance for loan losses is generally based on recent collateral appraisals. Real estate appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are typically significant and unique to each property and result in a Level 3 classification of the inputs for determining fair value. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports. Management periodically evaluates the appraised collateral values and will discount the collateral’s appraised value to account for a number of factors including but not limited to the cost of liquidating the collateral, the age of the appraisal, observable deterioration since the appraisal, management’s expertise and knowledge of the client and client’s business, or other factors unique to the collateral. To the extent an adjusted collateral value is lower than the carrying value of an impaired loan, a specific allocation of the allowance for loan losses is assigned to the loan. Other real estate owned (OREO): The fair value of OREO is based on appraisals less cost to sell at the date of foreclosure. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are typically significant and result in a Level 3 classification of the inputs for determining fair value. Management periodically evaluates the appraised values and will discount a property’s appraised value to account for a number of factors including but not limited to the cost of liquidating the collateral, the age of the appraisal, observable deterioration since the appraisal, or other factors unique to the property. To the extent an adjusted appraised value is lower than the carrying value of an OREO property, a direct charge to earnings is recorded as an OREO writedown. Assets and liabilities measured at fair value on a non-recurring basis at September 30, 2016 are summarized below: Fair Value Measurements at September 30, 2016 Using Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Impaired loans: Commercial real estate: Owner occupied $ 310 $ - $ - $ 310 Non-owner occupied 370 - - 370 Commercial and industrial 12 - - 12 All other 74 - - 74 Total impaired loans $ 766 $ - $ - $ 766 Other real estate owned: Residential real estate $ 608 $ - $ - $ 608 Commercial real estate: Owner occupied 259 - - 259 Non-owner occupied 2,253 - - 2,253 All other 4,421 - - 4,421 Total OREO $ 7,541 $ - $ - $ 7,541 Impaired loans, which are measured for impairment using the fair value of the collateral for collateral dependent loans, had a carrying amount of $1,289,000 at September 30, 2016 with a valuation allowance of $523,000 and a carrying amount of $690,000 at December 31, 2015 with a valuation allowance of $299,000. The change resulted in a provision for loan losses of $215,000 for the nine months ended September 30, 2016, compared to an $136,000 provision for loan losses for the nine months ended September 30, 2015 and a $24,000 provision for loan losses for the three months ended September 30, 2016, compared to a $18,000 provision for loan losses for the three months ended September 30, 2015. The detail of impaired loans by loan class is contained in Note 3 above. Other real estate owned measured at fair value less costs to sell, had a net carrying amount of $7,541,000 which is made up of the outstanding balance of $10,758,000 net of a valuation allowance of $3,217,000 at September 30, 2016. There were $478,000 of additional write downs during the nine months ended September 30, 2016, compared to $614,000 of additional write downs during the nine months ended September 30, 2015. For the three months ended September 30, 2016 there were $478,000 of additional write downs compared to $368,000 of additional write downs during the three months ended September 30, 2015. At December 31, 2015, other real estate owned had a net carrying amount of $8,059,000, made up of the outstanding balance of $10,825,000, net of a valuation allowance of $2,766,000. The significant unobservable inputs related to assets and liabilities measured at fair value on a non-recurring basis at September 30, 2016 are summarized below: September 30, 2016 Valuation Techniques Unobservable Inputs Range (Weighted Avg) Impaired loans: Commercial real estate: Owner occupied $ 310 sales comparison adjustment for limited salability of specialized property 44.8%-76.3% (56.1%) Non-owner occupied 370 sales comparison adjustment for differences between the comparable sales 16.3%-16.3% (16.3%) Commercial and industrial 12 sales comparison adjustment for estimated realizable value 8.0%-8.0% (8.0%) All other 74 sales comparison adjustment for percentage of completion of construction 8.0%-8.0% (8.0%) Total impaired loans $ 766 Other real estate owned: Residential real estate $ 608 sales comparison adjustment for differences between the comparable sales 0.7%-31.6% (24.7%) Commercial real estate: Owner occupied 259 sales comparison adjustment for estimated realizable value 1.3%-25.4% (5.0%) Non-owner occupied 2,253 sales comparison adjustment for differences between the comparable sales 17.2%-23.4% (22.3%) All other 4,421 sales comparison adjustment for estimated realizable value 15.7%-40.4% (19.9%) Total OREO $ 7,541 Assets and liabilities measured at fair value on a non-recurring basis at December 31, 2015 are summarized below: Fair Value Measurements at December 31, 2015 Using Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Impaired loans: Commercial real estate: Owner occupied $ 133 $ - $ - $ 133 Non-owner occupied 258 - - 258 Total impaired loans $ 391 $ - $ - $ 391 Other real estate owned: Residential real estate: $ 648 $ - $ - $ 648 Commercial real estate: Owner occupied 260 - - 260 Non-owner occupied 2,253 - - 2,253 All other 4,898 - - 4,898 Total OREO $ 8,059 $ - $ - $ 8,059 The significant unobservable inputs related to assets and liabilities measured at fair value on a non-recurring basis at December 31, 2015 are summarized below: December 31, 2015 Valuation Techniques Unobservable Inputs Range (Weighted Avg) Impaired loans: Commercial real estate: Owner occupied $ 133 sales comparison adjustment for limited salability of specialized property 60.7%-72.4% (66.3%) Non-owner occupied 258 sales comparison adjustment for differences between the comparable sales 8.0%-8.0% (8.0%) Total impaired loans $ 391 Other real estate owned: Residential real estate $ 648 sales comparison adjustment for differences between the comparable sales 0.7%-31.6% (24.7%) Commercial real estate: Owner occupied 260 sales comparison adjustment for differences between the comparable sales 25.4%-41.3% (38.8%) Non-owner occupied 2,253 sales comparison adjustment for differences between the comparable sales 21.9%-23.4% (23.1%) All other 4,898 sales comparison adjustment for estimated realizable value 18.9%-46.6% (27.5%) Total OREO $ 8,059 |
ACQUISITION OF FIRST NATIONAL B
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION | 9 Months Ended |
Sep. 30, 2016 | |
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION [Abstract] | |
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION | NOTE 10 – ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION Effective at the close of business on January 15, 2016, Premier completed its purchase of First National Bankshares Corporation (“Bankshares”), a $237.5 million single bank holding company headquartered in Ronceverte, West Virginia. Under terms of an agreement of merger dated July 6, 2015, Premier issued 1.69 shares of its common stock for each share of Bankshares for a total acquisition value of approximately $22.0 million. Based on the preliminary valuation of the fair value of tangible and intangible assets acquired and liabilities assumed the purchase price resulted in approximately $3.32 million in goodwill, none of which is deductible for tax purposes. During the period following the acquisition through the quarter ended September 30, 2016, management obtained information regarding its initial valuations that resulted in increases in the fair value of the premises acquired, the estimated core deposit intangible, and related deferred taxes. These adjustments decreased the amount of goodwill recorded as a result of the acquisition to approximately $1.57 million, consisting largely of synergies and the cost savings resulting from the combining of the operations of the companies. The core deposit intangible asset was revised to a total of $3.31 million, none of which is deductible for tax purposes. The core deposit intangible will be amortized using an accelerated method. The following table presents estimated amortization of the Bankshares core deposit intangible as of the acquisition date for each of the next five years. 2016 $ 455 2017 428 2018 364 2019 309 2020 289 Thereafter 1,463 Total core deposit intangible acquired $ 3,308 The valuations of loans, premises and equipment and core deposit intangible are still preliminary and subject to change. United States generally accepted accounting principles (“U.S. GAAP”) provide up to twelve months following the date of acquisition in which management can finalize the fair values of acquired assets and assumed liabilities. Material events that occur during the measurement period will be analyzed to determine if the new information reflected facts and circumstances that existed on the acquisition date. The measurement period ends as soon as the Company receives the information it was seeking about facts and circumstances that existed as of the acquisition date or learns more information is unobtainable. The measurement period is limited to one year from the acquisition date. Once management has finalized the fair values of acquired assets and assumed liabilities within this twelve month period, management considers such values to be the “Day One Fair Values.” Based on management’s preliminary valuation of the fair value of tangible and intangible assets acquired and liabilities assumed, the purchase price for the Bankshares acquisition is allocated in the table below. There were no recast adjustments during the third quarter of 2016. Net assets acquired via the acquisition are shown in the table below. As Initially Reported Recast Adjustments during 2 nd First National Bankshares Cash and due from banks $ 16,385 $ - $ 16,385 Securities available for sale 76,612 - 76,612 Loans, net 132,954 - 132,954 Premises and equipment 4,606 1,233 5,839 Goodwill and other intangible assets 5,176 (293 ) 4,883 Other assets 1,764 (940 ) 824 Total assets acquired 237,497 - 237,497 Deposits (205,174 ) - (205,174 ) Repurchase agreements (2,168 ) - (2,168 ) FHLB borrowings (1,347 ) - (1,347 ) Subordinated debt (5,307 ) - (5,307 ) Other liabilities (1,460 ) - (1,460 ) Total liabilities assumed (215,456 ) - (215,456 ) Net assets acquired $ 22,041 $ - $ 22,041 The fair value of net assets acquired includes fair value adjustments to certain receivables that were not considered impaired as of the acquisition date. The fair value adjustments were determined using discounted contractual cash flows. However, the Company believes that all contractual cash flows related to these non-impaired financial instruments will be collected. As such, these receivables were not considered impaired at the acquisition date and were not subject to the accounting guidance relating to purchase credit impaired loans, which have shown evidence of credit deterioration since origination. The non-impaired loans excluded from the purchase credit impairment guidance were recorded at an estimated fair value of $125,669,000 and had gross contractual amounts receivable of $127,347,000 on the date of acquisition. |
BASIS OF PRESENTATION (Policies
BASIS OF PRESENTATION (Policies) | 9 Months Ended |
Sep. 30, 2016 | |
BASIS OF PRESENTATION [Abstract] | |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In May 2014, FASB issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers (Topic 606) In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). In March 2016, the FASB issued ASU No. 2016-09, Compensation—Stock Compensation: Improvements to Employee Share-Based Payment Accounting In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses: Measurement of Credit Losses on Financial Instruments |
BASIS OF PRESENTATION (Tables)
BASIS OF PRESENTATION (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
BASIS OF PRESENTATION [Abstract] | |
Accounts of the Company and its Wholly Owned Subsidiaries | The consolidated financial statements include the accounts of Premier Financial Bancorp, Inc. (the Company) and its wholly owned subsidiaries (the “Banks”): September 30, 2016 Year Total Net Income Subsidiary Location Acquired Assets Qtr YTD Citizens Deposit Bank & Trust Vanceburg, Kentucky 1991 $ 403,077 $ 1,035 $ 3,277 Premier Bank, Inc. Huntington, West Virginia 1998 1,093,654 2,566 6,933 Parent and Intercompany Eliminations 1,389 (437 ) (1,443 ) Consolidated Total $ 1,498,120 $ 3,164 $ 8,767 |
SECURITIES (Tables)
SECURITIES (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
SECURITIES [Abstract] | |
Amortized Cost and Fair Value of Investment Securities, by Category | Amortized cost and fair value of investment securities, by category, at September 30, 2016 are summarized as follows: 2016 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Available for sale Mortgage-backed securities U. S. sponsored agency MBS - residential $ 164,992 $ 3,148 $ (12 ) $ 168,128 U. S. sponsored agency CMO’s - residential 81,114 1,482 (74 ) 82,522 Total mortgage-backed securities of government sponsored agencies 246,106 4,630 (86 ) 250,650 U. S. government sponsored agency securities 25,700 167 - 25,867 Obligations of states and political subdivisions 18,414 286 (6 ) 18,694 Total available for sale $ 290,220 $ 5,083 $ (92 ) $ 295,211 Amortized cost and fair value of investment securities, by category, at December 31, 2015 are summarized as follows: 2015 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Available for sale Mortgage-backed securities U. S. sponsored agency MBS - residential $ 132,661 $ 540 $ (854 ) $ 132,347 U. S. sponsored agency CMO’s - residential 104,530 1,330 (738 ) 105,122 Total mortgage-backed securities of government sponsored agencies 237,191 1,870 (1,592 ) 237,469 U. S. government sponsored agency securities 10,401 29 (1 ) 10,429 Obligations of states and political subdivisions 7,387 184 (3 ) 7,568 Total available for sale $ 254,979 $ 2,083 $ (1,596 ) $ 255,466 |
Amortized Cost and Fair Value of Securities by Contractual Maturity | The amortized cost and fair value of securities at September 30, 2016 by contractual maturity are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Cost Fair Value Available for sale Due in one year or less $ 7,179 $ 7,208 Due after one year through five years 28,038 28,272 Due after five years through ten years 8,089 8,264 Due after ten years 808 817 Mortgage-backed securities of government sponsored agencies 246,106 250,650 Total available for sale $ 290,220 $ 295,211 |
Securities in Continuous Unrealized Loss Position | Securities with unrealized losses at September 30, 2016 aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position are as follows: Less than 12 Months 12 Months or More Total Description of Securities Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S government sponsored agency MBS – residential $ 10,494 $ (12 ) $ - $ - $ 10,494 $ (12 ) U.S government sponsored agency CMO’s – residential 6,833 (3 ) 9,543 (71 ) 16,376 (74 ) Obligations of states and political subdivisions 2,350 (6 ) - - 2,350 (6 ) Total temporarily impaired $ 19,677 $ (21 ) $ 9,543 $ (71 ) $ 29,220 $ (92 ) Securities with unrealized losses at December 31, 2015 aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position are as follows: Less than 12 Months 12 Months or More Total Description of Securities Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S government sponsored agency securities $ 2,016 $ (1 ) $ - $ - $ 2,016 $ (1 ) U.S government sponsored agency MBS – residential 94,311 (854 ) - - 94,311 (854 ) U.S government sponsored agency CMO’s – residential 11,604 (161 ) 19,755 (577 ) 31,359 (738 ) Obligations of states and political subdivisions 571 (3 ) - - 571 (3 ) Total temporarily impaired $ 108,502 $ (1,019 ) $ 19,755 $ (577 ) $ 128,257 $ (1,596 ) |
LOANS (Tables)
LOANS (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
LOANS [Abstract] | |
Major Classifications of Loans | Major classifications of loans at September 30, 2016 and December 31, 2015 are summarized as follows: 2016 2015 Residential real estate $ 345,375 $ 285,826 Multifamily real estate 68,483 50,452 Commercial real estate: Owner occupied 138,906 119,265 Non owner occupied 225,027 188,918 Commercial and industrial 77,617 68,339 Consumer 32,205 31,445 All other 146,332 105,501 $ 1,033,945 $ 849,746 |
Major Classifications of Loans Acquired | The composition of the major classifications of the loans acquired from Bankshares at September 30, 2016 are summarized as follows: 2016 Residential real estate $ 49,424 Multifamily real estate 3,265 Commercial real estate: Owner occupied 20,024 Non owner occupied 9,650 Commercial and industrial 18,361 Consumer 2,427 All other 18,401 $ 121,552 |
Activity in the Allowance for Loan Losses by Portfolio Segment | Activity in the allowance for loan losses by portfolio segment for the nine months ended September 30, 2016 was as follows: Loan Class Balance Dec 31, 2015 Provision (credit) for loan losses Loans charged-off Recoveries Balance Sept. 30, 2016 Residential real estate $ 2,501 $ 377 $ 107 $ 19 $ 2,790 Multifamily real estate 821 92 - - 913 Commercial real estate: Owner occupied 1,509 (140 ) - 2 1,371 Non owner occupied 2,070 645 - - 2,715 Commercial and industrial 1,033 83 29 42 1,129 Consumer 307 172 232 71 318 All other 1,406 207 207 221 1,627 Total $ 9,647 $ 1,436 $ 575 $ 355 $ 10,863 Activity in the allowance for loan losses by portfolio segment for the nine months ending September 30, 2015 was as follows: Loan Class Balance Dec 31, 2014 Provision (credit) for loan losses Loans charged-off Recoveries Balance Sept. 30, 2015 Residential real estate $ 2,093 $ 557 $ 102 $ 74 $ 2,622 Multifamily real estate 304 291 - - 595 Commercial real estate: Owner occupied 1,501 (3 ) 2 2 1,498 Non owner occupied 2,316 (599 ) - 659 2,376 Commercial and industrial 1,444 71 403 7 1,119 Consumer 243 128 167 82 286 All other 2,446 (213 ) 1,058 154 1,329 Total $ 10,347 $ 232 $ 1,732 $ 978 $ 9,825 Activity in the allowance for loan losses by portfolio segment for the three months ended September 30, 2016 was as follows: Loan Class Balance June 30, 2016 Provision (credit) for loan losses Loans charged-off Recoveries Balance Sept. 30, 2016 Residential real estate $ 2,747 $ 91 $ 51 $ 3 $ 2,790 Multifamily real estate 822 91 - - 913 Commercial real estate: Owner occupied 1,442 (72 ) - 1 1,371 Non owner occupied 2,708 7 - - 2,715 Commercial and industrial 1,111 43 29 4 1,129 Consumer 306 139 142 15 318 All other 1,668 13 81 27 1,627 Total $ 10,804 $ 312 $ 303 $ 50 $ 10,863 Activity in the allowance for loan losses by portfolio segment for the three months ending September 30, 2015 was as follows: Loan Class Balance June 30, 2015 Provision (credit) for loan losses Loans charged-off Recoveries Balance Sept. 30, 2015 Residential real estate $ 2,466 $ 185 $ 35 $ 6 $ 2,622 Multifamily real estate 512 83 - - 595 Commercial real estate: Owner occupied 1,476 21 - 1 1,498 Non owner occupied 2,332 44 - - 2,376 Commercial and industrial 1,139 211 234 3 1,119 Consumer 274 23 35 24 286 All other 2,495 (258 ) 946 38 1,329 Total $ 10,694 $ 309 $ 1,250 $ 72 $ 9,825 |
Purchased Loans | The carrying amount of those loans is as follows at September 30, 2016 and December 31, 2015. 2016 2015 Residential real estate $ 1,793 $ - Commercial real estate Owner occupied 2,040 131 Non owner occupied 5,436 5,549 Commercial and industrial 361 80 All other 2,058 - Total carrying amount $ 11,688 $ 5,760 Contractual principal balance $ 15,906 $ 7,251 Carrying amount, net of allowance $ 11,676 $ 5,680 |
Purchase Loans Accretable Yield, or Income Expected to be Collected | The accretable yield, or income expected to be collected, on the purchased loans above is as follows at September 30, 2016 and September 30, 2015. 2016 2015 Balance at January 1 $ 185 $ 204 New loans purchased 1,151 - Accretion of income (64 ) (14 ) Reclassification to non-accretable - - Disposals - - Balance at September 30 $ 1,272 $ 190 |
Past Due and Non-performing Loans | The following tables present the recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans as of September 30, 2016 and December 31, 2015. The recorded investment in non-accrual loans is less than the principal owed on non-accrual loans due to discounts applied to the carrying value of the loan at time of their acquisition and interest payments made by the borrower which have been used to reduce the recorded investment in the loan rather than recognized as interest income. September 30, 2016 Principal Owed on Non-accrual Loans Recorded Investment in Non-accrual Loans Loans Past Due Over 90 Days, still accruing Residential real estate $ 4,030 $ 2,893 $ 951 Multifamily real estate 71 26 - Commercial real estate Owner occupied 2,103 2,044 - Non owner occupied 244 148 - Commercial and industrial 2,449 1,167 26 Consumer 362 342 48 All other 1,884 1,814 5,747 Total $ 11,143 $ 8,434 $ 6,772 December 31, 2015 Principal Owed on Non-accrual Loans Recorded Investment in Non-accrual Loans Loans Past Due Over 90 Days, still accruing Residential real estate $ 2,367 $ 2,091 $ 867 Multifamily real estate 416 75 - Commercial real estate Owner occupied 791 773 558 Non owner occupied 3,732 3,400 - Commercial and industrial 1,460 337 870 Consumer 257 234 - All other 287 231 737 Total $ 9,310 $ 7,141 $ 3,032 |
Aging of Recorded Investment in Past Due Loans by Loan Class | The following table presents the aging of the recorded investment in past due loans as of September 30, 2016 by class of loans: Loan Class Total Loans 30-89 Days Past Due Greater than 90 days past due Total Past Due Loans Not Past Due Residential real estate $ 345,375 $ 6,659 $ 2,478 $ 9,137 $ 336,238 Multifamily real estate 68,483 12,503 26 12,529 55,954 Commercial real estate: Owner occupied 138,906 361 1,752 2,113 136,793 Non owner occupied 225,027 89 125 214 224,813 Commercial and industrial 77,617 1,557 1,097 2,654 74,963 Consumer 32,205 410 143 553 31,652 All other 146,332 2,005 7,339 9,344 136,988 Total $ 1,033,945 $ 23,584 $ 12,960 $ 36,544 $ 997,401 The following table presents the aging of the recorded investment in past due loans as of December 31, 2015 by class of loans: Loan Class Total Loans 30-89 Days Past Due Greater than 90 days past due Total Past Due Loans Not Past Due Residential real estate $ 285,826 $ 6,298 $ 1,681 $ 7,979 $ 277,847 Multifamily real estate 50,452 1,415 75 1,490 48,962 Commercial real estate: Owner occupied 119,265 1,354 1,195 2,549 116,716 Non owner occupied 188,918 2,481 3,400 5,881 183,037 Commercial and industrial 68,339 220 1,064 1,284 67,055 Consumer 31,445 288 101 389 31,056 All other 105,501 3,157 935 4,092 101,409 Total $ 849,746 $ 15,213 $ 8,451 $ 23,664 $ 826,082 |
Allowance for Loan Losses and Recorded Investment in Loans by Portfolio Segment Based on Impairment Method | The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of September 30, 2016: Allowance for Loan Losses Loan Balances Loan Class Individually Evaluated for Impairment Collectively Evaluated for Impairment Acquired with Deteriorated Credit Quality Total Individually Evaluated for Impairment Collectively Evaluated for Impairment Acquired with Deteriorated Credit Quality Total Residential real estate $ 3 $ 2,787 $ - $ 2,790 $ 389 $ 343,193 $ 1,793 $ 345,375 Multifamily real estate - 913 - 913 2,598 65,885 - 68,483 Commercial real estate: Owner occupied 41 1,330 - 1,371 2,541 134,325 2,040 138,906 Non-owner occupied 161 2,554 - 2,715 3,146 216,445 5,436 225,027 Commercial and industrial 294 823 12 1,129 1,463 75,793 361 77,617 Consumer - 318 - 318 - 32,205 - 32,205 All other 12 1,615 - 1,627 9,622 134,652 2,058 146,332 Total $ 511 $ 10,340 $ 12 $ 10,863 $ 19,759 $ 1,002,498 $ 11,688 $ 1,033,945 The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of December 31, 2015: Allowance for Loan Losses Loan Balances Loan Class Individually Evaluated for Impairment Collectively Evaluated for Impairment Acquired with Deteriorated Credit Quality Total Individually Evaluated for Impairment Collectively Evaluated for Impairment Acquired with Deteriorated Credit Quality Total Residential real estate $ - $ 2,501 $ - $ 2,501 $ 575 $ 285,251 $ - $ 285,826 Multifamily real estate - 821 - 821 75 50,377 - 50,452 Commercial real estate: Owner occupied 44 1,465 - 1,509 446 118,688 131 119,265 Non-owner occupied 22 2,048 - 2,070 6,502 176,867 5,549 188,918 Commercial and industrial 153 800 80 1,033 544 67,715 80 68,339 Consumer - 307 - 307 - 31,445 - 31,445 All other - 1,406 - 1,406 750 104,751 - 105,501 Total $ 219 $ 9,348 $ 80 $ 9,647 $ 8,892 $ 835,094 $ 5,760 $ 849,746 |
Loans Individually Evaluated for Impairment by Class of Loans | The following table presents loans individually evaluated for impairment by class of loans as of September 30, 2016. The table includes $396,000 of loans acquired with deteriorated credit quality that the Company cannot reasonably estimate cash flows such that they are accounted for on the cost recovery method and are still individually evaluated for impairment. Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated With no related allowance recorded: Residential real estate $ 1,034 $ 534 $ - Multifamily real estate 2,940 2,598 - Commercial real estate Owner occupied 2,236 2,190 - Non owner occupied 2,707 2,615 - Commercial and industrial 2,472 1,393 - All other 9,603 9,536 - 20,992 18,866 - With an allowance recorded: Residential real estate $ 41 $ 3 $ 3 Commercial real estate Owner occupied 357 351 41 Non owner occupied 531 531 161 Commercial and industrial 460 318 306 All other 92 86 12 1,481 1,289 523 Total $ 22,473 $ 20,155 $ 523 The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2015. The table includes $80,000 of loans acquired with deteriorated credit quality that the Company cannot reasonably estimate cash flows such that they are accounted for on the cost recovery method and are still individually evaluated for impairment. Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated With no related allowance recorded: Residential real estate $ 636 $ 575 $ - Multifamily real estate 416 75 - Commercial real estate Owner occupied 276 269 - Non owner occupied 6,554 6,222 - Commercial and industrial 1,160 391 - All other 805 750 - 9,847 8,282 - With an allowance recorded: Commercial real estate Owner occupied $ 177 $ 177 $ 44 Non owner occupied 280 280 22 Commercial and industrial 528 233 233 All other - - - 985 690 299 Total $ 10,832 $ 8,972 $ 299 |
The Average Balance of Loans Individually Evaluated for Impairment and Interest Income Recognized | The following table presents the average balance of loans individually evaluated for impairment and interest income recognized on these loans for the nine months ended September 30, 2016 and September 30, 2015. The table includes loans acquired with deteriorated credit quality that are still individually evaluated for impairment. Nine months ended Sept 30, 2016 Nine months ended Sept 30, 2015 Loan Class Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Residential real estate $ 612 $ 16 $ 14 $ 329 $ 5 $ 5 Multifamily real estate 1,580 121 121 1,051 685 685 Commercial real estate: Owner occupied 1,144 3 3 1,157 25 25 Non-owner occupied 5,066 275 273 4,552 137 115 Commercial and industrial 1,155 26 26 856 20 20 All other 3,011 40 6 4,841 43 28 Total $ 12,568 $ 481 $ 443 $ 12,786 $ 915 $ 878 The following table presents the average balance of loans individually evaluated for impairment and interest income recognized on these loans for the three months ended September 30, 2016 and September 30, 2015 The table includes loans acquired with deteriorated credit quality that are still individually evaluated for impairment. Three months ended Sept 30, 2016 Three months ended Sept 30, 2015 Loan Class Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Residential real estate $ 667 $ 5 $ 5 $ 523 $ 3 $ 3 Multifamily real estate 2,594 63 63 305 671 671 Commercial real estate: Owner occupied 1,847 3 3 857 7 7 Non-owner occupied 4,240 175 175 4,304 43 34 Commercial and industrial 1,809 10 10 726 6 6 All other 5,243 33 - 3,487 14 - Total $ 16,400 $ 289 $ 256 $ 10,202 $ 744 $ 721 |
Troubled Debt Restructurings | The following table presents TDR’s as of September 30, 2016 and December 31, 2015: September 30, 2016 TDR’s on Non-accrual Other TDR’s Total TDR’s Residential real estate $ 88 $ 471 $ 559 Multifamily real estate - 2,206 2,206 Commercial real estate Owner occupied - 864 864 Non owner occupied - 100 100 Commercial and industrial - 447 447 Consumer - 48 48 All other 751 4,419 5,170 Total $ 839 $ 8,555 $ 9,394 December 31, 2015 TDR’s on Non-accrual Other TDR’s Total TDR’s Residential real estate $ 7 $ 222 $ 229 Multifamily real estate - 2,201 2,201 Commercial real estate Non owner occupied - 454 454 Commercial and industrial - 396 396 All other - 723 723 Total $ 7 $ 3,996 $ 4,003 |
Troubled Debt Restructuring During the Period | The following tables present TDR’s that occurred during the nine months ended September 30, 2016 and September 30, 2015, and three months ended September 30, 2016. During the three months ending September 30, 2015, no new TDR’s occurred. Nine months ended Sept 30, 2016 Nine months ended Sept 30, 2015 Loan Class Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Residential real estate 8 $ 483 $ 483 - $ - $ - Multifamily real estate - - - 1 1,543 1,543 Commercial real estate - Owner occupied 3 865 865 - - - Non owner occupied 1 100 100 - - - Commercial and industrial 1 20 20 - - - All other 1 4,106 4,106 - - - Total 14 $ 5,574 $ 5,574 1 $ 1,543 $ 1,543 Three months ended Sept 30, 2016 Three months ended Sept 30, 2015 Loan Class Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Residential real estate 6 $ 184 $ 184 - $ - $ - Commercial real estate - Owner occupied 1 255 255 - - - All other 1 4,106 4,106 - - - Total 8 $ 4,545 $ 4,545 - $ - $ - |
Risk Category of Loans by Class of Loans | As of September 30, 2016 and based on the most recent analysis performed, the risk category of loans by class of loans is as follows: Loan Class Pass Special Mention Substandard Doubtful Total Loans Residential real estate $ 330,422 $ 5,048 $ 9,902 $ 3 $ 345,375 Multifamily real estate 64,717 80 3,686 - 68,483 Commercial real estate: Owner occupied 127,557 6,781 4,568 - 138,906 Non-owner occupied 217,023 4,419 3,585 - 225,027 Commercial and industrial 72,553 2,660 2,370 34 77,617 Consumer 31,670 201 334 - 32,205 All other 130,469 5,551 10,312 - 146,332 Total $ 974,411 $ 24,740 $ 34,757 $ 37 $ 1,033,945 As of December 31, 2015, and based on the most recent analysis performed, the risk category of loans by class of loans is as follows: Loan Class Pass Special Mention Substandard Doubtful Total Loans Residential real estate $ 273,741 $ 5,389 $ 6,689 $ 7 $ 285,826 Multifamily real estate 46,135 2,041 2,276 - 50,452 Commercial real estate: Owner occupied 112,989 3,964 2,312 - 119,265 Non-owner occupied 179,179 2,891 6,848 - 188,918 Commercial and industrial 64,563 2,859 873 44 68,339 Consumer 31,000 269 176 - 31,445 All other 101,839 2,490 1,172 - 105,501 Total $ 809,446 $ 19,903 $ 20,346 $ 51 $ 849,746 |
STOCKHOLDERS' EQUITY AND REGU23
STOCKHOLDERS' EQUITY AND REGULATORY MATTERS (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
STOCKHOLDERS' EQUITY AND REGULATORY MATTERS [Abstract] | |
Summary of Regulatory Capital Ratios | Shown below is a summary of regulatory capital ratios for the Company: September 30, 2016 December 31, 2015 Regulatory Minimum Requirements To Be Considered Well Capitalized Common Equity Tier 1 Capital (to Risk-Weighted Assets) 13.2% 13.6% 4.5% 6.5% Tier 1 Capital (to Risk-Weighted Assets) 13.7% 13.6% 6.0% 8.0% Total Capital (to Risk-Weighted Assets) 14.8% 14.7% 8.0% 10.0% Tier 1 Capital (to Average Assets) 9.9% 9.4% 4.0% 5.0% |
FEDERAL HOME LOAN BANK ADVANC24
FEDERAL HOME LOAN BANK ADVANCES (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
FEDERAL HOME LOAN BANK ADVANCES [Abstract] | |
Principal Payments on Remaining Advances Over Next Five Years | Principal payments on the remaining advance over the next five years are as follows: 2016 $ 12 2017 50 2018 53 2019 55 2020 58 Thereafter 262 Principal amount outstanding at September 30, 2016 $ 490 Carrying amount, net of fair value adjustment at September 30, 2016 $ 531 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
EARNINGS PER SHARE [Abstract] | |
Reconciliation of Numerators and Denominators of the Earnings Per Share | A reconciliation of the numerators and denominators of the earnings per common share and earnings per common share assuming dilution computations for the three and nine months ended September 30, 2016 and 2015 is presented below: Three Months Ended Sept 30, Nine Months Ended Sept 30, 2016 2015 2016 2015 Basic earnings per share Income available to common stockholders $ 3,164 $ 3,325 $ 8,767 $ 9,594 Weighted average common shares outstanding 9,660,168 8,172,577 9,553,463 8,158,003 Earnings per share $ 0.33 $ 0.41 $ 0.92 $ 1.18 Diluted earnings per share Income available to common stockholders $ 3,164 $ 3,325 $ 8,767 $ 9,594 Weighted average common shares outstanding 9,660,168 8,172,577 9,553,463 8,158,003 Add dilutive effects of potential additional common stock 55,220 65,090 54,883 259,466 Weighted average common and dilutive potential common shares outstanding 9,715,388 8,237,667 9,608,346 8,417,469 Earnings per share assuming dilution $ 0.33 $ 0.40 $ 0.91 $ 1.14 |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
FAIR VALUE [Abstract] | |
Carrying Amounts and Estimated Fair Values of Financial Instruments | The carrying amounts and estimated fair values of financial instruments at September 30, 2016 were as follows: Fair Value Measurements at September 30, 2016 Using Carrying Amount Level 1 Level 2 Level 3 Total Financial assets Cash and due from banks $ 87,827 $ 87,827 $ - $ - $ 87,827 Federal funds sold 6,861 6,861 - - 6,861 Securities available for sale 295,211 - 295,211 - 295,211 Loans, net 1,023,082 - - 1,020,364 1,020,364 Federal Home Loan Bank stock 3,220 n/a n/a n/a n/a Interest receivable 4,019 - 895 3,124 4,019 Financial liabilities Deposits $ (1,273,585 ) $ (911,302 ) $ (360,793 ) $ - $ (1,272,095 ) Securities sold under agreements to repurchase (27,145 ) - (27,145 ) - (27,145 ) FHLB advances (531 ) - (547 ) - (547 ) Other borrowed funds (9,467 ) - (9,720 ) - (9,720 ) Subordinated Debt (5,333 ) - (5,326 ) - (5,326 ) Interest payable (332 ) (8 ) (324 ) - (332 ) The carrying amounts and estimated fair values of financial instruments at December 31, 2015 were as follows: Fair Value Measurements at December 31, 2015 Using Carrying Amount Level 1 Level 2 Level 3 Total Financial assets Cash and due from banks $ 66,704 $ 66,704 $ - $ - $ 66,704 Federal funds sold 5,835 5,835 - - 5,835 Securities available for sale 255,466 - 255,466 - 255,466 Loans, net 840,099 - - 838,867 838,867 Federal Home Loan Bank stock 3,072 n/a n/a n/a n/a Interest receivable 3,162 - 633 2,529 3,162 Financial liabilities Deposits $ (1,060,196 ) $ (726,018 ) $ (331,747 ) $ - $ (1,057,765 ) Securities sold under agreements to repurchase (21,694 ) - (21,694 ) - (21,694 ) Other borrowed funds (11,292 ) - (11,318 ) - (11,318 ) Interest payable (321 ) (6 ) (315 ) - (321 ) |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurements at September 30, 2016 Using: Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Available for sale Mortgage-backed securities U. S. agency MBS - residential $ 168,128 $ - $ 168,128 $ - U. S. agency CMO’s - residential 82,522 - 82,522 - Total mortgage-backed securities of government sponsored agencies 250,650 - 250,650 - U. S. government sponsored agency securities 25,867 - 25,867 - Obligations of states and political subdivisions 18,694 - 18,694 - Total available for sale $ 295,211 $ - $ 295,211 $ - Fair Value Measurements at December 31, 2015 Using: Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Available for sale Mortgage-backed securities U. S. agency MBS - residential $ 132,347 $ - $ 132,347 $ - U. S. agency CMO’s - residential 105,122 - 105,122 - Total mortgage-backed securities of government sponsored agencies 237,469 - 237,469 - U. S. government sponsored agency securities 10,429 - 10,429 - Obligations of states and political subdivisions 7,568 - 7,568 - Total securities available for sale $ 255,466 $ - $ 255,466 $ - |
Assets and Liabilities Measured at Fair Value on a Non-recurring Basis | Assets and liabilities measured at fair value on a non-recurring basis at September 30, 2016 are summarized below: Fair Value Measurements at September 30, 2016 Using Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Impaired loans: Commercial real estate: Owner occupied $ 310 $ - $ - $ 310 Non-owner occupied 370 - - 370 Commercial and industrial 12 - - 12 All other 74 - - 74 Total impaired loans $ 766 $ - $ - $ 766 Other real estate owned: Residential real estate $ 608 $ - $ - $ 608 Commercial real estate: Owner occupied 259 - - 259 Non-owner occupied 2,253 - - 2,253 All other 4,421 - - 4,421 Total OREO $ 7,541 $ - $ - $ 7,541 Assets and liabilities measured at fair value on a non-recurring basis at December 31, 2015 are summarized below: Fair Value Measurements at December 31, 2015 Using Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Impaired loans: Commercial real estate: Owner occupied $ 133 $ - $ - $ 133 Non-owner occupied 258 - - 258 Total impaired loans $ 391 $ - $ - $ 391 Other real estate owned: Residential real estate: $ 648 $ - $ - $ 648 Commercial real estate: Owner occupied 260 - - 260 Non-owner occupied 2,253 - - 2,253 All other 4,898 - - 4,898 Total OREO $ 8,059 $ - $ - $ 8,059 |
Fair Value Inputs, Assets, Quantitative Information | The significant unobservable inputs related to assets and liabilities measured at fair value on a non-recurring basis at September 30, 2016 are summarized below: September 30, 2016 Valuation Techniques Unobservable Inputs Range (Weighted Avg) Impaired loans: Commercial real estate: Owner occupied $ 310 sales comparison adjustment for limited salability of specialized property 44.8%-76.3% (56.1%) Non-owner occupied 370 sales comparison adjustment for differences between the comparable sales 16.3%-16.3% (16.3%) Commercial and industrial 12 sales comparison adjustment for estimated realizable value 8.0%-8.0% (8.0%) All other 74 sales comparison adjustment for percentage of completion of construction 8.0%-8.0% (8.0%) Total impaired loans $ 766 Other real estate owned: Residential real estate $ 608 sales comparison adjustment for differences between the comparable sales 0.7%-31.6% (24.7%) Commercial real estate: Owner occupied 259 sales comparison adjustment for estimated realizable value 1.3%-25.4% (5.0%) Non-owner occupied 2,253 sales comparison adjustment for differences between the comparable sales 17.2%-23.4% (22.3%) All other 4,421 sales comparison adjustment for estimated realizable value 15.7%-40.4% (19.9%) Total OREO $ 7,541 The significant unobservable inputs related to assets and liabilities measured at fair value on a non-recurring basis at December 31, 2015 are summarized below: December 31, 2015 Valuation Techniques Unobservable Inputs Range (Weighted Avg) Impaired loans: Commercial real estate: Owner occupied $ 133 sales comparison adjustment for limited salability of specialized property 60.7%-72.4% (66.3%) Non-owner occupied 258 sales comparison adjustment for differences between the comparable sales 8.0%-8.0% (8.0%) Total impaired loans $ 391 Other real estate owned: Residential real estate $ 648 sales comparison adjustment for differences between the comparable sales 0.7%-31.6% (24.7%) Commercial real estate: Owner occupied 260 sales comparison adjustment for differences between the comparable sales 25.4%-41.3% (38.8%) Non-owner occupied 2,253 sales comparison adjustment for differences between the comparable sales 21.9%-23.4% (23.1%) All other 4,898 sales comparison adjustment for estimated realizable value 18.9%-46.6% (27.5%) Total OREO $ 8,059 |
ACQUISITION OF FIRST NATIONAL27
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION [Abstract] | |
Estimated Amortization of Core Deposit Intangible from Acquisition | The following table presents estimated amortization of the Bankshares core deposit intangible as of the acquisition date for each of the next five years. 2016 $ 455 2017 428 2018 364 2019 309 2020 289 Thereafter 1,463 Total core deposit intangible acquired $ 3,308 |
Schedule of Net Assets Acquired | Net assets acquired via the acquisition are shown in the table below. As Initially Reported Recast Adjustments during 2 nd First National Bankshares Cash and due from banks $ 16,385 $ - $ 16,385 Securities available for sale 76,612 - 76,612 Loans, net 132,954 - 132,954 Premises and equipment 4,606 1,233 5,839 Goodwill and other intangible assets 5,176 (293 ) 4,883 Other assets 1,764 (940 ) 824 Total assets acquired 237,497 - 237,497 Deposits (205,174 ) - (205,174 ) Repurchase agreements (2,168 ) - (2,168 ) FHLB borrowings (1,347 ) - (1,347 ) Subordinated debt (5,307 ) - (5,307 ) Other liabilities (1,460 ) - (1,460 ) Total liabilities assumed (215,456 ) - (215,456 ) Net assets acquired $ 22,041 $ - $ 22,041 |
BASIS OF PRESENTATION (Details)
BASIS OF PRESENTATION (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||||
Total Assets | $ 1,498,120 | $ 1,498,120 | $ 1,244,693 | ||
Net Income | 3,164 | $ 3,325 | $ 8,767 | $ 9,594 | |
Citizens Deposit Bank & Trust [Member] | Vanceburg, Kentucky [Member] | |||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||||
Year Acquired | 1,991 | ||||
Total Assets | 403,077 | $ 403,077 | |||
Net Income | 1,035 | $ 3,277 | |||
Premier Bank, Inc. [Member] | Huntington, West Virginia [Member] | |||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||||
Year Acquired | 1,998 | ||||
Total Assets | 1,093,654 | $ 1,093,654 | |||
Net Income | 2,566 | 6,933 | |||
Parent and Intercompany Eliminations [Member] | |||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||||
Total Assets | 1,389 | 1,389 | |||
Net Income | $ (437) | $ (1,443) |
SECURITIES (Details)
SECURITIES (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | $ 290,220 | $ 254,979 |
Unrealized Gains | 5,083 | 2,083 |
Unrealized Losses | (92) | (1,596) |
Available for sale, Fair Value | 295,211 | 255,466 |
U. S. Sponsored Agency MBS - Residential [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 164,992 | 132,661 |
Unrealized Gains | 3,148 | 540 |
Unrealized Losses | (12) | (854) |
Available for sale, Fair Value | 168,128 | 132,347 |
U. S. Sponsored Agency CMO's - Residential [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 81,114 | 104,530 |
Unrealized Gains | 1,482 | 1,330 |
Unrealized Losses | (74) | (738) |
Available for sale, Fair Value | 82,522 | 105,122 |
Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 246,106 | 237,191 |
Unrealized Gains | 4,630 | 1,870 |
Unrealized Losses | (86) | (1,592) |
Available for sale, Fair Value | 250,650 | 237,469 |
U.S. Government Sponsored Agency Securities [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 25,700 | 10,401 |
Unrealized Gains | 167 | 29 |
Unrealized Losses | 0 | (1) |
Available for sale, Fair Value | 25,867 | 10,429 |
Obligations of States and Political Subdivisions [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 18,414 | 7,387 |
Unrealized Gains | 286 | 184 |
Unrealized Losses | (6) | (3) |
Available for sale, Fair Value | $ 18,694 | $ 7,568 |
SECURITIES, By Contractual Matu
SECURITIES, By Contractual Maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Amortized cost of available-for-sale securities by contractual maturity [Abstract] | ||
Due in one year or less | $ 7,179 | |
Due after one year through five years | 28,038 | |
Due after five years through ten years | 8,089 | |
Due after ten years | 808 | |
Mortgage-backed securities of government sponsored agencies | 246,106 | |
Available for sale, Amortized Cost | 290,220 | |
Fair value of available-for-sale securities by contractual maturity [Abstract] | ||
Due in one year or less | 7,208 | |
Due after one year through five years | 28,272 | |
Due after five years through ten years | 8,264 | |
Due after ten years | 817 | |
Mortgage backed securities of government sponsored agencies | 250,650 | |
Available for sale, Fair Value | $ 295,211 | $ 255,466 |
SECURITIES, With Unrealized Los
SECURITIES, With Unrealized Losses (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | $ 19,677 | $ 108,502 |
12 Months or More, Fair Value | 9,543 | 19,755 |
Total Fair Value | 29,220 | 128,257 |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (21) | (1,019) |
12 Months or More, Unrealized Loss | (71) | (577) |
Total Unrealized Loss | (92) | (1,596) |
U.S. Government Sponsored Agency Securities [Member] | ||
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 2,016 | |
12 Months or More, Fair Value | 0 | |
Total Fair Value | 2,016 | |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (1) | |
12 Months or More, Unrealized Loss | 0 | |
Total Unrealized Loss | (1) | |
U. S. Sponsored Agency MBS - Residential [Member] | ||
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 10,494 | 94,311 |
12 Months or More, Fair Value | 0 | 0 |
Total Fair Value | 10,494 | 94,311 |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (12) | (854) |
12 Months or More, Unrealized Loss | 0 | 0 |
Total Unrealized Loss | (12) | (854) |
U. S. Government Sponsored Agency CMO's - Residential [Member] | ||
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 6,833 | 11,604 |
12 Months or More, Fair Value | 9,543 | 19,755 |
Total Fair Value | 16,376 | 31,359 |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (3) | (161) |
12 Months or More, Unrealized Loss | (71) | (577) |
Total Unrealized Loss | (74) | (738) |
Obligations of States and Political Subdivisions [Member] | ||
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 2,350 | 571 |
12 Months or More, Fair Value | 0 | 0 |
Total Fair Value | 2,350 | 571 |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (6) | (3) |
12 Months or More, Unrealized Loss | 0 | 0 |
Total Unrealized Loss | $ (6) | $ (3) |
LOANS, Major Classifications of
LOANS, Major Classifications of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | $ 1,033,945 | $ 849,746 |
Residential Real Estate [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 345,375 | 285,826 |
Multifamily Real Estate [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 68,483 | 50,452 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 138,906 | 119,265 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 225,027 | 188,918 |
Commercial and Industrial [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 77,617 | 68,339 |
Consumer [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 32,205 | 31,445 |
All Other [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 146,332 | $ 105,501 |
First National Bankshares Corporation [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 121,552 | |
First National Bankshares Corporation [Member] | Residential Real Estate [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 49,424 | |
First National Bankshares Corporation [Member] | Multifamily Real Estate [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 3,265 | |
First National Bankshares Corporation [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 20,024 | |
First National Bankshares Corporation [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 9,650 | |
First National Bankshares Corporation [Member] | Commercial and Industrial [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 18,361 | |
First National Bankshares Corporation [Member] | Consumer [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 2,427 | |
First National Bankshares Corporation [Member] | All Other [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | $ 18,401 |
LOANS, Activity in Allowance Fo
LOANS, Activity in Allowance For Loan Losses by Portfolio Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | ||||
Balance, beginning of period | $ 10,804 | $ 10,694 | $ 9,647 | $ 10,347 |
Provision for loan losses | 312 | 309 | 1,436 | 232 |
Loans charged-off | 303 | 1,250 | 575 | 1,732 |
Recoveries | 50 | 72 | 355 | 978 |
Balance, end of period | 10,863 | 9,825 | 10,863 | 9,825 |
Residential Real Estate [Member] | ||||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | ||||
Balance, beginning of period | 2,747 | 2,466 | 2,501 | 2,093 |
Provision for loan losses | 91 | 185 | 377 | 557 |
Loans charged-off | 51 | 35 | 107 | 102 |
Recoveries | 3 | 6 | 19 | 74 |
Balance, end of period | 2,790 | 2,622 | 2,790 | 2,622 |
Multifamily Real Estate [Member] | ||||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | ||||
Balance, beginning of period | 822 | 512 | 821 | 304 |
Provision for loan losses | 91 | 83 | 92 | 291 |
Loans charged-off | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Balance, end of period | 913 | 595 | 913 | 595 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | ||||
Balance, beginning of period | 1,442 | 1,476 | 1,509 | 1,501 |
Provision for loan losses | (72) | 21 | (140) | (3) |
Loans charged-off | 0 | 0 | 0 | 2 |
Recoveries | 1 | 1 | 2 | 2 |
Balance, end of period | 1,371 | 1,498 | 1,371 | 1,498 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | ||||
Balance, beginning of period | 2,708 | 2,332 | 2,070 | 2,316 |
Provision for loan losses | 7 | 44 | 645 | (599) |
Loans charged-off | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 659 |
Balance, end of period | 2,715 | 2,376 | 2,715 | 2,376 |
Commercial and Industrial [Member] | ||||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | ||||
Balance, beginning of period | 1,111 | 1,139 | 1,033 | 1,444 |
Provision for loan losses | 43 | 211 | 83 | 71 |
Loans charged-off | 29 | 234 | 29 | 403 |
Recoveries | 4 | 3 | 42 | 7 |
Balance, end of period | 1,129 | 1,119 | 1,129 | 1,119 |
Consumer [Member] | ||||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | ||||
Balance, beginning of period | 306 | 274 | 307 | 243 |
Provision for loan losses | 139 | 23 | 172 | 128 |
Loans charged-off | 142 | 35 | 232 | 167 |
Recoveries | 15 | 24 | 71 | 82 |
Balance, end of period | 318 | 286 | 318 | 286 |
All Other [Member] | ||||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | ||||
Balance, beginning of period | 1,668 | 2,495 | 1,406 | 2,446 |
Provision for loan losses | 13 | (258) | 207 | (213) |
Loans charged-off | 81 | 946 | 207 | 1,058 |
Recoveries | 27 | 38 | 221 | 154 |
Balance, end of period | $ 1,627 | $ 1,329 | $ 1,627 | $ 1,329 |
LOANS, Purchased Impaired Loans
LOANS, Purchased Impaired Loans (Details) - USD ($) | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | $ 11,688,000 | $ 5,760,000 | |
Contractual principal balance | 15,906,000 | 7,251,000 | |
Carrying amount, net of allowance | 11,676,000 | 5,680,000 | |
Accretable Yield [Roll Forward] | |||
Beginning Balance | 185,000 | $ 204,000 | |
New loans purchased | 1,151,000 | 0 | |
Accretion of income | (64,000) | (14,000) | |
Reclassification to non-accretable | 0 | 0 | |
Disposals | 0 | 0 | |
Ending Balance | 1,272,000 | $ 190,000 | |
Purchased Loans [Member] | |||
Purchased loans [Abstract] | |||
Carrying amount, net of allowance | 396,000 | ||
Residential Real Estate [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 1,793,000 | 0 | |
Commercial Real Estate [Member] | Owner Occupied [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 2,040,000 | 131,000 | |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 5,436,000 | 5,549,000 | |
Commercial and Industrial [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 361,000 | 80,000 | |
All Other [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 2,058,000 | $ 0 | |
First National Bankshares Corporation [Member] | Purchased Loans [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 7,286,000 | ||
Carrying amount, net of allowance | 347,000 | ||
Accretable Yield [Roll Forward] | |||
Acquired loans contractually required payment | 10,040,000 | ||
Acquired loans expected cash flows | $ 8,437,000 |
LOANS, Past Due And Non-perform
LOANS, Past Due And Non-performing Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Past due and non-performing loans [Abstract] | ||
Principal owed on non-accrual loans | $ 11,143 | $ 9,310 |
Recorded investment in non-accrual loans | 8,434 | 7,141 |
Loans past due over 90 days, still accruing | 6,772 | 3,032 |
Residential Real Estate [Member] | ||
Past due and non-performing loans [Abstract] | ||
Principal owed on non-accrual loans | 4,030 | 2,367 |
Recorded investment in non-accrual loans | 2,893 | 2,091 |
Loans past due over 90 days, still accruing | 951 | 867 |
Multifamily Real Estate [Member] | ||
Past due and non-performing loans [Abstract] | ||
Principal owed on non-accrual loans | 71 | 416 |
Recorded investment in non-accrual loans | 26 | 75 |
Loans past due over 90 days, still accruing | 0 | 0 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Past due and non-performing loans [Abstract] | ||
Principal owed on non-accrual loans | 2,103 | 791 |
Recorded investment in non-accrual loans | 2,044 | 773 |
Loans past due over 90 days, still accruing | 0 | 558 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Past due and non-performing loans [Abstract] | ||
Principal owed on non-accrual loans | 244 | 3,732 |
Recorded investment in non-accrual loans | 148 | 3,400 |
Loans past due over 90 days, still accruing | 0 | 0 |
Commercial and Industrial [Member] | ||
Past due and non-performing loans [Abstract] | ||
Principal owed on non-accrual loans | 2,449 | 1,460 |
Recorded investment in non-accrual loans | 1,167 | 337 |
Loans past due over 90 days, still accruing | 26 | 870 |
Consumer [Member] | ||
Past due and non-performing loans [Abstract] | ||
Principal owed on non-accrual loans | 362 | 257 |
Recorded investment in non-accrual loans | 342 | 234 |
Loans past due over 90 days, still accruing | 48 | 0 |
All Other [Member] | ||
Past due and non-performing loans [Abstract] | ||
Principal owed on non-accrual loans | 1,884 | 287 |
Recorded investment in non-accrual loans | 1,814 | 231 |
Loans past due over 90 days, still accruing | $ 5,747 | $ 737 |
LOANS, Past Due Aging Analysis
LOANS, Past Due Aging Analysis (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | $ 1,033,945 | $ 849,746 |
Total past due | 36,544 | 23,664 |
Loans not past due | 997,401 | 826,082 |
30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 23,584 | 15,213 |
Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 12,960 | 8,451 |
Residential Real Estate [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 345,375 | 285,826 |
Total past due | 9,137 | 7,979 |
Loans not past due | 336,238 | 277,847 |
Residential Real Estate [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 6,659 | 6,298 |
Residential Real Estate [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 2,478 | 1,681 |
Multifamily Real Estate [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 68,483 | 50,452 |
Total past due | 12,529 | 1,490 |
Loans not past due | 55,954 | 48,962 |
Multifamily Real Estate [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 12,503 | 1,415 |
Multifamily Real Estate [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 26 | 75 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 138,906 | 119,265 |
Total past due | 2,113 | 2,549 |
Loans not past due | 136,793 | 116,716 |
Commercial Real Estate [Member] | Owner Occupied [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 361 | 1,354 |
Commercial Real Estate [Member] | Owner Occupied [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 1,752 | 1,195 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 225,027 | 188,918 |
Total past due | 214 | 5,881 |
Loans not past due | 224,813 | 183,037 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 89 | 2,481 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 125 | 3,400 |
Commercial and Industrial [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 77,617 | 68,339 |
Total past due | 2,654 | 1,284 |
Loans not past due | 74,963 | 67,055 |
Commercial and Industrial [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 1,557 | 220 |
Commercial and Industrial [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 1,097 | 1,064 |
Consumer [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 32,205 | 31,445 |
Total past due | 553 | 389 |
Loans not past due | 31,652 | 31,056 |
Consumer [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 410 | 288 |
Consumer [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 143 | 101 |
All Other [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 146,332 | 105,501 |
Total past due | 9,344 | 4,092 |
Loans not past due | 136,988 | 101,409 |
All Other [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 2,005 | 3,157 |
All Other [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total past due | 7,339 | $ 935 |
First National Bankshares Corporation [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 121,552 | |
First National Bankshares Corporation [Member] | Residential Real Estate [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 49,424 | |
First National Bankshares Corporation [Member] | Multifamily Real Estate [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 3,265 | |
First National Bankshares Corporation [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 20,024 | |
First National Bankshares Corporation [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 9,650 | |
First National Bankshares Corporation [Member] | Commercial and Industrial [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 18,361 | |
First National Bankshares Corporation [Member] | Consumer [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | 2,427 | |
First National Bankshares Corporation [Member] | All Other [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total loans | $ 18,401 |
LOANS, Allowance for Loan Losse
LOANS, Allowance for Loan Losses and Recorded Investment in Loans by Portfolio Segment Based on Impairment Method (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2014 |
Allowance for Loan Losses [Abstract] | ||||||
Individually evaluated for impairment, allowance for loan losses | $ 511 | $ 219 | ||||
Collectively evaluated for impairment, allowance for loan losses | 10,340 | 9,348 | ||||
Total allowance for loan losses | 10,863 | $ 10,804 | 9,647 | $ 9,825 | $ 10,694 | $ 10,347 |
Loans Balances [Abstract] | ||||||
Individually evaluated for impairment, loan balances | 19,759 | 8,892 | ||||
Collectively evaluated for impairment, loan balances | 1,002,498 | 835,094 | ||||
Total loans | 1,033,945 | 849,746 | ||||
Acquired with Deteriorated Credit Quality [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Total allowance for loan losses | 12 | 80 | ||||
Loans Balances [Abstract] | ||||||
Individually evaluated for impairment, loan balances | 396 | 80 | ||||
Total loans | 11,688 | 5,760 | ||||
Residential Real Estate [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Individually evaluated for impairment, allowance for loan losses | 3 | 0 | ||||
Collectively evaluated for impairment, allowance for loan losses | 2,787 | 2,501 | ||||
Total allowance for loan losses | 2,790 | 2,747 | 2,501 | 2,622 | 2,466 | 2,093 |
Loans Balances [Abstract] | ||||||
Individually evaluated for impairment, loan balances | 389 | 575 | ||||
Collectively evaluated for impairment, loan balances | 343,193 | 285,251 | ||||
Total loans | 345,375 | 285,826 | ||||
Residential Real Estate [Member] | Acquired with Deteriorated Credit Quality [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Total allowance for loan losses | 0 | 0 | ||||
Loans Balances [Abstract] | ||||||
Total loans | 1,793 | 0 | ||||
Multifamily Real Estate [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Individually evaluated for impairment, allowance for loan losses | 0 | 0 | ||||
Collectively evaluated for impairment, allowance for loan losses | 913 | 821 | ||||
Total allowance for loan losses | 913 | 822 | 821 | 595 | 512 | 304 |
Loans Balances [Abstract] | ||||||
Individually evaluated for impairment, loan balances | 2,598 | 75 | ||||
Collectively evaluated for impairment, loan balances | 65,885 | 50,377 | ||||
Total loans | 68,483 | 50,452 | ||||
Multifamily Real Estate [Member] | Acquired with Deteriorated Credit Quality [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Total allowance for loan losses | 0 | 0 | ||||
Loans Balances [Abstract] | ||||||
Total loans | 0 | 0 | ||||
Commercial Real Estate [Member] | Owner Occupied [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Individually evaluated for impairment, allowance for loan losses | 41 | 44 | ||||
Collectively evaluated for impairment, allowance for loan losses | 1,330 | 1,465 | ||||
Total allowance for loan losses | 1,371 | 1,442 | 1,509 | 1,498 | 1,476 | 1,501 |
Loans Balances [Abstract] | ||||||
Individually evaluated for impairment, loan balances | 2,541 | 446 | ||||
Collectively evaluated for impairment, loan balances | 134,325 | 118,688 | ||||
Total loans | 138,906 | 119,265 | ||||
Commercial Real Estate [Member] | Owner Occupied [Member] | Acquired with Deteriorated Credit Quality [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Total allowance for loan losses | 0 | 0 | ||||
Loans Balances [Abstract] | ||||||
Total loans | 2,040 | 131 | ||||
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Individually evaluated for impairment, allowance for loan losses | 161 | 22 | ||||
Collectively evaluated for impairment, allowance for loan losses | 2,554 | 2,048 | ||||
Total allowance for loan losses | 2,715 | 2,708 | 2,070 | 2,376 | 2,332 | 2,316 |
Loans Balances [Abstract] | ||||||
Individually evaluated for impairment, loan balances | 3,146 | 6,502 | ||||
Collectively evaluated for impairment, loan balances | 216,445 | 176,867 | ||||
Total loans | 225,027 | 188,918 | ||||
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Acquired with Deteriorated Credit Quality [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Total allowance for loan losses | 0 | 0 | ||||
Loans Balances [Abstract] | ||||||
Total loans | 5,436 | 5,549 | ||||
Commercial and Industrial [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Individually evaluated for impairment, allowance for loan losses | 294 | 153 | ||||
Collectively evaluated for impairment, allowance for loan losses | 823 | 800 | ||||
Total allowance for loan losses | 1,129 | 1,111 | 1,033 | 1,119 | 1,139 | 1,444 |
Loans Balances [Abstract] | ||||||
Individually evaluated for impairment, loan balances | 1,463 | 544 | ||||
Collectively evaluated for impairment, loan balances | 75,793 | 67,715 | ||||
Total loans | 77,617 | 68,339 | ||||
Commercial and Industrial [Member] | Acquired with Deteriorated Credit Quality [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Total allowance for loan losses | 12 | 80 | ||||
Loans Balances [Abstract] | ||||||
Total loans | 361 | 80 | ||||
Consumer [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Individually evaluated for impairment, allowance for loan losses | 0 | 0 | ||||
Collectively evaluated for impairment, allowance for loan losses | 318 | 307 | ||||
Total allowance for loan losses | 318 | 306 | 307 | 286 | 274 | 243 |
Loans Balances [Abstract] | ||||||
Individually evaluated for impairment, loan balances | 0 | 0 | ||||
Collectively evaluated for impairment, loan balances | 32,205 | 31,445 | ||||
Total loans | 32,205 | 31,445 | ||||
Consumer [Member] | Acquired with Deteriorated Credit Quality [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Total allowance for loan losses | 0 | 0 | ||||
Loans Balances [Abstract] | ||||||
Total loans | 0 | 0 | ||||
All Other [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Individually evaluated for impairment, allowance for loan losses | 12 | 0 | ||||
Collectively evaluated for impairment, allowance for loan losses | 1,615 | 1,406 | ||||
Total allowance for loan losses | 1,627 | $ 1,668 | 1,406 | $ 1,329 | $ 2,495 | $ 2,446 |
Loans Balances [Abstract] | ||||||
Individually evaluated for impairment, loan balances | 9,622 | 750 | ||||
Collectively evaluated for impairment, loan balances | 134,652 | 104,751 | ||||
Total loans | 146,332 | 105,501 | ||||
All Other [Member] | Acquired with Deteriorated Credit Quality [Member] | ||||||
Allowance for Loan Losses [Abstract] | ||||||
Total allowance for loan losses | 0 | 0 | ||||
Loans Balances [Abstract] | ||||||
Total loans | $ 2,058 | $ 0 |
LOANS, Individually Evaluated F
LOANS, Individually Evaluated For Impairment (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Financing Receivable, Impaired [Line Items] | ||
Individually evaluated for impairment, loan balances | $ 19,759 | $ 8,892 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 20,992 | 9,847 |
Unpaid principal balance with an allowance recorded | 1,481 | 985 |
Unpaid principal balance, total | 22,473 | 10,832 |
Recorded investment with no related allowance recorded | 18,866 | 8,282 |
Recorded investment with an allowance recorded | 1,289 | 690 |
Recorded investment, total | 20,155 | 8,972 |
Allowance for loan losses allocated | 523 | 299 |
Acquired with Deteriorated Credit Quality [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Individually evaluated for impairment, loan balances | 396 | 80 |
Residential Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Individually evaluated for impairment, loan balances | 389 | 575 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 1,034 | 636 |
Unpaid principal balance with an allowance recorded | 41 | |
Recorded investment with no related allowance recorded | 534 | 575 |
Recorded investment with an allowance recorded | 3 | |
Allowance for loan losses allocated | 3 | |
Multifamily Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Individually evaluated for impairment, loan balances | 2,598 | 75 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 2,940 | 416 |
Recorded investment with no related allowance recorded | 2,598 | 75 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Individually evaluated for impairment, loan balances | 2,541 | 446 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 2,236 | 276 |
Unpaid principal balance with an allowance recorded | 357 | 177 |
Recorded investment with no related allowance recorded | 2,190 | 269 |
Recorded investment with an allowance recorded | 351 | 177 |
Allowance for loan losses allocated | 41 | 44 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Individually evaluated for impairment, loan balances | 3,146 | 6,502 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 2,707 | 6,554 |
Unpaid principal balance with an allowance recorded | 531 | 280 |
Recorded investment with no related allowance recorded | 2,615 | 6,222 |
Recorded investment with an allowance recorded | 531 | 280 |
Allowance for loan losses allocated | 161 | 22 |
Commercial and Industrial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Individually evaluated for impairment, loan balances | 1,463 | 544 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 2,472 | 1,160 |
Unpaid principal balance with an allowance recorded | 460 | 528 |
Recorded investment with no related allowance recorded | 1,393 | 391 |
Recorded investment with an allowance recorded | 318 | 233 |
Allowance for loan losses allocated | 306 | 233 |
All Other [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Individually evaluated for impairment, loan balances | 9,622 | 750 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 9,603 | 805 |
Unpaid principal balance with an allowance recorded | 92 | 0 |
Recorded investment with no related allowance recorded | 9,536 | 750 |
Recorded investment with an allowance recorded | 86 | 0 |
Allowance for loan losses allocated | $ 12 | $ 0 |
LOANS, Average Balance of Loans
LOANS, Average Balance of Loans Individually Evaluated For Impairment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Financing Receivable, Impaired [Line Items] | ||||
Average recorded investment | $ 16,400 | $ 10,202 | $ 12,568 | $ 12,786 |
Interest income recognized | 289 | 744 | 481 | 915 |
Cash basis interest recognized | 256 | 721 | 443 | 878 |
Residential Real Estate [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average recorded investment | 667 | 523 | 612 | 329 |
Interest income recognized | 5 | 3 | 16 | 5 |
Cash basis interest recognized | 5 | 3 | 14 | 5 |
Multifamily Real Estate [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average recorded investment | 2,594 | 305 | 1,580 | 1,051 |
Interest income recognized | 63 | 671 | 121 | 685 |
Cash basis interest recognized | 63 | 671 | 121 | 685 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average recorded investment | 1,847 | 857 | 1,144 | 1,157 |
Interest income recognized | 3 | 7 | 3 | 25 |
Cash basis interest recognized | 3 | 7 | 3 | 25 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average recorded investment | 4,240 | 4,304 | 5,066 | 4,552 |
Interest income recognized | 175 | 43 | 275 | 137 |
Cash basis interest recognized | 175 | 34 | 273 | 115 |
Commercial and Industrial [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average recorded investment | 1,809 | 726 | 1,155 | 856 |
Interest income recognized | 10 | 6 | 26 | 20 |
Cash basis interest recognized | 10 | 6 | 26 | 20 |
All Other [Member] | ||||
Financing Receivable, Impaired [Line Items] | ||||
Average recorded investment | 5,243 | 3,487 | 3,011 | 4,841 |
Interest income recognized | 33 | 14 | 40 | 43 |
Cash basis interest recognized | $ 0 | $ 0 | $ 6 | $ 28 |
LOANS, Troubled Debt Restructur
LOANS, Troubled Debt Restructurings (Details) - USD ($) | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Financing Receivable, Modifications [Line Items] | |||
TDR's on Non-accrual | $ 839,000 | $ 7,000 | |
Other TDR's | 8,555,000 | 3,996,000 | |
Total TDR's | 9,394,000 | 4,003,000 | |
Specific reserves allocated to loans that have restructured terms | 227,000 | 0 | |
Commitments to lend additional amounts to borrowers | 0 | 0 | |
Increase in allowance for loan losses related to purchased loans | $ 396,000 | $ 0 | |
Purchased loans forbearance period | 15 months | ||
Residential Real Estate [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
TDR's on Non-accrual | $ 88,000 | 7,000 | |
Other TDR's | 471,000 | 222,000 | |
Total TDR's | 559,000 | 229,000 | |
Multifamily Real Estate [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
TDR's on Non-accrual | 0 | 0 | |
Other TDR's | 2,206,000 | 2,201,000 | |
Total TDR's | 2,206,000 | 2,201,000 | |
Commercial Real Estate [Member] | Owner Occupied [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
TDR's on Non-accrual | 0 | ||
Other TDR's | 864,000 | ||
Total TDR's | 864,000 | ||
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
TDR's on Non-accrual | 0 | 0 | |
Other TDR's | 100,000 | 454,000 | |
Total TDR's | 100,000 | 454,000 | |
Commercial and Industrial [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
TDR's on Non-accrual | 0 | 0 | |
Other TDR's | 447,000 | 396,000 | |
Total TDR's | 447,000 | 396,000 | |
Consumer [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
TDR's on Non-accrual | 0 | ||
Other TDR's | 48,000 | ||
Total TDR's | 48,000 | ||
All Other [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
TDR's on Non-accrual | 751,000 | 0 | |
Other TDR's | 4,419,000 | 723,000 | |
Total TDR's | $ 5,170,000 | $ 723,000 |
LOANS, TDR Modified During Peri
LOANS, TDR Modified During Period (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016USD ($)Loan | Sep. 30, 2015USD ($)Loan | Sep. 30, 2016USD ($)Loan | Sep. 30, 2015USD ($)Loan | |
Financing Receivable, Modifications [Line Items] | ||||
Number of loans | Loan | 8 | 0 | 14 | 1 |
Pre-modification outstanding recorded investment | $ 4,545,000 | $ 0 | $ 5,574,000 | $ 1,543,000 |
Post-modification outstanding recorded investment | 4,545,000 | 0 | 5,574,000 | 1,543,000 |
Increase in allowance for loan losses | 35,000 | 204,000 | ||
TDR's with payment defaults within 12 months after modification | $ 0 | $ 0 | $ 0 | $ 0 |
Residential Real Estate [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of loans | Loan | 6 | 0 | 8 | 0 |
Pre-modification outstanding recorded investment | $ 184,000 | $ 0 | $ 483,000 | $ 0 |
Post-modification outstanding recorded investment | $ 184,000 | $ 0 | $ 483,000 | $ 0 |
Multifamily Real Estate [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of loans | Loan | 0 | 1 | ||
Pre-modification outstanding recorded investment | $ 0 | $ 1,543,000 | ||
Post-modification outstanding recorded investment | $ 0 | $ 1,543,000 | ||
Commercial Real Estate [Member] | Owner Occupied [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of loans | Loan | 1 | 0 | 3 | 0 |
Pre-modification outstanding recorded investment | $ 255,000 | $ 0 | $ 865,000 | $ 0 |
Post-modification outstanding recorded investment | $ 255,000 | $ 0 | $ 865,000 | $ 0 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of loans | Loan | 1 | 0 | ||
Pre-modification outstanding recorded investment | $ 100,000 | $ 0 | ||
Post-modification outstanding recorded investment | $ 100,000 | $ 0 | ||
Commercial and Industrial [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of loans | Loan | 1 | 0 | ||
Pre-modification outstanding recorded investment | $ 20,000 | $ 0 | ||
Post-modification outstanding recorded investment | $ 20,000 | $ 0 | ||
All Other [Member] | ||||
Financing Receivable, Modifications [Line Items] | ||||
Number of loans | Loan | 1 | 0 | 1 | 0 |
Pre-modification outstanding recorded investment | $ 4,106,000 | $ 0 | $ 4,106,000 | $ 0 |
Post-modification outstanding recorded investment | $ 4,106,000 | $ 0 | $ 4,106,000 | $ 0 |
LOANS, Risk Category of Loans b
LOANS, Risk Category of Loans by Class of Loans, Credit Quality Indicators (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | $ 1,033,945 | $ 849,746 |
Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 345,375 | 285,826 |
Multifamily Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 68,483 | 50,452 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 138,906 | 119,265 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 225,027 | 188,918 |
Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 77,617 | 68,339 |
Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 32,205 | 31,445 |
All Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 146,332 | 105,501 |
Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 974,411 | 809,446 |
Pass [Member] | Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 330,422 | 273,741 |
Pass [Member] | Multifamily Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 64,717 | 46,135 |
Pass [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 127,557 | 112,989 |
Pass [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 217,023 | 179,179 |
Pass [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 72,553 | 64,563 |
Pass [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 31,670 | 31,000 |
Pass [Member] | All Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 130,469 | 101,839 |
Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 24,740 | 19,903 |
Special Mention [Member] | Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 5,048 | 5,389 |
Special Mention [Member] | Multifamily Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 80 | 2,041 |
Special Mention [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 6,781 | 3,964 |
Special Mention [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,419 | 2,891 |
Special Mention [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,660 | 2,859 |
Special Mention [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 201 | 269 |
Special Mention [Member] | All Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 5,551 | 2,490 |
Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 34,757 | 20,346 |
Substandard [Member] | Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 9,902 | 6,689 |
Substandard [Member] | Multifamily Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 3,686 | 2,276 |
Substandard [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,568 | 2,312 |
Substandard [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 3,585 | 6,848 |
Substandard [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,370 | 873 |
Substandard [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 334 | 176 |
Substandard [Member] | All Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 10,312 | 1,172 |
Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 37 | 51 |
Doubtful [Member] | Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 3 | 7 |
Doubtful [Member] | Multifamily Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Doubtful [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Doubtful [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Doubtful [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 34 | 44 |
Doubtful [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Doubtful [Member] | All Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | $ 0 | $ 0 |
STOCKHOLDERS' EQUITY AND REGU43
STOCKHOLDERS' EQUITY AND REGULATORY MATTERS (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2016 | Dec. 31, 2015 | |
STOCKHOLDERS' EQUITY AND REGULATORY MATTERS [Abstract] | ||
Number of previous years retained profit taken for dividend calculation | 2 years | |
Funds available for dividends without prior approval | $ 1.1 | |
Capital conservation buffer. actual rate | 6.77% | |
Capital conservation buffer, required rate | 0.625% | |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) | 13.20% | 13.60% |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Regulatory Minimum Requirements | 4.50% | |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), To Be Considered Well Capitalized | 6.50% | |
Tier I Capital (to Risk-Weighted Assets) | 13.70% | 13.60% |
Tier I Capital (to Risk-Weighted Assets), Regulatory Minimum Requirements | 6.00% | |
Tier I Capital (to Risk-Weighted Assets), To Be Considered Well Capitalized | 8.00% | |
Total Capital (to Risk-Weighted Assets) | 14.80% | 14.70% |
Total Capital (to Risk-Weighted Assets), Regulatory Minimum Requirements | 8.00% | |
Total Capital (to Risk-Weighted Assets), To Be Considered Well Capitalized | 10.00% | |
Tier I Capital (to Average Assets) | 9.90% | 9.40% |
Tier I Capital (to Average Assets), Regulatory Minimum Requirements | 4.00% | |
Tier I Capital (to Average Assets), To Be Considered Well Capitalized | 5.00% |
FEDERAL HOME LOAN BANK ADVANC44
FEDERAL HOME LOAN BANK ADVANCES (Details) | Jan. 15, 2016USD ($)Advance | Sep. 30, 2016USD ($)Advance | Dec. 31, 2015USD ($) |
Federal Home Loan Bank, Advances, Fiscal Year Maturity [Abstract] | |||
2,016 | $ 12,000 | ||
2,017 | 50,000 | ||
2,018 | 53,000 | ||
2,019 | 55,000 | ||
2,020 | 58,000 | ||
Thereafter | 262,000 | ||
Principal amount outstanding | 490,000 | ||
Carrying amount, net of fair value adjustment | $ 531,000 | $ 0 | |
FHLB-Pitt [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Number of advances from FHLB assumed as part of acquisition | Advance | 5 | ||
Number of advances from FHLB paid off | Advance | 4 | ||
Number of remaining advances from FHLB | Advance | 1 | ||
Federal Home Loan Bank advances, assumed | $ 1,261,000 | ||
Federal Home Loan Bank advances, interest rate | 4.93% | ||
Federal Home Loan Bank advances, maturity date | Dec. 31, 2024 |
SUBORDINATED DEBENTURES (Detail
SUBORDINATED DEBENTURES (Details) - First National Bankshares Corporation [Member] | 3 Months Ended |
Sep. 30, 2016USD ($) | |
Debt Instrument [Line Items] | |
Junior subordinated debenture issued | $ 6,186,000 |
Effective interest rate | 3.665% |
Debt redemption price percentage | 100.00% |
Investment in common stock | $ 186,000 |
LIBOR [Member] | |
Debt Instrument [Line Items] | |
Basis spread on variable interest rate | 2.95% |
STOCK COMPENSATION EXPENSE (Det
STOCK COMPENSATION EXPENSE (Details) - USD ($) | Mar. 16, 2016 | Mar. 18, 2015 | Sep. 30, 2016 | Sep. 30, 2015 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Compensation expense | $ 160,000 | $ 188,000 | ||
2012 Long Term Incentive Plan [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized stock-based compensation expense | $ 63,000 | |||
Unrecognized stock-based compensation, period of recognition | 29 months | |||
2012 Long Term Incentive Plan [Member] | Stock Options [Member] | Robert W. Walker [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Grants (in shares) | 7,000 | 7,000 | ||
Fair value of stock options granted (in dollars per share) | $ 14.90 | $ 14.72 | ||
Compensation expense | $ 104,000 | $ 103,000 | ||
2012 Long Term Incentive Plan [Member] | Granted on March 16, 2016 [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock option vesting periods | 3 years | |||
Grants (in shares) | 50,900 | |||
Grants (in dollars per share) | $ 14.90 | |||
2012 Long Term Incentive Plan [Member] | Granted on March 18, 2015 [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock option vesting periods | 3 years | |||
Grants (in shares) | 47,650 | |||
Grants (in dollars per share) | $ 14.72 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Basic earnings per share [Abstract] | ||||
Income available to common stockholders | $ 3,164 | $ 3,325 | $ 8,767 | $ 9,594 |
Weighted average common shares outstanding (in shares) | 9,660,168 | 8,172,577 | 9,553,463 | 8,158,003 |
Earnings per share (in dollars per share) | $ 0.33 | $ 0.41 | $ 0.92 | $ 1.18 |
Diluted earnings per share [Abstract] | ||||
Income available to common stockholders | $ 3,164 | $ 3,325 | $ 8,767 | $ 9,594 |
Weighted average common shares outstanding (in shares) | 9,660,168 | 8,172,577 | 9,553,463 | 8,158,003 |
Add dilutive effects of potential additional common stock (in shares) | 55,220 | 65,090 | 54,883 | 259,466 |
Weighted average common and dilutive potential common shares outstanding (in shares) | 9,715,388 | 8,237,667 | 9,608,346 | 8,417,469 |
Earnings per share assuming dilution (in dollars per share) | $ 0.33 | $ 0.40 | $ 0.91 | $ 1.14 |
Stock Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Securities not considered in computing diluted earnings per share (in shares) | 0 | 23,500 | 0 | 23,500 |
FAIR VALUE, Carrying Amount and
FAIR VALUE, Carrying Amount and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Financial assets [Abstract] | ||
Securities available for sale | $ 295,211 | $ 255,466 |
Carrying Amount [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 87,827 | 66,704 |
Federal funds sold | 6,861 | 5,835 |
Securities available for sale | 295,211 | 255,466 |
Loans, net | 1,023,082 | 840,099 |
Federal Home Loan Bank stock | 3,220 | 3,072 |
Interest receivable | 4,019 | 3,162 |
Financial liabilities [Abstract] | ||
Deposits | (1,273,585) | (1,060,196) |
Securities sold under agreements to repurchase | (27,145) | (21,694) |
FHLB advances | (531) | |
Other borrowed funds | (9,467) | (11,292) |
Subordinated debt | (5,333) | |
Interest payable | (332) | (321) |
Fair Value [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 87,827 | 66,704 |
Federal funds sold | 6,861 | 5,835 |
Securities available for sale | 295,211 | 255,466 |
Loans, net | 1,020,364 | 838,867 |
Interest receivable | 4,019 | 3,162 |
Financial liabilities [Abstract] | ||
Deposits | (1,272,095) | (1,057,765) |
Securities sold under agreements to repurchase | (27,145) | (21,694) |
FHLB advances | (547) | |
Other borrowed funds | (9,720) | (11,318) |
Subordinated debt | (5,326) | |
Interest payable | (332) | (321) |
Fair Value [Member] | Level 1 [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 87,827 | 66,704 |
Federal funds sold | 6,861 | 5,835 |
Securities available for sale | 0 | 0 |
Loans, net | 0 | 0 |
Interest receivable | 0 | 0 |
Financial liabilities [Abstract] | ||
Deposits | (911,302) | (726,018) |
Securities sold under agreements to repurchase | 0 | 0 |
FHLB advances | 0 | |
Other borrowed funds | 0 | 0 |
Subordinated debt | 0 | |
Interest payable | (8) | (6) |
Fair Value [Member] | Level 2 [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 0 | 0 |
Federal funds sold | 0 | 0 |
Securities available for sale | 295,211 | 255,466 |
Loans, net | 0 | 0 |
Interest receivable | 895 | 633 |
Financial liabilities [Abstract] | ||
Deposits | (360,793) | (331,747) |
Securities sold under agreements to repurchase | (27,145) | (21,694) |
FHLB advances | (547) | |
Other borrowed funds | (9,720) | (11,318) |
Subordinated debt | (5,326) | |
Interest payable | (324) | (315) |
Fair Value [Member] | Level 3 [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 0 | 0 |
Federal funds sold | 0 | 0 |
Securities available for sale | 0 | 0 |
Loans, net | 1,020,364 | 838,867 |
Interest receivable | 3,124 | 2,529 |
Financial liabilities [Abstract] | ||
Deposits | 0 | 0 |
Securities sold under agreements to repurchase | 0 | 0 |
FHLB advances | 0 | |
Other borrowed funds | 0 | 0 |
Subordinated debt | 0 | |
Interest payable | $ 0 | $ 0 |
FAIR VALUE, Assets and Liabilit
FAIR VALUE, Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Available for sale [Abstract] | ||
Securities available for sale | $ 295,211 | $ 255,466 |
Carrying Value [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 295,211 | 255,466 |
Fair Value [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 295,211 | 255,466 |
Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 295,211 | 255,466 |
Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
U. S. Sponsored Agency MBS - Residential [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 168,128 | 132,347 |
U. S. Sponsored Agency CMO's - Residential [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 82,522 | 105,122 |
Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 250,650 | 237,469 |
U.S. Government Sponsored Agency Securities [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 25,867 | 10,429 |
Obligations of States and Political Subdivisions [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 18,694 | 7,568 |
Recurring [Member] | Carrying Value [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 295,211 | 255,466 |
Recurring [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 295,211 | 255,466 |
Recurring [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | U. S. Sponsored Agency MBS - Residential [Member] | Carrying Value [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 168,128 | 132,347 |
Recurring [Member] | U. S. Sponsored Agency MBS - Residential [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | U. S. Sponsored Agency MBS - Residential [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 168,128 | 132,347 |
Recurring [Member] | U. S. Sponsored Agency MBS - Residential [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | U. S. Sponsored Agency CMO's - Residential [Member] | Carrying Value [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 82,522 | 105,122 |
Recurring [Member] | U. S. Sponsored Agency CMO's - Residential [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | U. S. Sponsored Agency CMO's - Residential [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 82,522 | 105,122 |
Recurring [Member] | U. S. Sponsored Agency CMO's - Residential [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | Carrying Value [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 250,650 | 237,469 |
Recurring [Member] | Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 250,650 | 237,469 |
Recurring [Member] | Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | U.S. Government Sponsored Agency Securities [Member] | Carrying Value [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 25,867 | 10,429 |
Recurring [Member] | U.S. Government Sponsored Agency Securities [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | U.S. Government Sponsored Agency Securities [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 25,867 | 10,429 |
Recurring [Member] | U.S. Government Sponsored Agency Securities [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | Obligations of States and Political Subdivisions [Member] | Carrying Value [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 18,694 | 7,568 |
Recurring [Member] | Obligations of States and Political Subdivisions [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | Obligations of States and Political Subdivisions [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | 18,694 | 7,568 |
Recurring [Member] | Obligations of States and Political Subdivisions [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Available for sale [Abstract] | ||
Securities available for sale | $ 0 | $ 0 |
FAIR VALUE, Assets and Liabil50
FAIR VALUE, Assets and Liabilities Measured at Fair Value on Nonrecurring Basis (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Impaired Loans Additional Disclosure [Abstract] | |||||
Recorded investment in impaired loans carried at fair value | $ 1,289,000 | $ 1,289,000 | $ 690,000 | ||
Valuation allowance for impaired loans | 523,000 | 523,000 | 299,000 | ||
Impaired collateral dependent loans, provision for loan losses | 24,000 | $ 18,000 | 215,000 | $ 136,000 | |
Other Real Estate Owned Additional Disclosure [Abstract] | |||||
Recorded investment in other real estate owned carried at fair value - gross | 10,758,000 | 10,758,000 | 10,825,000 | ||
Valuation allowance for other real estate owned | 3,217,000 | 3,217,000 | 2,766,000 | ||
Write downs | 478,000 | $ 368,000 | 478,000 | $ 614,000 | |
Residential Real Estate [Member] | |||||
Impaired Loans Additional Disclosure [Abstract] | |||||
Valuation allowance for impaired loans | 3,000 | 3,000 | |||
Commercial Real Estate [Member] | Owner Occupied [Member] | |||||
Impaired Loans Additional Disclosure [Abstract] | |||||
Valuation allowance for impaired loans | 41,000 | 41,000 | 44,000 | ||
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | |||||
Impaired Loans Additional Disclosure [Abstract] | |||||
Valuation allowance for impaired loans | 161,000 | 161,000 | 22,000 | ||
Commercial and Industrial [Member] | |||||
Impaired Loans Additional Disclosure [Abstract] | |||||
Valuation allowance for impaired loans | 306,000 | 306,000 | 233,000 | ||
All Other [Member] | |||||
Impaired Loans Additional Disclosure [Abstract] | |||||
Valuation allowance for impaired loans | 12,000 | 12,000 | 0 | ||
Nonrecurring [Member] | Carrying Amount [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 766,000 | 766,000 | 391,000 | ||
Other real estate owned | 7,541,000 | 7,541,000 | 8,059,000 | ||
Nonrecurring [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | 0 | ||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | 0 | ||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 766,000 | 766,000 | 391,000 | ||
Other real estate owned | 7,541,000 | 7,541,000 | 8,059,000 | ||
Nonrecurring [Member] | Residential Real Estate [Member] | Carrying Amount [Member] | |||||
Assets [Abstract] | |||||
Other real estate owned | 608,000 | 608,000 | 648,000 | ||
Nonrecurring [Member] | Residential Real Estate [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||||
Assets [Abstract] | |||||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | Residential Real Estate [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||||
Assets [Abstract] | |||||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | Residential Real Estate [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||||
Assets [Abstract] | |||||
Other real estate owned | 608,000 | 608,000 | 648,000 | ||
Nonrecurring [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Carrying Amount [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 310,000 | 310,000 | 133,000 | ||
Other real estate owned | 259,000 | 259,000 | 260,000 | ||
Nonrecurring [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | 0 | ||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | 0 | ||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 310,000 | 310,000 | 133,000 | ||
Other real estate owned | 259,000 | 259,000 | 260,000 | ||
Nonrecurring [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Carrying Amount [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 370,000 | 370,000 | 258,000 | ||
Other real estate owned | 2,253,000 | 2,253,000 | 2,253,000 | ||
Nonrecurring [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | 0 | ||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | 0 | ||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 370,000 | 370,000 | 258,000 | ||
Other real estate owned | 2,253,000 | 2,253,000 | 2,253,000 | ||
Nonrecurring [Member] | Commercial and Industrial [Member] | Carrying Amount [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 12,000 | 12,000 | |||
Nonrecurring [Member] | Commercial and Industrial [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | |||
Nonrecurring [Member] | Commercial and Industrial [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | |||
Nonrecurring [Member] | Commercial and Industrial [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 12,000 | 12,000 | |||
Nonrecurring [Member] | All Other [Member] | Carrying Amount [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 74,000 | 74,000 | |||
Other real estate owned | 4,421,000 | 4,421,000 | 4,898,000 | ||
Nonrecurring [Member] | All Other [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | |||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | All Other [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 0 | 0 | |||
Other real estate owned | 0 | 0 | 0 | ||
Nonrecurring [Member] | All Other [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||||
Assets [Abstract] | |||||
Impaired loans | 74,000 | 74,000 | |||
Other real estate owned | $ 4,421,000 | $ 4,421,000 | $ 4,898,000 |
FAIR VALUE, Asset Quantitative
FAIR VALUE, Asset Quantitative Information (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2016 | Dec. 31, 2015 | |
Impaired Loans [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 766 | $ 391 |
Impaired Loans [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 310 | $ 133 |
Impaired Loans [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Sales Comparison [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for limited salability of specialized property | 44.80% | 60.70% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for limited salability of specialized property | 76.30% | 72.40% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Sales Comparison [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for limited salability of specialized property | 56.10% | 66.30% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 370 | $ 258 |
Impaired Loans [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Sales Comparison [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 16.30% | 8.00% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 16.30% | 8.00% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Sales Comparison [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 16.30% | 8.00% |
Impaired Loans [Member] | Commercial and Industrial [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 12 | |
Impaired Loans [Member] | Commercial and Industrial [Member] | Sales Comparison [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for estimated realizable value | 8.00% | |
Impaired Loans [Member] | Commercial and Industrial [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for estimated realizable value | 8.00% | |
Impaired Loans [Member] | Commercial and Industrial [Member] | Sales Comparison [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for estimated realizable value | 8.00% | |
Impaired Loans [Member] | All Other [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 74 | |
Impaired Loans [Member] | All Other [Member] | Sales Comparison [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for percentage of completion of construction | 8.00% | |
Impaired Loans [Member] | All Other [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for percentage of completion of construction | 8.00% | |
Impaired Loans [Member] | All Other [Member] | Sales Comparison [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for percentage of completion of construction | 8.00% | |
Other Real Estate Owned [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 7,541 | $ 8,059 |
Other Real Estate Owned [Member] | Residential Real Estate [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 608 | $ 648 |
Other Real Estate Owned [Member] | Residential Real Estate [Member] | Sales Comparison [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 0.70% | 0.70% |
Other Real Estate Owned [Member] | Residential Real Estate [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 31.60% | 31.60% |
Other Real Estate Owned [Member] | Residential Real Estate [Member] | Sales Comparison [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 24.70% | 24.70% |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 259 | $ 260 |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Sales Comparison [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 25.40% | |
Adjustment for estimated realizable value | 1.30% | |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 41.30% | |
Adjustment for estimated realizable value | 25.40% | |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Sales Comparison [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 38.80% | |
Adjustment for estimated realizable value | 5.00% | |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 2,253 | $ 2,253 |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Sales Comparison [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 17.20% | 21.90% |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 23.40% | 23.40% |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Sales Comparison [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 22.30% | 23.10% |
Other Real Estate Owned [Member] | All Other [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 4,421 | $ 4,898 |
Other Real Estate Owned [Member] | All Other [Member] | Sales Comparison [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for estimated realizable value | 15.70% | 18.90% |
Other Real Estate Owned [Member] | All Other [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for estimated realizable value | 40.40% | 46.60% |
Other Real Estate Owned [Member] | All Other [Member] | Sales Comparison [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for estimated realizable value | 19.90% | 27.50% |
ACQUISITION OF FIRST NATIONAL52
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION (Details) - First National Bankshares [Member] - USD ($) | Jan. 15, 2016 | Sep. 30, 2016 |
Business Acquisition [Line Items] | ||
Merger consideration entitled to common stock (in shares) | 1.69 | |
Goodwill not deductible for tax purposes | $ 3,320,000 | $ 1,570,000 |
Core deposit intangible not deductible for tax purpose | $ 3,310,000 | |
Estimated amortization of core deposit intangible [Abstract] | ||
2,016 | 455,000 | |
2,017 | 428,000 | |
2,018 | 364,000 | |
2,019 | 309,000 | |
2,020 | 289,000 | |
Thereafter | 1,463,000 | |
Total core deposit intangible acquired | 3,308,000 | |
Net assets acquired via the acquisition [Abstract] | ||
Cash and due from banks | 16,385,000 | |
Securities available for sale | 76,612,000 | |
Loans, net | 132,954,000 | |
Premises and equipment | 5,839,000 | |
Goodwill and other intangible assets | 4,883,000 | |
Other assets | 824,000 | |
Total assets acquired | 237,497,000 | |
Deposits | (205,174,000) | |
Repurchase agreements | (2,168,000) | |
FHLB borrowings | (1,347,000) | |
Subordinated debt | (5,307,000) | |
Other liabilities | (1,460,000) | |
Total liabilities assumed | (215,456,000) | |
Net assets acquired | 22,041,000 | |
Fair value of non-impaired loans acquired | 125,669,000 | |
Gross contractual amounts receivable | 127,347,000 | |
As Initially Reported [Member] | ||
Net assets acquired via the acquisition [Abstract] | ||
Cash and due from banks | 16,385,000 | |
Securities available for sale | 76,612,000 | |
Loans, net | 132,954,000 | |
Premises and equipment | 4,606,000 | |
Goodwill and other intangible assets | 5,176,000 | |
Other assets | 1,764,000 | |
Total assets acquired | 237,497,000 | |
Deposits | (205,174,000) | |
Repurchase agreements | (2,168,000) | |
FHLB borrowings | (1,347,000) | |
Subordinated debt | (5,307,000) | |
Other liabilities | (1,460,000) | |
Total liabilities assumed | (215,456,000) | |
Net assets acquired | 22,041,000 | |
Recast Adjustments During Measurement Period [Member] | ||
Net assets acquired via the acquisition [Abstract] | ||
Cash and due from banks | 0 | |
Securities available for sale | 0 | |
Loans, net | 0 | |
Premises and equipment | 1,233,000 | |
Goodwill and other intangible assets | (293,000) | |
Other assets | (940,000) | |
Total assets acquired | 0 | |
Deposits | 0 | |
Repurchase agreements | 0 | |
FHLB borrowings | 0 | |
Subordinated debt | 0 | |
Other liabilities | 0 | |
Total liabilities assumed | 0 | |
Net assets acquired | $ 0 |