Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Mar. 06, 2017 | Jun. 30, 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 Public Float | $ 141,702,886 | ||
Entity Common Stock, Shares Outstanding | 10,640,735 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and due from banks | $ 41,443 | $ 33,888 |
Interest bearing bank balances | 55,720 | 32,816 |
Federal funds sold | 7,555 | 5,835 |
Cash and cash equivalents | 104,718 | 72,539 |
Time deposits with other banks | 2,332 | 0 |
Securities available for sale | 288,607 | 255,466 |
Loans | 1,024,823 | 849,746 |
Allowance for loan losses | (10,836) | (9,647) |
Net loans | 1,013,987 | 840,099 |
Federal Home Loan Bank stock, at cost | 3,200 | 3,072 |
Premises and equipment, net | 24,224 | 19,841 |
Other real estate owned, net | 12,665 | 13,040 |
Interest receivable | 3,862 | 3,162 |
Goodwill | 35,371 | 33,796 |
Other intangible assets | 4,349 | 2,180 |
Deferred taxes | 1,400 | 346 |
Other assets | 1,478 | 1,152 |
Total assets | 1,496,193 | 1,244,693 |
Deposits | ||
Non-interest bearing | 319,618 | 271,194 |
Time deposits, $250,000 and over | 66,378 | 64,062 |
Other interest bearing | 893,390 | 724,940 |
Total deposits | 1,279,386 | 1,060,196 |
Securities sold under agreements to repurchase | 23,820 | 21,694 |
Other borrowed funds | 8,859 | 11,292 |
Subordinated debt | 5,343 | 0 |
Interest payable | 364 | 321 |
Other liabilities | 4,237 | 3,958 |
Total liabilities | 1,322,009 | 1,097,461 |
Stockholders' equity | ||
Common stock, no par value; 20,000,000 shares authorized; 10,640,735 shares issued and outstanding in 2016, and 8,997,704 shares issued and outstanding in 2015 | 109,911 | 69,319 |
Retained earnings | 66,195 | 77,592 |
Accumulated other comprehensive income (loss) | (1,922) | 321 |
Total stockholders' equity | 174,184 | 147,232 |
Total liabilities and stockholders' equity | $ 1,496,193 | $ 1,244,693 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 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) | 10,640,735 | 8,997,704 |
Common stock, shares outstanding (in shares) | 10,640,735 | 8,997,704 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Interest income | |||
Loans, including fees | $ 52,228 | $ 47,134 | $ 46,974 |
Securities available for sale | |||
Taxable | 5,350 | 4,866 | 5,377 |
Tax-exempt | 332 | 207 | 214 |
Federal funds sold and other | 431 | 204 | 185 |
Total interest income | 58,341 | 52,411 | 52,750 |
Interest expense | |||
Deposits | 3,884 | 3,482 | 3,738 |
Repurchase agreements and other | 37 | 38 | 34 |
FHLB advances and other borrowings | 466 | 511 | 564 |
Subordinated Debt | 256 | 0 | 0 |
Total interest expense | 4,643 | 4,031 | 4,336 |
Net interest income | 53,698 | 48,380 | 48,414 |
Provision for loan losses | 1,748 | 326 | 534 |
Net interest income after provision for loan losses | 51,950 | 48,054 | 47,880 |
Non-interest income | |||
Service charges on deposit accounts | 4,030 | 3,665 | 3,576 |
Electronic banking income | 3,145 | 2,691 | 2,437 |
Secondary market mortgage income | 212 | 137 | 199 |
Gain on disposition of securities | 4 | 0 | 29 |
Other | 796 | 606 | 689 |
Total non-interest income | 8,187 | 7,099 | 6,930 |
Non-interest expenses | |||
Salaries and employee benefits | 19,805 | 16,949 | 18,071 |
Occupancy and equipment expenses | 6,266 | 5,201 | 5,013 |
Outside data processing | 5,210 | 4,395 | 4,057 |
Professional fees | 784 | 664 | 762 |
Taxes, other than payroll, property and income | 614 | 591 | 573 |
Write-downs, expenses, sales of other real estate owned, net | 1,826 | 2,109 | 158 |
Loan collection expenses | 435 | 403 | 312 |
FDIC insurance | 840 | 866 | 928 |
Amortization of intangibles | 1,139 | 853 | 818 |
Other expenses | 4,274 | 3,773 | 3,798 |
Total non-interest expenses | 41,193 | 35,804 | 34,490 |
Income before income taxes | 18,944 | 19,349 | 20,320 |
Provision for income taxes | 6,770 | 6,903 | 7,170 |
Net income | 12,174 | 12,446 | 13,150 |
Preferred stock dividends and accretion | 0 | 0 | (598) |
Net income available to common stockholders | $ 12,174 | $ 12,446 | $ 12,552 |
Earnings per share: | |||
Basic (in dollars per share) | $ 1.16 | $ 1.38 | $ 1.41 |
Diluted (in dollars per share) | 1.15 | 1.35 | 1.33 |
Dividends per share (in dollars per share) | $ 0.56 | $ 0.51 | $ 0.55 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | |||
Net income | $ 12,174 | $ 12,446 | $ 13,150 |
Other comprehensive income (loss): | |||
Unrealized gains (losses) arising during the period | (3,446) | (1,779) | 3,241 |
Reclassification of realized amount | (4) | 0 | (29) |
Net change in unrealized gain (loss) on securities | (3,450) | (1,779) | 3,212 |
Less tax impact | (1,207) | (605) | 1,092 |
Other comprehensive income (loss) | (2,243) | (1,174) | 2,120 |
Comprehensive income | $ 9,931 | $ 11,272 | $ 15,270 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Preferred Stock [Member] | Common Stock [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total |
Balances at Dec. 31, 2013 | $ 11,955 | $ 73,589 | $ 62,021 | $ (625) | $ 146,940 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 0 | 0 | 13,150 | 0 | 13,150 |
Other comprehensive income (loss) | 0 | 0 | 0 | 2,120 | 2,120 |
Cash dividends paid | 0 | 0 | (4,854) | 0 | (4,854) |
Redemption of preferred stock | (12,000) | 0 | 0 | 0 | (12,000) |
Dividends declared on preferred stock | 0 | 0 | (533) | 0 | (553) |
Preferred stock accretion | 45 | 0 | (45) | 0 | 0 |
Stock options exercised | 0 | 731 | 0 | 0 | 731 |
Stock based compensation expense | 0 | 248 | 0 | 0 | 248 |
Balances at Dec. 31, 2014 | 0 | 74,568 | 69,719 | 1,495 | 145,782 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 0 | 0 | 12,446 | 0 | 12,446 |
Other comprehensive income (loss) | 0 | 0 | 0 | (1,174) | (1,174) |
Cash dividends paid | 0 | 0 | (4,573) | 0 | (4,573) |
Purchase of warrant | 0 | (5,675) | 0 | 0 | (5,675) |
Stock options exercised | 0 | 222 | 0 | 0 | 222 |
Stock based compensation expense | 0 | 204 | 0 | 0 | 204 |
Balances at Dec. 31, 2015 | 0 | 69,319 | 77,592 | 321 | 147,232 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 0 | 0 | 12,174 | 0 | 12,174 |
Other comprehensive income (loss) | 0 | 0 | 0 | (2,243) | (2,243) |
Cash dividends paid | 0 | 0 | (5,933) | 0 | (5,933) |
10% common stock dividend | 0 | 17,622 | (17,638) | 0 | (16) |
Stock issued to acquire subsidiary, net | 0 | 22,041 | 0 | 0 | 22,041 |
Stock options exercised | 0 | 751 | 0 | 0 | 751 |
Stock based compensation expense | 0 | 178 | 0 | 0 | 178 |
Balances at Dec. 31, 2016 | $ 0 | $ 109,911 | $ 66,195 | $ (1,922) | $ 174,184 |
CONSOLIDATED STATEMENTS OF CHA7
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) [Abstract] | |||
Cash dividends paid (in dollars per share) | $ 0.56 | $ 0.51 | $ 0.55 |
Common stock dividend rate | 10.00% |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities | |||
Net income | $ 12,174 | $ 12,446 | $ 13,150 |
Adjustments to reconcile net income to net cash from operating activities | |||
Depreciation | 1,934 | 1,695 | 1,575 |
Provision (credit) for loan losses | 1,748 | 326 | 534 |
Amortization (accretion), net | 2,624 | 462 | 701 |
Writedowns (gains) on other real estate owned, net | 689 | 1,063 | (714) |
Stock compensation expense | 178 | 204 | 248 |
Loans originated for sale | 0 | (1,679) | (6,679) |
Secondary market loans sold | 0 | 1,941 | 6,729 |
Secondary market mortgage income | 0 | (38) | (199) |
Gain on the disposition of securities available for sale | (4) | 0 | (29) |
Changes in : | |||
Interest receivable | (102) | 57 | 584 |
Deferred income taxes | (223) | 621 | 3,356 |
Other assets | (67) | (48) | (484) |
Interest payable | (44) | (113) | (83) |
Other liabilities | (938) | (105) | (166) |
Net cash from operating activities | 17,969 | 16,832 | 18,523 |
Cash flows from investing activities | |||
Net change on time deposits with other banks | 2,141 | 0 | 0 |
Purchases of securities available for sale | (44,835) | (95,606) | (36,435) |
Proceeds from maturities and calls of securities available for sale | 82,332 | 66,927 | 52,043 |
Proceeds from the sale of securities available for sale | 47 | 0 | 13,319 |
Purchase of FHLB stock | 0 | (76) | 0 |
Redemption of FHLB stock | 210 | 0 | 1,307 |
Acquisition of subsidiary, net of cash received | 11,912 | 0 | 40,973 |
Net change in loans | (43,868) | 24,552 | (45,545) |
Purchases of premises and equipment, net | (478) | (912) | (1,391) |
Improvements to OREO property | 0 | (29) | (194) |
Proceeds from sales of other real estate owned | 1,636 | 4,672 | 3,901 |
Net cash from investing activities | 9,097 | (472) | 27,978 |
Cash flows from financing activities | |||
Net change in deposits | 14,048 | (14,863) | (33,041) |
Net change in agreements to repurchase securities | (42) | 6,114 | 4,261 |
Repayment of other borrowed funds | (2,433) | (16,376) | (2,422) |
Repayment of other FHLB advances | (1,262) | 0 | 0 |
Redemption of preferred stock | 0 | 0 | (12,000) |
Proceeds from other borrowings | 0 | 15,946 | 0 |
Proceeds from stock option exercises | 751 | 222 | 731 |
Purchase of warrant | 0 | (5,675) | 0 |
Cash in lieu of fractional shares | (16) | 0 | 0 |
Preferred stock dividends paid | 0 | 0 | (553) |
Common stock dividends paid | (5,933) | (4,573) | (4,854) |
Net cash from financing activities | 5,113 | (19,205) | (47,878) |
Net change in cash and cash equivalents | 32,179 | (2,845) | (1,377) |
Cash and cash equivalents at beginning of year | 72,539 | 75,384 | 76,761 |
Cash and cash equivalents at end of year | 104,718 | 72,539 | 75,384 |
Cash paid during year for - | |||
Interest | 4,686 | 4,144 | 4,419 |
Income taxes paid, net | 7,123 | 5,946 | 4,302 |
Non-cash transactions | |||
Loans transferred to real estate acquired through foreclosure | 1,950 | 5,778 | 1,677 |
Amount transferred from retained earnings to common stock related to stock dividend | 17,638 | 0 | 0 |
Subsidiaries acquired: | |||
Fair value of assets acquired from Bankshares | 237,341 | 0 | 0 |
Common stock issued to acquire Bankshares | 22,041 | 0 | 0 |
Liabilities assumed of Bankshares | $ 215,300 | $ 0 | $ 0 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2016 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The consolidated financial statements include the accounts of Premier Financial Bancorp, Inc. (the "Company" or "Premier") and its wholly-owned subsidiaries: Unaudited December 31, 2016 Subsidiary Location Year Acquired Total Assets Net Income Citizens Deposit Bank & Trust Vanceburg, Kentucky 1991 $ 414,485 $ 4,547 Premier Bank, Inc. Huntington, West Virginia 1998 1,075,790 9,535 Parent and Intercompany Eliminations 5,918 (1,908 ) Consolidated total $ 1,496,193 $ 12,174 All material intercompany transactions and balances have been eliminated. Nature of Operations Cash Flows Estimates in the Financial Statements Securities Securities available for sale might be sold before maturity and are carried at fair value. Adjustments from amortized cost to fair value are recorded in other comprehensive income, net of related income tax. Interest income includes amortization of purchase premium or discount computed using the level yield method. Gains or losses on dispositions are recorded on the trade date and are based on the net proceeds and adjusted carrying amount of the securities sold using the specific identification method. Securities are written down to fair value when a decline in fair value is not temporary. Management evaluates securities for other-than-temporary impairment ("OTTI") at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. Declines in the fair value of securities below their cost that are other-than-temporary are reflected as realized losses. In estimating other-than-temporary losses, management considers the length of time and extent that fair value has been less than cost and the financial condition and near term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the income statement and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. Loans Held for Sale Loans Interest income on mortgage and commercial loans is discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection. Consumer loans are typically charged off no later than 120 days past due. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. Non-accrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. A loan is moved to non-accrual status in accordance with the Company's policy, typically after 90 days of non-payment. All interest accrued but not received for loans placed on non-accrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or costrecovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Concentration of Credit Risk The Company's success and recent growth in lending in the central West Virginia market area depend primarily on the local general economy which has been driven in the past by Federal Government programs to develop technology infrastructure and more recently by the drilling for natural gas in the recently discovered Marcellus and Utica shale formations. Furthermore, Premier's success in the southern West Virginia market depends, in large part, on the local general economy which has been driven by significant employment by coal and other natural resource based businesses. While Premier's direct credit risk exposure to such industries is minimal, the success or failure of these industries may have an indirect effect on the local economic conditions in the central and southern West Virginia market areas, either individually or collectively, thus having a significant impact on the credit risk of loans in this market area. Certain Purchased Loans: Such purchased loans are accounted for individually or may be aggregated into pools of loans based on common risk characteristics such as loan type. The Company estimates the amount and timing of expected cash flows for each purchased loan or pool, and the expected cash flows in excess of amount paid is recorded as interest income over the remaining life of the loan or pool (accretable yield). The excess of the loan's or pool's contractual principal and interest over expected cash flows is not recorded (nonaccretable difference). Over the life of the loan or pool, expected cash flows continue to be estimated. If the present value of expected cash flows is less than the carrying amount, a loss is recorded as an increase in the allowance for loan losses. If the present value of expected cash flows is greater than the carrying amount, it is recognized as part of future interest income. Allowance for Loan Losses A loan is impaired when full payment under the loan terms is not expected. Impairment is evaluated in total for smaller-balance loans of similar nature such as residential mortgage, consumer, and credit card loans, and accordingly, they are not separately identified for impairment disclosures. All other loans are evaluated for impairment on an individual basis. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower's prior payment record, and the amount of the shortfall in relation to the principal and interest owed. If a loan is impaired, a portion of the allowance is allocated so that the loan is reported, net, at the present value of estimated future cash flows using the loan's existing rate or at the fair value of collateral if repayment is expected solely from the collateral. Loans with restructured terms offering a concession to enable a struggling borrower to repay (Troubled Debt Restructurings) are measured at the present value of estimated future cash flows using the loan's effective rate at inception. If a troubled debt restructuring is considered to be a collateral dependent loan, the loan is reported, net, at the fair value of the collateral. For troubled debt restructurings that subsequently default, the Company determines the amount of reserve in accordance with the accounting policy for the allowance for loan losses. The general component of the allowance covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. The following portfolio segments have been identified as having differing risk characteristics: Loans secured by 1-4 family real estate: Loans secured by multifamily residential real estate: Loans secured by owner occupied non-farm non-residential real estate Loans secured by non-farm non-residential real estate Commercial and industrial loans not secured by real estate: Consumer loans: All other loan types Transfers of Financial Assets Premises and Equipment Other Real Estate Owned Federal Home Loan Bank ("FHLB") stock: Goodwill and Other Intangible Assets Other intangible assets consist of core deposit intangible assets arising from whole bank and branch acquisitions. They are initially measured at fair value and then are amortized on an accelerated method over their estimated useful lives of approximately 8 to 10 years. Repurchase Agreements Stock Based Compensation Income Taxes A tax position is recognized as a benefit only if it is more likely than not that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the "more likely than not" test, no tax benefit is recorded. The Company recognizes interest related to income tax matters as other interest expense and penalties related to income tax matters as other noninterest expense. Off Balance Sheet Financial Instruments Earnings Per Common Share Comprehensive Income Loss Contingencies Fair Value of Financial Instruments Operating Segments Reclassifications Adoption of New Accounting Standards 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 |
ACQUISITION OF FIRST NATIONAL B
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION | 12 Months Ended |
Dec. 31, 2016 | |
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION [Abstract] | |
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION | NOTE 2 – 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 $237.3 million single bank holding company headquartered in Ronceverte, West Virginia. Under terms of an agreement of merger dated July 6, 2015, Premier issued 1.859 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 year ended December 31, 2016, management obtained information regarding its initial valuations that resulted in increases in the fair value of the premises acquired, and the estimated core deposit intangible plus decreases in the fair value of loans and other liabilities, net of 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 resulting merger expands Premier's footprint into the Greenbrier Valley of West Virginia and into Covington, Virginia along Interstate 64 with six additional branch locations. 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 over an estimated 10 year life. The following table presents estimated amortization of the Bankshares core deposit intangible as of the acquisition date for each of the first five years and thereafter. 2016 $ 455 2017 428 2018 364 2019 309 2020 289 Thereafter 1,463 Total core deposit intangible acquired $ 3,308 Net assets acquired via the acquisition are shown in the table below. As Initially Reported Recast Adjustments during 2016 First National Bankshares Cash and due from banks $ 11,912 $ - $ 11,912 Time deposits with other banks 4,473 - 4,473 Securities available for sale 76,612 - 76,612 Loans, net 132,954 (156 ) 132,798 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 (156 ) 237,341 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 ) 156 (1,304 ) Total liabilities assumed (215,456 ) 156 (215,300 ) 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 and had gross contractual amounts receivable of $127,347 on the date of acquisition. |
RESTRICTIONS ON CASH AND DUE FR
RESTRICTIONS ON CASH AND DUE FROM BANKS | 12 Months Ended |
Dec. 31, 2016 | |
RESTRICTIONS ON CASH AND DUE FROM BANKS [Abstract] | |
RESTRICTIONS ON CASH AND DUE FROM BANKS | NOTE 3 - RESTRICTIONS ON CASH AND DUE FROM BANKS Included in cash and due from banks are certain interest bearing and non-interest bearing deposits that are held at the Federal Reserve or maintained in vault cash in accordance with average balance requirements specified by the Federal Reserve Board of Governors. The balance requirement at December 31, 2016 and 2015 was approximately $22,752 and $18,615. |
SECURITIES
SECURITIES | 12 Months Ended |
Dec. 31, 2016 | |
SECURITIES [Abstract] | |
SECURITIES | NOTE 4 –SECURITIES Amortized cost and fair value of securities available for sale and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) were as follows: 2016 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Available for sale Mortgage-backed securities U. S. sponsored agency MBS - residential $ 177,105 $ 245 $ (3,173 ) $ 174,177 U. S. sponsored agency CMO's - residential 73,163 761 (657 ) 73,267 Total mortgage-backed securities of government sponsored agencies 250,268 1,006 (3,830 ) 247,444 U. S. government sponsored agency securities 24,652 23 (174 ) 24,501 Obligations of states and political subdivisions 16,645 111 (94 ) 16,662 Total available for sale $ 291,565 $ 1,140 $ (4,098 ) $ 288,607 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 In 2016, a gain of $4 was recognized upon the sale (including calls) of securities. There were no sales of securities during 2015, while in 2014, a gain of $29 was recognized upon the sale (including calls) of securities. The tax expense related to the gains in 2016 and 2014 was $1 and $10, respectively. The realized gains, net of tax, were reclassified out of accumulated other comprehensive income (loss) on the statement of comprehensive income. The realized gains are reported on the income statement under the caption "Gain on disposition of securities" and the reclassified provision for income taxes is reported on the income statement under the caption "Provision for income taxes". Securities with an approximate carrying value of $207,832 and $179,626 at December 31, 2016 and 2015 were pledged to secure public deposits, trust funds, securities sold under agreements to repurchase and for other purposes as required or permitted by law. The amortized cost and fair value of securities at December 31, 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. Securities not due at a single maturity date, such as mortgage-backed securities, are shown separately. Amortized Cost Fair Value Available for sale Due in one year or less $ 8,270 $ 8,307 Due after one year through five years 25,762 25,656 Due after five years through ten years 6,701 6,649 Due after ten years 564 551 Mortgage-backed securities of government sponsored agencies 250,268 247,444 Total available for sale $ 291,565 $ 288,607 Securities with unrealized losses at year-end 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 securities $ 17,207 $ (174 ) $ - $ - $ 17,207 $ (174 ) U.S government sponsored agency MBS – residential 157,022 (3,173 ) - - 157,022 (3,173 ) U.S government sponsored agency CMO's – residential 18,374 (373 ) 8,750 (284 ) 27,124 (657 ) Obligations of states and political subdivisions 7,961 (94 ) - - 7,961 (94 ) Total temporarily impaired $ 200,564 $ (3,814 ) $ 8,750 $ (284 ) $ 209,314 $ (4,098 ) Securities with unrealized losses at year-end 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 December 31, 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 | 12 Months Ended |
Dec. 31, 2016 | |
LOANS [Abstract] | |
LOANS | NOTE 5 - LOANS Major classifications of loans at year-end are summarized as follows: 2016 2015 Residential real estate $ 342,294 $ 285,826 Multifamily real estate 74,165 50,452 Commercial real estate: Owner occupied 129,370 119,265 Non owner occupied 220,836 188,918 Commercial and industrial 76,736 68,339 Consumer 30,916 31,445 All other 150,506 105,501 $ 1,024,823 $ 849,746 As more fully discussed under Note 2 above, the table above includes loans purchased in the acquisition of Bankshares. The composition of the major classifications of the loans acquired from Bankshares at December 31, 2016 are summarized as follows: 2016 Residential real estate $ 45,683 Multifamily real estate 3,238 Commercial real estate: Owner occupied 19,190 Non owner occupied 9,146 Commercial and industrial 17,582 Consumer 1,885 All other 17,126 $ 113,850 Certain directors and executive officers of the Banks and companies in which they have beneficial ownership, were loan customers of the Banks during 2016 and 2015. An analysis of the 2016 activity with respect to all director and executive officer loans is as follows: Balance, December 31, 2015 $ 7,727 Additions, including loans now meeting disclosure requirements 607 Amounts collected and loans no longer meeting disclosure requirements (4,169 ) Balance, December 31, 2016 $ 4,165 Activity in the Allowance for Loan Losses Activity in the allowance for loan losses by portfolio segment for the year ending December 31, 2016 was as follows: Loan Class Balance Dec 31, 2015 Provision (credit) for loan losses Loans charged-off Recoveries Balance Dec 31, 2016 Residential real estate $ 2,501 $ 608 $ 209 $ 48 $ 2,948 Multifamily real estate 821 (36 ) - - 785 Commercial real estate: Owner occupied 1,509 46 14 2 1,543 Non owner occupied 2,070 380 100 - 2,350 Commercial and industrial 1,033 136 74 45 1,140 Consumer 307 294 340 86 347 All other 1,406 320 273 270 1,723 Total $ 9,647 $ 1,748 $ 1,010 $ 451 $ 10,836 Activity in the allowance for loan losses by portfolio segment for the year ending December 31, 2015 was as follows: Loan Class Balance Dec 31, 2014 Provision (credit) for loan losses Loans charged-off Recoveries Balance Dec 31, 2015 Residential real estate $ 2,093 $ 675 $ 359 $ 92 $ 2,501 Multifamily real estate 304 517 - - 821 Commercial real estate: Owner occupied 1,501 23 17 2 1,509 Non owner occupied 2,316 (905 ) - 659 2,070 Commercial and industrial 1,444 (17 ) 403 9 1,033 Consumer 243 176 209 97 307 All other 2,446 (143 ) 1,108 211 1,406 Total $ 10,347 $ 326 $ 2,096 $ 1,070 $ 9,647 Activity in the allowance for loan losses by portfolio segment for the year ending December 31, 2014 was as follows: Loan Class Balance Dec 31, 2013 Provision (credit) for loan losses Loans charged-off Recoveries Balance Dec 31, 2014 Residential real estate $ 2,694 $ (244 ) $ 421 $ 64 $ 2,093 Multifamily real estate 417 (113 ) - - 304 Commercial real estate: Owner occupied 1,407 315 221 - 1,501 Non owner occupied 2,037 602 323 - 2,316 Commercial and industrial 2,184 (589 ) 168 17 1,444 Consumer 297 47 161 60 243 All other 1,991 516 307 246 2,446 Total $ 11,027 $ 534 $ 1,601 $ 387 $ 10,347 Purchased 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 December 31, 2016 and December 31, 2015. 2016 2015 Residential Real Estate $ 1,619 $ - Commercial Real Estate Owner Occupied 2,013 131 Non owner Occupied 5,396 5,549 Commercial and industrial 232 80 All other 2,061 - Total carrying amount $ 11,321 $ 5,760 Contractual principal balance $ 14,784 $ 7,251 Carrying amount, net of allowance $ 11,311 $ 5,680 For those purchased loans disclosed above, the Company decreased the allowance for loan losses by $70 for the year ended December 31, 2016 but increased the allowance for loan losses by $31 for the year ended December 31, 2015. For those purchased loans discussed 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 values of these loans totaled $208 at December 31, 2016 including $199 acquired from Bankshares. Any loan accounted for under the cost recovery method is also still included as a non-accrual loan in the amounts presented in the tables below. The accretable yield, or income expected to be collected, on the purchased loans above is as follows the three years ended December 31, 2016. 2016 2015 2014 Balance at January 1 $ 185 $ 204 $ 217 New loans purchased 1,151 - - Accretion of income (128 ) (19 ) (13 ) Income recognized upon full repayment - - - Reclassifications from non-accretable difference - - - Disposals - - - Balance at December 31 $ 1,208 $ 185 $ 204 As part of the acquisition of 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, while the cash flow expected to be collected at acquisition totaled $8,437 and the fair value of the acquired loans totaled $7,286. 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 December 31, 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 or interest payments made by the borrower which have been used to reduce the recorded investment in the loan rather than recognized as interest income. December 31, 2016 Principal Owed on Non-accrual Loans Recorded Investment in Non-accrual Loans Loans Past Due Over 90 Days, still accruing Residential real estate $ 3,467 $ 2,794 $ 606 Multifamily real estate 11,157 11,106 334 Commercial real estate Owner occupied 1,769 1,704 15 Non owner occupied 294 196 36 Commercial and industrial 2,537 1,209 1,008 Consumer 366 347 - All other 8,408 8,391 - Total $ 27,998 $ 25,747 $ 1,999 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 December 31, 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 $ 342,294 $ 6,113 $ 1,596 $ 7,709 $ 334,585 Multifamily real estate 74,165 - 11,440 11,440 62,725 Commercial real estate: Owner occupied 129,370 1,746 1,474 3,220 126,150 Non owner occupied 220,836 1,803 159 1,962 218,874 Commercial and industrial 76,736 330 2,120 2,450 74,286 Consumer 30,916 403 223 626 30,290 All other 150,506 577 8,187 8,764 141,742 Total $ 1,024,823 $ 10,972 $ 25,199 $ 36,171 $ 988,652 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 December 31, 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 $ - $ 2,948 $ - $ 2,948 $ 379 $ 340,296 $ 1,619 $ 342,294 Multifamily real estate - 785 - 785 13,641 60,524 - 74,165 Commercial real estate: Owner occupied 244 1,299 - 1,543 2,801 124,556 2,013 129,370 Non-owner occupied - 2,350 - 2,350 2,373 213,067 5,396 220,836 Commercial and industrial 266 864 10 1,140 1,418 75,086 232 76,736 Consumer - 347 - 347 - 30,916 - 30,916 All other 86 1,637 - 1,723 12,976 135,469 2,061 150,506 Total $ 596 $ 10,230 $ 10 $ 10,836 $ 33,588 $ 979,914 $ 11,321 $ 1,024,823 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 December 31, 2016. The table includes $208 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 $ 743 $ 379 $ - Multifamily real estate 13,692 13,641 - Commercial real estate Owner occupied 1,803 1,766 - Non owner occupied 2,465 2,373 - Commercial and industrial 2,429 1,338 - All other 9,868 9,853 - 31,000 29,350 - With an allowance recorded: Commercial real estate Owner occupied $ 1,055 $ 1,035 $ 244 Commercial and industrial 431 288 276 All other 3,124 3,123 86 4,610 4,446 606 Total $ 35,610 $ 33,796 $ 606 The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2015. The table includes $80 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 528 233 233 985 690 299 Total $ 10,832 $ 8,972 $ 299 The following table presents by loan class, the average balance of loans individually evaluated for impairment and interest income recognized on these loans for the three years ended December 31, 2016. The table includes loans acquired with deteriorated credit quality that are still individually evaluated for impairment. Year ended Dec 31, 2016 Year ended Dec 31, 2015 Year ended Dec 31, 2014 Loan Class Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Residential real estate $ 566 $ 21 $ 18 $ 378 $ 11 $ 11 $ 1,964 $ 267 $ 267 Multifamily real estate 3,993 198 181 855 685 685 2,221 782 782 Commercial real estate: Owner occupied 1,475 19 16 1,015 28 27 2,139 179 174 Non-owner occupied 4,527 314 314 4,942 180 180 2,085 711 704 Commercial and industrial 1,249 36 35 810 26 26 1,912 657 657 All other 5,157 219 27 4,023 56 56 7,347 149 149 Total $ 16,967 $ 807 $ 591 $ 12,023 $ 986 $ 985 $ 17,668 $ 2,745 $ 2,733 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 December 31, 2016 and 2015: December 31, 2016 TDR's on Non-accrual Other TDR's Total TDR's Residential real estate $ 129 $ 464 $ 593 Multifamily real estate - 2,201 2,201 Commercial real estate Owner occupied - 856 856 Commercial and industrial 62 352 414 All other 751 4,395 5,146 Total $ 942 $ 8,268 $ 9,210 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 December 31, 2016, $43 in specific reserves was allocated to loans that had restructured terms. At December 31, 2015, there were no specific reserves allocated to loans that had restructured terms. There were no commitments to lend additional amounts on these loans. The following table presents TDR's that occurred during the years ended December 31, 2016 and 2015. Year ended December 31, 2016 Year ended December 31, 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 - - - 2 3,744 3,744 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 2 $ 3,744 $ 3,744 The modifications reported above for the year ended December 31, 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 $139 during the year ended December 31, 2016. During the twelve months following modification, the $100 non-owner occupied loan and the $20 commercial and industrial loan failed to comply with the modified terms and resulted in a payment default. These two loans were subsequently charged-off during the year ended December 31, 2016. The modifications reported above for the year ended December 31, 2015 involve a modification of one multifamily residential real estate loan during the three months ended March 31, 2015. The modification 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 loan was fully repaid during the three months ended June 30, 2015. The second multifamily residential real estate loan reported above for the year ended December 31, 2015 was modified with a nine month forbearance agreement requiring payments of interest only. Cash collateral securing the loan was also released during the forbearance period to allow the borrower to improve the property to secure moderate income tenants. The maturity period for loan was not extended. During the years ended December 31, 2015 and 2014, 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 December 31, 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 $ 328,905 $ 4,880 $ 8,507 $ 2 $ 342,294 Multifamily real estate 59,375 78 14,712 - 74,165 Commercial real estate: Owner occupied 118,134 6,720 4,516 - 129,370 Non-owner occupied 213,641 4,391 2,804 - 220,836 Commercial and industrial 72,094 2,337 2,275 30 76,736 Consumer 30,369 242 305 - 30,916 All other 134,945 1,958 13,603 - 150,506 Total $ 957,463 $ 20,606 $ 46,722 $ 32 $ 1,024,823 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 |
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2016 | |
PREMISES AND EQUIPMENT [Abstract] | |
PREMISES AND EQUIPMENT | NOTE 6 – PREMISES AND EQUIPMENT Year-end premises and equipment were as follows: 2016 2015 Land and improvements $ 5,713 $ 4,541 Buildings and leasehold improvements 21,270 17,521 Furniture and equipment 8,608 8,898 Assets purchased not yet placed in service 14 34 35,605 30,994 Less: accumulated depreciation (11,381 ) (11,153 ) $ 24,224 $ 19,841 Operating Leases 2017 $ 980 2018 466 2019 247 2020 242 2021 227 Thereafter 1,649 $ 3,811 |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2016 | |
GOODWILL AND OTHER INTANGIBLE ASSETS [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS | NOTE 7 – GOODWILL AND OTHER INTANGIBLE ASSETS The change in the balance for goodwill during the year is as follows 2016 2015 2014 Beginning of year $ 33,796 $ 33,796 $ 29,875 Acquired goodwill 1,575 - 3,921 Impairment - - - End of year $ 35,371 $ 33,796 $ 33,796 Acquired intangible assets at December 31, 2016 and 2015 were as follows. 2016 2015 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Core deposit intangible $ 8,758 $ (4,409 ) $ 7,085 $ (4,905 ) Aggregate intangible amortization expense was $1,139 for 2016, $853 for 2015, and $818 for 2014. Estimated amortization expense for each of the next five years: 2017 974 2018 765 2019 656 2020 475 2021 473 Thereafter 1,006 $ 4,349 |
DEPOSITS
DEPOSITS | 12 Months Ended |
Dec. 31, 2016 | |
DEPOSITS [Abstract] | |
DEPOSITS | NOTE 8 – DEPOSITS At December 31, 2016 the scheduled maturities of time deposits are as follows: 2017 $ 224,909 2018 66,965 2019 22,671 2020 21,432 2021 22,664 $ 358,641 Certain directors and executive officers of the Banks and companies in which they have beneficial ownership were deposit customers of the Banks during 2016 and 2015. The balance of such deposits at December 31, 2016 and 2015 were approximately $7,881 and $6,854. |
SECURITIES SOLD UNDER AGREEMENT
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE | 12 Months Ended |
Dec. 31, 2016 | |
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE [Abstract] | |
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE | NOTE 9 – SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE Securities sold under agreements to repurchase generally mature within one to ninety days from the transaction date. Information concerning securities sold under agreements to repurchase is summarized as follows: 2016 2015 Year-end balance $ 23,820 $ 21,694 Average balance during the year $ 24,573 $ 16,927 Average interest rate during the year 0.14 % 0.22 % Maximum month-end balance during the year $ 33,956 $ 21,763 Weighted average interest rate at year-end 0.09 % 0.13 % |
FEDERAL HOME LOAN BANK ADVANCES
FEDERAL HOME LOAN BANK ADVANCES | 12 Months Ended |
Dec. 31, 2016 | |
FEDERAL HOME LOAN BANK ADVANCES [Abstract] | |
FEDERAL HOME LOAN BANK ADVANCES | NOTE 10 – FEDERAL HOME LOAN BANK ADVANCES The Banks own stock of the Federal Home Loan Bank of Cincinnati, Ohio (FHLB-Cin), and Federal Home Loan Bank of Pittsburgh, Pennsylvania (FHLB-Pitt). This stock allows the Banks to borrow advances from the FHLB. At December 31, 2016 the total amount of borrowing permitted by the FHLB-Cin was $73,492 and the total amount of borrowing permitted by the FHLB-Pitt was $369,689. As part of the acquisition of Bankshares, the Company assumed five amortizing advances from FHLB-Pitt to First National Bank, its wholly owned subsidiary, with principal outstanding totaling $1,261 as of the January 15, 2016 acquisition date. During 2016 the Company paid off the five advances prior to their maturity. Reported interest expense on the advances includes the periodic accretion of the fair value adjustments and any prepayment penalties incurred. During 2016 and 2015, the Banks borrowed on a short-term basis and paid-off all FHLB advances as they matured. There were no borrowings outstanding at December 31, 2016 or 2015. |
SUBORDINATED DEBENTURES
SUBORDINATED DEBENTURES | 12 Months Ended |
Dec. 31, 2016 | |
SUBORDINATED DEBENTURES [Abstract] | |
SUBORDINATED DEBENTURES | NOTE 11 – SUBORDINATED DEBENTURES As part of the acquisition of Bankshares, the Company formally assumed $6,186 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 3.832% at December 31, 2016. The Company is not considered the primary beneficiary of this trust (variable interest entity), therefore Trust is not consolidated in the Company's financial statements, but rather the Debentures are shown as a liability. The Debentures mature on April 24, 2034; however, the Company may redeem the Debentures, in whole or in part, at 100% of the principal amount plus any accrued and unpaid interest. The Debentures held by Trust are the sole asset of the trust. The Debentures held by Trust may be included in the Tier 1 capital of the Company (with certain limitations applicable) under current regulatory guidelines and interpretations. 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 and is included in other assets. |
NOTES PAYABLE AND OTHER BORROWE
NOTES PAYABLE AND OTHER BORROWED FUNDS | 12 Months Ended |
Dec. 31, 2016 | |
NOTES PAYABLE AND OTHER BORROWED FUNDS [Abstract] | |
NOTES PAYABLE AND OTHER BORROWED FUNDS | NOTE 12 – NOTES PAYABLE AND OTHER BORROWED FUNDS On August 26, 2015, the Company executed and delivered to First Guaranty Bank of Hammond, Louisiana ("First Guaranty") a Promissory Note and Business Loan Agreement dated August 26, 2015 for the principal amount of $12,000, bearing interest at a fixed rate of 4.00% per annum and requiring 59 monthly principal payments of $143 plus accrued interest and one final principal and interest payment of $3,575 due on August 26, 2020. The Promissory Note is secured by the pledge of 25% of Premier's interest in Premier Bank, Inc. (a wholly owned subsidiary) under a Commercial Pledge Agreement dated August 26, 2015. The proceeds of this note were used to refinance a $4,500 balance plus accrued interest due under Premier's previous Promissory Note to First Guaranty; pay off the remaining $5,400 balance plus accrued interest due to The Bankers' Bank of Kentucky, Inc. of Frankfort, Kentucky ("Bankers' Bank") under a Term Note dated September 8, 2010; and pay the remaining $2,000 balance plus accrued interest due on Premier's $5,000 Line of Credit with Bankers' Bank. The sum of the disbursements totaled $11,946 and the final $54 on the Term Note was not borrowed. At the time of origination, Premier's chairman owned approximately 23.8% of the voting stock of First Guaranty Bancshares, parent company for First Guaranty. However, Premier's board of directors, the chairman abstaining, and audit committee determined prior to its vote to authorize the company to enter into the loan transaction that the terms of the financing, including the interest rate and collateral, were no less favorable than those which could be obtained from other financial institutions. The outstanding principal balance on the borrowing at December 31, 2016 and 2015 was $8,600 and $11,000. On August 12, 2016 the Company executed and delivered to First Guaranty a Change in Terms Agreement modifying its Promissory Note and Business Loan Agreement dated June 30, 2012 that established a Line of Credit with the bank extending the right to request and receive monies from First Guaranty on the line of credit until June 30, 2019. The Change in Terms Agreement maintained the principal amount of $3,000, bearing interest floating daily at the "Wall Street Journal" prime rate (currently 3.75%), with a floor of 4.50%. Under the terms of the Promissory Note, the Company may request and receive advances from First Guaranty from time to time. Accrued interest on any amounts outstanding is payable monthly, and any amounts outstanding are payable on demand or at maturity. The Promissory Note is also secured by the pledge of 25% of Premier's interest in Premier Bank (a wholly owned subsidiary) under a Commercial Pledge Agreement modified on June 30, 2012. At December 31, 2016 and 2015, Premier had no outstanding balance on this line of credit with First Guaranty. In conjunction with the acquisition of the Bank of Gassaway on April 4, 2014, Premier Bank, Inc. assumed a note payable to Chapman Food Services, Inc. from the Bank of Gassaway dated May 9, 2007. The note was consideration for the purchase of the land for the bank's Flatwoods branch location and is secured by that branch location. The note bears a fixed annual interest rate of 5.62%, requires 119 monthly payments of $4 including principal and interest, and a balloon payment of $249 at maturity on May 9, 2017. The outstanding principal balance on the borrowing at December 31, 2016 and 2015 was $259 and $292. On September 8, 2010, the Company executed and delivered to Bankers' Bank a Term Note and Business Loan Agreement dated September 8, 2010 in the principal amount of $11,300, bearing interest floating daily at the "JP Morgan Chase" prime rate with a minimum rate of 4.50% (initially 4.50%) and requiring 120 monthly principal payments of $94 plus interest. The note was secured by a pledge of Premier's 100% interest in Citizens Deposit Bank and Trust, Inc. (a wholly owned subsidiary) under a Stock Pledge and Security Agreement dated September 8, 2010. The proceeds of this note were used to pay off the remaining $2,904 balance on Premier's $6,500 Term Note with the Bankers' Bank, pay off the $2,400 balance on Premier's $4,300 Line of Credit with the Bankers' Bank and provide a $6,000 capital injection into Citizens Deposit Bank and Trust ("Citizens"), Premier's wholly owned subsidiary, to facilitate Citizens' purchase of four branches from Integra Bank National Association. The outstanding balance of this loan was paid off on August 26, 2015. On September 8, 2016 the Company executed and delivered to Bankers' Bank a Line of Credit Renewal Agreement dated September 7, 2016 extending the right to request and receive monies from Bankers' Bank on Premier's existing line of credit until September 7, 2017. The line of credit renewal maintained the principal amount of $5,000, bearing interest floating daily at the "JP Morgan Chase" prime rate (currently 3.75%), with a floor of 4.50%. Under the terms of the original Promissory Note, Premier may request and receive advances from Bankers' Bank from time to time, but the aggregate outstanding principal balance under the Promissory Note at any time shall not exceed $5,000. Accrued interest on amounts outstanding is payable quarterly, and any amounts outstanding are payable on demand or on September 7, 2017. The Promissory Note is secured by a pledge of Premier's 100% interest in Citizens under a Stock Pledge and Security Agreement dated September 7, 2012. At December 31, 2016 and 2015, Premier had no outstanding balance on this line of credit with Bankers' Bank. Scheduled principal payments due on the notes payable subsequent to December 31, 2016 are as follows: 2017 1,975 2018 1,716 2019 1,716 2020 1,716 2021 1,716 Thereafter 20 $ 8,859 |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2016 | |
INCOME TAXES [Abstract] | |
INCOME TAXES | NOTE 13 – INCOME TAXES The components of the provision (benefit) for income taxes are as follows: 2016 2015 2014 Current $ 6,993 $ 6,282 $ 3,775 Deferred (223 ) 621 3,395 Change in valuation allowance - - - Provision for income taxes $ 6,770 $ 6,903 $ 7,170 The Company's deferred tax assets and liabilities at December 31 are shown below. 2016 2015 Deferred tax assets Allowance for loan losses $ 3,563 $ 3,468 Purchase accounting adjustments 312 973 Net operating loss carryforward 513 545 Alternative minimum tax credit carryforward 517 - Write-downs of other real estate owned 1,214 1,010 Taxable income on non-accrual loans 1,727 1,255 Accrued expenses 153 141 Unrealized loss on investment securities 1,035 - Other 38 29 Total deferred tax assets 9,072 7,421 Deferred tax liabilities Amortization of intangibles $ (4,780 ) $ (4,685 ) Depreciation (1,442 ) (1,000 ) Federal Home Loan Bank dividends (355 ) (349 ) Deferred loan fees (774 ) (664 ) Unrealized gain on investment securities - (166 ) Other (161 ) (51 ) Total deferred tax liabilities (7,512 ) (6,915 ) Valuation allowance on deferred tax assets (160 ) (160 ) Net deferred taxes $ 1,400 $ 346 At December 31, 2016 the Company had federal net operating loss carryforwards of $984, a federal alternative minimum tax credit carryforward of $517, and various state net operating loss carryforwards of $2,425 which begin to expire in 2022. The deductibility of these net operating losses is limited under IRC Sec. 382. A valuation allowance for deferred tax assets is recorded when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of the deferred tax assets depends on the ability of the Company to generate sufficient taxable income of the appropriate character in the future and in the appropriate taxing jurisdictions. The Company considers the scheduled reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. At both December 31, 2016 and 2015, the Company maintains a valuation allowance of $160 against the portion of its District of Columbia net operating loss carryforward that is not expected to be utilized before expiration due to separate company limitations. All other deferred tax assets are more likely than not to be utilized; therefore no additional valuation allowance is needed. An analysis of the differences between the effective tax rates and the statutory U.S. federal income tax rate is as follows: 2016 2015 2014 U.S. federal income tax rate $ 6,630 35.0 % $ 6,579 34.0 % $ 6,909 34.0 % Changes from the statutory rate Impact of graduated federal tax rate - - 169 0.9 19 0.1 State income taxes, net 355 1.9 308 1.6 335 1.6 Tax-exempt interest income (254 ) (1.4 ) (182 ) (0.9 ) (175 ) (0.9 ) Non-deductible interest expense related to carrying tax-exempt interest earning assets 15 0.1 11 0.1 12 0.1 Non-deductible stock compensation expense 26 0.1 34 0.1 55 0.3 Tax credits, net (42 ) (0.2 ) (44 ) (0.2 ) (49 ) (0.2 ) Other 40 0.2 28 0.1 64 0.3 $ 6,770 35.7 % $ 6,903 35.7 % $ 7,170 35.3 % Unrecognized Tax Benefits: The Company and its subsidiaries file a consolidated U.S. Corporation income tax return and a combined return in the state of West Virginia and the District of Columbia. The Company also files a corporate income tax return in the state of Kentucky and Maryland. The Company is no longer subject to examination by taxing authorities for years before 2013. |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2016 | |
EMPLOYEE BENEFIT PLANS [Abstract] | |
EMPLOYEE BENEFIT PLANS | NOTE 14 – EMPLOYEE BENEFIT PLANS The Company has qualified profit sharing plans that cover substantially all employees. Contributions to the plans consist of a Company match and additional amounts at the discretion of the Company's Board of Directors. Total contributions to the plans were $540, $428, and $298 in 2016, 2015, and 2014. |
STOCK COMPENSATION EXPENSE
STOCK COMPENSATION EXPENSE | 12 Months Ended |
Dec. 31, 2016 | |
STOCK COMPENSATION EXPENSE [Abstract] | |
STOCK COMPENSATION EXPENSE | NOTE 15 – 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. In 2012, the Company registered 550,000 shares of its common stock to be reserve for stock based incentive programs over the subsequent 10 years ("the 2012 Long-term Incentive Plan"). On March 16, 2016, 55,990 incentive stock options were granted out of the 2012 Long Term Incentive Plan at an exercise price of $13.55, 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, 52,415 incentive stock options were granted out of the 2012 Long Term Incentive Plan at an exercise price of $13.38, 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 19, 2014, 50,930 incentive stock options were granted out of the 2012 Long Term Incentive Plan at an exercise price of $13.12, the closing market price of Premier's common stock on the grant date. These options vest in three equal annual installments ending on March 19, 2017. The fair value of the Company's employee stock options granted is estimated at the date of grant using the Black-Scholes option-pricing model. This model requires the input of highly subjective assumptions, changes to which can materially affect the fair value estimate. Additionally, there may be other factors that would otherwise have a significant effect on the value of employee stock options granted but are not considered by the model. The assumptions used in the Black-Scholes option-pricing model are as follows 2016 2015 2014 Risk-free interest rate 1.41 % 1.41 % 2.78 % Expected option life (yrs) 5.00 5.00 10.00 Expected stock price volatility 16.48 % 17.20 % 31.19 % Dividend yield 4.03 % 3.53 % 3.33 % Weighted average fair value of options granted during the year $ 1.06 $ 1.25 $ 3.40 The risk-free interest rate for the expected term of the option is based on the U.S. Treasury yield in effect at the time of the grant. The expected option life for the 2016 and 2015 grants were estimated based upon the weighted-average life of options exercised since January 1, 2012. The expected option life for the 2014 grant was estimated since there had been little option exercise history at the time of that grant. The expected stock price volatility is based on historical volatilities of the Company's common stock during the three-year period prior to the grant date. The dividend yield was estimated by annualizing the current quarterly dividend on the Company's common stock at the time of the option grant. On March 16, 2016, 7,700 shares of Premier's common stock were granted to 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 $13.55 per share based upon the closing price of Premier's stock on the date of grant and $104 of stock-based compensation was recorded as a result. On March 18, 2015, 7,700 shares of Premier's common stock were granted to 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 $13.38 per share based upon the closing price of Premier's stock on the date of grant and $103 of stock-based compensation was recorded as a result. On November 1, 2015, 110 shares of Premier's common stock were granted to J. Mark Bias, newly appointed president of Premier Bank, 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 $13.63 per share based upon the closing price of Premier's stock on the date of grant and $1 of stock-based compensation was recorded as a result. Compensation expense of $178, $204, and $248 was recorded for the years ended December 31, 2016, 2015, and 2014, respectively. Stock-based compensation expense is recognized ratably over the requisite service period for all awards. Unrecognized stock-based compensation expense related to stock options totaled $45 at December 31, 2016. This unrecognized expense is expected to be recognized over the next 26 months based on the vesting periods of the options. During the year ending December 31, 2016, 96,880 options were exercised while 50,700 options were exercised during the year ending December 31, 2015 and 130,357 options were exercised during the year ending December 31, 2014. A summary of the Company's stock option activity is as follows: ----------2016---------- ----------2015---------- ----------2014---------- Options Weighted Average Exercise Price Options Weighted Average Exercise Price Options Weighted Average Exercise Price Outstanding at beginning of year 274,030 $ 10.56 301,336 $ 10.05 389,709 $ 8.95 Grants 55,990 13.55 52,415 13.38 50,930 13.12 Exercises (96,880 ) 9.12 (50,700 ) 9.19 (130,357 ) 8.05 Forfeitures or expired (29,150 ) 14.27 (29,021 ) 12.74 (8,946 ) 8.43 Outstanding at year-end 203,990 $ 11.54 274,030 $ 10.56 301,336 $ 10.05 Exercisable at year-end 113,090 $ 10.02 191,161 $ 9.59 185,375 $ 9.70 Weighted average remaining life 5.3 4.5 6.1 Options outstanding at year-end are expected to fully vest. Additional information regarding stock options outstanding and exercisable at December 31, 2016 is provided in the following table: - - - - - - - - Outstanding - - - - - - - - - - - - - - - - Currently Exercisable - - - - - - - - Range of Exercise Prices Number Weighted Average Exercise Price Aggregate Intrinsic Value Number Weighted Average Remaining Contractual Life Weighted Average Exercise Price Aggregate Intrinsic Value $5.00 to $7.50 1,100 $ 5.96 $ 16 1,100 2.1 $ 5.95 $ 16 $7.51 to $10.00 42,475 6.98 557 42,475 4.4 6.98 557 $10.01 to $12.50 37,070 10.82 344 37,070 4.5 10.82 344 $12.51 to $15.00 123,345 13.38 829 32,445 7.6 13.21 223 Outstanding at Dec 31, 2016 203,990 11.54 $ 1,746 113,090 5.3 10.02 $ 1,140 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2016 | |
RELATED PARTY TRANSACTIONS [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 16 – RELATED PARTY TRANSACTIONS During 2016, 2015 and 2014, the Company paid approximately $448, $441, and $543 for printing, supplies, statement rendering, furniture, and equipment to a company affiliated by common ownership. The Company also paid another affiliate approximately $1,969 in 2014 to permit the Company's employees to participate in that entity's employee medical benefit plan. Participation in the medical benefit plan was terminated in 2014 and the Company now purchases employee medical insurance through a third-party vendor. During 2016, 2015 and 2014, the Company paid approximately $52, $52, and $52 to lease its headquarters facility at 2883 Fifth Avenue, Huntington, West Virginia from River City Properties, LLC, an entity 20.0% owned by the Company's Chairman of the Board and 20.0% owned by another member of the Board of Directors. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 12 Months Ended |
Dec. 31, 2016 | |
EARNINGS PER SHARE [Abstract] | |
EARNINGS PER SHARE | NOTE 17 – 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 2016, 2015 and 2014 is presented below: 2016 2015 2014 Basic earnings per share: Income available to common stockholders $ 12,174 $ 12,446 $ 12,552 Weighted average common shares outstanding 10,539,271 8,978,972 8,898,692 Earnings per share $ 1.16 $ 1.38 $ 1.41 Diluted earnings per share: Income available to common stockholders $ 12,174 $ 12,446 $ 12,552 Weighted average common shares outstanding 10,539,271 8,978,972 8,898,692 Add dilutive effects of potential additional common stock 64,248 229,863 557,234 Weighted average common and dilutive potential Common shares outstanding 10,603,519 9,208,835 9,455,926 Earnings per share assuming dilution $ 1.15 $ 1.35 $ 1.33 Stock options for 25,850 and 25,850 shares of common stock were not considered in computing diluted earnings per share for 2015 and 2014 because they were antidilutive. There were no stock options considered antidilutive for 2016. |
FAIR VALUE
FAIR VALUE | 12 Months Ended |
Dec. 31, 2016 | |
FAIR VALUE [Abstract] | |
FAIR VALUE | NOTE 18 – 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 values: 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 carrying amounts and estimated fair values of financial instruments at December 31, 2016 were as follows: Fair Value Measurements at December 31, 2016 Using Carrying Amount Level 1 Level 2 Level 3 Total Financial assets Cash and due from banks $ 97,163 $ 97,163 $ - $ - $ 97,163 Time deposits with other banks 2,332 - 2,352 - 2,352 Federal funds sold 7,555 7,555 - - 7,555 Securities available for sale 288,607 - 288,607 - 288,607 Loans, net 1,013,987 - - 1,004,388 1,004,388 Federal Home Loan Bank stock 3,200 n/a n/a n/a n/a Interest receivable 3,862 - 771 3,091 3,862 Financial liabilities Deposits $ (1,279,386 ) $ (920,745 ) $ (354,885 ) $ - $ (1,275,630 ) Securities sold under agreements to repurchase (23,820 ) - (23,820 ) - (23,820 ) Other borrowed funds (8,859 ) - (8,906 ) - (8,906 ) Subordinated debt (5,343 ) - (5,341 ) - (5,341 ) Interest payable (364 ) (7 ) (357 ) - (364 ) 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 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). Assets and liabilities measured at fair value on a recurring basis at December 31, 2016 are summarized below: Fair Value Measurements at December 31, 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) Securities available for sale Mortgage-backed securities U. S. agency MBS - residential $ 174,177 $ - $ 174,177 $ - U. S. agency CMO's 73,267 - 73,267 - Total mortgage-backed securities of government sponsored agencies 247,444 - 247,444 - U. S. government sponsored agency securities 24,501 - 24,501 - Obligations of states and political subdivisions 16,662 - 16,662 - Total securities available for sale $ 288,607 $ - $ 288,607 $ - Assets and liabilities measured at fair value on a 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) Securities available for sale Mortgage-backed securities U. S. agency MBS - residential $ 132,347 $ - $ 132,347 $ - U. S. agency CMO's 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 $ - The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2016 and 2015: Securities Available-for-sale Year Ended Dec. 31, 2016 Year Ended Dec. 31, 2015 Balance of recurring Level 3 assets at beginning of period $ - $ 140 Total gains or losses (realized/unrealized): Included in earnings – realized - - Included in earnings – unrealized - - Included in other comprehensive income - - Purchases, sales, issuances and settlements, net - (140 ) Transfers in and/or out of Level 3 - - Balance of recurring Level 3 assets at year-end $ - $ - 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 December 31, 2016 are summarized below: Fair Value Measurements at December 31, 2016 Using Dec 31, 2016 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 $ 793 $ - $ - $ 793 Commercial and Industrial 12 - - 12 All Other 3,036 - - 3,036 Total impaired loans $ 3,841 $ - $ - $ 3,841 Other real estate owned: Residential real estate $ 613 $ - $ - $ 613 Commercial Real Estate Owner occupied 175 - - 175 Non-owner Occupied 2,153 - - 2,153 All Other 3,683 - - 3,683 Total OREO $ 6,624 $ - $ - $ 6,624 Impaired loans, which are measured for impairment using the value of the collateral for collateral dependent loans, had a carrying amount of $4,446 at December 31, 2016 with a valuation allowance of $606 resulting in a provision for loan losses of $491 for the year ended December 31, 2016. Other real estate owned measured at fair value less costs to sell, had a net carrying amount of $6,624, which is made up of the outstanding balance of $9,900, net of a valuation allowance of $3,276 at December 31, 2016, resulting in write downs of $547 during the year ended December 31, 2016. The significant unobservable inputs related to assets and liabilities measured at fair value on a non-recurring basis at December 31, 2016 are summarized below: December 31, 2016 Valuation Techniques Unobservable Inputs Range (Weighted Avg) Impaired loans: Commercial Real Estate Owner Occupied $ 793 sales comparison adjustment for limited salability of specialized property 9.3%-76.4% (19.3%) Commercial and Industrial 12 sales comparison adjustment for differences between the comparable sales 8.0%-8.0% (8.0%) All Other 3,036 sales comparison adjustment for differences between the comparable sales 5.7%-9.0% (8.0%) Total impaired loans $ 3,841 Other real estate owned: Residential Real Estate $ 613 sales comparison adjustment for differences between the comparable sales 0.7%-86.8% (25.2%) Commercial Real Estate Owner Occupied 175 sales comparison adjustment for differences between the comparable sales 21.8%-21.8% (21.8%) Non-owner Occupied 2,153 sales comparison adjustment for differences between the comparable sales 17.2%-27.6% (25.7%) All Other 3,683 sales comparison adjustment for estimated realizable value 15.1%-45.4% (21.8%) Total OREO $ 6,624 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 Dec 31, 2015 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 Impaired loans, which are measured for impairment using the value of the collateral for collateral dependent loans, had a carrying amount of $690 at December 31, 2015 with a valuation allowance of $299 resulting in a provision for loan losses of $171 for the year ended December 31, 2015. Other real estate owned measured at fair value less costs to sell, had a net carrying amount of $8,059, which is made up of the outstanding balance of $10,825, net of a valuation allowance of $2,766 at December 31, 2015, resulting in write downs of $1,060 during the year ended December 31, 2015. 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 |
FINANCIAL INSTRUMENTS WITH OFF-
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK | 12 Months Ended |
Dec. 31, 2016 | |
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK [Abstract] | |
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK | NOTE 19 - FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK The Banks are parties to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of their customers. These financial instruments include standby letters of credit and commitments to extend credit in the form of unused lines of credit. The Banks use the same credit policies in making commitments and conditional obligations as they do for on-balance sheet instruments. In addition, the Banks offer a service whereby deposit customers, for a fee, are permitted to overdraw their accounts up to a certain de minimis amount, also known as "courtesy overdraft protection". The aggregate unused portion of "overdraft protection" was $16,641 and $13,459 at December 31, 2016 and 2015. At December 31, 2016 and 2015, the Banks had the following financial instruments whose approximate contract amounts represent credit risk: 2016 2015 Standby letters of credit $ 11,415 $ 6,700 Commitments to extend credit Fixed $ 27,607 $ 15,898 Variable 94,234 78,482 Standby letters of credit represent conditional commitments issued by the Banks to guarantee the performance of a third party. The credit risk involved in issuing these letters of credit is essentially the same as the risk involved in extending loans to customers. Collateral held varies but primarily includes real estate and certificates of deposit. Some letters of credit are unsecured. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Outstanding commitments are at current market rates. Fixed rate loan commitments have interest rates ranging from 3.00% to 21.00%. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The Banks evaluate each customer's creditworthiness on a case-by-case basis. Since some of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Collateral held varies but may include accounts receivable, inventory, property and equipment, and income producing properties. |
LEGAL PROCEEDINGS
LEGAL PROCEEDINGS | 12 Months Ended |
Dec. 31, 2016 | |
LEGAL PROCEEDINGS [Abstract] | |
LEGAL PROCEEDINGS | NOTE 20 - LEGAL PROCEEDINGS Legal proceedings involving the Company and its subsidiaries periodically arise in the ordinary course of business, including claims by debtors and their related interests against the Company's subsidiaries following initial collection proceedings. These legal proceedings sometimes can involve claims for substantial damages. At December 31, 2016 management is unaware of any legal proceedings for which the expected outcome would have a material adverse effect upon the consolidated financial statements of the Company. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2016 | |
STOCKHOLDERS' EQUITY [Abstract] | |
STOCKHOLDERS' EQUITY | NOTE 21 - STOCKHOLDERS' EQUITY 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 2017 the Banks could, without prior approval, declare dividends to the Company of approximately $4.1 million plus any 2017 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 tables). The final rules implementing the Basel Committee on Banking Supervision's capital guidelines for U.S. Banks (Basel III rules) became effective for the Company and Banks on January 1, 2015 with full compliance with all of the requirements being phased in over a multi-year schedule by January 1, 2019. The net unrealized gain or loss on available for sale securities is not included in computing regulatory capital. Management believes, as of December 31, 2016 the Company and the Banks meet all quantitative capital adequacy requirements to which they are subject. The Company's and the subsidiary Banks' capital amounts and ratios as of December 31, 2016 are presented in the table below. To Be Well Capitalized For Capital Under Prompt Corrective Actual Adequacy Purposes (1) Action Provisions 2016 Amount Ratio Amount Ratio Amount Ratio Total Capital (to risk-weighted assets): Consolidated (2) $ 158,433 15.0 % $ 84,779 8 % $ 105,973 10 % Premier Bank, Inc. 119,860 15.3 62,720 8 78,400 10 Citizens Deposit Bank 39,725 14.3 22,181 8 27,727 10 Tier I Capital (to risk-weighted assets): Consolidated (2) $ 147,597 13.9 % $ 63,584 6 % $ 84,779 8 % Premier Bank, Inc. 111,538 14.2 47,040 6 62,720 8 Citizens Deposit Bank 37,211 13.4 16,636 6 22,181 8 Common Equity Tier I Capital (to risk-weighted assets): Consolidated (2) $ 142,024 13.4 % $ 47,688 4.5 % $ 68,883 6.5 % Premier Bank, Inc. 111,538 14.2 35,280 4.5 50,960 6.5 Citizens Deposit Bank 37,211 13.4 12,477 4.5 18,022 6.5 Tier I Capital (to average assets): Consolidated (2) $ 147,597 10.1 % $ 58,420 4 % $ 73,025 5 % Premier Bank, Inc. 111,538 10.6 42,159 4 52,699 5 Citizens Deposit Bank 37,211 9.1 16,289 4 20,361 5 (1) (2) The consolidated company is not subject to Prompt Corrective Action Provisions. Beginning on January 1, 2016 an additional capital conservation buffer has been added to the minimum regulatory capital ratios under the regulatory framework for prompt corrective action. The capital conservation buffer will be measured as a percentage of risk weighted assets and will be phased-in over a four year period from 2016 thru 2019. When fully implemented, the capital conservation buffer will be 2.50% of risk weighted assets over and above the regulatory minimum capital ratios for Common Equity Tier 1 Capital (CET1) to risk weighted assets, Tier 1 Capital to risk weighted assets, and Total Capital to risk weighted assets. The consequences of not meeting the capital conservation buffer thresholds include restrictions on the payment of dividends, restrictions on the payment of discretionary bonuses, and restrictions on the repurchasing of common shares by the Company. As shown in the table above, the capital ratios of the Affiliate Banks and the Company already exceed the new minimum capital ratios plus the fully phased-in 2.50% capital buffer requiring a CET1 Capital to risk weighted assets ratio of at least 7.00%, a Tier 1 Capital to risk weighted assets ratio of at least 8.50% and a Total Capital to risk weighted assets ratio of at least 10.50%. The Company's capital conservation buffer at December 31, 2016 was 6.95%, well in excess of the fully phased-in 2.50% required by December 31, 2019. The Company's and the subsidiary Banks' capital amounts and ratios as of December 31, 2015 are presented in the table below. To Be Well Capitalized For Capital Under Prompt Corrective Actual Adequacy Purposes Action Provisions 2015 Amount Ratio Amount Ratio Amount Ratio Total Capital (to Risk-Weighted Assets): Consolidated (1) $ 125,964 14.7 % $ 68,563 8 % $ 85,703 10 % Premier Bank, Inc. 93,376 15.1 49,495 8 61,868 10 Citizens Deposit Bank 38,241 16.2 18,934 8 23,667 10 Tier I Capital (to Risk-Weighted Assets): Consolidated (1) $ 116,317 13.6 % $ 51,422 6 % $ 68,563 8 % Premier Bank, Inc. 86,062 13.9 37,121 6 49,495 8 Citizens Deposit Bank 35,908 15.2 14,200 6 18,934 8 Common Equity Tier I Capital (to Risk-Weighted Assets): Consolidated (1) $ 116,317 13.6 % $ 38,566 4.5 % $ 55,707 6.5 % Premier Bank, Inc. 86,062 13.9 27,841 4.5 40,214 6.5 Citizens Deposit Bank 35,908 15.2 10,650 4.5 15,384 6.5 Tier I Capital (to Average Assets): Consolidated (1) $ 116,317 9.4 % $ 49,487 4 % $ 61,858 5 % Premier Bank, Inc. 86,062 10.2 33,924 4 42,405 5 Citizens Deposit Bank 35,908 9.2 15,540 4 19,425 5 (1) The consolidated company is not subject to Prompt Corrective Action Provisions. As of December 31, 2016 and 2015, 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 minimum Total risk-based, Tier 1 risk-based, Tier 1 leverage and Common Equity Tier 1 risk-based ratios as set forth in the tables above. There are no conditions or events since that notification that management believes have changed the Banks' categories. |
PARENT COMPANY FINANCIAL STATEM
PARENT COMPANY FINANCIAL STATEMENTS | 12 Months Ended |
Dec. 31, 2016 | |
PARENT COMPANY FINANCIAL STATEMENTS [Abstract] | |
PARENT COMPANY FINANCIAL STATEMENTS | NOTE 22 - PARENT COMPANY FINANCIAL STATEMENTS Condensed Balance Sheets December 31 2016 2015 ASSETS Cash $ 6,699 $ 5,424 Investment in subsidiaries 181,520 153,026 Premises and equipment 293 230 Other assets 427 358 Total assets $ 188,939 $ 159,038 LIABILITIES AND STOCKHOLDERS' EQUITY Other liabilities $ 812 $ 806 Other borrowed funds 8,600 11,000 Subordinated debt 5,343 - Total liabilities 14,755 11,806 Stockholders' equity Common stock 109,911 69,319 Retained earnings 66,195 77,592 Accumulated other comprehensive income (loss) (1,922 ) 321 Total stockholders' equity 174,184 147,232 Total liabilities and stockholders' equity $ 188,939 $ 159,038 Condensed Statement of Operations Years Ended December 31 2016 2015 2014 Income Dividends from subsidiaries $ 10,840 $ 13,390 $ 14,340 Interest and dividend income 9 2 6 Other income 1,766 1,565 2,364 Total income 12,615 14,957 16,710 Expenses Interest expense 401 494 550 Salaries and employee benefits 2,744 2,703 2,814 Occupancy and equipment expenses 302 268 272 Professional fees 307 264 337 Other expenses 917 523 509 Total expenses 4,671 4,252 4,482 Income before income taxes and equity in undistributed income of subsidiaries 7,944 10,705 12,228 Income tax (benefit) (988 ) (875 ) (728 ) Income before equity in undistributed income of subsidiaries 8,932 11,580 12,956 Equity in undistributed income of subsidiaries 3,242 866 194 Net income $ 12,174 $ 12,446 $ 13,150 Preferred stock dividends and accretion - - (598 ) Net income available to common stockholders $ 12,174 $ 12,446 $ 12,552 Condensed Statement of Cash Flows Years Ended December 31 2016 2015 2014 Cash flows from operating activities Net income $ 12,174 $ 12,446 $ 13,150 Adjustments to reconcile net income to net cash from operating activities Depreciation 94 84 75 Amortization 35 - - Stock compensation expense 178 204 248 Gain from sales of assets - - (947 ) Equity in undistributed earnings of subsidiaries (3,242 ) (866 ) (194 ) Change in other assets (174 ) 100 1,060 Change in other liabilities (58 ) (49 ) 89 Net cash from operating activities 9,007 11,919 13,481 Cash flows from investing activities Proceeds from sales of other real estate owned - - 947 Acquisition of subsidiary, net of cash received 25 - - Purchases of fixed assets, net of proceeds from asset sales (159 ) (149 ) (33 ) Net cash from investing activities (134 ) (149 ) 914 Cash flows from financing activities Cash dividends on preferred stock - - (553 ) Cash dividends paid to shareholders (5,933 ) (4,573 ) (4,854 ) Repurchase of preferred stock - - (12,000 ) Purchase of warrant - (5,675 ) - Cash in lieu of fractional shares (16 ) - - Proceeds from stock option exercises 751 222 731 Proceeds from other borrowed funds - 15,946 - Payments on other borrowed funds (2,400 ) (16,346 ) (2,400 ) Net cash from financing activities (7,598 ) (10,426 ) (19,076 ) Net change in cash and cash equivalents 1,275 1,344 (4,681 ) Cash and cash equivalents at beginning of year 5,424 4,080 8,761 Cash and cash equivalents at end of year $ 6,699 $ 5,424 $ 4,080 |
QUARTERLY FINANCIAL DATA (UNAUD
QUARTERLY FINANCIAL DATA (UNAUDITED) | 12 Months Ended |
Dec. 31, 2016 | |
QUARTERLY FINANCIAL DATA (UNAUDITED) [Abstract] | |
QUARTERLY FINANCIAL DATA (UNAUDITED) | NOTE 23 - QUARTERLY FINANCIAL DATA (UNAUDITED) Earnings Per Share Interest Income Net Interest Income Net Income Basic Diluted 2016 First Quarter $ 14,210 $ 13,055 $ 2,979 $ 0.29 $ 0.29 Second Quarter 14,666 13,491 2,624 0.25 0.25 Third Quarter 14,865 13,716 3,164 0.30 0.30 Fourth Quarter 14,600 13,436 3,407 0.32 0.32 2015 First Quarter $ 13,013 $ 11,964 $ 3,142 $ 0.35 $ 0.33 Second Quarter 12,955 11,923 3,127 0.35 0.34 Third Quarter 13,782 12,783 3,325 0.37 0.37 Fourth Quarter 12,661 11,710 2,852 0.32 0.31 In 2016, interest income increased steadily each quarter largely due increase increases in loans outstanding. Interest income in the fourth quarter of 2016 was lower than previous quarters largely due to the reversal of accrued interest on loans placed on non-accrual status during the quarter. The increases and decrease in interest income resulted in similar increases and decrease in net interest income in 2016. Also contributing to an overall increase in interest income and net interest income, when compared to the quarterly income amounts in 2015, was the acquisition of the Bankshares on January 15, 2016. The interest income from the loans and investments and interest expense on deposits and borrowings of Bankshares are included in the quarterly financial results beginning in the first quarter of 2016. The increase in net interest income did not carry all the way through to increases in quarterly net income until the third quarter 2016 largely due to professional fees and conversion expenses related to the acquisition of Bankshares incurred during the first two quarters of 2016 and an additional provision for loan losses in the second quarter of 2016 related to potential losses from flooding experienced in areas of the Company's West Virginia markets. Earnings per share amounts were lower in 2016 due to the additional shares issued to acquire Bankshares. In 2015, interest income varied per quarter due to a random pattern of borrowers repaying commercial loans in full. Some of the loans paid off in full were either discounted at the time of their acquisition or were on the cost recovery method. These loans, when paid in full, resulted in an increase in interest income as the purchase discount or any historical non-accrual interest paid was recognized immediately in income, particularly illustrated by the increase in interest income in the third quarter of 2015. Also contributing to a decrease in interest income was a decrease in loans outstanding, as well as a decrease in overall yield on the loan portfolio during the year. The fluctuations in interest income resulted in similar fluctuations in net interest income and net income in 2015. During 2015, net interest income was impacted in a positive way by interest expense savings from continually lower market interest rates related to time deposits and transaction-based deposits. Net income was lower in the fourth quarter of 2015, largely due the increased OREO expenses and writedowns. |
PREFERRED STOCK AND COMMON STOC
PREFERRED STOCK AND COMMON STOCK WARRANT | 12 Months Ended |
Dec. 31, 2016 | |
PREFERRED STOCK AND COMMON STOCK WARRANT [Abstract] | |
PREFERRED STOCK AND COMMON STOCK WARRANT | NOTE 24 – PREFERRED STOCK AND COMMON STOCK WARRANT On October 2, 2009, as part of the Troubled Asset Relief Program ("TARP") Capital Purchase Program, the Company entered into a Letter Agreement and Securities Purchase Agreement (collectively, the "Purchase Agreement") with the United States Department of the Treasury ("U.S. Treasury"). Pursuant to the Purchase Agreement, the Company issued and sold to the U.S. Treasury 22,252 shares of Fixed Rate Cumulative Perpetual Preferred Stock, Series A, no par value, with a liquidation preference of one thousand dollars per share (the "Series A Preferred Stock") and a ten-year warrant (the "Warrant") to purchase 691,446 (historically, 628,588 as adjusted for the 10% stock dividend) shares of the Company's common stock, no par value, at an exercise price of $4.83 per share (historically $5.31 per share), for an aggregate purchase price of $22,252 in cash. Under standardized TARP Capital Purchase Program terms, cumulative dividends on the Series A Preferred Stock accrued on the liquidation preference at a rate of 5% per annum until November 14, 2014. As of November 14, 2014, all of the 22,252 shares of the Series A Preferred Stock have been repurchased or redeemed. The Series A Preferred Stock had no maturity date and ranked senior to the Company's common stock with respect to the payment of dividends and distributions and amounts payable upon liquidation, dissolution and winding up of Premier. Under terms of the Warrant, the exercise price and the number of shares that can be purchased were adjusted based upon certain events including common stock dividends paid to shareholders that exceed the $0.10 per share regular quarterly dividend paid by Premier at the time the Warrant was issued. Due to dividends paid in 2015 and 2014 that were either special cash dividends or dividends that exceeded the $0.10 regular quarterly cash dividend per share defined in the terms of the Warrant, the Warrant was adjusted to permit the purchase of 700,016 (historically 636,378) shares of the Company's common stock at an exercise price of $4.77 (historically $5.25) per share. On May 6, 2015, Premier purchased the Warrant from the U.S. Treasury for $5,675. Premier borrowed $4,000 on its line of credit with the Bankers Bank of Kentucky and used $1,675 of its cash and cash equivalents to complete the purchase. The purchase reduced shareholders' equity and regulatory capital by the $5,675 purchase price but also reduced the dilutive effect of potential additional common shares. See Note 16 above for additional information on the calculation of diluted earnings per share. |
SUMMARY OF SIGNIFICANT ACCOUN33
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Nature of Operations | Nature of Operations |
Cash Flows | Cash Flows |
Estimates in the Financial Statements | Estimates in the Financial Statements |
Securities | Securities Securities available for sale might be sold before maturity and are carried at fair value. Adjustments from amortized cost to fair value are recorded in other comprehensive income, net of related income tax. Interest income includes amortization of purchase premium or discount computed using the level yield method. Gains or losses on dispositions are recorded on the trade date and are based on the net proceeds and adjusted carrying amount of the securities sold using the specific identification method. Securities are written down to fair value when a decline in fair value is not temporary. Management evaluates securities for other-than-temporary impairment ("OTTI") at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. Declines in the fair value of securities below their cost that are other-than-temporary are reflected as realized losses. In estimating other-than-temporary losses, management considers the length of time and extent that fair value has been less than cost and the financial condition and near term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the income statement and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. |
Loans Held for Sale | Loans Held for Sale |
Loans | Loans Interest income on mortgage and commercial loans is discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection. Consumer loans are typically charged off no later than 120 days past due. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. Non-accrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. A loan is moved to non-accrual status in accordance with the Company's policy, typically after 90 days of non-payment. All interest accrued but not received for loans placed on non-accrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or costrecovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. |
Concentration of Credit Risk | Concentration of Credit Risk The Company's success and recent growth in lending in the central West Virginia market area depend primarily on the local general economy which has been driven in the past by Federal Government programs to develop technology infrastructure and more recently by the drilling for natural gas in the recently discovered Marcellus and Utica shale formations. Furthermore, Premier's success in the southern West Virginia market depends, in large part, on the local general economy which has been driven by significant employment by coal and other natural resource based businesses. While Premier's direct credit risk exposure to such industries is minimal, the success or failure of these industries may have an indirect effect on the local economic conditions in the central and southern West Virginia market areas, either individually or collectively, thus having a significant impact on the credit risk of loans in this market area. |
Certain Purchased Loans | Certain Purchased Loans: Such purchased loans are accounted for individually or may be aggregated into pools of loans based on common risk characteristics such as loan type. The Company estimates the amount and timing of expected cash flows for each purchased loan or pool, and the expected cash flows in excess of amount paid is recorded as interest income over the remaining life of the loan or pool (accretable yield). The excess of the loan's or pool's contractual principal and interest over expected cash flows is not recorded (nonaccretable difference). Over the life of the loan or pool, expected cash flows continue to be estimated. If the present value of expected cash flows is less than the carrying amount, a loss is recorded as an increase in the allowance for loan losses. If the present value of expected cash flows is greater than the carrying amount, it is recognized as part of future interest income. |
Allowance for Loan Losses | Allowance for Loan Losses A loan is impaired when full payment under the loan terms is not expected. Impairment is evaluated in total for smaller-balance loans of similar nature such as residential mortgage, consumer, and credit card loans, and accordingly, they are not separately identified for impairment disclosures. All other loans are evaluated for impairment on an individual basis. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower's prior payment record, and the amount of the shortfall in relation to the principal and interest owed. If a loan is impaired, a portion of the allowance is allocated so that the loan is reported, net, at the present value of estimated future cash flows using the loan's existing rate or at the fair value of collateral if repayment is expected solely from the collateral. Loans with restructured terms offering a concession to enable a struggling borrower to repay (Troubled Debt Restructurings) are measured at the present value of estimated future cash flows using the loan's effective rate at inception. If a troubled debt restructuring is considered to be a collateral dependent loan, the loan is reported, net, at the fair value of the collateral. For troubled debt restructurings that subsequently default, the Company determines the amount of reserve in accordance with the accounting policy for the allowance for loan losses. The general component of the allowance covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. The following portfolio segments have been identified as having differing risk characteristics: Loans secured by 1-4 family real estate: Loans secured by multifamily residential real estate: Loans secured by owner occupied non-farm non-residential real estate Loans secured by non-farm non-residential real estate Commercial and industrial loans not secured by real estate: Consumer loans: All other loan types |
Transfers of Financial Assets | Transfers of Financial Assets |
Premises and Equipment | Premises and Equipment |
Other Real Estate Owned | Other Real Estate Owned |
Federal Home Loan Bank ("FHLB") stock | Federal Home Loan Bank ("FHLB") stock: |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Other intangible assets consist of core deposit intangible assets arising from whole bank and branch acquisitions. They are initially measured at fair value and then are amortized on an accelerated method over their estimated useful lives of approximately 8 to 10 years. |
Repurchase Agreements | Repurchase Agreements |
Stock Based Compensation | Stock Based Compensation |
Income Taxes | Income Taxes A tax position is recognized as a benefit only if it is more likely than not that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the "more likely than not" test, no tax benefit is recorded. The Company recognizes interest related to income tax matters as other interest expense and penalties related to income tax matters as other noninterest expense. |
Off Balance Sheet Financial Instruments | Off Balance Sheet Financial Instruments |
Earnings Per Common Share | Earnings Per Common Share |
Comprehensive Income | Comprehensive Income |
Loss Contingencies | Loss Contingencies |
Fair Value of Financial Instruments | Fair Value of Financial Instruments |
Operating Segments | Operating Segments |
Reclassifications | Reclassifications |
Adoption of New Accounting Standards | Adoption of New Accounting Standards 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 |
SUMMARY OF SIGNIFICANT ACCOUN34
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Accounts of the Company and its Wholly Owned Subsidiaries | The consolidated financial statements include the accounts of Premier Financial Bancorp, Inc. (the "Company" or "Premier") and its wholly-owned subsidiaries: Unaudited December 31, 2016 Subsidiary Location Year Acquired Total Assets Net Income Citizens Deposit Bank & Trust Vanceburg, Kentucky 1991 $ 414,485 $ 4,547 Premier Bank, Inc. Huntington, West Virginia 1998 1,075,790 9,535 Parent and Intercompany Eliminations 5,918 (1,908 ) Consolidated total $ 1,496,193 $ 12,174 |
ACQUISITION OF FIRST NATIONAL35
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION (Tables) | 12 Months Ended |
Dec. 31, 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 first five years and thereafter. 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 2016 First National Bankshares Cash and due from banks $ 11,912 $ - $ 11,912 Time deposits with other banks 4,473 - 4,473 Securities available for sale 76,612 - 76,612 Loans, net 132,954 (156 ) 132,798 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 (156 ) 237,341 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 ) 156 (1,304 ) Total liabilities assumed (215,456 ) 156 (215,300 ) Net assets acquired $ 22,041 $ - $ 22,041 |
SECURITIES (Tables)
SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
SECURITIES [Abstract] | |
Amortized Cost and Fair Value of Investment Securities, by Category | Amortized cost and fair value of securities available for sale and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) were as follows: 2016 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Available for sale Mortgage-backed securities U. S. sponsored agency MBS - residential $ 177,105 $ 245 $ (3,173 ) $ 174,177 U. S. sponsored agency CMO's - residential 73,163 761 (657 ) 73,267 Total mortgage-backed securities of government sponsored agencies 250,268 1,006 (3,830 ) 247,444 U. S. government sponsored agency securities 24,652 23 (174 ) 24,501 Obligations of states and political subdivisions 16,645 111 (94 ) 16,662 Total available for sale $ 291,565 $ 1,140 $ (4,098 ) $ 288,607 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 December 31, 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. Securities not due at a single maturity date, such as mortgage-backed securities, are shown separately. Amortized Cost Fair Value Available for sale Due in one year or less $ 8,270 $ 8,307 Due after one year through five years 25,762 25,656 Due after five years through ten years 6,701 6,649 Due after ten years 564 551 Mortgage-backed securities of government sponsored agencies 250,268 247,444 Total available for sale $ 291,565 $ 288,607 |
Securities in Continuous Unrealized Loss Position | Securities with unrealized losses at year-end 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 securities $ 17,207 $ (174 ) $ - $ - $ 17,207 $ (174 ) U.S government sponsored agency MBS – residential 157,022 (3,173 ) - - 157,022 (3,173 ) U.S government sponsored agency CMO's – residential 18,374 (373 ) 8,750 (284 ) 27,124 (657 ) Obligations of states and political subdivisions 7,961 (94 ) - - 7,961 (94 ) Total temporarily impaired $ 200,564 $ (3,814 ) $ 8,750 $ (284 ) $ 209,314 $ (4,098 ) Securities with unrealized losses at year-end 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) | 12 Months Ended |
Dec. 31, 2016 | |
LOANS [Abstract] | |
Major Classifications of Loans | Major classifications of loans at year-end are summarized as follows: 2016 2015 Residential real estate $ 342,294 $ 285,826 Multifamily real estate 74,165 50,452 Commercial real estate: Owner occupied 129,370 119,265 Non owner occupied 220,836 188,918 Commercial and industrial 76,736 68,339 Consumer 30,916 31,445 All other 150,506 105,501 $ 1,024,823 $ 849,746 |
Major Classifications of Loans Acquired | The composition of the major classifications of the loans acquired from Bankshares at December 31, 2016 are summarized as follows: 2016 Residential real estate $ 45,683 Multifamily real estate 3,238 Commercial real estate: Owner occupied 19,190 Non owner occupied 9,146 Commercial and industrial 17,582 Consumer 1,885 All other 17,126 $ 113,850 |
Analysis of Activity with Respect to all Director and Executive Officer Loans | An analysis of the 2016 activity with respect to all director and executive officer loans is as follows: Balance, December 31, 2015 $ 7,727 Additions, including loans now meeting disclosure requirements 607 Amounts collected and loans no longer meeting disclosure requirements (4,169 ) Balance, December 31, 2016 $ 4,165 |
Activity in the Allowance for Loan Losses by Portfolio Segment | Activity in the allowance for loan losses by portfolio segment for the year ending December 31, 2016 was as follows: Loan Class Balance Dec 31, 2015 Provision (credit) for loan losses Loans charged-off Recoveries Balance Dec 31, 2016 Residential real estate $ 2,501 $ 608 $ 209 $ 48 $ 2,948 Multifamily real estate 821 (36 ) - - 785 Commercial real estate: Owner occupied 1,509 46 14 2 1,543 Non owner occupied 2,070 380 100 - 2,350 Commercial and industrial 1,033 136 74 45 1,140 Consumer 307 294 340 86 347 All other 1,406 320 273 270 1,723 Total $ 9,647 $ 1,748 $ 1,010 $ 451 $ 10,836 Activity in the allowance for loan losses by portfolio segment for the year ending December 31, 2015 was as follows: Loan Class Balance Dec 31, 2014 Provision (credit) for loan losses Loans charged-off Recoveries Balance Dec 31, 2015 Residential real estate $ 2,093 $ 675 $ 359 $ 92 $ 2,501 Multifamily real estate 304 517 - - 821 Commercial real estate: Owner occupied 1,501 23 17 2 1,509 Non owner occupied 2,316 (905 ) - 659 2,070 Commercial and industrial 1,444 (17 ) 403 9 1,033 Consumer 243 176 209 97 307 All other 2,446 (143 ) 1,108 211 1,406 Total $ 10,347 $ 326 $ 2,096 $ 1,070 $ 9,647 Activity in the allowance for loan losses by portfolio segment for the year ending December 31, 2014 was as follows: Loan Class Balance Dec 31, 2013 Provision (credit) for loan losses Loans charged-off Recoveries Balance Dec 31, 2014 Residential real estate $ 2,694 $ (244 ) $ 421 $ 64 $ 2,093 Multifamily real estate 417 (113 ) - - 304 Commercial real estate: Owner occupied 1,407 315 221 - 1,501 Non owner occupied 2,037 602 323 - 2,316 Commercial and industrial 2,184 (589 ) 168 17 1,444 Consumer 297 47 161 60 243 All other 1,991 516 307 246 2,446 Total $ 11,027 $ 534 $ 1,601 $ 387 $ 10,347 |
Purchased Loans | The carrying amount of those loans is as follows at December 31, 2016 and December 31, 2015. 2016 2015 Residential Real Estate $ 1,619 $ - Commercial Real Estate Owner Occupied 2,013 131 Non owner Occupied 5,396 5,549 Commercial and industrial 232 80 All other 2,061 - Total carrying amount $ 11,321 $ 5,760 Contractual principal balance $ 14,784 $ 7,251 Carrying amount, net of allowance $ 11,311 $ 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 the three years ended December 31, 2016. 2016 2015 2014 Balance at January 1 $ 185 $ 204 $ 217 New loans purchased 1,151 - - Accretion of income (128 ) (19 ) (13 ) Income recognized upon full repayment - - - Reclassifications from non-accretable difference - - - Disposals - - - Balance at December 31 $ 1,208 $ 185 $ 204 |
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 December 31, 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 or interest payments made by the borrower which have been used to reduce the recorded investment in the loan rather than recognized as interest income. December 31, 2016 Principal Owed on Non-accrual Loans Recorded Investment in Non-accrual Loans Loans Past Due Over 90 Days, still accruing Residential real estate $ 3,467 $ 2,794 $ 606 Multifamily real estate 11,157 11,106 334 Commercial real estate Owner occupied 1,769 1,704 15 Non owner occupied 294 196 36 Commercial and industrial 2,537 1,209 1,008 Consumer 366 347 - All other 8,408 8,391 - Total $ 27,998 $ 25,747 $ 1,999 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 December 31, 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 $ 342,294 $ 6,113 $ 1,596 $ 7,709 $ 334,585 Multifamily real estate 74,165 - 11,440 11,440 62,725 Commercial real estate: Owner occupied 129,370 1,746 1,474 3,220 126,150 Non owner occupied 220,836 1,803 159 1,962 218,874 Commercial and industrial 76,736 330 2,120 2,450 74,286 Consumer 30,916 403 223 626 30,290 All other 150,506 577 8,187 8,764 141,742 Total $ 1,024,823 $ 10,972 $ 25,199 $ 36,171 $ 988,652 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 December 31, 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 $ - $ 2,948 $ - $ 2,948 $ 379 $ 340,296 $ 1,619 $ 342,294 Multifamily real estate - 785 - 785 13,641 60,524 - 74,165 Commercial real estate: Owner occupied 244 1,299 - 1,543 2,801 124,556 2,013 129,370 Non-owner occupied - 2,350 - 2,350 2,373 213,067 5,396 220,836 Commercial and industrial 266 864 10 1,140 1,418 75,086 232 76,736 Consumer - 347 - 347 - 30,916 - 30,916 All other 86 1,637 - 1,723 12,976 135,469 2,061 150,506 Total $ 596 $ 10,230 $ 10 $ 10,836 $ 33,588 $ 979,914 $ 11,321 $ 1,024,823 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 December 31, 2016. The table includes $208 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 $ 743 $ 379 $ - Multifamily real estate 13,692 13,641 - Commercial real estate Owner occupied 1,803 1,766 - Non owner occupied 2,465 2,373 - Commercial and industrial 2,429 1,338 - All other 9,868 9,853 - 31,000 29,350 - With an allowance recorded: Commercial real estate Owner occupied $ 1,055 $ 1,035 $ 244 Commercial and industrial 431 288 276 All other 3,124 3,123 86 4,610 4,446 606 Total $ 35,610 $ 33,796 $ 606 The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2015. The table includes $80 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 528 233 233 985 690 299 Total $ 10,832 $ 8,972 $ 299 |
Average Balance of Loans Individually Evaluated for Impairment and Interest Income Recognized | The following table presents by loan class, the average balance of loans individually evaluated for impairment and interest income recognized on these loans for the three years ended December 31, 2016. The table includes loans acquired with deteriorated credit quality that are still individually evaluated for impairment. Year ended Dec 31, 2016 Year ended Dec 31, 2015 Year ended Dec 31, 2014 Loan Class Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Residential real estate $ 566 $ 21 $ 18 $ 378 $ 11 $ 11 $ 1,964 $ 267 $ 267 Multifamily real estate 3,993 198 181 855 685 685 2,221 782 782 Commercial real estate: Owner occupied 1,475 19 16 1,015 28 27 2,139 179 174 Non-owner occupied 4,527 314 314 4,942 180 180 2,085 711 704 Commercial and industrial 1,249 36 35 810 26 26 1,912 657 657 All other 5,157 219 27 4,023 56 56 7,347 149 149 Total $ 16,967 $ 807 $ 591 $ 12,023 $ 986 $ 985 $ 17,668 $ 2,745 $ 2,733 |
Troubled Debt Restructurings | The following table presents TDR's as of December 31, 2016 and 2015: December 31, 2016 TDR's on Non-accrual Other TDR's Total TDR's Residential real estate $ 129 $ 464 $ 593 Multifamily real estate - 2,201 2,201 Commercial real estate Owner occupied - 856 856 Commercial and industrial 62 352 414 All other 751 4,395 5,146 Total $ 942 $ 8,268 $ 9,210 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 table presents TDR's that occurred during the years ended December 31, 2016 and 2015. Year ended December 31, 2016 Year ended December 31, 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 - - - 2 3,744 3,744 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 2 $ 3,744 $ 3,744 |
Risk Category of Loans by Class of Loans | As of December 31, 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 $ 328,905 $ 4,880 $ 8,507 $ 2 $ 342,294 Multifamily real estate 59,375 78 14,712 - 74,165 Commercial real estate: Owner occupied 118,134 6,720 4,516 - 129,370 Non-owner occupied 213,641 4,391 2,804 - 220,836 Commercial and industrial 72,094 2,337 2,275 30 76,736 Consumer 30,369 242 305 - 30,916 All other 134,945 1,958 13,603 - 150,506 Total $ 957,463 $ 20,606 $ 46,722 $ 32 $ 1,024,823 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 |
PREMISES AND EQUIPMENT (Tables)
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
PREMISES AND EQUIPMENT [Abstract] | |
Year-end Premises and Equipment | Year-end premises and equipment were as follows: 2016 2015 Land and improvements $ 5,713 $ 4,541 Buildings and leasehold improvements 21,270 17,521 Furniture and equipment 8,608 8,898 Assets purchased not yet placed in service 14 34 35,605 30,994 Less: accumulated depreciation (11,381 ) (11,153 ) $ 24,224 $ 19,841 |
Rent Commitments, before Considering Renewal Options | Rent commitments, before considering renewal options that generally are present, were as follows: 2017 $ 980 2018 466 2019 247 2020 242 2021 227 Thereafter 1,649 $ 3,811 |
GOODWILL AND OTHER INTANGIBLE39
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
GOODWILL AND OTHER INTANGIBLE ASSETS [Abstract] | |
Change in Balance for Goodwill | The change in the balance for goodwill during the year is as follows 2016 2015 2014 Beginning of year $ 33,796 $ 33,796 $ 29,875 Acquired goodwill 1,575 - 3,921 Impairment - - - End of year $ 35,371 $ 33,796 $ 33,796 |
Acquired Intangible Assets | Acquired intangible assets at December 31, 2016 and 2015 were as follows. 2016 2015 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Core deposit intangible $ 8,758 $ (4,409 ) $ 7,085 $ (4,905 ) |
Estimated Amortization Expense | Estimated amortization expense for each of the next five years: 2017 974 2018 765 2019 656 2020 475 2021 473 Thereafter 1,006 $ 4,349 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
DEPOSITS [Abstract] | |
Maturities of Time Deposits | At December 31, 2016 the scheduled maturities of time deposits are as follows: 2017 $ 224,909 2018 66,965 2019 22,671 2020 21,432 2021 22,664 $ 358,641 |
SECURITIES SOLD UNDER AGREEME41
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE [Abstract] | |
Securities Sold under Agreements to Repurchase | Information concerning securities sold under agreements to repurchase is summarized as follows: 2016 2015 Year-end balance $ 23,820 $ 21,694 Average balance during the year $ 24,573 $ 16,927 Average interest rate during the year 0.14 % 0.22 % Maximum month-end balance during the year $ 33,956 $ 21,763 Weighted average interest rate at year-end 0.09 % 0.13 % |
NOTES PAYABLE AND OTHER BORRO42
NOTES PAYABLE AND OTHER BORROWED FUNDS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
NOTES PAYABLE AND OTHER BORROWED FUNDS [Abstract] | |
Scheduled Principal Payments Due | Scheduled principal payments due on the notes payable subsequent to December 31, 2016 are as follows: 2017 1,975 2018 1,716 2019 1,716 2020 1,716 2021 1,716 Thereafter 20 $ 8,859 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
INCOME TAXES [Abstract] | |
Components of Provision (Benefits) for Income Taxes | The components of the provision (benefit) for income taxes are as follows: 2016 2015 2014 Current $ 6,993 $ 6,282 $ 3,775 Deferred (223 ) 621 3,395 Change in valuation allowance - - - Provision for income taxes $ 6,770 $ 6,903 $ 7,170 |
Deferred Tax Assets and Liabilities | The Company's deferred tax assets and liabilities at December 31 are shown below. 2016 2015 Deferred tax assets Allowance for loan losses $ 3,563 $ 3,468 Purchase accounting adjustments 312 973 Net operating loss carryforward 513 545 Alternative minimum tax credit carryforward 517 - Write-downs of other real estate owned 1,214 1,010 Taxable income on non-accrual loans 1,727 1,255 Accrued expenses 153 141 Unrealized loss on investment securities 1,035 - Other 38 29 Total deferred tax assets 9,072 7,421 Deferred tax liabilities Amortization of intangibles $ (4,780 ) $ (4,685 ) Depreciation (1,442 ) (1,000 ) Federal Home Loan Bank dividends (355 ) (349 ) Deferred loan fees (774 ) (664 ) Unrealized gain on investment securities - (166 ) Other (161 ) (51 ) Total deferred tax liabilities (7,512 ) (6,915 ) Valuation allowance on deferred tax assets (160 ) (160 ) Net deferred taxes $ 1,400 $ 346 |
Analysis of Differences Between Effective Tax Rates and Statutory U.S. Federal Income Tax Rate | An analysis of the differences between the effective tax rates and the statutory U.S. federal income tax rate is as follows: 2016 2015 2014 U.S. federal income tax rate $ 6,630 35.0 % $ 6,579 34.0 % $ 6,909 34.0 % Changes from the statutory rate Impact of graduated federal tax rate - - 169 0.9 19 0.1 State income taxes, net 355 1.9 308 1.6 335 1.6 Tax-exempt interest income (254 ) (1.4 ) (182 ) (0.9 ) (175 ) (0.9 ) Non-deductible interest expense related to carrying tax-exempt interest earning assets 15 0.1 11 0.1 12 0.1 Non-deductible stock compensation expense 26 0.1 34 0.1 55 0.3 Tax credits, net (42 ) (0.2 ) (44 ) (0.2 ) (49 ) (0.2 ) Other 40 0.2 28 0.1 64 0.3 $ 6,770 35.7 % $ 6,903 35.7 % $ 7,170 35.3 % |
STOCK COMPENSATION EXPENSE (Tab
STOCK COMPENSATION EXPENSE (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
STOCK COMPENSATION EXPENSE [Abstract] | |
Assumption Used in the Black-Scholes Option-pricing Model | The assumptions used in the Black-Scholes option-pricing model are as follows 2016 2015 2014 Risk-free interest rate 1.41 % 1.41 % 2.78 % Expected option life (yrs) 5.00 5.00 10.00 Expected stock price volatility 16.48 % 17.20 % 31.19 % Dividend yield 4.03 % 3.53 % 3.33 % Weighted average fair value of options granted during the year $ 1.06 $ 1.25 $ 3.40 |
Summary of Stock Option Activity | A summary of the Company's stock option activity is as follows: ----------2016---------- ----------2015---------- ----------2014---------- Options Weighted Average Exercise Price Options Weighted Average Exercise Price Options Weighted Average Exercise Price Outstanding at beginning of year 274,030 $ 10.56 301,336 $ 10.05 389,709 $ 8.95 Grants 55,990 13.55 52,415 13.38 50,930 13.12 Exercises (96,880 ) 9.12 (50,700 ) 9.19 (130,357 ) 8.05 Forfeitures or expired (29,150 ) 14.27 (29,021 ) 12.74 (8,946 ) 8.43 Outstanding at year-end 203,990 $ 11.54 274,030 $ 10.56 301,336 $ 10.05 Exercisable at year-end 113,090 $ 10.02 191,161 $ 9.59 185,375 $ 9.70 Weighted average remaining life 5.3 4.5 6.1 |
Stock Option Activity by Range of Exercise Prices | Additional information regarding stock options outstanding and exercisable at December 31, 2016 is provided in the following table: - - - - - - - - Outstanding - - - - - - - - - - - - - - - - Currently Exercisable - - - - - - - - Range of Exercise Prices Number Weighted Average Exercise Price Aggregate Intrinsic Value Number Weighted Average Remaining Contractual Life Weighted Average Exercise Price Aggregate Intrinsic Value $5.00 to $7.50 1,100 $ 5.96 $ 16 1,100 2.1 $ 5.95 $ 16 $7.51 to $10.00 42,475 6.98 557 42,475 4.4 6.98 557 $10.01 to $12.50 37,070 10.82 344 37,070 4.5 10.82 344 $12.51 to $15.00 123,345 13.38 829 32,445 7.6 13.21 223 Outstanding at Dec 31, 2016 203,990 11.54 $ 1,746 113,090 5.3 10.02 $ 1,140 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 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 2016, 2015 and 2014 is presented below: 2016 2015 2014 Basic earnings per share: Income available to common stockholders $ 12,174 $ 12,446 $ 12,552 Weighted average common shares outstanding 10,539,271 8,978,972 8,898,692 Earnings per share $ 1.16 $ 1.38 $ 1.41 Diluted earnings per share: Income available to common stockholders $ 12,174 $ 12,446 $ 12,552 Weighted average common shares outstanding 10,539,271 8,978,972 8,898,692 Add dilutive effects of potential additional common stock 64,248 229,863 557,234 Weighted average common and dilutive potential Common shares outstanding 10,603,519 9,208,835 9,455,926 Earnings per share assuming dilution $ 1.15 $ 1.35 $ 1.33 |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
FAIR VALUE [Abstract] | |
Carrying Amounts and Estimated Fair Values of Financial Instruments | The carrying amounts and estimated fair values of financial instruments at December 31, 2016 were as follows: Fair Value Measurements at December 31, 2016 Using Carrying Amount Level 1 Level 2 Level 3 Total Financial assets Cash and due from banks $ 97,163 $ 97,163 $ - $ - $ 97,163 Time deposits with other banks 2,332 - 2,352 - 2,352 Federal funds sold 7,555 7,555 - - 7,555 Securities available for sale 288,607 - 288,607 - 288,607 Loans, net 1,013,987 - - 1,004,388 1,004,388 Federal Home Loan Bank stock 3,200 n/a n/a n/a n/a Interest receivable 3,862 - 771 3,091 3,862 Financial liabilities Deposits $ (1,279,386 ) $ (920,745 ) $ (354,885 ) $ - $ (1,275,630 ) Securities sold under agreements to repurchase (23,820 ) - (23,820 ) - (23,820 ) Other borrowed funds (8,859 ) - (8,906 ) - (8,906 ) Subordinated debt (5,343 ) - (5,341 ) - (5,341 ) Interest payable (364 ) (7 ) (357 ) - (364 ) 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 at December 31, 2016 are summarized below: Fair Value Measurements at December 31, 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) Securities available for sale Mortgage-backed securities U. S. agency MBS - residential $ 174,177 $ - $ 174,177 $ - U. S. agency CMO's 73,267 - 73,267 - Total mortgage-backed securities of government sponsored agencies 247,444 - 247,444 - U. S. government sponsored agency securities 24,501 - 24,501 - Obligations of states and political subdivisions 16,662 - 16,662 - Total securities available for sale $ 288,607 $ - $ 288,607 $ - Assets and liabilities measured at fair value on a 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) Securities available for sale Mortgage-backed securities U. S. agency MBS - residential $ 132,347 $ - $ 132,347 $ - U. S. agency CMO's 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 $ - |
Reconciliation of All Assets Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs | The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2016 and 2015: Securities Available-for-sale Year Ended Dec. 31, 2016 Year Ended Dec. 31, 2015 Balance of recurring Level 3 assets at beginning of period $ - $ 140 Total gains or losses (realized/unrealized): Included in earnings – realized - - Included in earnings – unrealized - - Included in other comprehensive income - - Purchases, sales, issuances and settlements, net - (140 ) Transfers in and/or out of Level 3 - - Balance of recurring Level 3 assets at year-end $ - $ - |
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 December 31, 2016 are summarized below: Fair Value Measurements at December 31, 2016 Using Dec 31, 2016 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 $ 793 $ - $ - $ 793 Commercial and Industrial 12 - - 12 All Other 3,036 - - 3,036 Total impaired loans $ 3,841 $ - $ - $ 3,841 Other real estate owned: Residential real estate $ 613 $ - $ - $ 613 Commercial Real Estate Owner occupied 175 - - 175 Non-owner Occupied 2,153 - - 2,153 All Other 3,683 - - 3,683 Total OREO $ 6,624 $ - $ - $ 6,624 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 Dec 31, 2015 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 December 31, 2016 are summarized below: December 31, 2016 Valuation Techniques Unobservable Inputs Range (Weighted Avg) Impaired loans: Commercial Real Estate Owner Occupied $ 793 sales comparison adjustment for limited salability of specialized property 9.3%-76.4% (19.3%) Commercial and Industrial 12 sales comparison adjustment for differences between the comparable sales 8.0%-8.0% (8.0%) All Other 3,036 sales comparison adjustment for differences between the comparable sales 5.7%-9.0% (8.0%) Total impaired loans $ 3,841 Other real estate owned: Residential Real Estate $ 613 sales comparison adjustment for differences between the comparable sales 0.7%-86.8% (25.2%) Commercial Real Estate Owner Occupied 175 sales comparison adjustment for differences between the comparable sales 21.8%-21.8% (21.8%) Non-owner Occupied 2,153 sales comparison adjustment for differences between the comparable sales 17.2%-27.6% (25.7%) All Other 3,683 sales comparison adjustment for estimated realizable value 15.1%-45.4% (21.8%) Total OREO $ 6,624 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 |
FINANCIAL INSTRUMENTS WITH OF47
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK [Abstract] | |
Financial Instruments Whose Approximate Contract Amounts Represent Credit Risk | At December 31, 2016 and 2015, the Banks had the following financial instruments whose approximate contract amounts represent credit risk: 2016 2015 Standby letters of credit $ 11,415 $ 6,700 Commitments to extend credit Fixed $ 27,607 $ 15,898 Variable 94,234 78,482 |
STOCKHOLDERS' EQUITY (Tables)
STOCKHOLDERS' EQUITY (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
STOCKHOLDERS' EQUITY [Abstract] | |
Company and Subsidiary Banks' Capital Amounts and Ratios | The Company's and the subsidiary Banks' capital amounts and ratios as of December 31, 2016 are presented in the table below. To Be Well Capitalized For Capital Under Prompt Corrective Actual Adequacy Purposes (1) Action Provisions 2016 Amount Ratio Amount Ratio Amount Ratio Total Capital (to risk-weighted assets): Consolidated (2) $ 158,433 15.0 % $ 84,779 8 % $ 105,973 10 % Premier Bank, Inc. 119,860 15.3 62,720 8 78,400 10 Citizens Deposit Bank 39,725 14.3 22,181 8 27,727 10 Tier I Capital (to risk-weighted assets): Consolidated (2) $ 147,597 13.9 % $ 63,584 6 % $ 84,779 8 % Premier Bank, Inc. 111,538 14.2 47,040 6 62,720 8 Citizens Deposit Bank 37,211 13.4 16,636 6 22,181 8 Common Equity Tier I Capital (to risk-weighted assets): Consolidated (2) $ 142,024 13.4 % $ 47,688 4.5 % $ 68,883 6.5 % Premier Bank, Inc. 111,538 14.2 35,280 4.5 50,960 6.5 Citizens Deposit Bank 37,211 13.4 12,477 4.5 18,022 6.5 Tier I Capital (to average assets): Consolidated (2) $ 147,597 10.1 % $ 58,420 4 % $ 73,025 5 % Premier Bank, Inc. 111,538 10.6 42,159 4 52,699 5 Citizens Deposit Bank 37,211 9.1 16,289 4 20,361 5 (1) (2) The consolidated company is not subject to Prompt Corrective Action Provisions. The Company's and the subsidiary Banks' capital amounts and ratios as of December 31, 2015 are presented in the table below. To Be Well Capitalized For Capital Under Prompt Corrective Actual Adequacy Purposes Action Provisions 2015 Amount Ratio Amount Ratio Amount Ratio Total Capital (to Risk-Weighted Assets): Consolidated (1) $ 125,964 14.7 % $ 68,563 8 % $ 85,703 10 % Premier Bank, Inc. 93,376 15.1 49,495 8 61,868 10 Citizens Deposit Bank 38,241 16.2 18,934 8 23,667 10 Tier I Capital (to Risk-Weighted Assets): Consolidated (1) $ 116,317 13.6 % $ 51,422 6 % $ 68,563 8 % Premier Bank, Inc. 86,062 13.9 37,121 6 49,495 8 Citizens Deposit Bank 35,908 15.2 14,200 6 18,934 8 Common Equity Tier I Capital (to Risk-Weighted Assets): Consolidated (1) $ 116,317 13.6 % $ 38,566 4.5 % $ 55,707 6.5 % Premier Bank, Inc. 86,062 13.9 27,841 4.5 40,214 6.5 Citizens Deposit Bank 35,908 15.2 10,650 4.5 15,384 6.5 Tier I Capital (to Average Assets): Consolidated (1) $ 116,317 9.4 % $ 49,487 4 % $ 61,858 5 % Premier Bank, Inc. 86,062 10.2 33,924 4 42,405 5 Citizens Deposit Bank 35,908 9.2 15,540 4 19,425 5 (1) The consolidated company is not subject to Prompt Corrective Action Provisions. |
PARENT COMPANY FINANCIAL STAT49
PARENT COMPANY FINANCIAL STATEMENTS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
PARENT COMPANY FINANCIAL STATEMENTS [Abstract] | |
Condensed Balance Sheets | Condensed Balance Sheets December 31 2016 2015 ASSETS Cash $ 6,699 $ 5,424 Investment in subsidiaries 181,520 153,026 Premises and equipment 293 230 Other assets 427 358 Total assets $ 188,939 $ 159,038 LIABILITIES AND STOCKHOLDERS' EQUITY Other liabilities $ 812 $ 806 Other borrowed funds 8,600 11,000 Subordinated debt 5,343 - Total liabilities 14,755 11,806 Stockholders' equity Common stock 109,911 69,319 Retained earnings 66,195 77,592 Accumulated other comprehensive income (loss) (1,922 ) 321 Total stockholders' equity 174,184 147,232 Total liabilities and stockholders' equity $ 188,939 $ 159,038 |
Condensed Statement of Operations | Condensed Statement of Operations Years Ended December 31 2016 2015 2014 Income Dividends from subsidiaries $ 10,840 $ 13,390 $ 14,340 Interest and dividend income 9 2 6 Other income 1,766 1,565 2,364 Total income 12,615 14,957 16,710 Expenses Interest expense 401 494 550 Salaries and employee benefits 2,744 2,703 2,814 Occupancy and equipment expenses 302 268 272 Professional fees 307 264 337 Other expenses 917 523 509 Total expenses 4,671 4,252 4,482 Income before income taxes and equity in undistributed income of subsidiaries 7,944 10,705 12,228 Income tax (benefit) (988 ) (875 ) (728 ) Income before equity in undistributed income of subsidiaries 8,932 11,580 12,956 Equity in undistributed income of subsidiaries 3,242 866 194 Net income $ 12,174 $ 12,446 $ 13,150 Preferred stock dividends and accretion - - (598 ) Net income available to common stockholders $ 12,174 $ 12,446 $ 12,552 |
Condensed Statement of Cash Flows | Condensed Statement of Cash Flows Years Ended December 31 2016 2015 2014 Cash flows from operating activities Net income $ 12,174 $ 12,446 $ 13,150 Adjustments to reconcile net income to net cash from operating activities Depreciation 94 84 75 Amortization 35 - - Stock compensation expense 178 204 248 Gain from sales of assets - - (947 ) Equity in undistributed earnings of subsidiaries (3,242 ) (866 ) (194 ) Change in other assets (174 ) 100 1,060 Change in other liabilities (58 ) (49 ) 89 Net cash from operating activities 9,007 11,919 13,481 Cash flows from investing activities Proceeds from sales of other real estate owned - - 947 Acquisition of subsidiary, net of cash received 25 - - Purchases of fixed assets, net of proceeds from asset sales (159 ) (149 ) (33 ) Net cash from investing activities (134 ) (149 ) 914 Cash flows from financing activities Cash dividends on preferred stock - - (553 ) Cash dividends paid to shareholders (5,933 ) (4,573 ) (4,854 ) Repurchase of preferred stock - - (12,000 ) Purchase of warrant - (5,675 ) - Cash in lieu of fractional shares (16 ) - - Proceeds from stock option exercises 751 222 731 Proceeds from other borrowed funds - 15,946 - Payments on other borrowed funds (2,400 ) (16,346 ) (2,400 ) Net cash from financing activities (7,598 ) (10,426 ) (19,076 ) Net change in cash and cash equivalents 1,275 1,344 (4,681 ) Cash and cash equivalents at beginning of year 5,424 4,080 8,761 Cash and cash equivalents at end of year $ 6,699 $ 5,424 $ 4,080 |
QUARTERLY FINANCIAL DATA (UNA50
QUARTERLY FINANCIAL DATA (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
QUARTERLY FINANCIAL DATA (UNAUDITED) [Abstract] | |
Quarterly Financial Data (Unaudited) | Earnings Per Share Interest Income Net Interest Income Net Income Basic Diluted 2016 First Quarter $ 14,210 $ 13,055 $ 2,979 $ 0.29 $ 0.29 Second Quarter 14,666 13,491 2,624 0.25 0.25 Third Quarter 14,865 13,716 3,164 0.30 0.30 Fourth Quarter 14,600 13,436 3,407 0.32 0.32 2015 First Quarter $ 13,013 $ 11,964 $ 3,142 $ 0.35 $ 0.33 Second Quarter 12,955 11,923 3,127 0.35 0.34 Third Quarter 13,782 12,783 3,325 0.37 0.37 Fourth Quarter 12,661 11,710 2,852 0.32 0.31 |
SUMMARY OF SIGNIFICANT ACCOUN51
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($)Segment | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||||||||||
Total Assets | $ 1,496,193 | $ 1,244,693 | $ 1,496,193 | $ 1,244,693 | |||||||
Net Income | 3,407 | $ 3,164 | $ 2,624 | $ 2,979 | 2,852 | $ 3,325 | $ 3,127 | $ 3,142 | 12,174 | 12,446 | $ 13,150 |
Securities [Abstract] | |||||||||||
Securities classified as held to maturity | 0 | $ 0 | $ 0 | $ 0 | |||||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||||||||
Period of non-payment after which a loan is moved to nonaccrual status | 90 days | ||||||||||
Operating Segments [Abstract] | |||||||||||
Number of reportable segments | Segment | 1 | ||||||||||
Minimum [Member] | |||||||||||
Goodwill and Other Intangible Assets [Abstract] | |||||||||||
Estimated useful life of acquired intangible assets | 8 years | ||||||||||
Maximum [Member] | |||||||||||
Goodwill and Other Intangible Assets [Abstract] | |||||||||||
Estimated useful life of acquired intangible assets | 10 years | ||||||||||
Premises [Member] | Minimum [Member] | |||||||||||
Premises and Equipment [Abstract] | |||||||||||
Useful Life | 7 years | ||||||||||
Premises [Member] | Maximum [Member] | |||||||||||
Premises and Equipment [Abstract] | |||||||||||
Useful Life | 40 years | ||||||||||
Equipment [Member] | Minimum [Member] | |||||||||||
Premises and Equipment [Abstract] | |||||||||||
Useful Life | 3 years | ||||||||||
Equipment [Member] | Maximum [Member] | |||||||||||
Premises and Equipment [Abstract] | |||||||||||
Useful Life | 15 years | ||||||||||
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 | 414,485 | $ 414,485 | |||||||||
Net Income | $ 4,547 | ||||||||||
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 | 1,075,790 | $ 1,075,790 | |||||||||
Net Income | 9,535 | ||||||||||
Parent and Intercompany Eliminations [Member] | |||||||||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||||||||||
Total Assets | $ 5,918 | 5,918 | |||||||||
Net Income | $ (1,908) | ||||||||||
Commercial Loans [Member] | |||||||||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||||||||
Delinquent period after which interest income is discontinued on mortgage and loans | 90 days | ||||||||||
Consumer Loans [Member] | |||||||||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||||||||
Past due period after which consumer loans are charged off | 120 days |
ACQUISITION OF FIRST NATIONAL52
ACQUISITION OF FIRST NATIONAL BANKSHARES CORPORATION (Details) $ in Thousands | 3 Months Ended | ||||
Dec. 31, 2016USD ($) | Jan. 15, 2016USD ($)Branchshares | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | |
Business Acquisition [Line Items] | |||||
Goodwill | $ 35,371 | $ 33,796 | $ 33,796 | $ 29,875 | |
Estimated amortization of core deposit intangible [Abstract] | |||||
2,016 | 974 | ||||
2,017 | 765 | ||||
2,018 | 656 | ||||
2,019 | 475 | ||||
2,020 | 473 | ||||
Thereafter | 1,006 | ||||
First National Bankshares [Member] | |||||
Business Acquisition [Line Items] | |||||
Merger consideration entitled to common stock (in shares) | shares | 1.859 | ||||
Goodwill | $ 1,570 | $ 3,320 | |||
Number of branch locations acquired | Branch | 6 | ||||
Net assets acquired via acquisition [Abstract] | |||||
Cash and due from banks | $ 11,912 | ||||
Time deposits with other banks | 4,473 | ||||
Securities available for sale | 76,612 | ||||
Loans, net | 132,798 | ||||
Premises and equipment | 5,839 | ||||
Goodwill and other intangible assets | 4,883 | ||||
Other assets | 824 | ||||
Total assets acquired | 237,341 | ||||
Deposits | (205,174) | ||||
Repurchase agreements | (2,168) | ||||
FHLB borrowings | (1,347) | ||||
Subordinated debt | (5,307) | ||||
Other liabilities | (1,304) | ||||
Total liabilities assumed | (215,300) | ||||
Net assets acquired | 22,041 | ||||
Fair value of non-impaired loans acquired | 125,669 | ||||
Gross contractual amounts receivable | 127,347 | ||||
First National Bankshares [Member] | Core Deposits [Member] | |||||
Business Acquisition [Line Items] | |||||
Estimated useful life | 10 years | ||||
Estimated amortization of core deposit intangible [Abstract] | |||||
2,016 | 455 | ||||
2,017 | 428 | ||||
2,018 | 364 | ||||
2,019 | 309 | ||||
2,020 | 289 | ||||
Thereafter | 1,463 | ||||
Total intangible acquired | 3,308 | ||||
First National Bankshares [Member] | As Initially Reported [Member] | |||||
Net assets acquired via acquisition [Abstract] | |||||
Cash and due from banks | 11,912 | ||||
Time deposits with other banks | 4,473 | ||||
Securities available for sale | 76,612 | ||||
Loans, net | 132,954 | ||||
Premises and equipment | 4,606 | ||||
Goodwill and other intangible assets | 5,176 | ||||
Other assets | 1,764 | ||||
Total assets acquired | 237,497 | ||||
Deposits | (205,174) | ||||
Repurchase agreements | (2,168) | ||||
FHLB borrowings | (1,347) | ||||
Subordinated debt | (5,307) | ||||
Other liabilities | (1,460) | ||||
Total liabilities assumed | (215,456) | ||||
Net assets acquired | 22,041 | ||||
First National Bankshares [Member] | Recast Adjustments During Measurement Period [Member] | |||||
Net assets acquired via acquisition [Abstract] | |||||
Cash and due from banks | 0 | ||||
Time deposits with other banks | 0 | ||||
Securities available for sale | 0 | ||||
Loans, net | (156) | ||||
Premises and equipment | 1,233 | ||||
Goodwill and other intangible assets | (293) | ||||
Other assets | (940) | ||||
Total assets acquired | (156) | ||||
Deposits | 0 | ||||
Repurchase agreements | 0 | ||||
FHLB borrowings | 0 | ||||
Subordinated debt | 0 | ||||
Other liabilities | 156 | ||||
Total liabilities assumed | 156 | ||||
Net assets acquired | $ 0 |
RESTRICTIONS ON CASH AND DUE 53
RESTRICTIONS ON CASH AND DUE FROM BANKS (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
RESTRICTIONS ON CASH AND DUE FROM BANKS [Abstract] | ||
Balance requirements by Federal Reserve Board of Governors | $ 22,752 | $ 18,615 |
SECURITIES (Details)
SECURITIES (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | $ 291,565 | $ 254,979 |
Unrealized Gains | 1,140 | 2,083 |
Unrealized Losses | (4,098) | (1,596) |
Available for sale, Fair Value | 288,607 | 255,466 |
U. S. Sponsored Agency MBS - Residential [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 177,105 | 132,661 |
Unrealized Gains | 245 | 540 |
Unrealized Losses | (3,173) | (854) |
Available for sale, Fair Value | 174,177 | 132,347 |
U. S. Sponsored Agency CMO's - Residential [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 73,163 | 104,530 |
Unrealized Gains | 761 | 1,330 |
Unrealized Losses | (657) | (738) |
Available for sale, Fair Value | 73,267 | 105,122 |
Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 250,268 | 237,191 |
Unrealized Gains | 1,006 | 1,870 |
Unrealized Losses | (3,830) | (1,592) |
Available for sale, Fair Value | 247,444 | 237,469 |
U.S. Government Sponsored Agency Securities [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 24,652 | 10,401 |
Unrealized Gains | 23 | 29 |
Unrealized Losses | (174) | (1) |
Available for sale, Fair Value | 24,501 | 10,429 |
Obligations of States and Political Subdivisions [Member] | ||
Available-for-sale Investment securities [Abstract] | ||
Amortized Cost | 16,645 | 7,387 |
Unrealized Gains | 111 | 184 |
Unrealized Losses | (94) | (3) |
Available for sale, Fair Value | $ 16,662 | $ 7,568 |
SECURITIES, By Contractual Matu
SECURITIES, By Contractual Maturity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Amortized cost of available for sale securities by contractual maturity [Abstract] | |||
Due in one year or less | $ 8,270 | ||
Due after one year through five years | 25,762 | ||
Due after five years through ten years | 6,701 | ||
Due after ten years | 564 | ||
Mortgage-backed securities of government sponsored agencies | 250,268 | ||
Available for sale, Amortized Cost | 291,565 | ||
Fair value of available for sale securities by contractual maturity [Abstract] | |||
Due in one year or less | 8,307 | ||
Due after one year through five years | 25,656 | ||
Due after five years through ten years | 6,649 | ||
Due after ten years | 551 | ||
Mortgage backed securities of government sponsored agencies | 247,444 | ||
Available for sale, Fair Value | 288,607 | $ 255,466 | |
Gain on disposition of securities | 4 | 0 | $ 29 |
Tax expense from gain on disposition of securities | 1 | $ 10 | |
Securities with an approximate carrying value pledged as collateral | $ 207,832 | $ 179,626 |
SECURITIES, With Unrealized Los
SECURITIES, With Unrealized Losses (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | $ 200,564 | $ 108,502 |
12 Months or More, Fair Value | 8,750 | 19,755 |
Total Fair Value | 209,314 | 128,257 |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (3,814) | (1,019) |
12 Months or More, Unrealized Loss | (284) | (577) |
Total Unrealized Loss | (4,098) | (1,596) |
U.S. Government Sponsored Agency Securities [Member] | ||
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 17,207 | 2,016 |
12 Months or More, Fair Value | 0 | 0 |
Total Fair Value | 17,207 | 2,016 |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (174) | (1) |
12 Months or More, Unrealized Loss | 0 | 0 |
Total Unrealized Loss | (174) | (1) |
U.S. Government Sponsored Agency MBS - Residential [Member] | ||
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 157,022 | 94,311 |
12 Months or More, Fair Value | 0 | 0 |
Total Fair Value | 157,022 | 94,311 |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (3,173) | (854) |
12 Months or More, Unrealized Loss | 0 | 0 |
Total Unrealized Loss | (3,173) | (854) |
U.S. Government Sponsored Agency CMO - Residential [Member] | ||
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 18,374 | 11,604 |
12 Months or More, Fair Value | 8,750 | 19,755 |
Total Fair Value | 27,124 | 31,359 |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (373) | (161) |
12 Months or More, Unrealized Loss | (284) | (577) |
Total Unrealized Loss | (657) | (738) |
Obligations of States and Political Subdivisions [Member] | ||
Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | 7,961 | 571 |
12 Months or More, Fair Value | 0 | 0 |
Total Fair Value | 7,961 | 571 |
Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Loss | (94) | (3) |
12 Months or More, Unrealized Loss | 0 | 0 |
Total Unrealized Loss | $ (94) | $ (3) |
LOANS, Major Classifications of
LOANS, Major Classifications of Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | $ 1,024,823 | $ 849,746 |
Residential Real Estate [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 342,294 | 285,826 |
Multifamily Real Estate [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 74,165 | 50,452 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 129,370 | 119,265 |
Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 220,836 | 188,918 |
Commercial and Industrial [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 76,736 | 68,339 |
Consumer [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 30,916 | 31,445 |
All Other [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 150,506 | $ 105,501 |
First National Bankshares Corporation [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 113,850 | |
First National Bankshares Corporation [Member] | Residential Real Estate [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 45,683 | |
First National Bankshares Corporation [Member] | Multifamily Real Estate [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 3,238 | |
First National Bankshares Corporation [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 19,190 | |
First National Bankshares Corporation [Member] | Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 9,146 | |
First National Bankshares Corporation [Member] | Commercial and Industrial [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 17,582 | |
First National Bankshares Corporation [Member] | Consumer [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | 1,885 | |
First National Bankshares Corporation [Member] | All Other [Member] | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans | $ 17,126 |
LOANS, Related Party Loans (Det
LOANS, Related Party Loans (Details) - Directors and Executive Officers [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Activity with respect to all director and executive officer loans [Roll Forward] | |
Balance, beginning of period | $ 7,727 |
Additions, including loans now meeting disclosure requirements | 607 |
Amounts collected and loans no longer meeting disclosure requirements | (4,169) |
Balance, end of period | $ 4,165 |
LOANS, Activity in The Allowanc
LOANS, Activity in The Allowance For Loan Losses by Portfolio Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | |||
Balance, beginning of period | $ 9,647 | $ 10,347 | $ 11,027 |
Provision (credit) for loan losses | 1,748 | 326 | 534 |
Loans charged-off | 1,010 | 2,096 | 1,601 |
Recoveries | 451 | 1,070 | 387 |
Balance, end of period | 10,836 | 9,647 | 10,347 |
Residential Real Estate [Member] | |||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | |||
Balance, beginning of period | 2,501 | 2,093 | 2,694 |
Provision (credit) for loan losses | 608 | 675 | (244) |
Loans charged-off | 209 | 359 | 421 |
Recoveries | 48 | 92 | 64 |
Balance, end of period | 2,948 | 2,501 | 2,093 |
Multifamily Real Estate [Member] | |||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | |||
Balance, beginning of period | 821 | 304 | 417 |
Provision (credit) for loan losses | (36) | 517 | (113) |
Loans charged-off | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Balance, end of period | 785 | 821 | 304 |
Commercial Real Estate [Member] | Owner Occupied [Member] | |||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | |||
Balance, beginning of period | 1,509 | 1,501 | 1,407 |
Provision (credit) for loan losses | 46 | 23 | 315 |
Loans charged-off | 14 | 17 | 221 |
Recoveries | 2 | 2 | 0 |
Balance, end of period | 1,543 | 1,509 | 1,501 |
Commercial Real Estate [Member] | Non Owner Occupied [Member] | |||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | |||
Balance, beginning of period | 2,070 | 2,316 | 2,037 |
Provision (credit) for loan losses | 380 | (905) | 602 |
Loans charged-off | 100 | 0 | 323 |
Recoveries | 0 | 659 | 0 |
Balance, end of period | 2,350 | 2,070 | 2,316 |
Commercial and Industrial [Member] | |||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | |||
Balance, beginning of period | 1,033 | 1,444 | 2,184 |
Provision (credit) for loan losses | 136 | (17) | (589) |
Loans charged-off | 74 | 403 | 168 |
Recoveries | 45 | 9 | 17 |
Balance, end of period | 1,140 | 1,033 | 1,444 |
Consumer [Member] | |||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | |||
Balance, beginning of period | 307 | 243 | 297 |
Provision (credit) for loan losses | 294 | 176 | 47 |
Loans charged-off | 340 | 209 | 161 |
Recoveries | 86 | 97 | 60 |
Balance, end of period | 347 | 307 | 243 |
All Other [Member] | |||
Activity in the allowance for loan losses by portfolio segment [Roll Forward] | |||
Balance, beginning of period | 1,406 | 2,446 | 1,991 |
Provision (credit) for loan losses | 320 | (143) | 516 |
Loans charged-off | 273 | 1,108 | 307 |
Recoveries | 270 | 211 | 246 |
Balance, end of period | $ 1,723 | $ 1,406 | $ 2,446 |
LOANS, Purchased Loans (Details
LOANS, Purchased Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | $ 11,321 | $ 5,760 | |
Contractual principal balance | 14,784 | 7,251 | |
Carrying amount, net of allowance | 11,311 | 5,680 | |
Decrease in loan allowance related to acquisitions | 70 | ||
Increase in loan allowance related to acquisitions | 31 | ||
Accretable Yield [Roll Forward] | |||
Beginning Balance | 185 | 204 | $ 217 |
New loans purchased | 1,151 | 0 | 0 |
Accretion of income | (128) | (19) | (13) |
Income recognized upon full repayment | 0 | 0 | 0 |
Reclassification from non-accretable difference | 0 | 0 | 0 |
Disposals | 0 | 0 | 0 |
Ending Balance | 1,208 | 185 | $ 204 |
Purchased Loans [Member] | |||
Purchased loans [Abstract] | |||
Carrying amount, net of allowance | 208 | ||
Residential Real Estate [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 1,619 | 0 | |
Commercial Real Estate [Member] | Owner Occupied [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 2,013 | 131 | |
Commercial Real Estate [Member] | Non Owner Occupied [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 5,396 | 5,549 | |
Commercial and Industrial [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 232 | 80 | |
All Other [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 2,061 | $ 0 | |
First National Bankshares Corporation [Member] | Purchased Loans [Member] | |||
Purchased loans [Abstract] | |||
Loans and leases receivable purchased with deteriorated credit quality | 7,286 | ||
Carrying amount, net of allowance | 199 | ||
Accretable Yield [Roll Forward] | |||
Acquired loans contractually required payment | 10,040 | ||
Acquired loans expected cash flows | $ 8,437 |
LOANS, Past Due And Non-perform
LOANS, Past Due And Non-performing Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Past due and non performing loans [Abstract] | ||
Principal Owed on Non-accrual Loans | $ 27,998 | $ 9,310 |
Recorded Investment in Non-accrual Loans | 25,747 | 7,141 |
Loans Past Due Over 90 Days, still accruing | 1,999 | 3,032 |
Residential Real Estate [Member] | ||
Past due and non performing loans [Abstract] | ||
Principal Owed on Non-accrual Loans | 3,467 | 2,367 |
Recorded Investment in Non-accrual Loans | 2,794 | 2,091 |
Loans Past Due Over 90 Days, still accruing | 606 | 867 |
Multifamily Real Estate [Member] | ||
Past due and non performing loans [Abstract] | ||
Principal Owed on Non-accrual Loans | 11,157 | 416 |
Recorded Investment in Non-accrual Loans | 11,106 | 75 |
Loans Past Due Over 90 Days, still accruing | 334 | 0 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Past due and non performing loans [Abstract] | ||
Principal Owed on Non-accrual Loans | 1,769 | 791 |
Recorded Investment in Non-accrual Loans | 1,704 | 773 |
Loans Past Due Over 90 Days, still accruing | 15 | 558 |
Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Past due and non performing loans [Abstract] | ||
Principal Owed on Non-accrual Loans | 294 | 3,732 |
Recorded Investment in Non-accrual Loans | 196 | 3,400 |
Loans Past Due Over 90 Days, still accruing | 36 | 0 |
Commercial and Industrial [Member] | ||
Past due and non performing loans [Abstract] | ||
Principal Owed on Non-accrual Loans | 2,537 | 1,460 |
Recorded Investment in Non-accrual Loans | 1,209 | 337 |
Loans Past Due Over 90 Days, still accruing | 1,008 | 870 |
Consumer [Member] | ||
Past due and non performing loans [Abstract] | ||
Principal Owed on Non-accrual Loans | 366 | 257 |
Recorded Investment in Non-accrual Loans | 347 | 234 |
Loans Past Due Over 90 Days, still accruing | 0 | 0 |
All Other [Member] | ||
Past due and non performing loans [Abstract] | ||
Principal Owed on Non-accrual Loans | 8,408 | 287 |
Recorded Investment in Non-accrual Loans | 8,391 | 231 |
Loans Past Due Over 90 Days, still accruing | $ 0 | $ 737 |
LOANS, Past Due Aging Analysis
LOANS, Past Due Aging Analysis (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Aging of recorded investment in past due loans [Abstract] | ||
Total Loans | $ 1,024,823 | $ 849,746 |
Total Past Due | 36,171 | 23,664 |
Loans Not Past Due | 988,652 | 826,082 |
30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | 10,972 | 15,213 |
Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | 25,199 | 8,451 |
Residential Real Estate [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Loans | 342,294 | 285,826 |
Total Past Due | 7,709 | 7,979 |
Loans Not Past Due | 334,585 | 277,847 |
Residential Real Estate [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | 6,113 | 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 | 1,596 | 1,681 |
Multifamily Real Estate [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Loans | 74,165 | 50,452 |
Total Past Due | 11,440 | 1,490 |
Loans Not Past Due | 62,725 | 48,962 |
Multifamily Real Estate [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | 0 | 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 | 11,440 | 75 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Loans | 129,370 | 119,265 |
Total Past Due | 3,220 | 2,549 |
Loans Not Past Due | 126,150 | 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 | 1,746 | 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 | 1,474 | 1,195 |
Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Loans | 220,836 | 188,918 |
Total Past Due | 1,962 | 5,881 |
Loans Not Past Due | 218,874 | 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 | 1,803 | 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 | 159 | 3,400 |
Commercial and Industrial [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Loans | 76,736 | 68,339 |
Total Past Due | 2,450 | 1,284 |
Loans Not Past Due | 74,286 | 67,055 |
Commercial and Industrial [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | 330 | 220 |
Commercial and Industrial [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | 2,120 | 1,064 |
Consumer [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Loans | 30,916 | 31,445 |
Total Past Due | 626 | 389 |
Loans Not Past Due | 30,290 | 31,056 |
Consumer [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | 403 | 288 |
Consumer [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | 223 | 101 |
All Other [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Loans | 150,506 | 105,501 |
Total Past Due | 8,764 | 4,092 |
Loans Not Past Due | 141,742 | 101,409 |
All Other [Member] | 30-89 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | 577 | 3,157 |
All Other [Member] | Greater Than 90 Days Past Due [Member] | ||
Aging of recorded investment in past due loans [Abstract] | ||
Total Past Due | $ 8,187 | $ 935 |
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 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Allowance for Loan Losses [Abstract] | ||||
Individually evaluated for impairment, allowance for loan losses | $ 596 | $ 219 | ||
Collectively evaluated for impairment, allowance for loan losses | 10,230 | 9,348 | ||
Total allowance for loan losses | 10,836 | 9,647 | $ 10,347 | $ 11,027 |
Loans Balances [Abstract] | ||||
Individually evaluated for impairment, loan balances | 33,588 | 8,892 | ||
Collectively evaluated for impairment, loan balances | 979,914 | 835,094 | ||
Total Loans | 1,024,823 | 849,746 | ||
Acquired with Deteriorated Credit Quality [Member] | ||||
Allowance for Loan Losses [Abstract] | ||||
Total allowance for loan losses | 10 | 80 | ||
Loans Balances [Abstract] | ||||
Individually evaluated for impairment, loan balances | 208 | 80 | ||
Total Loans | 11,321 | 5,760 | ||
Residential 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 | 2,948 | 2,501 | ||
Total allowance for loan losses | 2,948 | 2,501 | 2,093 | 2,694 |
Loans Balances [Abstract] | ||||
Individually evaluated for impairment, loan balances | 379 | 575 | ||
Collectively evaluated for impairment, loan balances | 340,296 | 285,251 | ||
Total Loans | 342,294 | 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 | 1,619 | 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 | 785 | 821 | ||
Total allowance for loan losses | 785 | 821 | 304 | 417 |
Loans Balances [Abstract] | ||||
Individually evaluated for impairment, loan balances | 13,641 | 75 | ||
Collectively evaluated for impairment, loan balances | 60,524 | 50,377 | ||
Total Loans | 74,165 | 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 | 244 | 44 | ||
Collectively evaluated for impairment, allowance for loan losses | 1,299 | 1,465 | ||
Total allowance for loan losses | 1,543 | 1,509 | 1,501 | 1,407 |
Loans Balances [Abstract] | ||||
Individually evaluated for impairment, loan balances | 2,801 | 446 | ||
Collectively evaluated for impairment, loan balances | 124,556 | 118,688 | ||
Total Loans | 129,370 | 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 | 2,013 | 131 | ||
Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||||
Allowance for Loan Losses [Abstract] | ||||
Individually evaluated for impairment, allowance for loan losses | 0 | 22 | ||
Collectively evaluated for impairment, allowance for loan losses | 2,350 | 2,048 | ||
Total allowance for loan losses | 2,350 | 2,070 | 2,316 | 2,037 |
Loans Balances [Abstract] | ||||
Individually evaluated for impairment, loan balances | 2,373 | 6,502 | ||
Collectively evaluated for impairment, loan balances | 213,067 | 176,867 | ||
Total Loans | 220,836 | 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 | 5,396 | 5,549 | ||
Commercial and Industrial [Member] | ||||
Allowance for Loan Losses [Abstract] | ||||
Individually evaluated for impairment, allowance for loan losses | 266 | 153 | ||
Collectively evaluated for impairment, allowance for loan losses | 864 | 800 | ||
Total allowance for loan losses | 1,140 | 1,033 | 1,444 | 2,184 |
Loans Balances [Abstract] | ||||
Individually evaluated for impairment, loan balances | 1,418 | 544 | ||
Collectively evaluated for impairment, loan balances | 75,086 | 67,715 | ||
Total Loans | 76,736 | 68,339 | ||
Commercial and Industrial [Member] | Acquired with Deteriorated Credit Quality [Member] | ||||
Allowance for Loan Losses [Abstract] | ||||
Total allowance for loan losses | 10 | 80 | ||
Loans Balances [Abstract] | ||||
Total Loans | 232 | 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 | 347 | 307 | ||
Total allowance for loan losses | 347 | 307 | 243 | 297 |
Loans Balances [Abstract] | ||||
Individually evaluated for impairment, loan balances | 0 | 0 | ||
Collectively evaluated for impairment, loan balances | 30,916 | 31,445 | ||
Total Loans | 30,916 | 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 | 86 | 0 | ||
Collectively evaluated for impairment, allowance for loan losses | 1,637 | 1,406 | ||
Total allowance for loan losses | 1,723 | 1,406 | $ 2,446 | $ 1,991 |
Loans Balances [Abstract] | ||||
Individually evaluated for impairment, loan balances | 12,976 | 750 | ||
Collectively evaluated for impairment, loan balances | 135,469 | 104,751 | ||
Total Loans | 150,506 | 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 | $ 2,061 | $ 0 |
LOANS, Individually Evaluated F
LOANS, Individually Evaluated For Impairment (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Financing Receivable, Impaired [Line Items] | ||
Purchased financing receivable individually evaluated for impairment | $ 33,588 | $ 8,892 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 31,000 | 9,847 |
Unpaid principal balance with an allowance recorded | 4,610 | 985 |
Unpaid principal balance, total | 35,610 | 10,832 |
Recorded investment with no related allowance recorded | 29,350 | 8,282 |
Recorded investment with an allowance recorded | 4,446 | 690 |
Recorded investment, total | 33,796 | 8,972 |
Allowance for loan losses allocated | 606 | 299 |
Acquired with Deteriorated Credit Quality [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased financing receivable individually evaluated for impairment | 208 | 80 |
Residential Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased financing receivable individually evaluated for impairment | 379 | 575 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 743 | 636 |
Recorded investment with no related allowance recorded | 379 | 575 |
Multifamily Real Estate [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased financing receivable individually evaluated for impairment | 13,641 | 75 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 13,692 | 416 |
Recorded investment with no related allowance recorded | 13,641 | 75 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased financing receivable individually evaluated for impairment | 2,801 | 446 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 1,803 | 276 |
Unpaid principal balance with an allowance recorded | 1,055 | 177 |
Recorded investment with no related allowance recorded | 1,766 | 269 |
Recorded investment with an allowance recorded | 1,035 | 177 |
Allowance for loan losses allocated | 244 | 44 |
Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased financing receivable individually evaluated for impairment | 2,373 | 6,502 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 2,465 | 6,554 |
Unpaid principal balance with an allowance recorded | 280 | |
Recorded investment with no related allowance recorded | 2,373 | 6,222 |
Recorded investment with an allowance recorded | 280 | |
Allowance for loan losses allocated | 22 | |
Commercial and Industrial [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased financing receivable individually evaluated for impairment | 1,418 | 544 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 2,429 | 1,160 |
Unpaid principal balance with an allowance recorded | 431 | 528 |
Recorded investment with no related allowance recorded | 1,338 | 391 |
Recorded investment with an allowance recorded | 288 | 233 |
Allowance for loan losses allocated | 276 | 233 |
Consumer [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased financing receivable individually evaluated for impairment | 0 | 0 |
All Other [Member] | ||
Financing Receivable, Impaired [Line Items] | ||
Purchased financing receivable individually evaluated for impairment | 12,976 | 750 |
Loans individually evaluated for impairment [Abstract] | ||
Unpaid principal balance with no related allowance recorded | 9,868 | 805 |
Unpaid principal balance with an allowance recorded | 3,124 | |
Recorded investment with no related allowance recorded | 9,853 | $ 750 |
Recorded investment with an allowance recorded | 3,123 | |
Allowance for loan losses allocated | $ 86 |
LOANS, Average Balance of Loans
LOANS, Average Balance of Loans Individually Evaluated For Impairment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment | $ 16,967 | $ 12,023 | $ 17,668 |
Interest Income Recognized | 807 | 986 | 2,745 |
Cash Basis Interest Recognized | 591 | 985 | 2,733 |
Residential Real Estate [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment | 566 | 378 | 1,964 |
Interest Income Recognized | 21 | 11 | 267 |
Cash Basis Interest Recognized | 18 | 11 | 267 |
Multifamily Real Estate [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment | 3,993 | 855 | 2,221 |
Interest Income Recognized | 198 | 685 | 782 |
Cash Basis Interest Recognized | 181 | 685 | 782 |
Commercial Real Estate [Member] | Owner Occupied [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment | 1,475 | 1,015 | 2,139 |
Interest Income Recognized | 19 | 28 | 179 |
Cash Basis Interest Recognized | 16 | 27 | 174 |
Commercial Real Estate [Member] | Non Owner Occupied [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment | 4,527 | 4,942 | 2,085 |
Interest Income Recognized | 314 | 180 | 711 |
Cash Basis Interest Recognized | 314 | 180 | 704 |
Commercial and Industrial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment | 1,249 | 810 | 1,912 |
Interest Income Recognized | 36 | 26 | 657 |
Cash Basis Interest Recognized | 35 | 26 | 657 |
All Other [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Average Recorded Investment | 5,157 | 4,023 | 7,347 |
Interest Income Recognized | 219 | 56 | 149 |
Cash Basis Interest Recognized | $ 27 | $ 56 | $ 149 |
LOANS, Troubled Debt Restructur
LOANS, Troubled Debt Restructurings (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Financing Receivable, Modifications [Line Items] | ||
TDR's on Non-accrual | $ 942 | $ 7 |
Other TDR's | 8,268 | 3,996 |
Total TDR's | 9,210 | 4,003 |
Specific reserves allocated to loans that have restructured terms | 43 | 0 |
Residential Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
TDR's on Non-accrual | 129 | 7 |
Other TDR's | 464 | 222 |
Total TDR's | 593 | 229 |
Multifamily Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
TDR's on Non-accrual | 0 | 0 |
Other TDR's | 2,201 | 2,201 |
Total TDR's | 2,201 | 2,201 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
TDR's on Non-accrual | 0 | |
Other TDR's | 856 | |
Total TDR's | 856 | |
Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
TDR's on Non-accrual | 0 | |
Other TDR's | 454 | |
Total TDR's | 454 | |
Commercial and Industrial [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
TDR's on Non-accrual | 62 | 0 |
Other TDR's | 352 | 396 |
Total TDR's | 414 | 396 |
All Other [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
TDR's on Non-accrual | 751 | 0 |
Other TDR's | 4,395 | 723 |
Total TDR's | $ 5,146 | $ 723 |
LOANS, TDR Modified During Peri
LOANS, TDR Modified During Period (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016USD ($)Loan | Dec. 31, 2015USD ($)Loan | |
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | Loan | 14 | 2 |
Pre-Modification Outstanding Recorded Investment | $ 5,574 | $ 3,744 |
Post-Modification Outstanding Recorded Investment | 5,574 | $ 3,744 |
Increase in allowance for loan losses related to purchased loans | $ 139 | |
Purchased loans forbearance period | 15 months | |
Residential Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | Loan | 8 | 0 |
Pre-Modification Outstanding Recorded Investment | $ 483 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 483 | $ 0 |
Multifamily Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | Loan | 0 | 2 |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 3,744 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 3,744 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | Loan | 3 | 0 |
Pre-Modification Outstanding Recorded Investment | $ 865 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 865 | $ 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 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 100 | $ 0 |
Commercial and Industrial [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | Loan | 1 | 0 |
Pre-Modification Outstanding Recorded Investment | $ 20 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 20 | $ 0 |
All Other [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | Loan | 1 | 0 |
Pre-Modification Outstanding Recorded Investment | $ 4,106 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 4,106 | $ 0 |
LOANS, Risk Category of Loans b
LOANS, Risk Category of Loans by Class of Loans, Credit Quality Indicators (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | $ 1,024,823 | $ 849,746 |
Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 342,294 | 285,826 |
Multifamily Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 74,165 | 50,452 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 129,370 | 119,265 |
Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 220,836 | 188,918 |
Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 76,736 | 68,339 |
Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 30,916 | 31,445 |
All Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 150,506 | 105,501 |
Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 957,463 | 809,446 |
Pass [Member] | Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 328,905 | 273,741 |
Pass [Member] | Multifamily Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 59,375 | 46,135 |
Pass [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 118,134 | 112,989 |
Pass [Member] | Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 213,641 | 179,179 |
Pass [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 72,094 | 64,563 |
Pass [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 30,369 | 31,000 |
Pass [Member] | All Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 134,945 | 101,839 |
Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 20,606 | 19,903 |
Special Mention [Member] | Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,880 | 5,389 |
Special Mention [Member] | Multifamily Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 78 | 2,041 |
Special Mention [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 6,720 | 3,964 |
Special Mention [Member] | Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,391 | 2,891 |
Special Mention [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,337 | 2,859 |
Special Mention [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 242 | 269 |
Special Mention [Member] | All Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,958 | 2,490 |
Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 46,722 | 20,346 |
Substandard [Member] | Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 8,507 | 6,689 |
Substandard [Member] | Multifamily Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 14,712 | 2,276 |
Substandard [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,516 | 2,312 |
Substandard [Member] | Commercial Real Estate [Member] | Non Owner Occupied [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,804 | 6,848 |
Substandard [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,275 | 873 |
Substandard [Member] | Consumer [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 305 | 176 |
Substandard [Member] | All Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 13,603 | 1,172 |
Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 32 | 51 |
Doubtful [Member] | Residential Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2 | 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 | 30 | 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 |
PREMISES AND EQUIPMENT (Details
PREMISES AND EQUIPMENT (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | $ 35,605 | $ 30,994 | |
Less: accumulated depreciated | (11,381) | (11,153) | |
Premises and equipment, net | 24,224 | 19,841 | |
Rent expense, net of rental income | 1,043 | 904 | $ 935 |
Operating Leases [Abstract] | |||
2,017 | 980 | ||
2,018 | 466 | ||
2,019 | 247 | ||
2,020 | 242 | ||
2,021 | 227 | ||
Thereafter | 1,649 | ||
Total operating lease commitments | 3,811 | ||
Land and Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | 5,713 | 4,541 | |
Buildings and Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | 21,270 | 17,521 | |
Furniture and Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | 8,608 | 8,898 | |
Assets Purchased not yet Placed in Service [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | $ 14 | $ 34 |
GOODWILL AND OTHER INTANGIBLE70
GOODWILL AND OTHER INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill [Roll Forward] | |||
Beginning of year | $ 33,796 | $ 33,796 | $ 29,875 |
Acquired goodwill | 1,575 | 0 | 3,921 |
Impairment | 0 | 0 | 0 |
End of year | 35,371 | 33,796 | 33,796 |
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Aggregate intangible amortization expense | 1,139 | 853 | $ 818 |
Estimated amortization expense [Abstract] | |||
2,017 | 974 | ||
2,018 | 765 | ||
2,019 | 656 | ||
2,020 | 475 | ||
2,021 | 473 | ||
Thereafter | 1,006 | ||
Total | 4,349 | 2,180 | |
Core Deposits [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Gross carrying amount | 8,758 | 7,085 | |
Accumulated amortization | $ (4,409) | $ (4,905) |
DEPOSITS (Details)
DEPOSITS (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Time deposits maturity schedule [Abstract] | |
2,017 | $ 224,909 |
2,018 | 66,965 |
2,019 | 22,671 |
2,020 | 21,432 |
2,021 | 22,664 |
Total | $ 358,641 |
SECURITIES SOLD UNDER AGREEME72
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE [Abstract] | ||
Year-end balance | $ 23,820 | $ 21,694 |
Average balance during the year | $ 24,573 | $ 16,927 |
Average interest rate during the year | 0.14% | 0.22% |
Maximum month-end balance during the year | $ 33,956 | $ 21,763 |
Weighted average interest rate at year-end | 0.09% | 0.13% |
FEDERAL HOME LOAN BANK ADVANC73
FEDERAL HOME LOAN BANK ADVANCES (Details) $ in Thousands | Jan. 15, 2016USD ($)Advance | Dec. 31, 2016USD ($)Advance | Dec. 31, 2015USD ($) |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Federal Home Loan Bank Advances, borrowings outstanding | $ 0 | $ 0 | |
FHLB-Cin [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Federal Home Loan Bank Advances, borrowing capacity | 73,492 | ||
FHLB-Pitt [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Federal Home Loan Bank Advances, borrowing capacity | $ 369,689 | ||
Number of advances from FHLB assumed as part of acquisition | Advance | 5 | ||
Federal Home Loan Bank Advances, assumed | $ 1,261 | ||
Number of advances from FHLB paid off | Advance | 5 |
SUBORDINATED DEBENTURES (Detail
SUBORDINATED DEBENTURES (Details) - First National Bankshares Corporation [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Debt Instrument [Line Items] | |
Junior subordinated debenture issued | $ 6,186 |
Effective interest rate | 3.832% |
Debt redemption price percentage | 100.00% |
Investment in common stock | $ 186 |
LIBOR [Member] | |
Debt Instrument [Line Items] | |
Basis spread on variable interest rate | 2.95% |
NOTES PAYABLE AND OTHER BORRO75
NOTES PAYABLE AND OTHER BORROWED FUNDS (Details) $ in Thousands | Aug. 26, 2015USD ($)Payment | Apr. 04, 2014USD ($)Payment | Jun. 30, 2012 | Sep. 08, 2010USD ($)BranchPayment | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Scheduled principal payments due on bank borrowings [Abstract] | ||||||
2,017 | $ 1,975 | |||||
2,018 | 1,716 | |||||
2,019 | 1,716 | |||||
2,020 | 1,716 | |||||
2,021 | 1,716 | |||||
Thereafter | 20 | |||||
Total long-term debt | $ 8,859 | |||||
Bank of Gassaway [Member] | Term Borrowing [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Borrowing date | May 9, 2007 | |||||
Interest rate | 5.62% | |||||
Frequency of periodic payment | monthly | |||||
Number of periodic payments | Payment | 119 | |||||
Periodic payment, principal and interest | $ 4 | |||||
Balloon payment | $ 249 | |||||
Maturity date | May 9, 2017 | |||||
Outstanding principal balance | $ 259 | $ 292 | ||||
First Guaranty Bank of Hammond, Louisiana [Member] | Term Borrowing [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Borrowing date | Aug. 26, 2015 | |||||
Initial borrowing amount | $ 12,000 | |||||
Interest rate | 4.00% | |||||
Frequency of periodic payment | monthly | |||||
Number of periodic payments | Payment | 59 | |||||
Periodic payment, principal | $ 143 | |||||
Balloon payment | 3,575 | |||||
Maturity date | Aug. 26, 2020 | |||||
Term note disbursement amount | 11,946 | |||||
Term note unused borrowing amount | $ 54 | |||||
Percentage of voting stock owned in lending bank by related party | 23.80% | |||||
Outstanding principal balance | $ 8,600 | $ 11,000 | ||||
Collateral pledge of subsidiary | 25.00% | |||||
First Guaranty Bank of Hammond, Louisiana [Member] | Term Borrowing [Member] | Previous Promissory Note to First Guaranty [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Proceeds used to pay off other borrowings | $ 4,500 | |||||
First Guaranty Bank of Hammond, Louisiana [Member] | Term Borrowing [Member] | Term Note to Bankers' Bank [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Proceeds used to pay off other borrowings | 5,400 | |||||
First Guaranty Bank of Hammond, Louisiana [Member] | Term Borrowing [Member] | Line of Credit with Bankers' Bank [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Proceeds used to pay off other borrowings | $ 2,000 | |||||
Bankers' Bank of Kentucky, Inc. of Frankfort Kentucky [Member] | Term Borrowing [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Borrowing date | Sep. 8, 2010 | |||||
Initial borrowing amount | $ 11,300 | |||||
Description of variable rate basis | JP Morgan Chase prime rate | |||||
Frequency of periodic payment | monthly | |||||
Number of periodic payments | Payment | 120 | |||||
Periodic payment, principal | $ 94 | |||||
Collateral pledge of subsidiary | 100.00% | |||||
Capital injection into Citizens Deposit Bank and Trust | $ 6,000 | |||||
Number of branches purchased | Branch | 4 | |||||
Bankers' Bank of Kentucky, Inc. of Frankfort Kentucky [Member] | Term Borrowing [Member] | Prime Rate [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate | 4.50% | |||||
Bankers' Bank of Kentucky, Inc. of Frankfort Kentucky [Member] | Term Borrowing [Member] | Prime Rate [Member] | Minimum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate | 4.50% | |||||
Bankers' Bank of Kentucky, Inc. of Frankfort Kentucky [Member] | Term Borrowing [Member] | Term Note to Bankers' Bank [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Initial borrowing amount | $ 6,500 | |||||
Proceeds used to pay off other borrowings | 2,904 | |||||
Bankers' Bank of Kentucky, Inc. of Frankfort Kentucky [Member] | Term Borrowing [Member] | Line of Credit with Bankers' Bank [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Proceeds used to pay off other borrowings | $ 2,400 |
NOTES PAYABLE AND OTHER BORRO76
NOTES PAYABLE AND OTHER BORROWED FUNDS, Line of Credit Facility (Details) - USD ($) $ in Thousands | Sep. 08, 2016 | Dec. 31, 2016 | Aug. 12, 2016 | Dec. 31, 2015 | Sep. 08, 2010 |
Line of Credit Extension [Member] | Prime Rate [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Description of variable rate basis | Wall Street Journal prime rate | ||||
First Guaranty Bank of Hammond, Louisiana [Member] | Line of Credit Extension [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Initial borrowing date | Jun. 30, 2012 | ||||
Expiration date | Jun. 30, 2019 | ||||
Maximum borrowing capacity | $ 3,000 | ||||
Outstanding balance | $ 0 | $ 0 | |||
First Guaranty Bank of Hammond, Louisiana [Member] | Line of Credit Extension [Member] | Prime Rate [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Variable interest rate basis | 3.75% | ||||
Interest rate floor | 4.50% | ||||
Bankers' Bank of Kentucky, Inc. of Frankfort Kentucky [Member] | Line of Credit [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Initial borrowing date | Sep. 8, 2016 | ||||
Expiration date | Sep. 7, 2017 | ||||
Maximum borrowing capacity | $ 5,000 | $ 4,300 | |||
Description of variable rate basis | JP Morgan Chase prime rate | ||||
Collateral pledge of subsidiary | 100.00% | ||||
Outstanding balance | $ 0 | $ 0 | |||
Bankers' Bank of Kentucky, Inc. of Frankfort Kentucky [Member] | Line of Credit [Member] | Prime Rate [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Variable interest rate basis | 3.75% | ||||
Interest rate floor | 4.50% |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Components of the provision (benefit) for income taxes [Abstract] | |||
Current | $ 6,993 | $ 6,282 | $ 3,775 |
Deferred | (223) | 621 | 3,395 |
Change in valuation allowance | 0 | 0 | 0 |
Provision for income taxes | 6,770 | 6,903 | 7,170 |
Deferred tax assets [Abstract] | |||
Allowance for loan losses | 3,563 | 3,468 | |
Purchase accounting adjustments | 312 | 973 | |
Net operating loss carryforward | 513 | 545 | |
Alternative minimum tax credit carryforward | 517 | 0 | |
Write-downs of other real estate owned | 1,214 | 1,010 | |
Taxable income on non-accrual loans | 1,727 | 1,255 | |
Accrued expenses | 153 | 141 | |
Unrealized loss on investment securities | 1,035 | 0 | |
Other | 38 | 29 | |
Total deferred tax assets | 9,072 | 7,421 | |
Deferred tax liabilities [Abstract] | |||
Amortization of intangibles | (4,780) | (4,685) | |
Depreciation | (1,442) | (1,000) | |
Federal Home Loan Bank dividends | (355) | (349) | |
Deferred loan fees | (774) | (664) | |
Unrealized gain on investment securities | 0 | (166) | |
Other | (161) | (51) | |
Total deferred tax liabilities | (7,512) | (6,915) | |
Valuation allowance on deferred tax assets | (160) | (160) | |
Net deferred taxes | 1,400 | 346 | |
Analysis of the Differences Between the Effective Tax Rates and the Statutory U.S. Federal Income Tax Rate [Abstract] | |||
U.S. federal income tax rate | 6,630 | 6,579 | 6,909 |
Changes from the statutory rate [Abstract] | |||
Impact of graduated federal tax rate | 0 | 169 | 19 |
State income taxes, net | 355 | 308 | 335 |
Tax-exempt interest income | (254) | (182) | (175) |
Non-deductible interest expense related to carrying tax-exempt interest earning assets | 15 | 11 | 12 |
Non-deductible stock compensation expense | 26 | 34 | 55 |
Tax credits, net | (42) | (44) | (49) |
Other | 40 | 28 | 64 |
Provision for income taxes | $ 6,770 | $ 6,903 | $ 7,170 |
Analysis of the Differences Between the Effective Tax Rate and the U.S. Federal Income Tax Rate [Abstract] | |||
U.S. federal income tax rate | 35.00% | 34.00% | 34.00% |
Changes from the statutory rate [Abstract] | |||
Impact of graduated federal tax rate | 0.00% | 0.90% | 0.10% |
State income taxes, net | 1.90% | 1.60% | 1.60% |
Tax-exempt interest income | (1.40%) | (0.90%) | (0.90%) |
Non-deductible interest expense related to carrying tax-exempt interest earning assets | 0.10% | 0.10% | 0.10% |
Non-deductible stock compensation expense | 0.10% | 0.10% | 0.30% |
Tax credits, net | (0.20%) | (0.20%) | (0.20%) |
Other | 0.20% | 0.10% | 0.30% |
Provision for income taxes | 35.70% | 35.70% | 35.30% |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense [Abstract] | |||
Income tax penalties expense | $ 0 | $ 0 | $ 0 |
Interest on income taxes expense | 0 | 0 | 0 |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued [Abstract] | |||
Income tax penalties accrued | 0 | 0 | 0 |
Interest on income taxes accrued | 0 | 0 | $ 0 |
Federal [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | $ 984 | ||
Expiration dates | Dec. 31, 2022 | ||
Various States [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | $ 2,425 | ||
Expiration dates | Dec. 31, 2022 | ||
District of Columbia | |||
Operating Loss Carryforwards [Line Items] | |||
Valuation allowance for net operating loss carryforwards not expected to utilize | $ 160 | $ 160 |
EMPLOYEE BENEFIT PLANS (Details
EMPLOYEE BENEFIT PLANS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
EMPLOYEE BENEFIT PLANS [Abstract] | |||
Total contributions to the plans | $ 540 | $ 428 | $ 298 |
STOCK COMPENSATION EXPENSE (Det
STOCK COMPENSATION EXPENSE (Details) - USD ($) $ / shares in Units, $ in Thousands | Mar. 16, 2016 | Nov. 01, 2015 | Mar. 18, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares authorized (in shares) | 550,000 | ||||||
Stock based incentive programs over the subsequent years | 10 years | ||||||
Award vesting period, description | three equal annual installments | three equal annual installments | three equal annual installments | ||||
Stock option vesting periods | 3 years | 3 years | 3 years | ||||
Stock price volatility calculation base term | 3 years | ||||||
Compensation expense | $ 178 | $ 204 | $ 248 | ||||
Unrecognized stock-based compensation expense | $ 45 | ||||||
Unrecognized stock-based compensation, period of recognition | 26 months | ||||||
2012 Long Term Incentive Plan [Member] | Robert W. Walker [Member] | Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Grants (in shares) | 7,700 | 7,700 | |||||
Fair value of shares granted (in dollars per share) | $ 13.55 | $ 13.38 | |||||
Compensation expense | $ 104 | $ 103 | |||||
2012 Long Term Incentive Plan [Member] | J. Mark Bias [Member] | Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Grants (in shares) | 110 | ||||||
Fair value of shares granted (in dollars per share) | $ 13.63 | ||||||
Compensation expense | $ 1 |
STOCK COMPENSATION EXPENSE, Ass
STOCK COMPENSATION EXPENSE, Assumptions (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Assumptions used in the Black-Scholes option-pricing model [Abstract] | |||
Risk-free interest rate | 1.41% | 1.41% | 2.78% |
Expected option life | 5 years | 5 years | 10 years |
Expected stock price volatility | 16.48% | 17.20% | 31.19% |
Dividend yield | 4.03% | 3.53% | 3.33% |
Weighted average fair value of options granted during the year (in dollars per share) | $ 1.06 | $ 1.25 | $ 3.40 |
STOCK COMPENSATION EXPENSE, Sto
STOCK COMPENSATION EXPENSE, Stock Options Activity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Options [Roll Forward] | |||
Outstanding at beginning of year (in shares) | 274,030 | 301,336 | 389,709 |
Grants (in shares) | 55,990 | 52,415 | 50,930 |
Exercises (in shares) | (96,880) | (50,700) | (130,357) |
Forfeitures or expired (in shares) | (29,150) | (29,021) | (8,946) |
Outstanding at end of period (in shares) | 203,990 | 274,030 | 301,336 |
Exercisable at end of period (in shares) | 113,090 | 191,161 | 185,375 |
Weighted Average Exercise Price [Abstract] | |||
Outstanding at beginning of year (in dollars per share) | $ 10.56 | $ 10.05 | $ 8.95 |
Grants (in dollars per share) | 13.55 | 13.38 | 13.12 |
Exercises (in dollars per share) | 9.12 | 9.19 | 8.05 |
Forfeitures or expired (in dollars per share) | 14.27 | 12.74 | 8.43 |
Outstanding at end of period (in dollars per share) | 11.54 | 10.56 | 10.05 |
Exercisable (in dollars per share) | $ 10.02 | $ 9.59 | $ 9.70 |
Weighted average remaining life of options outstanding | 5 years 3 months 18 days | 4 years 6 months | 6 years 1 month 6 days |
STOCK COMPENSATION EXPENSE, Aut
STOCK COMPENSATION EXPENSE, Authorized Stock Options By Exercise Price Range (Details) $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Share-based Compensation, Shares Granted under Stock Option Plans, Exercise Price Range [Line Items] | |
Outstanding, Number (in shares) | shares | 203,990 |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 11.54 |
Outstanding, Aggregate Intrinsic Value | $ | $ 1,746 |
Currently Exercisable, Number (in shares) | shares | 113,090 |
Currently Exercisable, Weighted Average Remaining Contractual Life | 5 years 3 months 18 days |
Currently Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 10.02 |
Currently Exercisable, Aggregate Intrinsic Value | $ | $ 1,140 |
$5.00 to $7.50 [Member] | |
Share-based Compensation, Shares Granted under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, lower range limit (in dollars per share) | $ 5 |
Range of Exercise Prices, upper range limit (in dollars per share) | $ 7.50 |
Outstanding, Number (in shares) | shares | 1,100 |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 5.96 |
Outstanding, Aggregate Intrinsic Value | $ | $ 16 |
Currently Exercisable, Number (in shares) | shares | 1,100 |
Currently Exercisable, Weighted Average Remaining Contractual Life | 2 years 1 month 6 days |
Currently Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 5.95 |
Currently Exercisable, Aggregate Intrinsic Value | $ | $ 16 |
$7.51 to $10.00 [Member] | |
Share-based Compensation, Shares Granted under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, lower range limit (in dollars per share) | $ 7.51 |
Range of Exercise Prices, upper range limit (in dollars per share) | $ 10 |
Outstanding, Number (in shares) | shares | 42,475 |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 6.98 |
Outstanding, Aggregate Intrinsic Value | $ | $ 557 |
Currently Exercisable, Number (in shares) | shares | 42,475 |
Currently Exercisable, Weighted Average Remaining Contractual Life | 4 years 4 months 24 days |
Currently Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 6.98 |
Currently Exercisable, Aggregate Intrinsic Value | $ | $ 557 |
$10.01 to $12.50 [Member] | |
Share-based Compensation, Shares Granted under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, lower range limit (in dollars per share) | $ 10.01 |
Range of Exercise Prices, upper range limit (in dollars per share) | $ 12.50 |
Outstanding, Number (in shares) | shares | 37,070 |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 10.82 |
Outstanding, Aggregate Intrinsic Value | $ | $ 344 |
Currently Exercisable, Number (in shares) | shares | 37,070 |
Currently Exercisable, Weighted Average Remaining Contractual Life | 4 years 6 months |
Currently Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 10.82 |
Currently Exercisable, Aggregate Intrinsic Value | $ | $ 344 |
$12.51 to $15.00 [Member] | |
Share-based Compensation, Shares Granted under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, lower range limit (in dollars per share) | $ 12.51 |
Range of Exercise Prices, upper range limit (in dollars per share) | $ 15 |
Outstanding, Number (in shares) | shares | 123,345 |
Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 13.38 |
Outstanding, Aggregate Intrinsic Value | $ | $ 829 |
Currently Exercisable, Number (in shares) | shares | 32,445 |
Currently Exercisable, Weighted Average Remaining Contractual Life | 7 years 7 months 6 days |
Currently Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 13.21 |
Currently Exercisable, Aggregate Intrinsic Value | $ | $ 223 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Common Ownership [Member] | |||
Related Party Transaction [Line Items] | |||
Expenses paid by the company to related parties | $ 448 | $ 441 | $ 543 |
Affiliate [Member] | |||
Related Party Transaction [Line Items] | |||
Expenses paid by the company to related parties | 1,969 | ||
Board of Directors [Member] | |||
Related Party Transaction [Line Items] | |||
Rent expense | $ 52 | $ 52 | $ 52 |
Entity With Partial Ownership by the Chairman of the Board [Member] | |||
Related Party Transaction [Line Items] | |||
Ownership percentage | 20.00% | ||
Entity With Partial Ownership by another Member of the Board [Member] | |||
Related Party Transaction [Line Items] | |||
Ownership percentage | 20.00% |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Basic earnings per share [Abstract] | |||||||||||
Income available to common stockholders | $ 12,174 | $ 12,446 | $ 12,552 | ||||||||
Weighted average common shares outstanding (in shares) | 10,539,271 | 8,978,972 | 8,898,692 | ||||||||
Earnings per share (in dollars per share) | $ 0.32 | $ 0.30 | $ 0.25 | $ 0.29 | $ 0.32 | $ 0.37 | $ 0.35 | $ 0.35 | $ 1.16 | $ 1.38 | $ 1.41 |
Diluted earnings per share [Abstract] | |||||||||||
Income available to common stockholders | $ 12,174 | $ 12,446 | $ 12,552 | ||||||||
Weighted average common shares outstanding (in shares) | 10,539,271 | 8,978,972 | 8,898,692 | ||||||||
Add dilutive effects of potential additional common stock (in shares) | 64,248 | 229,863 | 557,234 | ||||||||
Weighted average common and dilutive potential Common shares outstanding (in shares) | 10,603,519 | 9,208,835 | 9,455,926 | ||||||||
Earnings per share assuming dilution (in dollars per share) | $ 0.32 | $ 0.30 | $ 0.25 | $ 0.29 | $ 0.31 | $ 0.37 | $ 0.34 | $ 0.33 | $ 1.15 | $ 1.35 | $ 1.33 |
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 | 25,850 | 25,850 |
FAIR VALUE, Carrying Amount and
FAIR VALUE, Carrying Amount and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Financial assets [Abstract] | ||
Securities available for sale | $ 288,607 | $ 255,466 |
Carrying Amount [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 97,163 | 66,704 |
Time deposits with other banks | 2,332 | |
Federal funds sold | 7,555 | 5,835 |
Securities available for sale | 288,607 | 255,466 |
Loans, net | 1,013,987 | 840,099 |
Federal Home Loan Bank stock | 3,200 | 3,072 |
Interest receivable | 3,862 | 3,162 |
Financial liabilities [Abstract] | ||
Deposits | (1,279,386) | (1,060,196) |
Securities sold under agreements to repurchase | (23,820) | (21,694) |
Other borrowed funds | (8,859) | (11,292) |
Subordinated debt | (5,343) | |
Interest payable | (364) | (321) |
Fair Value [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 97,163 | 66,704 |
Time deposits with other banks | 2,352 | |
Federal funds sold | 7,555 | 5,835 |
Securities available for sale | 288,607 | 255,466 |
Loans, net | 1,004,388 | 838,867 |
Interest receivable | 3,862 | 3,162 |
Financial liabilities [Abstract] | ||
Deposits | (1,275,630) | (1,057,765) |
Securities sold under agreements to repurchase | (23,820) | (21,694) |
Other borrowed funds | (8,906) | (11,318) |
Subordinated debt | (5,341) | |
Interest payable | (364) | (321) |
Fair Value [Member] | Level 1 [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 97,163 | 66,704 |
Time deposits with other banks | 0 | |
Federal funds sold | 7,555 | 5,835 |
Securities available for sale | 0 | 0 |
Loans, net | 0 | 0 |
Interest receivable | 0 | 0 |
Financial liabilities [Abstract] | ||
Deposits | (920,745) | (726,018) |
Securities sold under agreements to repurchase | 0 | 0 |
Other borrowed funds | 0 | 0 |
Subordinated debt | 0 | |
Interest payable | (7) | (6) |
Fair Value [Member] | Level 2 [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 0 | 0 |
Time deposits with other banks | 2,352 | |
Federal funds sold | 0 | 0 |
Securities available for sale | 288,607 | 255,466 |
Loans, net | 0 | 0 |
Interest receivable | 771 | 633 |
Financial liabilities [Abstract] | ||
Deposits | (354,885) | (331,747) |
Securities sold under agreements to repurchase | (23,820) | (21,694) |
Other borrowed funds | (8,906) | (11,318) |
Subordinated debt | (5,341) | |
Interest payable | (357) | (315) |
Fair Value [Member] | Level 3 [Member] | ||
Financial assets [Abstract] | ||
Cash and due from banks | 0 | 0 |
Time deposits with other banks | 0 | |
Federal funds sold | 0 | 0 |
Securities available for sale | 0 | 0 |
Loans, net | 1,004,388 | 838,867 |
Interest receivable | 3,091 | 2,529 |
Financial liabilities [Abstract] | ||
Deposits | 0 | 0 |
Securities sold under agreements to repurchase | 0 | 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 | Dec. 31, 2016 | Dec. 31, 2015 |
Securities available for sale [Abstract] | ||
Securities available for sale | $ 288,607 | $ 255,466 |
Carrying Value [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 288,607 | 255,466 |
Fair Value [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 288,607 | 255,466 |
Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 288,607 | 255,466 |
Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
U. S. Sponsored Agency MBS - Residential [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 174,177 | 132,347 |
U. S. Sponsored Agency CMO's - Residential [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 73,267 | 105,122 |
Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 247,444 | 237,469 |
U.S. Government Sponsored Agency Securities [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 24,501 | 10,429 |
Obligations of States and Political Subdivisions [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 16,662 | 7,568 |
Recurring [Member] | Carrying Value [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 288,607 | 255,466 |
Recurring [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 288,607 | 255,466 |
Recurring [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | U. S. Sponsored Agency MBS - Residential [Member] | Carrying Value [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 174,177 | 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] | ||
Securities 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] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 174,177 | 132,347 |
Recurring [Member] | U. S. Sponsored Agency MBS - Residential [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | U. S. Sponsored Agency CMO's - Residential [Member] | Carrying Value [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 73,267 | 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] | ||
Securities 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] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 73,267 | 105,122 |
Recurring [Member] | U. S. Sponsored Agency CMO's - Residential [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | Carrying Value [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 247,444 | 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] | ||
Securities 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] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 247,444 | 237,469 |
Recurring [Member] | Total Mortgage-Backed Securities of Government Sponsored Agencies [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | U.S. Government Sponsored Agency Securities [Member] | Carrying Value [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 24,501 | 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] | ||
Securities 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] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 24,501 | 10,429 |
Recurring [Member] | U.S. Government Sponsored Agency Securities [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 0 | 0 |
Recurring [Member] | Obligations of States and Political Subdivisions [Member] | Carrying Value [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 16,662 | 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] | ||
Securities 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] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | 16,662 | 7,568 |
Recurring [Member] | Obligations of States and Political Subdivisions [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Securities available for sale [Abstract] | ||
Securities available for sale | $ 0 | $ 0 |
FAIR VALUE, Unobservable Input
FAIR VALUE, Unobservable Input Reconciliation (Details) - Securities Available-for-Sale [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs [Roll Forward] | ||
Balance of recurring Level 3 assets at beginning of period | $ 0 | $ 140 |
Total Gains or Losses (Realized/Unrealized) [Abstract] | ||
Included in earnings - realized | 0 | 0 |
Included in earnings, unrealized | 0 | 0 |
Included in other comprehensive income | 0 | 0 |
Purchases, sales, issues and settlements, net | 0 | (140) |
Transfers in and / or out of Level 3 | 0 | 0 |
Balance of recurring Level 3 assets at year-end | $ 0 | $ 0 |
FAIR VALUE, Assets and Liabil88
FAIR VALUE, Assets and Liabilities Measured at Fair Value on Nonrecurring Basis (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Impaired Loans Additional Disclosure [Abstract] | ||
Recorded investment in impaired loans carried at fair value | $ 4,446 | $ 690 |
Valuation allowance for impaired loans | 606 | 299 |
Impaired collateral dependent loans, provision for loan losses | 491 | 171 |
Other Real Estate Owned Additional Disclosure [Abstract] | ||
Recorded investment in other real estate owned carried at fair value - gross | 9,900 | 10,825 |
Valuation allowance for other real estate owned | 3,276 | 2,766 |
Write downs | 547 | 1,060 |
Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Impaired Loans Additional Disclosure [Abstract] | ||
Valuation allowance for impaired loans | 244 | 44 |
Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Impaired Loans Additional Disclosure [Abstract] | ||
Valuation allowance for impaired loans | 22 | |
Commercial and Industrial [Member] | ||
Impaired Loans Additional Disclosure [Abstract] | ||
Valuation allowance for impaired loans | 276 | 233 |
All Other [Member] | ||
Impaired Loans Additional Disclosure [Abstract] | ||
Valuation allowance for impaired loans | 86 | |
Nonrecurring [Member] | Carrying Amount [Member] | ||
Assets [Abstract] | ||
Impaired loans | 3,841 | 391 |
Other real estate owned | 6,624 | 8,059 |
Nonrecurring [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 |
Nonrecurring [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Assets [Abstract] | ||
Impaired loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Nonrecurring [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets [Abstract] | ||
Impaired loans | 3,841 | 391 |
Other real estate owned | 6,624 | 8,059 |
Nonrecurring [Member] | Residential Real Estate [Member] | Carrying Amount [Member] | ||
Assets [Abstract] | ||
Other real estate owned | 613 | 648 |
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 |
Nonrecurring [Member] | Residential Real Estate [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Assets [Abstract] | ||
Other real estate owned | 0 | 0 |
Nonrecurring [Member] | Residential Real Estate [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets [Abstract] | ||
Other real estate owned | 613 | 648 |
Nonrecurring [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Carrying Amount [Member] | ||
Assets [Abstract] | ||
Impaired loans | 793 | 133 |
Other real estate owned | 175 | 260 |
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 |
Other real estate owned | 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 |
Other real estate owned | 0 | 0 |
Nonrecurring [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets [Abstract] | ||
Impaired loans | 793 | 133 |
Other real estate owned | 175 | 260 |
Nonrecurring [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | Carrying Amount [Member] | ||
Assets [Abstract] | ||
Impaired loans | 258 | |
Other real estate owned | 2,153 | 2,253 |
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 | |
Other real estate owned | 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 | |
Other real estate owned | 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 | 258 | |
Other real estate owned | 2,153 | 2,253 |
Nonrecurring [Member] | Commercial and Industrial [Member] | Carrying Amount [Member] | ||
Assets [Abstract] | ||
Impaired loans | 12 | |
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 | |
Nonrecurring [Member] | Commercial and Industrial [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Assets [Abstract] | ||
Impaired loans | 0 | |
Nonrecurring [Member] | Commercial and Industrial [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets [Abstract] | ||
Impaired loans | 12 | |
Nonrecurring [Member] | All Other [Member] | Carrying Amount [Member] | ||
Assets [Abstract] | ||
Impaired loans | 3,036 | |
Other real estate owned | 3,683 | 4,898 |
Nonrecurring [Member] | All Other [Member] | Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Assets [Abstract] | ||
Impaired loans | 0 | |
Other real estate owned | 0 | 0 |
Nonrecurring [Member] | All Other [Member] | Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Assets [Abstract] | ||
Impaired loans | 0 | |
Other real estate owned | 0 | 0 |
Nonrecurring [Member] | All Other [Member] | Fair Value [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets [Abstract] | ||
Impaired loans | 3,036 | |
Other real estate owned | $ 3,683 | $ 4,898 |
FAIR VALUE, Asset Quantitative
FAIR VALUE, Asset Quantitative Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Impaired Loans [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 3,841 | $ 391 |
Impaired Loans [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 793 | $ 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 | 9.30% | 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 | 76.40% | 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 | 19.30% | 66.30% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 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 | 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 | 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 | 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 differences between the comparable sales | 8.00% | |
Impaired Loans [Member] | Commercial and Industrial [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 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 differences between the comparable sales | 8.00% | |
Impaired Loans [Member] | All Other [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 3,036 | |
Impaired Loans [Member] | All Other [Member] | Sales Comparison [Member] | Minimum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 5.70% | |
Impaired Loans [Member] | All Other [Member] | Sales Comparison [Member] | Maximum [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 9.00% | |
Impaired Loans [Member] | All Other [Member] | Sales Comparison [Member] | Weighted Average [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Adjustment for differences between the comparable sales | 8.00% | |
Other Real Estate Owned [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 6,624 | $ 8,059 |
Other Real Estate Owned [Member] | Residential Real Estate [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 613 | $ 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 | 86.80% | 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 | 25.20% | 24.70% |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Owner Occupied [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 175 | $ 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 | 21.80% | 25.40% |
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 | 21.80% | 41.30% |
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 | 21.80% | 38.80% |
Other Real Estate Owned [Member] | Commercial Real Estate [Member] | Non-Owner Occupied [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 2,153 | $ 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 | 27.60% | 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 | 25.70% | 23.10% |
Other Real Estate Owned [Member] | All Other [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Fair value | $ 3,683 | $ 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 | 15.10% | 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 | 45.40% | 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 | 21.80% | 27.50% |
FINANCIAL INSTRUMENTS WITH OF90
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Overdraft Protection [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unused portion of overdraft protection | $ 16,641 | $ 13,459 |
Standby Letters of Credit [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Off balance sheet risk, contract amount | 11,415 | 6,700 |
Commitments to Extend Credit - Fixed [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Off balance sheet risk, contract amount | $ 27,607 | 15,898 |
Commitments to Extend Credit - Fixed [Member] | Minimum [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Fixed rate loan commitments, interest rate | 3.00% | |
Commitments to Extend Credit - Fixed [Member] | Maximum [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Fixed rate loan commitments, interest rate | 21.00% | |
Commitments to Extend Credit - Variable [Member] | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Off balance sheet risk, contract amount | $ 94,234 | $ 78,482 |
STOCKHOLDERS' EQUITY (Details)
STOCKHOLDERS' EQUITY (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||||
Number of previous years retained profit taken for dividend calculation | 2 years | |||
Funds available for dividends without prior approval | $ 4,100 | |||
Capital conservation buffer | 6.95% | |||
Consolidated [Member] | ||||
Total Capital (to Risk-Weighted Assets) [Abstract] | ||||
Actual Amount | [1] | $ 158,433 | $ 125,964 | |
Actual Ratio | [1] | 15.00% | 14.70% | |
For Capital Adequacy Purposes, Amount | [1] | $ 84,779 | $ 68,563 | |
For Capital Adequacy Purposes, Ratio | [1] | 8.00% | [2] | 8.00% |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | [1] | $ 105,973 | $ 85,703 | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Ratio | [1] | 10.00% | 10.00% | |
Tier I Capital (to Risk-Weighted Assets) [Abstract] | ||||
Actual Amount | [1] | $ 147,597 | $ 116,317 | |
Actual Ratio | [1] | 13.90% | 13.60% | |
For Capital Adequacy Purposes, Amount | [1] | $ 63,584 | $ 51,422 | |
For Capital Adequacy Purposes, Ratio | [1] | 6.00% | [2] | 6.00% |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | [1] | $ 84,779 | $ 68,563 | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Ratio | [1] | 8.00% | 8.00% | |
Tier I Capital (to Average Assets) [Abstract] | ||||
Actual Amount | [1] | $ 147,597 | $ 116,317 | |
Actual Ratio | [1] | 10.10% | 9.40% | |
For Capital Adequacy Purposes, Amount | [1] | $ 58,420 | $ 49,487 | |
For Capital Adequacy Purposes, Ratio | [1] | 4.00% | [2] | 4.00% |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | [1] | $ 73,025 | $ 61,858 | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Ratio | [1] | 5.00% | 5.00% | |
Common Equity Tier I Capital (to Risk-Weighted Assets) [Abstract] | ||||
Actual Amount | [1] | $ 142,024 | $ 116,317 | |
Common Equity Tier 1 Capital (to Risk-Weighted Assets) | [1] | 13.40% | 13.60% | |
For Capital Adequacy Purposes, Amount | [1] | $ 47,688 | $ 38,566 | |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Regulatory Minimum Requirements | [1] | 4.50% | [2] | 4.50% |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | [1] | $ 68,883 | $ 55,707 | |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), To Be Considered Well Capitalized | [1] | 6.50% | 6.50% | |
Premier Bank, Inc. [Member] | ||||
Total Capital (to Risk-Weighted Assets) [Abstract] | ||||
Actual Amount | $ 119,860 | $ 93,376 | ||
Actual Ratio | 15.30% | 15.10% | ||
For Capital Adequacy Purposes, Amount | $ 62,720 | $ 49,495 | ||
For Capital Adequacy Purposes, Ratio | 8.00% | [2] | 8.00% | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | $ 78,400 | $ 61,868 | ||
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Ratio | 10.00% | 10.00% | ||
Tier I Capital (to Risk-Weighted Assets) [Abstract] | ||||
Actual Amount | $ 111,538 | $ 86,062 | ||
Actual Ratio | 14.20% | 13.90% | ||
For Capital Adequacy Purposes, Amount | $ 47,040 | $ 37,121 | ||
For Capital Adequacy Purposes, Ratio | 6.00% | [2] | 6.00% | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | $ 62,720 | $ 49,495 | ||
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Ratio | 8.00% | 8.00% | ||
Tier I Capital (to Average Assets) [Abstract] | ||||
Actual Amount | $ 111,538 | $ 86,062 | ||
Actual Ratio | 10.60% | 10.20% | ||
For Capital Adequacy Purposes, Amount | $ 42,159 | $ 33,924 | ||
For Capital Adequacy Purposes, Ratio | 4.00% | [2] | 4.00% | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | $ 52,699 | $ 42,405 | ||
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Ratio | 5.00% | 5.00% | ||
Common Equity Tier I Capital (to Risk-Weighted Assets) [Abstract] | ||||
Actual Amount | $ 111,538 | $ 86,062 | ||
Common Equity Tier 1 Capital (to Risk-Weighted Assets) | 14.20% | 13.90% | ||
For Capital Adequacy Purposes, Amount | $ 35,280 | $ 27,841 | ||
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Regulatory Minimum Requirements | 4.50% | [2] | 4.50% | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | $ 50,960 | $ 40,214 | ||
Common Equity Tier 1 Capital (to Risk-Weighted Assets), To Be Considered Well Capitalized | 6.50% | 6.50% | ||
Citizens Deposit Bank [Member] | ||||
Total Capital (to Risk-Weighted Assets) [Abstract] | ||||
Actual Amount | $ 39,725 | $ 38,241 | ||
Actual Ratio | 14.30% | 16.20% | ||
For Capital Adequacy Purposes, Amount | $ 22,181 | $ 18,934 | ||
For Capital Adequacy Purposes, Ratio | 8.00% | [2] | 8.00% | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | $ 27,727 | $ 23,667 | ||
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Ratio | 10.00% | 10.00% | ||
Tier I Capital (to Risk-Weighted Assets) [Abstract] | ||||
Actual Amount | $ 37,211 | $ 35,908 | ||
Actual Ratio | 13.40% | 15.20% | ||
For Capital Adequacy Purposes, Amount | $ 16,636 | $ 14,200 | ||
For Capital Adequacy Purposes, Ratio | 6.00% | [2] | 6.00% | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | $ 22,181 | $ 18,934 | ||
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Ratio | 8.00% | 8.00% | ||
Tier I Capital (to Average Assets) [Abstract] | ||||
Actual Amount | $ 37,211 | $ 35,908 | ||
Actual Ratio | 9.10% | 9.20% | ||
For Capital Adequacy Purposes, Amount | $ 16,289 | $ 15,540 | ||
For Capital Adequacy Purposes, Ratio | 4.00% | [2] | 4.00% | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | $ 20,361 | $ 19,425 | ||
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Ratio | 5.00% | 5.00% | ||
Common Equity Tier I Capital (to Risk-Weighted Assets) [Abstract] | ||||
Actual Amount | $ 37,211 | $ 35,908 | ||
Common Equity Tier 1 Capital (to Risk-Weighted Assets) | 13.40% | 15.20% | ||
For Capital Adequacy Purposes, Amount | $ 12,477 | $ 10,650 | ||
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Regulatory Minimum Requirements | 4.50% | [2] | 4.50% | |
To Be Well Capitalized Under Prompt Corrective Actions Provisions, Amount | $ 18,022 | $ 15,384 | ||
Common Equity Tier 1 Capital (to Risk-Weighted Assets), To Be Considered Well Capitalized | 6.50% | 6.50% | ||
[1] | The consolidated company is not subject to Prompt Corrective Action Provisions. | |||
[2] | The ratios for capital adequacy purposes do not include the additional capital conservation buffer. |
PARENT COMPANY FINANCIAL STAT92
PARENT COMPANY FINANCIAL STATEMENTS, Condensed Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
ASSETS [Abstract] | ||||
Cash | $ 41,443 | $ 33,888 | ||
Premises and equipment | 24,224 | 19,841 | ||
Other assets | 1,478 | 1,152 | ||
Total assets | 1,496,193 | 1,244,693 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY [Abstract] | ||||
Other liabilities | 4,237 | 3,958 | ||
Other borrowed funds | 8,859 | 11,292 | ||
Total liabilities | 1,322,009 | 1,097,461 | ||
Stockholders' equity [Abstract] | ||||
Common stock | 109,911 | 69,319 | ||
Retained earnings | 66,195 | 77,592 | ||
Accumulated other comprehensive income (loss) | (1,922) | 321 | ||
Total stockholders' equity | 174,184 | 147,232 | $ 145,782 | $ 146,940 |
Total liabilities and stockholders' equity | 1,496,193 | 1,244,693 | ||
Parent Company [Member] | ||||
ASSETS [Abstract] | ||||
Cash | 6,699 | 5,424 | ||
Investment in subsidiaries | 181,520 | 153,026 | ||
Premises and equipment | 293 | 230 | ||
Other assets | 427 | 358 | ||
Total assets | 188,939 | 159,038 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY [Abstract] | ||||
Other liabilities | 812 | 806 | ||
Other borrowed funds | 8,600 | 11,000 | ||
Subordinated debt | 5,343 | 0 | ||
Total liabilities | 14,755 | 11,806 | ||
Stockholders' equity [Abstract] | ||||
Common stock | 109,911 | 69,319 | ||
Retained earnings | 66,195 | 77,592 | ||
Accumulated other comprehensive income (loss) | (1,922) | 321 | ||
Total stockholders' equity | 174,184 | 147,232 | ||
Total liabilities and stockholders' equity | $ 188,939 | $ 159,038 |
PARENT COMPANY FINANCIAL STAT93
PARENT COMPANY FINANCIAL STATEMENTS, Condensed Statement of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income [Abstract] | |||||||||||
Interest and dividend income | $ 14,600 | $ 14,865 | $ 14,666 | $ 14,210 | $ 12,661 | $ 13,782 | $ 12,955 | $ 13,013 | $ 58,341 | $ 52,411 | $ 52,750 |
Expenses [Abstract] | |||||||||||
Interest expense | 4,643 | 4,031 | 4,336 | ||||||||
Salaries and employee benefits | 19,805 | 16,949 | 18,071 | ||||||||
Occupancy and equipment expenses | 6,266 | 5,201 | 5,013 | ||||||||
Professional fees | 784 | 664 | 762 | ||||||||
Other expenses | 4,274 | 3,773 | 3,798 | ||||||||
Income before income taxes | 18,944 | 19,349 | 20,320 | ||||||||
Income tax (benefit) | 6,770 | 6,903 | 7,170 | ||||||||
Net income | $ 3,407 | $ 3,164 | $ 2,624 | $ 2,979 | $ 2,852 | $ 3,325 | $ 3,127 | $ 3,142 | 12,174 | 12,446 | 13,150 |
Preferred stock dividends and accretion | 0 | 0 | (598) | ||||||||
Net income available to common stockholders | 12,174 | 12,446 | 12,552 | ||||||||
Parent Company [Member] | |||||||||||
Income [Abstract] | |||||||||||
Dividends from subsidiaries | 10,840 | 13,390 | 14,340 | ||||||||
Interest and dividend income | 9 | 2 | 6 | ||||||||
Other income | 1,766 | 1,565 | 2,364 | ||||||||
Total income | 12,615 | 14,957 | 16,710 | ||||||||
Expenses [Abstract] | |||||||||||
Interest expense | 401 | 494 | 550 | ||||||||
Salaries and employee benefits | 2,744 | 2,703 | 2,814 | ||||||||
Occupancy and equipment expenses | 302 | 268 | 272 | ||||||||
Professional fees | 307 | 264 | 337 | ||||||||
Other expenses | 917 | 523 | 509 | ||||||||
Total expenses | 4,671 | 4,252 | 4,482 | ||||||||
Income before income taxes | 7,944 | 10,705 | 12,228 | ||||||||
Income tax (benefit) | (988) | (875) | (728) | ||||||||
Income before equity in undistributed income of subsidiaries | 8,932 | 11,580 | 12,956 | ||||||||
Equity in undistributed income of subsidiaries | 3,242 | 866 | 194 | ||||||||
Net income | 12,174 | 12,446 | 13,150 | ||||||||
Preferred stock dividends and accretion | 0 | 0 | (598) | ||||||||
Net income available to common stockholders | $ 12,174 | $ 12,446 | $ 12,552 |
PARENT COMPANY FINANCIAL STAT94
PARENT COMPANY FINANCIAL STATEMENTS, Condensed Statement of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities [Abstract] | |||||||||||
Net income | $ 3,407 | $ 3,164 | $ 2,624 | $ 2,979 | $ 2,852 | $ 3,325 | $ 3,127 | $ 3,142 | $ 12,174 | $ 12,446 | $ 13,150 |
Adjustments to reconcile net income to net cash from operating activities [Abstract] | |||||||||||
Depreciation | 1,934 | 1,695 | 1,575 | ||||||||
Amortization | 2,624 | 462 | 701 | ||||||||
Stock compensation expense | 178 | 204 | 248 | ||||||||
Change in other assets | (67) | (48) | (484) | ||||||||
Change in other liabilities | (938) | (105) | (166) | ||||||||
Net cash from operating activities | 17,969 | 16,832 | 18,523 | ||||||||
Cash flows from investing activities [Abstract] | |||||||||||
Acquisition of subsidiary, net of cash received | 11,912 | 0 | 40,973 | ||||||||
Net cash from investing activities | 9,097 | (472) | 27,978 | ||||||||
Cash flows from financing activities [Abstract] | |||||||||||
Cash dividends on preferred stock | 0 | 0 | (553) | ||||||||
Cash dividends paid to shareholders | (5,933) | (4,573) | (4,854) | ||||||||
Repurchase of preferred stock | 0 | 0 | (12,000) | ||||||||
Purchase of warrant | 0 | (5,675) | 0 | ||||||||
Cash in lieu of fractional shares | (16) | 0 | 0 | ||||||||
Proceeds from stock option exercises | 751 | 222 | 731 | ||||||||
Proceeds from other borrowed funds | 0 | 15,946 | 0 | ||||||||
Payments on other borrowed funds | (2,433) | (16,376) | (2,422) | ||||||||
Net cash from financing activities | 5,113 | (19,205) | (47,878) | ||||||||
Net change in cash and cash equivalents | 32,179 | (2,845) | (1,377) | ||||||||
Cash and cash equivalents at beginning of year | 72,539 | 75,384 | 72,539 | 75,384 | 76,761 | ||||||
Cash and cash equivalents at end of year | 104,718 | 72,539 | 104,718 | 72,539 | 75,384 | ||||||
Parent Company [Member] | |||||||||||
Cash flows from operating activities [Abstract] | |||||||||||
Net income | 12,174 | 12,446 | 13,150 | ||||||||
Adjustments to reconcile net income to net cash from operating activities [Abstract] | |||||||||||
Depreciation | 94 | 84 | 75 | ||||||||
Amortization | 35 | 0 | 0 | ||||||||
Stock compensation expense | 178 | 204 | 248 | ||||||||
Gain from sales of assets | 0 | 0 | (947) | ||||||||
Equity in undistributed earnings of subsidiaries | (3,242) | (866) | (194) | ||||||||
Change in other assets | (174) | 100 | 1,060 | ||||||||
Change in other liabilities | (58) | (49) | 89 | ||||||||
Net cash from operating activities | 9,007 | 11,919 | 13,481 | ||||||||
Cash flows from investing activities [Abstract] | |||||||||||
Proceeds from sales of other real estate owned | 0 | 0 | 947 | ||||||||
Acquisition of subsidiary, net of cash received | 25 | 0 | 0 | ||||||||
Purchases of fixed assets, net of proceeds from asset sales | (159) | (149) | (33) | ||||||||
Net cash from investing activities | (134) | (149) | 914 | ||||||||
Cash flows from financing activities [Abstract] | |||||||||||
Cash dividends on preferred stock | 0 | 0 | (553) | ||||||||
Cash dividends paid to shareholders | (5,933) | (4,573) | (4,854) | ||||||||
Repurchase of preferred stock | 0 | 0 | (12,000) | ||||||||
Purchase of warrant | 0 | (5,675) | 0 | ||||||||
Cash in lieu of fractional shares | (16) | 0 | 0 | ||||||||
Proceeds from stock option exercises | 751 | 222 | 731 | ||||||||
Proceeds from other borrowed funds | 0 | 15,946 | 0 | ||||||||
Payments on other borrowed funds | (2,400) | (16,346) | (2,400) | ||||||||
Net cash from financing activities | (7,598) | (10,426) | (19,076) | ||||||||
Net change in cash and cash equivalents | 1,275 | 1,344 | (4,681) | ||||||||
Cash and cash equivalents at beginning of year | $ 5,424 | $ 4,080 | 5,424 | 4,080 | 8,761 | ||||||
Cash and cash equivalents at end of year | $ 6,699 | $ 5,424 | $ 6,699 | $ 5,424 | $ 4,080 |
QUARTERLY FINANCIAL DATA (UNA95
QUARTERLY FINANCIAL DATA (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Selected Quarterly Financial Information [Abstract] | |||||||||||
Interest Income | $ 14,600 | $ 14,865 | $ 14,666 | $ 14,210 | $ 12,661 | $ 13,782 | $ 12,955 | $ 13,013 | $ 58,341 | $ 52,411 | $ 52,750 |
Net Interest Income | 13,436 | 13,716 | 13,491 | 13,055 | 11,710 | 12,783 | 11,923 | 11,964 | 53,698 | 48,380 | 48,414 |
Net Income | $ 3,407 | $ 3,164 | $ 2,624 | $ 2,979 | $ 2,852 | $ 3,325 | $ 3,127 | $ 3,142 | $ 12,174 | $ 12,446 | $ 13,150 |
Earnings Per Share, Basic (in dollars per share) | $ 0.32 | $ 0.30 | $ 0.25 | $ 0.29 | $ 0.32 | $ 0.37 | $ 0.35 | $ 0.35 | $ 1.16 | $ 1.38 | $ 1.41 |
Earnings Per Share, Diluted (in dollars per share) | $ 0.32 | $ 0.30 | $ 0.25 | $ 0.29 | $ 0.31 | $ 0.37 | $ 0.34 | $ 0.33 | $ 1.15 | $ 1.35 | $ 1.33 |
PREFERRED STOCK AND COMMON ST96
PREFERRED STOCK AND COMMON STOCK WARRANT (Details) - USD ($) $ / shares in Units, $ in Thousands | May 06, 2015 | Nov. 14, 2014 | Oct. 02, 2009 | Dec. 31, 2016 | Dec. 31, 2015 |
Class of Stock [Line Items] | |||||
Par value of common stock called by warrants (in dollars per share) | $ 0 | $ 0 | |||
Reduction in shareholders' equity and regulatory capital | $ 5,675 | ||||
U.S. Treasury [Member] | |||||
Class of Stock [Line Items] | |||||
Payments for purchase of warrants | 5,675 | ||||
U.S. Treasury [Member] | Bank of Kentucky [Member] | |||||
Class of Stock [Line Items] | |||||
Outstanding balance | 4,000 | ||||
U.S. Treasury [Member] | Cash and Cash Equivalents [Member] | |||||
Class of Stock [Line Items] | |||||
Payments for purchase of warrants | $ 1,675 | ||||
Series A Preferred Stock [Member] | |||||
Class of Stock [Line Items] | |||||
Preferred stock issued (in shares) | 22,252 | ||||
Preferred stock, par value (in dollars per share) | $ 0 | ||||
Liquidation preference (in dollars per share) | $ 1,000 | ||||
Percentage of stock dividend | 5.00% | ||||
Value of preferred stock issued | $ 22,252 | ||||
Accrued dividend rate until November 14, 2014 | 5.00% | ||||
Preferred stock repurchased (in shares) | 22,252 | ||||
Warrants [Member] | |||||
Class of Stock [Line Items] | |||||
Term of warrant | 10 years | ||||
Numbers of common stock to be purchased with warrants (in shares) | 636,378 | 628,588 | |||
Numbers of common stock to be purchased with warrants as adjusted for the stock dividend (in shares) | 700,016 | 691,446 | |||
Percentage of stock dividend | 10.00% | ||||
Par value of common stock called by warrants (in dollars per share) | $ 0 | ||||
Exercise price of warrants (in dollars per share) | $ 5.25 | 5.31 | |||
Exercise price of warrants adjusted (in dollars per share) | $ 4.77 | $ 4.83 | |||
Accrued dividend rate until November 14, 2014 | 10.00% | ||||
Threshold of quarterly common stock cash dividends paid (in dollars per share) | $ 0.10 |