Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Mar. 31, 2015 | Jun. 30, 2014 | |
Document And Entity Information Abstract | |||
Entity Registrant Name | HAWTHORN BANCSHARES, INC. | ||
Entity Central Index Key | 893847 | ||
Trading Symbol | hwbk | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Current Fiscal Year End Date | -19 | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding | 5,233,986 | ||
Entity Public Float | $50,199,289 | ||
Document Type | 10-K | ||
Document Period End Date | 31-Dec-14 | ||
Amendment Flag | FALSE | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS | ||
Cash and due from banks | $22,364 | $27,079 |
Federal funds sold and other overnight interest-bearing deposits | 20,445 | 1,360 |
Cash and cash equivalents | 42,809 | 28,439 |
Investment in available-for-sale securities, at fair value | 198,998 | 205,985 |
Other investments and securities, at cost | 4,722 | 4,001 |
Total investment securities | 203,720 | 209,986 |
Loans | 861,213 | 839,547 |
Allowances for loan losses | -9,099 | -13,719 |
Net loans | 852,114 | 825,828 |
Premises and equipment - net | 37,498 | 38,079 |
Mortgage servicing rights | 2,762 | 3,036 |
Other real estate owned and repossessed assets - net | 11,885 | 14,867 |
Accrued interest receivable | 4,816 | 4,999 |
Cash surrender value - life insurance | 2,284 | 2,213 |
Other assets | 11,843 | 12,675 |
Total assets | 1,169,731 | 1,140,122 |
Deposits | ||
Non-interest bearing demand | 207,700 | 187,382 |
Savings, interest checking and money market | 442,059 | 419,085 |
Time deposits $100,000 and over | 134,945 | 145,957 |
Other time deposits | 184,810 | 204,047 |
Total deposits | 969,514 | 956,471 |
Federal funds purchased and securities sold under agreements to repurchase | 17,970 | 31,084 |
Subordinated notes | 49,486 | 49,486 |
Federal Home Loan Bank advances | 43,000 | 24,000 |
Accrued interest payable | 373 | 426 |
Other liabilities | 8,820 | 4,275 |
Total liabilities | 1,089,163 | 1,065,742 |
Stockholders' equity: | ||
Common stock, $1 par value, authorized 15,000,000 shares; Issued 5,395,844 and 5,194,537 shares, respectively | 5,396 | 5,195 |
Surplus | 35,901 | 33,385 |
Retained earnings | 44,016 | 40,086 |
Accumulated other comprehensive loss, net of tax | -1,228 | -769 |
Treasury stock; 161,858 shares, at cost | -3,517 | -3,517 |
Total stockholders' equity | 80,568 | 74,380 |
Total liabilities and stockholders' equity | $1,169,731 | $1,140,122 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parentheticals) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $1 | $1 |
Common stock, shares authorized | 15,000,000 | 15,000,000 |
Common stock, shares issued | 5,395,844 | 5,194,537 |
Treasury stock, shares | 161,858 | 161,858 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
INTEREST INCOME | |||
Interest and fees on loans | $40,274 | $41,110 | $43,957 |
Interest on investment securities: | |||
Taxable | 3,394 | 3,592 | 4,100 |
Nontaxable | 722 | 844 | 909 |
Federal funds sold and other overnight interest-bearing deposits | 28 | 37 | 46 |
Dividends on other securities | 80 | 82 | 102 |
Total interest income | 44,498 | 45,665 | 49,114 |
Interest on deposits: | |||
Savings, interest checking and money market | 968 | 974 | 1,146 |
Time deposit accounts $100,000 and over | 940 | 1,142 | 1,345 |
Other time deposits | 1,384 | 2,498 | 3,481 |
Interest on federal funds purchased and securities sold under agreements to repurchase | 21 | 24 | 21 |
Interest on subordinated notes | 1,264 | 1,284 | 1,381 |
Interest on Federal Home Loan Bank advances | 467 | 420 | 531 |
Total interest expense | 5,044 | 6,342 | 7,905 |
Net interest income | 39,454 | 39,323 | 41,209 |
Provision for loan losses | 0 | 2,030 | 8,900 |
Net interest income after provision for loan losses | 39,454 | 37,293 | 32,309 |
NON-INTEREST INCOME | |||
Service charges on deposit accounts | 5,265 | 5,556 | 5,439 |
Trust department income | 844 | 796 | 893 |
Real estate servicing fees, net | 319 | 876 | -453 |
Gain on sale of mortgage loans, net | 1,093 | 1,665 | 2,669 |
Gain on sale of investment securities | 20 | 778 | 26 |
Other | 1,208 | 1,195 | 1,152 |
Total non-interest income | 8,749 | 10,866 | 9,726 |
NON-INTEREST EXPENSE | |||
Salaries and employee benefits | 20,377 | 19,542 | 19,165 |
Occupancy expense, net | 2,660 | 2,630 | 2,598 |
Furniture and equipment expense | 1,823 | 2,007 | 1,840 |
FDIC insurance assessment | 933 | 992 | 993 |
Legal, examination, and professional fees | 1,159 | 982 | 1,189 |
Advertising and promotion | 1,274 | 1,301 | 1,083 |
Postage, printing, and supplies | 1,117 | 1,210 | 1,144 |
Processing expense | 3,101 | 3,543 | 3,593 |
Other real estate expense, net | 845 | 4,924 | 2,659 |
Other | 3,218 | 3,632 | 4,403 |
Total non-interest expense | 36,507 | 40,763 | 38,667 |
Income before income taxes | 11,696 | 7,396 | 3,368 |
Income tax expense | 4,042 | 2,422 | 546 |
Net income | 7,654 | 4,974 | 2,822 |
Preferred stock dividends and accretion of discount | 0 | 615 | 1,784 |
Net income available to common shareholders | $7,654 | $4,359 | $1,038 |
Basic earnings per share (in dollars per share) | $1.46 | $0.83 | $0.20 |
Diluted earnings per share (in dollars per share) | $1.46 | $0.83 | $0.20 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Consolidated Statements of Comprehensive Income | |||
Net income | $7,654 | $4,974 | $2,822 |
Securities available for sale: | |||
Unrealized gain (loss) on investment securities available-for-sale, net of tax | 1,717 | -4,275 | -123 |
Adjustment for gain on sales of investment securities, net of tax | -12 | -482 | -16 |
Defined benefit pension plans: | |||
Net (loss) gain arising during the year, net of tax | -2,212 | 2,095 | 547 |
Amortization of prior service cost included in net periodic pension cost, net of tax | 48 | 68 | 77 |
Other comprehensive income | -459 | -2,594 | 485 |
Total comprehensive income | $7,195 | $2,380 | $3,307 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Preferred Stock | Common Stock | Surplus | Retained Earnings | Accumulated Other Comprehensive (Loss) Income | Treasury Stock | Total |
In Thousands, unless otherwise specified | |||||||
Balance at Dec. 31, 2011 (Previously reported) | $29,318 | $4,815 | $30,266 | $40,354 | $1,340 | ($3,517) | $102,576 |
Balance (Cumulative effect of change in accounting principle) | 0 | 0 | 0 | 460 | 0 | 0 | 460 |
Balance at Dec. 31, 2011 | 29,318 | 4,815 | 30,266 | 40,814 | 1,340 | -3,517 | 103,036 |
Increase (Decrease) in Stockholders' Equity | |||||||
Net income | 0 | 0 | 0 | 2,822 | 0 | 0 | 2,822 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 485 | 0 | 485 |
Stock based compensation expense | 0 | 0 | 29 | 0 | 0 | 0 | 29 |
Accretion of preferred stock discount | 659 | 0 | 0 | -659 | 0 | 0 | 0 |
Redemption of 12,000 and 18,255 shares of preferred stock for 2012 and 2013 respectively | -12,000 | 0 | 0 | 0 | 0 | 0 | -12,000 |
Stock dividend | 0 | 186 | 1,521 | -1,707 | 0 | 0 | 0 |
Cash dividends declared, preferred stock | 0 | 0 | 0 | -1,203 | 0 | 0 | -1,203 |
Cash dividends declared, common stock | 0 | 0 | 0 | -949 | 0 | 0 | -949 |
Balance at Dec. 31, 2012 | 17,977 | 5,001 | 31,816 | 39,118 | 1,825 | -3,517 | 92,220 |
Increase (Decrease) in Stockholders' Equity | |||||||
Net income | 0 | 0 | 0 | 4,974 | 0 | 0 | 4,974 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | -2,594 | 0 | -2,594 |
Stock based compensation expense | 0 | 0 | 19 | 0 | 0 | 0 | 19 |
Accretion of preferred stock discount | 278 | 0 | 0 | -278 | 0 | 0 | 0 |
Redemption of 12,000 and 18,255 shares of preferred stock for 2012 and 2013 respectively | -18,255 | 0 | 0 | 0 | 0 | 0 | -18,255 |
Redemption of common stock warrant | 0 | 0 | -540 | 0 | 0 | 0 | -540 |
Stock dividend | 0 | 194 | 2,090 | -2,284 | 0 | 0 | 0 |
Cash dividends declared, preferred stock | 0 | 0 | 0 | -456 | 0 | 0 | -456 |
Cash dividends declared, common stock | 0 | 0 | 0 | -988 | 0 | 0 | -988 |
Balance at Dec. 31, 2013 | 0 | 5,195 | 33,385 | 40,086 | -769 | -3,517 | 74,380 |
Increase (Decrease) in Stockholders' Equity | |||||||
Net income | 0 | 0 | 0 | 7,654 | 0 | 0 | 7,654 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | -459 | 0 | -459 |
Stock based compensation expense | 0 | 0 | 20 | 0 | 0 | 0 | 20 |
Stock dividend | 0 | 201 | 2,496 | -2,697 | 0 | 0 | 0 |
Cash dividends declared, common stock | 0 | 0 | 0 | -1,027 | 0 | 0 | -1,027 |
Balance at Dec. 31, 2014 | $0 | $5,396 | $35,901 | $44,016 | ($1,228) | ($3,517) | $80,568 |
Consolidated_Statements_of_Sto1
Consolidated Statements of Stockholders' Equity (Parentheticals) (Preferred Stock) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Preferred Stock | ||
Redemption of preferred shares | 18,255 | 12,000 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows from operating activities: | |||
Net income | $7,654 | $4,974 | $2,822 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Provision for loan losses | 0 | 2,030 | 8,900 |
Depreciation expense | 1,758 | 1,605 | 1,858 |
Net amortization of investment securities, premiums, and discounts | 1,058 | 1,211 | 1,161 |
Amortization of intangible assets | 0 | 135 | 408 |
Stock based compensation expense | 20 | 19 | 29 |
Change in fair value of mortgage servicing rights | 576 | 25 | 1,331 |
Gain on sale of investment securities | -20 | -778 | -26 |
Gain on sales and dispositions of premises and equipment | -60 | -6 | -79 |
Gain (loss) on sales and dispositions of other real estate owned and repossessed assets | -188 | 330 | -317 |
Provision for other real estate owned | 585 | 3,367 | 713 |
Decrease in accrued interest receivable | 183 | 191 | 151 |
Increase in cash surrender value - life insurance | -71 | -77 | -72 |
(Increase) decrease in other assets | -479 | 4,311 | 949 |
Decrease (increase) in income tax receivable | -826 | 524 | -644 |
Decrease in accrued interest payable | -53 | -483 | -145 |
Increase in other liabilities | 966 | 1,113 | 253 |
Origination of mortgage loans for sale | -35,434 | -72,100 | -99,420 |
Proceeds from the sale of mortgage loans | 36,623 | 75,961 | 99,797 |
Gain on sale of mortgage loans, net | -1,093 | -1,665 | -2,669 |
Other, net | 2,355 | -444 | -125 |
Net cash provided by operating activities | 13,554 | 20,243 | 14,875 |
Cash flows from investing activities: | |||
Net increase in loans | -28,357 | -2,525 | -26,499 |
Purchase of available-for-sale debt securities | -48,942 | -88,137 | -76,498 |
Proceeds from maturities of available-for-sale debt securities | 23,702 | 33,341 | 42,735 |
Proceeds from calls of available-for-sale debt securities | 28,605 | 8,275 | 45,170 |
Proceeds from sales of available-for-sale debt securities | 5,334 | 32,590 | 790 |
Proceeds from sales of FHLB stock | 439 | 536 | 460 |
Purchases of FHLB stock | -1,160 | -612 | 0 |
Purchases of premises and equipment | -1,342 | -2,680 | -1,375 |
Proceeds from sales of premises and equipment | 65 | 23 | 272 |
Proceeds from sales of other real estate owned and repossessed assets | 4,560 | 9,641 | 8,571 |
Net cash used by investing activities | -17,096 | -9,548 | -6,374 |
Cash flows from financing activities: | |||
Net increase (decrease) in demand deposits | 20,318 | -4,889 | 33,084 |
Net increase in interest-bearing transaction accounts | 22,974 | 13,383 | 21,103 |
Net decrease in time deposits | -30,249 | -43,298 | -21,136 |
Net (decrease) increase in federal funds purchased and securities sold under agreements to repurchase | -13,114 | 10,026 | -3,458 |
Repayment of FHLB advances | -10,000 | -15,126 | -8,284 |
FHLB advances | 29,000 | 19,000 | 0 |
Redemption of 18,255 and 12,000 shares, respectively, of preferred stock | 0 | -18,255 | -12,000 |
Warrant redemption | 0 | -540 | 0 |
Cash dividends paid - preferred stock | 0 | -456 | -1,203 |
Cash dividends paid - common stock | -1,017 | -978 | -940 |
Net cash provided (used) by financing activities | 17,912 | -41,133 | 7,166 |
Net increase (decrease) in cash and cash equivalents | 14,370 | -30,438 | 15,667 |
Cash and cash equivalents, beginning of year | 28,439 | 58,877 | 43,210 |
Cash and cash equivalents, end of year | 42,809 | 28,439 | 58,877 |
Cash paid during the year for: | |||
Interest | 5,097 | 6,825 | 8,420 |
Income taxes | 2,265 | 131 | 1,591 |
Supplemental schedule of noncash investing and financing activities: | |||
Other real estate and repossessions acquired in settlement of loans | $1,975 | $4,613 | $16,869 |
Consolidated_Statements_of_Cas1
Consolidated Statements of Cash Flows (Parentheticals) (Preferred Stock) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Preferred Stock | ||
Redemption of preferred shares | 18,255 | 12,000 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||
Dec. 31, 2014 | |||
Accounting Policies [Abstract] | |||
Summary of Significant Accounting Policies | -1 | Summary of Significant Accounting Policies | |
Hawthorn Bancshares, Inc. (the Company) through its subsidiary, Hawthorn Bank (the Bank), provides a broad range of banking services to individual and corporate customers located within the communities in and surrounding Jefferson City, Columbia, Clinton, Warsaw, Springfield, Branson, and Lee’s Summit, Missouri. The Company is subject to competition from other financial and nonfinancial institutions providing financial products. Additionally, the Company and its subsidiaries are subject to the regulations of certain regulatory agencies and undergo periodic examinations by those regulatory agencies. | |||
The accompanying consolidated financial statements of the Company have been prepared in conformity with U.S. generally accepted accounting principles (U.S. GAAP). The preparation of the consolidated financial statements includes all adjustments that, in the opinion of management, are necessary in order to make those statements not misleading. Management is required to make estimates and assumptions, including the determination of the allowance for loan losses, real estate acquired in connection with foreclosure or in satisfaction of loans, and fair values of investment securities available-for-sale that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company’s management has evaluated and did not identify any subsequent events or transactions requiring recognition or disclosure in the consolidated financial statements. | |||
During the third quarter of, 2014, the Company’s management discovered employee fraud resulting in the loss of an aggregate $421,000 of cash over an extended period of time. As a result of the discovery, the Company recorded a $136,000 loss in its consolidated financial statements as of December 31, 2014, representing the $421,000 gross loss, net of expected insurance proceeds of $285,000. The Company determined that any adjustments relating to prior-period financial statements were immaterial | |||
Stock Dividend On July 1, 2014, the Company paid a special stock dividend of four percent to common shareholders of record at the close of business on June 15, 2014. For all periods presented, share information, including basic and diluted earnings per share, has been adjusted retroactively to reflect this change. | |||
Preferred Stock On December 19, 2008, the Company announced its participation in the U.S. Treasury Department’s Capital Purchase Program (CPP), a voluntary program that provides capital to financially healthy banks. Participation in this program included the Company’s issuance of 30,255 shares of senior preferred stock (with a par value of  $1,000 per share) and a ten year warrant to purchase approximately 287,133 shares of common stock. On May 9, 2012, the Company redeemed 12,000 of the 30,255 shares of preferred stock issued under the U.S. Treasury’s CPP program for a total purchase price of  $12.1 million, and on May 15, 2013, the remaining 18,255 shares were redeemed for a total purchase price of  $18.5 million. | |||
On June 11, 2013, the common stock warrant issued under the U.S. Treasury Department’s CPP program was repurchased by the Company for a total purchase price of  $540,000, or $1.88 per warrant share. The purchase price was based on the fair market value of the warrant as agreed upon by the Company and the Treasury. The repurchase of the warrant ended the Company’s participation in the U.S. Treasury Department’s CPP. | |||
The significant accounting policies used by the Company in the preparation of the consolidated financial statements are summarized below: | |||
Principles of Consolidation | |||
In December of 2008 and March of 2010, the Company formed Hawthorn Real Estate, LLC, and Real Estate Holdings of Missouri, LLC, respectively (the Real Estate Companies); both are wholly owned subsidiaries of the Company. The consolidated financial statements include the accounts of the Company, Hawthorn Bank (the Bank), and the Real Estate Companies. All significant intercompany accounts and transactions have been eliminated in consolidation. | |||
Loans | |||
Loans that the Company has the intent and ability to hold for the foreseeable future or maturity are held for investment at their stated unpaid principal balance amount less unearned income and the allowance for loan losses. Income on loans is accrued on a simple-interest basis. Loan origination fees and certain direct costs are deferred and recognized over the life of the loan as an adjustment to yield. | |||
Loans Held for Sale | |||
The Bank originates certain loans, which are sold in the secondary market. These long-term, fixed rate loans are typically classified as held for sale upon origination based on management’s intent to sell and are accounted for at the lower of adjusted cost or fair value. Adjusted cost reflects the funded loan amount and any loan origination costs and fees. In order to manage the risk associated with such activities, the Company upon locking in an interest rate with the borrower enters into an agreement to sell such loans in the secondary market. Loans held for sale are typically sold with servicing rights retained and without recourse except for normal and customary representation and warranty provisions. At December 31, 2014, there were no mortgage loans that were held for sale in comparison to $95,882 loans held for sale at December 31, 2013. | |||
Impaired Loans | |||
A loan is considered impaired when it is probable the Company will be unable to collect all amounts due, both principal and interest, according to the contractual terms of the loan agreement. Included in impaired loans are all non-accrual loans and loans whose terms have been modified in a troubled debt restructuring. Impaired loans are individually evaluated for impairment based on fair values of the underlying collateral, obtained through independent appraisals or internal valuations for a collateral dependent loan or by discounting the total expected future cash flows. | |||
Non-Accrual Loans | |||
Loans are placed on nonaccrual status when management believes that the borrower’s financial condition, after consideration of business conditions and collection efforts, is such that collection of interest is doubtful. Loans that are contractually 90 days past due as to principal and/or interest payments are generally placed on non-accrual, unless they are both well-secured and in the process of collection. Subsequent interest payments received on such loans are applied to principal if doubt exists as to the collectability of such principal; otherwise, such receipts are recorded as interest income on a cash basis. A loan remains on nonaccrual status until the loan is current as to payment of both principal and interest and/or the borrower demonstrates the ability to pay and remain current. | |||
Restructured Loans | |||
A modified or restructured loan is accounted for as a troubled debt restructuring (TDR) for any loans in which concessions are made to the borrower for economic or legal reasons that the Company would not otherwise consider and the borrower is experiencing financial difficulty. A loan classified as a TDR will generally retain such classification until the loan is paid in full. Non-accrual TDRs are returned to accruing status once the borrower demonstrates the ability to pay under the terms of the restructured note through a sustained period of repayment performance, which is generally six months. The Company includes all accruing and non-accruing TDRs in the impaired and non-performing asset totals. TDRs are measured for impairment loss by using fair values of the underlying collateral obtained through independent appraisals and internal evaluations, or by discounting the total expected future cash flows. | |||
Allowance for Loan Losses | |||
Management has identified the accounting policy related to the allowance for loan losses as critical to the understanding of the Company’s results of operations, since the application of this policy requires significant management assumptions and estimates that could result in materially different amounts to be reported if conditions or underlying circumstances were to change. Many of the loans are deemed collateral dependent for purposes of the measurement of the impairment loss, thus the fair value of the underlying collateral and sensitivity of such fair values due to changing market conditions, supply and demand, condition of the collateral and other factors can be volatile over periods of time. Such volatility can have an impact on the financial performance of the Company. | |||
  | |||
Loans, or portions of loans, are charged off to the extent deemed uncollectible or a loss is confirmed. When loans become 90 days past due, they are generally placed on nonaccrual status or charged off unless extenuating circumstances justify leaving the loan on accrual basis. When loans reach 120 days past due and there is little likelihood of repayment, they are charged off. Loan charge-offs reduce the allowance for loan losses, and recoveries of loans previously charged off are added back to the allowance. If management determines that it is probable that all amounts due on a loan will not be collected under the original terms of the loan agreement, the loan is considered to be impaired. These loans are evaluated individually for impairment, and in conjunction with current economic conditions and loss experience, specific reserves are estimated. Loans not individually evaluated are aggregated by risk characteristics and reserves are recorded using a consistent methodology that considers historical loan loss experience by loan type, delinquencies, current economic conditions, loan risk ratings, and industry concentration adjusted for certain qualitative factors to reflect current risk characteristics of the portfolio. In addition, the combined historical loan loss rates and qualitative factors are multiplied by loss emergence periods which represent the estimated time period between a borrower first experiencing financial difficulty and the recognition of a potential loss. Although the allowance for loan losses are comprised of specific and general allocations, the entire allowance is available to absorb credit losses. | |||
The specific reserve component applies to loans evaluated individually for impairment. The net carrying value of impaired loans is generally based on the fair values of collateral obtained through independent appraisals and/or internal evaluations, or by discounting the total expected future cash flows. Once the impairment amount is calculated, a specific reserve allocation is recorded. The incurred loss component of the general reserve, or loans collectively evaluated for impairment, is determined by applying loss rates to pools of loans by asset type. Loans not individually evaluated are aggregated by risk characteristics and reserves are recorded using a consistent methodology that considers historical loan loss experience by loan type, delinquencies, current economic conditions, loan risk ratings, and industry concentration adjusted for certain qualitative factors to reflect current risk characteristics of the portfolio. In addition, the combined historical loan loss rates and qualitative factors are multiplied by loss emergence periods (LEP) which represent the estimated time period between a borrower first experiencing financial difficulty and the recognition of a loss. Management determined that the previous twelve quarters were reflective of the loss characteristics of the Company’s loan portfolio during the recent economic environment. These historical loss rates for each risk group are used as the starting point to determine loss rates for measurement purposes. The Company’s methodology includes qualitative factors that allow management to adjust its estimates of losses based on the most recent information available. These factors reflect actual changes and anticipated changes such as changes in specific allowances on loans and real estate acquired through foreclosure, any gains and losses on final disposition of real estate acquired through foreclosure, changes in national and local economic conditions and developments, including general economic and business conditions affecting the Company’s key lending areas, credit quality trends, specific industry conditions within portfolio segments, bank regulatory examination results, and findings of the internal loan review department. These risk factors are generally reviewed and updated quarterly, as appropriate. | |||
Investment in Debt and Equity Securities | |||
At the time of purchase, debt securities are classified into one of two categories: available-for-sale or held-to-maturity. Held-to-maturity securities are those securities which the Company has the positive intent and ability to hold until maturity. All debt securities not classified as held-to-maturity are classified as available-for-sale. The Company’s securities are classified as available-for-sale and are carried at fair value. Changes in fair value, excluding certain losses associated with other-than-temporary impairment, are reported in other comprehensive income, net of taxes, a component of stockholders’ equity. Securities are periodically evaluated for other-than-temporary impairment in accordance with guidance provided in the FASB ASC Topic 320, Investments – Debt and Equity Securities. For those securities with other-than-temporary impairment, the entire loss in fair value is required to be recognized in current earnings if the Company intends to sell the securities or believes it more likely than not that it will be required to sell the security before the anticipated recovery. If neither condition is met, but the Company does not expect to recover the amortized cost basis, the Company determines whether a credit loss has occurred, which is then recognized in current earnings. The amount of the total other-than-temporary impairment related to all other factors is recognized in other comprehensive income. | |||
Premiums and discounts are amortized using the interest method over the lives of the respective securities, with consideration of historical and estimated prepayment rates for mortgage-backed securities, as an adjustment to yield. Dividend and interest income are recognized when earned. Realized gains and losses for securities classified as available-for-sale are included in earnings based on the specific identification method for determining the cost of securities sold. | |||
Capital Stock of the Federal Home Loan Bank | |||
The Bank, as a member of the Federal Home Loan Bank System administered by the Federal Housing Finance Agency, is required to maintain an investment in the capital stock of the Federal Home Loan Bank of Des Moines (FHLB) in an amount equal to 12 basis points of the Bank’s year-end total assets plus 4.00% of advances from the FHLB to the Bank. These investments are recorded at cost, which represents redemption value. | |||
Premises and Equipment | |||
Premises and equipment are stated at cost, less accumulated depreciation. Depreciation applicable to buildings and improve-ments and furniture and equipment is charged to expense using straight-line and accelerated methods over the estimated useful lives of the assets. Such lives are estimated to be 5 to 40 years for buildings and improvements and 3 to 15 years for furniture and equipment. Maintenance and repairs are charged to expense as incurred. | |||
Core Deposit Intangibles | |||
Intangible assets that have finite useful lives, such as core deposit intangibles, are amortized over their estimated useful lives. Core deposit intangibles are amortized over periods of 7 to 8 years representing their estimated lives using straight line and accelerated methods. | |||
When facts and circumstances indicate potential impairment of amortizable intangible assets, the Company evaluates the recoverability of the carrying value based upon future cash flows expected to result from the use of the underlying asset and its eventual disposition. If the sum of the expected future cash flows (undiscounted and without interest charges) is less than the carrying value of the underlying asset, the Company recognizes an impairment loss. The impairment loss recognized represents the amount by which the carrying value of the underlying asset exceeds the fair value of the underlying asset. | |||
Mortgage Servicing Rights | |||
The Company originates and sells residential mortgage loans in the secondary market and may retain the right to service the loans sold. Servicing involves the collection of payments from individual borrowers and the distribution of those payments to the investors or master servicer. Upon a sale of mortgage loans for which servicing rights are retained, the retained mortgage servicing rights asset is capitalized at the fair value of future net cash flows expected to be realized for performing servicing activities. | |||
Mortgage servicing rights do not trade in an active market with readily observable prices. The Company determines the fair value of mortgage servicing rights by estimating the fair value of the future cash flows associated with the mortgage loans being serviced. Key economic assumptions used in measuring the fair value of mortgage servicing rights include, but are not limited to, prepayment speeds, discount rates, delinquencies, ancillary income, and cost to service. These assumptions are validated on a periodic basis. The fair value is validated on a quarterly basis with an independent third party valuation specialist firm. | |||
On January 1, 2012, the Company opted to measure mortgage servicing rights at fair value as permitted by Accounting Standards Codification (ASC) Topic 860-50, Accounting for Servicing Financial Assets. The election of this option resulted in the recognition of a cumulative effect of change in accounting principle of $459,890, which was recorded as an increase to beginning retained earnings. As such, effective January 1, 2012, changes in the fair value of mortgage servicing rights have been recognized in real estate servicing fees, net in non-interest income in the Company’s Consolidated Statements of Income in the period in which the change occurred. | |||
In addition to the changes in fair value of the mortgage servicing rights, the Company also recorded loan servicing fee income as part of real estate servicing fees, net in the statement of income. Loan servicing fee income represents revenue earned for servicing mortgage loans. The servicing fees are based on contractual percentage of the outstanding principal balance and recognized as revenue as the related mortgage payments are collected. Corresponding loan servicing costs are changed to expense as incurred. | |||
Other Real Estate Owned and Repossessed Assets | |||
Other real estate owned and repossessed assets consist of loan collateral that has been repossessed through foreclosure. This collateral is comprised of commercial and residential real estate and other non-real estate property, including autos, manufactured homes, and construction equipment. Other real estate owned assets are initially recorded as held for sale at the fair value of the collateral less estimated selling costs. Any adjustment is recorded as a charge-off against the allowance for loan losses. The Company relies on external appraisals and assessment of property values by internal staff. In the case of non-real estate collateral, reliance is placed on a variety of sources, including external estimates of value and judgment based on experience and expertise of internal specialists. Subsequent to foreclosure, valuations are updated periodically, and the assets may be written down to reflect a new cost basis. The write-downs are recorded as other real estate expense. The Company establishes a valuation allowance related to other real estate owned on an asset-by-asset basis. The valuation allowance is created during the holding period when the fair value less cost to sell is lower than the cost of the property. | |||
Pension Plan | |||
The Company provides a noncontributory defined benefit pension plan for all full-time employees. The benefits are based on age, years of service and the level of compensation during the employees highest ten years of compensation before retirement. Net periodic costs are recognized as employees render the services necessary to earn the retirement benefits. The Company records annual amounts relating to its pension plan based on calculations that incorporate various actuarial and other assumptions including discount rates, mortality, assumed rates of return, compensation increases, and turnover rates. The Company reviews its assumptions on an annual basis and may make modifications to the assumptions based on current rates and trends when it is appropriate to do so. The Company believes that the assumptions utilized in recording its obligations under its plan are reasonable based on its experience and market conditions. | |||
The Company follows authoritative guidance included in the FASB ASC Topic 715, Compensation – Retirement Plans under the subtopic Employers’ Accounting for Defined Benefit Pension and Other Postretirement Plans. ASC Topic 715 requires an employer to recognize the overfunded or underfunded status of a defined benefit postretirement plan (other than a multiemployer plan) as an asset or liability in its consolidated balance sheet and to recognize changes in the funded status in the year in which the changes occur through comprehensive income. This guidance also requires an employer to measure the funded status of a plan as of the date of its fiscal year-end, with limited exceptions. Additional disclosures are required to provide users with an understanding of how investment allocation decisions are made, major categories of plan assets, and fair value measurement of plan assets as defined in ASC Topic 820, Fair Value Measurements and Disclosures. | |||
Income Taxes | |||
Income taxes are accounted for under the asset / liability method by recognizing the amount of taxes payable or refundable for the current period and deferred tax assets and liabilities for future tax consequences of events that have been recognized in the Company’s financial statements or tax returns. Judgment is required in addressing the Company’s future tax consequences of events that have been recognized in the consolidated financial statements or tax returns such as realization of the effects of temporary differences, net operating loss carry forwards and changes in tax laws or interpretations thereof. A valuation allowance is established when in the judgment of management, it is more likely than not that such deferred tax assets will not become realizable. In this case, the Company would adjust the recorded value of our deferred tax asset, which would result in a direct charge to income tax expense in the period that the determination was made. Likewise, the Company would reverse the valuation allowance when it is expected to realize the deferred tax asset. The Company has not recognized any tax liabilities or any interest or penalties in income tax expense related to uncertain tax positions as of December 31, 2014, 2013, and 2012. | |||
Trust Department | |||
Property held by the Bank in a fiduciary or agency capacity for customers is not included in the accompanying consolidated balance sheets, since such items are not assets of the Company. Trust department income is recognized on the accrual basis. | |||
Consolidated Statements of Cash Flows | |||
For the purpose of the consolidated statements of cash flows, cash and cash equivalents consist of short-term federal funds sold and securities sold or purchased under agreements to resell, interest earning deposits with banks, cash, and due from banks. | |||
Stock-Based Compensation | |||
The Company’s stock-based employee compensation plan is described in Note 12, Stock Compensation. In accordance with FASB ASC Topic 718, Compensation – Stock Compensation, the Company measures the cost of the stock-based compensation based on the grant-date fair value of the award, recognizing the cost over the requisite service period. The fair value of an award is estimated using the Black-Scholes option-pricing model. The expense recognized is based on an estimation of the number of awards for which the requisite service is expected to be rendered, and is included in salaries and employee benefits in the accompanying Consolidated Statements of Income. The standard also requires that excess tax benefits related to stock option exercises be reflected as financing cash inflows instead of operating cash inflows. | |||
Treasury Stock | |||
The purchase of the Company’s common stock is recorded at cost. Purchases of the stock are made both in the open market and through negotiated private purchases based on market prices. At the date of subsequent reissue, the treasury stock account is reduced by the cost associated with such stock on a first-in-first-out basis. | |||
Reclassifications | |||
Certain prior year information has been reclassified to conform to the current year presentation. |
Loans_and_Allowance_for_Loan_L
Loans and Allowance for Loan Losses | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans and Leases Receivable Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans and Allowance for Loan Losses | -2 | Loans and Allowance for Loan Losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
A summary of loans, by major class within the Company’s loan portfolio, at December 31, 2014 and 2013 is as follows: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial, and agricultural | $ | 154,834 | $ | 141,845 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate construction - residential | 18,103 | 21,008 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate construction - commercial | 48,822 | 55,076 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate mortgage - residential | 247,117 | 225,630 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate mortgage - commercial | 372,321 | 375,686 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Installment and other consumer | 20,016 | 20,302 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total loans | $ | 861,213 | $ | 839,547 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
The Bank grants real estate, commercial, installment, and other consumer loans to customers located within the communities surrounding Jefferson City, Columbia, Clinton, Warsaw, Springfield, Branson and Lee’s Summit, Missouri. As such, the Bank is susceptible to changes in the economic environment in these communities. The Bank does not have a concentration of credit in any one economic sector. Installment and other consumer loans consist primarily of the financing of vehicles. At December 31, 2014, loans with a carrying value of $411.8 million, or $405.5 million fair value, were pledged to the Federal Home Loan Bank as collateral for borrowings and letters of credit. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The following is a summary of loans to directors and executive officers or to entities in which such individuals had a beneficial interest of the Company, are summarized as follows: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 4,837 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
New loans | 478 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amounts collected | (375 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at December 31, 2014 | $ | 4,940 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Such loans were made in the normal course of business on substantially the same terms, including interest rates and collateral requirements, as those prevailing at the same time for comparable transactions with other persons, and did not involve more than the normal risk of collectability or present unfavorable features. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The following is a summary of the allowance for loan losses for the years ended December 31, 2014, 2013, and 2012: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | ​ | ​ | Commercial, | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Installment | ​ | ​ | Un- | ​ | ​ | Total | ​ | |||||||||||||||||||||||||||||||||
Financial, & | Construction - | Construction - | Mortgage - | Mortgage - | Loans to | allocated | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Agricultural | Residential | Commercial | Residential | Commercial | Individuals | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at December 31, 2011 | ​ | ​ | ​ | $ |     1,804 | ​ | ​ | ​ | ​ | $ |        1,188 | ​ | ​ | ​ | ​ | $ |        1,562 | ​ | ​ | ​ | ​ | $ |     3,251 | ​ | ​ | ​ | ​ | $ |     5,734 | ​ | ​ | ​ | ​ | $ |       267 | ​ | ​ | ​ | ​ | $ |        3 | ​ | ​ | ​ | ​ | $ |  13,809 | ​ | ​ | |||||||||
Additions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Provision for loan losses | ​ | ​ | ​ | ​ | 1,732 | ​ | ​ | ​ | ​ | ​ | -523 | ​ | ​ | ​ | ​ | ​ | 126 | ​ | ​ | ​ | ​ | ​ | 955 | ​ | ​ | ​ | ​ | ​ | 6,318 | ​ | ​ | ​ | ​ | ​ | 293 | ​ | ​ | ​ | ​ | ​ | -1 | ​ | ​ | ​ | ​ | ​ | 8,900 | ​ | ​ | |||||||||
Deductions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Loans charged off | ​ | ​ | ​ | ​ | 1,760 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 977 | ​ | ​ | ​ | ​ | ​ | 5,466 | ​ | ​ | ​ | ​ | ​ | 586 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 8,789 | ​ | ​ | |||||||||
Less recoveries on loans | ​ | ​ | ​ | ​ | -161 | ​ | ​ | ​ | ​ | ​ | -67 | ​ | ​ | ​ | ​ | ​ | -23 | ​ | ​ | ​ | ​ | ​ | -158 | ​ | ​ | ​ | ​ | ​ | -248 | ​ | ​ | ​ | ​ | ​ | -265 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -922 | ​ | ​ | |||||||||
Net loans charged off | ​ | ​ | ​ | ​ | 1,599 | ​ | ​ | ​ | ​ | ​ | -67 | ​ | ​ | ​ | ​ | ​ | -23 | ​ | ​ | ​ | ​ | ​ | 819 | ​ | ​ | ​ | ​ | ​ | 5,218 | ​ | ​ | ​ | ​ | ​ | 321 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 7,867 | ​ | ​ | |||||||||
Balance at December 31, 2012 | ​ | ​ | ​ | $ | 1,937 | ​ | ​ | ​ | ​ | $ | 732 | ​ | ​ | ​ | ​ | $ | 1,711 | ​ | ​ | ​ | ​ | $ | 3,387 | ​ | ​ | ​ | ​ | $ | 6,834 | ​ | ​ | ​ | ​ | $ | 239 | ​ | ​ | ​ | ​ | $ | 2 | ​ | ​ | ​ | ​ | $ | 14,842 | ​ | ​ | |||||||||
Additions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Provision for loan losses | ​ | ​ | ​ | ​ | 992 | ​ | ​ | ​ | ​ | ​ | 318 | ​ | ​ | ​ | ​ | ​ | -452 | ​ | ​ | ​ | ​ | ​ | 273 | ​ | ​ | ​ | ​ | ​ | 622 | ​ | ​ | ​ | ​ | ​ | 272 | ​ | ​ | ​ | ​ | ​ | 5 | ​ | ​ | ​ | ​ | ​ | 2,030 | ​ | ​ | |||||||||
Deductions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Loans charged off | ​ | ​ | ​ | ​ | 895 | ​ | ​ | ​ | ​ | ​ | 119 | ​ | ​ | ​ | ​ | ​ | 633 | ​ | ​ | ​ | ​ | ​ | 812 | ​ | ​ | ​ | ​ | ​ | 1,301 | ​ | ​ | ​ | ​ | ​ | 420 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 4,180 | ​ | ​ | |||||||||
Less recoveries on loans | ​ | ​ | ​ | ​ | -340 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -5 | ​ | ​ | ​ | ​ | ​ | -111 | ​ | ​ | ​ | ​ | ​ | -368 | ​ | ​ | ​ | ​ | ​ | -203 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -1,027 | ​ | ​ | |||||||||
Net loans charged off | ​ | ​ | ​ | ​ | 555 | ​ | ​ | ​ | ​ | ​ | 119 | ​ | ​ | ​ | ​ | ​ | 628 | ​ | ​ | ​ | ​ | ​ | 701 | ​ | ​ | ​ | ​ | ​ | 933 | ​ | ​ | ​ | ​ | ​ | 217 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 3,153 | ​ | ​ | |||||||||
Balance at December 31, 2013 | ​ | ​ | ​ | $ | 2,374 | ​ | ​ | ​ | ​ | $ | 931 | ​ | ​ | ​ | ​ | $ | 631 | ​ | ​ | ​ | ​ | $ | 2,959 | ​ | ​ | ​ | ​ | $ | 6,523 | ​ | ​ | ​ | ​ | $ | 294 | ​ | ​ | ​ | ​ | $ | 7 | ​ | ​ | ​ | ​ | $ | 13,719 | ​ | ​ | |||||||||
Additions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Provision for loan losses | ​ | ​ | ​ | ​ | 371 | ​ | ​ | ​ | ​ | ​ | -592 | ​ | ​ | ​ | ​ | ​ | 326 | ​ | ​ | ​ | ​ | ​ | -226 | ​ | ​ | ​ | ​ | ​ | -107 | ​ | ​ | ​ | ​ | ​ | 195 | ​ | ​ | ​ | ​ | ​ | 33 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | |||||||||
Deductions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Loans charged off | ​ | ​ | ​ | ​ | 1,285 | ​ | ​ | ​ | ​ | ​ | 349 | ​ | ​ | ​ | ​ | ​ | 491 | ​ | ​ | ​ | ​ | ​ | 408 | ​ | ​ | ​ | ​ | ​ | 2,890 | ​ | ​ | ​ | ​ | ​ | 405 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 5,828 | ​ | ​ | |||||||||
Less recoveries on loans | ​ | ​ | ​ | ​ | -319 | ​ | ​ | ​ | ​ | ​ | -181 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -202 | ​ | ​ | ​ | ​ | ​ | -320 | ​ | ​ | ​ | ​ | ​ | -186 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -1,208 | ​ | ​ | |||||||||
Net loans charged off | ​ | ​ | ​ | ​ | 966 | ​ | ​ | ​ | ​ | ​ | 168 | ​ | ​ | ​ | ​ | ​ | 491 | ​ | ​ | ​ | ​ | ​ | 206 | ​ | ​ | ​ | ​ | ​ | 2,570 | ​ | ​ | ​ | ​ | ​ | 219 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 4,620 | ​ | ​ | |||||||||
Balance at December 31, 2014 | ​ | ​ | ​ | $ | 1,779 | ​ | ​ | ​ | ​ | $ | 171 | ​ | ​ | ​ | ​ | $ | 466 | ​ | ​ | ​ | ​ | $ | 2,527 | ​ | ​ | ​ | ​ | $ | 3,846 | ​ | ​ | ​ | ​ | $ | 270 | ​ | ​ | ​ | ​ | $ | 40 | ​ | ​ | ​ | ​ | $ | 9,099 | ​ | ​ | |||||||||
​ | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans, or portions of loans, are charged off to the extent deemed uncollectible or a loss is confirmed. Loan charge-offs reduce the allowance for loan losses, and recoveries of loans previously charged off are added back to the allowance. If management determines that it is probable that all amounts due on a loan will not be collected under the original terms of the loan agreement, the loan is considered to be impaired. These loans are evaluated individually for impairment, and in conjunction with current economic conditions and loss experience, specific reserves are estimated as further discussed below. Loans not individually evaluated are aggregated by risk characteristics and reserves are recorded using a consistent methodology that considers historical loan loss experience by loan type, delinquencies, current economic conditions, loan risk ratings and industry concentration. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The following table provides the balance in the allowance for loan losses at December 31, 2014 and 2013, and the related loan balance by impairment methodology. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | ​ | ​ | Commercial, | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Installment | ​ | ​ | Un- | ​ | ​ | Total | ​ | |||||||||||||||||||||||||||||||||
Financial, and | Construction - | Construction - | Mortgage - | Mortgage - | Loans to | allocated | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Agricultural | Residential | Commercial | Residential | Commercial | Individuals | |||||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Allowance for loan losses: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Individually evaluated for impairment | ​ | ​ | ​ | $ | 134 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 1,343 | ​ | ​ | ​ | ​ | $ | 246 | ​ | ​ | ​ | ​ | $ | 26 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 1,749 | ​ | ​ | |||||||||
Collectively evaluated for impairment | ​ | ​ | ​ | ​ | 1,645 | ​ | ​ | ​ | ​ | ​ | 171 | ​ | ​ | ​ | ​ | ​ | 466 | ​ | ​ | ​ | ​ | ​ | 1,184 | ​ | ​ | ​ | ​ | ​ | 3,600 | ​ | ​ | ​ | ​ | ​ | 244 | ​ | ​ | ​ | ​ | ​ | 40 | ​ | ​ | ​ | ​ | ​ | 7,350 | ​ | ​ | |||||||||
Total | ​ | ​ | ​ | $ | 1,779 | ​ | ​ | ​ | ​ | $ | 171 | ​ | ​ | ​ | ​ | $ | 466 | ​ | ​ | ​ | ​ | $ | 2,527 | ​ | ​ | ​ | ​ | $ | 3,846 | ​ | ​ | ​ | ​ | $ | 270 | ​ | ​ | ​ | ​ | $ | 40 | ​ | ​ | ​ | ​ | $ | 9,099 | ​ | ​ | |||||||||
Loans outstanding: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Individually evaluated for impairment | ​ | ​ | ​ | $ | 7,541 | ​ | ​ | ​ | ​ | $ | 1,750 | ​ | ​ | ​ | ​ | $ | 2,096 | ​ | ​ | ​ | ​ | $ | 7,878 | ​ | ​ | ​ | ​ | $ | 16,464 | ​ | ​ | ​ | ​ | $ | 234 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 35,963 | ​ | ​ | |||||||||
Collectively evaluated for impairment | ​ | ​ | ​ | ​ | 147,293 | ​ | ​ | ​ | ​ | ​ | 16,353 | ​ | ​ | ​ | ​ | ​ | 46,726 | ​ | ​ | ​ | ​ | ​ | 239,239 | ​ | ​ | ​ | ​ | ​ | 355,857 | ​ | ​ | ​ | ​ | ​ | 19,782 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 825,250 | ​ | ​ | |||||||||
Total | ​ | ​ | ​ | $ |    154,834 | ​ | ​ | ​ | ​ | $ |     18,103 | ​ | ​ | ​ | ​ | $ |     48,822 | ​ | ​ | ​ | ​ | $ |  247,117 | ​ | ​ | ​ | ​ | $ |  372,321 | ​ | ​ | ​ | ​ | $ |  20,016 | ​ | ​ | ​ | ​ | $ |        0 | ​ | ​ | ​ | ​ | $ |  861,213 | ​ | ​ | |||||||||
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
December 31, 2013 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Allowance for loan losses: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Individually evaluated for impairment | ​ | ​ | ​ | $ | 721 | ​ | ​ | ​ | ​ | $ | 392 | ​ | ​ | ​ | ​ | $ | 304 | ​ | ​ | ​ | ​ | $ | 1,374 | ​ | ​ | ​ | ​ | $ | 1,989 | ​ | ​ | ​ | ​ | $ | 16 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 4,796 | ​ | ​ | |||||||||
Collectively evaluated for impairment | ​ | ​ | ​ | ​ | 1,653 | ​ | ​ | ​ | ​ | ​ | 539 | ​ | ​ | ​ | ​ | ​ | 327 | ​ | ​ | ​ | ​ | ​ | 1,585 | ​ | ​ | ​ | ​ | ​ | 4,534 | ​ | ​ | ​ | ​ | ​ | 278 | ​ | ​ | ​ | ​ | ​ | 7 | ​ | ​ | ​ | ​ | ​ | 8,923 | ​ | ​ | |||||||||
Total | ​ | ​ | ​ | $ | 2,374 | ​ | ​ | ​ | ​ | $ | 931 | ​ | ​ | ​ | ​ | $ | 631 | ​ | ​ | ​ | ​ | $ | 2,959 | ​ | ​ | ​ | ​ | $ | 6,523 | ​ | ​ | ​ | ​ | $ | 294 | ​ | ​ | ​ | ​ | $ | 7 | ​ | ​ | ​ | ​ | $ | 13,719 | ​ | ​ | |||||||||
Loans outstanding: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||||
Individually evaluated for impairment | ​ | ​ | ​ | $ | 4,015 | ​ | ​ | ​ | ​ | $ | 2,204 | ​ | ​ | ​ | ​ | $ | 6,615 | ​ | ​ | ​ | ​ | $ | 6,517 | ​ | ​ | ​ | ​ | $ | 15,422 | ​ | ​ | ​ | ​ | $ | 43 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 34,816 | ​ | ​ | |||||||||
Collectively evaluated for impairment | ​ | ​ | ​ | ​ | 137,830 | ​ | ​ | ​ | ​ | ​ | 18,804 | ​ | ​ | ​ | ​ | ​ | 48,461 | ​ | ​ | ​ | ​ | ​ | 219,113 | ​ | ​ | ​ | ​ | ​ | 360,264 | ​ | ​ | ​ | ​ | ​ | 20,259 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 804,731 | ​ | ​ | |||||||||
Total | ​ | ​ | ​ | $ | 141,845 | ​ | ​ | ​ | ​ | $ | 21,008 | ​ | ​ | ​ | ​ | $ | 55,076 | ​ | ​ | ​ | ​ | $ | 225,630 | ​ | ​ | ​ | ​ | $ | 375,686 | ​ | ​ | ​ | ​ | $ | 20,302 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 839,547 | ​ | ​ | |||||||||
​ | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Impaired loans | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans evaluated under ASC 310-10-35 include loans which are individually evaluated for impairment. All other loans are collectively evaluated for impairment under ASC 450-20. Impaired loans totaled $36.0 million and $35.1 million at December 31, 2014 and 2013, respectively, and are comprised of loans on non-accrual status and loans, which have been classified as troubled debt restructurings. Total impaired loans of $36.0 million at December 31, 2014 were individually evaluated for impairment compared to $35.1 million at December 31, 2013. The $35.1 million of total impaired loans individually evaluated for impairment as December 31, 2013, includes $34.8 million of impaired loans individually evaluated for impairment and $259,000 of non-accrual consumer loans that were collectively evaluated for impairment. Beginning in 2014, consumer non-accrual loans were included in the individually evaluated impairment calculations. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The net carrying value of impaired loans is generally based on the fair values of collateral obtained through independent appraisals or internal evaluations, or by discounting the total expected future cash flows. At December 31, 2014 and 2013, $15.6 million and $21.8 million, respectively, of impaired loans were evaluated based on the fair value less estimated selling costs of the loan’s collateral. Once the impairment amount is calculated, a specific reserve allocation is recorded. At December 31, 2014, $1.7 million of the Company’s allowance for loan losses was allocated to impaired loans totaling $36.0 million compared to $4.8 million of the Company's allowance for loan losses allocated to impaired loans totaling approximately $35.1 million at December 31, 2013. Management determined that $28.5 million, or 79%, of total impaired loans required no reserve allocation at December 31, 2014 compared to $18.8 million, or 54%, at December 31, 2013 primarily due to adequate collateral values, acceptable payment history and adequate cash flow ability. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The categories of impaired loans at December 31, 2014 and 2013 are as follows: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-accrual loans | $ | 18,243 | $ | 23,680 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Troubled debt restructurings continuing to accrue interest | 17,720 | 11,395 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total impaired loans | $ | 35,963 | $ | 35,075 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
The following tables provide additional information about impaired loans at December 31, 2014 and 2013, respectively, segregated between loans for which an allowance has been provided and loans for which no allowance has been provided. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unpaid | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recorded | Principal | Specific | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Investment | Balance | Reserves | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
31-Dec-14 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 6,021 | $ | 6,232 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction residential | 1,750 | 2,259 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction commercial | 2,096 | 2,319 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - residential | 3,213 | 3,270 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - commercial | 15,409 | 18,950 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | 36 | 36 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 28,525 | $ | 33,066 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 1,520 | $ | 1,528 | $ | 134 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction residential | 0 | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction commercial | 0 | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - residential | 4,665 | 3,546 | 1,343 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - commercial | 1,055 | 1,171 | 246 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | 198 | 237 | 26 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 7,438 | $ | 6,482 | $ | 1,749 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total impaired loans | $ | 35,963 | $ | 39,548 | $ | 1,749 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unpaid | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recorded | Principal | Specific | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Investment | Balance | Reserves | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 2,467 | $ | 2,593 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction residential | 44 | 80 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction commercial | 6,101 | 7,148 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - residential | 2,121 | 2,654 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - commercial | 7,817 | 8,056 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | 259 | 282 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 18,809 | $ | 20,813 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 1,548 | $ | 1,607 | $ | 721 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction residential | 2,160 | 2,331 | 392 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction commercial | 514 | 514 | 304 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - residential | 4,396 | 4,570 | 1,374 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - commercial | 7,605 | 7,925 | 1,989 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | 43 | 45 | 16 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 16,266 | $ | 16,992 | $ | 4,796 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total impaired loans | $ | 35,075 | $ | 37,805 | $ | 4,796 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
The following table presents by class, information related to the average recorded investment and interest income recognized on impaired loans for the years ended December 31, 2014 and 2013: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest | Interest | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Average | Recognized | Average | Recognized | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recorded | For the | Recorded | For the | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Investment | Period Ended | Investment | Period Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 3,141 | $ | 94 | $ | 2,693 | $ | 108 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction residential | 610 | 2 | 80 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction commercial | 5,950 | 0 | 7,437 | 6 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - residential | 3,517 | 46 | 2,612 | 51 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - commercial | 13,703 | 400 | 8,461 | 170 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | 11 | 0 | 290 | 3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 26,932 | $ | 542 | $ | 21,573 | $ | 338 | ||||||||||||||||||||||||||||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 1,773 | $ | 19 | $ | 1,677 | $ | 29 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction residential | 1,697 | 0 | 2,409 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - construction commercial | 42 | 0 | 514 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - residential | 5,118 | 129 | 4,596 | 24 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate - commercial | 3,810 | 11 | 8,157 | 113 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | 312 | 0 | 45 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 12,752 | $ | 159 | $ | 17,398 | $ | 166 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total impaired loans | $ | 39,684 | $ | 701 | $ | 38,971 | $ | 504 | ||||||||||||||||||||||||||||||||||||||||||||||||||
The recorded investment varies from the unpaid principal balance primarily due to partial charge-offs taken resulting from current appraisals received. The amount recognized as interest income on impaired loans continuing to accrue interest, primarily related to troubled debt restructurings, was $542,000 and $338,000, for the years ended December 31, 2014 and 2013, respectively. The average recorded investment in impaired loans is calculated on a monthly basis during the years reported. Contractual interest lost on loans in non-accrual status was $1.1 million and $1.2 million, for the years ended December 31, 2014 and 2013, respectively. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Delinquent and Non-Accrual Loans | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The delinquency status of loans is determined based on the contractual terms of the notes. Borrowers are generally classified as delinquent once payments become 30 days or more past due. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The following table provides aging information for the Company’s past due and non-accrual loans at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current or | 90 Days | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Less Than | Past Due | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
30 Days | 30 - 89 Days | And Still | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Past Due | Past Due | Accruing | Non-Accrual | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||
31-Dec-14 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, Financial, and Agricultural | $ | 149,366 | $ | 189 | $ | 0 | $ | 5,279 | $ | 154,834 | ||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Construction - Residential | 16,352 | 0 | 0 | 1,751 | 18,103 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Construction - Commercial | 46,670 | 0 | 56 | 2,096 | 48,822 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Mortgage - Residential | 239,469 | 3,229 | 0 | 4,419 | 247,117 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Mortgage - Commercial | 366,653 | 1,203 | 0 | 4,465 | 372,321 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Installment and Other Consumer | 19,551 | 230 | 2 | 233 | 20,016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 838,061 | $ | 4,851 | $ | 58 | $ | 18,243 | $ | 861,213 | ||||||||||||||||||||||||||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, Financial, and Agricultural | $ | 139,219 | $ | 942 | $ | 0 | $ | 1,684 | $ | 141,845 | ||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Construction - Residential | 18,738 | 66 | 0 | 2,204 | 21,008 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Construction - Commercial | 48,230 | 595 | 0 | 6,251 | 55,076 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Mortgage - Residential | 217,268 | 4,068 | 129 | 4,165 | 225,630 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Mortgage - Commercial | 365,787 | 725 | 100 | 9,074 | 375,686 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Installment and Other Consumer | 19,695 | 291 | 14 | 302 | 20,302 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 808,937 | $ | 6,687 | $ | 243 | $ | 23,680 | $ | 839,547 | ||||||||||||||||||||||||||||||||||||||||||||||||
Credit Quality | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The Company categorizes loans into risk categories based upon an internal rating system reflecting management’s risk assessment. Loans are placed on watch status when one or more weaknesses that may result in the deterioration of the repayment exits or the Company’s credit position at some future date. Loans classified as substandard are inadequately protected by the current sound worth and paying capacity of the obligor or by the collateral pledged, if any. Loans so classified may have a well defined weakness or weaknesses that jeopardize the repayment of the debt. Such loans are characterized by the distinct possibility that the Company may sustain some loss if the deficiencies are not corrected. It is the Company’s policy to discontinue the accrual of interest income on loans when management believes that the collection of interest or principal is doubtful. Loans are placed on non-accrual status when (1) deterioration in the financial condition of the borrower exists for which payment of full principal and interest is not expected, or (2) payment of principal or interest has been in default for a period of 90 days or more and the asset is not both well secured and in the process of collection. Subsequent interest payments received on such loans are applied to principal if any doubt exists as to the collectability of such principal; otherwise, such receipts are recorded as interest income on a cash basis. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The following table presents the risk categories by class at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Commercial, | Real Estate | Real Estate | Real Estate | Real Estate | Installment | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||
Financial, & | Construction - | Construction - | Mortgage - | Mortgage - | and other | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agricultural | Residential | Commercial | Residential | Commercial | Consumer | |||||||||||||||||||||||||||||||||||||||||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Watch | $ | 13,651 | $ | 1,103 | $ | 4,757 | $ | 27,172 | $ | 18,191 | $ | 199 | $ | 65,073 | ||||||||||||||||||||||||||||||||||||||||||||
Substandard | 3,188 | 90 | 1,211 | 6,583 | 16,101 | 139 | 27,312 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Non-accrual | 5,279 | 1,751 | 2,096 | 4,419 | 4,465 | 233 | 18,243 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 22,118 | $ | 2,944 | $ | 8,064 | $ | 38,174 | $ | 38,757 | $ | 571 | $ | 110,628 | ||||||||||||||||||||||||||||||||||||||||||||
At December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Watch | $ | 15,016 | $ | 2,007 | $ | 6,111 | $ | 26,331 | $ | 23,662 | $ | 388 | $ | 73,515 | ||||||||||||||||||||||||||||||||||||||||||||
Substandard | 7,553 | 92 | 1,403 | 8,579 | 14,510 | 281 | 32,418 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Non-accrual | 1,684 | 2,204 | 6,251 | 4,165 | 9,074 | 302 | 23,680 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 24,253 | $ | 4,303 | $ | 13,765 | $ | 39,075 | $ | 47,246 | $ | 971 | $ | 129,613 | ||||||||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructurings | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
At December 31, 2014, loans classified as troubled debt restructurings (TDRs) totaled $19.3 million, of which $1.6 million were on non-accrual status and $17.7 million were on accrual status. At December 31, 2013, loans classified as troubled debt restructurings (TDRs) totaled $21.5 million, of which $10.1 million were on non-accrual status and $11.4 million were on accrual status. When an individual loan is determined to be a TDR, the amount of impairment is based upon the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the underlying collateral less applicable selling costs. Accordingly, specific reserves of $1.0 million and $2.2 million related to TDRs were allocated to the allowance for loan losses at December 31, 2014 and 2013, respectively. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The following table summarizes loans that were modified as TDRs during the years ended December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recorded Investment (1) | Recorded Investment (1) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Number of | Pre- | Post- | Number of | Pre- | Post- | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Contracts | Modification | Modification | Contracts | Modification | Modification | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructurings | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | 3 | $ | 244 | $ | 208 | 0 | $ | 0 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Real estate mortgage - residential | 1 | 1,256 | 1,170 | 3 | 2,156 | 1,992 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate mortgage - commercial | 0 | 0 | 0 | 1 | 1,282 | 1,282 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | 4 | $ | 1,500 | $ | 1,378 | 4 | $ | 3,438 | $ | 3,274 | ||||||||||||||||||||||||||||||||||||||||||||||||
(1)Â The amounts reported post-modification are inclusive of all partial pay-downs and charge-offs, and no portion of the debt was forgiven. Loans modified as a TDR that were fully paid down, charged-off, or foreclosed upon during the period ended are not reported. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The Company’s portfolio of loans classified as TDRs include concessions such as interest rates below the current market rate, deferring principal payments, and extending maturity dates. Once a loan becomes a TDR, it will continue to be reported as a TDR until it is ultimately repaid in full, charged-off, or the collateral for the loan is foreclosed and sold. The Company considers a loan in TDR status in default when the borrower’s payment according to the modified terms is at least 90 days past due or has defaulted due to expiration of the loan’s maturity date. Four loans were modified in each of the years ending December 31, 2014 and 2013 meeting the TDR criteria. There were two loans modified as a TDR that defaulted during the year December 31, 2014, and within twelve months of their modification date compared to no loans during the year ended December 31, 2013. |
Real_Estate_and_Other_Assets_A
Real Estate and Other Assets Acquired in Settlement of Loans | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Other Real Estate [Abstract] | |||||||||||||
Real Estate and Other Assets Acquired in Settlement of Loans | -3 | Real Estate and Other Assets Acquired in Settlement of Loans | |||||||||||
(in thousands) | 2014 | 2013 | |||||||||||
Commercial | $ | 0 | $ | 0 | |||||||||
Real estate construction - residential | 23 | 114 | |||||||||||
Real estate construction - commercial | 9,831 | 10,020 | |||||||||||
Real estate mortgage - residential | 417 | 830 | |||||||||||
Real estate mortgage - commercial | 4,831 | 8,537 | |||||||||||
Repossessed assets | 38 | 41 | |||||||||||
Total | $ | 15,140 | $ | 19,542 | |||||||||
Less valuation allowance for other real estate owned | (3,255 | ) | (4,675 | ) | |||||||||
Total other real estate owned and foreclosed assets | $ | 11,885 | $ | 14,867 | |||||||||
Changes in the net carrying amount of other real estate owned and repossessed assets for the years ended December 31, 2012 2013, and 2014, respectively, were as follows: | |||||||||||||
Balance at December 31, 2012 | $ | 29,729 | |||||||||||
Additions | 4,613 | ||||||||||||
Proceeds from sales | (9,641 | ) | |||||||||||
Charge-offs against the valuation allowance for other real estate owned | (4,829 | ) | |||||||||||
Repossessed assets impairment write-downs | (189 | ) | |||||||||||
Net gain on sales | (141 | ) | |||||||||||
Balance at December 31, 2013 | $ | 19,542 | |||||||||||
Additions | 1,975 | ||||||||||||
Proceeds from sales | (4,560 | ) | |||||||||||
Charge-offs against the valuation allowance for other real estate owned, net | (2,005 | ) | |||||||||||
Net loss on sales | 188 | ||||||||||||
Total other real estate owned and repossessed assets | $ | 15,140 | |||||||||||
Less valuation allowance for other real estate owned | (3,255 | ) | |||||||||||
Balance at December 31, 2014 | $ | 11,885 | |||||||||||
During the years ended December 31, 2014 and 2013, net charge-offs against the allowance for loan losses at the time of foreclosure were approximately $335,000 and $800,000, respectively. | |||||||||||||
Activity in the valuation allowance for other real estate owned in settlement of loans for the years ended December 31, 2014, 2013 and 2012, respectively, is summarized as follows: | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Balance, beginning of year | $ | 4,675 | $ | 6,137 | $ | 6,977 | |||||||
Provision for other real estate owned | 585 | 3,367 | 713 | ||||||||||
Charge-offs | (2,005 | ) | (4,829 | ) | (1,553 | ) | |||||||
Balance, end of year | $ | 3,255 | $ | 4,675 | $ | 6,137 |
Investment_Securities
Investment Securities | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Investments Debt And Equity Securities [Abstract] | |||||||||||||||||||||||||
Investment Securities | -4 | Investment Securities | |||||||||||||||||||||||
The amortized cost and fair value of debt securities classified as available-for-sale at December 31, 2014 and 2013 are as follows: | |||||||||||||||||||||||||
Gross | Gross | ||||||||||||||||||||||||
Amortized | unrealized | unrealized | |||||||||||||||||||||||
(in thousands) | cost | gains | losses | Fair value | |||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||
Government sponsored enterprises | $ | 57,002 | $ | 240 | $ | 143 | $ | 57,099 | |||||||||||||||||
Asset-backed securities | 106,726 | 855 | 1,119 | 106,462 | |||||||||||||||||||||
Obligations of states and political subdivisions | 34,925 | 583 | 71 | 35,437 | |||||||||||||||||||||
Total available for sale securities | $ | 198,653 | $ | 1,678 | $ | 1,333 | $ | 198,998 | |||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
U.S. Treasury | $ | 1,000 | $ | 3 | $ | 0 | $ | 1,003 | |||||||||||||||||
Government sponsored enterprises | 61,006 | 377 | 767 | 60,616 | |||||||||||||||||||||
Asset-backed securities | 112,747 | 817 | 3,191 | 110,373 | |||||||||||||||||||||
Obligations of states and political subdivisions | 33,637 | 568 | 212 | 33,993 | |||||||||||||||||||||
Total available for sale securities | $ | 208,390 | $ | 1,765 | $ | 4,170 | $ | 205,985 | |||||||||||||||||
All of the Company’s investment securities are classified as available for sale. Agency bonds and notes, agency mortgage-backed securities and agency collateralized mortgage obligations (CMO) include securities issued by the Government National Mortgage Association (GNMA), a U.S. government agency, and the Federal National Mortgage Association (FNMA), the Federal Home Loan Mortgage Corporation (FHLMC) and the Federal Home Loan Bank (FHLB), which are U.S. government-sponsored enterprises. | |||||||||||||||||||||||||
Investment securities that are classified as restricted equity securities primarily consist of Federal Home Loan Bank stock and the Company’s interest in statutory trusts. These securities are reported at cost in other assets in the amount of $4.7 million and $4.0 million as of December 31, 2014 and 2013, respectively. | |||||||||||||||||||||||||
Debt securities with carrying values aggregating approximately $145.5 million and $145.8 million at December 31, 2014 and December 31, 2013, respectively, were pledged to secure public funds, securities sold under agreements to repurchase, and for other purposes as required or permitted by law. | |||||||||||||||||||||||||
  | |||||||||||||||||||||||||
The amortized cost and fair value of debt securities classified as available-for-sale at December 31, 2014, by contractual maturity are shown below. Expected maturities may differ from contractual maturities because borrowers have the right to call or prepay obligations with or without prepayment penalties. | |||||||||||||||||||||||||
Amortized | Fair | ||||||||||||||||||||||||
(in thousands) | cost | value | |||||||||||||||||||||||
Due in one year or less | $ | 12,322 | $ | 12,421 | |||||||||||||||||||||
Due after one year through five years | 56,138 | 56,327 | |||||||||||||||||||||||
Due after five years through ten years | 21,409 | 21,767 | |||||||||||||||||||||||
Due after ten years | 2,058 | 2,021 | |||||||||||||||||||||||
Total | 91,927 | 92,536 | |||||||||||||||||||||||
Asset-backed securities | 106,726 | 106,462 | |||||||||||||||||||||||
Total available for sale securities | $ | 198,653 | $ | 198,998 | |||||||||||||||||||||
Gross unrealized losses on debt securities and the fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2014 and December 31, 2013 were as follows: | |||||||||||||||||||||||||
Less than 12 months | 12 months or more | Total | Total | ||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||
(in thousands) | Value | Losses | Value | Losses | Value | Losses | |||||||||||||||||||
At December 31, 2014 | |||||||||||||||||||||||||
Government sponsored enterprises | $ | 2,983 | $ | (4 | ) | $ | 17,862 | $ | (139 | ) | $ | 20,845 | $ | (143 | ) | ||||||||||
Asset-backed securities | 10,314 | (50 | ) | 45,445 | (1,069 | ) | 55,759 | (1,119 | ) | ||||||||||||||||
Obligations of states and political subdivisions | 3,667 | (15 | ) | 1,942 | (56 | ) | 5,609 | (71 | ) | ||||||||||||||||
 Total | $ | 16,964 | $ | (69 | ) | $ | 65,249 | $ | (1,264 | ) | $ | 82,213 | $ | (1,333 | ) | ||||||||||
(in thousands) | |||||||||||||||||||||||||
At December 31, 2013 | |||||||||||||||||||||||||
Government sponsored enterprises | $ | 25,771 | $ | (767 | ) | $ | 0 | $ | 0 | $ | 25,771 | $ | (767 | ) | |||||||||||
Asset-backed securities | 76,048 | (2,940 | ) | 5,941 | (251 | ) | 81,989 | (3,191 | ) | ||||||||||||||||
Obligations of states and political subdivisions | 6,907 | (159 | ) | 450 | (53 | ) | 7,357 | (212 | ) | ||||||||||||||||
 Total | $ | 108,726 | $ | (3,866 | ) | $ | 6,391 | $ | (304 | ) | $ | 115,117 | $ | (4,170 | ) | ||||||||||
The total available for sale portfolio consisted of approximately 300 securities at December 31, 2014. The portfolio included 74 securities having an aggregate fair value of $82.2 million that were in a loss position at December 31, 2014. Securities identified as temporarily impaired which had been in a loss position for 12 months or longer totaled $65.2 million at fair value. The $1.3 million aggregate unrealized loss included in accumulated other comprehensive income at December 31, 2014 was caused by interest rate fluctuations. The total available for sale portfolio consisted of approximately 348 securities at December 31, 2013. The portfolio included 96 securities having an aggregate fair value of $115.1 million that were in a loss position at December 31, 2013. Securities identified as temporarily impaired which had been in a loss position for 12 months or longer totaled $6.4 million at fair value. The $4.2 million aggregate unrealized loss included in accumulated other comprehensive income at December 31, 2013 was caused by interest rate fluctuations. Because the decline in fair value is attributable to changes in interest rates and not credit quality these investments were not considered other-than-temporarily impaired at December 31, 2014 and 2013, respectively. | |||||||||||||||||||||||||
The table presents the components of investment securities gains and losses, which have been recognized in earnings: | |||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Gains realized on sales | $ | 86 | $ | 786 | $ | 26 | |||||||||||||||||||
Losses realized on sales | (66 | ) | (8 | ) | 0 | ||||||||||||||||||||
Other-than-temporary impairment recognized | 0 | 0 | 0 | ||||||||||||||||||||||
Investment securities gains | $ | 20 | $ | 778 | $ | 26 |
Premises_and_Equipment
Premises and Equipment | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Premises and Equipment | |||||||||||||
Premises and Equipment | -5 | Premises and Equipment | |||||||||||
A summary of premises and equipment at December 31, 2014 and 2013 is as follows: | |||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||
Land and land improvements | $ | 10,152 | $ | 10,073 | |||||||||
Buildings and improvements | 35,504 | 33,730 | |||||||||||
Furniture and equipment | 12,016 | 11,627 | |||||||||||
Construction in progress | 523 | 2,402 | |||||||||||
Total | 58,195 | 57,832 | |||||||||||
Less accumulated depreciation | 20,697 | 19,753 | |||||||||||
Premises and equipment, net | $ | 37,498 | $ | 38,079 | |||||||||
Depreciation expense for the years ended December 31, 2014, 2013, and 2012 was as follows: | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Depreciation expense | $ | 1,758 | $ | 1,605 | $ | 1,858 |
Intangible_Assets
Intangible Assets | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Intangible Assets | ||||||||||||||||
Intangible Assets | -6 | Intangible Assets | ||||||||||||||
Core Deposit Intangible Asset | ||||||||||||||||
Core deposit intangible assets in the amount of $4.8 million were fully amortized as of June 30, 2013. Amortization expense was $0, $135,000 and $408,000 for the years ended December 31, 2014, 2013 and 2012, respectively. | ||||||||||||||||
Changes in the net carrying amount of core deposit intangible assets for the years ended December 31, 2014, 2013, and 2012 is as follows: | ||||||||||||||||
(in thousands) | 2014 | 2013 | 2012 | |||||||||||||
Balance at beginning of year | $ | 0 | $ | 135 | $ | 543 | ||||||||||
Additions | 0 | 0 | 0 | |||||||||||||
Amortization | 0 | (135 | ) | (408 | ) | |||||||||||
Balance at end of year | $ | 0 | $ | 0 | $ | 135 | ||||||||||
  | ||||||||||||||||
Mortgage Servicing Rights | ||||||||||||||||
On January 1, 2012, the Company opted to measure mortgage servicing rights at fair value as permitted by Accounting Standards Codification (ASC) Topic 860-50, Accounting for Servicing Financial Assets. The election of this option resulted in the recognition of a cumulative effect of change in accounting principle of $459,890, which was recorded as an increase to beginning retained earnings. As such, effective January 1, 2012, changes in the fair value of mortgage servicing rights have been recognized in earnings in non-interest income in the period in which the change occurred. | ||||||||||||||||
At December 31, 2014 and 2013, respectively, the Company serviced mortgage loans for others totaling $313.9 million and $322.5 million, respectively. Mortgage loan servicing fees, reported as non-interest income, earned on loans sold were $895,000, $901,000, and $878,000, for the years ended December 31, 2014, 2013, and 2012, respectively. | ||||||||||||||||
The table below presents changes in mortgage servicing rights (MSRs) for the years ended December 31, 2014, 2013, and 2012. | ||||||||||||||||
(in thousands) | 2014 | 2013 | 2012 | |||||||||||||
Balance at beginning of year | $ | 3,036 | $ | 2,549 | $ | 2,308 | ||||||||||
Re-measurement to fair value upon election to measure servicing rights at fair value | 0 | 0 | 742 | |||||||||||||
Originated mortgage servicing rights | 302 | 512 | 830 | |||||||||||||
Changes in fair value: | ||||||||||||||||
Due to change in model inputs and assumptions (1) | 66 | 723 | 241 | |||||||||||||
Other changes in fair value (2) | (642 | ) | (748 | ) | (1,572 | ) | ||||||||||
Amortization | 0 | 0 | 0 | |||||||||||||
Balance at end of year | $ | 2,762 | $ | 3,036 | $ | 2,549 | ||||||||||
-1 | The change in fair value resulting from changes in valuation inputs or assumptions used in the valuation model reflects the change in discount rates and prepayment speed assumptions primarily due to changes in interest rates. | |||||||||||||||
-2 | Other changes in fair value reflect changes due to customer payments and passage of time. The year ended December 31, 2012 includes a one time adjustment of a $538,000 correction of an immaterial prior period error due to changing from the straight-line amortization method to an accelerated amortization method of accounting for amortizing MSRs in prior years. | |||||||||||||||
The following key data and assumptions were used in estimating the fair value of the Company’s mortgage servicing rights as of the years ended December 31, 2014 and 2013: | ||||||||||||||||
​ | ​ | ​ | 2014 | ​ | ​ | 2013 | ​ | |||||||||
Weighted-Average Constant Prepayment Rate | ​ | ​ | ​ | ​ | 10.54% | ​ | ​ | ​ | ​ | ​ | 9.48% | ​ | ​ | |||
Weighted-Average Note Rate | ​ | ​ | ​ | ​ | 3.99% | ​ | ​ | ​ | ​ | ​ | 4.01% | ​ | ​ | |||
Weighted-Average Discount Rate | ​ | ​ | ​ | ​ | 9.21% | ​ | ​ | ​ | ​ | ​ | 9.06% | ​ | ​ | |||
Weighted-Average Expected Life (in years) | ​ | ​ | ​ | ​ | 5.7 | ​ | ​ | ​ | ​ | ​ | 6.1 | ​ | ​ | |||
​ |
Deposits
Deposits | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Deposits | |||||||||
Deposits | -7 | Deposits | |||||||
The scheduled maturities of total time deposits as of the years ended December 31, 2014 and 2013 were as follows: | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Due within: | |||||||||
One year | $ | 204,638 | $ | 231,644 | |||||
Two years | 58,177 | 58,844 | |||||||
Three years | 33,551 | 30,767 | |||||||
Four years | 16,760 | 12,662 | |||||||
Five years | 5,282 | 16,087 | |||||||
Thereafter | 1,347 | 0 | |||||||
Total | $ | 319,755 | $ | 350,004 | |||||
At December 31, 2014 and 2013, the Company had certificates and other time deposits in denominations of $100,000 or more with maturities as follows: | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Due within: | |||||||||
Three months or less | $ | 33,488 | $ | 46,306 | |||||
Over three months through six months | 29,381 | 18,398 | |||||||
Over six months through twelve months | 35,308 | 42,624 | |||||||
Over twelve months | 36,768 | 38,629 | |||||||
Total | $ | 134,945 | $ | 145,957 | |||||
The Federal Reserve Bank required the Bank to maintain cash or balances of $1.6 million and $1.3 million at December 31, 2014 and 2013, respectively, to satisfy reserve requirements. | |||||||||
Average compensating balances held at correspondent banks were $408,000 and $315,000 at December 31, 2014 and 2013, respectively. The Bank maintains such compensating balances with correspondent banks to offset charges for services rendered by those banks. |
Borrowings
Borrowings | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||||||
Borrowings | ||||||||||||||||||||||||||||||||||||||||
Borrowings | -8 | Borrowings | ||||||||||||||||||||||||||||||||||||||
Federal Funds Purchased and Securities Sold under Agreements to Repurchase (Repurchase Agreements) | ||||||||||||||||||||||||||||||||||||||||
Information relating to federal funds purchased and repurchase agreements is as follows: | ||||||||||||||||||||||||||||||||||||||||
(in thousands) | Year End | Average | Average | Maximum | Balance at | |||||||||||||||||||||||||||||||||||
Weighted | Weighted | Balance | Outstanding at | December 31, | ||||||||||||||||||||||||||||||||||||
Rate | Rate | Outstanding | any Month End | |||||||||||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||||||||||||
Federal funds purchased | 0.45 | % | 0.38 | % | $ | 404 | $ | 0 | $ | 0 | ||||||||||||||||||||||||||||||
Short-term repurchase agreements | 0.12 | 0.1 | 19,819 | 22,849 | 17,970 | |||||||||||||||||||||||||||||||||||
Total | $ | 20,223 | $ | 22,849 | $ | 17,970 | ||||||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||||||
Federal funds purchased | 0.4 | % | 0.41 | % | $ | 635 | $ | 13,503 | $ | 13,503 | ||||||||||||||||||||||||||||||
Short-term repurchase agreements | 0.13 | 0.11 | 19,913 | 25,007 | 17,581 | |||||||||||||||||||||||||||||||||||
Total | $ | 20,548 | $ | 38,510 | $ | 31,084 | ||||||||||||||||||||||||||||||||||
The securities underlying the agreements to repurchase are under the control of the Bank. All securities sold under agreements to repurchase are secured by a portion of the Bank’s investment portfolio. | ||||||||||||||||||||||||||||||||||||||||
Under agreements with unaffiliated banks, the Bank may borrow federal funds up to $40.0 million on an unsecured basis and $7.8 million on a secured basis at December 31, 2014. | ||||||||||||||||||||||||||||||||||||||||
Subordinated Notes and Other Borrowings | ||||||||||||||||||||||||||||||||||||||||
Other borrowings of the Company consisted of the following: | ||||||||||||||||||||||||||||||||||||||||
(in thousands) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | 2014 | ​ | ​ | 2013 | ​ | ||||||||||||||||||||||||
​ | ​ | ​ | Borrower | ​ | ​ | Maturity | ​ | ​ | Year End | ​ | ​ | Year End | ​ | ​ | Year End | ​ | ​ | Year End | ​ | |||||||||||||||||||||
Date | Balance | Weighted | Balance | Weighted | ||||||||||||||||||||||||||||||||||||
Rate | Rate | |||||||||||||||||||||||||||||||||||||||
FHLB advances | ​ | ​ | The Bank | ​ | ​ | ​ | ​ | 2015 | ​ | ​ | ​ | ​ | $ | 8,000 | ​ | ​ | ​ | ​ | ​ | 0.30% | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | ​ | na% | ​ | ​ | ||||||
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | 2016 | ​ | ​ | ​ | ​ | ​ | 8,000 | ​ | ​ | ​ | ​ | ​ | 0.67% | ​ | ​ | ​ | ​ | ​ | 3,000 | ​ | ​ | ​ | ​ | ​ | 0.64% | ​ | ​ | ||||||
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | 2017 | ​ | ​ | ​ | ​ | ​ | 5,000 | ​ | ​ | ​ | ​ | ​ | 1.07% | ​ | ​ | ​ | ​ | ​ | 3,000 | ​ | ​ | ​ | ​ | ​ | 0.91% | ​ | ​ | ||||||
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | 2018 | ​ | ​ | ​ | ​ | ​ | 20,000 | ​ | ​ | ​ | ​ | ​ | 2.00% | ​ | ​ | ​ | ​ | ​ | 18,000 | ​ | ​ | ​ | ​ | ​ | 2.00% | ​ | ​ | ||||||
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | 2019-20 | ​ | ​ | ​ | ​ | ​ | 2,000 | ​ | ​ | ​ | ​ | ​ | 1.97% | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | na% | ​ | ​ | ||||||
Total Bank | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | $ | 43,000 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | $ | 24,000 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ||||||
Subordinated notes | ​ | ​ | The Company | ​ | ​ | ​ | ​ | 2034 | ​ | ​ | ​ | ​ | $ | 25,774 | ​ | ​ | ​ | ​ | ​ | 2.94% | ​ | ​ | ​ | ​ | $ | 25,774 | ​ | ​ | ​ | ​ | ​ | 2.94% | ​ | ​ | ||||||
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | 2035 | ​ | ​ | ​ | ​ | ​ | 23,712 | ​ | ​ | ​ | ​ | ​ | 2.07% | ​ | ​ | ​ | ​ | ​ | 23,712 | ​ | ​ | ​ | ​ | ​ | 2.07% | ​ | ​ | ||||||
Total Company | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | $ |    49,486 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | $ |    49,486 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ||||||
​ | ||||||||||||||||||||||||||||||||||||||||
The Bank is a member of the Federal Home Loan Bank of Des Moines (FHLB) and has access to term financing from the FHLB. These borrowings are secured under a blanket agreement which assigns all investment in FHLB stock, as well as qualifying first mortgage loans as collateral to secure amounts borrowed by the Bank. The outstanding balance of $43.0 million includes $10.0 million, which the FHLB may call for early payment within the next year. Based upon the collateral pledged to the FHLB at December 31, 2014, the Bank could borrow up to an additional $230.6 million under the agreement. | ||||||||||||||||||||||||||||||||||||||||
On March 17, 2005, Exchange Statutory Trust II, a business trust and subsidiary of the Company, issued $23.0 million of 30-year floating rate Trust Preferred Securities (TPS) to a TPS Pool. The floating rate is equal to a three-month LIBOR rate plus 1.83% and reprices quarterly (2.07% at December 31, 2014). The TPS can be prepaid without penalty at any time after five years from the issuance date. | ||||||||||||||||||||||||||||||||||||||||
The TPS represent preferred interests in the trust. The Company invested approximately $712,000 in common interests in the trust and the purchaser in the private placement purchased $23.0 million in preferred interests. The proceeds were used by the trust to purchase from the Company its 30-year deeply subordinated debentures whose terms mirror those stated above for the TPS. The debentures are guaranteed by the Company pursuant to a subordinated guarantee. Distributions on the TPS are payable quarterly on March 17, June 17, September 17, and December 17 of each year that the TPS are outstanding. The trustee for the TPS holders is U.S. Bank, N.A. The trustee does not have the power to take enforcement action in the event of a default under the TPS for five years from the date of default. In the event of default, however, the Company would be precluded from paying dividends until the default is cured. | ||||||||||||||||||||||||||||||||||||||||
On March 17, 2004, Exchange Statutory Trust I, a business trust and subsidiary of the Company issued $25.0 million of floating rate TPS to a TPS Pool. The floating rate is equal to the three-month LIBOR rate plus 2.70% and reprices quarterly (2.94% at December 31, 2014). The TPS are fully, irrevocably, and unconditionally guaranteed on a subordinated basis by the Company. The proceeds of the TPS were invested in junior subordinated debentures of the Company. Distributions on the TPS are payable quarterly on March 17, June 17, September 17, and December 17 of each year that the TPS are outstanding. The TPS mature on March 17, 2034. That maturity date may be shortened if certain conditions are met. | ||||||||||||||||||||||||||||||||||||||||
The Exchange Statutory Trusts are not consolidated in the Company’s financial statements. Accordingly, the Company does not report the securities issued by the Exchange Statutory Trusts as liabilities, and instead reports the subordinated notes issued by the Company and held by the Exchange Statutory Trusts as liabilities. The amount of the subordinated notes as of December 31, 2014 and 2013 was $49.5 million, respectively. The Company has recorded the investments in the common securities issued by the Exchange Statutory Trusts aggregating $1.5 million, and the corresponding obligations under the subordinated notes, as well as the interest income and interest expense on such investments and obligations in its consolidated financial statements. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||
Income Taxes | -9 | Income Taxes | ||||||||||||||||||||||||||||||||||||||||||
The composition of income tax expense for the years ended December 31, 2014, 2013, and 2012 was as follows: | ||||||||||||||||||||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||||||||||||||||
Federal | $ | 1,105 | $ | 584 | $ | 651 | ||||||||||||||||||||||||||||||||||||||
State | 137 | 71 | 156 | |||||||||||||||||||||||||||||||||||||||||
Total current | 1,242 | 655 | 807 | |||||||||||||||||||||||||||||||||||||||||
Deferred: | ||||||||||||||||||||||||||||||||||||||||||||
Federal | 2,353 | 1,485 | (197 | ) | ||||||||||||||||||||||||||||||||||||||||
State | 447 | 282 | (64 | ) | ||||||||||||||||||||||||||||||||||||||||
Total deferred | 2,800 | 1,767 | (261 | ) | ||||||||||||||||||||||||||||||||||||||||
Total income tax expense | $ | 4,042 | $ | 2,422 | $ | 546 | ||||||||||||||||||||||||||||||||||||||
  | ||||||||||||||||||||||||||||||||||||||||||||
Applicable income tax expense for financial reporting purposes differs from the amount computed by applying the statutory federal income tax rate for the reasons noted in the table for the years ended December 31, 2014, 2013, and 2012 are as follows: | ||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | ​ | ​ | 2014 | ​ | ​ | 2013 | ​ | ​ | 2011 | ​ | ||||||||||||||||||||||||||||||||||
​ | ​ | ​ | Amount | ​ | ​ | % | ​ | ​ | Amount | ​ | ​ | % | ​ | ​ | Amount | ​ | ​ | % | ​ | |||||||||||||||||||||||||
Income before provision for income tax expense | ​ | ​ | ​ | $ |  11,696 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | $ |  7,396 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | $ |  3,368 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | |||||||
Tax at statutory federal income tax rate | ​ | ​ | ​ | $ | 3,977 | ​ | ​ | ​ | ​ | ​ | 34.00% | ​ | ​ | ​ | ​ | $ | 2,515 | ​ | ​ | ​ | ​ | ​ | 34.00% | ​ | ​ | ​ | ​ | $ | 1,145 | ​ | ​ | ​ | ​ | ​ | 34.00% | ​ | ​ | |||||||
Tax-exempt income | ​ | ​ | ​ | ​ | -348 | ​ | ​ | ​ | ​ | ​ | -2.98 | ​ | ​ | ​ | ​ | ​ | -353 | ​ | ​ | ​ | ​ | ​ | -4.77 | ​ | ​ | ​ | ​ | ​ | -380 | ​ | ​ | ​ | ​ | ​ | -11.27 | ​ | ​ | |||||||
State income tax, net of federal tax benefit | ​ | ​ | ​ | ​ | 385 | ​ | ​ | ​ | ​ | ​ | 3.3 | ​ | ​ | ​ | ​ | ​ | 233 | ​ | ​ | ​ | ​ | ​ | 3.15 | ​ | ​ | ​ | ​ | ​ | 61 | ​ | ​ | ​ | ​ | ​ | 1.81 | ​ | ​ | |||||||
Release of prior year over accrual | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -371 | ​ | ​ | ​ | ​ | ​ | -11.01 | ​ | ​ | |||||||
Other, net | ​ | ​ | ​ | ​ | 28 | ​ | ​ | ​ | ​ | ​ | 0.24 | ​ | ​ | ​ | ​ | ​ | 27 | ​ | ​ | ​ | ​ | ​ | 0.37 | ​ | ​ | ​ | ​ | ​ | 91 | ​ | ​ | ​ | ​ | ​ | 2.7 | ​ | ​ | |||||||
Provision for income tax expense | ​ | ​ | ​ | $ | 4,042 | ​ | ​ | ​ | ​ | ​ | 34.56% | ​ | ​ | ​ | ​ | $ | 2,422 | ​ | ​ | ​ | ​ | ​ | 32.75% | ​ | ​ | ​ | ​ | $ | 546 | ​ | ​ | ​ | ​ | ​ | 16.23% | ​ | ​ | |||||||
​ | ||||||||||||||||||||||||||||||||||||||||||||
The components of deferred tax assets and deferred tax liabilities at December 31, 2014 and 2013 are as follows: | ||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||||||||
Deferred tax assets: | ||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | $ | 3,458 | $ | 5,213 | ||||||||||||||||||||||||||||||||||||||||
Impairment of other real estate owned | 1,233 | 1,771 | ||||||||||||||||||||||||||||||||||||||||||
Goodwill | 1,786 | 2,134 | ||||||||||||||||||||||||||||||||||||||||||
Available-for-sale securities | 0 | 914 | ||||||||||||||||||||||||||||||||||||||||||
Deferred taxes on pension | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||
Nonaccrual loan interest | 1,069 | 1,015 | ||||||||||||||||||||||||||||||||||||||||||
Core deposit intangible | 689 | 822 | ||||||||||||||||||||||||||||||||||||||||||
Pension | 985 | 896 | ||||||||||||||||||||||||||||||||||||||||||
Deferred taxes on pension | 998 | 0 | ||||||||||||||||||||||||||||||||||||||||||
Deferred compensation | 130 | 44 | ||||||||||||||||||||||||||||||||||||||||||
Other | 250 | 322 | ||||||||||||||||||||||||||||||||||||||||||
Total deferred tax assets | $ | 10,598 | $ | 13,131 | ||||||||||||||||||||||||||||||||||||||||
Deferred tax liabilities: | ||||||||||||||||||||||||||||||||||||||||||||
Available-for-sale securities | $ | 131 | $ | 0 | ||||||||||||||||||||||||||||||||||||||||
Premises and equipment | 1,160 | 988 | ||||||||||||||||||||||||||||||||||||||||||
Mortgage servicing rights | 1,022 | 1,114 | ||||||||||||||||||||||||||||||||||||||||||
Deferred taxes on pension | 0 | 328 | ||||||||||||||||||||||||||||||||||||||||||
Assets held for sale | 114 | 112 | ||||||||||||||||||||||||||||||||||||||||||
FHLB stock dividend | 0 | 100 | ||||||||||||||||||||||||||||||||||||||||||
Other | 53 | 72 | ||||||||||||||||||||||||||||||||||||||||||
Total deferred tax liabilities | 2,480 | 2,714 | ||||||||||||||||||||||||||||||||||||||||||
Net deferred tax assets | $ | 8,118 | $ | 10,417 | ||||||||||||||||||||||||||||||||||||||||
  | ||||||||||||||||||||||||||||||||||||||||||||
The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. Based upon the level of historical taxable income and projections for future taxable income over the periods in which the deferred tax assets are deductible, management believes it is more likely than not the Company will realize the benefits of these temporary differences at December 31, 2014 and, therefore, did not establish a valuation reserve. | ||||||||||||||||||||||||||||||||||||||||||||
The Company follows ASC Topic 740, Income Taxes, which addresses the accounting for uncertain tax positions. As of December 31, 2014, 2013, and 2012, respectively, the Company did not have any uncertain tax provisions. |
Stockholders_Equity
Stockholders' Equity | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Stockholders' Equity Note [Abstract] | |||||||||||||
Stockholders' Equity | -10 | Stockholders’ Equity | |||||||||||
Accumulated Other Comprehensive (Loss) Income | |||||||||||||
The following details the change in the components of the Company’s accumulated other comprehensive (loss) income for the years ended December 31, 2013 and 2014, respectively: | |||||||||||||
Accumulated | |||||||||||||
Unrecognized Net | Other | ||||||||||||
Pension and | Comprehensive | ||||||||||||
Unrealized Loss | Postretirement | (Loss) | |||||||||||
(in thousands) | on Securities (1) | Costs (2) | Income | ||||||||||
Balance, December 31, 2012 | $ | 3,266 | $ | (1,441 | ) | $ | 1,825 | ||||||
Other comprehensive (loss) income, before reclassifications | (6,980 | ) | 3,378 | (3,602 | ) | ||||||||
Amounts reclassified from accumulated other comprehensive income | (778 | ) | 110 | (668 | ) | ||||||||
Current period other comprehensive (loss) income, before tax | (7,758 | ) | 3,488 | (4,270 | ) | ||||||||
Income tax benefit (expense) | 3,001 | (1,325 | ) | 1,676 | |||||||||
Current period other comprehensive (loss) income, net of tax | (4,757 | ) | 2,163 | (2,594 | ) | ||||||||
Balance, December 31, 2013 | $ | (1,491 | ) | $ | 722 | $ | (769 | ) | |||||
Other comprehensive (loss) income, before reclassifications | 2,770 | (3,568 | ) | (798 | ) | ||||||||
Amounts reclassified from accumulated other comprehensive income | (20 | ) | 79 | 59 | |||||||||
Current period other comprehensive (loss) income, before tax | 2,750 | (3,489 | ) | (739 | ) | ||||||||
Income tax benefit (expense) | (1,045 | ) | 1,325 | 280 | |||||||||
Current period other comprehensive (loss) income, net of tax | 1,705 | (2,164 | ) | (459 | ) | ||||||||
Balance, December 31, 2014 | $ | 214 | $ | (1,442 | ) | $ | (1,228 | ) | |||||
(1) The pre-tax amounts reclassified from accumulated other comprehensive (loss) income are included in gain on sale of investment securities in the consolidated statements of income. | |||||||||||||
(2) The pre-tax amounts reclassified from accumulated other comprehensive income are included in the computation of net periodic pension cost. See Note 11. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||||||||
Employee Benefit Plans | -11 | Employee Benefit Plans | |||||||||||||||||||||
Employee benefits charged to operating expenses are summarized in the table below for the years ended December 31, as indicated. | |||||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||||||||||||
Payroll taxes | $ | 1,081 | $ | 1,106 | $ | 1,127 | |||||||||||||||||
Medical plans | 1,974 | 1,915 | 1,772 | ||||||||||||||||||||
401(k) match | 310 | 309 | 298 | ||||||||||||||||||||
Pension plan | 960 | 1,173 | 1,224 | ||||||||||||||||||||
Profit-sharing | 201 | 118 | 58 | ||||||||||||||||||||
Other | 122 | 219 | 317 | ||||||||||||||||||||
Total employee benefits | $ | 4,648 | $ | 4,840 | $ | 4,796 | |||||||||||||||||
The Company’s profit-sharing plan includes a matching 401(k) portion, in which the Company matches the first 3% of eligible employee contributions. The Company made annual contributions in an amount up to 6% of income before income taxes and before contributions to the profit-sharing and pension plans for all participants, limited to the maximum amount deductible for federal income tax purposes, for each of the periods shown. In addition, employees were able to make additional tax-deferred contributions. | |||||||||||||||||||||||
Pension | |||||||||||||||||||||||
The Company provides a noncontributory defined benefit pension plan for all full-time employees. An employer is required to recognize the funded status of a defined benefit postretirement plan as an asset or liability in its balance sheet and to recognize changes in that funded status in the year in which the changes occur through comprehensive income. Under the Company’s funding policy for the defined benefit pension plan, contributions are made to a trust as necessary to provide for current service and for any unfunded accrued actuarial liabilities over a reasonable period. To the extent that these requirements are fully covered by assets in the trust, a contribution might not be made in a particular year. The Company has not made any contributions to the defined benefit plan for the current plan year. There is no minimum required contribution for the 2015 plan year. | |||||||||||||||||||||||
Obligations and Funded Status at December 31, | |||||||||||||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||||||||||||
Change in projected benefit obligation: | |||||||||||||||||||||||
Balance, January 1 | $ | 14,852 | $ | 15,342 | |||||||||||||||||||
Service cost | 981 | 1,174 | |||||||||||||||||||||
Interest cost | 732 | 646 | |||||||||||||||||||||
Actuarial gain | 3,813 | (1,991 | ) | ||||||||||||||||||||
Benefits paid | (401 | ) | (319 | ) | |||||||||||||||||||
Balance, December 31 | $ | 19,977 | $ | 14,852 | |||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||
Fair value, January 1 | $ | 13,532 | $ | 11,707 | |||||||||||||||||||
Actual return on plan assets | 1,118 | 2,220 | |||||||||||||||||||||
Employer contribution | 725 | 0 | |||||||||||||||||||||
Expenses paid | (41 | ) | (76 | ) | |||||||||||||||||||
Benefits paid | (401 | ) | (319 | ) | |||||||||||||||||||
Fair value, December 31 | $ | 14,933 | $ | 13,532 | |||||||||||||||||||
Funded status at end of year | $ | (5,044 | ) | $ | (1,320 | ) | |||||||||||||||||
Accumulated benefit obligation | $ | 16,595 | $ | 12,298 | |||||||||||||||||||
Components of Net Pension Cost and Other Amounts Recognized in Accumulated Other Comprehensive Income | |||||||||||||||||||||||
The following items are components of net pension cost for the years ended December 31, as indicated: | |||||||||||||||||||||||
(in thousands) | ​ | ​ | 2014 | ​ | ​ | 2013 | ​ | ​ | 2012 | ​ | |||||||||||||
Service cost—benefits earned during the year | ​ | ​ | ​ | $ | 981 | ​ | ​ | ​ | ​ | $ | 1,174 | ​ | ​ | ​ | ​ | $ | 1,168 | ​ | ​ | ||||
Interest costs on projected benefit obligations | ​ | ​ | ​ | ​ | 732 | ​ | ​ | ​ | ​ | ​ | 646 | ​ | ​ | ​ | ​ | ​ | 667 | ​ | ​ | ||||
Expected return on plan assets | ​ | ​ | ​ | ​ | -872 | ​ | ​ | ​ | ​ | ​ | -797 | ​ | ​ | ​ | ​ | ​ | -776 | ​ | ​ | ||||
Expected administrative expenses | ​ | ​ | ​ | ​ | 40 | ​ | ​ | ​ | ​ | ​ | 40 | ​ | ​ | ​ | ​ | ​ | 40 | ​ | ​ | ||||
Amortization of prior service cost | ​ | ​ | ​ | ​ | 79 | ​ | ​ | ​ | ​ | ​ | 79 | ​ | ​ | ​ | ​ | ​ | 79 | ​ | ​ | ||||
Amortization of unrecognized net loss | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 31 | ​ | ​ | ​ | ​ | ​ | 46 | ​ | ​ | ||||
Net periodic pension expense | ​ | ​ | ​ | $ | 960 | ​ | ​ | ​ | ​ | $ | 1,173 | ​ | ​ | ​ | ​ | $ | 1,224 | ​ | ​ | ||||
​ | |||||||||||||||||||||||
Amounts not yet reflected in net periodic benefit cost and included in accumulated other comprehensive (loss) income at December 31, 2014 and 2013 are shown below, including amounts recognized in other comprehensive income during the periods. All amounts are shown on a pre-tax basis. | |||||||||||||||||||||||
(in thousands) | ​ | ​ | 2014 | ​ | ​ | 2013 | ​ | ||||||||||||||||
Prior service costs | ​ | ​ | ​ | $ | -443 | ​ | ​ | ​ | ​ | $ | -522 | ​ | ​ | ||||||||||
Net accumulated actuarial net (loss) gain | ​ | ​ | ​ | ​ | -2,008 | ​ | ​ | ​ | ​ | ​ | 1,560 | ​ | ​ | ||||||||||
Accumulated other comprehensive (loss) gain | ​ | ​ | ​ | ​ | -2,451 | ​ | ​ | ​ | ​ | ​ | 1,038 | ​ | ​ | ||||||||||
Net periodic benefit cost in excess of cumulative employer contributions | ​ | ​ | ​ | ​ | -2,593 | ​ | ​ | ​ | ​ | ​ | -2,358 | ​ | ​ | ||||||||||
Net amount recognized at December 31, balance sheet | ​ | ​ | ​ | $ | -5,044 | ​ | ​ | ​ | ​ | $ | -1,320 | ​ | ​ | ||||||||||
Net (loss) gain arising during period | ​ | ​ | ​ | $ | -3,568 | ​ | ​ | ​ | ​ | $ | 3,378 | ​ | ​ | ||||||||||
Prior service cost amortization | ​ | ​ | ​ | ​ | 79 | ​ | ​ | ​ | ​ | ​ | 79 | ​ | ​ | ||||||||||
Amortization of net actuarial loss | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 31 | ​ | ​ | ||||||||||
Total recognized in other comprehensive (loss) income | ​ | ​ | ​ | $ | -3,489 | ​ | ​ | ​ | ​ | $ | 3,488 | ​ | ​ | ||||||||||
Total recognized in net periodic pension cost and other comprehensive (loss) income | ​ | ​ | ​ | $ | 4,449 | ​ | ​ | ​ | ​ | $ | -2,315 | ​ | ​ | ||||||||||
​ | |||||||||||||||||||||||
The estimated prior service cost for the defined benefit pension plan that will be amortized from accumulated other comprehensive income into net periodic cost in 2014 is $79,000. During 2014, there is no estimated amount of actuarial loss subject to amortization into net periodic pension cost. | |||||||||||||||||||||||
Assumptions utilized to determine benefit obligations as of December 31, 2014, 2013 and 2012 and to determine pension expense for the years then ended are as follows: | |||||||||||||||||||||||
2014Â | 2013Â | 2012Â | |||||||||||||||||||||
Determination of benefit obligation at year end: | |||||||||||||||||||||||
Discount rate | 4.25 | % | 5 | % | 4.25 | % | |||||||||||||||||
Annual rate of compensation increase | 3.78 | % | 3.73 | % | 3.61 | % | |||||||||||||||||
Determination of pension expense for year ended: | |||||||||||||||||||||||
Discount rate for the service cost | 5 | % | 4.25 | % | 4.75 | % | |||||||||||||||||
Annual rate of compensation increase | 3.73 | % | 3.61 | % | 4.5 | % | |||||||||||||||||
Expected long-term rate of return on plan assets | 7 | % | 7 | % | 7 | % | |||||||||||||||||
The assumed overall expected long-term rate of return on pension plan assets used in calculating 2014 pension expense was 7.0%. Determination of the plan’s rate of return is based upon historical returns for equities and fixed income indexes. During the past five years, the Company’s plan assets have experienced the following annual returns: 8.3% in 2014, 19.1% in 2013, 11.4% in 2012, 0.1% in 2011, and 12.4% in 2010. The rate used in plan calculations may be adjusted by management for current trends in the economic environment. With a traditional investment mix of over half of the plan’s investments in equities, the actual return for any one plan year may fluctuate significantly with changes in the stock market. Due to a decrease in discount rates used in the actuarial calculation of plan income, the Company expects to incur $1.4 million of expense in 2015 compared to $960,000 in 2014. | |||||||||||||||||||||||
Plan Assets | |||||||||||||||||||||||
The investment policy of the pension plan is designed for growth in value while minimizing risk to the overall portfolio. The Company diversifies the assets through investments in domestic and international fixed income securities and domestic and international equity securities. The assets are readily marketable and can be sold to fund benefit payment obligations as they become payable. The Company’s long-term investment target mix for the plan is 70% equity securities and 30% fixed income. | |||||||||||||||||||||||
The Company regularly reviews its policies on the investment mix and may make changes depending on economic conditions and perceived investment mix. | |||||||||||||||||||||||
The fair value of the Company’s pension plan assets at December 31, 2014 and 2013 by asset category were as follows: | |||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||||
in Active | |||||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||||
Identical | Observable | Unobservable | |||||||||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||||||||
(in thousands) | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||
Cash equivalents | $ | 1,937 | $ | 1,937 | $ | 0 | $ | 0 | |||||||||||||||
Equity securities: | |||||||||||||||||||||||
U.S. large-cap (a) | 7,252 | 7,252 | 0 | 0 | |||||||||||||||||||
U.S. mid-cap (b) | 921 | 921 | 0 | 0 | |||||||||||||||||||
U.S. small-cap (c) | 1,131 | 1,131 | 0 | 0 | |||||||||||||||||||
International (d) | 1,895 | 1,895 | 0 | 0 | |||||||||||||||||||
Real estate (e) | 486 | 486 | 0 | 0 | |||||||||||||||||||
Commodities (f) | 264 | 264 | 0 | 0 | |||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
U.S. gov't agency obligations (g) | 1,047 | 0 | 1,047 | 0 | |||||||||||||||||||
Total | $ | 14,933 | $ | 13,886 | $ | 1,047 | $ | 0 | |||||||||||||||
31-Dec-13 | |||||||||||||||||||||||
Cash equivalents | $ | 675 | $ | 675 | $ | 0 | $ | 0 | |||||||||||||||
Equity securities: | |||||||||||||||||||||||
U.S. large-cap (a) | 6,506 | 6,506 | 0 | 0 | |||||||||||||||||||
U.S. mid-cap (b) | 820 | 820 | 0 | 0 | |||||||||||||||||||
U.S. small-cap (c) | 1,151 | 1,151 | 0 | 0 | |||||||||||||||||||
International (d) | 2,016 | 2,016 | 0 | 0 | |||||||||||||||||||
Real estate (e) | 387 | 387 | 0 | 0 | |||||||||||||||||||
Commodities (f) | 319 | 319 | 0 | 0 | |||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
U.S. gov't agency obligations (g) | 1,450 | 0 | 1,450 | 0 | |||||||||||||||||||
Corporate investment grade (g) | 209 | 0 | 209 | 0 | |||||||||||||||||||
Total | $ | 13,533 | $ | 11,874 | $ | 1,659 | $ | 0 | |||||||||||||||
(a) | This category is comprised of low-cost equity index funds not actively managed that track the S&P 500. | ||||||||||||||||||||||
(b) | This category is comprised of low-cost equity index funds not actively managed that track the MSCI U.S. mid-cap 450. | ||||||||||||||||||||||
(c) | This category is comprised of actively managed mutual funds. | ||||||||||||||||||||||
(d) | At December 31, 2014 and 2013, 31% and 32%, respectively, of this category is comprised of low-cost equity index funds not actively managed that track the MSCI EAFE. | ||||||||||||||||||||||
(e) | This category is comprised of low-cost real estate index exchange traded funds. | ||||||||||||||||||||||
(f) | This category is comprised of exchange traded funds investing in agricultural and energy commodities. | ||||||||||||||||||||||
(g) | This category is comprised of individual bonds. | ||||||||||||||||||||||
The following future benefit payments are expected to be paid: | |||||||||||||||||||||||
Year | Pension benefits | ||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||
2015 | $ | 514 | |||||||||||||||||||||
2016 | 539 | ||||||||||||||||||||||
2017 | 598 | ||||||||||||||||||||||
2018 | 626 | ||||||||||||||||||||||
2019 | 648 | ||||||||||||||||||||||
2020 to 2024 | 4,784 |
Stock_Compensation
Stock Compensation | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||
Stock Compensation | -12 | Stock Compensation | ||||||||||||||||||||||||||||||||||||||||||
The Company’s stock option plan provides for the grant of options to purchase up to 569,392 shares of the Company’s common stock to officers and other key employees of the Company and its subsidiaries. | ||||||||||||||||||||||||||||||||||||||||||||
The following table summarizes the Company’s stock option activity: | ||||||||||||||||||||||||||||||||||||||||||||
​ | ​ | ​ | Number of shares | ​ | ​ | Weighted average | ​ | |||||||||||||||||||||||||||||||||||||
31-Dec | exercise price | |||||||||||||||||||||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||||||||||||||||||||||
​ | ​ | ​ | 2014 | ​ | ​ | 2013 | ​ | ​ | 2012 | ​ | ​ | 2014 | ​ | ​ | 2013 | ​ | ​ | 2012 | ​ | |||||||||||||||||||||||||
Outstanding, beginning of year | ​ | ​ | ​ | ​ | 126,286 | ​ | ​ | ​ | ​ | ​ | 232,947 | ​ | ​ | ​ | ​ | ​ | 297,962 | ​ | ​ | ​ | ​ | $ |       23.21 | ​ | ​ | ​ | ​ | $ |       22.82 | ​ | ​ | ​ | ​ | $ |       21.61 | ​ | ​ | |||||||
Granted | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | |||||||
Exercised | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | |||||||
Forfeited or expired | ​ | ​ | ​ | ​ | -29,805 | ​ | ​ | ​ | ​ | ​ | -106,661 | ​ | ​ | ​ | ​ | ​ | -65,015 | ​ | ​ | ​ | ​ | ​ | 25.75 | ​ | ​ | ​ | ​ | ​ | 22.37 | ​ | ​ | ​ | ​ | ​ | 17.26 | ​ | ​ | |||||||
Outstanding, end of year | ​ | ​ | ​ | ​ | 96,481 | ​ | ​ | ​ | ​ | ​ | 126,286 | ​ | ​ | ​ | ​ | ​ | 232,947 | ​ | ​ | ​ | ​ | $ | 22.42 | ​ | ​ | ​ | ​ | $ | 23.21 | ​ | ​ | ​ | ​ | $ | 22.82 | ​ | ​ | |||||||
Exercisable, end of year | ​ | ​ | ​ | ​ | 85,160 | ​ | ​ | ​ | ​ | ​ | 111,188 | ​ | ​ | ​ | ​ | ​ | 213,878 | ​ | ​ | ​ | ​ | $ | 22.82 | ​ | ​ | ​ | ​ | $ | 23.49 | ​ | ​ | ​ | ​ | $ | 22.9 | ​ | ​ | |||||||
​ | ||||||||||||||||||||||||||||||||||||||||||||
Options have been adjusted to reflect a 4% stock dividend paid on July 1, 2014. | ||||||||||||||||||||||||||||||||||||||||||||
Total stock-based compensation expense for the years ended December 31, 2014, 2013, and 2012 was $20,000, $19,000, and $29,000, respectively. As of December 31, 2014, the total unrecognized compensation expense related to non-vested stock awards was $31,000 and the related weighted average period over which it is expected to be recognized is approximately 1.3 years. | ||||||||||||||||||||||||||||||||||||||||||||
Options outstanding at December 31, 2014 had a weighted average remaining contractual life of approximately 1.9 years and no intrinsic value. Options outstanding at December 31, 2013 had a weighted average remaining contractual life of approximately 2.5 years and no intrinsic value. No stock options were granted during the years presented above. | ||||||||||||||||||||||||||||||||||||||||||||
Options exercisable at December 31, 2014 had a weighted average remaining contractual life of approximately 1.7 years and no intrinsic value. Options exercisable at December 31, 2013 had a weighted average remaining contractual life of approximately 2.3 years and no intrinsic value. No stock options were exercised during the years presented above. |
Earnings_per_Share
Earnings per Share | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Earnings per Share | -13 | Earnings per Share | |||||||||||
Basic earnings per share is computed by dividing income available to common shareholders by the weighted average number of common shares outstanding during the year. Diluted earnings per share gives effect to all dilutive potential common shares that were outstanding during the year. The calculations of basic and diluted earnings per share are as follows for the years indicated: | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Basic earnings per common share: | |||||||||||||
Net income | $ | 7,654 | $ | 4,974 | $ | 2,822 | |||||||
Less: | |||||||||||||
Preferred stock dividends and accretion of discount | 0 | 615 | 1,784 | ||||||||||
Net income available to common shareholders | $ | 7,654 | $ | 4,359 | $ | 1,038 | |||||||
Basic earnings per share | $ | 1.46 | $ | 0.83 | $ | 0.2 | |||||||
Diluted earnings per common share: | |||||||||||||
Net income | $ | 7,654 | $ | 4,974 | $ | 2,822 | |||||||
Less: | |||||||||||||
Preferred stock dividends and accretion of discount | 0 | 615 | 1,784 | ||||||||||
Net income available to common shareholders | $ | 7,654 | $ | 4,359 | $ | 1,038 | |||||||
Average shares outstanding | 5,233,986 | 5,233,986 | 5,233,986 | ||||||||||
Effect of dilutive stock options | 0 | 0 | 0 | ||||||||||
Average shares outstanding including dilutive stock options | 5,233,986 | 5,233,986 | 5,233,986 | ||||||||||
Diluted earnings per share | $ | 1.46 | $ | 0.83 | $ | 0.2 | |||||||
Under the treasury stock method, outstanding stock options are dilutive when the average market price of the Company’s common stock, when combined with the effect of any unamortized compensation expense, exceeds the option price during the period, except when the Company has a loss from continuing operations available to common shareholders. In addition, proceeds from the assumed exercise of dilutive options along with the related tax benefit are assumed to be used to repurchase common shares at the average market price of such stock during the period. | |||||||||||||
The following options to purchase shares during the years ended December 31, 2014, 2013 and 2012 were not included in the respective computations of diluted earnings per share because the exercise price of the option, when combined with the effect of the unamortized compensation expense, was greater than the average market price of the common shares and were considered anti-dilutive. | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Anti-dilutive shares - option shares | 96,481 | 126,286 | 232,947 | ||||||||||
Anti-dilutive shares - warrant shares | 0 | 0 | 310,563 | ||||||||||
Total anti-dilutive shares | 96,481 | 126,286 | 543,510 |
Capital_Requirements
Capital Requirements | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Capital Requirements | |||||||||||||||||||||||||
Capital Requirements | -14 | Capital Requirements | |||||||||||||||||||||||
The Company and the Bank are subject to various regulatory capital requirements administered by federal and state 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 consolidated financial statements. Under capital adequacy guidelines, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classification of the Company and the Bank are subject to qualitative judgments by the regulators about components, risk-weightings, and other factors. | |||||||||||||||||||||||||
Quantitative measures established by regulations to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios (set forth in the following table) of total and Tier I capital to risk-weighted assets, and of Tier I capital to adjusted-average assets. Management believes, as of December 31, 2014 and 2013, the Company and the Bank met all capital adequacy requirements. | |||||||||||||||||||||||||
As of December 31, 2014, the most recent notification from the regulatory authorities categorized the bank as well- capitalized under the regulatory framework for prompt corrective action. To be categorized as well-capitalized, the Bank must maintain minimum total risk-based, Tier I risk-based, and Tier I leverage ratios as set forth in the table. There are no conditions or events since the notification that management believes have changed the Bank’s categories. | |||||||||||||||||||||||||
Minimum | Well-Capitalized | ||||||||||||||||||||||||
Actual | Capital Requirements | Capital Requirements | |||||||||||||||||||||||
(in thousands) | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||
Total capital (to risk-weighted assets): | |||||||||||||||||||||||||
Company | $ | 138,619 | 15.78 | % | $ | 70,282 | 8 | % | N.A. | N.A. | % | ||||||||||||||
Bank | 128,311 | 14.78 | 69,430 | 8 | $ | 86,788 | 10 | ||||||||||||||||||
Tier I capital (to risk-weighted assets): | |||||||||||||||||||||||||
Company | $ | 108,785 | 12.38 | % | $ | 35,141 | 4 | % | N.A. | N.A. | % | ||||||||||||||
Bank | 119,212 | 13.74 | 34,715 | 4 | $ | 52,788 | 6 | ||||||||||||||||||
Tier I capital (to adjusted average assets): | |||||||||||||||||||||||||
Company | $ | 108,785 | 9.42 | % | $ | 34,648 | 3 | % | $ N.A. | N.A. | % | ||||||||||||||
Bank | 119,212 | 10.42 | 34,338 | 3 | 57,230 | 5 | |||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Total capital (to risk-weighted assets): | |||||||||||||||||||||||||
Company | $ | 133,638 | 15.33 | % | $ | 69,729 | 8 | % | N.A. | N.A. | % | ||||||||||||||
Bank | 122,959 | 14.29 | 68,842 | 8 | $ | 86,052 | 10 | ||||||||||||||||||
Tier I capital (to risk-weighted assets): | |||||||||||||||||||||||||
Company | $ | 99,398 | 11.4 | % | $ | 34,864 | 4 | % | N.A. | N.A. | % | ||||||||||||||
Bank | 112,166 | 13.03 | 34,421 | 4 | $ | 51,631 | 6 | ||||||||||||||||||
Tier I capital (to adjusted average assets): | |||||||||||||||||||||||||
Company | $ | 99,398 | 8.79 | % | $ | 33,876 | 3 | % | $ N.A. | N.A. | % | ||||||||||||||
Bank | 112,166 | 10.04 | 33,517 | 3 | 55,862 | 5 |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||
Fair Value Measurements | -15 | Fair Value Measurements | |||||||||||||||||||
The Company uses fair value measurements to record fair value adjustments to certain financial and nonfinancial assets and liabilities. The FASB ASC Topic 820, Fair Value Measurements and Disclosures, defines fair value, establishes a framework for the measurement of fair value, and enhances disclosures about fair value measurements. The standard applies whenever other standards require (permit) assets or liabilities to be measured at fair value but does not expand the use of fair value in any new circumstances. In this standard, FASB clarified the principle that fair value should be based on the assumptions market participants would use when pricing the asset or liability. In support of this principle, the standard establishes a fair value hierarchy that prioritizes the information used to develop those assumptions. As of December 31, 2014 and 2013, respectively, there were no transfers into or out of Levels 1-3. | |||||||||||||||||||||
The fair value hierarchy is as follows: | |||||||||||||||||||||
Level 1 – Inputs are unadjusted quoted prices for identical assets or liabilities in active markets. | |||||||||||||||||||||
Level 2 – Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets and liabilities in active markets, such as interest rates and yield curves that are observable at commonly quoted intervals. | |||||||||||||||||||||
Level 3 – Inputs are unobservable inputs for the asset or liability and significant to the fair value. These may be internally developed using the Company’s best information and assumptions that a market participant would consider. | |||||||||||||||||||||
ASC Topic 820 also provides guidance on determining fair value when the volume and level of activity for the asset or liability have significantly decreased and on identifying circumstances when a transaction may not be considered orderly. | |||||||||||||||||||||
The Company is required to disclose assets and liabilities measured at fair value on a recurring basis separate from those measured at fair value on a nonrecurring basis. Nonfinancial assets measured at fair value on a nonrecurring basis would include foreclosed real estate, long-lived assets, and core deposit intangible assets, which are reviewed when circumstances or other events indicate that impairment may have occurred. | |||||||||||||||||||||
Valuation methods for instruments measured at fair value on a recurring basis | |||||||||||||||||||||
Following is a description of the Company’s valuation methodologies used for assets and liabilities recorded at fair value on a recurring basis: | |||||||||||||||||||||
Available-for-sale securities | |||||||||||||||||||||
The fair value measurements of the Company’s investment securities are determined by a third party pricing service which considers observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond’s terms and conditions, among other things. The fair value measurements are subject to independent verification to another pricing source by management each quarter for reasonableness. Securities classified as available-for-sale are reported at fair value utilizing Level 2 inputs. | |||||||||||||||||||||
Mortgage servicing rights | |||||||||||||||||||||
The fair value of mortgage servicing rights is based on the discounted value of estimated future cash flows utilizing contractual cash flows, servicing rate, constant prepayment rate, servicing cost, and discount rate factors. Accordingly, the fair value is estimated based on a valuation model that calculates the present value of estimated future net servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds, market discount rates, cost to service, float earnings rates, and other ancillary income, including late fees. The valuation models estimate the present value of estimated future net servicing income. The Company classifies its servicing rights as Level 3. | |||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||
in Active | |||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||
Identical | Observable | Unobservable | |||||||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||||||
(in thousands) | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||
31-Dec-14 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Government sponsored enterprises | $ | 57,099 | $ | 0 | 57,099 | $ | 0 | ||||||||||||||
Asset-backed securities | 106,462 | 0 | 106,462 | 0 | |||||||||||||||||
Obligations of states and political subdivisions | 35,437 | 0 | 35,437 | 0 | |||||||||||||||||
Mortgage servicing rights | 2,762 | 0 | 0 | 2,762 | |||||||||||||||||
Total | $ | 201,760 | $ | 0 | $ | 198,998 | $ | 2,762 | |||||||||||||
31-Dec-13 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
U.S. treasury | $ | 1,003 | $ | 1,003 | $ | 0 | $ | 0 | |||||||||||||
Government sponsored enterprises | 60,616 | 0 | 60,616 | 0 | |||||||||||||||||
Asset-backed securities | 110,373 | 0 | 110,373 | 0 | |||||||||||||||||
Obligations of states and political subdivisions | 33,993 | 0 | 33,993 | 0 | |||||||||||||||||
Mortgage servicing rights | 3,036 | 0 | 0 | 3,036 | |||||||||||||||||
Total | $ | 209,021 | $ | 1,003 | $ | 204,982 | $ | 3,036 | |||||||||||||
The changes in Level 3 assets and liabilities measured at fair value on a recurring basis are summarized as follows: | |||||||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||
Significant Unobservable Inputs | |||||||||||||||||||||
(Level 3) | |||||||||||||||||||||
(in thousands) | Mortgage Servicing Rights | ||||||||||||||||||||
Balance at December 31, 2012 | $ | 2,549 | |||||||||||||||||||
Total gains or losses (realized/unrealized): | |||||||||||||||||||||
Included in earnings | (25 | ) | |||||||||||||||||||
Included in other comprehensive income | 0 | ||||||||||||||||||||
Purchases | 0 | ||||||||||||||||||||
Sales | 0 | ||||||||||||||||||||
Issues | 512 | ||||||||||||||||||||
Settlements | 0 | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 3,036 | |||||||||||||||||||
Total gains or losses (realized/unrealized): | |||||||||||||||||||||
Included in earnings | (576 | ) | |||||||||||||||||||
Included in other comprehensive income | 0 | ||||||||||||||||||||
Purchases | 0 | ||||||||||||||||||||
Sales | 0 | ||||||||||||||||||||
Issues | 302 | ||||||||||||||||||||
Settlements | 0 | ||||||||||||||||||||
Balance at December 31, 2014 | $ | 2,762 | |||||||||||||||||||
Total gains for the years ended included in earnings attributable to the change in unrealized gains or losses related to assets still held were $66,000 and $723,000 at December 31, 2014 and 2013, respectively. | |||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements | |||||||||||||||||||||
Valuation Technique | Unobservable Inputs | Input Value | |||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
Mortgage servicing rights | Â Discounted cash flows | Weighted average constant prepayment rate | 10.54 | % | 9.48 | % | |||||||||||||||
Weighted average discount rate | 9.21 | % | 9.06 | % | |||||||||||||||||
Weighted average expected life (in years) | 5.7 | 6.1 | |||||||||||||||||||
Valuation methods for instruments measured at fair value on a nonrecurring basis | |||||||||||||||||||||
Following is a description of the Company’s valuation methodologies used for assets and liabilities recorded at fair value on a nonrecurring basis: | |||||||||||||||||||||
Impaired Loans | |||||||||||||||||||||
The Company does not record loans at fair value on a recurring basis other than loans that are considered impaired. The net carrying value of impaired loans is generally based on fair values of the underlying collateral obtained through independent appraisals or internal evaluations, or by discounting the total expected future cash flows. Once the fair value of the collateral has been determined and any impairment amount calculated, a specific reserve allocation is made. Because many of these inputs are not observable, the measurements are classified as Level 3. As of December 31, 2014, the Company identified $7.4 million in impaired loans that had specific allowances for losses aggregating $1.7 million. Related to these loans, there was $5.4 million in charge-offs recorded during the year ended December 31, 2014. As of December 31, 2013, the Company identified $16.3 million in impaired loans that had specific allowances for losses aggregating $4.8 million. Related to these loans, there was $3.2 million in charge-offs recorded during the year ended December 31, 2013. | |||||||||||||||||||||
Other Real Estate Owned and Repossessed Assets | |||||||||||||||||||||
Other real estate owned and repossessed assets consisted of loan collateral that has been repossessed through foreclosure. This collateral comprises of commercial and residential real estate and other non-real estate property, including autos, manufactured homes, and construction equipment. Other real estate owned assets are recorded as held for sale initially at the lower of the loan balance or fair value of the collateral less estimated selling costs. The Company relies on external appraisals and assessment of property values by internal staff. In the case of non-real estate collateral, reliance is placed on a variety of sources, including external estimates of value and judgment based on experience and expertise of internal specialists. Subsequent to foreclosure, valuations are updated periodically, and the assets may be written down to reflect a new cost basis. Because many of these inputs are not observable, the measurements are classified as Level 3. | |||||||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||
in Active | |||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||
Identical | Observable | Unobservable | |||||||||||||||||||
Total | Assets | Inputs | Inputs | Total Gains | |||||||||||||||||
(in thousands) | Fair Value | (Level 1) | (Level 2) | (Level 3) | (Losses)* | ||||||||||||||||
31-Dec-14 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Impaired loans: | |||||||||||||||||||||
Commercial, financial, & agricultural | $ | 1,386 | $ | 0 | $ | 0 | $ | 1,386 | $ | (1,105 | ) | ||||||||||
Real estate construction - residential | 0 | 0 | 0 | 0 | (350 | ) | |||||||||||||||
Real estate construction - commercial | 0 | 0 | 0 | 0 | (491 | ) | |||||||||||||||
Real estate mortgage - residential | 3,322 | 0 | 0 | 3,322 | (332 | ) | |||||||||||||||
Real estate mortgage - commercial | 809 | 0 | 0 | 809 | (2,937 | ) | |||||||||||||||
Consumer | 172 | 0 | 0 | 172 | (148 | ) | |||||||||||||||
Total | $ | 5,689 | $ | 0 | $ | 0 | $ | 5,689 | $ | (5,363 | ) | ||||||||||
Other real estate owned and repossessed assets | $ | 11,885 | $ | 0 | $ | 0 | $ | 11,885 | $ | (1,870 | ) | ||||||||||
31-Dec-13 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Impaired loans: | |||||||||||||||||||||
Commercial, financial, & agricultural | $ | 827 | $ | 0 | $ | 0 | $ | 827 | $ | (735 | ) | ||||||||||
Real estate construction - residential | 1,768 | 0 | 0 | 1,768 | (119 | ) | |||||||||||||||
Real estate construction - commercial | 210 | 0 | 0 | 210 | (498 | ) | |||||||||||||||
Real estate mortgage - residential | 3,022 | 0 | 0 | 3,022 | (376 | ) | |||||||||||||||
Real estate mortgage - commercial | 5,616 | 0 | 0 | 5,616 | (1,457 | ) | |||||||||||||||
Consumer | 27 | 0 | 0 | 27 | 0 | ||||||||||||||||
Total | $ | 11,470 | $ | 0 | $ | 0 | $ | 11,470 | $ | (3,185 | ) | ||||||||||
Other real estate owned and repossessed assets | $ | 14,867 | $ | 0 | $ | 0 | $ | 14,867 | $ | (5,395 | ) | ||||||||||
* | Total gains (losses) reported for other real estate owned and repossessed assets includes charge-offs, valuation write-downs, and net losses taken during the periods reported. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Financial Instruments, Owned, at Fair Value [Abstract] | |||||||||||||||||||||
Fair Value of Financial Instruments | -16 | Fair Value of Financial Instruments | |||||||||||||||||||
The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it is practicable to estimate such value: | |||||||||||||||||||||
Loans | |||||||||||||||||||||
The fair values of loans are estimated by discounting the expected future cash flows using the current rates at which similar loans could be made to borrowers with similar credit ratings and for the same remaining maturities. The net carrying amount of impaired loans is generally based on the fair values of collateral obtained through independent appraisals or internal evaluations, or by discounting the total expected future cash flows. This method of estimating fair value does not incorporate the exit-price concept of fair value prescribed by ASC Topic 820. | |||||||||||||||||||||
Investment Securities | |||||||||||||||||||||
A detailed description of the fair value measurement of the debt instruments in the available-for-sale sections of the investment security portfolio is provided in the Fair Value Measurement section above. A schedule of investment securities by category and maturity is provided in the notes on Investment Securities. | |||||||||||||||||||||
Federal Home Loan Bank (FHLB) Stock | |||||||||||||||||||||
Ownership of equity securities of FHLB is restricted and there is no established market for their resale. The carrying amount is a reasonable estimate of fair value. | |||||||||||||||||||||
Federal Funds Sold, Cash, and Due from Banks | |||||||||||||||||||||
The carrying amounts of short-term federal funds sold and securities purchased under agreements to resell, interest earning deposits with banks, and cash and due from banks approximate fair value. Federal funds sold and securities purchased under agreements to resell classified as short-term generally mature in 90 days or less. | |||||||||||||||||||||
Mortgage Servicing Rights | |||||||||||||||||||||
The fair value of mortgage servicing rights is based on the discounted value of estimated future cash flows utilizing contractual cash flows, servicing rate, constant prepayment rate, servicing cost, and discount rate factors. Accordingly, the fair value is estimated based on a valuation model that calculates the present value of estimated future net servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds, market discount rates, cost to service, float earnings rates, and other ancillary income, including late fees. | |||||||||||||||||||||
Cash Surrender Value – Life Insurance | |||||||||||||||||||||
The fair value of Bank owned life insurance (BOLI) approximates the carrying amount. Upon liquidation of these investments, the Company would receive the cash surrender value which equals the carrying amount. | |||||||||||||||||||||
Accrued Interest Receivable and Payable | |||||||||||||||||||||
For accrued interest receivable and payable, the carrying amount is a reasonable estimate of fair value because of the short maturity for these financial instruments. | |||||||||||||||||||||
Deposits | |||||||||||||||||||||
The fair value of deposits with no stated maturity, such as noninterest-bearing demand, NOWÂ accounts, savings, and money market, is equal to the amount payable on demand. The fair value of time deposits is based on the discounted value of contractual cash flows. The discount rate is estimated using the rates currently offered for deposits of similar remaining maturities. | |||||||||||||||||||||
Securities Sold under Agreements to Repurchase and Interest-bearing Demand Notes to U.S. Treasury | |||||||||||||||||||||
For securities sold under agreements to repurchase and interest-bearing demand notes to U.S. Treasury, the carrying amount is a reasonable estimate of fair value, as such instruments reprice in a short time period. | |||||||||||||||||||||
Subordinated Notes and Other Borrowings | |||||||||||||||||||||
The fair value of subordinated notes and other borrowings is based on the discounted value of contractual cash flows. The discount rate is estimated using the rates currently offered for other borrowed money of similar remaining maturities. | |||||||||||||||||||||
A summary of the carrying amounts and fair values of the Company’s financial instruments at December 31, 2014 and 2013 is as follows: | |||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||
in Active | Net | ||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||
31-Dec-14 | Identical | Observable | Unobservable | ||||||||||||||||||
Carrying | Fair | Assets | Inputs | Inputs | |||||||||||||||||
(in thousands) | amount | value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||
Assets: | |||||||||||||||||||||
Cash and due from banks | $ | 22,364 | $ | 22,364 | $ | 22,364 | $ | 0 | $ | 0 | |||||||||||
Federal funds sold and overnight interest-bearing deposits | 20,445 | 20,445 | 20,445 | 0 | 0 | ||||||||||||||||
Investment in available-for-sale securities | 198,998 | 198,998 | 0 | 198,998 | 0 | ||||||||||||||||
Loans, net | 852,114 | 854,062 | 0 | 0 | 854,062 | ||||||||||||||||
Investment in FHLB stock | 3,075 | 3,075 | 0 | 3,075 | 0 | ||||||||||||||||
Mortgage servicing rights | 2,762 | 2,762 | 0 | 0 | 2,762 | ||||||||||||||||
Cash surrender value - life insurance | 2,284 | 2,284 | 0 | 2,284 | 0 | ||||||||||||||||
Accrued interest receivable | 4,816 | 4,816 | 4,816 | 0 | 0 | ||||||||||||||||
$ | 1,106,858 | $ | 1,108,806 | $ | 47,625 | $ | 204,357 | $ | 856,824 | ||||||||||||
Liabilities: | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Non-interest bearing demand | $ | 207,700 | $ | 207,700 | $ | 207,700 | $ | 0 | $ | 0 | |||||||||||
Savings, interest checking and money market | 442,059 | 442,059 | 442,059 | 0 | 0 | ||||||||||||||||
Time deposits | 319,755 | 321,041 | 0 | 0 | 321,041 | ||||||||||||||||
Federal funds purchased and securities sold under agreements to repurchase | 17,970 | 17,970 | 17,970 | 0 | 0 | ||||||||||||||||
Subordinated notes | 49,486 | 33,371 | 0 | 33,371 | 0 | ||||||||||||||||
Federal Home Loan Bank advances | 43,000 | 44,396 | 0 | 44,396 | 0 | ||||||||||||||||
Accrued interest payable | 373 | 373 | 373 | 0 | 0 | ||||||||||||||||
$ | 1,080,343 | $ | 1,066,910 | $ | 668,102 | $ | 77,767 | $ | 321,041 | ||||||||||||
31-Dec-13 | |||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||
in Active | Net | ||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||
31-Dec-13 | Identical | Observable | Unobservable | ||||||||||||||||||
Carrying | Fair | Assets | Inputs | Inputs | |||||||||||||||||
(in thousands) | amount | value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||
Assets: | |||||||||||||||||||||
Cash and due from banks | $ | 27,079 | $ | 27,079 | $ | 27,079 | $ | 0 | $ | 0 | |||||||||||
Federal funds sold and overnight interest-bearing deposits | 1,360 | 1,360 | 1,360 | 0 | 0 | ||||||||||||||||
Investment in available-for-sale securities | 205,985 | 205,985 | 1,003 | 204,982 | 0 | ||||||||||||||||
Loans, net | 825,828 | 829,223 | 0 | 0 | 829,223 | ||||||||||||||||
Investment in FHLB stock | 2,354 | 2,354 | 0 | 2,354 | 0 | ||||||||||||||||
Mortgage servicing rights | 3,036 | 3,036 | 0 | 0 | 3,036 | ||||||||||||||||
Cash surrender value - life insurance | 2,213 | 2,213 | 0 | 2,213 | 0 | ||||||||||||||||
Accrued interest receivable | 4,999 | 4,999 | 4,999 | 0 | 0 | ||||||||||||||||
$ | 1,072,854 | $ | 1,076,249 | $ | 34,441 | $ | 209,549 | $ | 832,259 | ||||||||||||
Liabilities: | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Non-interest bearing demand | $ | 187,382 | $ | 187,382 | $ | 187,382 | $ | 0 | $ | 0 | |||||||||||
Savings, interest checking and money market | 419,085 | 419,085 | 419,085 | 0 | 0 | ||||||||||||||||
Time deposits | 350,004 | 352,432 | 0 | 0 | 352,432 | ||||||||||||||||
Federal funds purchased and securities sold under agreements to repurchase | 31,084 | 31,084 | 31,084 | 0 | 0 | ||||||||||||||||
Subordinated notes | 49,486 | 32,048 | 0 | 32,048 | 0 | ||||||||||||||||
Federal Home Loan Bank advances | 24,000 | 25,366 | 0 | 25,366 | 0 | ||||||||||||||||
Accrued interest payable | 426 | 426 | 426 | 0 | 0 | ||||||||||||||||
$ | 1,061,467 | $ | 1,047,823 | $ | 637,977 | $ | 57,414 | $ | 352,432 | ||||||||||||
Off-Balance-Sheet Financial Instruments | |||||||||||||||||||||
The fair value of commitments to extend credit and standby letters of credit is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements, the likelihood of the counterparties drawing on such financial instruments, and the present creditworthiness of such counterparties. The Company believes such commitments have been made on terms that are competitive in the markets in which it operates. | |||||||||||||||||||||
Limitations | |||||||||||||||||||||
The fair value estimates provided are made at a point in time based on market information and information about the financial instruments. Because no market exists for a portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the fair value estimates. |
Repurchase_Reserve_Liability
Repurchase Reserve Liability | 12 Months Ended | ||
Dec. 31, 2014 | |||
Repurchase Reserve Liability [Abstract] | |||
Repurchase Reserve Liability | -17 | Repurchase Reserve Liability | |
The Company’s repurchase reserve liability for estimated losses incurred on sold loans was $160,000 at both December 31, 2014, and 2013. This liability represents management’s estimate of the potential repurchase or make-whole liability for residential mortgage loans originated for sale that may arise from representation and warranty claims that could relate to a variety of issues, including but not limited to, misrepresentation of facts, appraisal issues, or program requirements that may not meet investor guidelines. The Company has not experienced any repurchase losses during the year ended December 31, 2014. At December 31, 2014, the Company was servicing 3,057 loans sold to the secondary market with a balance of approximately $313.9 million compared to 3,114 loans sold with a balance of approximately $322.5 million at December 31, 2013. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||
Commitments and Contingencies | -18 | Commitments and Contingencies | |||||||
The Company issues financial instruments with off-balance-sheet risk in the normal course of business of meeting the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. These instruments may involve, to varying degrees, elements of credit and interest rate risk in excess of the amounts recognized in the consolidated balance sheets. | |||||||||
The Company’s extent of involvement and maximum potential exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and standby letters of credit is represented by the contractual amount of these instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for financial instruments included on its consolidated balance sheets. At December 31, 2014, no amounts have been accrued for any estimated losses for these financial instruments. | |||||||||
The contractual amount of off-balance-sheet financial instruments as of December 31, 2014 and 2013 is as follows: | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Commitments to extend credit | $ | 135,137 | $ | 117,880 | |||||
Commitments to originate residential first and second mortgage loans | 1,640 | 1,852 | |||||||
Standby letters of credit | 1,621 | 1,826 | |||||||
Commitments | |||||||||
Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since certain of the commitments and letters of credit are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the customer. Collateral held varies, but may include accounts receivable, inventory, furniture and equipment, and real estate. | |||||||||
Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. These standby letters of credit are primarily issued to support contractual obligations of the Company’s customers. The approximate remaining term of standby letters of credit range from one month to five years at December 31, 2014. | |||||||||
Pending Litigation | |||||||||
The Company and its subsidiaries are defendants in various legal actions incidental to the Company’s past and current business activities. Based on the Company’s analysis, and considering the inherent uncertainties associated with litigation, management does not believe that it is reasonably possible that these legal actions will materially adversely affect the Company’s consolidated financial condition or results of operations in the near term. The Company records a loss accrual for all legal matters for which it deems a loss is probable and can be reasonably estimated. Some legal matters, which are at early stages in the legal process, have not yet progressed to the point where a loss amount can be estimated. |
Condensed_Financial_Informatio
Condensed Financial Information of the Parent Company Only | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Condensed Financial Information of the Parent Company Only | |||||||||||||
Condensed Financial Information of the Parent Company Only | -19 | Condensed Financial Information of the Parent Company Only | |||||||||||
Following are the condensed financial statements of Hawthorn Bancshares, Inc. (Parent only) as of and for the years indicated: | |||||||||||||
Condensed Balance Sheets | |||||||||||||
December 31, | |||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||
Assets | |||||||||||||
Cash and due from bank subsidiaries | $ | 1,024 | $ | 450 | |||||||||
Investment in equity securities | 1,486 | 1,486 | |||||||||||
Investment in subsidiaries | 130,728 | 122,413 | |||||||||||
Premises and equipment | 0 | 0 | |||||||||||
Deferred tax asset | 1,989 | 130 | |||||||||||
Other assets | 308 | 1,011 | |||||||||||
Total assets | $ | 135,535 | $ | 125,490 | |||||||||
Liabilities and Stockholders’ Equity | |||||||||||||
Subordinated notes | $ | 49,486 | $ | 49,486 | |||||||||
Other liabilities | 5,481 | 1,624 | |||||||||||
Stockholders’ equity | 80,568 | 74,380 | |||||||||||
Total liabilities and stockholders’ equity | $ | 135,535 | $ | 125,490 | |||||||||
Condensed Statements of Income | |||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Income | |||||||||||||
Interest and dividends received from subsidiaries | $ | 2,538 | $ | 15,039 | $ | 4,596 | |||||||
Total income | 2,538 | 15,039 | 4,596 | ||||||||||
Expenses | |||||||||||||
Interest on subordinated notes | 1,264 | 1,284 | 1,381 | ||||||||||
Other | 1,730 | 1,778 | 2,889 | ||||||||||
Total expenses | 2,994 | 3,062 | 4,270 | ||||||||||
Income before income tax benefit and | |||||||||||||
equity in undistributed income of subsidiaries | (456 | ) | 11,977 | 326 | |||||||||
Income tax benefit | 1,100 | 1,126 | 2,257 | ||||||||||
Equity in undistributed (losses) income of subsidiaries | 7,010 | (8,129 | ) | 239 | |||||||||
Net income | $ | 7,654 | $ | 4,974 | $ | 2,822 | |||||||
Condensed Statements of Cash Flows | |||||||||||||
For the Years Ended December 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Cash flows from operating activities: | |||||||||||||
Net income | $ | 7,654 | $ | 4,974 | $ | 2,822 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||
Depreciation | 0 | 1 | 1 | ||||||||||
Equity in undistributed (income) losses of subsidiaries | (7,010 | ) | 8,129 | (239 | ) | ||||||||
Stock based compensation expense | 20 | 19 | 29 | ||||||||||
(Increase) decrease in deferred tax asset | (1,415 | ) | 1,325 | (148 | ) | ||||||||
Other, net | 1,942 | (182 | ) | (813 | ) | ||||||||
Net cash provided by operating activities | $ | 1,191 | $ | 14,266 | $ | 1,652 | |||||||
Cash flows from investing activities: | |||||||||||||
Investment in subsidiary | $ | 400 | $ | 4,550 | $ | 1,072 | |||||||
Net cash provided by investing activities | $ | 400 | $ | 4,550 | $ | 1,072 | |||||||
Cash flows from financing activities: | |||||||||||||
Redemption of 18,255 and 12,000 shares, respectively, of preferred stock | $ | 0 | $ | (18,255 | ) | $ | (12,000 | ) | |||||
Cash dividends paid - preferred stock | 0 | (456 | ) | (1,203 | ) | ||||||||
Cash dividends paid - common stock | (1,017 | ) | (978 | ) | (940 | ) | |||||||
Warrant redemption | 0 | (540 | ) | 0 | |||||||||
Net cash used in financing activities | $ | (1,017 | ) | $ | (20,229 | ) | $ | (14,143 | ) | ||||
Net (decrease) increase in cash and due from banks | 574 | (1,413 | ) | (11,419 | ) | ||||||||
Cash and due from banks at beginning of year | 450 | 1,863 | 13,282 | ||||||||||
Cash and due from banks at end of year | $ | 1,024 | $ | 450 | $ | 1,863 |
Quarterly_Financial_Informatio
Quarterly Financial Information (Unaudited) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Quarterly Financial Information (Unaudited) | |||||||||||||||||||||
Quarterly Financial Information (Unaudited) | -20 | Quarterly Financial Information (Unaudited) | |||||||||||||||||||
Year | |||||||||||||||||||||
First | Second | Third | Fourth | to | |||||||||||||||||
(In thousands except per share data) | quarter | quarter | quarter | quarter | Date | ||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||||||
Interest income | $ | 10,963 | $ | 11,125 | $ | 11,196 | $ | 11,214 | $ | 44,498 | |||||||||||
Interest expense | 1,309 | 1,278 | 1,240 | 1,217 | 5,044 | ||||||||||||||||
Net interest income | 9,654 | 9,847 | 9,956 | 9,997 | 39,454 | ||||||||||||||||
Provision for loan losses | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||
Noninterest income | 2,085 | 2,183 | 2,313 | 2,168 | 8,749 | ||||||||||||||||
Noninterest expense | 8,707 | 8,811 | 9,899 | 9,090 | 36,507 | ||||||||||||||||
Income tax expense | 1,045 | 1,121 | 802 | 1,074 | 4,042 | ||||||||||||||||
Net income available to common stockholders | $ | 1,987 | $ | 2,098 | $ | 1,568 | $ | 2,001 | $ | 7,654 | |||||||||||
Net income per share: | |||||||||||||||||||||
Basic earnings per share | $ | 0.38 | $ | 0.4 | $ | 0.3 | $ | 0.38 | $ | 1.46 | |||||||||||
Diluted earnings per share | 0.38 | 0.4 | 0.3 | 0.38 | 1.46 | ||||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Interest income | $ | 11,545 | $ | 11,592 | $ | 11,298 | $ | 11,230 | $ | 45,665 | |||||||||||
Interest expense | 1,816 | 1,777 | 1,433 | 1,316 | 6,342 | ||||||||||||||||
Net interest income | 9,729 | 9,815 | 9,865 | 9,914 | 39,323 | ||||||||||||||||
Provision for loan losses | 1,000 | 1,000 | 0 | 30 | 2,030 | ||||||||||||||||
Noninterest income | 3,007 | 3,088 | 2,447 | 2,324 | 10,866 | ||||||||||||||||
Noninterest expense | 11,934 | 9,281 | 9,972 | 9,576 | 40,763 | ||||||||||||||||
Income tax (benefit) expense | (62 | ) | 810 | 771 | 903 | 2,422 | |||||||||||||||
Net (loss) income | $ | (136 | ) | $ | 1,812 | $ | 1,569 | $ | 1,729 | $ | 4,974 | ||||||||||
Preferred stock dividends and Accretion of discount | 295 | 320 | 0 | 0 | 615 | ||||||||||||||||
Net income (loss) available to common stockholders | $ | (431 | ) | $ | 1,492 | $ | 1,569 | $ | 1,729 | $ | 4,359 | ||||||||||
Net income (loss) per share: | |||||||||||||||||||||
Basic (loss) earnings per share | $ | (0.08 | ) | $ | 0.29 | $ | 0.3 | $ | 0.33 | $ | 0.83 | ||||||||||
Diluted (loss) earnings per share | (0.08 | ) | 0.29 | 0.3 | 0.33 | 0.83 |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation |
In December of 2008 and March of 2010, the Company formed Hawthorn Real Estate, LLC, and Real Estate Holdings of Missouri, LLC, respectively (the Real Estate Companies); both are wholly owned subsidiaries of the Company. The consolidated financial statements include the accounts of the Company, Hawthorn Bank (the Bank), and the Real Estate Companies. All significant intercompany accounts and transactions have been eliminated in consolidation. | |
Loans | Loans |
Loans that the Company has the intent and ability to hold for the foreseeable future or maturity are held for investment at their stated unpaid principal balance amount less unearned income and the allowance for loan losses. Income on loans is accrued on a simple-interest basis. Loan origination fees and certain direct costs are deferred and recognized over the life of the loan as an adjustment to yield. | |
Loans Held for Sale | |
The Bank originates certain loans, which are sold in the secondary market. These long-term, fixed rate loans are typically classified as held for sale upon origination based on management’s intent to sell and are accounted for at the lower of adjusted cost or fair value. Adjusted cost reflects the funded loan amount and any loan origination costs and fees. In order to manage the risk associated with such activities, the Company upon locking in an interest rate with the borrower enters into an agreement to sell such loans in the secondary market. Loans held for sale are typically sold with servicing rights retained and without recourse except for normal and customary representation and warranty provisions. At December 31, 2014, there were no mortgage loans that were held for sale in comparison to $95,882 loans held for sale at December 31, 2013. | |
Impaired Loans | |
A loan is considered impaired when it is probable the Company will be unable to collect all amounts due, both principal and interest, according to the contractual terms of the loan agreement. Included in impaired loans are all non-accrual loans and loans whose terms have been modified in a troubled debt restructuring. Impaired loans are individually evaluated for impairment based on fair values of the underlying collateral, obtained through independent appraisals or internal valuations for a collateral dependent loan or by discounting the total expected future cash flows. | |
Non-Accrual Loans | |
Loans are placed on nonaccrual status when management believes that the borrower’s financial condition, after consideration of business conditions and collection efforts, is such that collection of interest is doubtful. Loans that are contractually 90 days past due as to principal and/or interest payments are generally placed on non-accrual, unless they are both well-secured and in the process of collection. Subsequent interest payments received on such loans are applied to principal if doubt exists as to the collectability of such principal; otherwise, such receipts are recorded as interest income on a cash basis. A loan remains on nonaccrual status until the loan is current as to payment of both principal and interest and/or the borrower demonstrates the ability to pay and remain current. | |
Restructured Loans | |
A modified or restructured loan is accounted for as a troubled debt restructuring (TDR) for any loans in which concessions are made to the borrower for economic or legal reasons that the Company would not otherwise consider and the borrower is experiencing financial difficulty. A loan classified as a TDR will generally retain such classification until the loan is paid in full. Non-accrual TDRs are returned to accruing status once the borrower demonstrates the ability to pay under the terms of the restructured note through a sustained period of repayment performance, which is generally six months. The Company includes all accruing and non-accruing TDRs in the impaired and non-performing asset totals. TDRs are measured for impairment loss by using fair values of the underlying collateral obtained through independent appraisals and internal evaluations, or by discounting the total expected future cash flows. | |
Allowance for Loan Losses | Allowance for Loan Losses |
Management has identified the accounting policy related to the allowance for loan losses as critical to the understanding of the Company’s results of operations, since the application of this policy requires significant management assumptions and estimates that could result in materially different amounts to be reported if conditions or underlying circumstances were to change. Many of the loans are deemed collateral dependent for purposes of the measurement of the impairment loss, thus the fair value of the underlying collateral and sensitivity of such fair values due to changing market conditions, supply and demand, condition of the collateral and other factors can be volatile over periods of time. Such volatility can have an impact on the financial performance of the Company. | |
  | |
Loans, or portions of loans, are charged off to the extent deemed uncollectible or a loss is confirmed. When loans become 90 days past due, they are generally placed on nonaccrual status or charged off unless extenuating circumstances justify leaving the loan on accrual basis. When loans reach 120 days past due and there is little likelihood of repayment, they are charged off. Loan charge-offs reduce the allowance for loan losses, and recoveries of loans previously charged off are added back to the allowance. If management determines that it is probable that all amounts due on a loan will not be collected under the original terms of the loan agreement, the loan is considered to be impaired. These loans are evaluated individually for impairment, and in conjunction with current economic conditions and loss experience, specific reserves are estimated. Loans not individually evaluated are aggregated by risk characteristics and reserves are recorded using a consistent methodology that considers historical loan loss experience by loan type, delinquencies, current economic conditions, loan risk ratings, and industry concentration adjusted for certain qualitative factors to reflect current risk characteristics of the portfolio. In addition, the combined historical loan loss rates and qualitative factors are multiplied by loss emergence periods which represent the estimated time period between a borrower first experiencing financial difficulty and the recognition of a potential loss. Although the allowance for loan losses are comprised of specific and general allocations, the entire allowance is available to absorb credit losses. | |
The specific reserve component applies to loans evaluated individually for impairment. The net carrying value of impaired loans is generally based on the fair values of collateral obtained through independent appraisals and/or internal evaluations, or by discounting the total expected future cash flows. Once the impairment amount is calculated, a specific reserve allocation is recorded. The incurred loss component of the general reserve, or loans collectively evaluated for impairment, is determined by applying loss rates to pools of loans by asset type. Loans not individually evaluated are aggregated by risk characteristics and reserves are recorded using a consistent methodology that considers historical loan loss experience by loan type, delinquencies, current economic conditions, loan risk ratings, and industry concentration adjusted for certain qualitative factors to reflect current risk characteristics of the portfolio. In addition, the combined historical loan loss rates and qualitative factors are multiplied by loss emergence periods (LEP) which represent the estimated time period between a borrower first experiencing financial difficulty and the recognition of a loss. Management determined that the previous twelve quarters were reflective of the loss characteristics of the Company’s loan portfolio during the recent economic environment. These historical loss rates for each risk group are used as the starting point to determine loss rates for measurement purposes. The Company’s methodology includes qualitative factors that allow management to adjust its estimates of losses based on the most recent information available. These factors reflect actual changes and anticipated changes such as changes in specific allowances on loans and real estate acquired through foreclosure, any gains and losses on final disposition of real estate acquired through foreclosure, changes in national and local economic conditions and developments, including general economic and business conditions affecting the Company’s key lending areas, credit quality trends, specific industry conditions within portfolio segments, bank regulatory examination results, and findings of the internal loan review department. These risk factors are generally reviewed and updated quarterly, as appropriate. | |
Investment in Debt and Equity Securities | Investment in Debt and Equity Securities |
At the time of purchase, debt securities are classified into one of two categories: available-for-sale or held-to-maturity. Held-to-maturity securities are those securities which the Company has the positive intent and ability to hold until maturity. All debt securities not classified as held-to-maturity are classified as available-for-sale. The Company’s securities are classified as available-for-sale and are carried at fair value. Changes in fair value, excluding certain losses associated with other-than-temporary impairment, are reported in other comprehensive income, net of taxes, a component of stockholders’ equity. Securities are periodically evaluated for other-than-temporary impairment in accordance with guidance provided in the FASB ASC Topic 320, Investments – Debt and Equity Securities. For those securities with other-than-temporary impairment, the entire loss in fair value is required to be recognized in current earnings if the Company intends to sell the securities or believes it more likely than not that it will be required to sell the security before the anticipated recovery. If neither condition is met, but the Company does not expect to recover the amortized cost basis, the Company determines whether a credit loss has occurred, which is then recognized in current earnings. The amount of the total other-than-temporary impairment related to all other factors is recognized in other comprehensive income. | |
Premiums and discounts are amortized using the interest method over the lives of the respective securities, with consideration of historical and estimated prepayment rates for mortgage-backed securities, as an adjustment to yield. Dividend and interest income are recognized when earned. Realized gains and losses for securities classified as available-for-sale are included in earnings based on the specific identification method for determining the cost of securities sold. | |
Capital Stock of the Federal Home Loan Bank | Capital Stock of the Federal Home Loan Bank |
The Bank, as a member of the Federal Home Loan Bank System administered by the Federal Housing Finance Agency, is required to maintain an investment in the capital stock of the Federal Home Loan Bank of Des Moines (FHLB) in an amount equal to 12 basis points of the Bank’s year-end total assets plus 4.00% of advances from the FHLB to the Bank. These investments are recorded at cost, which represents redemption value. | |
Premises and Equipment | Premises and Equipment |
Premises and equipment are stated at cost, less accumulated depreciation. Depreciation applicable to buildings and improve-ments and furniture and equipment is charged to expense using straight-line and accelerated methods over the estimated useful lives of the assets. Such lives are estimated to be 5 to 40 years for buildings and improvements and 3 to 15 years for furniture and equipment. Maintenance and repairs are charged to expense as incurred. | |
Core Deposit Intangibles | Core Deposit Intangibles |
Intangible assets that have finite useful lives, such as core deposit intangibles, are amortized over their estimated useful lives. Core deposit intangibles are amortized over periods of 7 to 8 years representing their estimated lives using straight line and accelerated methods. | |
When facts and circumstances indicate potential impairment of amortizable intangible assets, the Company evaluates the recoverability of the carrying value based upon future cash flows expected to result from the use of the underlying asset and its eventual disposition. If the sum of the expected future cash flows (undiscounted and without interest charges) is less than the carrying value of the underlying asset, the Company recognizes an impairment loss. The impairment loss recognized represents the amount by which the carrying value of the underlying asset exceeds the fair value of the underlying asset. | |
Mortgage Servicing Rights | Mortgage Servicing Rights |
The Company originates and sells residential mortgage loans in the secondary market and may retain the right to service the loans sold. Servicing involves the collection of payments from individual borrowers and the distribution of those payments to the investors or master servicer. Upon a sale of mortgage loans for which servicing rights are retained, the retained mortgage servicing rights asset is capitalized at the fair value of future net cash flows expected to be realized for performing servicing activities. | |
Mortgage servicing rights do not trade in an active market with readily observable prices. The Company determines the fair value of mortgage servicing rights by estimating the fair value of the future cash flows associated with the mortgage loans being serviced. Key economic assumptions used in measuring the fair value of mortgage servicing rights include, but are not limited to, prepayment speeds, discount rates, delinquencies, ancillary income, and cost to service. These assumptions are validated on a periodic basis. The fair value is validated on a quarterly basis with an independent third party valuation specialist firm. | |
On January 1, 2012, the Company opted to measure mortgage servicing rights at fair value as permitted by Accounting Standards Codification (ASC) Topic 860-50, Accounting for Servicing Financial Assets. The election of this option resulted in the recognition of a cumulative effect of change in accounting principle of  $459,890, which was recorded as an increase to beginning retained earnings. As such, effective January 1, 2012, changes in the fair value of mortgage servicing rights have been recognized in real estate servicing fees, net in non-interest income in the Company’s Consolidated Statements of Income in the period in which the change occurred. | |
In addition to the changes in fair value of the mortgage servicing rights, the Company also recorded loan servicing fee income as part of real estate servicing fees, net in the statement of income. Loan servicing fee income represents revenue earned for servicing mortgage loans. The servicing fees are based on contractual percentage of the outstanding principal balance and recognized as revenue as the related mortgage payments are collected. Corresponding loan servicing costs are changed to expense as incurred. | |
Other Real Estate Owned and Repossessed Assets | Other Real Estate Owned and Repossessed Assets |
Other real estate owned and repossessed assets consist of loan collateral that has been repossessed through foreclosure. This collateral is comprised of commercial and residential real estate and other non-real estate property, including autos, manufactured homes, and construction equipment. Other real estate owned assets are initially recorded as held for sale at the fair value of the collateral less estimated selling costs. Any adjustment is recorded as a charge-off against the allowance for loan losses. The Company relies on external appraisals and assessment of property values by internal staff. In the case of non-real estate collateral, reliance is placed on a variety of sources, including external estimates of value and judgment based on experience and expertise of internal specialists. Subsequent to foreclosure, valuations are updated periodically, and the assets may be written down to reflect a new cost basis. The write-downs are recorded as other real estate expense. The Company establishes a valuation allowance related to other real estate owned on an asset-by-asset basis. The valuation allowance is created during the holding period when the fair value less cost to sell is lower than the cost of the property. | |
Pension Plan | Pension Plan |
The Company provides a noncontributory defined benefit pension plan for all full-time employees. The benefits are based on age, years of service and the level of compensation during the employees highest ten years of compensation before retirement. Net periodic costs are recognized as employees render the services necessary to earn the retirement benefits. The Company records annual amounts relating to its pension plan based on calculations that incorporate various actuarial and other assumptions including discount rates, mortality, assumed rates of return, compensation increases, and turnover rates. The Company reviews its assumptions on an annual basis and may make modifications to the assumptions based on current rates and trends when it is appropriate to do so. The Company believes that the assumptions utilized in recording its obligations under its plan are reasonable based on its experience and market conditions. | |
The Company follows authoritative guidance included in the FASB ASC Topic 715, Compensation – Retirement Plans under the subtopic Employers’ Accounting for Defined Benefit Pension and Other Postretirement Plans. ASC Topic 715 requires an employer to recognize the overfunded or underfunded status of a defined benefit postretirement plan (other than a multiemployer plan) as an asset or liability in its consolidated balance sheet and to recognize changes in the funded status in the year in which the changes occur through comprehensive income. This guidance also requires an employer to measure the funded status of a plan as of the date of its fiscal year-end, with limited exceptions. Additional disclosures are required to provide users with an understanding of how investment allocation decisions are made, major categories of plan assets, and fair value measurement of plan assets as defined in ASC Topic 820, Fair Value Measurements and Disclosures. | |
Income Taxes | Income Taxes |
Income taxes are accounted for under the asset / liability method by recognizing the amount of taxes payable or refundable for the current period and deferred tax assets and liabilities for future tax consequences of events that have been recognized in the Company’s financial statements or tax returns. Judgment is required in addressing the Company’s future tax consequences of events that have been recognized in the consolidated financial statements or tax returns such as realization of the effects of temporary differences, net operating loss carry forwards and changes in tax laws or interpretations thereof. A valuation allowance is established when in the judgment of management, it is more likely than not that such deferred tax assets will not become realizable. In this case, the Company would adjust the recorded value of our deferred tax asset, which would result in a direct charge to income tax expense in the period that the determination was made. Likewise, the Company would reverse the valuation allowance when it is expected to realize the deferred tax asset. The Company has not recognized any tax liabilities or any interest or penalties in income tax expense related to uncertain tax positions as of December 31, 2014, 2013, and 2012. | |
Trust Department | Trust Department |
Property held by the Bank in a fiduciary or agency capacity for customers is not included in the accompanying consolidated balance sheets, since such items are not assets of the Company. Trust department income is recognized on the accrual basis. | |
Consolidated Statements of Cash Flows | Consolidated Statements of Cash Flows |
For the purpose of the consolidated statements of cash flows, cash and cash equivalents consist of short-term federal funds sold and securities sold or purchased under agreements to resell, interest earning deposits with banks, cash, and due from banks. | |
Stock-Based Compensation | |
The Company’s stock-based employee compensation plan is described in Note 12, Stock Compensation. In accordance with FASB ASC Topic 718, Compensation – Stock Compensation, the Company measures the cost of the stock-based compensation based on the grant-date fair value of the award, recognizing the cost over the requisite service period. The fair value of an award is estimated using the Black-Scholes option-pricing model. The expense recognized is based on an estimation of the number of awards for which the requisite service is expected to be rendered, and is included in salaries and employee benefits in the accompanying Consolidated Statements of Income. The standard also requires that excess tax benefits related to stock option exercises be reflected as financing cash inflows instead of operating cash inflows. | |
Treasury Stock | Treasury Stock |
The purchase of the Company’s common stock is recorded at cost. Purchases of the stock are made both in the open market and through negotiated private purchases based on market prices. At the date of subsequent reissue, the treasury stock account is reduced by the cost associated with such stock on a first-in-first-out basis. | |
Reclassifications | Reclassifications |
Certain prior year information has been reclassified to conform to the current year presentation. |
Loans_and_Allowance_for_Loan_L1
Loans and Allowance for Loan Losses (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||
Loans and Leases Receivable Disclosure [Abstract] | |||||||||||||||||||||||||||||||||
Schedule of summary of loans, by major class within the Company's loan portfolio | (in thousands) | 2014 | 2013 | ||||||||||||||||||||||||||||||
Commercial, financial, and agricultural | $ | 154,834 | $ | 141,845 | |||||||||||||||||||||||||||||
Real estate construction - residential | 18,103 | 21,008 | |||||||||||||||||||||||||||||||
Real estate construction - commercial | 48,822 | 55,076 | |||||||||||||||||||||||||||||||
Real estate mortgage - residential | 247,117 | 225,630 | |||||||||||||||||||||||||||||||
Real estate mortgage - commercial | 372,321 | 375,686 | |||||||||||||||||||||||||||||||
Installment and other consumer | 20,016 | 20,302 | |||||||||||||||||||||||||||||||
Total loans | $ | 861,213 | $ | 839,547 | |||||||||||||||||||||||||||||
Schedule of loans to directors and executive officers | (in thousands) | ||||||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 4,837 | |||||||||||||||||||||||||||||||
New loans | 478 | ||||||||||||||||||||||||||||||||
Amounts collected | (375 | ) | |||||||||||||||||||||||||||||||
Balance at December 31, 2014 | $ | 4,940 | |||||||||||||||||||||||||||||||
Schedule of summary of the allowance for loan losses | Commercial, | Real Estate | Real Estate | Real Estate | Real Estate | Installment | |||||||||||||||||||||||||||
Financial, & | Construction - | Construction - | Mortgage - | Mortgage - | Loans to | Un- | |||||||||||||||||||||||||||
(in thousands) | Agricultural | Residential | Commercial | Residential | Commercial | Individuals | allocated | Total | |||||||||||||||||||||||||
Balance at December 31, 2011 | $ | 1,804 | $ | 1,188 | $ | 1,562 | $ | 3,251 | $ | 5,734 | $ | 267 | $ | 3 | $ | 13,809 | |||||||||||||||||
Additions: | |||||||||||||||||||||||||||||||||
Provision for loan losses | 1,732 | (523 | ) | 126 | 955 | 6,318 | 293 | (1 | ) | 8,900 | |||||||||||||||||||||||
Deductions: | |||||||||||||||||||||||||||||||||
Loans charged off | 1,760 | 0 | 0 | 977 | 5,466 | 586 | 0 | 8,789 | |||||||||||||||||||||||||
Less recoveries on loans | (161 | ) | (67 | ) | (23 | ) | (158 | ) | (248 | ) | (265 | ) | 0 | (922 | ) | ||||||||||||||||||
Net loans charged off | 1,599 | (67 | ) | (23 | ) | 819 | 5,218 | 321 | 0 | 7,867 | |||||||||||||||||||||||
Balance at December 31, 2012 | $ | 1,937 | $ | 732 | $ | 1,711 | $ | 3,387 | $ | 6,834 | $ | 239 | $ | 2 | $ | 14,842 | |||||||||||||||||
Additions: | |||||||||||||||||||||||||||||||||
Provision for loan losses | 992 | 318 | (452 | ) | 273 | 622 | 272 | 5 | 2,030 | ||||||||||||||||||||||||
Deductions: | |||||||||||||||||||||||||||||||||
Loans charged off | 895 | 119 | 633 | 812 | 1,301 | 420 | 0 | 4,180 | |||||||||||||||||||||||||
Less recoveries on loans | (340 | ) | 0 | (5 | ) | (111 | ) | (368 | ) | (203 | ) | 0 | (1,027 | ) | |||||||||||||||||||
Net loans charged off | 555 | 119 | 628 | 701 | 933 | 217 | 0 | 3,153 | |||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 2,374 | $ | 931 | $ | 631 | $ | 2,959 | $ | 6,523 | $ | 294 | $ | 7 | $ | 13,719 | |||||||||||||||||
Additions: | |||||||||||||||||||||||||||||||||
Provision for loan losses | 371 | (592 | ) | 326 | (226 | ) | (107 | ) | 195 | 33 | 0 | ||||||||||||||||||||||
Deductions: | |||||||||||||||||||||||||||||||||
Loans charged off | 1,285 | 349 | 491 | 408 | 2,890 | 405 | 0 | 5,828 | |||||||||||||||||||||||||
Less recoveries on loans | (319 | ) | (181 | ) | 0 | (202 | ) | (320 | ) | (186 | ) | 0 | (1,208 | ) | |||||||||||||||||||
Net loans charged off | 966 | 168 | 491 | 206 | 2,570 | 219 | 0 | 4,620 | |||||||||||||||||||||||||
Balance at December 31, 2014 | $ | 1,779 | $ | 171 | $ | 466 | $ | 2,527 | $ | 3,846 | $ | 270 | $ | 40 | $ | 9,099 | |||||||||||||||||
  | |||||||||||||||||||||||||||||||||
Commercial, | Real Estate | Real Estate | Real Estate | Real Estate | Installment | ||||||||||||||||||||||||||||
Financial, and | Construction - | Construction - | Mortgage - | Mortgage - | Loans to | Un- | |||||||||||||||||||||||||||
(in thousands) | Agricultural | Residential | Commercial | Residential | Commercial | Individuals | allocated | Total | |||||||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||||||||||
Allowance for loan losses: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 134 | $ | 0 | $ | 0 | $ | 1,343 | $ | 246 | $ | 26 | $ | 0 | $ | 1,749 | |||||||||||||||||
Collectively evaluated for impairment | 1,645 | 171 | 466 | 1,184 | 3,600 | 244 | 40 | 7,350 | |||||||||||||||||||||||||
Total | $ | 1,779 | $ | 171 | $ | 466 | $ | 2,527 | $ | 3,846 | $ | 270 | $ | 40 | $ | 9,099 | |||||||||||||||||
Loans outstanding: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 7,541 | $ | 1,750 | $ | 2,096 | $ | 7,878 | $ | 16,464 | $ | 234 | $ | 0 | $ | 35,963 | |||||||||||||||||
Collectively evaluated for impairment | 147,293 | 16,353 | 46,726 | 239,239 | 355,857 | 19,782 | 0 | 825,250 | |||||||||||||||||||||||||
Total | $ | 154,834 | $ | 18,103 | $ | 48,822 | $ | 247,117 | $ | 372,321 | $ | 20,016 | $ | 0 | $ | 861,213 | |||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||
Allowance for loan losses: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 721 | $ | 392 | $ | 304 | $ | 1,374 | $ | 1,989 | $ | 16 | $ | 0 | $ | 4,796 | |||||||||||||||||
Collectively evaluated for impairment | 1,653 | 539 | 327 | 1,585 | 4,534 | 278 | 7 | 8,923 | |||||||||||||||||||||||||
Total | $ | 2,374 | $ | 931 | $ | 631 | $ | 2,959 | $ | 6,523 | $ | 294 | $ | 7 | $ | 13,719 | |||||||||||||||||
Loans outstanding: | |||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 4,015 | $ | 2,204 | $ | 6,615 | $ | 6,517 | $ | 15,422 | $ | 43 | $ | 0 | $ | 34,816 | |||||||||||||||||
Collectively evaluated for impairment | 137,830 | 18,804 | 48,461 | 219,113 | 360,264 | 20,259 | 0 | 804,731 | |||||||||||||||||||||||||
Total | $ | 141,845 | $ | 21,008 | $ | 55,076 | $ | 225,630 | $ | 375,686 | $ | 20,302 | $ | 0 | $ | 839,547 | |||||||||||||||||
Schedule of impaired loans | (in thousands) | 2014 | 2013 | ||||||||||||||||||||||||||||||
Non-accrual loans | $ | 18,243 | $ | 23,680 | |||||||||||||||||||||||||||||
Troubled debt restructurings continuing to accrue interest | 17,720 | 11,395 | |||||||||||||||||||||||||||||||
Total impaired loans | $ | 35,963 | $ | 35,075 | |||||||||||||||||||||||||||||
  | |||||||||||||||||||||||||||||||||
Unpaid | |||||||||||||||||||||||||||||||||
Recorded | Principal | Specific | |||||||||||||||||||||||||||||||
(in thousands) | Investment | Balance | Reserves | ||||||||||||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 6,021 | $ | 6,232 | $ | 0 | |||||||||||||||||||||||||||
Real estate - construction residential | 1,750 | 2,259 | 0 | ||||||||||||||||||||||||||||||
Real estate - construction commercial | 2,096 | 2,319 | 0 | ||||||||||||||||||||||||||||||
Real estate - residential | 3,213 | 3,270 | 0 | ||||||||||||||||||||||||||||||
Real estate - commercial | 15,409 | 18,950 | 0 | ||||||||||||||||||||||||||||||
Consumer | 36 | 36 | 0 | ||||||||||||||||||||||||||||||
Total | $ | 28,525 | $ | 33,066 | $ | 0 | |||||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 1,520 | $ | 1,528 | $ | 134 | |||||||||||||||||||||||||||
Real estate - construction residential | 0 | 0 | 0 | ||||||||||||||||||||||||||||||
Real estate - construction commercial | 0 | 0 | 0 | ||||||||||||||||||||||||||||||
Real estate - residential | 4,665 | 3,546 | 1,343 | ||||||||||||||||||||||||||||||
Real estate - commercial | 1,055 | 1,171 | 246 | ||||||||||||||||||||||||||||||
Consumer | 198 | 237 | 26 | ||||||||||||||||||||||||||||||
Total | $ | 7,438 | $ | 6,482 | $ | 1,749 | |||||||||||||||||||||||||||
Total impaired loans | $ | 35,963 | $ | 39,548 | $ | 1,749 | |||||||||||||||||||||||||||
Unpaid | |||||||||||||||||||||||||||||||||
Recorded | Principal | Specific | |||||||||||||||||||||||||||||||
(in thousands) | Investment | Balance | Reserves | ||||||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 2,467 | $ | 2,593 | $ | 0 | |||||||||||||||||||||||||||
Real estate - construction residential | 44 | 80 | 0 | ||||||||||||||||||||||||||||||
Real estate - construction commercial | 6,101 | 7,148 | 0 | ||||||||||||||||||||||||||||||
Real estate - residential | 2,121 | 2,654 | 0 | ||||||||||||||||||||||||||||||
Real estate - commercial | 7,817 | 8,056 | 0 | ||||||||||||||||||||||||||||||
Consumer | 259 | 282 | 0 | ||||||||||||||||||||||||||||||
Total | $ | 18,809 | $ | 20,813 | $ | 0 | |||||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 1,548 | $ | 1,607 | $ | 721 | |||||||||||||||||||||||||||
Real estate - construction residential | 2,160 | 2,331 | 392 | ||||||||||||||||||||||||||||||
Real estate - construction commercial | 514 | 514 | 304 | ||||||||||||||||||||||||||||||
Real estate - residential | 4,396 | 4,570 | 1,374 | ||||||||||||||||||||||||||||||
Real estate - commercial | 7,605 | 7,925 | 1,989 | ||||||||||||||||||||||||||||||
Consumer | 43 | 45 | 16 | ||||||||||||||||||||||||||||||
Total | $ | 16,266 | $ | 16,992 | $ | 4,796 | |||||||||||||||||||||||||||
Total impaired loans | $ | 35,075 | $ | 37,805 | $ | 4,796 | |||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||
Interest | Interest | ||||||||||||||||||||||||||||||||
Average | Recognized | Average | Recognized | ||||||||||||||||||||||||||||||
Recorded | For the | Recorded | For the | ||||||||||||||||||||||||||||||
(in thousands) | Investment | Period Ended | Investment | Period Ended | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 3,141 | $ | 94 | $ | 2,693 | $ | 108 | |||||||||||||||||||||||||
Real estate - construction residential | 610 | 2 | 80 | 0 | |||||||||||||||||||||||||||||
Real estate - construction commercial | 5,950 | 0 | 7,437 | 6 | |||||||||||||||||||||||||||||
Real estate - residential | 3,517 | 46 | 2,612 | 51 | |||||||||||||||||||||||||||||
Real estate - commercial | 13,703 | 400 | 8,461 | 170 | |||||||||||||||||||||||||||||
Consumer | 11 | 0 | 290 | 3 | |||||||||||||||||||||||||||||
Total | $ | 26,932 | $ | 542 | $ | 21,573 | $ | 338 | |||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 1,773 | $ | 19 | $ | 1,677 | $ | 29 | |||||||||||||||||||||||||
Real estate - construction residential | 1,697 | 0 | 2,409 | 0 | |||||||||||||||||||||||||||||
Real estate - construction commercial | 42 | 0 | 514 | 0 | |||||||||||||||||||||||||||||
Real estate - residential | 5,118 | 129 | 4,596 | 24 | |||||||||||||||||||||||||||||
Real estate - commercial | 3,810 | 11 | 8,157 | 113 | |||||||||||||||||||||||||||||
Consumer | 312 | 0 | 45 | 0 | |||||||||||||||||||||||||||||
Total | $ | 12,752 | $ | 159 | $ | 17,398 | $ | 166 | |||||||||||||||||||||||||
Total impaired loans | $ | 39,684 | $ | 701 | $ | 38,971 | $ | 504 | |||||||||||||||||||||||||
Schedule of aging information for the Company's past due and non-accrual loans | Current or | 90 Days | |||||||||||||||||||||||||||||||
Less Than | Past Due | ||||||||||||||||||||||||||||||||
30 Days | 30 - 89 Days | And Still | |||||||||||||||||||||||||||||||
(in thousands) | Past Due | Past Due | Accruing | Non-Accrual | Total | ||||||||||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||||||||||
Commercial, Financial, and Agricultural | $ | 149,366 | $ | 189 | $ | 0 | $ | 5,279 | $ | 154,834 | |||||||||||||||||||||||
Real Estate Construction - Residential | 16,352 | 0 | 0 | 1,751 | 18,103 | ||||||||||||||||||||||||||||
Real Estate Construction - Commercial | 46,670 | 0 | 56 | 2,096 | 48,822 | ||||||||||||||||||||||||||||
Real Estate Mortgage - Residential | 239,469 | 3,229 | 0 | 4,419 | 247,117 | ||||||||||||||||||||||||||||
Real Estate Mortgage - Commercial | 366,653 | 1,203 | 0 | 4,465 | 372,321 | ||||||||||||||||||||||||||||
Installment and Other Consumer | 19,551 | 230 | 2 | 233 | 20,016 | ||||||||||||||||||||||||||||
Total | $ | 838,061 | $ | 4,851 | $ | 58 | $ | 18,243 | $ | 861,213 | |||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||
Commercial, Financial, and Agricultural | $ | 139,219 | $ | 942 | $ | 0 | $ | 1,684 | $ | 141,845 | |||||||||||||||||||||||
Real Estate Construction - Residential | 18,738 | 66 | 0 | 2,204 | 21,008 | ||||||||||||||||||||||||||||
Real Estate Construction - Commercial | 48,230 | 595 | 0 | 6,251 | 55,076 | ||||||||||||||||||||||||||||
Real Estate Mortgage - Residential | 217,268 | 4,068 | 129 | 4,165 | 225,630 | ||||||||||||||||||||||||||||
Real Estate Mortgage - Commercial | 365,787 | 725 | 100 | 9,074 | 375,686 | ||||||||||||||||||||||||||||
Installment and Other Consumer | 19,695 | 291 | 14 | 302 | 20,302 | ||||||||||||||||||||||||||||
Total | $ | 808,937 | $ | 6,687 | $ | 243 | $ | 23,680 | $ | 839,547 | |||||||||||||||||||||||
Schedule of risk categories by class | (in thousands) | Commercial, | Real Estate | Real Estate | Real Estate | Real Estate | Installment | Total | |||||||||||||||||||||||||
Financial, & | Construction - | Construction - | Mortgage - | Mortgage - | and other | ||||||||||||||||||||||||||||
Agricultural | Residential | Commercial | Residential | Commercial | Consumer | ||||||||||||||||||||||||||||
At December 31, 2014 | |||||||||||||||||||||||||||||||||
Watch | $ | 13,651 | $ | 1,103 | $ | 4,757 | $ | 27,172 | $ | 18,191 | $ | 199 | $ | 65,073 | |||||||||||||||||||
Substandard | 3,188 | 90 | 1,211 | 6,583 | 16,101 | 139 | 27,312 | ||||||||||||||||||||||||||
Non-accrual | 5,279 | 1,751 | 2,096 | 4,419 | 4,465 | 233 | 18,243 | ||||||||||||||||||||||||||
Total | $ | 22,118 | $ | 2,944 | $ | 8,064 | $ | 38,174 | $ | 38,757 | $ | 571 | $ | 110,628 | |||||||||||||||||||
At December 31, 2013 | |||||||||||||||||||||||||||||||||
Watch | $ | 15,016 | $ | 2,007 | $ | 6,111 | $ | 26,331 | $ | 23,662 | $ | 388 | $ | 73,515 | |||||||||||||||||||
Substandard | 7,553 | 92 | 1,403 | 8,579 | 14,510 | 281 | 32,418 | ||||||||||||||||||||||||||
Non-accrual | 1,684 | 2,204 | 6,251 | 4,165 | 9,074 | 302 | 23,680 | ||||||||||||||||||||||||||
Total | $ | 24,253 | $ | 4,303 | $ | 13,765 | $ | 39,075 | $ | 47,246 | $ | 971 | $ | 129,613 | |||||||||||||||||||
Schedule of summary of loans that were modified as TDRs | 2014 | 2013 | |||||||||||||||||||||||||||||||
Recorded Investment (1) | Recorded Investment (1) | ||||||||||||||||||||||||||||||||
(in thousands) | Number of | Pre- | Post- | Number of | Pre- | Post- | |||||||||||||||||||||||||||
Contracts | Modification | Modification | Contracts | Modification | Modification | ||||||||||||||||||||||||||||
Troubled Debt Restructurings | |||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | 3 | $ | 244 | $ | 208 | 0 | $ | 0 | $ | 0 | |||||||||||||||||||||||
Real estate mortgage - residential | 1 | 1,256 | 1,170 | 3 | 2,156 | 1,992 | |||||||||||||||||||||||||||
Real estate mortgage - commercial | 0 | 0 | 0 | 1 | 1,282 | 1,282 | |||||||||||||||||||||||||||
Total | 4 | $ | 1,500 | $ | 1,378 | 4 | $ | 3,438 | $ | 3,274 | |||||||||||||||||||||||
(1)Â The amounts reported post-modification are inclusive of all partial pay-downs and charge-offs, and no portion of the debt was forgiven. Loans modified as a TDR that were fully paid down, charged-off, or foreclosed upon during the period ended are not reported. |
Real_Estate_and_Other_Assets_A1
Real Estate and Other Assets Acquired in Settlement of Loans (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Other Real Estate [Abstract] | |||||||||||||
Schedule of summary of real estate and other assets acquired in settlement of loans | (in thousands) | 2014 | 2013 | ||||||||||
Commercial | $ | 0 | $ | 0 | |||||||||
Real estate construction - residential | 23 | 114 | |||||||||||
Real estate construction - commercial | 9,831 | 10,020 | |||||||||||
Real estate mortgage - residential | 417 | 830 | |||||||||||
Real estate mortgage - commercial | 4,831 | 8,537 | |||||||||||
Repossessed assets | 38 | 41 | |||||||||||
Total | $ | 15,140 | $ | 19,542 | |||||||||
Less valuation allowance for other real estate owned | (3,255 | ) | (4,675 | ) | |||||||||
Total other real estate owned and foreclosed assets | $ | 11,885 | $ | 14,867 | |||||||||
Schedule of changes in the net carrying amount of other real estate owned and repossessed assets | Balance at December 31, 2012 | $ | 29,729 | ||||||||||
Additions | 4,613 | ||||||||||||
Proceeds from sales | (9,641 | ) | |||||||||||
Charge-offs against the valuation allowance for other real estate owned | (4,829 | ) | |||||||||||
Repossessed assets impairment write-downs | (189 | ) | |||||||||||
Net gain on sales | (141 | ) | |||||||||||
Balance at December 31, 2013 | $ | 19,542 | |||||||||||
Additions | 1,975 | ||||||||||||
Proceeds from sales | (4,560 | ) | |||||||||||
Charge-offs against the valuation allowance for other real estate owned, net | (2,005 | ) | |||||||||||
Net loss on sales | 188 | ||||||||||||
Total other real estate owned and repossessed assets | $ | 15,140 | |||||||||||
Less valuation allowance for other real estate owned | (3,255 | ) | |||||||||||
Balance at December 31, 2014 | $ | 11,885 | |||||||||||
Schedule of summary of activity in valuation allowance for other real estate owned in settlement of loans | (in thousands) | 2014 | 2013 | 2012 | |||||||||
Balance, beginning of year | $ | 4,675 | $ | 6,137 | $ | 6,977 | |||||||
Provision for other real estate owned | 585 | 3,367 | 713 | ||||||||||
Charge-offs | (2,005 | ) | (4,829 | ) | (1,553 | ) | |||||||
Balance, end of year | $ | 3,255 | $ | 4,675 | $ | 6,137 |
Investment_Securities_Tables
Investment Securities (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Investments Debt And Equity Securities [Abstract] | |||||||||||||||||||||||||
Schedule of amortized cost and fair value of debt securities classified as available-for-sale | Gross | Gross | |||||||||||||||||||||||
Amortized | unrealized | unrealized | |||||||||||||||||||||||
(in thousands) | cost | gains | losses | Fair value | |||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||
Government sponsored enterprises | $ | 57,002 | $ | 240 | $ | 143 | $ | 57,099 | |||||||||||||||||
Asset-backed securities | 106,726 | 855 | 1,119 | 106,462 | |||||||||||||||||||||
Obligations of states and political subdivisions | 34,925 | 583 | 71 | 35,437 | |||||||||||||||||||||
Total available for sale securities | $ | 198,653 | $ | 1,678 | $ | 1,333 | $ | 198,998 | |||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
U.S. Treasury | $ | 1,000 | $ | 3 | $ | 0 | $ | 1,003 | |||||||||||||||||
Government sponsored enterprises | 61,006 | 377 | 767 | 60,616 | |||||||||||||||||||||
Asset-backed securities | 112,747 | 817 | 3,191 | 110,373 | |||||||||||||||||||||
Obligations of states and political subdivisions | 33,637 | 568 | 212 | 33,993 | |||||||||||||||||||||
Total available for sale securities | $ | 208,390 | $ | 1,765 | $ | 4,170 | $ | 205,985 | |||||||||||||||||
Schedule of amortized cost and fair value of debt securities classified as available-for-sale by contractual maturity | Amortized | Fair | |||||||||||||||||||||||
(in thousands) | cost | value | |||||||||||||||||||||||
Due in one year or less | $ | 12,322 | $ | 12,421 | |||||||||||||||||||||
Due after one year through five years | 56,138 | 56,327 | |||||||||||||||||||||||
Due after five years through ten years | 21,409 | 21,767 | |||||||||||||||||||||||
Due after ten years | 2,058 | 2,021 | |||||||||||||||||||||||
Total | 91,927 | 92,536 | |||||||||||||||||||||||
Asset-backed securities | 106,726 | 106,462 | |||||||||||||||||||||||
Total available for sale securities | $ | 198,653 | $ | 198,998 | |||||||||||||||||||||
Schedule of gross unrealized losses on debt securities and fair value of related securities aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position | Less than 12 months | 12 months or more | Total | Total | |||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||
(in thousands) | Value | Losses | Value | Losses | Value | Losses | |||||||||||||||||||
At December 31, 2014 | |||||||||||||||||||||||||
Government sponsored enterprises | $ | 2,983 | $ | (4 | ) | $ | 17,862 | $ | (139 | ) | $ | 20,845 | $ | (143 | ) | ||||||||||
Asset-backed securities | 10,314 | (50 | ) | 45,445 | (1,069 | ) | 55,759 | (1,119 | ) | ||||||||||||||||
Obligations of states and political subdivisions | 3,667 | (15 | ) | 1,942 | (56 | ) | 5,609 | (71 | ) | ||||||||||||||||
 Total | $ | 16,964 | $ | (69 | ) | $ | 65,249 | $ | (1,264 | ) | $ | 82,213 | $ | (1,333 | ) | ||||||||||
(in thousands) | |||||||||||||||||||||||||
At December 31, 2013 | |||||||||||||||||||||||||
Government sponsored enterprises | $ | 25,771 | $ | (767 | ) | $ | 0 | $ | 0 | $ | 25,771 | $ | (767 | ) | |||||||||||
Asset-backed securities | 76,048 | (2,940 | ) | 5,941 | (251 | ) | 81,989 | (3,191 | ) | ||||||||||||||||
Obligations of states and political subdivisions | 6,907 | (159 | ) | 450 | (53 | ) | 7,357 | (212 | ) | ||||||||||||||||
 Total | $ | 108,726 | $ | (3,866 | ) | $ | 6,391 | $ | (304 | ) | $ | 115,117 | $ | (4,170 | ) | ||||||||||
Schedule of components of investment securities gains (losses), which are recognized in earnings | (in thousands) | 2014 | 2013 | 2012 | |||||||||||||||||||||
Gains realized on sales | $ | 86 | $ | 786 | $ | 26 | |||||||||||||||||||
Losses realized on sales | (66 | ) | (8 | ) | 0 | ||||||||||||||||||||
Other-than-temporary impairment recognized | 0 | 0 | 0 | ||||||||||||||||||||||
Investment securities gains | $ | 20 | $ | 778 | $ | 26 |
Premises_and_Equipment_Tables
Premises and Equipment (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Premises and Equipment | |||||||||||||
Schedule of summary of premises and equipment | (in thousands) | 2014 | 2013 | ||||||||||
Land and land improvements | $ | 10,152 | $ | 10,073 | |||||||||
Buildings and improvements | 35,504 | 33,730 | |||||||||||
Furniture and equipment | 12,016 | 11,627 | |||||||||||
Construction in progress | 523 | 2,402 | |||||||||||
Total | 58,195 | 57,832 | |||||||||||
Less accumulated depreciation | 20,697 | 19,753 | |||||||||||
Premises and equipment, net | $ | 37,498 | $ | 38,079 | |||||||||
Schedule of depreciation expense | (in thousands) | 2014 | 2013 | 2012 | |||||||||
Depreciation expense | $ | 1,758 | $ | 1,605 | $ | 1,858 |
Intangible_Assets_Tables
Intangible Assets (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Intangible Assets | |||||||||||||
Schedule of summary of core deposit intangible assets | (in thousands) | 2014 | 2013 | 2012 | |||||||||
Balance at beginning of year | $ | 0 | $ | 135 | $ | 543 | |||||||
Additions | 0 | 0 | 0 | ||||||||||
Amortization | 0 | (135 | ) | (408 | ) | ||||||||
Balance at end of year | $ | 0 | $ | 0 | $ | 135 | |||||||
Schedule of changes in mortgage servicing rights (MSRs) | (in thousands) | 2014 | 2013 | 2012 | |||||||||
Balance at beginning of year | $ | 3,036 | $ | 2,549 | $ | 2,308 | |||||||
Re-measurement to fair value upon election to measure servicing rights at fair value | 0 | 0 | 742 | ||||||||||
Originated mortgage servicing rights | 302 | 512 | 830 | ||||||||||
Changes in fair value: | |||||||||||||
Due to change in model inputs and assumptions (1) | 66 | 723 | 241 | ||||||||||
Other changes in fair value (2) | (642 | ) | (748 | ) | (1,572 | ) | |||||||
Amortization | 0 | 0 | 0 | ||||||||||
Balance at end of year | $ | 2,762 | $ | 3,036 | $ | 2,549 | |||||||
-1 | The change in fair value resulting from changes in valuation inputs or assumptions used in the valuation model reflects the change in discount rates and prepayment speed assumptions primarily due to changes in interest rates. | ||||||||||||
-2 | Other changes in fair value reflect changes due to customer payments and passage of time. The year ended December 31, 2012 includes a one time adjustment of a $538,000 correction of an immaterial prior period error due to changing from the straight-line amortization method to an accelerated amortization method of accounting for amortizing MSRs in prior years. | ||||||||||||
Schedule of key data and assumptions used in estimating the fair value of the Company's MSRs | 2014 | 2013 | |||||||||||
Weighted-Average Constant Prepayment Rate | 10.54 | % | 9.48 | % | |||||||||
Weighted-Average Note Rate | 3.99 | % | 4.01 | % | |||||||||
Weighted-Average Discount Rate | 9.21 | % | 9.06 | % | |||||||||
Weighted-Average Expected Life (in years) | 5.7 | 6.1 |
Deposits_Tables
Deposits (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Deposits | |||||||||
Schedule of maturities of total time deposits | (in thousands) | 2014 | 2013 | ||||||
Due within: | |||||||||
One year | $ | 204,638 | $ | 231,644 | |||||
Two years | 58,177 | 58,844 | |||||||
Three years | 33,551 | 30,767 | |||||||
Four years | 16,760 | 12,662 | |||||||
Five years | 5,282 | 16,087 | |||||||
Thereafter | 1,347 | 0 | |||||||
Total | $ | 319,755 | $ | 350,004 | |||||
Schedule of maturities of certificates and other time deposits in denominations of $100,000 or more | (in thousands) | 2014 | 2013 | ||||||
Due within: | |||||||||
Three months or less | $ | 33,488 | $ | 46,306 | |||||
Over three months through six months | 29,381 | 18,398 | |||||||
Over six months through twelve months | 35,308 | 42,624 | |||||||
Over twelve months | 36,768 | 38,629 | |||||||
Total | $ | 134,945 | $ | 145,957 |
Borrowings_Tables
Borrowings (Tables) | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||
Borrowings | |||||||||||||||||||||||
Schedule of information relating to federal funds purchased and repurchase agreements | (in thousands) | Year End | Average | Average | Maximum | Balance at | |||||||||||||||||
Weighted | Weighted | Balance | Outstanding at | December 31, | |||||||||||||||||||
Rate | Rate | Outstanding | any Month End | ||||||||||||||||||||
2014 | |||||||||||||||||||||||
Federal funds purchased | 0.45 | % | 0.38 | % | $ | 404 | $ | 0 | $ | 0 | |||||||||||||
Short-term repurchase agreements | 0.12 | 0.1 | 19,819 | 22,849 | 17,970 | ||||||||||||||||||
Total | $ | 20,223 | $ | 22,849 | $ | 17,970 | |||||||||||||||||
2013 | |||||||||||||||||||||||
Federal funds purchased | 0.4 | % | 0.41 | % | $ | 635 | $ | 13,503 | $ | 13,503 | |||||||||||||
Short-term repurchase agreements | 0.13 | 0.11 | 19,913 | 25,007 | 17,581 | ||||||||||||||||||
Total | $ | 20,548 | $ | 38,510 | $ | 31,084 | |||||||||||||||||
Schedule of other borrowings | (in thousands) | 2014 | 2013 | ||||||||||||||||||||
Borrower | Maturity | Year End | Year End | Year End | Year End | ||||||||||||||||||
Date | Balance | Weighted | Balance | Weighted | |||||||||||||||||||
Rate | Rate | ||||||||||||||||||||||
FHLB advances | The Bank | 2015 | $ | 8,000 | 0.3 | % | $ | 0 | na | % | |||||||||||||
2016 | 8,000 | 0.67 | % | 3,000 | 0.64 | % | |||||||||||||||||
2017 | 5,000 | 1.07 | % | 3,000 | 0.91 | % | |||||||||||||||||
2018 | 20,000 | 2 | % | 18,000 | 2 | % | |||||||||||||||||
2019-20 | 2,000 | 1.97 | % | 0 | na | % | |||||||||||||||||
Total Bank | $ | 43,000 | $ | 24,000 | |||||||||||||||||||
Subordinated notes | The Company | 2034 | $ | 25,774 | 2.94 | % | $ | 25,774 | 2.94 | % | |||||||||||||
2035 | 23,712 | 2.07 | % | 23,712 | 2.07 | % | |||||||||||||||||
Total Company | $ | 49,486 | $ | 49,486 |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||
Schedule of composition of income tax expense (benefit) | The composition of income tax expense for the years ended December 31, 2014, 2013, and 2012 was as follows: | ||||||||||||||||||||||||
(in thousands) | ​ | ​ | 2014 | ​ | ​ | 2013 | ​ | ​ | 2012 | ​ | |||||||||||||||
Current: | ​ | ​ | ​ | ​ | |||||||||||||||||||||
Federal | ​ | ​ | ​ | $ | 1,105 | ​ | ​ | ​ | ​ | $ | 584 | ​ | ​ | ​ | ​ | $ | 651 | ​ | ​ | ||||||
State | ​ | ​ | ​ | ​ | 137 | ​ | ​ | ​ | ​ | ​ | 71 | ​ | ​ | ​ | ​ | ​ | 156 | ​ | ​ | ||||||
Total current | ​ | ​ | ​ | ​ | 1,242 | ​ | ​ | ​ | ​ | ​ | 655 | ​ | ​ | ​ | ​ | ​ | 807 | ​ | ​ | ||||||
Deferred: | ​ | ​ | ​ | ​ | |||||||||||||||||||||
Federal | ​ | ​ | ​ | ​ | 2,353 | ​ | ​ | ​ | ​ | ​ | 1,485 | ​ | ​ | ​ | ​ | ​ | -197 | ​ | ​ | ||||||
State | ​ | ​ | ​ | ​ | 447 | ​ | ​ | ​ | ​ | ​ | 282 | ​ | ​ | ​ | ​ | ​ | -64 | ​ | ​ | ||||||
Total deferred | ​ | ​ | ​ | ​ | 2,800 | ​ | ​ | ​ | ​ | ​ | 1,767 | ​ | ​ | ​ | ​ | ​ | -261 | ​ | ​ | ||||||
Total income tax expense | ​ | ​ | ​ | $ | 4,042 | ​ | ​ | ​ | ​ | $ | 2,422 | ​ | ​ | ​ | ​ | $ | 546 | ​ | ​ | ||||||
​ | |||||||||||||||||||||||||
Schedule of the applicable income tax (benefit) expense for financial reporting purposes differs from the amount computed by applying the statutory Federal income tax rate | (in thousands) | 2014 | 2013 | 2011 | |||||||||||||||||||||
Amount | % | Amount | % | Amount | % | ||||||||||||||||||||
Income before provision for income tax expense | $ | 11,696 | $ | 7,396 | $ | 3,368 | |||||||||||||||||||
Tax at statutory federal income tax rate | $ | 3,977 | 34 | % | $ | 2,515 | 34 | % | $ | 1,145 | 34 | % | |||||||||||||
Tax-exempt income | (348 | ) | (2.98 | ) | (353 | ) | (4.77 | ) | (380 | ) | (11.27 | ) | |||||||||||||
State income tax, net of federal tax benefit | 385 | 3.3 | 233 | 3.15 | 61 | 1.81 | |||||||||||||||||||
Release of prior year over accrual | 0 | 0 | 0 | 0 | (371 | ) | (11.01 | ) | |||||||||||||||||
Other, net | 28 | 0.24 | 27 | 0.37 | 91 | 2.7 | |||||||||||||||||||
Provision for income tax expense | $ | 4,042 | 34.56 | % | $ | 2,422 | 32.75 | % | $ | 546 | 16.23 | % | |||||||||||||
Schedule of components of deferred tax assets and deferred tax liabilities | (in thousands) | 2014 | 2013 | ||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Allowance for loan losses | $ | 3,458 | $ | 5,213 | |||||||||||||||||||||
Impairment of other real estate owned | 1,233 | 1,771 | |||||||||||||||||||||||
Goodwill | 1,786 | 2,134 | |||||||||||||||||||||||
Available-for-sale securities | 0 | 914 | |||||||||||||||||||||||
Deferred taxes on pension | 0 | 0 | |||||||||||||||||||||||
Nonaccrual loan interest | 1,069 | 1,015 | |||||||||||||||||||||||
Core deposit intangible | 689 | 822 | |||||||||||||||||||||||
Pension | 985 | 896 | |||||||||||||||||||||||
Deferred taxes on pension | 998 | 0 | |||||||||||||||||||||||
Deferred compensation | 130 | 44 | |||||||||||||||||||||||
Other | 250 | 322 | |||||||||||||||||||||||
Total deferred tax assets | $ | 10,598 | $ | 13,131 | |||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Available-for-sale securities | $ | 131 | $ | 0 | |||||||||||||||||||||
Premises and equipment | 1,160 | 988 | |||||||||||||||||||||||
Mortgage servicing rights | 1,022 | 1,114 | |||||||||||||||||||||||
Deferred taxes on pension | 0 | 328 | |||||||||||||||||||||||
Assets held for sale | 114 | 112 | |||||||||||||||||||||||
FHLB stock dividend | 0 | 100 | |||||||||||||||||||||||
Other | 53 | 72 | |||||||||||||||||||||||
Total deferred tax liabilities | 2,480 | 2,714 | |||||||||||||||||||||||
Net deferred tax assets | $ | 8,118 | $ | 10,417 |
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Stockholders' Equity Note [Abstract] | |||||||||||||
Schedule of the change in the components of the accumulated other comprehensive income (loss) | Accumulated | ||||||||||||
Unrecognized Net | Other | ||||||||||||
Pension and | Comprehensive | ||||||||||||
Unrealized Loss | Postretirement | (Loss) | |||||||||||
(in thousands) | on Securities (1) | Costs (2) | Income | ||||||||||
Balance, December 31, 2012 | $ | 3,266 | $ | (1,441 | ) | $ | 1,825 | ||||||
Other comprehensive (loss) income, before reclassifications | (6,980 | ) | 3,378 | (3,602 | ) | ||||||||
Amounts reclassified from accumulated other comprehensive income | (778 | ) | 110 | (668 | ) | ||||||||
Current period other comprehensive (loss) income, before tax | (7,758 | ) | 3,488 | (4,270 | ) | ||||||||
Income tax benefit (expense) | 3,001 | (1,325 | ) | 1,676 | |||||||||
Current period other comprehensive (loss) income, net of tax | (4,757 | ) | 2,163 | (2,594 | ) | ||||||||
Balance, December 31, 2013 | $ | (1,491 | ) | $ | 722 | $ | (769 | ) | |||||
Other comprehensive (loss) income, before reclassifications | 2,770 | (3,568 | ) | (798 | ) | ||||||||
Amounts reclassified from accumulated other comprehensive income | (20 | ) | 79 | 59 | |||||||||
Current period other comprehensive (loss) income, before tax | 2,750 | (3,489 | ) | (739 | ) | ||||||||
Income tax benefit (expense) | (1,045 | ) | 1,325 | 280 | |||||||||
Current period other comprehensive (loss) income, net of tax | 1,705 | (2,164 | ) | (459 | ) | ||||||||
Balance, December 31, 2014 | $ | 214 | $ | (1,442 | ) | $ | (1,228 | ) | |||||
(1) The pre-tax amounts reclassified from accumulated other comprehensive (loss) income are included in gain on sale of investment securities in the consolidated statements of income. | |||||||||||||
(2) The pre-tax amounts reclassified from accumulated other comprehensive income are included in the computation of net periodic pension cost. See Note 11. |
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||
Schedule of summary of employee benefits charged to operating expenses | (in thousands) | 2014 | 2013 | 2012 | |||||||||||||
Payroll taxes | $ | 1,081 | $ | 1,106 | $ | 1,127 | |||||||||||
Medical plans | 1,974 | 1,915 | 1,772 | ||||||||||||||
401(k) match | 310 | 309 | 298 | ||||||||||||||
Pension plan | 960 | 1,173 | 1,224 | ||||||||||||||
Profit-sharing | 201 | 118 | 58 | ||||||||||||||
Other | 122 | 219 | 317 | ||||||||||||||
Total employee benefits | $ | 4,648 | $ | 4,840 | $ | 4,796 | |||||||||||
Schedule of obligations and funded status | (in thousands) | 2014 | 2013 | ||||||||||||||
Change in projected benefit obligation: | |||||||||||||||||
Balance, January 1 | $ | 14,852 | $ | 15,342 | |||||||||||||
Service cost | 981 | 1,174 | |||||||||||||||
Interest cost | 732 | 646 | |||||||||||||||
Actuarial gain | 3,813 | (1,991 | ) | ||||||||||||||
Benefits paid | (401 | ) | (319 | ) | |||||||||||||
Balance, December 31 | $ | 19,977 | $ | 14,852 | |||||||||||||
Change in plan assets: | |||||||||||||||||
Fair value, January 1 | $ | 13,532 | $ | 11,707 | |||||||||||||
Actual return on plan assets | 1,118 | 2,220 | |||||||||||||||
Employer contribution | 725 | 0 | |||||||||||||||
Expenses paid | (41 | ) | (76 | ) | |||||||||||||
Benefits paid | (401 | ) | (319 | ) | |||||||||||||
Fair value, December 31 | $ | 14,933 | $ | 13,532 | |||||||||||||
Funded status at end of year | $ | (5,044 | ) | $ | (1,320 | ) | |||||||||||
Accumulated benefit obligation | $ | 16,595 | $ | 12,298 | |||||||||||||
Schedule of components of net pension cost | (in thousands) | 2014 | 2013 | 2012 | |||||||||||||
Service cost—benefits earned during the year | $ | 981 | $ | 1,174 | $ | 1,168 | |||||||||||
Interest costs on projected benefit obligations | 732 | 646 | 667 | ||||||||||||||
Expected return on plan assets | (872 | ) | (797 | ) | (776 | ) | |||||||||||
Expected administrative expenses | 40 | 40 | 40 | ||||||||||||||
Amortization of prior service cost | 79 | 79 | 79 | ||||||||||||||
Amortization of unrecognized net loss | 0 | 31 | 46 | ||||||||||||||
Net periodic pension expense | $ | 960 | $ | 1,173 | $ | 1,224 | |||||||||||
Schedule of amounts not yet reflected in net periodic benefit cost and included in accumulated other comprehensive income (loss), including amounts recognized in other comprehensive income | (in thousands) | 2014 | 2013 | ||||||||||||||
Prior service costs | $ | (443 | ) | $ | (522 | ) | |||||||||||
Net accumulated actuarial net (loss) gain | (2,008 | ) | 1,560 | ||||||||||||||
Accumulated other comprehensive (loss) gain | (2,451 | ) | 1,038 | ||||||||||||||
Net periodic benefit cost in excess of cumulative employer contributions | (2,593 | ) | (2,358 | ) | |||||||||||||
Net amount recognized at December 31, balance sheet | $ | (5,044 | ) | $ | (1,320 | ) | |||||||||||
Net (loss) gain arising during period | $ | (3,568 | ) | $ | 3,378 | ||||||||||||
Prior service cost amortization | 79 | 79 | |||||||||||||||
Amortization of net actuarial loss | 0 | 31 | |||||||||||||||
Total recognized in other comprehensive (loss) income | $ | (3,489 | ) | $ | 3,488 | ||||||||||||
Total recognized in net periodic pension cost and other comprehensive (loss) income | $ | 4,449 | $ | (2,315 | ) | ||||||||||||
Schedule of assumptions utilized to determine benefit obligations and to determine pension expense | 2014Â | 2013Â | 2012Â | ||||||||||||||
Determination of benefit obligation at year end: | |||||||||||||||||
Discount rate | 4.25 | % | 5 | % | 4.25 | % | |||||||||||
Annual rate of compensation increase | 3.78 | % | 3.73 | % | 3.61 | % | |||||||||||
Determination of pension expense for year ended: | |||||||||||||||||
Discount rate for the service cost | 5 | % | 4.25 | % | 4.75 | % | |||||||||||
Annual rate of compensation increase | 3.73 | % | 3.61 | % | 4.5 | % | |||||||||||
Expected long-term rate of return on plan assets | 7 | % | 7 | % | 7 | % | |||||||||||
Schedule of fair value of the Company's pension plan assets, by asset category | Fair Value Measurements | ||||||||||||||||
Quoted Prices | |||||||||||||||||
in Active | |||||||||||||||||
Markets for | Other | Significant | |||||||||||||||
Identical | Observable | Unobservable | |||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||
(in thousands) | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
31-Dec-14 | |||||||||||||||||
Cash equivalents | $ | 1,937 | $ | 1,937 | $ | 0 | $ | 0 | |||||||||
Equity securities: | |||||||||||||||||
U.S. large-cap (a) | 7,252 | 7,252 | 0 | 0 | |||||||||||||
U.S. mid-cap (b) | 921 | 921 | 0 | 0 | |||||||||||||
U.S. small-cap (c) | 1,131 | 1,131 | 0 | 0 | |||||||||||||
International (d) | 1,895 | 1,895 | 0 | 0 | |||||||||||||
Real estate (e) | 486 | 486 | 0 | 0 | |||||||||||||
Commodities (f) | 264 | 264 | 0 | 0 | |||||||||||||
Fixed income securities: | |||||||||||||||||
U.S. gov't agency obligations (g) | 1,047 | 0 | 1,047 | 0 | |||||||||||||
Total | $ | 14,933 | $ | 13,886 | $ | 1,047 | $ | 0 | |||||||||
31-Dec-13 | |||||||||||||||||
Cash equivalents | $ | 675 | $ | 675 | $ | 0 | $ | 0 | |||||||||
Equity securities: | |||||||||||||||||
U.S. large-cap (a) | 6,506 | 6,506 | 0 | 0 | |||||||||||||
U.S. mid-cap (b) | 820 | 820 | 0 | 0 | |||||||||||||
U.S. small-cap (c) | 1,151 | 1,151 | 0 | 0 | |||||||||||||
International (d) | 2,016 | 2,016 | 0 | 0 | |||||||||||||
Real estate (e) | 387 | 387 | 0 | 0 | |||||||||||||
Commodities (f) | 319 | 319 | 0 | 0 | |||||||||||||
Fixed income securities: | |||||||||||||||||
U.S. gov't agency obligations (g) | 1,450 | 0 | 1,450 | 0 | |||||||||||||
Corporate investment grade (g) | 209 | 0 | 209 | 0 | |||||||||||||
Total | $ | 13,533 | $ | 11,874 | $ | 1,659 | $ | 0 | |||||||||
(a) | This category is comprised of low-cost equity index funds not actively managed that track the S&P 500. | ||||||||||||||||
(b) | This category is comprised of low-cost equity index funds not actively managed that track the MSCI U.S. mid-cap 450. | ||||||||||||||||
(c) | This category is comprised of actively managed mutual funds. | ||||||||||||||||
(d) | At December 31, 2014 and 2013, 31% and 32%, respectively, of this category is comprised of low-cost equity index funds not actively managed that track the MSCI EAFE. | ||||||||||||||||
(e) | This category is comprised of low-cost real estate index exchange traded funds. | ||||||||||||||||
(f) | This category is comprised of exchange traded funds investing in agricultural and energy commodities. | ||||||||||||||||
(g) | This category is comprised of individual bonds. | ||||||||||||||||
Schedule of future benefit payments expected to be paid | Year | Pension benefits | |||||||||||||||
(in thousands) | |||||||||||||||||
2015 | $ | 514 | |||||||||||||||
2016 | 539 | ||||||||||||||||
2017 | 598 | ||||||||||||||||
2018 | 626 | ||||||||||||||||
2019 | 648 | ||||||||||||||||
2020 to 2024 | 4,784 |
Stock_Compensation_Tables
Stock Compensation (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||
Schedule of summary of Company's stock option activity | Weighted average | ||||||||||||||||||||||||
Number of shares | exercise price | ||||||||||||||||||||||||
31-Dec | 31-Dec | ||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||
Outstanding, beginning of year | 126,286 | 232,947 | 297,962 | $ | 23.21 | $ | 22.82 | $ | 21.61 | ||||||||||||||||
Granted | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||
Exercised | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||
Forfeited or expired | (29,805 | ) | (106,661 | ) | (65,015 | ) | 25.75 | 22.37 | 17.26 | ||||||||||||||||
Outstanding, end of year | 96,481 | 126,286 | 232,947 | $ | 22.42 | $ | 23.21 | $ | 22.82 | ||||||||||||||||
Exercisable, end of year | 85,160 | 111,188 | 213,878 | $ | 22.82 | $ | 23.49 | $ | 22.9 |
Earnings_per_Share_Tables
Earnings per Share (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Schedule of calculations of basic and diluted earnings (loss) per share | 2014 | 2013 | 2012 | ||||||||||
Basic earnings per common share: | |||||||||||||
Net income | $ | 7,654 | $ | 4,974 | $ | 2,822 | |||||||
Less: | |||||||||||||
Preferred stock dividends and accretion of discount | 0 | 615 | 1,784 | ||||||||||
Net income available to common shareholders | $ | 7,654 | $ | 4,359 | $ | 1,038 | |||||||
Basic earnings per share | $ | 1.46 | $ | 0.83 | $ | 0.2 | |||||||
Diluted earnings per common share: | |||||||||||||
Net income | $ | 7,654 | $ | 4,974 | $ | 2,822 | |||||||
Less: | |||||||||||||
Preferred stock dividends and accretion of discount | 0 | 615 | 1,784 | ||||||||||
Net income available to common shareholders | $ | 7,654 | $ | 4,359 | $ | 1,038 | |||||||
Average shares outstanding | 5,233,986 | 5,233,986 | 5,233,986 | ||||||||||
Effect of dilutive stock options | 0 | 0 | 0 | ||||||||||
Average shares outstanding including dilutive stock options | 5,233,986 | 5,233,986 | 5,233,986 | ||||||||||
Diluted earnings per share | $ | 1.46 | $ | 0.83 | $ | 0.2 | |||||||
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | 2014 | 2013 | 2012 | ||||||||||
Anti-dilutive shares - option shares | 96,481 | 126,286 | 232,947 | ||||||||||
Anti-dilutive shares - warrant shares | 0 | 0 | 310,563 | ||||||||||
Total anti-dilutive shares | 96,481 | 126,286 | 543,510 |
Capital_Requirements_Tables
Capital Requirements (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||||
Capital Requirements | ||||||||||||||||||||||||||||||||||||||
Schedule of minimum total risk-based, Tier I risk-based and Tier I leverage ratios to be maintained for bank to be categorized as well capitalized | ​ | ​ | ​ | Actual | ​ | ​ | Minimum | ​ | ​ | Well-Capitalized | ​ | |||||||||||||||||||||||||||
Capital Requirements | Capital Requirements | |||||||||||||||||||||||||||||||||||||
(in thousands) | ​ | ​ | Amount | ​ | ​ | Ratio | ​ | ​ | Amount | ​ | ​ | Ratio | ​ | ​ | Amount | ​ | ​ | Ratio | ​ | |||||||||||||||||||
December 31, 2014 | ​ | |||||||||||||||||||||||||||||||||||||
Total capital (to risk-weighted assets): | ​ | |||||||||||||||||||||||||||||||||||||
Company | ​ | ​ | ​ | $ |  138,619 | ​ | ​ | ​ | ​ | ​ | 15.78% | ​ | ​ | ​ | ​ | $ |  70,282 | ​ | ​ | ​ | ​ | ​ | 8.00% | ​ | ​ | ​ | ​ | ​ | N.A. | ​ | ​ | ​ | ​ | ​ | N.A.% | ​ | ​ | |
Bank | ​ | ​ | ​ | ​ | 128,311 | ​ | ​ | ​ | ​ | ​ | 14.78 | ​ | ​ | ​ | ​ | ​ | 69,430 | ​ | ​ | ​ | ​ | ​ | 8 | ​ | ​ | ​ | ​ | $ | 86,788 | ​ | ​ | ​ | ​ | ​ | 10 | ​ | ​ | |
Tier I capital (to risk-weighted assets): | ​ | |||||||||||||||||||||||||||||||||||||
Company | ​ | ​ | ​ | $ | 108,785 | ​ | ​ | ​ | ​ | ​ | 12.38% | ​ | ​ | ​ | ​ | $ | 35,141 | ​ | ​ | ​ | ​ | ​ | 4.00% | ​ | ​ | ​ | ​ | ​ | N.A. | ​ | ​ | ​ | ​ | ​ | N.A.% | ​ | ​ | |
Bank | ​ | ​ | ​ | ​ | 119,212 | ​ | ​ | ​ | ​ | ​ | 13.74 | ​ | ​ | ​ | ​ | ​ | 34,715 | ​ | ​ | ​ | ​ | ​ | 4 | ​ | ​ | ​ | ​ | $ | 52,788 | ​ | ​ | ​ | ​ | ​ | 6 | ​ | ​ | |
Tier I capital (to adjusted average assets): | ​ | |||||||||||||||||||||||||||||||||||||
Company | ​ | ​ | ​ | $ | 108,785 | ​ | ​ | ​ | ​ | ​ | 9.42% | ​ | ​ | ​ | ​ | $ | 34,648 | ​ | ​ | ​ | ​ | ​ | 3.00% | ​ | ​ | ​ | ​ | $ | N.A. | ​ | ​ | ​ | ​ | ​ | N.A.% | ​ | ​ | |
Bank | ​ | ​ | ​ | ​ | 119,212 | ​ | ​ | ​ | ​ | ​ | 10.42 | ​ | ​ | ​ | ​ | ​ | 34,338 | ​ | ​ | ​ | ​ | ​ | 3 | ​ | ​ | ​ | ​ | ​ | 57,230 | ​ | ​ | ​ | ​ | ​ | 5 | ​ | ​ | |
(in thousands) | ​ | |||||||||||||||||||||||||||||||||||||
December 31, 2013 | ​ | |||||||||||||||||||||||||||||||||||||
Total capital (to risk-weighted assets): | ​ | |||||||||||||||||||||||||||||||||||||
Company | ​ | ​ | ​ | $ | 133,638 | ​ | ​ | ​ | ​ | ​ | 15.33% | ​ | ​ | ​ | ​ | $ | 69,729 | ​ | ​ | ​ | ​ | ​ | 8.00% | ​ | ​ | ​ | ​ | ​ | N.A. | ​ | ​ | ​ | ​ | ​ | N.A.% | ​ | ​ | |
Bank | ​ | ​ | ​ | ​ | 122,959 | ​ | ​ | ​ | ​ | ​ | 14.29 | ​ | ​ | ​ | ​ | ​ | 68,842 | ​ | ​ | ​ | ​ | ​ | 8 | ​ | ​ | ​ | ​ | $ | 86,052 | ​ | ​ | ​ | ​ | ​ | 10 | ​ | ​ | |
Tier I capital (to risk-weighted assets): | ​ | |||||||||||||||||||||||||||||||||||||
Company | ​ | ​ | ​ | $ | 99,398 | ​ | ​ | ​ | ​ | ​ | 11.40% | ​ | ​ | ​ | ​ | $ | 34,864 | ​ | ​ | ​ | ​ | ​ | 4.00% | ​ | ​ | ​ | ​ | ​ | N.A. | ​ | ​ | ​ | ​ | ​ | N.A.% | ​ | ​ | |
Bank | ​ | ​ | ​ | ​ | 112,166 | ​ | ​ | ​ | ​ | ​ | 13.03 | ​ | ​ | ​ | ​ | ​ | 34,421 | ​ | ​ | ​ | ​ | ​ | 4 | ​ | ​ | ​ | ​ | $ |  51,631 | ​ | ​ | ​ | ​ | ​ | 6 | ​ | ​ | |
Tier I capital (to adjusted average assets): | ​ | |||||||||||||||||||||||||||||||||||||
Company | ​ | ​ | ​ | $ | 99,398 | ​ | ​ | ​ | ​ | ​ | 8.79% | ​ | ​ | ​ | ​ | $ | 33,876 | ​ | ​ | ​ | ​ | ​ | 3.00% | ​ | ​ | ​ | ​ | $ | N.A. | ​ | ​ | ​ | ​ | ​ | N.A.% | ​ | ​ | |
Bank | ​ | ​ | ​ | ​ | 112,166 | ​ | ​ | ​ | ​ | ​ | 10.04 | ​ | ​ | ​ | ​ | ​ | 33,517 | ​ | ​ | ​ | ​ | ​ | 3 | ​ | ​ | ​ | ​ | ​ | 55,862 | ​ | ​ | ​ | ​ | ​ | 5 | ​ | ​ | |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||
Schedule of assets and liabilities recorded at fair value on a recurring basis | Fair Value Measurements | ||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||
in Active | |||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||
Identical | Observable | Unobservable | |||||||||||||||||||
Assets | Inputs | Inputs | |||||||||||||||||||
(in thousands) | Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||
31-Dec-14 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Government sponsored enterprises | $ | 57,099 | $ | 0 | 57,099 | $ | 0 | ||||||||||||||
Asset-backed securities | 106,462 | 0 | 106,462 | 0 | |||||||||||||||||
Obligations of states and political subdivisions | 35,437 | 0 | 35,437 | 0 | |||||||||||||||||
Mortgage servicing rights | 2,762 | 0 | 0 | 2,762 | |||||||||||||||||
Total | $ | 201,760 | $ | 0 | $ | 198,998 | $ | 2,762 | |||||||||||||
31-Dec-13 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
U.S. treasury | $ | 1,003 | $ | 1,003 | $ | 0 | $ | 0 | |||||||||||||
Government sponsored enterprises | 60,616 | 0 | 60,616 | 0 | |||||||||||||||||
Asset-backed securities | 110,373 | 0 | 110,373 | 0 | |||||||||||||||||
Obligations of states and political subdivisions | 33,993 | 0 | 33,993 | 0 | |||||||||||||||||
Mortgage servicing rights | 3,036 | 0 | 0 | 3,036 | |||||||||||||||||
Total | $ | 209,021 | $ | 1,003 | $ | 204,982 | $ | 3,036 | |||||||||||||
Schedule of summary of changes in Level 3 assets and liabilities measured at fair value on a recurring basis | Fair Value Measurements Using | ||||||||||||||||||||
Significant Unobservable Inputs | |||||||||||||||||||||
(Level 3) | |||||||||||||||||||||
(in thousands) | Mortgage Servicing Rights | ||||||||||||||||||||
Balance at December 31, 2012 | $ | 2,549 | |||||||||||||||||||
Total gains or losses (realized/unrealized): | |||||||||||||||||||||
Included in earnings | (25 | ) | |||||||||||||||||||
Included in other comprehensive income | 0 | ||||||||||||||||||||
Purchases | 0 | ||||||||||||||||||||
Sales | 0 | ||||||||||||||||||||
Issues | 512 | ||||||||||||||||||||
Settlements | 0 | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 3,036 | |||||||||||||||||||
Total gains or losses (realized/unrealized): | |||||||||||||||||||||
Included in earnings | (576 | ) | |||||||||||||||||||
Included in other comprehensive income | 0 | ||||||||||||||||||||
Purchases | 0 | ||||||||||||||||||||
Sales | 0 | ||||||||||||||||||||
Issues | 302 | ||||||||||||||||||||
Settlements | 0 | ||||||||||||||||||||
Balance at December 31, 2014 | $ | 2,762 | |||||||||||||||||||
Schedule of quantitative Information about Level 3 Fair Value Measurements | ​ | ​ | ​ | Quantitative Information about Level 3 Fair Value | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ||||
Measurements | |||||||||||||||||||||
​ | ​ | ​ | Valuation Technique | ​ | ​ | Unobservable Inputs | ​ | ​ | Input Value | ​ | |||||||||||
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | 2014 | ​ | ​ | 2013 | ​ | ||||||||
Mortgage servicing rights | ​ | ​ | Discounted cash flows | ​ | ​ | Weighted average constant prepayment rate | ​ | ​ | ​ | ​ | 10.54% | ​ | ​ | ​ | ​ | ​ | 9.48% | ​ | ​ | ||
​ | ​ | ​ | ​ | ​ | ​ | Weighted average discount rate | ​ | ​ | ​ | ​ | 9.21% | ​ | ​ | ​ | ​ | ​ | 9.06% | ​ | ​ | ||
​ | ​ | ​ | ​ | ​ | ​ | Weighted average expected life (in years) | ​ | ​ | ​ | ​ | 5.7 | ​ | ​ | ​ | ​ | ​ | 6.1 | ​ | ​ | ||
Schedule of valuation methods for instruments measured at fair value on a nonrecurring basis | Fair Value Measurements Using | ||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||
in Active | |||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||
Identical | Observable | Unobservable | |||||||||||||||||||
Total | Assets | Inputs | Inputs | Total Gains | |||||||||||||||||
(in thousands) | Fair Value | (Level 1) | (Level 2) | (Level 3) | (Losses)* | ||||||||||||||||
31-Dec-14 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Impaired loans: | |||||||||||||||||||||
Commercial, financial, & agricultural | $ | 1,386 | $ | 0 | $ | 0 | $ | 1,386 | $ | (1,105 | ) | ||||||||||
Real estate construction - residential | 0 | 0 | 0 | 0 | (350 | ) | |||||||||||||||
Real estate construction - commercial | 0 | 0 | 0 | 0 | (491 | ) | |||||||||||||||
Real estate mortgage - residential | 3,322 | 0 | 0 | 3,322 | (332 | ) | |||||||||||||||
Real estate mortgage - commercial | 809 | 0 | 0 | 809 | (2,937 | ) | |||||||||||||||
Consumer | 172 | 0 | 0 | 172 | (148 | ) | |||||||||||||||
Total | $ | 5,689 | $ | 0 | $ | 0 | $ | 5,689 | $ | (5,363 | ) | ||||||||||
Other real estate owned and repossessed assets | $ | 11,885 | $ | 0 | $ | 0 | $ | 11,885 | $ | (1,870 | ) | ||||||||||
31-Dec-13 | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Impaired loans: | |||||||||||||||||||||
Commercial, financial, & agricultural | $ | 827 | $ | 0 | $ | 0 | $ | 827 | $ | (735 | ) | ||||||||||
Real estate construction - residential | 1,768 | 0 | 0 | 1,768 | (119 | ) | |||||||||||||||
Real estate construction - commercial | 210 | 0 | 0 | 210 | (498 | ) | |||||||||||||||
Real estate mortgage - residential | 3,022 | 0 | 0 | 3,022 | (376 | ) | |||||||||||||||
Real estate mortgage - commercial | 5,616 | 0 | 0 | 5,616 | (1,457 | ) | |||||||||||||||
Consumer | 27 | 0 | 0 | 27 | 0 | ||||||||||||||||
Total | $ | 11,470 | $ | 0 | $ | 0 | $ | 11,470 | $ | (3,185 | ) | ||||||||||
Other real estate owned and repossessed assets | $ | 14,867 | $ | 0 | $ | 0 | $ | 14,867 | $ | (5,395 | ) | ||||||||||
* | Total gains (losses) reported for other real estate owned and repossessed assets includes charge-offs, valuation write-downs, and net losses taken during the periods reported. |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Financial Instruments, Owned, at Fair Value [Abstract] | |||||||||||||||||||||
Schedule of summary of the carrying amounts and fair values of financial instruments | 31-Dec-14 | ||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||
in Active | Net | ||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||
31-Dec-14 | Identical | Observable | Unobservable | ||||||||||||||||||
Carrying | Fair | Assets | Inputs | Inputs | |||||||||||||||||
(in thousands) | amount | value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||
Assets: | |||||||||||||||||||||
Cash and due from banks | $ | 22,364 | $ | 22,364 | $ | 22,364 | $ | 0 | $ | 0 | |||||||||||
Federal funds sold and overnight interest-bearing deposits | 20,445 | 20,445 | 20,445 | 0 | 0 | ||||||||||||||||
Investment in available-for-sale securities | 198,998 | 198,998 | 0 | 198,998 | 0 | ||||||||||||||||
Loans, net | 852,114 | 854,062 | 0 | 0 | 854,062 | ||||||||||||||||
Investment in FHLB stock | 3,075 | 3,075 | 0 | 3,075 | 0 | ||||||||||||||||
Mortgage servicing rights | 2,762 | 2,762 | 0 | 0 | 2,762 | ||||||||||||||||
Cash surrender value - life insurance | 2,284 | 2,284 | 0 | 2,284 | 0 | ||||||||||||||||
Accrued interest receivable | 4,816 | 4,816 | 4,816 | 0 | 0 | ||||||||||||||||
$ | 1,106,858 | $ | 1,108,806 | $ | 47,625 | $ | 204,357 | $ | 856,824 | ||||||||||||
Liabilities: | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Non-interest bearing demand | $ | 207,700 | $ | 207,700 | $ | 207,700 | $ | 0 | $ | 0 | |||||||||||
Savings, interest checking and money market | 442,059 | 442,059 | 442,059 | 0 | 0 | ||||||||||||||||
Time deposits | 319,755 | 321,041 | 0 | 0 | 321,041 | ||||||||||||||||
Federal funds purchased and securities sold under agreements to repurchase | 17,970 | 17,970 | 17,970 | 0 | 0 | ||||||||||||||||
Subordinated notes | 49,486 | 33,371 | 0 | 33,371 | 0 | ||||||||||||||||
Federal Home Loan Bank advances | 43,000 | 44,396 | 0 | 44,396 | 0 | ||||||||||||||||
Accrued interest payable | 373 | 373 | 373 | 0 | 0 | ||||||||||||||||
$ | 1,080,343 | $ | 1,066,910 | $ | 668,102 | $ | 77,767 | $ | 321,041 | ||||||||||||
   | |||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||
Quoted Prices | |||||||||||||||||||||
in Active | Net | ||||||||||||||||||||
Markets for | Other | Significant | |||||||||||||||||||
31-Dec-13 | Identical | Observable | Unobservable | ||||||||||||||||||
Carrying | Fair | Assets | Inputs | Inputs | |||||||||||||||||
(in thousands) | amount | value | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||
Assets: | |||||||||||||||||||||
Cash and due from banks | $ | 27,079 | $ | 27,079 | $ | 27,079 | $ | 0 | $ | 0 | |||||||||||
Federal funds sold and overnight interest-bearing deposits | 1,360 | 1,360 | 1,360 | 0 | 0 | ||||||||||||||||
Investment in available-for-sale securities | 205,985 | 205,985 | 1,003 | 204,982 | 0 | ||||||||||||||||
Loans, net | 825,828 | 829,223 | 0 | 0 | 829,223 | ||||||||||||||||
Investment in FHLB stock | 2,354 | 2,354 | 0 | 2,354 | 0 | ||||||||||||||||
Mortgage servicing rights | 3,036 | 3,036 | 0 | 0 | 3,036 | ||||||||||||||||
Cash surrender value - life insurance | 2,213 | 2,213 | 0 | 2,213 | 0 | ||||||||||||||||
Accrued interest receivable | 4,999 | 4,999 | 4,999 | 0 | 0 | ||||||||||||||||
$ | 1,072,854 | $ | 1,076,249 | $ | 34,441 | $ | 209,549 | $ | 832,259 | ||||||||||||
Liabilities: | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Non-interest bearing demand | $ | 187,382 | $ | 187,382 | $ | 187,382 | $ | 0 | $ | 0 | |||||||||||
Savings, interest checking and money market | 419,085 | 419,085 | 419,085 | 0 | 0 | ||||||||||||||||
Time deposits | 350,004 | 352,432 | 0 | 0 | 352,432 | ||||||||||||||||
Federal funds purchased and securities sold under agreements to repurchase | 31,084 | 31,084 | 31,084 | 0 | 0 | ||||||||||||||||
Subordinated notes | 49,486 | 32,048 | 0 | 32,048 | 0 | ||||||||||||||||
Federal Home Loan Bank advances | 24,000 | 25,366 | 0 | 25,366 | 0 | ||||||||||||||||
Accrued interest payable | 426 | 426 | 426 | 0 | 0 | ||||||||||||||||
$ | 1,061,467 | $ | 1,047,823 | $ | 637,977 | $ | 57,414 | $ | 352,432 |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||
Schedule of contractual amount of off-balance-sheet financial instruments | (in thousands) | 2014 | 2013 | ||||||
Commitments to extend credit | $ | 135,137 | $ | 117,880 | |||||
Commitments to originate residential first and second mortgage loans | 1,640 | 1,852 | |||||||
Standby letters of credit | 1,621 | 1,826 |
Condensed_Financial_Informatio1
Condensed Financial Information of the Parent Company Only (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Condensed Financial Information of the Parent Company Only | |||||||||||||
Schedule of Condensed Balance Sheets | Condensed Balance Sheets | ||||||||||||
December 31, | |||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||
Assets | |||||||||||||
Cash and due from bank subsidiaries | $ | 1,024 | $ | 450 | |||||||||
Investment in equity securities | 1,486 | 1,486 | |||||||||||
Investment in subsidiaries | 130,728 | 122,413 | |||||||||||
Premises and equipment | 0 | 0 | |||||||||||
Deferred tax asset | 1,989 | 130 | |||||||||||
Other assets | 308 | 1,011 | |||||||||||
Total assets | $ | 135,535 | $ | 125,490 | |||||||||
Liabilities and Stockholders’ Equity | |||||||||||||
Subordinated notes | $ | 49,486 | $ | 49,486 | |||||||||
Other liabilities | 5,481 | 1,624 | |||||||||||
Stockholders’ equity | 80,568 | 74,380 | |||||||||||
Total liabilities and stockholders’ equity | $ | 135,535 | $ | 125,490 | |||||||||
Schedule of Condensed Statements of Income | Condensed Statements of Income | ||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Income | |||||||||||||
Interest and dividends received from subsidiaries | $ | 2,538 | $ | 15,039 | $ | 4,596 | |||||||
Total income | 2,538 | 15,039 | 4,596 | ||||||||||
Expenses | |||||||||||||
Interest on subordinated notes | 1,264 | 1,284 | 1,381 | ||||||||||
Other | 1,730 | 1,778 | 2,889 | ||||||||||
Total expenses | 2,994 | 3,062 | 4,270 | ||||||||||
Income before income tax benefit and | |||||||||||||
equity in undistributed income of subsidiaries | (456 | ) | 11,977 | 326 | |||||||||
Income tax benefit | 1,100 | 1,126 | 2,257 | ||||||||||
Equity in undistributed (losses) income of subsidiaries | 7,010 | (8,129 | ) | 239 | |||||||||
Net income | $ | 7,654 | $ | 4,974 | $ | 2,822 | |||||||
Schedule of Condensed Statements of Cash Flows | Condensed Statements of Cash Flows | ||||||||||||
For the Years Ended December 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Cash flows from operating activities: | |||||||||||||
Net income | $ | 7,654 | $ | 4,974 | $ | 2,822 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||
Depreciation | 0 | 1 | 1 | ||||||||||
Equity in undistributed (income) losses of subsidiaries | (7,010 | ) | 8,129 | (239 | ) | ||||||||
Stock based compensation expense | 20 | 19 | 29 | ||||||||||
(Increase) decrease in deferred tax asset | (1,415 | ) | 1,325 | (148 | ) | ||||||||
Other, net | 1,942 | (182 | ) | (813 | ) | ||||||||
Net cash provided by operating activities | $ | 1,191 | $ | 14,266 | $ | 1,652 | |||||||
Cash flows from investing activities: | |||||||||||||
Investment in subsidiary | $ | 400 | $ | 4,550 | $ | 1,072 | |||||||
Net cash provided by investing activities | $ | 400 | $ | 4,550 | $ | 1,072 | |||||||
Cash flows from financing activities: | |||||||||||||
Redemption of 18,255 and 12,000 shares, respectively, of preferred stock | $ | 0 | $ | (18,255 | ) | $ | (12,000 | ) | |||||
Cash dividends paid - preferred stock | 0 | (456 | ) | (1,203 | ) | ||||||||
Cash dividends paid - common stock | (1,017 | ) | (978 | ) | (940 | ) | |||||||
Warrant redemption | 0 | (540 | ) | 0 | |||||||||
Net cash used in financing activities | $ | (1,017 | ) | $ | (20,229 | ) | $ | (14,143 | ) | ||||
Net (decrease) increase in cash and due from banks | 574 | (1,413 | ) | (11,419 | ) | ||||||||
Cash and due from banks at beginning of year | 450 | 1,863 | 13,282 | ||||||||||
Cash and due from banks at end of year | $ | 1,024 | $ | 450 | $ | 1,863 |
Quarterly_Financial_Informatio1
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Quarterly Financial Information (Unaudited) | |||||||||||||||||||||
Schedule of quarterly financial data (unaudited) | Year | ||||||||||||||||||||
First | Second | Third | Fourth | to | |||||||||||||||||
(In thousands except per share data) | quarter | quarter | quarter | quarter | Date | ||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||||||
Interest income | $ | 10,963 | $ | 11,125 | $ | 11,196 | $ | 11,214 | $ | 44,498 | |||||||||||
Interest expense | 1,309 | 1,278 | 1,240 | 1,217 | 5,044 | ||||||||||||||||
Net interest income | 9,654 | 9,847 | 9,956 | 9,997 | 39,454 | ||||||||||||||||
Provision for loan losses | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||
Noninterest income | 2,085 | 2,183 | 2,313 | 2,168 | 8,749 | ||||||||||||||||
Noninterest expense | 8,707 | 8,811 | 9,899 | 9,090 | 36,507 | ||||||||||||||||
Income tax expense | 1,045 | 1,121 | 802 | 1,074 | 4,042 | ||||||||||||||||
Net income available to common stockholders | $ | 1,987 | $ | 2,098 | $ | 1,568 | $ | 2,001 | $ | 7,654 | |||||||||||
Net income per share: | |||||||||||||||||||||
Basic earnings per share | $ | 0.38 | $ | 0.4 | $ | 0.3 | $ | 0.38 | $ | 1.46 | |||||||||||
Diluted earnings per share | 0.38 | 0.4 | 0.3 | 0.38 | 1.46 | ||||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Interest income | $ | 11,545 | $ | 11,592 | $ | 11,298 | $ | 11,230 | $ | 45,665 | |||||||||||
Interest expense | 1,816 | 1,777 | 1,433 | 1,316 | 6,342 | ||||||||||||||||
Net interest income | 9,729 | 9,815 | 9,865 | 9,914 | 39,323 | ||||||||||||||||
Provision for loan losses | 1,000 | 1,000 | 0 | 30 | 2,030 | ||||||||||||||||
Noninterest income | 3,007 | 3,088 | 2,447 | 2,324 | 10,866 | ||||||||||||||||
Noninterest expense | 11,934 | 9,281 | 9,972 | 9,576 | 40,763 | ||||||||||||||||
Income tax (benefit) expense | (62 | ) | 810 | 771 | 903 | 2,422 | |||||||||||||||
Net (loss) income | $ | (136 | ) | $ | 1,812 | $ | 1,569 | $ | 1,729 | $ | 4,974 | ||||||||||
Preferred stock dividends and Accretion of discount | 295 | 320 | 0 | 0 | 615 | ||||||||||||||||
Net income (loss) available to common stockholders | $ | (431 | ) | $ | 1,492 | $ | 1,569 | $ | 1,729 | $ | 4,359 | ||||||||||
Net income (loss) per share: | |||||||||||||||||||||
Basic (loss) earnings per share | $ | (0.08 | ) | $ | 0.29 | $ | 0.3 | $ | 0.33 | $ | 0.83 | ||||||||||
Diluted (loss) earnings per share | (0.08 | ) | 0.29 | 0.3 | 0.33 | 0.83 |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Detail Textuals) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended |
Jul. 01, 2014 | Sep. 30, 2014 | Dec. 31, 2014 | |
Accounting Policies [Abstract] | |||
Employee fraud resulting in gross loss | $421,000 | ||
Net loss recorded due to employee fraud | 136,000 | ||
Net of expected insurance proceeds | $285,000 | ||
Percentage of special stock dividend paid to shareholders | 4.00% |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Detail Textuals 1) (USD $) | 0 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Jun. 11, 2013 | Dec. 19, 2008 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | 15-May-13 | 9-May-12 |
Class of Stock [Line Items] | |||||||
Term of warrants | 10 years | ||||||
Total repurchase price | $0 | $18,255 | $12,000 | ||||
Repurchase price of warrant | 540 | 0 | 540 | 0 | |||
Repurchase price of warrant (in dollars per warrant share) | $1.88 | ||||||
Common Stock | |||||||
Class of Stock [Line Items] | |||||||
Number of common shares called per warrant | 287,133 | ||||||
Preferred Stock | |||||||
Class of Stock [Line Items] | |||||||
Number of shares issued | 30,255 | ||||||
Par value of share issued (in dollars per share) | 1,000 | ||||||
Number of shares redeemed | 18,255 | 12,000 | |||||
Total repurchase price | $18,500 | $12,100 |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Detail Textuals 2) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Summary Of Significant Accounting Policies [Line Items] | ||
Mortgage loans held for sale | $95,882 | |
Depreciation methods | straight-line and accelerated methods | |
Amortization method | straight line and accelerated methods | |
Sustained period of repayment performance for non-accrual TDRs | 6 months | |
Period of employees highest compensation before retirement | 10 years | |
Core deposit intangible | Minimum | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Estimated lives | 7 years | |
Core deposit intangible | Maximum | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Estimated lives | 8 years | |
Mortgage servicing rights | Error adjustment related to amortization method of MSR's | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Cumulative effect of change in accounting principle as increase to retained earnings | $459,890 | |
Buildings and improvements | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Estimated useful lives | 5 to 40 years | |
Furniture and equipment | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Estimated useful lives | 3 to 15 years | |
Federal Home Loan Bank of Des Moines | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Investment in capital stock of the Federal Home Loan Bank of total assets | 0.12% | |
Investment in capital stock of Federal Home Loan Bank required percentage of advances | 4.00% |
Loans_and_Allowance_for_Loan_L2
Loans and Allowance for Loan Losses (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Summary of loans, by major class within Company's loan portfolio | ||
Total loans | $861,213 | $839,547 |
Commercial, financial, and agricultural | ||
Summary of loans, by major class within Company's loan portfolio | ||
Total loans | 154,834 | 141,845 |
Real estate construction - residential | ||
Summary of loans, by major class within Company's loan portfolio | ||
Total loans | 18,103 | 21,008 |
Real estate construction - commercial | ||
Summary of loans, by major class within Company's loan portfolio | ||
Total loans | 48,822 | 55,076 |
Real estate mortgage - residential | ||
Summary of loans, by major class within Company's loan portfolio | ||
Total loans | 247,117 | 225,630 |
Real estate mortgage - commercial | ||
Summary of loans, by major class within Company's loan portfolio | ||
Total loans | 372,321 | 375,686 |
Installment and other consumer | ||
Summary of loans, by major class within Company's loan portfolio | ||
Total loans | $20,016 | $20,302 |
Loans_and_Allowance_for_Loan_L3
Loans and Allowance for Loan Losses (Details 1) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2014 |
Loans and Leases Receivable, Related Parties [Roll Forward] | |
Balance at December 31, 2013 | $4,837 |
New loans | 478 |
Amounts collected | -375 |
Balance at December 31, 2014 | $4,940 |
Loans_and_Allowance_for_Loan_L4
Loans and Allowance for Loan Losses (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Summary of the allowance for loan losses | |||||||||||
Balance at beginning of period | $13,719 | $14,842 | $13,719 | $14,842 | $13,809 | ||||||
Additions: | |||||||||||
Provision for loan losses | 0 | 0 | 0 | 0 | 30 | 0 | 1,000 | 1,000 | 0 | 2,030 | 8,900 |
Deductions: | |||||||||||
Loans charged off | 5,828 | 4,180 | 8,789 | ||||||||
Less recoveries on loans | -1,208 | -1,027 | -922 | ||||||||
Net loans charged off | 4,620 | 3,153 | 7,867 | ||||||||
Balance at end of period | 9,099 | 13,719 | 9,099 | 13,719 | 14,842 | ||||||
Commercial, Financial, and Agricultural | |||||||||||
Summary of the allowance for loan losses | |||||||||||
Balance at beginning of period | 2,374 | 1,937 | 2,374 | 1,937 | 1,804 | ||||||
Additions: | |||||||||||
Provision for loan losses | 371 | 992 | 1,732 | ||||||||
Deductions: | |||||||||||
Loans charged off | 1,285 | 895 | 1,760 | ||||||||
Less recoveries on loans | -319 | -340 | -161 | ||||||||
Net loans charged off | 966 | 555 | 1,599 | ||||||||
Balance at end of period | 1,779 | 2,374 | 1,779 | 2,374 | 1,937 | ||||||
Real Estate Construction - Residential | |||||||||||
Summary of the allowance for loan losses | |||||||||||
Balance at beginning of period | 931 | 732 | 931 | 732 | 1,188 | ||||||
Additions: | |||||||||||
Provision for loan losses | -592 | 318 | -523 | ||||||||
Deductions: | |||||||||||
Loans charged off | 349 | 119 | 0 | ||||||||
Less recoveries on loans | -181 | 0 | -67 | ||||||||
Net loans charged off | 168 | 119 | -67 | ||||||||
Balance at end of period | 171 | 931 | 171 | 931 | 732 | ||||||
Real Estate Construction - Commercial | |||||||||||
Summary of the allowance for loan losses | |||||||||||
Balance at beginning of period | 631 | 1,711 | 631 | 1,711 | 1,562 | ||||||
Additions: | |||||||||||
Provision for loan losses | 326 | -452 | 126 | ||||||||
Deductions: | |||||||||||
Loans charged off | 491 | 633 | 0 | ||||||||
Less recoveries on loans | 0 | -5 | -23 | ||||||||
Net loans charged off | 491 | 628 | -23 | ||||||||
Balance at end of period | 466 | 631 | 466 | 631 | 1,711 | ||||||
Real Estate Mortgage - Residential | |||||||||||
Summary of the allowance for loan losses | |||||||||||
Balance at beginning of period | 2,959 | 3,387 | 2,959 | 3,387 | 3,251 | ||||||
Additions: | |||||||||||
Provision for loan losses | -226 | 273 | 955 | ||||||||
Deductions: | |||||||||||
Loans charged off | 408 | 812 | 977 | ||||||||
Less recoveries on loans | -202 | -111 | -158 | ||||||||
Net loans charged off | 206 | 701 | 819 | ||||||||
Balance at end of period | 2,527 | 2,959 | 2,527 | 2,959 | 3,387 | ||||||
Real Estate Mortgage - Commercial | |||||||||||
Summary of the allowance for loan losses | |||||||||||
Balance at beginning of period | 6,523 | 6,834 | 6,523 | 6,834 | 5,734 | ||||||
Additions: | |||||||||||
Provision for loan losses | -107 | 622 | 6,318 | ||||||||
Deductions: | |||||||||||
Loans charged off | 2,890 | 1,301 | 5,466 | ||||||||
Less recoveries on loans | -320 | -368 | -248 | ||||||||
Net loans charged off | 2,570 | 933 | 5,218 | ||||||||
Balance at end of period | 3,846 | 6,523 | 3,846 | 6,523 | 6,834 | ||||||
Installment Loans to Individuals | |||||||||||
Summary of the allowance for loan losses | |||||||||||
Balance at beginning of period | 294 | 239 | 294 | 239 | 267 | ||||||
Additions: | |||||||||||
Provision for loan losses | 195 | 272 | 293 | ||||||||
Deductions: | |||||||||||
Loans charged off | 405 | 420 | 586 | ||||||||
Less recoveries on loans | -186 | -203 | -265 | ||||||||
Net loans charged off | 219 | 217 | 321 | ||||||||
Balance at end of period | 270 | 294 | 270 | 294 | 239 | ||||||
Unallocated | |||||||||||
Summary of the allowance for loan losses | |||||||||||
Balance at beginning of period | 7 | 2 | 7 | 2 | 3 | ||||||
Additions: | |||||||||||
Provision for loan losses | 33 | 5 | -1 | ||||||||
Deductions: | |||||||||||
Loans charged off | 0 | 0 | 0 | ||||||||
Less recoveries on loans | 0 | 0 | 0 | ||||||||
Net loans charged off | 0 | 0 | 0 | ||||||||
Balance at end of period | $40 | $7 | $40 | $7 | $2 |
Loans_and_Allowance_for_Loan_L5
Loans and Allowance for Loan Losses (Details 3) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Allowance for loan losses: | ||||
Individually evaluated for impairment | $1,749 | $4,796 | ||
Collectively evaluated for impairment | 7,350 | 8,923 | ||
Total | 9,099 | 13,719 | 14,842 | 13,809 |
Loans outstanding: | ||||
Individually evaluated for impairment | 35,963 | 34,816 | ||
Collectively evaluated for impairment | 825,250 | 804,731 | ||
Total | 861,213 | 839,547 | ||
Commercial, Financial, and Agricultural | ||||
Allowance for loan losses: | ||||
Individually evaluated for impairment | 134 | 721 | ||
Collectively evaluated for impairment | 1,645 | 1,653 | ||
Total | 1,779 | 2,374 | 1,937 | 1,804 |
Loans outstanding: | ||||
Individually evaluated for impairment | 7,541 | 4,015 | ||
Collectively evaluated for impairment | 147,293 | 137,830 | ||
Total | 154,834 | 141,845 | ||
Real Estate Construction - Residential | ||||
Allowance for loan losses: | ||||
Individually evaluated for impairment | 0 | 392 | ||
Collectively evaluated for impairment | 171 | 539 | ||
Total | 171 | 931 | 732 | 1,188 |
Loans outstanding: | ||||
Individually evaluated for impairment | 1,750 | 2,204 | ||
Collectively evaluated for impairment | 16,353 | 18,804 | ||
Total | 18,103 | 21,008 | ||
Real Estate Construction - Commercial | ||||
Allowance for loan losses: | ||||
Individually evaluated for impairment | 0 | 304 | ||
Collectively evaluated for impairment | 466 | 327 | ||
Total | 466 | 631 | 1,711 | 1,562 |
Loans outstanding: | ||||
Individually evaluated for impairment | 2,096 | 6,615 | ||
Collectively evaluated for impairment | 46,726 | 48,461 | ||
Total | 48,822 | 55,076 | ||
Real Estate Mortgage - Residential | ||||
Allowance for loan losses: | ||||
Individually evaluated for impairment | 1,343 | 1,374 | ||
Collectively evaluated for impairment | 1,184 | 1,585 | ||
Total | 2,527 | 2,959 | 3,387 | 3,251 |
Loans outstanding: | ||||
Individually evaluated for impairment | 7,878 | 6,517 | ||
Collectively evaluated for impairment | 239,239 | 219,113 | ||
Total | 247,117 | 225,630 | ||
Real Estate Mortgage - Commercial | ||||
Allowance for loan losses: | ||||
Individually evaluated for impairment | 246 | 1,989 | ||
Collectively evaluated for impairment | 3,600 | 4,534 | ||
Total | 3,846 | 6,523 | 6,834 | 5,734 |
Loans outstanding: | ||||
Individually evaluated for impairment | 16,464 | 15,422 | ||
Collectively evaluated for impairment | 355,857 | 360,264 | ||
Total | 372,321 | 375,686 | ||
Installment Loans to Individuals | ||||
Allowance for loan losses: | ||||
Individually evaluated for impairment | 26 | 16 | ||
Collectively evaluated for impairment | 244 | 278 | ||
Total | 270 | 294 | 239 | 267 |
Loans outstanding: | ||||
Individually evaluated for impairment | 234 | 43 | ||
Collectively evaluated for impairment | 19,782 | 20,259 | ||
Total | 20,016 | 20,302 | ||
Un-allocated | ||||
Allowance for loan losses: | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 40 | 7 | ||
Total | 40 | 7 | 2 | 3 |
Loans outstanding: | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 0 | 0 | ||
Total | $0 | $0 |
Loans_and_Allowance_for_Loan_L6
Loans and Allowance for Loan Losses (Details 4) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Categories of impaired loans | ||
Non-accrual loans | $18,243 | $23,680 |
Troubled debt restructurings continuing to accrue interest | 17,720 | 11,395 |
Total impaired loans | $35,963 | $35,075 |
Loans_and_Allowance_for_Loan_L7
Loans and Allowance for Loan Losses (Details 5) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment, With no related allowance recorded | $28,525 | $18,809 |
Unpaid Principal Balance, With no related allowance recorded | 33,066 | 20,813 |
Recorded Investment, With an allowance recorded | 7,438 | 16,266 |
Unpaid Principal Balance, With an allowance recorded | 6,482 | 16,992 |
Specific Reserves, With an allowance recorded | 1,749 | 4,796 |
Total impaired loans, Recorded Investment | 35,963 | 35,075 |
Total impaired loans, Unpaid Principal Balance | 39,548 | 37,805 |
Commercial, financial, and agricultural | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment, With no related allowance recorded | 6,021 | 2,467 |
Unpaid Principal Balance, With no related allowance recorded | 6,232 | 2,593 |
Recorded Investment, With an allowance recorded | 1,520 | 1,548 |
Unpaid Principal Balance, With an allowance recorded | 1,528 | 1,607 |
Specific Reserves, With an allowance recorded | 134 | 721 |
Real estate - construction residential | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment, With no related allowance recorded | 1,750 | 44 |
Unpaid Principal Balance, With no related allowance recorded | 2,259 | 80 |
Recorded Investment, With an allowance recorded | 0 | 2,160 |
Unpaid Principal Balance, With an allowance recorded | 0 | 2,331 |
Specific Reserves, With an allowance recorded | 0 | 392 |
Real estate - construction commercial | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment, With no related allowance recorded | 2,096 | 6,101 |
Unpaid Principal Balance, With no related allowance recorded | 2,319 | 7,148 |
Recorded Investment, With an allowance recorded | 0 | 514 |
Unpaid Principal Balance, With an allowance recorded | 0 | 514 |
Specific Reserves, With an allowance recorded | 0 | 304 |
Real estate - residential | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment, With no related allowance recorded | 3,213 | 2,121 |
Unpaid Principal Balance, With no related allowance recorded | 3,270 | 2,654 |
Recorded Investment, With an allowance recorded | 4,665 | 4,396 |
Unpaid Principal Balance, With an allowance recorded | 3,546 | 4,570 |
Specific Reserves, With an allowance recorded | 1,343 | 1,374 |
Real estate - commercial | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment, With no related allowance recorded | 15,409 | 7,817 |
Unpaid Principal Balance, With no related allowance recorded | 18,950 | 8,056 |
Recorded Investment, With an allowance recorded | 1,055 | 7,605 |
Unpaid Principal Balance, With an allowance recorded | 1,171 | 7,925 |
Specific Reserves, With an allowance recorded | 246 | 1,989 |
Consumer | ||
Financing Receivable, Impaired [Line Items] | ||
Recorded Investment, With no related allowance recorded | 36 | 259 |
Unpaid Principal Balance, With no related allowance recorded | 36 | 282 |
Recorded Investment, With an allowance recorded | 198 | 43 |
Unpaid Principal Balance, With an allowance recorded | 237 | 45 |
Specific Reserves, With an allowance recorded | $26 | $16 |
Loans_and_Allowance_for_Loan_L8
Loans and Allowance for Loan Losses (Details 6) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Average Recorded Investment | ||
With no related allowance recorded | $26,932 | $21,573 |
With an allowance recorded | 12,752 | 17,398 |
Total impaired loans | 39,684 | 38,971 |
Interest Recognized For the Period Ended | ||
With no related allowance recorded | 542 | 338 |
With an allowance recorded | 159 | 166 |
Total impaired loans | 701 | 504 |
Commercial, financial, and agricultural | ||
Average Recorded Investment | ||
With no related allowance recorded | 3,141 | 2,693 |
With an allowance recorded | 1,773 | 1,677 |
Interest Recognized For the Period Ended | ||
With no related allowance recorded | 94 | 108 |
With an allowance recorded | 19 | 29 |
Real estate - construction residential | ||
Average Recorded Investment | ||
With no related allowance recorded | 610 | 80 |
With an allowance recorded | 1,697 | 2,409 |
Interest Recognized For the Period Ended | ||
With no related allowance recorded | 2 | 0 |
With an allowance recorded | 0 | 0 |
Real estate - construction commercial | ||
Average Recorded Investment | ||
With no related allowance recorded | 5,950 | 7,437 |
With an allowance recorded | 42 | 514 |
Interest Recognized For the Period Ended | ||
With no related allowance recorded | 0 | 6 |
With an allowance recorded | 0 | 0 |
Real estate - residential | ||
Average Recorded Investment | ||
With no related allowance recorded | 3,517 | 2,612 |
With an allowance recorded | 5,118 | 4,596 |
Interest Recognized For the Period Ended | ||
With no related allowance recorded | 46 | 51 |
With an allowance recorded | 129 | 24 |
Real estate - commercial | ||
Average Recorded Investment | ||
With no related allowance recorded | 13,703 | 8,461 |
With an allowance recorded | 3,810 | 8,157 |
Interest Recognized For the Period Ended | ||
With no related allowance recorded | 400 | 170 |
With an allowance recorded | 11 | 113 |
Consumer | ||
Average Recorded Investment | ||
With no related allowance recorded | 11 | 290 |
With an allowance recorded | 312 | 45 |
Interest Recognized For the Period Ended | ||
With no related allowance recorded | 0 | 3 |
With an allowance recorded | $0 | $0 |
Loans_and_Allowance_for_Loan_L9
Loans and Allowance for Loan Losses (Details 7) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Aging information for the Company's past due and non-accrual loans | ||
Current or Less Than 30 Days Past Due | $838,061 | $808,937 |
30 - 89 Days Past Due | 4,851 | 6,687 |
90 Days Past Due And Still Accruing | 58 | 243 |
Non-Accrual | 18,243 | 23,680 |
Total | 861,213 | 839,547 |
Commercial, Financial, and Agricultural | ||
Aging information for the Company's past due and non-accrual loans | ||
Current or Less Than 30 Days Past Due | 149,366 | 139,219 |
30 - 89 Days Past Due | 189 | 942 |
90 Days Past Due And Still Accruing | 0 | 0 |
Non-Accrual | 5,279 | 1,684 |
Total | 154,834 | 141,845 |
Real Estate Construction - Residential | ||
Aging information for the Company's past due and non-accrual loans | ||
Current or Less Than 30 Days Past Due | 16,352 | 18,738 |
30 - 89 Days Past Due | 0 | 66 |
90 Days Past Due And Still Accruing | 0 | 0 |
Non-Accrual | 1,751 | 2,204 |
Total | 18,103 | 21,008 |
Real Estate Construction - Commercial | ||
Aging information for the Company's past due and non-accrual loans | ||
Current or Less Than 30 Days Past Due | 46,670 | 48,230 |
30 - 89 Days Past Due | 0 | 595 |
90 Days Past Due And Still Accruing | 56 | 0 |
Non-Accrual | 2,096 | 6,251 |
Total | 48,822 | 55,076 |
Real Estate Mortgage - Residential | ||
Aging information for the Company's past due and non-accrual loans | ||
Current or Less Than 30 Days Past Due | 239,469 | 217,268 |
30 - 89 Days Past Due | 3,229 | 4,068 |
90 Days Past Due And Still Accruing | 0 | 129 |
Non-Accrual | 4,419 | 4,165 |
Total | 247,117 | 225,630 |
Real Estate Mortgage - Commercial | ||
Aging information for the Company's past due and non-accrual loans | ||
Current or Less Than 30 Days Past Due | 366,653 | 365,787 |
30 - 89 Days Past Due | 1,203 | 725 |
90 Days Past Due And Still Accruing | 0 | 100 |
Non-Accrual | 4,465 | 9,074 |
Total | 372,321 | 375,686 |
Installment and other consumer | ||
Aging information for the Company's past due and non-accrual loans | ||
Current or Less Than 30 Days Past Due | 19,551 | 19,695 |
30 - 89 Days Past Due | 230 | 291 |
90 Days Past Due And Still Accruing | 2 | 14 |
Non-Accrual | 233 | 302 |
Total | $20,016 | $20,302 |
Recovered_Sheet1
Loans and Allowance for Loan Losses (Details 8) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | $861,213 | $839,547 |
Watch | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 65,073 | 73,515 |
Substandard | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 27,312 | 32,418 |
Non-accrual | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 18,243 | 23,680 |
Total Watch, Substandard, and Non-Accrual Loans | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 110,628 | 129,613 |
Commercial, Financial, and Agricultural | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 154,834 | 141,845 |
Commercial, Financial, and Agricultural | Watch | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 13,651 | 15,016 |
Commercial, Financial, and Agricultural | Substandard | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 3,188 | 7,553 |
Commercial, Financial, and Agricultural | Non-accrual | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 5,279 | 1,684 |
Commercial, Financial, and Agricultural | Total Watch, Substandard, and Non-Accrual Loans | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 22,118 | 24,253 |
Real Estate Construction - Residential | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 18,103 | 21,008 |
Real Estate Construction - Residential | Watch | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 1,103 | 2,007 |
Real Estate Construction - Residential | Substandard | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 90 | 92 |
Real Estate Construction - Residential | Non-accrual | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 1,751 | 2,204 |
Real Estate Construction - Residential | Total Watch, Substandard, and Non-Accrual Loans | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 2,944 | 4,303 |
Real Estate Construction - Commercial | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 48,822 | 55,076 |
Real Estate Construction - Commercial | Watch | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 4,757 | 6,111 |
Real Estate Construction - Commercial | Substandard | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 1,211 | 1,403 |
Real Estate Construction - Commercial | Non-accrual | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 2,096 | 6,251 |
Real Estate Construction - Commercial | Total Watch, Substandard, and Non-Accrual Loans | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 8,064 | 13,765 |
Real Estate Mortgage - Residential | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 247,117 | 225,630 |
Real Estate Mortgage - Residential | Watch | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 27,172 | 26,331 |
Real Estate Mortgage - Residential | Substandard | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 6,583 | 8,579 |
Real Estate Mortgage - Residential | Non-accrual | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 4,419 | 4,165 |
Real Estate Mortgage - Residential | Total Watch, Substandard, and Non-Accrual Loans | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 38,174 | 39,075 |
Real Estate Mortgage - Commercial | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 372,321 | 375,686 |
Real Estate Mortgage - Commercial | Watch | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 18,191 | 23,662 |
Real Estate Mortgage - Commercial | Substandard | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 16,101 | 14,510 |
Real Estate Mortgage - Commercial | Non-accrual | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 4,465 | 9,074 |
Real Estate Mortgage - Commercial | Total Watch, Substandard, and Non-Accrual Loans | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 38,757 | 47,246 |
Installment and other Consumer | Watch | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 199 | 388 |
Installment and other Consumer | Substandard | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 139 | 281 |
Installment and other Consumer | Non-accrual | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | 233 | 302 |
Installment and other Consumer | Total Watch, Substandard, and Non-Accrual Loans | ||
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment | ||
Financing receivable | $571 | $971 |
Recovered_Sheet2
Loans and Allowance for Loan Losses (Details 9) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Contract | Contract | |
Loans that were modified as TDRs | ||
Number of Contracts | 4 | 4 |
Pre- Modification | $1,500 | $3,438 |
Post- Modification | 1,378 | 3,274 |
Commercial, financial, and agricultural | ||
Loans that were modified as TDRs | ||
Number of Contracts | 3 | 0 |
Pre- Modification | 244 | 0 |
Post- Modification | 208 | 0 |
Real estate mortgage - residential | ||
Loans that were modified as TDRs | ||
Number of Contracts | 1 | 3 |
Pre- Modification | 1,256 | 2,156 |
Post- Modification | 1,170 | 1,992 |
Real estate mortgage - commercial | ||
Loans that were modified as TDRs | ||
Number of Contracts | 0 | 1 |
Pre- Modification | 0 | 1,282 |
Post- Modification | $0 | $1,282 |
Recovered_Sheet3
Loans and Allowance for Loan Losses (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Contract | Contract | |
Financing Receivable, Impaired [Line Items] | ||
Carrying amount of loans pledged as collateral to the Federal Home Loan Bank | $411,800,000 | |
Fair value amount of loans pledged as collateral to the Federal Home Loan Bank | 405,500,000 | |
Impaired loans individually evaluated for impairment | 35,963,000 | 34,816,000 |
Impaired loans were evaluated based on the fair value of the loan's collateral | 15,600,000 | 21,800,000 |
Specific allowance related to impaired loans | 1,749,000 | 4,796,000 |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 28,525,000 | 18,809,000 |
Impaired Financing Receivable With No Related Allowance Recorded Investment Percentage | 79.00% | 54.00% |
Contractual interest lost on nonaccrual loans | 1,100,000 | 1,200,000 |
Interest income on impaired loans continuing to accrue interest | 542,000 | 338,000 |
Amount of specific reserves related to TDRs which were allocated to the allowance for loan losses | 1,000,000 | 2,200,000 |
Troubled debt restructurings | 19,300,000 | 21,500,000 |
Troubled debt restructurings, non-accrual status | 1,600,000 | 10,100,000 |
Troubled debt restructurings, accrual status | 17,720,000 | 11,395,000 |
Number of contracts modified | 4 | 4 |
Consumer | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual loans that were collectively evaluated for impairment | 259,000 | |
Specific allowance related to impaired loans | 26,000 | 16,000 |
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 36,000 | 259,000 |
Interest income on impaired loans continuing to accrue interest | $0 | $3,000 |
Real_Estate_and_Other_Assets_A2
Real Estate and Other Assets Acquired in Settlement of Loans (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Summary of real estate and other assets acquired in settlement of loans | ||||
Repossessed assets | $38 | $41 | ||
Total | 15,140 | 19,542 | 29,729 | |
Less valuation allowance for other real estate owned | -3,255 | -4,675 | -6,137 | -6,977 |
Total other real estate and repossessed assets | 11,885 | 14,867 | ||
Commercial | ||||
Summary of real estate and other assets acquired in settlement of loans | ||||
Real estate acquired through foreclosure | 0 | 0 | ||
Real estate construction - residential | ||||
Summary of real estate and other assets acquired in settlement of loans | ||||
Real estate acquired through foreclosure | 23 | 114 | ||
Real estate construction - commercial | ||||
Summary of real estate and other assets acquired in settlement of loans | ||||
Real estate acquired through foreclosure | 9,831 | 10,020 | ||
Real estate mortgage - residential | ||||
Summary of real estate and other assets acquired in settlement of loans | ||||
Real estate acquired through foreclosure | 417 | 830 | ||
Real estate mortgage - commercial | ||||
Summary of real estate and other assets acquired in settlement of loans | ||||
Real estate acquired through foreclosure | $4,831 | $8,537 |
Real_Estate_and_Other_Assets_A3
Real Estate and Other Assets Acquired in Settlement of Loans (Details 1) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of real estate acquired in settlement of loans | |||
Balance at beginning of period | $19,542 | $29,729 | |
Additions | 1,975 | 4,613 | |
Proceeds from sales | -4,560 | -9,641 | -8,571 |
Charge-offs against the valuation allowance for other real estate owned | -2,005 | -4,829 | |
Repossessed assets impairment write-downs | -189 | ||
Net (loss) gain on sales | 188 | -141 | |
Total other real estate and repossessed assets | 15,140 | 19,542 | 29,729 |
Less valuation allowance for other real estate owned | -3,255 | ||
Balance at end of period | $11,885 | $14,867 |
Real_Estate_and_Other_Assets_A4
Real Estate and Other Assets Acquired in Settlement of Loans (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Summary of activity in valuation allowance for other real estate owned in settlement of loans | |||
Balance, beginning of year | $4,675 | $6,137 | $6,977 |
Provision for other real estate owned | 585 | 3,367 | 713 |
Charge-offs | -2,005 | -4,829 | -1,553 |
Balance, end of year | $3,255 | $4,675 | $6,137 |
Real_Estate_and_Other_Assets_A5
Real Estate and Other Assets Acquired in Settlement of Loans (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Other Real Estate [Abstract] | ||
Net charge-offs against allowance for loan losses | $335,000 | $800,000 |
Investment_Securities_Details
Investment Securities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Amortized cost and fair value of debt securities | ||
Amortized Cost | $198,653 | $208,390 |
Gross Unrealized Gains | 1,678 | 1,765 |
Gross Unrealized Losses | 1,333 | 4,170 |
Fair value, Total | 198,998 | 205,985 |
U.S. Treasury | ||
Amortized cost and fair value of debt securities | ||
Amortized Cost | 1,000 | |
Gross Unrealized Gains | 3 | |
Gross Unrealized Losses | 0 | |
Fair value, Total | 1,003 | |
Government sponsored enterprises | ||
Amortized cost and fair value of debt securities | ||
Amortized Cost | 57,002 | 61,006 |
Gross Unrealized Gains | 240 | 377 |
Gross Unrealized Losses | 143 | 767 |
Fair value, Total | 57,099 | 60,616 |
Asset-backed securities | ||
Amortized cost and fair value of debt securities | ||
Amortized Cost | 106,726 | 112,747 |
Gross Unrealized Gains | 855 | 817 |
Gross Unrealized Losses | 1,119 | 3,191 |
Fair value, Total | 106,462 | 110,373 |
Obligations of states and political subdivisions | ||
Amortized cost and fair value of debt securities | ||
Amortized Cost | 34,925 | 33,637 |
Gross Unrealized Gains | 583 | 568 |
Gross Unrealized Losses | 71 | 212 |
Fair value, Total | $35,437 | $33,993 |
Investment_Securities_Details_
Investment Securities (Details 1) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Amortized Cost | ||
Due in one year or less | $12,322 | |
Due after one year through five years | 56,138 | |
Due after five year through ten years | 21,409 | |
Due after ten years | 2,058 | |
Total | 91,927 | |
Asset-backed securities | 106,726 | |
Amortized Cost, Total | 198,653 | 208,390 |
Fair Value | ||
Due in one year or less | 12,421 | |
Due after one year through five years | 56,327 | |
Due after five year through ten years | 21,767 | |
Due after ten years | 2,021 | |
Total | 92,536 | |
Asset-backed securities | 106,462 | |
Fair value, Total | $198,998 | $205,985 |
Investment_Securities_Details_1
Investment Securities (Details 2) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value | ||
Less than 12 months | $16,964 | $108,726 |
12 months or more | 65,249 | 6,391 |
Total | 82,213 | 115,117 |
Unrealized Losses | ||
Less than 12 months | -69 | -3,866 |
12 months or more | -1,264 | -304 |
Total | -1,333 | -4,170 |
Government sponsored enterprises | ||
Fair Value | ||
Less than 12 months | 2,983 | 25,771 |
12 months or more | 17,862 | 0 |
Total | 20,845 | 25,771 |
Unrealized Losses | ||
Less than 12 months | -4 | -767 |
12 months or more | -139 | 0 |
Total | -143 | -767 |
Asset-backed securities | ||
Fair Value | ||
Less than 12 months | 10,314 | 76,048 |
12 months or more | 45,445 | 5,941 |
Total | 55,759 | 81,989 |
Unrealized Losses | ||
Less than 12 months | -50 | -2,940 |
12 months or more | -1,069 | -251 |
Total | -1,119 | -3,191 |
Obligations of states and political subdivisions | ||
Fair Value | ||
Less than 12 months | 3,667 | 6,907 |
12 months or more | 1,942 | 450 |
Total | 5,609 | 7,357 |
Unrealized Losses | ||
Less than 12 months | -15 | -159 |
12 months or more | -56 | -53 |
Total | ($71) | ($212) |
Investment_Securities_Details_2
Investment Securities (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Investments Debt And Equity Securities [Abstract] | |||
Gains realized on sales | $86 | $786 | $26 |
Losses realized on sales | -66 | -8 | 0 |
Other-than-temporary impairment recognized | 0 | 0 | 0 |
Investment securities gains | $20 | $778 | $26 |
Investment_Securities_Detail_T
Investment Securities (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Security | Security | |
Investments Debt And Equity Securities [Abstract] | ||
Available for sale securities, restricted | $4,700,000 | $4,000,000 |
Available for sale securities, pledged | 145,500,000 | 145,800,000 |
Number of securities consisted in portfolio | 300 | 348 |
Number of securities in loss position | 74 | 96 |
Unrealized loss included in other comprehensive | 82,200,000 | 115,100,000 |
12 months or more | 65,249,000 | 6,391,000 |
Gross Unrealized Losses | $1,300,000 | $4,200,000 |
Premises_and_Equipment_Details
Premises and Equipment (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Summary of premises and equipment | ||
Total, premises and equipment | $58,195 | $57,832 |
Less accumulated depreciation | 20,697 | 19,753 |
Premises and equipment, net | 37,498 | 38,079 |
Land and land improvements | ||
Summary of premises and equipment | ||
Total, premises and equipment | 10,152 | 10,073 |
Buildings and improvements | ||
Summary of premises and equipment | ||
Total, premises and equipment | 35,504 | 33,730 |
Furniture and equipment | ||
Summary of premises and equipment | ||
Total, premises and equipment | 12,016 | 11,627 |
Construction in progress | ||
Summary of premises and equipment | ||
Total, premises and equipment | $523 | $2,402 |
Premises_and_Equipment_Details1
Premises and Equipment (Details 1) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Depreciation expense | |||
Depreciation expense | $1,758 | $1,605 | $1,858 |
Intangible_Assets_Details
Intangible Assets (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization | $0 | ($135) | ($408) |
Core Deposit Intangible Asset | |||
Finite-Lived Intangible Assets [Line Items] | |||
Balance at beginning of year | 0 | 135 | 543 |
Additions | 0 | 0 | 0 |
Amortization | 0 | -135 | -408 |
Balance at end of year | $0 | $0 | $135 |
Intangible_Assets_Details_1
Intangible Assets (Details 1) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Changes in fair value: | ||||||
Balance at end of year | $2,762 | $3,036 | ||||
Mortgage servicing rights (MSRs) | ||||||
Changes in mortgage servicing rights | ||||||
Balance at beginning of year | 3,036 | 2,549 | 2,308 | |||
Re-measurement to fair value upon election to measure servicing rights at fair value | 0 | 0 | 742 | |||
Originated mortgage servicing rights | 302 | 512 | 830 | |||
Changes in fair value: | ||||||
Due to change in model inputs and assumptions | 66 | [1] | 723 | [1] | 241 | [1] |
Other changes in fair value | -642 | [2] | -748 | [2] | -1,572 | [2] |
Amortization | 0 | 0 | 0 | |||
Balance at end of year | $2,762 | $3,036 | $2,549 | |||
[1] | The change in fair value resulting from changes in valuation inputs or assumptions used in the valuation model reflects the change in discount rates and prepayment speed assumptions primarily due to changes in interest rates. | |||||
[2] | Other changes in fair value reflect changes due to customer payments and passage of time. The year ended December 31, 2012 includes a one time adjustment of a $538,000 correction of an immaterial prior period error due to changing from the straight-line amortization method to an accelerated amortization method of accounting for amortizing MSRs in prior years. |
Intangible_Assets_Details_2
Intangible Assets (Details 2) (Mortgage servicing rights (MSRs)) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Mortgage servicing rights (MSRs) | ||
Assumptions used in estimating the fair value of mortgage service rights | ||
Weighted-Average Constant Prepayment Rate (as a percent) | 10.54% | 9.48% |
Weighted-Average Note Rate (as a percent) | 3.99% | 4.01% |
Weighted-Average Discount Rate (as a percent) | 9.21% | 9.06% |
Weighted-Average Expected Life (in years) | 5 years 8 months 12 days | 6 years 1 month 6 days |
Intangible_Assets_Detail_Textu
Intangible Assets (Detail Textuals) (USD $) | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization expense | $0 | $135,000 | $408,000 | |
Core Deposit Intangible Asset | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Gross Carrying Amount | 4,800,000 | |||
Amortization expense | 0 | 135,000 | 408,000 | |
Mortgage servicing rights (MSRs) | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Mortgage loans serviced for others | 313,900,000 | 322,500,000 | ||
Mortgage loan servicing fees reported as other non-interest income | 895,000 | 901,000 | 878,000 | |
Amortization | 0 | 0 | 0 | |
Mortgage servicing rights (MSRs) | Error adjustment related to amortization method of MSR's | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Cumulative effect of change in accounting principle as increase to retained earnings | 459,890 | |||
Amortization | $538,000 |
Deposits_Details
Deposits (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Due within: | ||
One year | $204,638 | $231,644 |
Two years | 58,177 | 58,844 |
Three years | 33,551 | 30,767 |
Four years | 16,760 | 12,662 |
Five years | 5,282 | 16,087 |
Thereafter | 1,347 | 0 |
Total | $319,755 | $350,004 |
Deposits_Details_1
Deposits (Details 1) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Due within: | ||
Three months or less | $33,488 | $46,306 |
Over three months through six months | 29,381 | 18,398 |
Over six months through twelve months | 35,308 | 42,624 |
Over twelve months | 36,768 | 38,629 |
Total | $134,945 | $145,957 |
Deposits_Detail_Textuals
Deposits (Detail Textuals) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Deposits | ||
Minimum cash required | $1,600,000 | $1,300,000 |
Average compensating balances | $408,000 | $315,000 |
Borrowings_Details
Borrowings (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Borrowings | ||
Average Balance Outstanding | $20,223 | $20,548 |
Maximum Outstanding at any Month End | 22,849 | 38,510 |
Balance | 17,970 | 31,084 |
Federal funds purchased | ||
Borrowings | ||
Year End Weighted Rate (as a percent) | 0.45% | 0.40% |
Average Weighted Rate (as a percent) | 0.38% | 0.41% |
Average Balance Outstanding | 404 | 635 |
Maximum Outstanding at any Month End | 0 | 13,503 |
Balance | 0 | 13,503 |
Short-term repurchase agreements | ||
Borrowings | ||
Year End Weighted Rate (as a percent) | 0.12% | 0.13% |
Average Weighted Rate (as a percent) | 0.10% | 0.11% |
Average Balance Outstanding | 19,819 | 19,913 |
Maximum Outstanding at any Month End | 22,849 | 25,007 |
Balance | $17,970 | $17,581 |
Borrowings_Details_1
Borrowings (Details 1) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Borrowings | ||
Year End Balance - Total Bank | $43,000 | $24,000 |
Year End Balance - Total Company | 49,486 | 49,486 |
Bank | ||
Borrowings | ||
Year End Balance - Total Bank | 43,000 | 24,000 |
FHLB advances | Bank | ||
Borrowings | ||
2015 | 8,000 | 0 |
2016 | 8,000 | 3,000 |
2017 | 5,000 | 3,000 |
2018 | 20,000 | 18,000 |
2019-20 | 2,000 | 0 |
2015 (as a percent) | 0.30% | Â Â |
2016 (as a percent) | 0.67% | 0.64% |
2017 (as a percent) | 1.07% | 0.91% |
2018 (as a percent) | 2.00% | 2.00% |
2019-20 (as a percent) | 1.97% | Â Â |
Subordinated notes due 2034 | ||
Borrowings | ||
Year End Balance - Total Company | 25,774 | 25,774 |
Year End Weighted Rate (as a percent) | 2.94% | 2.94% |
Subordinated notes due 2035 | ||
Borrowings | ||
Year End Balance - Total Company | $23,712 | $23,712 |
Year End Weighted Rate (as a percent) | 2.07% | 2.07% |
Borrowings_Detail_Textuals
Borrowings (Detail Textuals) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Short-term Debt [Line Items] | ||
Long-term Federal Home Loan Bank Advances | $43,000,000 | $24,000,000 |
Bank | ||
Short-term Debt [Line Items] | ||
Long-term Federal Home Loan Bank Advances | 43,000,000 | 24,000,000 |
Federal funds purchased | Bank | ||
Short-term Debt [Line Items] | ||
Maximum borrowing capacity of federal funds on unsecured basis | 40,000,000 | |
Maximum borrowing capacity of federal funds on secured basis | 7,800,000 | |
Amount of FHLB advances which may be called early | 10,000,000 | |
Maximum additional borrowing amount under agreement with FHLB | $230,600,000 |
Borrowings_Detail_Textuals_1
Borrowings (Detail Textuals 1) (USD $) | 12 Months Ended | 1 Months Ended | ||
Dec. 31, 2014 | Mar. 17, 2005 | Mar. 17, 2004 | Dec. 31, 2013 | |
Borrowings | ||||
Investment in common interests of the trust during the period | $712,000 | |||
Investment in preferred interests of the trust by a third party during the period | 23,000,000 | |||
Subordinated notes | 49,486,000 | 49,486,000 | ||
Investment in common securities of the trust | 1,500,000 | |||
Exchange Statutory Trust II | ||||
Borrowings | ||||
Trust preferred securities issued | 23,000,000 | |||
Term | 30 years | |||
Description of variable rate | three-month LIBOR | |||
Basis spread on variable rate (as a percent) | 1.83% | |||
Interest rate at end of period (as a percent) | 2.70% | |||
Period of time after issuance in which TPS can be repaid without penalty | 5 years | |||
Exchange Statutory Trust I | ||||
Borrowings | ||||
Trust preferred securities issued | $25,000,000 | |||
Description of variable rate | three-month LIBOR | |||
Basis spread on variable rate (as a percent) | 2.70% | |||
Interest rate at end of period (as a percent) | 2.94% |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Current: | |||||||||||
Federal | $1,105 | $584 | $651 | ||||||||
State | 137 | 71 | 156 | ||||||||
Total current | 1,242 | 655 | 807 | ||||||||
Deferred: | |||||||||||
Federal | 2,353 | 1,485 | -197 | ||||||||
State | 447 | 282 | -64 | ||||||||
Total deferred | 2,800 | 1,767 | -261 | ||||||||
Total income tax expense | $1,074 | $802 | $1,121 | $1,045 | $903 | $771 | $810 | ($62) | $4,042 | $2,422 | $546 |
Income_Taxes_Details_1
Income Taxes (Details 1) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | |||||||||||
Income before provision for income tax expense | $11,696 | $7,396 | $3,368 | ||||||||
Tax at statutory federal income tax rate | 3,977 | 2,515 | 1,145 | ||||||||
Tax-exempt income | -348 | -353 | -380 | ||||||||
State income tax, net of federal tax benefit | 385 | 233 | 61 | ||||||||
Release of prior year over accrual | 0 | 0 | -371 | ||||||||
Other, net | 28 | 27 | 91 | ||||||||
Total income tax expense | $1,074 | $802 | $1,121 | $1,045 | $903 | $771 | $810 | ($62) | $4,042 | $2,422 | $546 |
Tax at statutory federal income tax rate (in percent) | 34.00% | 34.00% | 34.00% | ||||||||
Tax-exempt income (in percent) | -2.98% | -4.77% | -11.27% | ||||||||
State income tax, net of federal tax benefit (in percent) | 3.30% | 3.15% | 1.81% | ||||||||
Release of prior year over accrual (in percent) | 0.00% | 0.00% | -11.01% | ||||||||
Other, net (in percent) | 0.24% | 0.37% | 2.70% | ||||||||
Provision for income tax expense (in percent) | 34.56% | 32.75% | 16.23% |
Income_Taxes_Details_2
Income Taxes (Details 2) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ||
Allowance for loan losses | $3,458 | $5,213 |
Impairment of other real estate owned | 1,233 | 1,771 |
Goodwill | 1,786 | 2,134 |
Available-for-sale securities | 0 | 914 |
Deferred taxes on pension | 0 | 0 |
Nonaccrual loan interest | 1,069 | 1,015 |
Core deposit intangible | 689 | 822 |
Pension | 985 | 896 |
Deferred taxes on pension | 998 | 0 |
Deferred compensation | 130 | 44 |
Other | 250 | 322 |
Total deferred tax assets | 10,598 | 13,131 |
Deferred tax liabilities: | ||
Available-for-sale securities | 131 | 0 |
Premises and equipment | 1,160 | 988 |
Mortgage servicing rights | 1,022 | 1,114 |
Deferred taxes on pension | 0 | 328 |
Assets held for sale | 114 | 112 |
FHLB stock dividend | 0 | 100 |
Other | 53 | 72 |
Total deferred tax liabilities | 2,480 | 2,714 |
Net deferred tax assets | $8,118 | $10,417 |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | Unrealized Gain on Securities | Unrecognized Net Pension and Postretirement Costs | Accumulated Other Comprehensive (Loss) Income | Total | ||
In Thousands, unless otherwise specified | ||||||
Balance at the beginning at Dec. 31, 2011 | ||||||
Accumulated Other Comprehensive Income (Loss) | ||||||
Current period other comprehensive (loss) income, net of tax | $485 | $485 | ||||
Balance at the end at Dec. 31, 2012 | 3,266 | [1] | -1,441 | [2] | 1,825 | |
Accumulated Other Comprehensive Income (Loss) | ||||||
Other comprehensive (loss) income, before reclassifications | -6,980 | [1] | 3,378 | [2] | -3,602 | |
Amounts reclassified from accumulated other comprehensive income | -778 | [1] | 110 | [2] | -668 | |
Current period other comprehensive (loss) income, before tax | -7,758 | [1] | 3,488 | [2] | -4,270 | |
Income tax benefit (expense) | 3,001 | [1] | -1,325 | [2] | 1,676 | |
Current period other comprehensive (loss) income, net of tax | -4,757 | [1] | 2,163 | [2] | -2,594 | -2,594 |
Balance at the end at Dec. 31, 2013 | -1,491 | [1] | 722 | [2] | -769 | -769 |
Accumulated Other Comprehensive Income (Loss) | ||||||
Other comprehensive (loss) income, before reclassifications | 2,770 | [1] | -3,568 | [2] | -798 | |
Amounts reclassified from accumulated other comprehensive income | -20 | [1] | 79 | [2] | 59 | |
Current period other comprehensive (loss) income, before tax | 2,750 | [1] | -3,489 | [2] | -739 | |
Income tax benefit (expense) | -1,045 | [1] | 1,325 | [2] | 280 | |
Current period other comprehensive (loss) income, net of tax | 1,705 | [1] | -2,164 | [2] | -459 | -459 |
Balance at the end at Dec. 31, 2014 | $214 | [1] | ($1,442) | [2] | ($1,228) | ($1,228) |
[1] | The pre-tax amounts reclassified from accumulated other comprehensive (loss) income are included in gain on sale of investment securities in the consolidated statements of income. | |||||
[2] | The pre-tax amounts reclassified from accumulated other comprehensive income are included in the computation of net periodic pension cost. See Note 11. |
Employee_Benefit_Plans_Details
Employee Benefit Plans (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Summary of employee benefits charged to operating expenses | |||
Payroll taxes | $1,081 | $1,106 | $1,127 |
Medical plans | 1,974 | 1,915 | 1,772 |
401(k) match | 310 | 309 | 298 |
Pension plan | 960 | 1,173 | 1,224 |
Profit-sharing | 201 | 118 | 58 |
Other | 122 | 219 | 317 |
Total employee benefits | $4,648 | $4,840 | $4,796 |
Employee_Benefit_Plans_Details1
Employee Benefit Plans (Details 1) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Change in projected benefit obligation: | |||
Balance, January 1 | $14,852 | $15,342 | |
Service cost | 981 | 1,174 | 1,168 |
Interest cost | 732 | 646 | 667 |
Actuarial gain | 3,813 | -1,991 | |
Benefits paid | -401 | -319 | |
Balance, December 31 | 19,977 | 14,852 | 15,342 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Fair value, January 1 | 13,532 | 11,707 | |
Actual return on plan assets | 1,118 | 2,220 | |
Employer contribution | 725 | 0 | |
Expenses paid | -41 | -76 | |
Benefits paid | -401 | -319 | |
Fair value, December 31 | 14,933 | 13,532 | 11,707 |
Funded status at end of year | -5,044 | -1,320 | |
Accumulated benefit obligation | $16,595 | $12,298 |
Employee_Benefit_Plans_Details2
Employee Benefit Plans (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Components of net pension cost | |||
Service cost - benefits earned during the year | $981 | $1,174 | $1,168 |
Interest costs on projected benefit obligations | 732 | 646 | 667 |
Expected return on plan assets | -872 | -797 | -776 |
Expected administrative expenses | 40 | 40 | 40 |
Amortization of prior service cost | 79 | 79 | 79 |
Amortization of unrecognized net loss | 0 | 31 | 46 |
Net periodic pension expense | $960 | $1,173 | $1,224 |
Employee_Benefit_Plans_Details3
Employee Benefit Plans (Details 3) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Compensation and Retirement Disclosure [Abstract] | ||
Prior service costs | ($443) | ($522) |
Net accumulated actuarial net (loss) gain | -2,008 | 1,560 |
Accumulated other comprehensive (loss) gain | -2,451 | 1,038 |
Net periodic benefit cost in excess of cumulative employer contributions | -2,593 | -2,358 |
Net amount recognized at December 31, balance sheet | -5,044 | -1,320 |
Net (loss) gain arising during period | -3,568 | 3,378 |
Prior service cost amortization | 79 | 79 |
Amortization of net actuarial loss | 0 | 31 |
Total recognized in other comprehensive (loss) income | -3,489 | 3,488 |
Total recognized in net periodic pension cost and other comprehensive (loss) income | $4,449 | ($2,315) |
Employee_Benefit_Plans_Details4
Employee Benefit Plans (Details 4) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Determination of benefit obligation at year end: | |||
Discount rate | 4.25% | 5.00% | 4.25% |
Annual rate of compensation increase | 3.78% | 3.73% | 3.61% |
Determination of pension expense for year ended: | |||
Discount rate for the service cost | 5.00% | 4.25% | 4.75% |
Annual rate of compensation increase | 3.73% | 3.61% | 4.50% |
Expected long-term rate of return on plan assets | 7.00% | 7.00% | 7.00% |
Employee_Benefit_Plans_Details5
Employee Benefit Plans (Details 5) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | $14,933 | $13,532 | $11,707 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 13,886 | 11,874 | |||
Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 1,047 | 1,659 | |||
Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | 0 | |||
Cash equivalents | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 1,937 | 675 | |||
Cash equivalents | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 1,937 | 675 | |||
Cash equivalents | Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | 0 | |||
Cash equivalents | Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | 0 | |||
U.S. large-cap | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 7,252 | [1] | 6,506 | [1] | |
U.S. large-cap | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 7,252 | [1] | 6,506 | [1] | |
U.S. large-cap | Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [1] | 0 | [1] | |
U.S. large-cap | Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [1] | 0 | [1] | |
U.S. mid-cap | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 921 | [2] | 820 | [2] | |
U.S. mid-cap | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 921 | [2] | 820 | [2] | |
U.S. mid-cap | Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [2] | 0 | [2] | |
U.S. mid-cap | Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [2] | 0 | [2] | |
U.S. small-cap | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 1,131 | [3] | 1,151 | [3] | |
U.S. small-cap | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 1,131 | [3] | 1,151 | [3] | |
U.S. small-cap | Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [3] | 0 | [3] | |
U.S. small-cap | Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [3] | 0 | [3] | |
International | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 1,895 | [4] | 2,016 | [4] | |
International | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 1,895 | [4] | 2,016 | [4] | |
International | Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [4] | 0 | [4] | |
International | Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [4] | 0 | [4] | |
Real estate | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 486 | [5] | 387 | [5] | |
Real estate | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 486 | [5] | 387 | [5] | |
Real estate | Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [5] | 0 | [5] | |
Real estate | Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [5] | 0 | [5] | |
Commodities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 264 | [6] | 319 | [6] | |
Commodities | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 264 | [6] | 319 | [6] | |
Commodities | Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [6] | 0 | [6] | |
Commodities | Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [6] | 0 | [6] | |
U.S. gov't agency obligations | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 1,047 | [7] | 1,450 | [7] | |
U.S. gov't agency obligations | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [7] | 0 | [7] | |
U.S. gov't agency obligations | Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 1,047 | [7] | 1,450 | [7] | |
U.S. gov't agency obligations | Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [7] | 0 | [7] | |
Corporate investment grade | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 209 | [7] | |||
Corporate investment grade | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 0 | [7] | |||
Corporate investment grade | Other Observable Inputs (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | 209 | [7] | |||
Corporate investment grade | Significant Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value | $0 | [7] | |||
[1] | This category is comprised of low-cost equity index funds not actively managed that track the S&P 500. | ||||
[2] | This category is comprised of low-cost equity index funds not actively managed that track the MSCI U.S. mid-cap 450. | ||||
[3] | This category is comprised of actively managed mutual funds. | ||||
[4] | At December 31, 2014 and 2013, 31% and 32%, respectively, of this category is comprised of low-cost equity index funds not actively managed that track the MSCI EAFE. | ||||
[5] | This category is comprised of low-cost real estate index exchange traded funds. | ||||
[6] | This category is comprised of exchange traded funds investing in agricultural and energy commodities. | ||||
[7] | This category is comprised of individual bonds. |
Employee_Benefit_Plans_Parenth
Employee Benefit Plans (Parentheticals) (Details 5) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Compensation and Retirement Disclosure [Abstract] | ||
Percentage of securities comprising of low-cost equity index funds not actively managed that track the MSCI EAFE | 31.00% | 32.00% |
Employee_Benefit_Plans_Details6
Employee Benefit Plans (Details 6) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Future benefit payments expected to be paid | |
Pension benefits, 2015 | $514 |
Pension benefits, 2016 | 539 |
Pension benefits, 2017 | 598 |
Pension benefits, 2018 | 626 |
Pension benefits, 2019 | 648 |
Pension benefits, 2010 to 2024 | $4,784 |
Employee_Benefit_Plans_Detail_
Employee Benefit Plans (Detail Textuals) (USD $) | 12 Months Ended | ||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | |
Compensation and Retirement Disclosure [Abstract] | |||||
Employer match | 3.00% | ||||
Defined benefit plan contributions by employer percent | 6.00% | ||||
Estimated prior service cost for the defined benefit pension plan that will be amortized from accumulated other comprehensive income into net periodic cost | $79,000 | ||||
Assumed overall expected long-term rate of return on pension plan assets (in percent) | 7.00% | 7.00% | 7.00% | ||
Annual return on plan assets | 8.30% | 19.10% | 11.40% | 0.10% | 12.40% |
Estimated pension expense in 2015 | 1,400,000 | ||||
Pension Expense | $960,000 | $1,173,000 | $1,224,000 |
Employee_Benefit_Plans_Detail_1
Employee Benefit Plans (Detail Textuals 1) | 12 Months Ended |
Dec. 31, 2014 | |
Equity securities | |
Defined Benefit Plan Disclosure [Line Items] | |
Long-term investment target mix for the plan | 70.00% |
Fixed income | |
Defined Benefit Plan Disclosure [Line Items] | |
Long-term investment target mix for the plan | 30.00% |
Stock_Compensation_Details
Stock Compensation (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Number of shares | |||
Outstanding, beginning of year (in shares) | 126,286 | 232,947 | 297,962 |
Granted (in shares) | 0 | 0 | 0 |
Exercised (in shares) | 0 | 0 | 0 |
Forfeited (in shares) | -29,805 | -106,661 | -65,015 |
Outstanding, end of year (in shares) | 96,481 | 126,286 | 232,947 |
Exercisable, end of year (in shares) | 85,160 | 111,188 | 213,878 |
Weighted average exercise price | |||
Outstanding, beginning of year (in dollars per share) | $23.21 | $22.82 | $21.61 |
Granted (in dollars per share) | $0 | $0 | $0 |
Exercised (in dollars per share) | $0 | $0 | $0 |
Forfeited (in dollars per share) | $25.75 | $22.37 | $17.26 |
Outstanding, end of year (in dollars per share) | $22.42 | $23.21 | $22.82 |
Exercisable, end of year (in dollars per share) | $22.82 | $23.49 | $22.90 |
Stock_Compensation_Detail_Text
Stock Compensation (Detail Textuals) (USD $) | 0 Months Ended | 12 Months Ended | ||
Jul. 01, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||
Grant of options to purchase (in shares) | 569,392 | |||
Stock dividend (in percent) | 4.00% | |||
Stock based compensation expense | $20,000 | $19,000 | $29,000 | |
Total unrecognized compensation expense related to non-vested stock awards | $31,000 | |||
Weighted average period is expected to be recognized | 1 year 3 months 18 days | |||
Weighted average remaining contractual life for options outstanding | 1 year 10 months 24 days | 2 years 6 months | ||
Weighted average remaining contractual life for options exercisable | 1 year 8 months 12 days | 2 years 3 months 18 days |
Earnings_per_Share_Details
Earnings per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Basic earnings per common share: | |||||||||||
Net income | $1,729 | $1,569 | $1,812 | ($136) | $7,654 | $4,974 | $2,822 | ||||
Less:Preferred stock dividends and accretion of discount | 0 | 615 | 1,784 | ||||||||
Net income available to common shareholders | 2,001 | 1,568 | 2,098 | 1,987 | 1,729 | 1,569 | 1,492 | -431 | 7,654 | 4,359 | 1,038 |
Basic earnings per share (in dollars per share) | $0.38 | $0.30 | $0.40 | $0.38 | $0.33 | $0.30 | $0.29 | ($0.08) | $1.46 | $0.83 | $0.20 |
Diluted earnings per common share: | |||||||||||
Net income | 1,729 | 1,569 | 1,812 | -136 | 7,654 | 4,974 | 2,822 | ||||
Preferred stock dividends and accretion of discount | 0 | 615 | 1,784 | ||||||||
Net income available to common shareholders | $2,001 | $1,568 | $2,098 | $1,987 | $1,729 | $1,569 | $1,492 | ($431) | $7,654 | $4,359 | $1,038 |
Average shares outstanding | 5,233,986 | 5,233,986 | 5,233,986 | ||||||||
Effect of dilutive stock options (in shares) | 0 | 0 | 0 | ||||||||
Average shares outstanding including dilutive stock options (in shares) | 5,233,986 | 5,233,986 | 5,233,986 | ||||||||
Diluted earnings per share (in dollars per share) | $0.38 | $0.30 | $0.40 | $0.38 | $0.33 | $0.30 | $0.29 | ($0.08) | $1.46 | $0.83 | $0.20 |
Earnings_per_Share_Detail_Text
Earnings per Share (Detail Textuals) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Summary of anti-dilutive shares | |||
Anti-dilutive shares | 96,481 | 126,286 | 543,510 |
Option shares | |||
Summary of anti-dilutive shares | |||
Anti-dilutive shares | 96,481 | 126,286 | 232,947 |
Warrant shares | |||
Summary of anti-dilutive shares | |||
Anti-dilutive shares | 0 | 0 | 310,563 |
Capital_Requirements_Details
Capital Requirements (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
The actual and required capital amounts and ratios for the Company and the Bank | ||
Total capital (to risk-weighted assets), Actual Amount | $138,619 | $133,638 |
Total capital (to risk-weighted assets), Actual Ratio (as a percent) | 15.78% | 15.33% |
Total capital (to risk-weighted assets), Minimum Capital requirements, Amount | 70,282 | 69,729 |
Total capital (to risk-weighted assets), Minimum Capital requirements, Ratio (as a percent) | 8.00% | 8.00% |
Tier I capital (to risk-weighted assets), Actual Amount | 108,785 | 99,398 |
Tier I capital (to risk-weighted assets), Actual, Ratio (as a percent) | 12.38% | 11.40% |
Tier I capital (to risk-weighted assets), Minimum Capital requirements, Amount | 35,141 | 34,864 |
Tier I capital (to risk-weighted assets), Minimum Capital requirements, Ratio (as a percent) | 4.00% | 4.00% |
Tier I Capital (to adjusted average assets), Actual Amount | 108,785 | 99,398 |
Tier I Capital (to adjusted average assets), Actual Ratio (as a percent) | 9.42% | 8.79% |
Tier I Capital (to adjusted average assets), Minimum Capital requirements, Amount | 34,648 | 33,876 |
Tier I capital (to adjusted average assets), Minimum Capital requirements, Ratio (as a percent) | 3.00% | 3.00% |
Bank | ||
The actual and required capital amounts and ratios for the Company and the Bank | ||
Total capital (to risk-weighted assets), Actual Amount | 128,311 | 122,959 |
Total capital (to risk-weighted assets), Actual Ratio (as a percent) | 14.78% | 14.29% |
Total capital (to risk-weighted assets), Minimum Capital requirements, Amount | 69,430 | 68,842 |
Total capital (to risk-weighted assets), Minimum Capital requirements, Ratio (as a percent) | 8.00% | 8.00% |
Total capital (to risk-weighted assets), Well-Capitalized Capital requirements, Amount | 86,788 | 86,052 |
Total capital (to risk-weighted assets), Well-Capitalized Capital requirements, Ratio (as a percent) | 10.00% | 10.00% |
Tier I capital (to risk-weighted assets), Actual Amount | 119,212 | 112,166 |
Tier I capital (to risk-weighted assets), Actual, Ratio (as a percent) | 13.74% | 13.03% |
Tier I capital (to risk-weighted assets), Minimum Capital requirements, Amount | 34,715 | 34,421 |
Tier I capital (to risk-weighted assets), Minimum Capital requirements, Ratio (as a percent) | 4.00% | 4.00% |
Tier I capital (to risk-weighted assets), Well-Capitalized Capital requirements, Amount | 52,788 | 51,631 |
Tier I capital (to risk-weighted assets), Well-Capitalized Capital requirements, Ratio (as a percent) | 6.00% | 6.00% |
Tier I Capital (to adjusted average assets), Actual Amount | 119,212 | 112,166 |
Tier I Capital (to adjusted average assets), Actual Ratio (as a percent) | 10.42% | 10.04% |
Tier I Capital (to adjusted average assets), Minimum Capital requirements, Amount | 34,338 | 33,517 |
Tier I capital (to adjusted average assets), Minimum Capital requirements, Ratio (as a percent) | 3.00% | 3.00% |
Tier I capital (to adjusted average assets), Well-Capitalized Capital requirements, Amount | $57,230 | $55,862 |
Tier I capital (to adjusted average assets), Well-Capitalized Capital requirements, Ratio (as a percent) | 5.00% | 5.00% |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets: | ||
Available for sale debt securities, fair value | $198,998 | $205,985 |
Mortgage servicing rights, fair value | 2,762 | 3,036 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | 1,003 |
Mortgage servicing rights, fair value | 0 | 0 |
Other Observable Inputs (Level 2) | ||
Assets: | ||
Available for sale debt securities, fair value | 198,998 | 204,982 |
Mortgage servicing rights, fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | 0 |
Mortgage servicing rights, fair value | 2,762 | 3,036 |
Recurring | ||
Assets: | ||
Assets, Total | 201,760 | 209,021 |
Recurring | U.S. Treasury | ||
Assets: | ||
Available for sale debt securities, fair value | 1,003 | |
Recurring | Government sponsored enterprises | ||
Assets: | ||
Available for sale debt securities, fair value | 57,099 | 60,616 |
Recurring | Asset-backed securities | ||
Assets: | ||
Available for sale debt securities, fair value | 106,462 | 110,373 |
Recurring | Obligations of states and political subdivisions | ||
Assets: | ||
Available for sale debt securities, fair value | 35,437 | 33,993 |
Recurring | Mortgage servicing rights | ||
Assets: | ||
Mortgage servicing rights, fair value | 2,762 | 3,036 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Assets, Total | 0 | 1,003 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Treasury | ||
Assets: | ||
Available for sale debt securities, fair value | 1,003 | |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Government sponsored enterprises | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed securities | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Obligations of states and political subdivisions | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage servicing rights | ||
Assets: | ||
Mortgage servicing rights, fair value | 0 | 0 |
Recurring | Other Observable Inputs (Level 2) | ||
Assets: | ||
Assets, Total | 198,998 | 204,982 |
Recurring | Other Observable Inputs (Level 2) | U.S. Treasury | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | |
Recurring | Other Observable Inputs (Level 2) | Government sponsored enterprises | ||
Assets: | ||
Available for sale debt securities, fair value | 57,099 | 60,616 |
Recurring | Other Observable Inputs (Level 2) | Asset-backed securities | ||
Assets: | ||
Available for sale debt securities, fair value | 106,462 | 110,373 |
Recurring | Other Observable Inputs (Level 2) | Obligations of states and political subdivisions | ||
Assets: | ||
Available for sale debt securities, fair value | 35,437 | 33,993 |
Recurring | Other Observable Inputs (Level 2) | Mortgage servicing rights | ||
Assets: | ||
Mortgage servicing rights, fair value | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Assets, Total | 2,762 | 3,036 |
Recurring | Significant Unobservable Inputs (Level 3) | U.S. Treasury | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | |
Recurring | Significant Unobservable Inputs (Level 3) | Government sponsored enterprises | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Asset-backed securities | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Obligations of states and political subdivisions | ||
Assets: | ||
Available for sale debt securities, fair value | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage servicing rights | ||
Assets: | ||
Mortgage servicing rights, fair value | $2,762 | $3,036 |
Fair_Value_Measurements_Detail1
Fair Value Measurements (Details 1) (Recurring, Significant Unobservable Inputs (Level 3), Mortgage servicing rights, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage servicing rights | ||
Fair value of assets | ||
Balance at beginning of period | $3,036 | $2,549 |
Total gains or losses (realized/unrealized) Included in earnings | -576 | -25 |
Total gains or losses (realized/unrealized) Included in other comprehensive income | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Issues | 302 | 512 |
Settlements | 0 | 0 |
Balance at end of period | $2,762 | $3,036 |
Fair_Value_Measurements_Detail2
Fair Value Measurements (Details 2) (Recurring, Significant Unobservable Inputs (Level 3), Mortgage servicing rights) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage servicing rights | ||
Quantitative Information | ||
Weighted average constant prepayment rate (as a percent) | 10.54% | 9.48% |
Weighted average discount rate (as a percent) | 9.21% | 9.06% |
Weighted average expected life (in years) | 5 years 8 months 12 days | 6 years 1 month 6 days |
Fair_Value_Measurements_Detail3
Fair Value Measurements (Details 3) (Nonrecurring, USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | ||
Total Gains (Losses) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Gains (losses) on impaired loans | ($5,363) | [1] | ($3,185) | [1] |
Gains (losses) on other real estate owned and repossessed assets | -1,870 | [1] | -5,395 | [1] |
Total Fair Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 5,689 | 11,470 | ||
Other real estate owned and repossessed assets | 11,885 | 14,867 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Other real estate owned and repossessed assets | 0 | 0 | ||
Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Other real estate owned and repossessed assets | 0 | 0 | ||
Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 5,689 | 11,470 | ||
Other real estate owned and repossessed assets | 11,885 | 14,867 | ||
Commercial, financial, and agricultural | Total Gains (Losses) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Gains (losses) on impaired loans | -1,105 | [1] | -735 | [1] |
Commercial, financial, and agricultural | Total Fair Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 1,386 | 827 | ||
Commercial, financial, and agricultural | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Commercial, financial, and agricultural | Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Commercial, financial, and agricultural | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 1,386 | 827 | ||
Real estate construction - residential | Total Gains (Losses) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Gains (losses) on impaired loans | -350 | [1] | -119 | [1] |
Real estate construction - residential | Total Fair Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 1,768 | ||
Real estate construction - residential | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Real estate construction - residential | Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Real estate construction - residential | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 1,768 | ||
Real estate construction - commercial | Total Gains (Losses) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Gains (losses) on impaired loans | -491 | [1] | -498 | [1] |
Real estate construction - commercial | Total Fair Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 210 | ||
Real estate construction - commercial | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Real estate construction - commercial | Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Real estate construction - commercial | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 210 | ||
Real estate mortgage - residential | Total Gains (Losses) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Gains (losses) on impaired loans | -332 | [1] | -376 | [1] |
Real estate mortgage - residential | Total Fair Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 3,322 | 3,022 | ||
Real estate mortgage - residential | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Real estate mortgage - residential | Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Real estate mortgage - residential | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 3,322 | 3,022 | ||
Real estate mortgage - commercial | Total Gains (Losses) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Gains (losses) on impaired loans | -2,937 | [1] | -1,457 | [1] |
Real estate mortgage - commercial | Total Fair Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 809 | 5,616 | ||
Real estate mortgage - commercial | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Real estate mortgage - commercial | Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Real estate mortgage - commercial | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 809 | 5,616 | ||
Consumer | Total Gains (Losses) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Gains (losses) on impaired loans | -148 | [1] | 0 | [1] |
Consumer | Total Fair Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 172 | 27 | ||
Consumer | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Consumer | Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | 0 | 0 | ||
Consumer | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impaired loans | $172 | $27 | ||
[1] | Total gains (losses) reported for other real estate owned and repossessed assets includes charge-offs, valuation write-downs, and net losses taken during the periods reported. |
Fair_Value_Measurements_Detail4
Fair Value Measurements (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Fair Value Disclosures [Abstract] | ||
Gains included in earnings attributable to change in unrealized gains or losses | $66,000 | $723,000 |
Impaired loans with a specific allowance | 7,438,000 | 16,266,000 |
Specific allowance related to impaired loans | 1,749,000 | 4,796,000 |
Impaired financing receivable charge offs | $5,400,000 | $3,200,000 |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets: | ||
Cash and due from banks | $22,364 | $27,079 |
Federal funds sold and overnight interest-bearing deposits | 20,445 | 1,360 |
Investment in available-for-sale securities, at fair value | 198,998 | 205,985 |
Mortgage servicing rights | 2,762 | 3,036 |
Accrued interest receivable | 4,816 | 4,999 |
Deposits: | ||
Non-interest bearing demand | 207,700 | 187,382 |
Savings, interest checking and money market | 442,059 | 419,085 |
Time deposits | 319,755 | 350,004 |
Accrued interest payable | 373 | 426 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Cash and due from banks | 22,364 | 27,079 |
Federal funds sold and overnight interest-bearing deposits | 20,445 | 1,360 |
Investment in available-for-sale securities, at fair value | 0 | 1,003 |
Loans, net | 0 | 0 |
Investment in FHLB stock | 0 | 0 |
Mortgage servicing rights | 0 | 0 |
Cash surrender value - life insurance | 0 | 0 |
Accrued interest receivable | 4,816 | 4,999 |
Assets, Total | 47,625 | 34,441 |
Deposits: | ||
Non-interest bearing demand | 207,700 | 187,382 |
Savings, interest checking and money market | 442,059 | 419,085 |
Time deposits | 0 | 0 |
Federal funds purchased and securities sold under agreements to repurchase | 17,970 | 31,084 |
Subordinated notes | 0 | 0 |
Federal Home Loan Bank advances | 0 | 0 |
Accrued interest payable | 373 | 426 |
Liabilities, Fair Value Disclosure, Total | 668,102 | 637,977 |
Other Observable Inputs (Level 2) | ||
Assets: | ||
Cash and due from banks | 0 | 0 |
Federal funds sold and overnight interest-bearing deposits | 0 | 0 |
Investment in available-for-sale securities, at fair value | 198,998 | 204,982 |
Loans, net | 0 | 0 |
Investment in FHLB stock | 3,075 | 2,354 |
Mortgage servicing rights | 0 | 0 |
Cash surrender value - life insurance | 2,284 | 2,213 |
Accrued interest receivable | 0 | 0 |
Assets, Total | 204,357 | 209,549 |
Deposits: | ||
Non-interest bearing demand | 0 | 0 |
Savings, interest checking and money market | 0 | 0 |
Time deposits | 0 | 0 |
Federal funds purchased and securities sold under agreements to repurchase | 0 | 0 |
Subordinated notes | 33,371 | 32,048 |
Federal Home Loan Bank advances | 44,396 | 25,366 |
Accrued interest payable | 0 | 0 |
Liabilities, Fair Value Disclosure, Total | 77,767 | 57,414 |
Net Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Cash and due from banks | 0 | 0 |
Federal funds sold and overnight interest-bearing deposits | 0 | 0 |
Investment in available-for-sale securities, at fair value | 0 | 0 |
Loans, net | 854,062 | 829,223 |
Investment in FHLB stock | 0 | 0 |
Mortgage servicing rights | 2,762 | 3,036 |
Cash surrender value - life insurance | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Assets, Total | 856,824 | 832,259 |
Deposits: | ||
Non-interest bearing demand | 0 | 0 |
Savings, interest checking and money market | 0 | 0 |
Time deposits | 321,041 | 352,432 |
Federal funds purchased and securities sold under agreements to repurchase | 0 | 0 |
Subordinated notes | 0 | 0 |
Federal Home Loan Bank advances | 0 | 0 |
Accrued interest payable | 0 | 0 |
Liabilities, Fair Value Disclosure, Total | 321,041 | 352,432 |
Carrying Amount | ||
Assets: | ||
Cash and due from banks | 22,364 | 27,079 |
Federal funds sold and overnight interest-bearing deposits | 20,445 | 1,360 |
Investment in available-for-sale securities, at fair value | 198,998 | 205,985 |
Loans, net | 852,114 | 825,828 |
Investment in FHLB stock | 3,075 | 2,354 |
Mortgage servicing rights | 2,762 | 3,036 |
Cash surrender value - life insurance | 2,284 | 2,213 |
Accrued interest receivable | 4,816 | 4,999 |
Assets, Total | 1,106,858 | 1,072,854 |
Deposits: | ||
Non-interest bearing demand | 207,700 | 187,382 |
Savings, interest checking and money market | 442,059 | 419,085 |
Time deposits | 319,755 | 350,004 |
Federal funds purchased and securities sold under agreements to repurchase | 17,970 | 31,084 |
Subordinated notes | 49,486 | 49,486 |
Federal Home Loan Bank advances | 43,000 | 24,000 |
Accrued interest payable | 373 | 426 |
Liabilities, Fair Value Disclosure, Total | 1,080,343 | 1,061,467 |
Fair Value | ||
Assets: | ||
Cash and due from banks | 22,364 | 27,079 |
Federal funds sold and overnight interest-bearing deposits | 20,445 | 1,360 |
Investment in available-for-sale securities, at fair value | 198,998 | 205,985 |
Loans, net | 854,062 | 829,223 |
Investment in FHLB stock | 3,075 | 2,354 |
Mortgage servicing rights | 2,762 | 3,036 |
Cash surrender value - life insurance | 2,284 | 2,213 |
Accrued interest receivable | 4,816 | 4,999 |
Assets, Total | 1,108,806 | 1,076,249 |
Deposits: | ||
Non-interest bearing demand | 207,700 | 187,382 |
Savings, interest checking and money market | 442,059 | 419,085 |
Time deposits | 321,041 | 352,432 |
Federal funds purchased and securities sold under agreements to repurchase | 17,970 | 31,084 |
Subordinated notes | 33,371 | 32,048 |
Federal Home Loan Bank advances | 44,396 | 25,366 |
Accrued interest payable | 373 | 426 |
Liabilities, Fair Value Disclosure, Total | $1,066,910 | $1,047,823 |
Repurchase_Reserve_Liability_D
Repurchase Reserve Liability (Detail Textuals) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Loans | Loans | |
Repurchase Reserve Liability [Abstract] | ||
Repurchase reserve liability | $160,000 | $160,000 |
Number of loans sold to the secondary market | 3,057 | 3,114 |
Balance of loans sold to the secondary market | $313,900,000 | $322,500,000 |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Commitments to extend credit | ||
Contractual amount of off-balance-sheet financial instruments | ||
Total contractual amount of off-balance-sheet financial instruments | $117,880 | $135,137 |
Commitments to originate residential first and second mortgage loans | ||
Contractual amount of off-balance-sheet financial instruments | ||
Total contractual amount of off-balance-sheet financial instruments | 1,640 | 1,852 |
Standby letters of credit | ||
Contractual amount of off-balance-sheet financial instruments | ||
Total contractual amount of off-balance-sheet financial instruments | $1,621 | $1,826 |
Commitments_and_Contingencies_2
Commitments and Contingencies (Detail Textuals) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2014 |
Contractual amount of off-balance-sheet financial instruments | |
Amounts accrued for estimated losses for the financial instruments | 0 |
Minimum | |
Contractual amount of off-balance-sheet financial instruments | |
Remaining term of standby letters of credit | 1 month |
Maximum | |
Contractual amount of off-balance-sheet financial instruments | |
Remaining term of standby letters of credit | 5 years |
Condensed_Financial_Informatio2
Condensed Financial Information of the Parent Company Only (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Assets | ||||
Cash and due from bank subsidiaries | $22,364 | $27,079 | ||
Premises and equipment | 37,498 | 38,079 | ||
Deferred tax asset | 10,598 | 13,131 | ||
Other assets | 11,843 | 12,675 | ||
Total assets | 1,169,731 | 1,140,122 | ||
Liabilities and Stockholders' Equity | ||||
Subordinated notes | 49,486 | 49,486 | ||
Other liabilities | 8,820 | 4,275 | ||
Stockholders' equity | 80,568 | 74,380 | 92,220 | 103,036 |
Total liabilities and stockholders' equity | 1,169,731 | 1,140,122 | ||
HAWTHORN BANCSHARES, INC. | ||||
Assets | ||||
Cash and due from bank subsidiaries | 1,024 | 450 | ||
Investment in equity securities | 1,486 | 1,486 | ||
Investment in subsidiaries | 130,728 | 122,413 | ||
Premises and equipment | 0 | 0 | ||
Deferred tax asset | 1,989 | 130 | ||
Other assets | 308 | 1,011 | ||
Total assets | 135,535 | 125,490 | ||
Liabilities and Stockholders' Equity | ||||
Subordinated notes | 49,486 | 49,486 | ||
Other liabilities | 5,481 | 1,624 | ||
Stockholders' equity | 80,568 | 74,380 | ||
Total liabilities and stockholders' equity | $135,535 | $125,490 |
Condensed_Financial_Informatio3
Condensed Financial Information of the Parent Company Only (Details 1) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income | |||||||||||
Interest and dividends received from subsidiaries | $11,214 | $11,196 | $11,125 | $10,963 | $11,230 | $11,298 | $11,592 | $11,545 | $44,498 | $45,665 | $49,114 |
Expenses | |||||||||||
Interest on subordinated notes | 1,264 | 1,284 | 1,381 | ||||||||
Other | 3,218 | 3,632 | 4,403 | ||||||||
Income tax benefit | -1,074 | -802 | -1,121 | -1,045 | -903 | -771 | -810 | 62 | -4,042 | -2,422 | -546 |
Net income | 1,729 | 1,569 | 1,812 | -136 | 7,654 | 4,974 | 2,822 | ||||
HAWTHORN BANCSHARES, INC. | |||||||||||
Income | |||||||||||
Interest and dividends received from subsidiaries | 2,538 | 15,039 | 4,596 | ||||||||
Total income | 2,538 | 15,039 | 4,596 | ||||||||
Expenses | |||||||||||
Interest on subordinated notes | 1,264 | 1,284 | 1,381 | ||||||||
Other | 1,730 | 1,778 | 2,889 | ||||||||
Total expenses | 2,994 | 3,062 | 4,270 | ||||||||
Income before income tax benefit and equity in undistributed income of subsidiaries | -456 | 11,977 | 326 | ||||||||
Income tax benefit | 1,100 | 1,126 | 2,257 | ||||||||
Equity in undistributed (losses) income of subsidiaries | 7,010 | -8,129 | 239 | ||||||||
Net income | $7,654 | $4,974 | $2,822 |
Condensed_Financial_Informatio4
Condensed Financial Information of the Parent Company Only (Details 2) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Jun. 11, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows from operating activities: | ||||||||
Net income | $1,729 | $1,569 | $1,812 | ($136) | $7,654 | $4,974 | $2,822 | |
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Depreciation | 1,758 | 1,605 | 1,858 | |||||
Stock based compensation expense | 20 | 19 | 29 | |||||
Other, net | 2,355 | -444 | -125 | |||||
Net cash provided by operating activities | 13,554 | 20,243 | 14,875 | |||||
Cash flows from investing activities: | ||||||||
Net cash used by investing activities | -17,096 | -9,548 | -6,374 | |||||
Cash flows from financing activities: | ||||||||
Redemption of 18,255 and 12,000 shares, respectively, of preferred stock | 0 | -18,255 | -12,000 | |||||
Cash dividends paid - preferred stock | 0 | -456 | -1,203 | |||||
Cash dividends paid - common stock | -1,017 | -978 | -940 | |||||
Warrant redemption | -540 | 0 | -540 | 0 | ||||
Net cash provided (used) by financing activities | 17,912 | -41,133 | 7,166 | |||||
Net increase (decrease) in cash and cash equivalents | 14,370 | -30,438 | 15,667 | |||||
Cash and cash equivalents, beginning of year | 58,877 | 28,439 | 58,877 | 43,210 | ||||
Cash and cash equivalents, end of year | 28,439 | 42,809 | 28,439 | 58,877 | ||||
HAWTHORN BANCSHARES, INC. | ||||||||
Cash flows from operating activities: | ||||||||
Net income | 7,654 | 4,974 | 2,822 | |||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Depreciation | 0 | 1 | 1 | |||||
Equity in undistributed (income) losses of subsidiaries | -7,010 | 8,129 | -239 | |||||
Stock based compensation expense | 20 | 19 | 29 | |||||
(Increase) decrease in deferred tax asset | -1,415 | 1,325 | -148 | |||||
Other, net | 1,942 | -182 | -813 | |||||
Net cash provided by operating activities | 1,191 | 14,266 | 1,652 | |||||
Cash flows from investing activities: | ||||||||
Investment in subsidiary | 400 | 4,550 | 1,072 | |||||
Net cash used by investing activities | 400 | 4,550 | 1,072 | |||||
Cash flows from financing activities: | ||||||||
Redemption of 18,255 and 12,000 shares, respectively, of preferred stock | 0 | -18,255 | -12,000 | |||||
Cash dividends paid - preferred stock | 0 | -456 | -1,203 | |||||
Cash dividends paid - common stock | -1,017 | -978 | -940 | |||||
Warrant redemption | 0 | -540 | 0 | |||||
Net cash provided (used) by financing activities | -1,017 | -20,229 | -14,143 | |||||
Net increase (decrease) in cash and cash equivalents | 574 | -1,413 | -11,419 | |||||
Cash and cash equivalents, beginning of year | 1,863 | 450 | 1,863 | 13,282 | ||||
Cash and cash equivalents, end of year | $450 | $1,024 | $450 | $1,863 |
Quarterly_Financial_Informatio2
Quarterly Financial Information (Unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Quarterly Financial Information (Unaudited) | |||||||||||
Interest income | $11,214 | $11,196 | $11,125 | $10,963 | $11,230 | $11,298 | $11,592 | $11,545 | $44,498 | $45,665 | $49,114 |
Interest expense | 1,217 | 1,240 | 1,278 | 1,309 | 1,316 | 1,433 | 1,777 | 1,816 | 5,044 | 6,342 | 7,905 |
Net interest income | 9,997 | 9,956 | 9,847 | 9,654 | 9,914 | 9,865 | 9,815 | 9,729 | 39,454 | 39,323 | 41,209 |
Provision for loan losses | 0 | 0 | 0 | 0 | 30 | 0 | 1,000 | 1,000 | 0 | 2,030 | 8,900 |
Noninterest income | 2,168 | 2,313 | 2,183 | 2,085 | 2,324 | 2,447 | 3,088 | 3,007 | 8,749 | 10,866 | 9,726 |
Noninterest expense | 9,090 | 9,899 | 8,811 | 8,707 | 9,576 | 9,972 | 9,281 | 11,934 | 36,507 | 40,763 | 38,667 |
Income tax (benefit) expense | 1,074 | 802 | 1,121 | 1,045 | 903 | 771 | 810 | -62 | 4,042 | 2,422 | 546 |
Net income | 1,729 | 1,569 | 1,812 | -136 | 7,654 | 4,974 | 2,822 | ||||
Preferred stock dividends | 0 | 0 | 320 | 295 | |||||||
Net income available to common shareholders | $2,001 | $1,568 | $2,098 | $1,987 | $1,729 | $1,569 | $1,492 | ($431) | $7,654 | $4,359 | $1,038 |
Net income (loss) per share: | |||||||||||
Basic (loss) earnings per share (in dollars per share) | $0.38 | $0.30 | $0.40 | $0.38 | $0.33 | $0.30 | $0.29 | ($0.08) | $1.46 | $0.83 | $0.20 |
Diluted (loss) earnings per share (in dollars per share) | $0.38 | $0.30 | $0.40 | $0.38 | $0.33 | $0.30 | $0.29 | ($0.08) | $1.46 | $0.83 | $0.20 |