Hawthorn Bancshares (HWBK) 10-Q 14 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 14, 2015
Document And Entity Information Abstract
Entity Registrant Name	HAWTHORN BANCSHARES, INC.
Entity Central Index Key	893,847
Trading Symbol	hwbk
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		5,443,344
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2

Consolidated Balance Sheets (un

Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
ASSETS
Cash and due from banks	$ 22,413	$ 22,364
Federal funds sold and other overnight interest-bearing deposits	10,922	20,445
Cash and cash equivalents	33,335	42,809
Investment in available-for-sale securities, at fair value	239,487	198,998
Other investments and securities, at cost	7,916	4,722
Total investment securities	247,403	203,720
Loans	863,654	861,213
Allowances for loan losses	(9,986)	(9,099)
Net loans	853,668	852,114
Premises and equipment - net	37,006	37,498
Mortgage servicing rights	2,727	2,762
Other real estate and repossessed assets - net	12,516	11,885
Accrued interest receivable	4,642	4,816
Cash surrender value - life insurance	2,319	2,284
Other assets	10,747	11,843
Total assets	1,204,363	1,169,731
Deposits
Non-interest bearing demand	206,478	207,700
Savings, interest checking and money market	465,253	442,059
Time deposits $100,000 and over	141,776	134,945
Other time deposits	175,359	184,810
Total deposits	988,866	969,514
Federal funds purchased and securities sold under agreements to repurchase	25,842	17,970
Subordinated notes	49,486	49,486
Federal Home Loan Bank advances	47,000	43,000
Accrued interest payable	365	373
Other liabilities	9,015	8,820
Total liabilities	1,120,574	1,089,163
Stockholders' equity:
Common stock, $1 par value, authorized 15,000,000 shares; issued 5,395,844 shares, respectively	5,396	5,396
Surplus	38,753	35,901
Retained earnings	44,711	44,016
Accumulated other comprehensive loss, net of tax	(1,554)	(1,228)
Treasury stock; 161,858 shares, at cost	(3,517)	(3,517)
Total stockholders' equity	83,789	80,568
Total liabilities and stockholders' equity	$ 1,204,363	$ 1,169,731

Consolidated Balance Sheets (u3

Consolidated Balance Sheets (unaudited) (Parentheticals) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
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	5,395,844
Treasury stock, shares	161,858	161,858

Consolidated Statements of Inco

Consolidated Statements of Income (unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
INTEREST INCOME
Interest and fees on loans	$ 10,104	$ 10,048	$ 20,177	$ 19,913
Interest on investment securities:
Taxable	890	874	1,792	1,755
Nontaxable	172	174	355	363
Federal funds sold and other overnight interest-bearing deposits	8	9	22	18
Dividends on other securities	40	20	66	40
Total interest income	11,214	11,125	22,412	22,089
Interest on deposits:
Savings, interest checking and money market	247	254	497	521
Time deposit accounts $100,000 and over	222	244	431	487
Other time deposits	268	357	562	736
Interest on federal funds purchased and securities sold under agreements to repurchase	9	4	16	9
Interest on subordinated notes	320	315	633	627
Interest on Federal Home Loan Bank advances	164	104	311	208
Total interest expense	1,230	1,278	2,450	2,588
Net interest income	9,984	9,847	19,962	19,501
Provision for loan losses	250	0	250	0
Net interest income after provision for loan losses	9,734	9,847	19,712	19,501
NON-INTEREST INCOME
Service charges and other fees	864	939	1,694	1,830
Bank card income and fees	629	616	1,216	1,159
Trust department income	274	228	478	431
Real estate servicing fees, net	186	22	180	199
Gain on sale of mortgage loans, net	434	257	781	448
Other	74	121	99	202
Total non-interest income	2,461	2,183	4,448	4,269
NON-INTEREST EXPENSE
Salaries and employee benefits	5,175	4,960	10,478	9,991
Occupancy expense, net	717	672	1,380	1,292
Furniture and equipment expense	484	453	915	896
FDIC insurance assessment	258	242	499	480
Legal, examination, and professional fees	339	282	610	508
Advertising and promotion	270	256	507	546
Postage, printing, and supplies	272	280	543	545
Processing, network, and bank card expense	807	791	1,596	1,579
Real estate foreclosure expense and (gains), net	158	172	(23)	296
Other	787	703	1,470	1,385
Total non-interest expense	9,267	8,811	17,975	17,518
Income before income taxes	2,928	3,219	6,185	6,252
Income tax expense	1,001	1,121	2,120	2,167
Net income	$ 1,927	$ 2,098	$ 4,065	$ 4,085
Basic earnings per share (in dollars per share)	$ 0.35	$ 0.39	$ 0.75	$ 0.75
Diluted earnings per share (in dollars per share)	$ 0.35	$ 0.39	$ 0.75	$ 0.75

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
(In thousands)
Net income	$ 1,927	$ 2,098	$ 4,065	$ 4,085
Investment securities available-for-sale:
Unrealized (loss) gain on investment securities available-for-sale, net of tax	(860)	981	(376)	1,530
Adjustment for gain on sale of investment securities, net of tax	5	0	5	0
Defined benefit pension plans:
Amortization of prior service cost included in net periodic pension cost, net of tax	22	12	45	24
Total other comprehensive (loss) income	(833)	993	(326)	1,554
Total comprehensive income	$ 1,094	$ 3,091	$ 3,739	$ 5,639

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity (unaudited) - USD ($) $ in Thousands	Common Stock	Surplus	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Treasury Stock	Total
Balance at Dec. 31, 2013	$ 5,195	$ 33,385	$ 40,086	$ (769)	$ (3,517)	$ 74,380
Increase (Decrease) in Stockholders' Equity
Net income	0	0	4,085	0	0	4,085
Other comprehensive income (loss)	0	0	0	1,554	0	1,554
Stock dividend	0	2,697	(2,697)	0	0	0
Stock based compensation expense	0	10	0	0	0	10
Cash dividends declared, common stock	0	0	(504)	0	0	(504)
Balance at Jun. 30, 2014	5,195	36,092	40,970	785	(3,517)	79,525
Balance at Dec. 31, 2014	5,396	35,901	44,016	(1,228)	(3,517)	80,568
Increase (Decrease) in Stockholders' Equity
Net income	0	0	4,065	0	0	4,065
Other comprehensive income (loss)	0	0	0	(326)	0	(326)
Stock dividend	0	2,847	(2,847)	0	0	0
Stock based compensation expense	0	5	0	0	0	5
Cash dividends declared, common stock	0	0	(523)	0	0	(523)
Balance at Jun. 30, 2015	$ 5,396	$ 38,753	$ 44,711	$ (1,554)	$ (3,517)	$ 83,789

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net income	$ 4,065	$ 4,085
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation expense	962	867
Net amortization of investment securities, premiums, and discounts	664	543
Stock based compensation expense	5	10
Change in fair value of mortgage servicing rights	262	247
Gain on sale of investment securities	(8)	0
Gain on sales and dispositions of premises and equipment	(11)	(39)
Gain on sales and dispositions of other real estate and repossessed assets	(144)	(152)
Provision for other real estate owned	(6)	174
Decrease in accrued interest receivable	174	248
Increase in cash surrender value -life insurance	(35)	(38)
Decrease in other assets	1,344	230
Decrease in accrued interest payable	(8)	(33)
Increase in other liabilities	195	1,565
Origination of mortgage loans for sale	(28,950)	(14,214)
Proceeds from the sale of mortgage loans	28,904	14,538
Gain on sale of mortgage loans, net	(781)	(448)
Other, net	(154)	(83)
Net cash provided by operating activities	6,478	7,500
Cash flows from investing activities:
Net increase in loans	(2,244)	(19,664)
Purchase of available-for-sale debt securities	(67,583)	(39,607)
Proceeds from maturities of available-for-sale debt securities	14,245	12,364
Proceeds from calls of available-for-sale debt securities	10,875	19,500
Proceeds from sales of available-for-sale debt securities	720	0
Proceeds from sales of FHLB stock	120	39
Purchases of FHLB stock	(3,315)	0
Purchases of premises and equipment	(518)	(738)
Proceeds from sales of premises and equipment	11	43
Proceeds from sales of other real estate and foreclosed assets	1,036	3,124
Net cash used in investing activities	(46,653)	(24,939)
Cash flows from financing activities:
Net (decrease) increase in demand deposits	(1,222)	8,789
Net increase in interest-bearing transaction accounts	23,194	29,751
Net decrease in time deposits	(2,620)	(6,561)
Net increase (decrease) in federal funds purchased and securities sold under agreements to repurchase	7,872	(8,235)
Repayment of FHLB advances	(13,000)	(10,000)
FHLB advances	17,000	10,000
Cash dividends paid - common stock	(523)	(504)
Net cash provided by financing activities	30,701	23,240
Net (decrease) increase in cash and cash equivalents	(9,474)	5,801
Cash and cash equivalents, beginning of period	42,809	28,439
Cash and cash equivalents, end of period	33,335	34,240
Cash paid during the year for:
Interest	2,459	2,621
Income taxes	959	1,320
Noncash investing activities:
Other real estate and repossessed assets acquired in settlement of loans	$ 1,517	$ 305

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2015
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 unaudited consolidated financial statements of the Company have been prepared in conformity with U.S. generally accepted accounting principles (U.S. GAAP) for interim financial information and with the instructions to Form 10-Q, and Rule 10-01 of Regulation S-X. Accordingly, the unaudited consolidated financial statements do not include all of the information and disclosures required by U.S. GAAP for complete financial statements and should be read in conjunction with the consolidated financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014. Certain amounts in the 2014 condensed consolidated financial statements have been reclassified to conform to the 2014 condensed consolidated presentation. Such reclassifications have no effect on previously reported net income or stockholders’ equity. 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. Stock Dividend The following represents significant new accounting principles adopted in 2015: Investments - Equity Method and Joint Ventures The FASB issued ASU No. 2014-01, Accounting for Investments in Qualified Affordable Housing Projects Troubled Debt Restructurings by Creditors The FASB issued ASU No. 2014-04, Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure The FASB issued ASU No. 2014-14, Classification of Certain Government-Guaranteed Mortgage Loans upon Foreclosure

Loans and Allowance for Loan Lo

Loans and Allowance for Loan Losses	6 Months Ended
	Jun. 30, 2015
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 June 30, 2015 and December 31, 2014 is as follows: June 30, December 31, (in thousands) 2015 2014 Commercial, financial, and agricultural $ 162,067 $ 154,834 Real estate construction - residential 12,088 18,103 Real estate construction - commercial 48,508 48,822 Real estate mortgage - residential 242,095 247,117 Real estate mortgage - commercial 378,398 372,321 Installment and other consumer 20,498 20,016 Total loans $ 863,654 $ 861,213 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 automotive vehicles. At June 30, 2015, loans with a carrying value of $409.7 million, or $341.8 million fair value, were pledged to the Federal Home Loan Bank as collateral for borrowings and letters of credit. Allowance for Loan Losses The following is a summary of the allowance for loan losses during the periods indicated. Three Months Ended June 30, 2015 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 beginning of period $ 2,141 $ 48 $ 374 $ 2,709 $ 4,115 $ 190 $ 184 $ 9,761 Additions: Provision for loan losses 1,065 (148 ) 45 (284 ) (354 ) 66 (140 ) 250 Deductions: Loans charged off 122 0 5 140 8 113 0 388 Less recoveries on loans (40 ) (117 ) 0 (47 ) (117 ) (42 ) 0 (363 ) Net loans charged off 82 (117 ) 5 93 (109 ) 71 0 25 Balance at end of period $ 3,124 $ 17 $ 414 $ 2,332 $ 3,870 $ 185 $ 44 $ 9,986 Six Months Ended June 30, 2015 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 beginning of period $ 1,779 $ 171 $ 466 $ 2,527 $ 3,846 $ 270 $ 40 $ 9,099 Additions: Provision for loan losses 880 (448 ) (47 ) (43 ) (96 ) 0 4 250 Deductions: Loans charged off 150 0 5 211 32 161 0 559 Less recoveries on loans (615 ) (294 ) 0 (59 ) (152 ) (76 ) 0 (1,196 ) Net loans (recovered) charged off (465 ) (294 ) 5 152 (120 ) 85 0 (637 ) Balance at end of period $ 3,124 $ 17 $ 414 $ 2,332 $ 3,870 $ 185 $ 44 $ 9,986 Three Months Ended June 30, 2014 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 beginning of period $ 2,452 $ 479 $ 550 $ 3,090 $ 6,019 $ 255 $ 0 $ 12,845 Additions: Provision for loan losses (566 ) (65 ) 145 (624 ) 1,037 64 9 0 Deductions: Loans charged off 54 0 77 75 705 114 0 1,025 Less recoveries on loans (111 ) (59 ) 0 (14 ) (77 ) (69 ) 0 (330 ) Net loans charged off (57 ) (59 ) 77 61 628 45 0 695 Balance at end of period $ 1,943 $ 473 $ 618 $ 2,405 $ 6,428 $ 274 $ 9 $ 12,150 Six Months Ended June 30, 2014 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 beginning of period $ 2,374 $ 931 $ 631 $ 2,959 $ 6,523 $ 294 $ 7 $ 13,719 Additions: Provision for loan losses (472 ) (458 ) 478 (486 ) 885 51 2 0 Deductions: Loans charged off 186 60 491 194 1,073 198 0 2,202 Less recoveries on loans (227 ) (60 ) 0 (126 ) (93 ) (127 ) 0 (633 ) Net loans charged off (41 ) 0 491 68 980 71 0 1,569 Balance at end of period $ 1,943 $ 473 $ 618 $ 2,405 $ 6,428 $ 274 $ 9 $ 12,150 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 June 30, 2015 and December 31, 2014, and the related loan balance by impairment methodology. 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 June 30, 2015 Allowance for loan losses: Individually evaluated for impairment $ 902 $ 0 $ 8 $ 1,331 $ 467 $ 17 $ 0 $ 2,725 Collectively evaluated for impairment 2,222 17 406 1,001 3,403 168 44 7,261 Total $ 3,124 $ 17 $ 414 $ 2,332 $ 3,870 $ 185 $ 44 $ 9,986 Loans outstanding: Individually evaluated for impairment $ 4,425 $ 0 $ 1,934 $ 6,792 $ 4,550 $ 124 $ 0 $ 17,825 Collectively evaluated for impairment 157,642 12,088 46,574 235,303 373,848 20,374 0 845,829 Total $ 162,067 $ 12,088 $ 48,508 $ 242,095 $ 378,398 $ 20,498 $ 0 $ 863,654 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 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 individually evaluated for impairment totaled $17.8 million and $36.0 million at June 30, 2015 and December 31, 2014, respectively, and are comprised of loans on non-accrual status and loans which have been classified as troubled debt restructurings (TDRs). The net carrying value of impaired loans is based on the fair values of collateral obtained through independent appraisals or internal evaluations, or by discounting the total expected future cash flows. At June 30, 2015 and December 31, 2014, $14.8 million and $15.6 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 June 30, 2015, $2.7 million of the Company’s allowance for loan losses was allocated to impaired loans totaling $17.8 million compared to $1.7 million of the Company's allowance for loan losses allocated to impaired loans totaling approximately $36.0 million at December 31, 2014. Management determined that $9.5 million, or 53%, of total impaired loans required no reserve allocation at June 30, 2015 compared to $28.5 million, or 79%, at December 31, 2014 primarily due to adequate collateral values , The categories of impaired loans at June 30, 2015 and December 31, 2014 are as follows: June 30, December 31, (in thousands) 2015 2014 Non-accrual loans $ 11,730 $ 18,243 Troubled debt restructurings continuing to accrue interest 6,095 17,720 Total impaired loans $ 17,825 $ 35,963 The following tables provide additional information about impaired loans at June 30, 2015 and December 31, 2014, 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 June 30, 2015 With no related allowance recorded: Commercial, financial and agricultural $ 2,322 $ 2,358 $ 0 Real estate - construction residential 0 0 0 Real estate - construction commercial 1,879 2,101 0 Real estate - residential 1,816 2,243 0 Real estate - commercial 3,472 3,736 0 Total $ 9,489 $ 10,438 $ 0 With an allowance recorded: Commercial, financial and agricultural $ 2,103 $ 2,258 $ 902 Real estate - construction commercial 55 55 8 Real estate - residential 4,976 5,098 1,331 Real estate - commercial 1,078 1,348 467 Consumer 124 157 17 Total $ 8,336 $ 8,916 $ 2,725 Total impaired loans $ 17,825 $ 19,354 $ 2,725 Unpaid Recorded Principal Specific (in thousands) Investment Balance Reserves December 31, 2014 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 The following table presents by class, information related to the average recorded investment and interest income recognized on impaired loans during the periods indicated. Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Interest Interest Interest Interest Average Recognized Average Recognized Average Recognized Average Recognized Recorded For the Recorded For the Recorded For the Recorded For the (in thousands) Investment Period Ended Investment Period Ended Investment Period Ended Investment Period Ended With no related allowance recorded: Commercial, financial and agricultural $ 2,405 $ 8 $ 2,663 $ 26 $ 3,834 $ 28 $ 2,579 $ 47 Real estate - construction residential 0 0 64 0 1,105 0 90 0 Real estate - construction commercial 2,101 0 6,688 0 3,633 0 6,844 0 Real estate - residential 2,246 8 3,281 8 3,328 20 3,091 14 Real estate - commercial 4,081 21 12,614 106 11,383 86 12,212 172 Consumer 0 0 8 0 10 1 16 0 Total $ 10,833 $ 37 $ 25,318 $ 140 $ 23,293 $ 135 $ 24,832 $ 233 With an allowance recorded: Commercial, financial and agricultural $ 2,263 $ 7 $ 2,103 $ 7 $ 1,677 $ 13 $ 2,222 $ 15 Real estate - construction residential 0 0 2,260 0 565 0 2,265 0 Real estate - construction commercial 55 0 62 0 14 0 84 0 Real estate - residential 5,224 24 5,215 25 4,865 50 5,347 65 Real estate - commercial 1,360 0 4,904 0 2,056 0 4,749 0 Consumer 160 0 318 0 246 0 330 0 Total $ 9,062 $ 31 $ 14,862 $ 32 $ 9,423 $ 63 $ 14,997 $ 80 Total impaired loans $ 19,895 $ 68 $ 40,180 $ 172 $ 32,716 $ 198 $ 39,829 $ 313 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 $68,000 and $198,000, for the three months and six months ended June 30, 2015, respectively, compared to $172,000 and $313,000 for the three and six months ended June 30, 2014, respectively. The average recorded investment in impaired loans is calculated on a monthly basis during the periods reported. 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 Company’s policy is to discontinue the accrual of interest income on any loan when, in the opinion of management, the ultimate collectibility of interest or principal is no longer probable. In general, loans are placed on non-accrual when they become 90 days or more past due. However, management considers many factors before placing a loan on non-accrual, including the delinquency status of the loan, the overall financial condition of the borrower, the progress of management’s collection efforts and the value of the underlying collateral. Non-accrual loans are returned to accrual status when, in the opinion of management, the financial condition of the borrower indicates that the timely collectibility of interest and principal is probable and the borrower demonstrates the ability to pay under the terms of the note through a sustained period of repayment performance, which is generally six months. The following table provides aging information for the Company’s past due and non-accrual loans at June 30, 2015 and December 31, 2014. 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 June 30, 2015 Commercial, Financial, and Agricultural $ 158,166 $ 294 $ 24 $ 3,583 $ 162,067 Real Estate Construction - Residential 12,088 0 0 0 12,088 Real Estate Construction - Commercial 46,574 0 0 1,934 48,508 Real Estate Mortgage - Residential 237,316 1,201 208 3,370 242,095 Real Estate Mortgage - Commercial 375,097 582 0 2,719 378,398 Installment and Other Consumer 20,167 207 0 124 20,498 Total $ 849,408 $ 2,284 $ 232 $ 11,730 $ 863,654 December 31, 2014 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 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 substandard troubled debt restructuring TDR) non-accrual The following table presents the risk categories by class at June 30, 2015 and December 31, 2014. (in thousands) Commercial, Financial, & Agricultural Real Estate Construction - Residential Real Estate Construction - Commercial Real Estate Mortgage - Residential Real Estate Mortgage - Commercial Installment and other Consumer Total At June 30, 2015 Watch $ 13,492 243 $ 4,221 $ 27,309 $ 27,486 $ 243 $ 72,994 Substandard 299 1,013 99 2,841 2,762 53 7,067 Performing TDRs 842 0 0 3,422 1,831 0 6,095 Non-accrual 3,583 0 1,934 3,370 2,719 124 11,730 Total $ 18,216 $ 1,256 $ 6,254 $ 36,942 $ 34,798 $ 420 $ 97,886 At December 31, 2014 Watch $ 13,651 $ 1,103 $ 4,757 $ 27,172 $ 18,191 $ 199 $ 65,073 Substandard 926 90 1,211 3,124 4,102 139 9,592 Performing TDRs 2,262 0 0 3,459 11,999 0 17,720 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 Troubled Debt Restructurings At June 30, 2015, loans classified as TDRs totaled $7.7 million, of which $1.6 million were classified as nonperforming TDRs and included in non-accrual loans and $6.1 million were classified as performing TDRs. At December 31, 2014, TDRs totaled $19.3 million, of which $1.6 million were classified as nonperforming TDRs included in non-accrual loans and $17.7 million were classified as performing TDRs. Both performing and nonperforming TDRs are considered impaired loans. 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 $1.3 million and $1.0 million related to TDRs were allocated to the allowance for loan losses at June 30, 2015 and December 31, 2014, respectively. The following table summarizes loans that were modified as TDRs during the periods indicated. Three Months Ended June 30, 2015 2014 Recorded Investment (1) Recorded Investment (1) (in thousands) Number of Pre- Post- Number of Pre- Post- Troubled Debt Restructurings Commercial, financial and agricultural 0 $ 0 $ 0 1 $ 72 $ 72 Real estate mortgage - residential 1 366 355 0 0 0 Real estate mortgage - commercial 1 800 800 0 0 0 Total 2 $ 1,166 $ 1,155 1 $ 72 $ 72 Six Months Ended June 30, 2015 2014 Recorded Investment (1) Recorded Investment (1) (in thousands) Number of Pre- Post- Number of Pre- Post- Troubled Debt Restructurings Commercial, financial and agricultural 3 $ 250 $ 240 3 $ 244 $ 244 Real estate mortgage - residential 3 510 464 1 1,256 1,185 Real estate mortgage - commercial 4 1,273 1,137 0 0 0 Total 10 $ 2,033 $ 1,841 4 $ 1,500 $ 1,429 (1) 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 for the borrower due to deteriorated financial condition such as interest rates below the current market rate, deferring principal payments, and extending maturity dates. During the three months ended June 30, 2015, two loans meeting the TDR criteria were modified compared to one loan during the three months ended June 30, 2014. During the six months ended June 30, 2015, ten loans meeting the TDR criteria were modified compared to four loans during the six months ended June 30, 2014. Upon default of a TDR, which is considered to be 90 days or more past due under the modified terms, impairment is measured based on the fair value of the underlying collateral less applicable selling costs. The impairment amount is either charged off as a reduction to the allowance for loan losses, provided for as a specific reserve within the allowance for loan losses, or in the process of foreclosure. There were no TDRs that defaulted within twelve months of its modification date during the three and six months ended June 30, 2015 and 2014, respectively.

Other Real Estate and Repossess

Other Real Estate and Repossessed Assets	6 Months Ended
	Jun. 30, 2015
Other Real Estate [Abstract]
Other Real Estate and Repossessed Assets	(3) Other Real Estate and Repossessed Assets June 30, December 31, (in thousands) 2015 2014 Real estate construction - residential $ 0 $ 23 Real estate construction - commercial 9,831 9,831 Real estate mortgage - residential 447 417 Real estate mortgage - commercial 5,439 4,831 Repossessed assets 32 38 Total $ 15,749 $ 15,140 Less valuation allowance for other real estate owned (3,233 ) (3,255 ) Total other real estate and repossessed assets $ 12,516 $ 11,885 Changes in the net carrying amount of other real estate and repossessed assets were as follows for the periods indicated: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Balance at beginning of period $ 14,984 $ 18,696 $ 15,140 $ 19,542 Additions 914 46 1,517 305 Proceeds from sales (153 ) (2,030 ) (1,036 ) (3,124 ) Charge-offs against the valuation allowance for other real estate owned 0 (1,488 ) (16 ) (1,644 ) Repossessed assets impairment write-downs 0 0 0 0 Net gain on sales 4 7 144 152 Total other real estate and repossessed assets $ 15,749 $ 15,231 $ 15,749 $ 15,231 Less valuation allowance for other real estate owned (3,233 ) (3,205 ) (3,233 ) (3,205 ) Balance at end of period $ 12,516 $ 12,026 $ 12,516 $ 12,026 Net charge-offs against the allowance for loan losses at the time of foreclosure were approximately $51,000 and $50,000 during the three and six months ended June 30, 2015, respectively, compared to $66,000 and $228,000 during the three and six months ended June 30, 2014, respectively. Activity in the valuation allowance for other real estate owned was as follows for the periods indicated: Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ 3,233 $ 4,642 $ 3,255 $ 4,675 Provision for other real estate owned 0 51 (6 ) 174 Charge-offs 0 (1,488 ) (16 ) (1,644 ) Balance, end of period $ 3,233 $ 3,205 $ 3,233 $ 3,205

Investment Securities

Investment Securities	6 Months Ended
	Jun. 30, 2015
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 June 30, 2015 and December 31, 2014 were as follows: Gross Gross Amortized Unrealized Unrealized ( in thousands) Cost Gains Losses Fair value June 30, 2015 Government sponsored enterprises $ 76,667 $ 287 $ 110 76,844 Asset-backed securities 129,205 746 1,533 128,418 Obligations of states and political subdivisions 33,869 450 94 34,225 Total available-for-sale securities $ 239,741 $ 1,483 $ 1,737 $ 239,487 December 31, 2014 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 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. Other investments and securities primarily consist of Federal Home Loan Bank stock, subordinated debt securities, and the Company’s interest in statutory trusts. These securities are reported at cost in the amount of $7.9 million and $4.7 million as of June 30, 2015 and December 31, 2014, respectively. Debt securities with carrying values aggregating approximately $181.6 million and $145.5 million at June 30, 2015 and December 31, 2014, 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 June 30, 2015, 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 $ 17,500 $ 17,591 Due after one year through five years 78,174 78,453 Due after five years through ten years 14,023 14,198 Due after ten years 839 827 Total 110,536 111,069 Asset-backed securities 129,205 128,418 Total available-for-sale securities $ 239,741 $ 239,487 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 June 30, 2015 and December 31, 2014 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 June 30, 2015 Government sponsored enterprises $ 30,032 $ (100 ) $ 3,990 $ (10 ) $ 34,022 $ (110 ) Asset-backed securities 48,526 (498 ) 36,908 (1,035 ) 85,434 (1,533 ) Obligations of states and political subdivisions 8,289 (81 ) 489 (13 ) 8,778 (94 ) Total $ 86,847 $ (679 ) $ 41,387 $ (1,058 ) $ 128,234 $ (1,737 ) (in thousands) 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 ) The total available for sale portfolio consisted of approximately 321 securities at June 30, 2015. The portfolio included 110 securities having an aggregate fair value of $128.2 million that were in a loss position at June 30, 2015. Securities identified as temporarily impaired which had been in a loss position for 12 months or longer totaled $41.4 million at fair value. The $1.7 m illion aggregate unrealized loss included in accumulated other comprehensive income at June 30, 2015 was caused by interest rate fluctuations 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. 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 June 30, 2015 and December 31, 2014, respectively. In addition, the Company does not have the intent to sell these investments over the period of recovery, and it is not more likely than not that it will be required to sell such investment securities. There have been no investment securities gains and losses which have been recognized in earnings for the three months ended June 30, 2015 and 2014. The table below presents the components of investment securities gains and losses which have been recognized in earnings. Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Gains realized on sales $ 8 $ 0 $ 8 $ 0 Losses realized on sales 0 0 0 0 Other-than-temporary impairment recognized 0 0 0 0 Investment securities gains $ 8 $ 0 $ 8 $ 0

Intangible Assets

Intangible Assets	6 Months Ended
	Jun. 30, 2015
Intangible Assets
Intangible Assets	(5) Intangible Assets Mortgage Servicing Rights At June 30, 2015, the Company was servicing approximately $312.6 million of loans sold to the secondary market compared to $313.9 million at December 31, 2014, and $315.3 million at June 30, 2014. Mortgage loan servicing fees, reported as non-interest income, earned on loans sold were $228,000 and $442,000 for the three and six months ended June 30, 2015, respectively, compared to $223,000 and $446,000 for the three and six months ended June 30, 2014, respectively. The table below presents changes in mortgage servicing rights (MSRs) for the periods indicated. Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Balance at beginning of period $ 2,662 $ 3,040 $ 2,762 $ 3,036 Originated mortgage servicing rights 107 72 227 122 Changes in fair value: Due to change in model inputs and assumptions (1) 128 (36 ) 87 70 Other changes in fair value (2) (170 ) (165 ) (349 ) (317 ) Balance at end of period $ 2,727 $ 2,911 $ 2,727 $ 2,911 (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 following key data and assumptions were used in estimating the fair value of the Company’s MSRs as of the six months ended June 30, 2015 and 2014: Six Months Ended June 30, 2015 2014 Weighted average constant prepayment rate 10.66 % 9.69 % Weighted average note rate 3.92 % 4.00 % Weighted average discount rate 9.34 % 9.15 % Weighted average expected life (in years) 5.70 6.00

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	(6) Income Taxes Income taxes as a percentage of earnings before income taxes as reported in the consolidated financial statements were 34.2% for the three months ended June 30, 2015 compared to 34.8% for the three months ended June 30, 2014. Income taxes as a percentage of earnings before income taxes as reported in the consolidated financial statements were 34.3% for the six months ended June 30, 2015 compared to 34.7% for the six months ended June 30, 2014 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, taxable income available in carryback years, 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 June 30, 2015 and, therefore, did not establish a valuation reserve.

Stockholders' Equity

Stockholders' Equity	6 Months Ended
	Jun. 30, 2015
Stockholders' Equity Note [Abstract]
Stockholders' Equity	(7) Stockholders’ Equity Accumulated Other Comprehensive Income (Loss) The following details the change in the components of the Company’s accumulated other comprehensive (loss) income for the six months ended June 30, 2015 and 2014: Six months ended June 30, 2015 Accumulated Unrecognized Net Other Unrealized Pension and Comprehensive Gain (Loss) Postretirement (Loss) (in thousands) on Securities (1) Costs (2) Income Balance at beginning of period $ 214 $ (1,442 ) $ (1,228 ) Other comprehensive loss before reclassifications (607 ) 0 (607 ) Amounts reclassified from accumulated other comprehensive income 8 72 80 Current period other comprehensive (loss) income, before tax (599 ) 72 (527 ) Income tax benefit (expense) 228 (27 ) 201 Current period other comprehensive (loss) income, net of tax (371 ) 45 (326 ) Balance at end of period $ (157 ) $ (1,397 ) $ (1,554 ) Six months ended June 30, 2014 Accumulated Unrecognized Net Other Unrealized Pension and Comprehensive Gain (Loss) Postretirement (Loss) (in thousands) on Securities (1) Costs (2) Income Balance at beginning of period $ (1,491 ) $ 722 $ (769 ) Other comprehensive income before reclassifications 2,468 0 2,468 Amounts reclassified from accumulated other comprehensive income 0 39 39 Current period other comprehensive income, before tax 2,468 39 2,507 Income tax expense (938 ) (15 ) (953 ) Current period other comprehensive income, net of tax 1,530 24 1,554 Balance at end of period $ 39 $ 746 $ 785 (1) The pre-tax amounts reclassified from accumulated other comprehensive income (loss) are included in gain on sale of investment securities (2) The pre-tax amounts reclassified from accumulated other comprehensive income (loss) are included in the computation of net periodic pension cost.

Employee Benefit Plans

Employee Benefit Plans	6 Months Ended
	Jun. 30, 2015
Compensation and Retirement Disclosure [Abstract]
Employee Benefit Plans	(8) Employee Benefit Plans Employee Benefits Employee benefits charged to operating expenses are summarized in the table below for the periods indicated. Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Payroll taxes $ 270 $ 275 $ 599 $ 568 Medical plans 463 484 971 1,002 401k match and profit sharing 223 176 495 329 Pension plan 348 236 696 472 Other 24 28 43 39 Total employee benefits $ 1,328 $ 1,199 $ 2,804 $ 2,410 The Company’s profit-sharing plan includes a matching 401k 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 pension contribution for the 2015 plan year of $716,000 is equal to the minimum annual required contribution and was paid April 15, 2015, which was determined under the pension relief provision of Moving Ahead for Progress in the 21 st 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 periods indicated: Estimated Actual (in thousands) 2015 2014 Service cost - benefits earned during the year $ 1,325 $ 981 Interest costs on projected benefit obligations 838 732 Expected return on plan assets (957 ) (872 ) Expected administrative expenses 40 40 Amortization of prior service cost 79 79 Amortization of unrecognized net loss 66 0 Net periodic pension expense $ 1,391 $ 960 Pension expense - three months ended June 30, (actual) $ 348 $ 236 Pension expense - six months ended June 30, (actual) $ 696 $ 472

Stock Compensation

Stock Compensation	6 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock Compensation	(9) Stock Compensation The Company’s stock option plan provides for the grant of options to purchase up to 592,168 shares of the Company’s common stock to officers and other key employees of the Company and its subsidiaries. All options have been granted at exercise prices equal to fair value and vest over periods ranging from four to five years. The following table summarizes the Company’s stock option activity: Weighted Weighted Average Aggregate Number average Contractual Intrinsic of Exercise Term Value Shares Price (in years) ($000) Outstanding, beginning of period 100,361 $ 21.56 Granted 0 0.00 Exercised 0 0.00 Forfeited or expired (33,929 ) 21.66 Outstanding, June 30, 2015 66,432 $ 21.51 1.90 $ 0.00 Exercisable, June 30, 2015 57,975 $ 22.32 1.70 $ 0.00 Options have been adjusted to reflect a 4% stock dividend paid on July 1, 2015. Total stock-based compensation expense was not significant and $5,000 for the three and six months ended June 30, 2015, respectively, compared to $5,000 and $10,000 for the three and six months ended June 30, 2014, respectively. As of June 30, 2015, the total unrecognized compensation expense related to non-vested stock awards was $26,000 and the related weighted average period over which it is expected to be recognized is approximately 1.0 years.

Earnings per Share

Earnings per Share	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Earnings per Share	(10) Earnings per Share Basic earnings per share is computed by dividing income available to shareholders by the weighted average number of shares outstanding during the year. Diluted earnings per share gives effect to all dilutive potential shares that were outstanding during the year. The calculations of basic and diluted earnings per share are as follows for the periods indicated: Three Months Ended June 30, Six Months Ended June 30, (dollars in thousands, except per share data) 2015 2014 2015 2014 Basic earnings per share: Net income available to shareholders $ 1,927 $ 2,098 $ 4,065 $ 4,085 Basic earnings per share $ 0.35 $ 0.39 $ 0.75 $ 0.75 Diluted earnings per share: Net income available to shareholders $ 1,927 $ 2,098 $ 4,065 $ 4,085 Average shares outstanding 5,443,344 5,443,344 5,443,344 5,443,344 Effect of dilutive stock options 0 0 0 0 Average shares outstanding including dilutive stock options 5,443,344 5,443,344 5,443,344 5,443,344 Diluted earnings per share $ 0.35 0.39 $ 0.75 0.75 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 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. Options to purchase 66,432 shares during the three and six months ended June 30, 2015, compared to 101,330 shares during the three and six months ended June 30, 2014 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.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
Fair Value Measurements	(11) 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, 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) June 30, 2015 Assets: Government sponsored enterprises $ 76,844 $ 0 $ 76,844 $ 0 Asset-backed securities 128,418 0 128,418 0 Obligations of states and political subdivisions 34,225 0 34,225 0 Mortgage servicing rights 2,727 0 0 2,727 Total $ 242,214 $ 0 $ 239,487 $ 2,727 December 31, 2014 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 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) Mortgage Servicing Rights Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Balance at beginning of period $ 2,662 $ 3,040 $ 2,762 $ 3,036 Total gains or losses (realized/unrealized): Included in earnings (42 ) (201 ) (262 ) (247 ) Included in other comprehensive income 0 0 0 0 Purchases 0 0 0 0 Sales 0 0 0 0 Issues 107 72 227 122 Settlements 0 0 0 0 Balance at end of period $ 2,727 $ 2,911 $ 2,727 $ 2,911 Total gains (losses) included in earnings attributable to the change in unrealized gains or losses related to assets still held were $128,000 and $87,000 for the three and six months ended June 30, 2015, respectively, compared to $(36,000) and $70,000 for the three and six months ended June 30, 2014, respectively. MSR values have been falling steadily since 2014. The lower values are primarily related to faster prepay speed assumptions, consistent with lower long term interest rates. (See table below) The cost of compliance with new government regulations also has had an impact. Quantitative Information about Level 3 Fair Value Measurements Valuation Technique Unobservable Inputs Input Value Six Months Ended June 30, 2015 2014 Mortgage servicing rights Discounted cash flows Weighted average constant prepayment rate 10.66 % 9.69 % Weighted average discount rate 9.34 % 9.15 % Weighted average expected life (in years) 5.70 6.00 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 June 30, 2015, the Company identified $8.3 million in impaired loans that had specific allowances for losses aggregating $2.7 million. Related to these loans, there was $211,000 and $306,000 in charge-offs recorded during the three and six months ended June 30, 2015, respectively. As of June 30, 2014, the Company identified $14.4 million in impaired loans that had specific allowances for losses aggregating $4.3 million. Related to these loans, there was $1.0 million and $2.0 million in charge-offs recorded during the three and six months ended June 30, 2014, respectively. Other Real Estate and Foreclosed Assets Other real estate and foreclosed assets consisted 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 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 Three Six in Active Months Months Markets for Other Significant Ended Ended Identical Observable Unobservable June 30, June 30, Total Assets Inputs Inputs Total Gains Total Gains (in thousands) Fair Value (Level 1) (Level 2) (Level 3) (Losses)* (Losses)* June 30, 2015 Assets: Impaired loans: Commercial, financial, & agricultural $ 1,201 $ 0 $ 0 $ 1,201 $ (21 ) $ (21 ) Real estate construction - residential 0 0 0 0 0 0 Real estate construction - commercial 47 0 0 47 0 0 Real estate mortgage - residential 3,645 0 0 3,645 (135 ) (206 ) Real estate mortgage - commercial 611 0 0 611 (7 ) (30 ) Consumer 107 0 0 107 (48 ) (49 ) Total $ 5,611 $ 0 $ 0 $ 5,611 $ (211 ) $ (306 ) Other real estate and foreclosed assets $ 12,516 $ 0 $ 0 $ 12,516 $ (38 ) $ 190 June 30, 2014 Assets: Impaired loans: Commercial, financial, & agricultural $ 1,412 $ 0 $ 0 $ 1,412 $ (19 ) $ (122 ) Real estate construction - residential 1,749 0 0 1,749 0 (60 ) Real estate construction - commercial 39 0 0 39 (77 ) (491 ) Real estate mortgage - residential 3,698 0 0 3,698 (44 ) (138 ) Real estate mortgage - commercial 2,973 0 0 2,973 (704 ) (1,069 ) Consumer 221 0 0 221 (52 ) (70 ) Total $ 10,092 $ 0 $ 0 $ 10,092 $ (896 ) $ (1,950 ) Other real estate and foreclosed assets $ 12,026 $ 0 $ 0 $ 12,026 $ (1,499 ) $ (1,530 ) * Total gains (losses) reported for other real estate and foreclosed assets includes charge-offs, valuation write downs, and net losses taken during the periods reported.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2015
Financial Instruments, Owned, at Fair Value [Abstract]
Fair Value of Financial Instruments	(12) 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 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 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, NOW 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 cashflows. 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 June 30, 2015 and December 31, 2014 is as follows: June 30, 2015 Fair Value Measurements Quoted Prices in Active Net Markets for Other Significant June 30, 2015 Identical Observable Unobservable Carrying Fair Assets Inputs Inputs (in thousands) Amount Value (Level 1) (Level 2) (Level 3) Assets: Cash and due from banks $ 22,413 $ 22,413 $ 22,413 $ 0 $ 0 Federal funds sold and overnight interest-bearing deposits 10,922 10,922 10,922 0 0 Investment in available-for-sale securities 239,487 239,487 0 239,487 0 Loans, net 853,668 852,497 0 0 852,497 Investment in FHLB stock 3,269 3,269 0 3,269 0 Mortgage servicing rights 2,727 2,727 0 0 2,727 Cash surrender value - life insurance 2,319 2,319 0 2,319 0 Accrued interest receivable 4,642 4,642 4,642 0 0 $ 1,139,447 $ 1,138,276 $ 37,977 $ 245,075 $ 855,224 Liabilities: Deposits: Non-interest bearing demand $ 206,478 $ 206,478 $ 206,478 $ 0 $ 0 Savings, interest checking and money market 465,253 465,253 465,253 0 0 Time deposits 317,135 318,305 0 0 318,305 Federal funds purchased and securities sold under agreements to repurchase 25,842 25,842 25,842 0 0 Subordinated notes 49,486 36,177 0 36,177 0 Federal Home Loan Bank advances 47,000 49,612 0 49,612 0 Accrued interest payable 365 365 365 0 0 $ 1,111,559 $ 1,102,032 $ 697,938 $ 85,789 $ 318,305 December 31, 2014 Fair Value Measurements Quoted Prices in Active Net Markets for Other Significant December 31, 2014 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 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	6 Months Ended
	Jun. 30, 2015
Repurchase Reserve Liability [Abstract]
Repurchase Reserve Liability	(13) Repurchase Reserve Liability The Company’s repurchase reserve liability for estimated losses incurred on sold loans was $160,000 at June 30, 2015 and December 31, 2014, respectively. 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. At June 30, 2015, the Company was servicing 3,029 loans sold to the secondary market with a balance of approximately $312.6 million compared to 3,057 loans sold with a balance of approximately $313.9 million at December 31, 2014.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	(14) 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 June 30, 2015, no amounts have been accrued for any estimated losses for these financial instruments. The contractual amounts of off-balance-sheet financial instruments were as follows as of the dates indicated: June 30, December 31, (in thousands) 2015 2014 Commitments to extend credit $ 145,732 $ 135,137 Commitments to originate residential first and second mortgage loans 4,393 1,640 Standby letters of credit 1,361 1,621 Total 151,486 138,398 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 June 30, 2015. 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 is deemed probable or an amount can be estimated.

Summary of Significant Accoun22

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Stock Dividend	Stock Dividend
Investments - Equity Method and Joint Ventures	Investments - Equity Method and Joint Ventures The FASB issued ASU No. 2014-01, Accounting for Investments in Qualified Affordable Housing Projects
Troubled Debt Restructurings by Creditors	Troubled Debt Restructurings by Creditors The FASB issued ASU No. 2014-04, Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure The FASB issued ASU No. 2014-14, Classification of Certain Government-Guaranteed Mortgage Loans upon Foreclosure

Loans and Allowance for Loan 23

Loans and Allowance for Loan Losses (Tables)	6 Months Ended
	Jun. 30, 2015
Loans and Leases Receivable Disclosure [Abstract]
Summary of loans, by major class within the Company's loan portfolio	June 30, December 31, (in thousands) 2015 2014 Commercial, financial, and agricultural $ 162,067 $ 154,834 Real estate construction - residential 12,088 18,103 Real estate construction - commercial 48,508 48,822 Real estate mortgage - residential 242,095 247,117 Real estate mortgage - commercial 378,398 372,321 Installment and other consumer 20,498 20,016 Total loans $ 863,654 $ 861,213
Summary of the allowance for loan losses	Three Months Ended June 30, 2015 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 beginning of period $ 2,141 $ 48 $ 374 $ 2,709 $ 4,115 $ 190 $ 184 $ 9,761 Additions: Provision for loan losses 1,065 (148 ) 45 (284 ) (354 ) 66 (140 ) 250 Deductions: Loans charged off 122 0 5 140 8 113 0 388 Less recoveries on loans (40 ) (117 ) 0 (47 ) (117 ) (42 ) 0 (363 ) Net loans charged off 82 (117 ) 5 93 (109 ) 71 0 25 Balance at end of period $ 3,124 $ 17 $ 414 $ 2,332 $ 3,870 $ 185 $ 44 $ 9,986 Six Months Ended June 30, 2015 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 beginning of period $ 1,779 $ 171 $ 466 $ 2,527 $ 3,846 $ 270 $ 40 $ 9,099 Additions: Provision for loan losses 880 (448 ) (47 ) (43 ) (96 ) 0 4 250 Deductions: Loans charged off 150 0 5 211 32 161 0 559 Less recoveries on loans (615 ) (294 ) 0 (59 ) (152 ) (76 ) 0 (1,196 ) Net loans (recovered) charged off (465 ) (294 ) 5 152 (120 ) 85 0 (637 ) Balance at end of period $ 3,124 $ 17 $ 414 $ 2,332 $ 3,870 $ 185 $ 44 $ 9,986 Three Months Ended June 30, 2014 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 beginning of period $ 2,452 $ 479 $ 550 $ 3,090 $ 6,019 $ 255 $ 0 $ 12,845 Additions: Provision for loan losses (566 ) (65 ) 145 (624 ) 1,037 64 9 0 Deductions: Loans charged off 54 0 77 75 705 114 0 1,025 Less recoveries on loans (111 ) (59 ) 0 (14 ) (77 ) (69 ) 0 (330 ) Net loans charged off (57 ) (59 ) 77 61 628 45 0 695 Balance at end of period $ 1,943 $ 473 $ 618 $ 2,405 $ 6,428 $ 274 $ 9 $ 12,150 Six Months Ended June 30, 2014 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 beginning of period $ 2,374 $ 931 $ 631 $ 2,959 $ 6,523 $ 294 $ 7 $ 13,719 Additions: Provision for loan losses (472 ) (458 ) 478 (486 ) 885 51 2 0 Deductions: Loans charged off 186 60 491 194 1,073 198 0 2,202 Less recoveries on loans (227 ) (60 ) 0 (126 ) (93 ) (127 ) 0 (633 ) Net loans charged off (41 ) 0 491 68 980 71 0 1,569 Balance at end of period $ 1,943 $ 473 $ 618 $ 2,405 $ 6,428 $ 274 $ 9 $ 12,150 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 June 30, 2015 Allowance for loan losses: Individually evaluated for impairment $ 902 $ 0 $ 8 $ 1,331 $ 467 $ 17 $ 0 $ 2,725 Collectively evaluated for impairment 2,222 17 406 1,001 3,403 168 44 7,261 Total $ 3,124 $ 17 $ 414 $ 2,332 $ 3,870 $ 185 $ 44 $ 9,986 Loans outstanding: Individually evaluated for impairment $ 4,425 $ 0 $ 1,934 $ 6,792 $ 4,550 $ 124 $ 0 $ 17,825 Collectively evaluated for impairment 157,642 12,088 46,574 235,303 373,848 20,374 0 845,829 Total $ 162,067 $ 12,088 $ 48,508 $ 242,095 $ 378,398 $ 20,498 $ 0 $ 863,654 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
Schedule of impaired loans	June 30, December 31, (in thousands) 2015 2014 Non-accrual loans $ 11,730 $ 18,243 Troubled debt restructurings continuing to accrue interest 6,095 17,720 Total impaired loans $ 17,825 $ 35,963 Unpaid Recorded Principal Specific (in thousands) Investment Balance Reserves June 30, 2015 With no related allowance recorded: Commercial, financial and agricultural $ 2,322 $ 2,358 $ 0 Real estate - construction residential 0 0 0 Real estate - construction commercial 1,879 2,101 0 Real estate - residential 1,816 2,243 0 Real estate - commercial 3,472 3,736 0 Total $ 9,489 $ 10,438 $ 0 With an allowance recorded: Commercial, financial and agricultural $ 2,103 $ 2,258 $ 902 Real estate - construction commercial 55 55 8 Real estate - residential 4,976 5,098 1,331 Real estate - commercial 1,078 1,348 467 Consumer 124 157 17 Total $ 8,336 $ 8,916 $ 2,725 Total impaired loans $ 17,825 $ 19,354 $ 2,725 Unpaid Recorded Principal Specific (in thousands) Investment Balance Reserves December 31, 2014 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 Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Interest Interest Interest Interest Average Recognized Average Recognized Average Recognized Average Recognized Recorded For the Recorded For the Recorded For the Recorded For the (in thousands) Investment Period Ended Investment Period Ended Investment Period Ended Investment Period Ended With no related allowance recorded: Commercial, financial and agricultural $ 2,405 $ 8 $ 2,663 $ 26 $ 3,834 $ 28 $ 2,579 $ 47 Real estate - construction residential 0 0 64 0 1,105 0 90 0 Real estate - construction commercial 2,101 0 6,688 0 3,633 0 6,844 0 Real estate - residential 2,246 8 3,281 8 3,328 20 3,091 14 Real estate - commercial 4,081 21 12,614 106 11,383 86 12,212 172 Consumer 0 0 8 0 10 1 16 0 Total $ 10,833 $ 37 $ 25,318 $ 140 $ 23,293 $ 135 $ 24,832 $ 233 With an allowance recorded: Commercial, financial and agricultural $ 2,263 $ 7 $ 2,103 $ 7 $ 1,677 $ 13 $ 2,222 $ 15 Real estate - construction residential 0 0 2,260 0 565 0 2,265 0 Real estate - construction commercial 55 0 62 0 14 0 84 0 Real estate - residential 5,224 24 5,215 25 4,865 50 5,347 65 Real estate - commercial 1,360 0 4,904 0 2,056 0 4,749 0 Consumer 160 0 318 0 246 0 330 0 Total $ 9,062 $ 31 $ 14,862 $ 32 $ 9,423 $ 63 $ 14,997 $ 80 Total impaired loans $ 19,895 $ 68 $ 40,180 $ 172 $ 32,716 $ 198 $ 39,829 $ 313
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 June 30, 2015 Commercial, Financial, and Agricultural $ 158,166 $ 294 $ 24 $ 3,583 $ 162,067 Real Estate Construction - Residential 12,088 0 0 0 12,088 Real Estate Construction - Commercial 46,574 0 0 1,934 48,508 Real Estate Mortgage - Residential 237,316 1,201 208 3,370 242,095 Real Estate Mortgage - Commercial 375,097 582 0 2,719 378,398 Installment and Other Consumer 20,167 207 0 124 20,498 Total $ 849,408 $ 2,284 $ 232 $ 11,730 $ 863,654 December 31, 2014 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
Schedule of risk categories by class	Commercial, Financial, & Agricultural Real Estate Construction - Residential Real Estate Construction - Commercial Real Estate Mortgage - Residential Real Estate Mortgage - Commercial Installment and other Consumer Total At June 30, 2015 Watch $ 13,492 243 $ 4,221 $ 27,309 $ 27,486 $ 243 $ 72,994 Substandard 299 1,013 99 2,841 2,762 53 7,067 Performing TDRs 842 0 0 3,422 1,831 0 6,095 Non-accrual 3,583 0 1,934 3,370 2,719 124 11,730 Total $ 18,216 $ 1,256 $ 6,254 $ 36,942 $ 34,798 $ 420 $ 97,886 At December 31, 2014 Watch $ 13,651 $ 1,103 $ 4,757 $ 27,172 $ 18,191 $ 199 $ 65,073 Substandard 926 90 1,211 3,124 4,102 139 9,592 Performing TDRs 2,262 0 0 3,459 11,999 0 17,720 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
Summary of loans that were modified as TDRs	Three Months Ended June 30, 2015 2014 Recorded Investment (1) Recorded Investment (1) (in thousands) Number of Pre- Post- Number of Pre- Post- Troubled Debt Restructurings Commercial, financial and agricultural 0 $ 0 $ 0 1 $ 72 $ 72 Real estate mortgage - residential 1 366 355 0 0 0 Real estate mortgage - commercial 1 800 800 0 0 0 Total 2 $ 1,166 $ 1,155 1 $ 72 $ 72 Six Months Ended June 30, 2015 2014 Recorded Investment (1) Recorded Investment (1) (in thousands) Number of Pre- Post- Number of Pre- Post- Troubled Debt Restructurings Commercial, financial and agricultural 3 $ 250 $ 240 3 $ 244 $ 244 Real estate mortgage - residential 3 510 464 1 1,256 1,185 Real estate mortgage - commercial 4 1,273 1,137 0 0 0 Total 10 $ 2,033 $ 1,841 4 $ 1,500 $ 1,429 (1) 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.

Other Real Estate and Reposse24

Other Real Estate and Repossessed Assets (Tables)	6 Months Ended
	Jun. 30, 2015
Other Real Estate [Abstract]
Summary of real estate and other assets acquired in settlement of loans	June 30, December 31, (in thousands) 2015 2014 Real estate construction - residential $ 0 $ 23 Real estate construction - commercial 9,831 9,831 Real estate mortgage - residential 447 417 Real estate mortgage - commercial 5,439 4,831 Repossessed assets 32 38 Total $ 15,749 $ 15,140 Less valuation allowance for other real estate owned (3,233 ) (3,255 ) Total other real estate and repossessed assets $ 12,516 $ 11,885
Schedule of changes in the net carrying amount of other real estate owned and repossessed assets	Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Balance at beginning of period $ 14,984 $ 18,696 $ 15,140 $ 19,542 Additions 914 46 1,517 305 Proceeds from sales (153 ) (2,030 ) (1,036 ) (3,124 ) Charge-offs against the valuation allowance for other real estate owned 0 (1,488 ) (16 ) (1,644 ) Repossessed assets impairment write-downs 0 0 0 0 Net gain on sales 4 7 144 152 Total other real estate and repossessed assets $ 15,749 $ 15,231 $ 15,749 $ 15,231 Less valuation allowance for other real estate owned (3,233 ) (3,205 ) (3,233 ) (3,205 ) Balance at end of period $ 12,516 $ 12,026 $ 12,516 $ 12,026
Summary of activity in valuation allowance for other real estate owned in settlement of loans	Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ 3,233 $ 4,642 $ 3,255 $ 4,675 Provision for other real estate owned 0 51 (6 ) 174 Charge-offs 0 (1,488 ) (16 ) (1,644 ) Balance, end of period $ 3,233 $ 3,205 $ 3,233 $ 3,205

Investment Securities (Tables)

Investment Securities (Tables)	6 Months Ended
	Jun. 30, 2015
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 June 30, 2015 Government sponsored enterprises $ 76,667 $ 287 $ 110 76,844 Asset-backed securities 129,205 746 1,533 128,418 Obligations of states and political subdivisions 33,869 450 94 34,225 Total available-for-sale securities $ 239,741 $ 1,483 $ 1,737 $ 239,487 December 31, 2014 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
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 $ 17,500 $ 17,591 Due after one year through five years 78,174 78,453 Due after five years through ten years 14,023 14,198 Due after ten years 839 827 Total 110,536 111,069 Asset-backed securities 129,205 128,418 Total available-for-sale securities $ 239,741 $ 239,487
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 June 30, 2015 Government sponsored enterprises $ 30,032 $ (100 ) $ 3,990 $ (10 ) $ 34,022 $ (110 ) Asset-backed securities 48,526 (498 ) 36,908 (1,035 ) 85,434 (1,533 ) Obligations of states and political subdivisions 8,289 (81 ) 489 (13 ) 8,778 (94 ) Total $ 86,847 $ (679 ) $ 41,387 $ (1,058 ) $ 128,234 $ (1,737 ) (in thousands) 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 )
schedule of components of investment securities gains and losses	Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Gains realized on sales $ 8 $ 0 $ 8 $ 0 Losses realized on sales 0 0 0 0 Other-than-temporary impairment recognized 0 0 0 0 Investment securities gains $ 8 $ 0 $ 8 $ 0

Intangible Assets (Tables)

Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2015
Intangible Assets
Schedule of changes in mortgage servicing rights (MSRs)	Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Balance at beginning of period $ 2,662 $ 3,040 $ 2,762 $ 3,036 Originated mortgage servicing rights 107 72 227 122 Changes in fair value: Due to change in model inputs and assumptions (1) 128 (36 ) 87 70 Other changes in fair value (2) (170 ) (165 ) (349 ) (317 ) Balance at end of period $ 2,727 $ 2,911 $ 2,727 $ 2,911 (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.
Schedule of key data and assumptions used in estimating the fair value of the Company's MSRs	Six Months Ended June 30, 2015 2014 Weighted average constant prepayment rate 10.66 % 9.69 % Weighted average note rate 3.92 % 4.00 % Weighted average discount rate 9.34 % 9.15 % Weighted average expected life (in years) 5.70 6.00

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	6 Months Ended
	Jun. 30, 2015
Stockholders' Equity Note [Abstract]
Schedule of the change in the components of the accumulated other comprehensive income (loss)	Six months ended June 30, 2015 Accumulated Unrecognized Net Other Unrealized Pension and Comprehensive Gain (Loss) Postretirement (Loss) (in thousands) on Securities (1) Costs (2) Income Balance at beginning of period $ 214 $ (1,442 ) $ (1,228 ) Other comprehensive loss before reclassifications (607 ) 0 (607 ) Amounts reclassified from accumulated other comprehensive income 8 72 80 Current period other comprehensive (loss) income, before tax (599 ) 72 (527 ) Income tax benefit (expense) 228 (27 ) 201 Current period other comprehensive (loss) income, net of tax (371 ) 45 (326 ) Balance at end of period $ (157 ) $ (1,397 ) $ (1,554 ) Six months ended June 30, 2014 Accumulated Unrecognized Net Other Unrealized Pension and Comprehensive Gain (Loss) Postretirement (Loss) (in thousands) on Securities (1) Costs (2) Income Balance at beginning of period $ (1,491 ) $ 722 $ (769 ) Other comprehensive income before reclassifications 2,468 0 2,468 Amounts reclassified from accumulated other comprehensive income 0 39 39 Current period other comprehensive income, before tax 2,468 39 2,507 Income tax expense (938 ) (15 ) (953 ) Current period other comprehensive income, net of tax 1,530 24 1,554 Balance at end of period $ 39 $ 746 $ 785 (1) The pre-tax amounts reclassified from accumulated other comprehensive income (loss) are included in gain on sale of investment securities (2) The pre-tax amounts reclassified from accumulated other comprehensive income (loss) are included in the computation of net periodic pension cost.

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	6 Months Ended
	Jun. 30, 2015
Compensation and Retirement Disclosure [Abstract]
Summary of employee benefits charged to operating expenses	Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Payroll taxes $ 270 $ 275 $ 599 $ 568 Medical plans 463 484 971 1,002 401k match and profit sharing 223 176 495 329 Pension plan 348 236 696 472 Other 24 28 43 39 Total employee benefits $ 1,328 $ 1,199 $ 2,804 $ 2,410
Schedule of components of net pension cost	Estimated Actual (in thousands) 2015 2014 Service cost - benefits earned during the year $ 1,325 $ 981 Interest costs on projected benefit obligations 838 732 Expected return on plan assets (957 ) (872 ) Expected administrative expenses 40 40 Amortization of prior service cost 79 79 Amortization of unrecognized net loss 66 0 Net periodic pension expense $ 1,391 $ 960 Pension expense - three months ended June 30, (actual) $ 348 $ 236 Pension expense - six months ended June 30, (actual) $ 696 $ 472

Stock Compensation (Tables)

Stock Compensation (Tables)	6 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of Company's stock option activity	Weighted Weighted Average Aggregate Number average Contractual Intrinsic of Exercise Term Value Shares Price (in years) ($000) Outstanding, beginning of period 100,361 $ 21.56 Granted 0 0.00 Exercised 0 0.00 Forfeited or expired (33,929 ) 21.66 Outstanding, June 30, 2015 66,432 $ 21.51 1.90 $ 0.00 Exercisable, June 30, 2015 57,975 $ 22.32 1.70 $ 0.00

Earnings per Share (Tables)

Earnings per Share (Tables)	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Schedule of calculations of basic and diluted earnings (loss) per share	Three Months Ended June 30, Six Months Ended June 30, (dollars in thousands, except per share data) 2015 2014 2015 2014 Basic earnings per share: Net income available to shareholders $ 1,927 $ 2,098 $ 4,065 $ 4,085 Basic earnings per share $ 0.35 $ 0.39 $ 0.75 $ 0.75 Diluted earnings per share: Net income available to shareholders $ 1,927 $ 2,098 $ 4,065 $ 4,085 Average shares outstanding 5,443,344 5,443,344 5,443,344 5,443,344 Effect of dilutive stock options 0 0 0 0 Average shares outstanding including dilutive stock options 5,443,344 5,443,344 5,443,344 5,443,344 Diluted earnings per share $ 0.35 0.39 $ 0.75 0.75

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2015
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) June 30, 2015 Assets: Government sponsored enterprises $ 76,844 $ 0 $ 76,844 $ 0 Asset-backed securities 128,418 0 128,418 0 Obligations of states and political subdivisions 34,225 0 34,225 0 Mortgage servicing rights 2,727 0 0 2,727 Total $ 242,214 $ 0 $ 239,487 $ 2,727 December 31, 2014 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
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) Mortgage Servicing Rights Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2015 2014 2015 2014 Balance at beginning of period $ 2,662 $ 3,040 $ 2,762 $ 3,036 Total gains or losses (realized/unrealized): Included in earnings (42 ) (201 ) (262 ) (247 ) Included in other comprehensive income 0 0 0 0 Purchases 0 0 0 0 Sales 0 0 0 0 Issues 107 72 227 122 Settlements 0 0 0 0 Balance at end of period $ 2,727 $ 2,911 $ 2,727 $ 2,911
Schedule of quantitative Information about Level 3 Fair Value Measurements	Quantitative Information about Level 3 Fair Value Measurements Valuation Technique Unobservable Inputs Input Value Six Months Ended June 30, 2015 2014 Mortgage servicing rights Discounted cash flows Weighted average constant prepayment rate 10.66 % 9.69 % Weighted average discount rate 9.34 % 9.15 % Weighted average expected life (in years) 5.70 6.00
Schedule of valuation methods for instruments measured at fair value on a nonrecurring basis	Fair Value Measurements Using Quoted Prices Three Six in Active Months Months Markets for Other Significant Ended Ended Identical Observable Unobservable June 30, June 30, Total Assets Inputs Inputs Total Gains Total Gains (in thousands) Fair Value (Level 1) (Level 2) (Level 3) (Losses)* (Losses)* June 30, 2015 Assets: Impaired loans: Commercial, financial, & agricultural $ 1,201 $ 0 $ 0 $ 1,201 $ (21 ) $ (21 ) Real estate construction - residential 0 0 0 0 0 0 Real estate construction - commercial 47 0 0 47 0 0 Real estate mortgage - residential 3,645 0 0 3,645 (135 ) (206 ) Real estate mortgage - commercial 611 0 0 611 (7 ) (30 ) Consumer 107 0 0 107 (48 ) (49 ) Total $ 5,611 $ 0 $ 0 $ 5,611 $ (211 ) $ (306 ) Other real estate and foreclosed assets $ 12,516 $ 0 $ 0 $ 12,516 $ (38 ) $ 190 June 30, 2014 Assets: Impaired loans: Commercial, financial, & agricultural $ 1,412 $ 0 $ 0 $ 1,412 $ (19 ) $ (122 ) Real estate construction - residential 1,749 0 0 1,749 0 (60 ) Real estate construction - commercial 39 0 0 39 (77 ) (491 ) Real estate mortgage - residential 3,698 0 0 3,698 (44 ) (138 ) Real estate mortgage - commercial 2,973 0 0 2,973 (704 ) (1,069 ) Consumer 221 0 0 221 (52 ) (70 ) Total $ 10,092 $ 0 $ 0 $ 10,092 $ (896 ) $ (1,950 ) Other real estate and foreclosed assets $ 12,026 $ 0 $ 0 $ 12,026 $ (1,499 ) $ (1,530 ) * Total gains (losses) reported for other real estate and foreclosed assets includes charge-offs, valuation write downs, and net losses taken during the periods reported.

Fair Value of Financial Instr32

Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2015
Financial Instruments, Owned, at Fair Value [Abstract]
Summary of the carrying amounts and fair values of financial instruments	June 30, 2015 Fair Value Measurements Quoted Prices in Active Net Markets for Other Significant June 30, 2015 Identical Observable Unobservable Carrying Fair Assets Inputs Inputs (in thousands) Amount Value (Level 1) (Level 2) (Level 3) Assets: Cash and due from banks $ 22,413 $ 22,413 $ 22,413 $ 0 $ 0 Federal funds sold and overnight interest-bearing deposits 10,922 10,922 10,922 0 0 Investment in available-for-sale securities 239,487 239,487 0 239,487 0 Loans, net 853,668 852,497 0 0 852,497 Investment in FHLB stock 3,269 3,269 0 3,269 0 Mortgage servicing rights 2,727 2,727 0 0 2,727 Cash surrender value - life insurance 2,319 2,319 0 2,319 0 Accrued interest receivable 4,642 4,642 4,642 0 0 $ 1,139,447 $ 1,138,276 $ 37,977 $ 245,075 $ 855,224 Liabilities: Deposits: Non-interest bearing demand $ 206,478 $ 206,478 $ 206,478 $ 0 $ 0 Savings, interest checking and money market 465,253 465,253 465,253 0 0 Time deposits 317,135 318,305 0 0 318,305 Federal funds purchased and securities sold under agreements to repurchase 25,842 25,842 25,842 0 0 Subordinated notes 49,486 36,177 0 36,177 0 Federal Home Loan Bank advances 47,000 49,612 0 49,612 0 Accrued interest payable 365 365 365 0 0 $ 1,111,559 $ 1,102,032 $ 697,938 $ 85,789 $ 318,305 December 31, 2014 Fair Value Measurements Quoted Prices in Active Net Markets for Other Significant December 31, 2014 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

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Schedule of contractual amount of off-balance-sheet financial instruments	June 30, December 31, (in thousands) 2015 2014 Commitments to extend credit $ 145,732 $ 135,137 Commitments to originate residential first and second mortgage loans 4,393 1,640 Standby letters of credit 1,361 1,621 Total 151,486 138,398

Loans and Allowance for Loan 34

Loans and Allowance for Loan Losses (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Summary of loans, by major class within Company's loan portfolio
Total loans	$ 863,654	$ 861,213
Commercial, financial, and agricultural
Summary of loans, by major class within Company's loan portfolio
Total loans	162,067	154,834
Real estate construction - residential
Summary of loans, by major class within Company's loan portfolio
Total loans	12,088	18,103
Real estate construction - commercial
Summary of loans, by major class within Company's loan portfolio
Total loans	48,508	48,822
Real estate mortgage - residential
Summary of loans, by major class within Company's loan portfolio
Total loans	242,095	247,117
Real estate mortgage - commercial
Summary of loans, by major class within Company's loan portfolio
Total loans	378,398	372,321
Installment and other consumer
Summary of loans, by major class within Company's loan portfolio
Total loans	$ 20,498	$ 20,016

Loans and Allowance for Loan 35

Loans and Allowance for Loan Losses (Details 1) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Summary of the allowance for loan losses
Balance at beginning of period	$ 9,761	$ 12,845	$ 9,099	$ 13,719
Additions:
Provision for loan losses	250	0	250	0
Deductions:
Loans charged off	388	1,025	559	2,202
Less recoveries on loans	(363)	(330)	(1,196)	(633)
Net loans charged off	25	695	(637)	1,569
Balance at end of period	9,986	12,150	9,986	12,150
Commercial, Financial, & Agricultural
Summary of the allowance for loan losses
Balance at beginning of period	2,141	2,452	1,779	2,374
Additions:
Provision for loan losses	1,065	(566)	880	(472)
Deductions:
Loans charged off	122	54	150	186
Less recoveries on loans	(40)	(111)	(615)	(227)
Net loans charged off	82	(57)	(465)	(41)
Balance at end of period	3,124	1,943	3,124	1,943
Real Estate Construction - Residential
Summary of the allowance for loan losses
Balance at beginning of period	48	479	171	931
Additions:
Provision for loan losses	(148)	(65)	(448)	(458)
Deductions:
Loans charged off	0	0	0	60
Less recoveries on loans	(117)	(59)	(294)	(60)
Net loans charged off	(117)	(59)	(294)	0
Balance at end of period	17	473	17	473
Real Estate Construction - Commercial
Summary of the allowance for loan losses
Balance at beginning of period	374	550	466	631
Additions:
Provision for loan losses	45	145	(47)	478
Deductions:
Loans charged off	5	77	5	491
Less recoveries on loans	0	0	0	0
Net loans charged off	5	77	5	491
Balance at end of period	414	618	414	618
Real Estate Mortgage - Residential
Summary of the allowance for loan losses
Balance at beginning of period	2,709	3,090	2,527	2,959
Additions:
Provision for loan losses	(284)	(624)	(43)	(486)
Deductions:
Loans charged off	140	75	211	194
Less recoveries on loans	(47)	(14)	(59)	(126)
Net loans charged off	93	61	152	68
Balance at end of period	2,332	2,405	2,332	2,405
Real Estate Mortgage - Commercial
Summary of the allowance for loan losses
Balance at beginning of period	4,115	6,019	3,846	6,523
Additions:
Provision for loan losses	(354)	1,037	(96)	885
Deductions:
Loans charged off	8	705	32	1,073
Less recoveries on loans	(117)	(77)	(152)	(93)
Net loans charged off	(109)	628	(120)	980
Balance at end of period	3,870	6,428	3,870	6,428
Installment Loans to Individuals
Summary of the allowance for loan losses
Balance at beginning of period	190	255	270	294
Additions:
Provision for loan losses	66	64	0	51
Deductions:
Loans charged off	113	114	161	198
Less recoveries on loans	(42)	(69)	(76)	(127)
Net loans charged off	71	45	85	71
Balance at end of period	185	274	185	274
Un-allocated
Summary of the allowance for loan losses
Balance at beginning of period	184	0	40	7
Additions:
Provision for loan losses	(140)	9	4	2
Deductions:
Loans charged off	0	0	0	0
Less recoveries on loans	0	0	0	0
Net loans charged off	0	0	0	0
Balance at end of period	$ 44	$ 9	$ 44	$ 9

Loans and Allowance for Loan 36

Loans and Allowance for Loan Losses (Details 2) - USD ($) $ in Thousands	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013
Allowance for loan losses:
Individually evaluated for impairment	$ 2,725		$ 1,749
Collectively evaluated for impairment	7,261		7,350
Total	9,986	$ 9,761	9,099	$ 12,150	$ 12,845	$ 13,719
Loans outstanding:
Individually evaluated for impairment	17,825		35,963
Collectively evaluated for impairment	845,829		825,250
Total	863,654		861,213
Commercial, Financial, and Agricultural
Allowance for loan losses:
Individually evaluated for impairment	902		134
Collectively evaluated for impairment	2,222		1,645
Total	3,124	2,141	1,779	1,943	2,452	2,374
Loans outstanding:
Individually evaluated for impairment	4,425		7,541
Collectively evaluated for impairment	157,642		147,293
Total	162,067		154,834
Real Estate Construction - Residential
Allowance for loan losses:
Individually evaluated for impairment	0		0
Collectively evaluated for impairment	17		171
Total	17	48	171	473	479	931
Loans outstanding:
Individually evaluated for impairment	0		1,750
Collectively evaluated for impairment	12,088		16,353
Total	12,088		18,103
Real Estate Construction - Commercial
Allowance for loan losses:
Individually evaluated for impairment	8		0
Collectively evaluated for impairment	406		466
Total	414	374	466	618	550	631
Loans outstanding:
Individually evaluated for impairment	1,934		2,096
Collectively evaluated for impairment	46,574		46,726
Total	48,508		48,822
Real Estate Mortgage - Residential
Allowance for loan losses:
Individually evaluated for impairment	1,331		1,343
Collectively evaluated for impairment	1,001		1,184
Total	2,332	2,709	2,527	2,405	3,090	2,959
Loans outstanding:
Individually evaluated for impairment	6,792		7,878
Collectively evaluated for impairment	235,303		239,239
Total	242,095		247,117
Real Estate Mortgage - Commercial
Allowance for loan losses:
Individually evaluated for impairment	467		246
Collectively evaluated for impairment	3,403		3,600
Total	3,870	4,115	3,846	6,428	6,019	6,523
Loans outstanding:
Individually evaluated for impairment	4,550		16,464
Collectively evaluated for impairment	373,848		355,857
Total	378,398		372,321
Installment Loans to Individuals
Allowance for loan losses:
Individually evaluated for impairment	17		26
Collectively evaluated for impairment	168		244
Total	185	190	270	274	255	294
Loans outstanding:
Individually evaluated for impairment	124		234
Collectively evaluated for impairment	20,374		19,782
Total	20,498		20,016
Unallocated
Allowance for loan losses:
Individually evaluated for impairment	0		0
Collectively evaluated for impairment	44		40
Total	44	$ 184	40	$ 9	$ 0	$ 7
Loans outstanding:
Individually evaluated for impairment	0		0
Collectively evaluated for impairment	0		0
Total	$ 0		$ 0

Loans and Allowance for Loan 37

Loans and Allowance for Loan Losses (Details 3) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Categories of impaired loans
Non-accrual loans	$ 11,730	$ 18,243
Troubled debt restructurings continuing to accrue interest	6,095	17,720
Total impaired loans	$ 17,825	$ 35,963

Loans and Allowance for Loan 38

Loans and Allowance for Loan Losses (Details 4) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014
Financing Receivable, Impaired [Line Items]
Recorded Investment, With no related allowance recorded	$ 9,489	$ 28,525
Unpaid Principal Balance, With no related allowance recorded	10,438	33,066
Recorded Investment, With an allowance recorded	8,336	7,438	$ 14,400
Unpaid Principal Balance, With an allowance recorded	8,916	6,482
Specific Reserves, With an allowance recorded	2,725	1,749	$ 4,300
Total impaired loans, Recorded Investment	17,825	35,963
Total impaired loans, Unpaid Principal Balance	19,354	39,548
Commercial, financial, and agricultural
Financing Receivable, Impaired [Line Items]
Recorded Investment, With no related allowance recorded	2,322	6,021
Unpaid Principal Balance, With no related allowance recorded	2,358	6,232
Recorded Investment, With an allowance recorded	2,103	1,520
Unpaid Principal Balance, With an allowance recorded	2,258	1,528
Specific Reserves, With an allowance recorded	902	134
Real estate - construction residential
Financing Receivable, Impaired [Line Items]
Recorded Investment, With no related allowance recorded	0	1,750
Unpaid Principal Balance, With no related allowance recorded	0	2,259
Recorded Investment, With an allowance recorded		0
Unpaid Principal Balance, With an allowance recorded		0
Specific Reserves, With an allowance recorded		0
Real estate construction - commercial
Financing Receivable, Impaired [Line Items]
Recorded Investment, With no related allowance recorded	1,879	2,096
Unpaid Principal Balance, With no related allowance recorded	2,101	2,319
Recorded Investment, With an allowance recorded	55	0
Unpaid Principal Balance, With an allowance recorded	55	0
Specific Reserves, With an allowance recorded	8	0
Real estate - residential
Financing Receivable, Impaired [Line Items]
Recorded Investment, With no related allowance recorded	1,816	3,213
Unpaid Principal Balance, With no related allowance recorded	2,243	3,270
Recorded Investment, With an allowance recorded	4,976	4,665
Unpaid Principal Balance, With an allowance recorded	5,098	3,546
Specific Reserves, With an allowance recorded	1,331	1,343
Real estate - commercial
Financing Receivable, Impaired [Line Items]
Recorded Investment, With no related allowance recorded	3,472	15,409
Unpaid Principal Balance, With no related allowance recorded	3,736	18,950
Recorded Investment, With an allowance recorded	1,078	1,055
Unpaid Principal Balance, With an allowance recorded	1,348	1,171
Specific Reserves, With an allowance recorded	467	246
Consumer
Financing Receivable, Impaired [Line Items]
Recorded Investment, With no related allowance recorded		36
Unpaid Principal Balance, With no related allowance recorded		36
Recorded Investment, With an allowance recorded	124	198
Unpaid Principal Balance, With an allowance recorded	157	237
Specific Reserves, With an allowance recorded	$ 17	$ 26

Loans and Allowance for Loan 39

Loans and Allowance for Loan Losses (Details 5) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Average Recorded Investment
With no related allowance recorded	$ 10,833	$ 25,318	$ 23,293	$ 24,832
With an allowance recorded	9,062	14,862	9,423	14,997
Total impaired loans	19,895	40,180	32,716	39,829
Interest Recognized For the Period Ended
With no related allowance recorded	37	140	135	233
With an allowance recorded	31	32	63	80
Total impaired loans	68	172	198	313
Commercial, financial, and agricultural
Average Recorded Investment
With no related allowance recorded	2,405	2,663	3,834	2,579
With an allowance recorded	2,263	2,103	1,677	2,222
Interest Recognized For the Period Ended
With no related allowance recorded	8	26	28	47
With an allowance recorded	7	7	13	15
Real estate - construction residential
Average Recorded Investment
With no related allowance recorded	0	64	1,105	90
With an allowance recorded	0	2,260	565	2,265
Interest Recognized For the Period Ended
With no related allowance recorded	0	0	0	0
With an allowance recorded	0	0	0	0
Real estate construction - commercial
Average Recorded Investment
With no related allowance recorded	2,101	6,688	3,633	6,844
With an allowance recorded	55	62	14	84
Interest Recognized For the Period Ended
With no related allowance recorded	0	0	0	0
With an allowance recorded	0	0	0	0
Real estate - residential
Average Recorded Investment
With no related allowance recorded	2,246	3,281	3,328	3,091
With an allowance recorded	5,224	5,215	4,865	5,347
Interest Recognized For the Period Ended
With no related allowance recorded	8	8	20	14
With an allowance recorded	24	25	50	65
Real estate - commercial
Average Recorded Investment
With no related allowance recorded	4,081	12,614	11,383	12,212
With an allowance recorded	1,360	4,904	2,056	4,749
Interest Recognized For the Period Ended
With no related allowance recorded	21	106	86	172
With an allowance recorded	0	0	0	0
Consumer
Average Recorded Investment
With no related allowance recorded	0	8	10	16
With an allowance recorded	160	318	246	330
Interest Recognized For the Period Ended
With no related allowance recorded	0	0	1	0
With an allowance recorded	$ 0	$ 0	$ 0	$ 0

Loans and Allowance for Loan 40

Loans and Allowance for Loan Losses (Details 6) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	$ 232	$ 58
Non-Accrual	11,730	18,243
Total	863,654	861,213
Current or Less Than 30 DaysPast Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	849,408	838,061
30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	2,284	4,851
Commercial, Financial, and Agricultural
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	24	0
Non-Accrual	3,583	5,279
Total	162,067	154,834
Commercial, Financial, and Agricultural | Current or Less Than 30 DaysPast Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	158,166	149,366
Commercial, Financial, and Agricultural | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	294	189
Real Estate Construction - Residential
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	0	0
Non-Accrual	0	1,751
Total	12,088	18,103
Real Estate Construction - Residential | Current or Less Than 30 DaysPast Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	12,088	16,352
Real Estate Construction - Residential | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	0	0
Real Estate Construction - Commercial
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	0	56
Non-Accrual	1,934	2,096
Total	48,508	48,822
Real Estate Construction - Commercial | Current or Less Than 30 DaysPast Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	46,574	46,670
Real Estate Construction - Commercial | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	0	0
Real Estate Mortgage - Residential
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	208	0
Non-Accrual	3,370	4,419
Total	242,095	247,117
Real Estate Mortgage - Residential | Current or Less Than 30 DaysPast Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	237,316	239,469
Real Estate Mortgage - Residential | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	1,201	3,229
Real Estate Mortgage - Commercial
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	0	0
Non-Accrual	2,719	4,465
Total	378,398	372,321
Real Estate Mortgage - Commercial | Current or Less Than 30 DaysPast Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	375,097	366,653
Real Estate Mortgage - Commercial | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	582	1,203
Installment and other consumer
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	0	2
Non-Accrual	124	233
Total	20,498	20,016
Installment and other consumer | Current or Less Than 30 DaysPast Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	20,167	19,551
Installment and other consumer | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	$ 207	$ 230

Loans and Allowance for Loan 41

Loans and Allowance for Loan Losses (Details 7) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	$ 863,654	$ 861,213
Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	72,994	65,073
Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	7,067	9,592
Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	6,095	17,720
Non-accrual
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	11,730	18,243
Total Watch, Substandard, and Non-Accrual Loans
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	97,886	110,628
Commercial, Financial, & Agricultural
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	162,067	154,834
Commercial, Financial, & Agricultural | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	13,492	13,651
Commercial, Financial, & Agricultural | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	299	926
Commercial, Financial, & Agricultural | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	842	2,262
Commercial, Financial, & Agricultural | Non-accrual
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	3,583	5,279
Commercial, Financial, & 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	18,216	22,118
Real Estate Construction - Residential
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	12,088	18,103
Real Estate Construction - Residential | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	243	1,103
Real Estate Construction - Residential | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	1,013	90
Real Estate Construction - Residential | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	0
Real Estate Construction - Residential | Non-accrual
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	1,751
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	1,256	2,944
Real Estate Construction - Commercial
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	48,508	48,822
Real Estate Construction - Commercial | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	4,221	4,757
Real Estate Construction - Commercial | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	99	1,211
Real Estate Construction - Commercial | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	0
Real Estate Construction - Commercial | Non-accrual
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	1,934	2,096
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	6,254	8,064
Real Estate Mortgage - Residential
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	242,095	247,117
Real Estate Mortgage - Residential | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	27,309	27,172
Real Estate Mortgage - Residential | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	2,841	3,124
Real Estate Mortgage - Residential | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	3,422	3,459
Real Estate Mortgage - Residential | Non-accrual
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	3,370	4,419
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	36,942	38,174
Real Estate Mortgage - Commercial
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	378,398	372,321
Real Estate Mortgage - Commercial | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	27,486	18,191
Real Estate Mortgage - Commercial | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	2,762	4,102
Real Estate Mortgage - Commercial | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	1,831	11,999
Real Estate Mortgage - Commercial | Non-accrual
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	2,719	4,465
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	34,798	38,757
Installment and other Consumer
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable		571
Installment and other Consumer | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	243	199
Installment and other Consumer | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	53	139
Installment and other Consumer | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	0
Installment and other Consumer | Non-accrual
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	124	233
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	$ 420	$ 571

Loans and Allowance for Loan 42

Loans and Allowance for Loan Losses (Details 8) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015USD ($)Loans	Jun. 30, 2014USD ($)Loans	Jun. 30, 2015USD ($)Loans	Jun. 30, 2014USD ($)Loans
Loans that were modified as TDRs
Number of Contracts | Loans	[1]	2	1	10	4
Pre- Modification	[1]	$ 1,166	$ 72	$ 2,033	$ 1,500
Post- Modification	[1]	$ 1,155	$ 72	$ 1,841	$ 1,429
Commercial, financial, and agricultural
Loans that were modified as TDRs
Number of Contracts | Loans	[1]	0	1	3	3
Pre- Modification	[1]	$ 0	$ 72	$ 250	$ 244
Post- Modification	[1]	$ 0	$ 72	$ 240	$ 244
Real estate mortgage - residential
Loans that were modified as TDRs
Number of Contracts | Loans	[1]	1	0	3	1
Pre- Modification	[1]	$ 366	$ 0	$ 510	$ 1,256
Post- Modification	[1]	$ 355	$ 0	$ 464	$ 1,185
Real estate mortgage - commercial
Loans that were modified as TDRs
Number of Contracts | Loans	[1]	1	0	4	0
Pre- Modification	[1]	$ 800	$ 0	$ 1,273	$ 0
Post- Modification	[1]	$ 800	$ 0	$ 1,137	$ 0
[1]	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.

Loans and Allowance for Loan 43

Loans and Allowance for Loan Losses (Detail Textuals) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015USD ($)Loans	Jun. 30, 2014USD ($)Loans	Jun. 30, 2015USD ($)Loans	Jun. 30, 2014USD ($)Loans	Dec. 31, 2014USD ($)
Loans and Leases Receivable Disclosure [Abstract]
Carrying amount of loans pledged as collateral to the Federal Home Loan Bank		$ 409,700		$ 409,700
Fair value amount of loans pledged as collateral to the Federal Home Loan Bank		341,800		341,800
Impaired loans individually evaluated for impairment		17,825		17,825		$ 35,963
Impaired loans were evaluated based on the fair value of the loan's collateral		14,800		14,800		15,600
Specific allowance related to impaired loans		2,725	$ 4,300	2,725	$ 4,300	1,749
Impaired loans with no reserve allocation		$ 9,489		$ 9,489		$ 28,525
Percentage of impaired loans for which no reserve allocation required		53.00%		53.00%		79.00%
Interest income on impaired loans continuing to accrue interest		$ 68	$ 172	$ 198	$ 313
Troubled debt restructurings		7,700		7,700		$ 19,300
Troubled debt restructurings, non-accrual status		1,600		1,600		1,600
Troubled debt restructurings, accrual status		6,095		6,095		17,720
Amount of specific reserves related to TDRs which were allocated to the allowance for loan losses		$ 1,300		$ 1,300		$ 1,000
Number of contracts modified | Loans	[1]	2	1	10	4
[1]	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.

Other Real Estate and Reposse44

Other Real Estate and Repossessed Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013
Summary of real estate and other assets acquired in settlement of loans
Repossessed assets	$ 32		$ 38
Total	15,749	$ 14,984	15,140	$ 15,231	$ 18,696	$ 19,542
Less valuation allowance for other real estate owned	(3,233)	$ (3,233)	(3,255)	(3,205)	$ (4,642)	$ (4,675)
Total other real estate and repossessed assets	12,516		11,885	$ 12,026
Real estate construction - residential
Summary of real estate and other assets acquired in settlement of loans
Real estate acquired through foreclosure	0		23
Real estate construction - commercial
Summary of real estate and other assets acquired in settlement of loans
Real estate acquired through foreclosure	9,831		9,831
Real estate mortgage - residential
Summary of real estate and other assets acquired in settlement of loans
Real estate acquired through foreclosure	447		417
Real estate mortgage - commercial
Summary of real estate and other assets acquired in settlement of loans
Real estate acquired through foreclosure	$ 5,439		$ 4,831

Other Real Estate and Reposse45

Other Real Estate and Repossessed Assets (Details 1) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Schedule of real estate acquired in settlement of loans
Balance at beginning of period	$ 14,984	$ 18,696	$ 15,140	$ 19,542
Additions	914	46	1,517	305
Proceeds from sales	(153)	(2,030)	(1,036)	(3,124)
Charge-offs against the valuation allowance for other real estate owned	0	(1,488)	(16)	(1,644)
Repossessed assets impairment write-downs	0	0	0	0
Net gain on sales	4	7	144	152
Total other real estate and repossessed assets	15,749	15,231	15,749	15,231
Less valuation allowance for other real estate owned	(3,233)	(3,205)	(3,233)	(3,205)
Balance at end of period	$ 12,516	$ 12,026	$ 12,516	$ 12,026

Other Real Estate and Reposse46

Other Real Estate and Repossessed Assets (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Summary of activity in valuation allowance for other real estate owned in settlement of loans
Balance, beginning of period	$ 3,233	$ 4,642	$ 3,255	$ 4,675
Provision for other real estate owned	0	51	(6)	174
Charge-offs	0	(1,488)	(16)	(1,644)
Balance, end of period	$ 3,233	$ 3,205	$ 3,233	$ 3,205

Other Real Estate and Reposse47

Other Real Estate and Repossessed Assets (Detail Textuals) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Other Real Estate [Abstract]
Net charge-offs against allowance for loan losses	$ 51,000	$ 66,000	$ 50,000	$ 228,000

Investment Securities (Details)

Investment Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Amortized cost and fair value of debt securities
Amortized Cost	$ 239,741	$ 198,653
Gross Unrealized Gains	1,483	1,678
Gross Unrealized Losses	1,737	1,333
Fair value, Total	239,487	198,998
Government sponsored enterprises
Amortized cost and fair value of debt securities
Amortized Cost	76,667	57,002
Gross Unrealized Gains	287	240
Gross Unrealized Losses	110	143
Fair value, Total	76,844	57,099
Asset-backed securities
Amortized cost and fair value of debt securities
Amortized Cost	129,205	106,726
Gross Unrealized Gains	746	855
Gross Unrealized Losses	1,533	1,119
Fair value, Total	128,418	106,462
Obligations of states and political subdivisions
Amortized cost and fair value of debt securities
Amortized Cost	33,869	34,925
Gross Unrealized Gains	450	583
Gross Unrealized Losses	94	71
Fair value, Total	$ 34,225	$ 35,437

Investment Securities (Details

Investment Securities (Details 1) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Amortized Cost
Due in one year or less	$ 17,500
Due after one year through five years	78,174
Due after five year through ten years	14,023
Due after ten years	839
Total	110,536
Asset-backed securities	129,205
Amortized Cost, Total	239,741	$ 198,653
Fair Value
Due in one year or less	17,591
Due after one year through five years	78,453
Due after five year through ten years	14,198
Due after ten years	827
Total	111,069
Asset-backed securities	128,418
Fair value, Total	$ 239,487	$ 198,998

Investment Securities (Detail50

Investment Securities (Details 2) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Fair Value
Less than 12 months	$ 86,847	$ 16,964
12 months or more	41,387	65,249
Total	128,234	82,213
Unrealized Losses
Less than 12 months	(679)	(69)
12 months or more	(1,058)	(1,264)
Total	(1,737)	(1,333)
Government sponsored enterprises
Fair Value
Less than 12 months	30,032	2,983
12 months or more	3,990	17,862
Total	34,022	20,845
Unrealized Losses
Less than 12 months	(100)	(4)
12 months or more	(10)	(139)
Total	(110)	(143)
Asset-backed securities
Fair Value
Less than 12 months	48,526	10,314
12 months or more	36,908	45,445
Total	85,434	55,759
Unrealized Losses
Less than 12 months	(498)	(50)
12 months or more	(1,035)	(1,069)
Total	(1,533)	(1,119)
Obligations of states and political subdivisions
Fair Value
Less than 12 months	8,289	3,667
12 months or more	489	1,942
Total	8,778	5,609
Unrealized Losses
Less than 12 months	(81)	(15)
12 months or more	(13)	(56)
Total	$ (94)	$ (71)

Investment Securities (Detail51

Investment Securities (Details 3) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Investments Debt And Equity Securities Abstract
Gains realized on sales	$ 8	$ 0	$ 8	$ 0
Losses realized on sales	0	0	0	0
Other-than-temporary impairment recognized	0	0	0	0
Investment securities gains	$ 8	$ 0	$ 8	$ 0

Investment Securities (Detail T

Investment Securities (Detail Textuals) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015USD ($)Security	Dec. 31, 2014USD ($)Security
Investments Debt And Equity Securities Abstract
Available for sale securities, restricted	$ 7,900	$ 4,700
Available for sale securities, pledged	$ 181,600	$ 145,500
Number of securities consisted in portfolio | Security	321	300
Number of securities in loss position | Security	110	74
Unrealized loss included in other comprehensive	$ 128,200	$ 82,200
Loss position for 12 months or longer	41,387	65,249
Aggregate unrealized loss included in accumulated other comprehensive income	$ 1,700	$ 1,300

Intangible Assets (Details)

Intangible Assets (Details) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Changes in mortgage servicing rights
Balance at beginning of period				$ 2,762
Changes in fair value:
Balance at end of period		$ 2,727		2,727
Mortgage Service Rights
Changes in mortgage servicing rights
Balance at beginning of period		2,662	$ 3,040	2,762	$ 3,036
Originated mortgage servicing rights		107	72	227	122
Changes in fair value:
Due to change in model inputs and assumptions	[1]	128	(36)	87	70
Other changes in fair value	[2]	(170)	(165)	(349)	(317)
Balance at end of period		$ 2,727	$ 2,911	$ 2,727	$ 2,911
[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.

Intangible Assets (Details 1)

Intangible Assets (Details 1) - Mortgage Service Rights	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Assumptions used in estimating the fair value of mortgage service rights
Weighted average constant prepayment rate	10.66%	9.69%
Weighted average note rate	3.92%	4.00%
Weighted average discount rate	9.34%	9.15%
Weighted average expected life (in years)	5 years 8 months 12 days	6 years

Intangible Assets (Detail Textu

Intangible Assets (Detail Textuals) - Mortgage Service Rights - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Mortgage Servicing Rights
Mortgage loans serviced for others	$ 312,600,000	$ 315,300,000	$ 312,600,000	$ 315,300,000	$ 313,900,000
Mortgage loan servicing fees reported as other non-interest income	$ 228,000	$ 223,000	$ 442,000	$ 446,000

Income Taxes (Detail Textuals)

Income Taxes (Detail Textuals)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Tax Disclosure [Abstract]
Effective income tax rate continuing operation (as a percent)	34.20%	34.80%	34.30%	34.70%

Stockholders' Equity (Details)

Stockholders' Equity (Details) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Accumulated Other Comprehensive Income (Loss)
Balance at the beginning				$ (1,228)	$ (769)
Other comprehensive income, before reclassifications				(607)	2,468
Amounts reclassified from accumulated other comprehensive income				80	39
Current period other comprehensive income, before tax				(527)	2,507
Income tax expense				201	(953)
Current period other comprehensive income, net of tax		$ (833)	$ 993	(326)	1,554
Balance at the end		(1,554)	785	(1,554)	785
Unrealized Gain (Loss) on Securities
Accumulated Other Comprehensive Income (Loss)
Balance at the beginning	[1]			214	(1,491)
Other comprehensive income, before reclassifications	[1]			(607)	2,468
Amounts reclassified from accumulated other comprehensive income	[1]			8	0
Current period other comprehensive income, before tax	[1]			(599)	2,468
Income tax expense	[1]			228	(938)
Current period other comprehensive income, net of tax	[1]			(371)	1,530
Balance at the end	[1]	(157)	39	(157)	39
Unrecognized Net Pension and Postretirement Costs
Accumulated Other Comprehensive Income (Loss)
Balance at the beginning	[2]			(1,442)	722
Other comprehensive income, before reclassifications	[2]			0	0
Amounts reclassified from accumulated other comprehensive income	[2]			72	39
Current period other comprehensive income, before tax	[2]			72	39
Income tax expense	[2]			(27)	(15)
Current period other comprehensive income, net of tax	[2]			45	24
Balance at the end	[2]	$ (1,397)	$ 746	$ (1,397)	$ 746
[1]	The pre-tax amounts reclassified from accumulated other comprehensive income (loss) 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 (loss) are included in the computation of net periodic pension cost.

Employee Benefit Plans (Details

Employee Benefit Plans (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Summary of employee benefits charged to operating expenses
Payroll taxes	$ 270	$ 275	$ 599	$ 568
Medical plans	463	484	971	1,002
401k match and profit sharing	223	176	495	329
Pension plan	348	236	696	472
Other	24	28	43	39
Total employee benefits	$ 1,328	$ 1,199	$ 2,804	$ 2,410

Employee Benefit Plans (Detai59

Employee Benefit Plans (Details 1) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Components of net pension cost
Pension expense	$ 348	$ 236	$ 696	$ 472
Pension
Components of net pension cost
Service cost - benefits earned during the year			981
Interest costs on projected benefit obligations			732
Expected return on plan assets			(872)
Expected administrative expenses			40
Amortization of prior service cost			79
Amortization of unrecognized net loss			0
Net periodic pension expense			960
Pension | Estimated
Components of net pension cost
Service cost - benefits earned during the year			1,325
Interest costs on projected benefit obligations			838
Expected return on plan assets			(957)
Expected administrative expenses			40
Amortization of prior service cost			79
Amortization of unrecognized net loss			66
Net periodic pension expense			$ 1,391

Employee Benefit Plans (Detail

Employee Benefit Plans (Detail Textuals) - 6 months ended Jun. 30, 2015 - USD ($)	Total
Defined Benefit Plan Disclosure
Employer match (as a percent)	3.00%
Defined benefit plan contributions by employer percent	6.00%
Pension
Defined Benefit Plan Disclosure
Contribution to the defined benefit plan for the current plan year	$ 716,000
Minimum required contribution for the 2015 plan year	$ 1,034,000

Stock Compensation (Details)

Stock Compensation (Details) - Jun. 30, 2015 - USD ($) $ / shares in Units, $ in Thousands	Total
Number of shares
Outstanding at the beginning of period	100,361
Granted	0
Exercised	0
Forfeited or expired	(33,929)
Outstanding, June 30, 2015	66,432
Exercisable, June 30, 2015	57,975
Weighted average exercise price
Outstanding at the beginning of period	$ 21.56
Granted	0
Exercised	0
Forfeited or expired	21.66
Outstanding, June 30, 2015	21.51
Exercisable, June 30, 2015	$ 22.32
Weighted Average Contractual Term (in years)
Outstanding, June 30, 2015	1 year 10 months 24 days
Exercisable, June 30, 2015	1 year 8 months 12 days
Aggregate Intrinsic Value
Outstanding, June 30, 2015	$ 0
Exercisable, June 30, 2015	$ 0

Stock Compensation (Detail Text

Stock Compensation (Detail Textuals) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Stock compensation
Grant of options to purchase (in shares)	592,168		592,168
Stock dividend (as a percent)			4.00%
Stock based compensation expense	$ 5,000	$ 5,000	$ 5,000	$ 10,000
Total unrecognized compensation expense related to non-vested stock awards	$ 26,000		$ 26,000
Weighted average period is expected to be recognized			1 year
Minimum
Stock compensation
Options vest over periods			4 years
Maximum
Stock compensation
Options vest over periods			5 years

Earnings per Share (Details)

Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Basic earnings per share:
Net income available to shareholders	$ 1,927	$ 2,098	$ 4,065	$ 4,085
Basic earnings per share (in dollars per share)	$ 0.35	$ 0.39	$ 0.75	$ 0.75
Diluted earnings per share:
Net income available to shareholders	$ 1,927	$ 2,098	$ 4,065	$ 4,085
Average shares outstanding (in shares)	5,443,344	5,443,344	5,443,344	5,443,344
Effect of dilutive stock options (in shares)	0	0	0	0
Average shares outstanding including dilutive stock options (in shares)	5,443,344	5,443,344	5,443,344	5,443,344
Diluted earnings per share (in dollars per share)	$ 0.35	$ 0.39	$ 0.75	$ 0.75

Earnings per Share (Details Tex

Earnings per Share (Details Textuals) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Option shares
Summary of anti-dilutive shares
Anti-dilutive shares	66,432	101,330	66,432	101,330

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Assets:
Available for sale debt securities, fair value	$ 239,487	$ 198,998
Mortgage servicing rights, fair value	2,727	2,762
Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Available for sale debt securities, fair value	0	0
Mortgage servicing rights, fair value	0	0
Other Observable Inputs (Level 2)
Assets:
Available for sale debt securities, fair value	239,487	198,998
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	2,727	2,762
Recurring
Assets:
Assets, Total	242,214	201,760
Recurring | Government sponsored enterprises
Assets:
Available for sale debt securities, fair value	76,844	57,099
Recurring | Asset-backed securities
Assets:
Available for sale debt securities, fair value	128,418	106,462
Recurring | Obligations of states and political subdivisions
Assets:
Available for sale debt securities, fair value	34,225	35,437
Recurring | Mortgage servicing rights
Assets:
Mortgage servicing rights, fair value	2,727	2,762
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Assets, Total	0	0
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	239,487	198,998
Recurring | Other Observable Inputs (Level 2) | Government sponsored enterprises
Assets:
Available for sale debt securities, fair value	76,844	57,099
Recurring | Other Observable Inputs (Level 2) | Asset-backed securities
Assets:
Available for sale debt securities, fair value	128,418	106,462
Recurring | Other Observable Inputs (Level 2) | Obligations of states and political subdivisions
Assets:
Available for sale debt securities, fair value	34,225	35,437
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	2,727	2,762
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	$ 2,727	$ 2,762

Fair Value Measurements (Deta66

Fair Value Measurements (Details 2) - Recurring - Significant Unobservable Inputs (Level 3) - Mortgage servicing rights - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Fair value of assets
Balance at beginning of period	$ 2,662	$ 3,040	$ 2,762	$ 3,036
Total gains or losses (realized/unrealized) Included in earnings	(42)	(201)	(262)	(247)
Total gains or losses (realized/unrealized) Included in other comprehensive income	0	0	0	0
Purchases	0	0	0	0
Sales	0	0	0	0
Issues	107	72	227	122
Settlements	0	0	0	0
Balance at end of period	$ 2,727	$ 2,911	$ 2,727	$ 2,911

Fair Value Measurements (Deta67

Fair Value Measurements (Details 3) - Recurring - Significant Unobservable Inputs (Level 3) - Mortgage servicing rights	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Quantitative Information
Weighted average constant prepayment rate (as a percent)	10.66%	9.69%
Weighted average discount rate (as a percent)	9.34%	9.15%
Weighted average expected life (in years)	5 years 8 months 12 days	6 years
Fair value measurements valuation techniques	Discounted cash flows

Fair Value Measurements (Deta68

Fair Value Measurements (Details 4) - Nonrecurring - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Total Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		$ 5,611	$ 10,092	$ 5,611	$ 10,092
Other real estate and foreclosed assets		12,516	12,026	12,516	12,026
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	0	0
Other real estate and foreclosed assets		0	0	0	0
Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		0	0	0	0
Other real estate and foreclosed assets		0	0	0	0
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		5,611	10,092	5,611	10,092
Other real estate and foreclosed assets		12,516	12,026	12,516	12,026
Total Gains (Losses)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Gains (losses) on impaired loans	[1]	(211)	(896)	(306)	(1,950)
Gains (losses) on other real estate owned and repossessed assets	[1]	(38)	(1,499)	190	(1,530)
Commercial, financial, and agricultural | Total Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		1,201	1,412	1,201	1,412
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	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	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		1,201	1,412	1,201	1,412
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]	(21)	(19)	(21)	(122)
Real estate construction - residential | Total Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		0	1,749	0	1,749
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	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	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	1,749	0	1,749
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	[1]	0	0	0	(60)
Real estate construction - commercial | Total Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		47	39	47	39
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	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	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		47	39	47	39
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	[1]	0	(77)	0	(491)
Real estate mortgage - residential | Total Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		3,645	3,698	3,645	3,698
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	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	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		3,645	3,698	3,645	3,698
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	[1]	(135)	(44)	(206)	(138)
Real estate mortgage - commercial | Total Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		611	2,973	611	2,973
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	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	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		611	2,973	611	2,973
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	[1]	(7)	(704)	(30)	(1,069)
Consumer | Total Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		107	221	107	221
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	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	0	0
Consumer | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans		107	221	107	221
Consumer | Total Gains (Losses)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Gains (losses) on impaired loans	[1]	$ (48)	$ (52)	$ (49)	$ (70)
[1]	Total gains (losses) reported for other real estate and foreclosed assets includes charge-offs, valuation write downs, and net losses taken during the periods reported.

Fair Value Measurements (Deta69

Fair Value Measurements (Details Textuals) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Fair Value Disclosures [Abstract]
Gains included in earnings attributable to change in unrealized gains or losses	$ 128,000	$ (36,000)	$ 87,000	$ 70,000
Impaired loans with a specific allowance	8,336,000	14,400,000	8,336,000	14,400,000	$ 7,438,000
Specific allowance related to impaired loans	2,725,000	4,300,000	2,725,000	4,300,000	$ 1,749,000
Impaired financing receivable charge offs	$ 211,000	$ 1,000,000	$ 306,000	$ 2,000,000

Fair Value of Financial Instr70

Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Assets:
Cash and due from banks	$ 22,413	$ 22,364
Federal funds sold and overnight interest-bearing deposits	10,922	20,445
Investment in available-for-sale securities, at fair value	239,487	198,998
Mortgage servicing rights	2,727	2,762
Accrued interest receivable	4,642	4,816
Deposits:
Non-interest bearing demand	206,478	207,700
Savings, interest checking and money market	465,253	442,059
Accrued interest payable	365	373
Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Cash and due from banks	22,413	22,364
Federal funds sold and overnight interest-bearing deposits	10,922	20,445
Investment in available-for-sale securities, at fair value	0	0
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	4,642	4,816
Assets, Total	37,977	47,625
Deposits:
Non-interest bearing demand	206,478	207,700
Savings, interest checking and money market	465,253	442,059
Time deposits	0	0
Federal funds purchased and securities sold under agreements to repurchase	25,842	17,970
Subordinated notes	0	0
Federal Home Loan Bank advances	0	0
Accrued interest payable	365	373
Liabilities, Fair Value Disclosure, Total	697,938	668,102
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	239,487	198,998
Loans, net	0	0
Investment in FHLB stock	3,269	3,075
Mortgage servicing rights	0	0
Cash surrender value - life insurance	2,319	2,284
Accrued interest receivable	0	0
Assets, Total	245,075	204,357
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	36,177	33,371
Federal Home Loan Bank advances	49,612	44,396
Accrued interest payable	0	0
Liabilities, Fair Value Disclosure, Total	85,789	77,767
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	852,497	854,062
Investment in FHLB stock	0	0
Mortgage servicing rights	2,727	2,762
Cash surrender value - life insurance	0	0
Accrued interest receivable	0	0
Assets, Total	855,224	856,824
Deposits:
Non-interest bearing demand	0	0
Savings, interest checking and money market	0	0
Time deposits	318,305	321,041
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	318,305	321,041
Carrying Amount
Assets:
Cash and due from banks	22,413	22,364
Federal funds sold and overnight interest-bearing deposits	10,922	20,445
Investment in available-for-sale securities, at fair value	239,487	198,998
Loans, net	853,668	852,114
Investment in FHLB stock	3,269	3,075
Mortgage servicing rights	2,727	2,762
Cash surrender value - life insurance	2,319	2,284
Accrued interest receivable	4,642	4,816
Assets, Total	1,139,447	1,106,858
Deposits:
Non-interest bearing demand	206,478	207,700
Savings, interest checking and money market	465,253	442,059
Time deposits	317,135	319,755
Federal funds purchased and securities sold under agreements to repurchase	25,842	17,970
Subordinated notes	49,486	49,486
Federal Home Loan Bank advances	47,000	43,000
Accrued interest payable	365	373
Liabilities, Fair Value Disclosure, Total	1,111,559	1,080,343
Fair Value
Assets:
Cash and due from banks	22,413	22,364
Federal funds sold and overnight interest-bearing deposits	10,922	20,445
Investment in available-for-sale securities, at fair value	239,487	198,998
Loans, net	852,497	854,062
Investment in FHLB stock	3,269	3,075
Mortgage servicing rights	2,727	2,762
Cash surrender value - life insurance	2,319	2,284
Accrued interest receivable	4,642	4,816
Assets, Total	1,138,276	1,108,806
Deposits:
Non-interest bearing demand	206,478	207,700
Savings, interest checking and money market	465,253	442,059
Time deposits	318,305	321,041
Federal funds purchased and securities sold under agreements to repurchase	25,842	17,970
Subordinated notes	36,177	33,371
Federal Home Loan Bank advances	49,612	44,396
Accrued interest payable	365	373
Liabilities, Fair Value Disclosure, Total	$ 1,102,032	$ 1,066,910

Repurchase Reserve Liability (D

Repurchase Reserve Liability (Detail Textuals)	6 Months Ended	12 Months Ended
	Jun. 30, 2015USD ($)Loans	Dec. 31, 2014USD ($)Loans
Repurchase Reserve Liability [Abstract]
Repurchase reserve liability	$ 160,000	$ 160,000
Number of loans sold to the secondary market | Loans	3,029	3,057
Balance of loans sold to the secondary market	$ 312,600,000	$ 313,900,000

Commitments and Contingencies72

Commitments and Contingencies (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Contractual amount of off-balance-sheet financial instruments
Total contractual amount of off-balance-sheet financial instruments	$ 151,486	$ 138,398
Commitments to extend credit
Contractual amount of off-balance-sheet financial instruments
Total contractual amount of off-balance-sheet financial instruments	145,732	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	4,393	1,640
Standby letters of credit
Contractual amount of off-balance-sheet financial instruments
Total contractual amount of off-balance-sheet financial instruments	$ 1,361	$ 1,621

Commitments and Contingencies73

Commitments and Contingencies (Detail Textuals) - Jun. 30, 2015 - USD ($) $ in Thousands	Total
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